• Text size      
  • Send this article to a friend
  • Print this article

Thomas Cook narrows losses and sells Gold Medal for £45 million

Thomas Cook cut losses by £10 million today despite the impact of Egypt's political turmoil on bookings in the quarter to December 31.

Revenues were £15 million lower at £1.66 billion but chief executive Harriet Green said there had been further progress in the company's turnaround.

She also announced the £45 million sale of Preston-based Gold Medal, a supplier of long-haul flights, hotels and car hire, to Dubai travel company dnata, which is part of the Emirates Group.

The sale of the business, which employs around 470 people, means the company has met its target to raise between £100 million and £150 million from the sale of non-core businesses about 18 months ahead of schedule.

Gold Medal will continue as a supplier of long-haul scheduled flights to the Thomas Cook businesses in the UK.

Excluding Egypt, Thomas Cook said revenues in the first quarter of its financial year to December 31 grew by 4.1% compared with a year earlier.

Underlying losses in the seasonally quieter trading period improved by £10 million to £56 million, reflecting the company's focus on costs.

Thomas Cook said 86% of its winter programme was now sold, while the summer schedule is around 39% sold, in line with last year.

Average selling prices are expected to increase as the company looks to sell a higher proportion of exclusive hotel offers to UK customers.

Contextual targeting label: 
Business

Commenting & Moderation

We moderate all comments on HeraldScotland on either a pre-moderated or post-moderated basis.
If you're a relatively new user then your comments will be reviewed before publication and if we know you well and trust you then your comments will be subject to moderation only if other users or the moderators believe you've broken the rules

Moderation is undertaken full-time 9am-6pm on weekdays, and on a part-time basis outwith those hours. Please be patient if your posts are not approved instantly.

212061