International tour operator Thomas Cook has collapsed after last-minute negotiations aimed at saving the 178-year-old holiday firm failed. UK Civil Aviation Authority said the tour operator has ceased trading with immediate effect.
Thomas Cook’s chief executive Peter Fankhauser apologized to customers, employees, suppliers and partners.
The collapse of the firm has also triggered the biggest ever peacetime repatriation aimed at bringing more than 150,000 British holidaymakers home.
The tour operator’s failure puts 22,000 jobs at risk worldwide, including 9,000 in the UK.
The firm collapsed after it failed to meet the demand of the Royal Bank of Scotland and a range of other banks to pay them 250 million US dollar. Since May 2018, shares have fallen by more than 96 per cent amid Brexit uncertainty and intense competition in the tourism sector.
Cabinet maker Thomas Cook created the travel firm in 1841.