Thomas Cook Group (London) has announced it has agreed to sell Thomas Cook Canada Inc. and Thomas Cook USA Holdings Inc. to Red Label Vacations Inc. The group issued this statement:
Thomas Cook Group plc announces it has agreed to sell Thomas Cook Canada Inc. and Thomas Cook USA Holdings, Inc., together known as Thomas Cook North America (“TCNA”), to Red Label Vacations Inc. (which trades as Redtag.ca “Red Tag”). The transaction is for cash consideration of $5.3 million Canadian dollars (£3.4 million at current exchange rates).
TCNA operates a tour operator and distribution network in Canada. TCNA also owns ABC Corporate Services Inc. and D-FW Travel Arrangements Inc. in the United States.
Completion of the transaction is subject to a number of conditions, including clearance by the Competition Bureau of Canada, the release of guarantees provided by Thomas Cook Group plc to third parties on behalf of TCNA and the release of guarantees provided by TCNA in support of the Group’s financing arrangements. The transaction is expected to complete by May 31, 2013. Proceeds will be used to reduce the borrowings of the Thomas Cook Group.
Copyright Photo: TMK Photography. Boeing 757-28A C-GJZB (msn 28203) operated by Jazz Aviation taxies at the Toronto (Pearson) base.
Thomas Cook (Canada):
Editor’s “To The Point” Observation”: At the height of Thomas Cook Canada, Jazz Aviation was operating a fleet of six leased Boeing 757-200s under the Thomas Cook Airlines (Canada) brand. On April 13, 2012 Thomas Cook announced it was ending the five-year contract with Jazz and all services ended on April 30, 2012. Since then Thomas Cook has been using other airlines as needed.
Thomas Cook Canada (Toronto) which just announced it was ending its relationship with Jazz Aviation (Halifax) and the Boeing 757-200s, announced today (April 18) a new exclusive partnership with WestJet Airlines (Calgary) which will now provide all airline seats for Thomas Cook’s tour operator brand Sunquest Vacations (Sunquest) using their modern fleet of Boeing 737s.
This decision takes effect for Sunquest’s winter 2012-2013 program, which commences in November 2012, and follows on the heels of the already planned summer flying program with WestJet.
WestJet has operated a significant portion of Sunquest’s winter flying program since the 2009-2010 season and the full summer program since 2010.
Thomas Cook North America is a division of Thomas Cook Group plc, one of the world’s leading leisure travel groups with sales of C$15.7 billion, 23.6 million customers and 31,000 employees. Its travel businesses in Canada include Sunquest Vacations, Fun Sun Vacations, Exotik Tours and Bel Air Travel. Thomas Cook in Canada also oversees operations for Sears Travel’s 106 retail shops nationwide. Thomas Cook operates under six geographic segments in 22 countries, including Canada and the United States
Jazz Aviation (Halifax) announced on April 13, 2012 that it had received notification from Thomas Cook Canada Inc. of its intention to discontinue operating dedicated charter aircraft, branded as Thomas Cook Canada, due to market conditions. As a consequence, the remaining three years of the five-year flight services agreement with Jazz will be terminated effective April 30, 2012.
In 2010, Jazz signed a five-year flight services agreement with Thomas Cook to operate a dedicated charter fleet of six Boeing 757-200 aircraft to various sun destinations from Canadian gateways during the winter season.
Operations commenced on November 5, 2010 from Toronto (Pearson) to Montego Bay, Jamaica and Cancun, Mexico.
Jazz will continue to operate the Thomas Cook Canada flights, as scheduled, for the remainder of the winter 2011-2012 program and proceed with the normal seasonal wind down of this operation by April 28, 2012.
Thomas Cook Group (London) has lost nearly three-quarters of its market value on the London Stock Exchange after the ailing firm admitted it had gone back to the banks for more financial help according to this report by the Press Association.
Thomas Cook Group plc is a travel company created on June 19, 2007 by the merger of Thomas Cook AG and MyTravel Group plc. At flotation on the London Stock Exchange 52% of the shares in the new company were held by the German mail order and department store corporation Arcandor (former owners of Thomas Cook AG) and 48% owned by the shareholders of MyTravel. On June 9, 2009 Arcandor filed for bankruptcy. The merger, which was backed by 99.9% of shareholders, took place through the formation of “NewCo” which effectively purchased MyTravel and Thomas Cook and was then listed on the London Stock Exchange under the name of Thomas Cook Group plc.
The Thomas Cook Group plc is the parent organization of Condor Flugdienst, Thomas Cook Airlines Scandinavia, Thomas Cook Airlines (Belgium), Thomas Cook Airlines (Canada) and Thomas Cook Airlines (UK).
Jazz Air (Halifax) as planned yesterday (November 5) officially launched its flight services agreement with Thomas Cook Canada Inc. Early morning flights departed from Toronto (Pearson) to Montego Bay, Jamaica and Cancun, Mexico.
The five-year flight services agreement, signed earlier this year, has Jazz operating six Boeing 757-200 aircraft on behalf of Thomas Cook (Canada). The service will operate to various sun destinations in the Caribbean, Mexico and Central America from Toronto, Ottawa, Montreal and Halifax under the Thomas Cook (Canada) brand. Flights will operate during the winter season, November to April, and will feature several product enhancements developed jointly by Jazz, Thomas Cook and its Sunquest Division.
Jazz took delivery of the first two Boeing 757-200 aircraft earlier this week and will see four more aircraft arrive in December at which time service from Ottawa, Montreal and Halifax will commence. The aircraft are leased to Jazz Air LP from Thomas Cook Airlines Ltd.
Copyright Photo: Roger Cannegieter. Operated by Jazz Air, Boeing 757-25F C-GJZH (msn 30758, ex G-JMCE) visits Curacao on November 7. Other than the Canadian registration and flag, the airliner is being operated in full Thomas Cook colors without any Jazz Air sub-titles.
Jazz Air (Halifax) announced that it has concluded negotiations with Thomas Cook Canada Inc. with respect to their flight services agreement, establishing the pricing for a five-year term ending on April 30, 2015.
Last April, Jazz signed a flight services agreement with Thomas Cook to operate flights on its behalf on Thomas Cook during the winter seasons (November through April). In the initial season, Jazz will operate six Boeing 757-200 aircraft to various destinations in the Caribbean, Mexico and Central America from Toronto, Ottawa, Montreal and Halifax under the Thomas Cook Canada brand, subject to Jazz obtaining the required regulatory approvals. Service will commence on November 5, 2010 and will feature several product enhancements developed jointly by Jazz, Thomas Cook and its Sunquest Division.
In 2011, Jazz expects growth in flying under its capacity purchase agreement with Air Canada. Based on the Annual Operating Plan provided by Air Canada which is provided for budget and planning purposes and is subject to change, Jazz anticipates flying approximately five percent more block hours year over year. Jazz estimates the total billable block hours for the year 2011, which include the Thomas Cook flying, to be between 400,000 and 410,000 block hours. Beginning in June 2011, Jazz will introduce the new Bombardier DHC-8-402 (Q400) NextGen aircraft to support the Air Canada service.