Debt relief for Thomas Cook

Debt relief for Thomas Cook

Thomas Cook has been given some relief from its debt payments today amounting to £26 million.

The group announced to the City this morning that a 2% fee payable on a £100 million banking facility has been cancelled.

It means, in effect, that the cost of Cook financing its debts has been reduced.

The statement from Cook said: "Thomas Cook Group plc confirms that in accordance with the "cash sweep" provisions of its bank facility agreement £100 million of the liquidity facility provided pursuant to the facility agreement has been cancelled. 

"As a result, an additional fee of up to 2% of the total facilities outstanding, amounting to approximately £26 million, will not be payable."

On May 5, 2012, Cook agreed a new financing package with its lenders, consisting of a total debt facility of £1,400 million with a maturity date of May 31, 2015.

The facility comprised of a £150 million term loan with no fixed repayments, a revolving credit facility of £850 million, a super senior revolving credit facility of £200 million, and a committed £200 million bonding and guarantee facility.

Following the disposal of the Cook's share in Thomas Cook (India), in August 2012 the super senior revolving credit facility was reduced by £89 million to £111 million.

After the £100 million cancellation today, the super senior revolving credit facility is reduced to £11 million.


This is a community-moderated forum.
All post are the individual views of the respective commenter and are not the expressed views of Travel Weekly.
By posting your comments you agree to accept our Terms & Conditions.

More in News