TUI News Page 12
TUI Travel reports major losses
TUI Travel has reported a record £333 million half-year loss after figures were hit by the weak pound and Easter falling in the second half of its trading year. The deficit for the First Choice and Thomson holidays firm was 13% wider than 2008, although it did see first-half revenues improve 4% to £5.38 billion.
TUI eyes European sale
The TUI Group is looking at a strategic reshuffle that would see its power base shift from the UK towards Germany. Its UK-listed TUI Travel, which handles most of its TUI Tourism, is currently 51 percent owned by the Hanover-based TUI Group.The move would see the remaining 49 percent share sold to the controlling shareholder, with TUI Travel losing its continental operations.
TUI enters Russia and Ukraine
TUI Travel has announced its entry into the Russian travel market through a joint venture with oligarch Alexei Mordashov.The group, which first announced plans to create a joint venture with the Russian billionaire’s S-Group Capital Management last April, said it had now signed a definitive agreement.
TUI and ESAS buy into Air Berlin
TUI Travel has acquired a 19.9 percent share in the Europe’s third largest low-cost carrier, Air Berlin, for €64.8m, in a strategic alliance deal that will also see Air Berlin taking over operations of TUI’s struggling German airline operations, Hapag-Lloyd Flug and Tuifly.The announcement comes the day after a separate deal between Air Berlin and ESAS Holdings, a Turkish conglomerate, for a 15.3 percent in Air Berlin formerly held by U.S. billionaire Len Blavatnik. The two deals end months of speculation over the future ownership of the budget carrier.
Summer surge helps TUI halve losses
A late surge in summer bookings has helped position TUI Travel to comfortably meet expectations for the current financial year.TUI Travel, Europe’s largest travel firm, said its first quarter underlying operating loss was reduced to £34.9 million from a loss of £63.3 million in the same period the previous year. Revenues rose 9% to £2,746m to £2,523m.
Flight to value keeps Tui on target
Cash-strapped Britons opting for cheap package holidays coupled with capacity cuts is keeping Tui Travel on track despite weakening discretionary spending, the group announced.In an interim management statement, Tui said: “Despite the challenging trading environment and an anticipated flatter booking profile, we are achieving our load factor and margin targets due to our ongoing management of capacity, and we expect this to continue through the summer season.”
Star Europe boosts TUI flights
Star Europe, the airline and subsidiary of Avion Group, has signed awet lease agreement with TUI, Germany’s biggest leisure company.