TRANSFORMING THOMAS COOK
Harriet Green, Group Chief Executive said,
"Today we are pleased to report improving financial results and announce important measures to strengthen our balance sheet. Earnings before interest and tax and gross margin are well ahead of last year and our cost out and profit improvement actions are going very well, allowing us to increase our target yet again. Our progress transforming the business also enables us to undertake our capital refinancing plan. This will reduce the very significant debt that we inherited, lengthen its repayment profile and consequently help us deliver the full benefits of the strategic plan we set out in March. We look forward to continuing the rapid transformation of the Group so that we fulfil the potential of the Thomas Cook brand for our customers, suppliers and employees."
Capital refinancing to support the continuing transformation of Thomas Cook, announced separately today
£425 million proposed firm placing and rights issue, fully underwritten
Euro 525 million New Bond Issue maturing 2020, fully underwritten
£691 million New Facilities Agreement
Improving financial performance
First half underlying EBIT on a like for like basis improved by £58.7 million to £(197.5) million compared with the same period last year.
Underlying gross margin on a like for like basis improved by 110 basis points to 20.7% compared with the same period last year
Net Debt declined £175.4 million to £1.2 billion at 31 March 2013 compared with 31 March 2012
Encouraging current trading with strong bookings and gross margins
