TUI Travel Offsets Egypt, Tunisia Unrest With Capacity Shift
31 Marzo 2011 - 9:23AM
Dow Jones News
TUI Travel PLC (TT.LN) Thursday said its ability to shift
holiday capacity from region to region had helped it mitigate the
impact of civil and political unrest in Tunisia and Egypt.
"Following the political events in Egypt and Tunisia our
experience has been that customers continue to want to go on
holiday with us, albeit to alternative destinations," TUI Travel
Chief Executive Peter Long said. "The flexibility we have in our
business model has allowed us to actively re-shape our programs
across all our source markets to satisfy this demand and we have
moved significant capacity to a number of other destinations
including Spain, Greece and Turkey."
All governments, expect Russia, within the source markets it
operates in have now lifted their advice not to travel to Egypt or
Tunisia.
Long said the company was working with suppliers in Egypt and
Tunisia to reduce prices and encourage demand in the region, but
capacity now was lower. The impact for TUI Travel in the second
quarter is expected to be in line with previous guidance of between
GBP25 million and GBP30 million.
Summer bookings were ahead of last year, the company said, with
exception of the U.K. and France, the two countries affected most
by the troubles in North Africa.
The timing of Easter, which falls later in 2011, will shift
about GBP20 million of profit to the fiscal third quarter from the
second quarter.
The company said it was seeing strong demand for holidays that
only TUI Travel offers, which tend to generate higher margins.
It has a few holidays left to sell for the winter period and,
with prices remaining firm, it is confident that it will achieve
required load factors and pricing levels for the remainder of the
season.
TUI Travel's shares closed Wednesday at 229 pence. They have
shed 24% in value in the past 12 months.
-By Kaveri Niththyananthan, Dow Jones Newswires; 4420 7842 9299;
kaveri.niththyananthan@dowjones.com
Grafico Azioni TUI Travel (LSE:TT.)
Storico
Da Giu 2024 a Lug 2024
Grafico Azioni TUI Travel (LSE:TT.)
Storico
Da Lug 2023 a Lug 2024
Notizie in Tempo Reale relative a Tui Travel (Borsa di Londra): 0 articoli recenti
Più Tui Travel Articoli Notizie