RIP Thomas Cook: holiday dreams washed away by tide of debt

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RIP Thomas Cook: holiday dreams washed away by tide of debt
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RIP Thomas Cook: Holiday dreams washed away by tide of debt via kholtonreuters paulsandle

LONDON - Thomas Cook sold tens of millions of Britons a summer holiday to remember with the slogan “Don’t just book it, Thomas Cook it”.

Eight years later it was in the same position, but its creditors had enough. With the business draining cash, Chief Executive Peter Fankhauser found its lenders, bondholders and even the government were no longer willing to step in. The British government decided Thomas Cook was a bet it did not want to take after the banks had lost patience.

By betting on size, the company had burdened itself with expensive shops just as more customers were moving online. He also reduced the company’s portfolio of hotels and jettisoned Club 18-30, a “sun, sea and sex” brand that reached a zenith in the 1990s but felt increasingly dated.

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