Thomas Cook to close 200 stores
Travel firm Thomas Cook says it will close 200 stores over the next two years after revealing losses of nearly £400m in the first part of 2011.
The loss compares to £42m profit in the previous year, partly due to poor trading because of the Arab spring and Thailand floods.
Thomas Cook had already said it expects to close about 75 sites following its merger with the Co-op’s UK high street travel business, which left it with more than 1,300 travel shops, but today said a further 125 will be shut.
The company’s results were hit by exceptional charges of £573m, which included write-downs in the value of its UK and Canadian business.
Business was also been hit by people booking holidays on the internet.
Shares in the company have shed more than 90 per cent of their value since March.
But Thomas Cook said a UK “turnaround plan” was under way, which aims to improve profits by £110m a year.
La Senza
Meanwhile La Senza is reportedly facing a restructuring plan by KPMG which could include administration, or an agreement to shed some of its 158 stores.
According to the owners of the chain, Lion Capital, La Senza employs 2,600 people and recorded sales of £140m in its last financial year.
The lingerie specialist is the latest apparent victim of financial trouble sweeping the high street, after shoe retailer Barratts announced that it has fallen into administration last week.