“An application was made to the High Court for a compulsory liquidation of the Company before opening of business today and an order has been granted to appoint the Official Receiver as the liquidator of the Company,” it said in the statement.
Peter Fankhauser, Thomas Cook’s chief executive, apologized to customers, employees, suppliers and partners.
“This marks a deeply sad day for the company which pioneered package holidays and made travel possible for millions of people around the world,” Fankhauser said.
The collapse of an iconic UK company is having ripple effects in Asia. Shares in Chinese firm Fosun Tourism dropped more than 5% in morning trade in Hong Kong.
Fosun Tourism’s parent company Fosun International is one of China’s biggest conglomerates. It owns all-inclusive holiday firm Club Med. Billionaire founder Guo Guangchang is Thomas Cook’s largest stakeholder, according to data provider Refinitiv.
The move triggers the largest ever peacetime repatriation in the history of the United Kingdom, topping the operation the government carried out after the 2017 collapse of Monarch Airlines.
In a statement, the authority said there are “more than 150,000 Thomas Cook customers abroad, almost twice the number that were repatriated following the failure of Monarch.” It said the government has asked it to launch a repatriation program, which would return Thomas Cook customers to the United Kingdom, from September 23 – October 6.
“Due to the unprecedented number of UK customers currently overseas who are affected by the situation, the Civil Aviation Authority has secured a fleet of aircraft from around the world to bring passengers back to the UK with return flights,” it said.
“Customers currently overseas should not travel to the airport until their flight back to the UK has been confirmed on the dedicated website,” it said.
Depending on where travelers are located, return flights will be either on flights operated by the Civil Aviation Authority or by existing flights with other airlines, according to Thomas Cook.
Grant Shapps, the UK’s secretary of state for transport, said in a statement that the government and CAA are “working round the clock” to help people affected by the collapse.
“Our contingency planning has helped acquire planes from across the world — some from as far away as Malaysia — and we have put hundreds of people in call centres and at airports,” he said. “But the task is enormous, the biggest peacetime repatriation in UK history. So, there are bound to be problems and delays. Please try to be understanding with the staff who are trying to assist in what is likely to be a very difficult time for them as well.”
Raab did say, however, the British government has a plan to bring home the 160,000 UK travelers possibly stranded by Thomas Cook’s collapse. Thomas Cook on Friday confirmed to CNN that it currently has 600,000 customers on vacation, including those 160,000 from the United Kingdom.
“We’ve got all the contingency planning to make sure no one will be stranded,” Raab said. “I don’t want to go into the detail of it because it depends on the nature of which people are out there, whether they’d booked a package or just paid for the flights.”
The development comes after a tumultuous year for Thomas Cook. Since May 2018, shares have fallen by more than 96% amid Brexit uncertainty and intense competition in the tourism sector.
Source : Nbcnewyork
