News & Analysis

TUI Travel UK has announced capacity cuts of 11% for this winter and a 12% cut for summer 2008 following the merger with First Choice in September.

In a trading statement last week, the operator reported a sales increase of 7% for winter 2007/08 although v­olumes are down 2%.

First Choice has seen sales up 24% year on year this winter for medium-haul holidays and 22% for long-haul. Thomson has reduced short-haul capacity by 29% by halving its loss-making scheduled city routes.

The 12% cut in next summer's capacity also comes from reducing Thomson's loss-making scheduled flying programme. Overall sales for TUI Travel are up 12%.

First Choice's summer programme is seeing sales growth of 24% year on year, thanks to a 36% growth in medium-haul bookings and 17% in long-haul. Thomson bookings are 1% down on capacity reductions of 16%.

TUI Travel UK has announced its senior marketing team. Andrew Laurillard will be head of brand strategy while head of innovation and customer relationship management is Jeremy Ellis.