Thomas Cook Collapses, Will Badly Affect Tourism Sector Across The Globe

World’s oldest travel firm Thomas Cook collapsed on Monday, going into compulsory liquidation, on September 23, 2019, leaving thousands of people stranded across the globe, who are already on their holidays in different countries.

British Prime Minister Boris Johnson has assured and pledged to bring back the travelers home, who are away at the moment.

He also revealed that his government had refused the now collapsed travel company’s request for a bailout of around 150 million pounds ($187.1 million). The reason given for this, by him, was that it would have set up a “moral hazard”.

He was interacting with the media reporters on a plane while heading for the UN General Assembly in New York.

Speaking of Thomas Cook, then it was the oldest travel firm of Britain, founded in 1841.

It used to run hotels, airlines, and resorts for nearly 19 million people a year, in 16 countries.

After the liquidation, CEO Peter Frankhauser said that it’s a matter of huge regret that the long-running firm shut down after failing to secure a rescue package from its lenders.
"I would like to apologize to our millions of customers, and thousands of employees, suppliers and partners who have supported us for many years," he said in an issued statement.
Coming onto the impact of this huge collapse, then apart from leaving many of its employees jobless, it will also result in a deterioration of tourism sector, especially in the countries like Spain and Turkey, where the company’s most of the profit used to come from.
Many travel agents will also be forced to close their shops across Britain.

Source: economictimes.com

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