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| Passengers Return to Britain After Thomas Cook Collapse | |
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| LONDON — One day after the British tour operator and airline Thomas Cook abruptly collapsed, leaving hundreds of thousands of travelers scrambling to make arrangements, the head of the Civil Aviation Authority in Britain promised that “nobody” from her country would be stranded and that subsidiaries in several countries were working to bring people home. | LONDON — One day after the British tour operator and airline Thomas Cook abruptly collapsed, leaving hundreds of thousands of travelers scrambling to make arrangements, the head of the Civil Aviation Authority in Britain promised that “nobody” from her country would be stranded and that subsidiaries in several countries were working to bring people home. |
| Thomas Cook said on Friday that about 600,000 people were traveling abroad on its services, raising the prospect of hundreds of thousands of travelers stranded overseas after the company collapsed in spectacular fashion, but initial reports suggested that governments and private companies were moving to bring people home. | Thomas Cook said on Friday that about 600,000 people were traveling abroad on its services, raising the prospect of hundreds of thousands of travelers stranded overseas after the company collapsed in spectacular fashion, but initial reports suggested that governments and private companies were moving to bring people home. |
| In addition to the vast repatriation effort in Britain, several companies that were either subsidiaries of Thomas Cook or that use the name while running independently were still operating in China, France, Germany, and India. | In addition to the vast repatriation effort in Britain, several companies that were either subsidiaries of Thomas Cook or that use the name while running independently were still operating in China, France, Germany, and India. |
| But shortly after midday on Tuesday, Thomas Cook’s subsidiary in the Netherlands, which on Monday said it was open for business as usual, reversed course and said it had filed for insolvency. The Thomas Cook subsidiary in Belgium said on Tuesday that it remained operational, for now, but added that it was declaring partial bankruptcy and had laid off 75 employees. | |
| Spain’s acting minister for tourism, Reyes Maroto, told reporters on Tuesday that there was still time to save Thomas Cook’s subsidiaries in Germany and Scandinavia from bankruptcy, and that her government was having conversations “on the highest level” with officials in Germany and Sweden about the issue. | |
| The aim, Ms. Maroto said, was to have those markets secured for Spanish tourism, at least for the winter season. | |
| The developments at Thomas Cook have raised questions about whether more could have been done to prevent the company’s sudden collapse and whether the actions of its leadership may have contributed to the failure. | The developments at Thomas Cook have raised questions about whether more could have been done to prevent the company’s sudden collapse and whether the actions of its leadership may have contributed to the failure. |
| The British business secretary, Andrea Leadsom, in a letter to the head of the Insolvency Service, the body appointed to handle Thomas Cook’s remaining assets, asked for an examination to be opened into the role of the company’s directors in the insolvency, requesting that the matter be given priority status. | The British business secretary, Andrea Leadsom, in a letter to the head of the Insolvency Service, the body appointed to handle Thomas Cook’s remaining assets, asked for an examination to be opened into the role of the company’s directors in the insolvency, requesting that the matter be given priority status. |
| The Financial Reporting Council, the British accounting regulator, said that it had also been asked by Ms. Leadsom to look into the failure of the company and determine whether to open an investigation. | The Financial Reporting Council, the British accounting regulator, said that it had also been asked by Ms. Leadsom to look into the failure of the company and determine whether to open an investigation. |
| The repatriation of British travelers was being described as the largest such peacetime effort in the country’s history, and Deidre Hutton, the chairwoman of the Civil Aviation Authority, speaking to the BBC on Tuesday morning, said that around 15,000 people had already been flown back to Britain. | The repatriation of British travelers was being described as the largest such peacetime effort in the country’s history, and Deidre Hutton, the chairwoman of the Civil Aviation Authority, speaking to the BBC on Tuesday morning, said that around 15,000 people had already been flown back to Britain. |
| “Nobody is stranded, everybody will get their holiday and they will be brought back at the time they would have come back anyway,” she said. “I’m conscious that we’ve got a huge job to do still, because that’s about 8 percent of the total, but a reasonable start.” | “Nobody is stranded, everybody will get their holiday and they will be brought back at the time they would have come back anyway,” she said. “I’m conscious that we’ve got a huge job to do still, because that’s about 8 percent of the total, but a reasonable start.” |
| Aena, the largest airport operator in Spain, said on Tuesday that 18 repatriation flights were scheduled to depart from its properties, and all were operating normally. “So far, the affected airports have registered no complaints,” Aena said in Twitter post at midday. | Aena, the largest airport operator in Spain, said on Tuesday that 18 repatriation flights were scheduled to depart from its properties, and all were operating normally. “So far, the affected airports have registered no complaints,” Aena said in Twitter post at midday. |
| An additional 74 flights were scheduled to bring back another 16,500 people back to Britain on Tuesday, and over the next two weeks, an additional 135,000 passengers will be repatriated, with the effort continuing until Oct. 6. Passengers who are traveling after that date will have to make their own arrangements. | An additional 74 flights were scheduled to bring back another 16,500 people back to Britain on Tuesday, and over the next two weeks, an additional 135,000 passengers will be repatriated, with the effort continuing until Oct. 6. Passengers who are traveling after that date will have to make their own arrangements. |
| Around 60 percent of the cost for the flights was funded by a government insurance program called the Air Travel Organizer’s License, which means that Thomas Cook customers who booked package travel — generally, some combination of flights, hotels and car rental — are assured of refunds for future canceled trips and for repatriation free of charge. | Around 60 percent of the cost for the flights was funded by a government insurance program called the Air Travel Organizer’s License, which means that Thomas Cook customers who booked package travel — generally, some combination of flights, hotels and car rental — are assured of refunds for future canceled trips and for repatriation free of charge. |
| Customers who bought only flights from Thomas Cook do not have the same protections and may need to rely more on personal travel insurance, if they have it. | Customers who bought only flights from Thomas Cook do not have the same protections and may need to rely more on personal travel insurance, if they have it. |
| Prime Minister Boris Johnson of Britain said the government should look into how such situations could be avoided in the future, and seemed to back rules that would turn over responsibility for repatriation to travel companies rather than the government. | Prime Minister Boris Johnson of Britain said the government should look into how such situations could be avoided in the future, and seemed to back rules that would turn over responsibility for repatriation to travel companies rather than the government. |
| “How can we make sure that tour operators take proper precautions with their business models where you don’t end up with a situation where the taxpayer, the state, is having to step in and bring people home?” Mr. Johnson said, according to Reuters. | “How can we make sure that tour operators take proper precautions with their business models where you don’t end up with a situation where the taxpayer, the state, is having to step in and bring people home?” Mr. Johnson said, according to Reuters. |
| He voiced his criticism of the company from New York, where he is attending the United Nations General Assembly this week. Speaking at a climate summit on Monday, he asked how business leaders managed to pay themselves large sums as the company went “down the tubes.” | He voiced his criticism of the company from New York, where he is attending the United Nations General Assembly this week. Speaking at a climate summit on Monday, he asked how business leaders managed to pay themselves large sums as the company went “down the tubes.” |
| He later tweeted on Monday night that he had met with British Consulate employees in New York who were working to repatriate travelers and thanked the consular workers for their efforts. “It’s a tough time for those who have had holidays disrupted but team hard at work to support them,” he wrote. | He later tweeted on Monday night that he had met with British Consulate employees in New York who were working to repatriate travelers and thanked the consular workers for their efforts. “It’s a tough time for those who have had holidays disrupted but team hard at work to support them,” he wrote. |
| In the bustling London Gatwick Airport on Tuesday, there were few signs of the company’s collapsed a day earlier. Christian Brisland, 46, was one of the thousand repatriated to Britain and said that other than a short delay in his new flight from the Greek island of Kefalonia, his return went smoothly. | |
| “We contacted the Civil Aviation Authority, registered with them, and they booked us on an EasyJet flight,” he said as he left the airport, wearing a straw hat and a pair of shorts despite the rain. “It was really easy.” | |
| Shelly Louis, 49, who also returned to London from Kefalonia on Tuesday, said the company’s collapse had not worried her, as the worst-case scenario would have meant extending her vacation. | |
| “There is no point in worrying about something you cannot control,” she said. | |
| But travelers who had booked vacation packages through Thomas Cook were scrambling to find alternative ways to get to their intended destinations. Many customers turned to social media to denounce price increases for some popular destinations, accusing competitors of cashing in on Thomas Cook’s failure. | |
| “It is the market in action,” Andrew Charlton, managing director of the consulting firm Aviation Advocacy, said in a phone interview. He said that “a major player has fallen out of the market and reduced capacity” and that the Civil Aviation Authority had booked any available spots for the next two weeks. | |
| Thomas Cook had struggled financially for some time and announced its closing after negotiations to obtain at least 200 million pounds, or $250 million, in additional emergency financing failed over the weekend. | |
| The British government decided not to bail out Thomas Cook, on the grounds that it would set a dangerous precedent for other companies, but Condor, an airline that is a Thomas Cook affiliate in Germany, may find itself in a more favorable position. | The British government decided not to bail out Thomas Cook, on the grounds that it would set a dangerous precedent for other companies, but Condor, an airline that is a Thomas Cook affiliate in Germany, may find itself in a more favorable position. |
| When the German carrier Air Berlin came close to bankruptcy in 2017, the government granted the airline a bridging loan of 150 million euros, about $165 million, that allowed it to continue flying. | When the German carrier Air Berlin came close to bankruptcy in 2017, the government granted the airline a bridging loan of 150 million euros, about $165 million, that allowed it to continue flying. |
| Condor is hoping for the same treatment, and Peter Altmaier, the economics minister, said on Tuesday that the government would decide whether to issue a loan in the coming days. | Condor is hoping for the same treatment, and Peter Altmaier, the economics minister, said on Tuesday that the government would decide whether to issue a loan in the coming days. |
| Thomas Cook India posted a statement on its website on Tuesday reassuring customers that it was not part of the British company after being acquired in 2012. The Dutch Thomas Cook subsidiary said it had not yet declared bankruptcy and so was open for business as usual. | Thomas Cook India posted a statement on its website on Tuesday reassuring customers that it was not part of the British company after being acquired in 2012. The Dutch Thomas Cook subsidiary said it had not yet declared bankruptcy and so was open for business as usual. |
| A Chinese subsidiary of Thomas Cook, which caters largely to Chinese tourists traveling abroad, said on Monday that its operations would not be affected by the bankruptcy of the parent company. | A Chinese subsidiary of Thomas Cook, which caters largely to Chinese tourists traveling abroad, said on Monday that its operations would not be affected by the bankruptcy of the parent company. |