Thomas Cook: The Rise and Fall of a Travel Giant

On 23 September 2019, Thomas Cook went into compulsory liquidation. It owed lenders and suppliers around £3 billion, about 150,000 British holidaymakers were still abroad, and around 9,000 UK jobs disappeared. The government launched Operation Matterhorn, the largest peacetime repatriation in British history. Weeks later, the name alone sold for £11 million. Thomas Cook's real business was the package-holiday spread. It bought flights and hotels wholesale, sold them as one price, and collected the customer's money before departure. On an average tour-operator customer, about £680 came in and roughly £15 was left as operating profit, before interest. On 30 September 2018 it held £1.39 billion of revenue received in advance. The 2007 MyTravel merger added debt and a vast physical base of about 3,000 shops, 97 planes and 30,000 staff to that seasonal model. Every winter, bank credit had to bridge the gap until summer cash arrived, so a bad season could turn into a cash collapse. Inside: the 1841 one-shilling train from Leicester to Loughborough, hotel coupons and circular notes, the 2007 merger, the £1.4 billion bank lifeline in 2012, Fosun's £900 million rescue and the £200 million gap that broke it, and the name's online relaunch with a team of 70. CHAPTERS 0:00 150,000 stranded and Operation Matterhorn 1:40 The 1841 one-shilling train to Loughborough 4:45 Hotel coupons, circular notes and the Nile 8:58 The 2007 merger: 3,000 shops and 97 planes 12:13 The £1.4bn bank lifeline and winter cash 16:04 Fosun's rescue, the £200m gap, Matterhorn 20:04 £11 million for the name, 70 staff online Origins of Giants tells how the world's biggest companies actually began. Subscribe for the next one. #ThomasCook #BusinessHistory #Documentary