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  • FIRST POST
    • worldtraveller
    • By worldtraveller 15th Sep 19, 4:47 PM
    • 12,932Posts
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    worldtraveller
    0 WOW
    Thomas Cook Ceases Trading - Compulsory Liquidation (EDIT MON 23/9)
    • #1
    • 15th Sep 19, 4:47 PM
    0 WOW
    Thomas Cook Ceases Trading - Compulsory Liquidation (EDIT MON 23/9) 15th Sep 19 at 4:47 PM
    The beleaguered travel firm Thomas Cook will on Monday request a delay to a key bondholders’ meeting on Wednesday to try to maximise the chances of securing a £1.1bn emergency rescue package to help stave off imminent financial collapse.

    The company is involved in 11th-hour talks as it seeks to finalise the terms of the proposed restructuring agreement with the Chinese conglomerate Fosun, its lenders and bondholders.

    “We gather they will be applying for a bit of breathing or wriggle room in order to try to get the deal through,” an industry source said.

    The Guardian
    Last edited by worldtraveller; 23-09-2019 at 2:44 AM. Reason: Change in status of Thomas Cook
    There is a pleasure in the pathless woods, There is a rapture on the lonely shore, There is society, where none intrudes, By the deep sea, and music in its roar: I love not man the less, but Nature more...
Page 2
    • Alan Bowen
    • By Alan Bowen 18th Sep 19, 10:34 AM
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    Alan Bowen
    This may nor may not be good news. The intention was clearly to force the insurers to pay the bondholders, who are the ones holding up the sale as they are likely to lose everything and are hoping for an insurance claim. The problem is the hearing is not until 7th October, a week after they need to renew their ATOL licence and the application to the court does not say they are insolvent, which may be a reason for the insurers not to pay.

    Right now, if you have a booking, do nothing, there is certainly no point in cancelling and losing money but if you are thinking of booking, think very carefully indeed....it might be worth waiting 2 weeks until the crisis in over
    • Westin
    • By Westin 18th Sep 19, 3:03 PM
    • 2,073 Posts
    • 1,520 Thanks
    Westin
    This may nor may not be good news. The intention was clearly to force the insurers to pay the bondholders, who are the ones holding up the sale as they are likely to lose everything and are hoping for an insurance claim. The problem is the hearing is not until 7th October, a week after they need to renew their ATOL licence and the application to the court does not say they are insolvent, which may be a reason for the insurers not to pay.

    Right now, if you have a booking, do nothing, there is certainly no point in cancelling and losing money but if you are thinking of booking, think very carefully indeed....it might be worth waiting 2 weeks until the crisis in over
    Originally posted by Alan Bowen
    I also have mixed feelings as to whether this is good news or not.

    I guess the TC powers that be think this is the right and positive course of action but the ramifications seem scary. Could this be the removal of the finger that has been for long wedged in the dam holding back a calamity?

    I would imagine that following this new development there will be a lot of very jumpy hoteliers, ground agents, coach suppliers and others overseas now concerned as to whether they will be paid as the summer season draws to a close and looking to get what they can, now. US side, will the likes of Disney and Universal continue to allow TC credit for those TC guests in-house or due to shortly arrive on vacation - or start to charge guest credit cards? I also cannot see the Spanish, Greek and Turkish hoteliers reaction well to the news.

    Hopefully something positive comes from Fosun in coming hours/day to quell concerns of TC customers and suppliers.
    • bobblebob
    • By bobblebob 18th Sep 19, 8:34 PM
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    bobblebob
    Are you sure the hearing is the 7th?


    https://uk.reuters.com/article/uk-thomas-cook-grp-investment/thomas-cook-restructuring-plan-overshadowed-by-cds-dispute-idUKKBN1W31YK


    That suggests its tomorrow
    • Alan Bowen
    • By Alan Bowen 19th Sep 19, 8:33 AM
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    Alan Bowen
    The meeting today is a committee meeting to determine whether the Chapter 15 proceedings are sufficient to trigger an insurance payout to the bondholders, if they say yes and the bondholders can be certain of being paid out, then they are likely to vote in favour of the deal, and we can all breathe again. If they do not agree there should be an insurance claim, TC has 7 days to find a plan B.......
    • marshybeans
    • By marshybeans 19th Sep 19, 12:25 PM
    • 10 Posts
    • 1 Thanks
    marshybeans
    I've booked a holiday in December to New York, flights are with Virgin and everything has been paid for. Is the holiday still safe, regardless do your reckon?
    • Alan Bowen
    • By Alan Bowen 19th Sep 19, 12:49 PM
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    Alan Bowen
    Marshybeans, at this no one can give any guarantees. However things are moving quickly and your answer, hopefully, a positive one, should be known within 14 days at most
    • bobblebob
    • By bobblebob 19th Sep 19, 1:32 PM
    • 657 Posts
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    bobblebob
    Could be known today. If the committee meeting today determines the Chapter 15 proceedings are sufficient to trigger an insurance payout to the bondholders, bondholders are almost certainly going to approve the takeover
    • Westin
    • By Westin 19th Sep 19, 3:34 PM
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    Westin
    I've booked a holiday in December to New York, flights are with Virgin and everything has been paid for. Is the holiday still safe, regardless do your reckon?
    Originally posted by marshybeans
    Sounds like a Thomas Cook Holiday / Thomas Cook Signature Package. You should have received an ATOL certificate shortly after booking. ATOL Protection ensures your holiday payment is protected and would be refunded if the worst was to happen. Hopefully however all will be fine.
    • Alan Bowen
    • By Alan Bowen 19th Sep 19, 3:52 PM
    • 3,358 Posts
    • 1,702 Thanks
    Alan Bowen
    The meeting today to decide whether the insurers should protect the bondholders and thereby improve the chances of TC surviving reached no conclusion at all and is reconvening on Monday at 12 noon. Let's keep our fingers crossed
    • bobblebob
    • By bobblebob 19th Sep 19, 4:25 PM
    • 657 Posts
    • 116 Thanks
    bobblebob
    Bobblebob, I suspect the insurers would refuse to refund the policy as they have been on risk that you might cancel (which accounts for around 50% of all claims) from the day you took out the policy. Nevertheless, if it is a good company, it would be worth a try
    Originally posted by Alan Bowen
    The meeting today to decide whether the insurers should protect the bondholders and thereby improve the chances of TC surviving reached no conclusion at all and is reconvening on Monday at 12 noon. Let's keep our fingers crossed
    Originally posted by Alan Bowen

    Might not last until Monday


    One stakeholder said that it was "a critical 24 hours" for Thomas Cook's survival prospects.




    A successful outcome from the labyrinth of negotiations remains possible, although they cautioned that without imminent assurances that the additional funding is forthcoming, parts or all of Thomas Cook faced being placed into administration within the next few days.
    • up-north-eng
    • By up-north-eng 19th Sep 19, 6:09 PM
    • 37 Posts
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    up-north-eng
    Just trying to grasp what my next move is if the worst happens. We have a package holiday booked costing 6800, it’s Atol protected and we paid roughly 1200 of the balance via a credit card. We also have insurance with cover up to 5000. Which route do I take first to get the money back as quickly as possible in order to rebook? It’s been a bit of a crap year for us and this was our light at the end of the tunnel, all fingers and toes crossed that they stay afloat without even taking into consideration those poor employees who could be out of a job.
    • bobblebob
    • By bobblebob 19th Sep 19, 6:27 PM
    • 657 Posts
    • 116 Thanks
    bobblebob
    Just fill out thr ATOL form if and when. I think most of those employees will lose their job either way. Talk of turning Thomas Cook into an online only business. Something needs to change, they have far too many stores. I can see most if not all going
    • Mrs L
    • By Mrs L 19th Sep 19, 6:27 PM
    • 315 Posts
    • 390 Thanks
    Mrs L
    I am really worried about this now, we are due to fly to Turkey on Monday evening, it is a package holiday so know we will be ATOL protected, but it would be upsetting to get cancelled whilst at the airport. I realise I can’t cancel and it is just a waiting game to see what happens. If this happens what would our options be?
    • bobblebob
    • By bobblebob 19th Sep 19, 7:18 PM
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    bobblebob
    I am really worried about this now, we are due to fly to Turkey on Monday evening, it is a package holiday so know we will be ATOL protected, but it would be upsetting to get cancelled whilst at the airport. I realise I can’t cancel and it is just a waiting game to see what happens. If this happens what would our options be?
    Originally posted by Mrs L

    Do you fly with Thomas Cook airlines?
    • Alan Bowen
    • By Alan Bowen 19th Sep 19, 7:25 PM
    • 3,358 Posts
    • 1,702 Thanks
    Alan Bowen
    Wait, hold your horses. It has a licence from the CAA to the end of 30th September. The meeting today might have given us hope but no decisions were taken and I don't think anything will happen before next week. If and only if the business ceases to trade then packages involving TC Airlines will almost certainly be cancelled immediately but if you have scheduled tickets on other airlines, it is cheaper for the CAA ATOL scheme to allow you to travel and just pay for the hotel accommodation. All is not lost yet, so please do not panic, it could be better I will admit but it is not finished yet
    Last edited by Alan Bowen; 19-09-2019 at 9:47 PM.
    • shayne66
    • By shayne66 19th Sep 19, 7:34 PM
    • 52 Posts
    • 6 Thanks
    shayne66
    Anyone offer me any advice (I have also emailed my local Thomas Cook who booked our holiday)
    Have a holiday to America, flying out late next month. Balance has been fully paid.
    Now, with all the stories etc decided to check the Atol Cert and noticed the cert number actually belongs to USAirtours.
    Now, upon looking at all the paperwork, we have most of its headed by USAirtours.
    Does this mean, that if the worst case scenario happens to Thomas Cook, that we should be okay holiday wise.

    Flights are with Delta who received there payment a while ago as we wanted to select seats etc (we have 4 flights) so paid the holiday in full probably in may.
    • Mrs L
    • By Mrs L 19th Sep 19, 8:22 PM
    • 315 Posts
    • 390 Thanks
    Mrs L
    Do you fly with Thomas Cook airlines?
    Originally posted by bobblebob
    Outward flight on Monday 23rd is Thomas Cook airlines at 5pm flight back on 5th Oct is operated by Smartlink on behalf of Thomas Cook .
    I’m hoping no decision is made until we’re on our holiday I’d rather loose or gain a day than not go at all.
    Last edited by Mrs L; 19-09-2019 at 8:22 PM. Reason: Spelling mistakes
    • bobblebob
    • By bobblebob 19th Sep 19, 8:32 PM
    • 657 Posts
    • 116 Thanks
    bobblebob
    Should be fine going out, coming back who knows. But least you will have had a holiday before you have to worry about that
    • Alan Bowen
    • By Alan Bowen 19th Sep 19, 9:49 PM
    • 3,358 Posts
    • 1,702 Thanks
    Alan Bowen
    Shayne66, you appear to have a contract with USAirtours, a very good operator and although you may be asked for proof of payment to TC by the company, your holiday should be unaffected!
    • Ststina
    • By Ststina 19th Sep 19, 9:57 PM
    • 2 Posts
    • 0 Thanks
    Ststina
    We have a flight only booked with TC through Opodo for February. We have just checked and it isn’t ATOL protected. We haven’t got insurance yet was gonna get it next month. What should we do we didn’t pay on a credit card (credit limited isn’t High enough.) so we get insurance now? What does it need to include to be protected against this. We thought it was scheduled airline failure but it says we are only covered AFTER our departure date. Anyone help? Please
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