Travel City Direct(TCD), XL in trouble

[Keith]

Reports are indicating that XL, owner of brand names Kosmar, XL.com, Freedom Flights and Travel City Direct has filed for administration.

http://news.bbc.co.uk/1/hi/business/7611639.stm

If the firm were to collapse, package holidaymakers would be protected under the Atol scheme, a financial protection package but the situation for those who booked flight may be less clear.

Update: Information for people affected by this can be found here: http://wdisneysecrets.com/forums/showthread.php?t=3265

[Taja]

Keith, what does "administration" mean compared to US bankruptcy filings?

Chapter 7 = kaput
Chapter 11 = reorganization

Thanks!

[Keith]

Keith, what does "administration" mean compared to US bankruptcy filings?

Chapter 7 = kaput
Chapter 11 = reorganization

Thanks!

It's not a direct equivalent of either but closer to 7 than 11 :( rather then a period of protection, it's more an end game. The company will have an administrator appointed to run the company in the coming period and they'll try to quickly assess the situation to see if there's a way to keep things going with perhaps a refinancing deal or investment. If not then it's down to selling off assets or liquidation.

Whereas it's perhaps more common for companies to come out of chap 11 with perhaps a reorganisation, you'd have to say that fewer emerge as a whole entity from administration

So pretty bad news unless they can get an investment package in short order

[Taja]

:fingers: for a good outcome.

Jodie and her crew are booked on TCD in a few weeks! :eek:

[Ursula]

Jodie won't be going now :(

[Disneybumble]

Poor Jodie , I feel so sorry for her. She was my first thought when i read this. Oh to have a few grand lying around that i could give her. My heart breaks for her and her friends.

[Dawn]

They've gone under. Nearly half a million people affected. I feel for each one of them.

[Disneybumble]

I do to Dawn. It's reading about Jodie and "Knowing" her that brings it home. I also am thinking of the poor people who have been saving for 3 years and the "once in a lifetime trip". It is heart break on a massive scale. Yes nobody has died, but everybody looks forward to a holiday be it in Florida or Skegness. And i feel for every single one of them.

[Dawn]

I don't get how a company that is clearly having severe financial trouble can still carry on taking bookings as if nothing is wrong. It's shattered dreams. :mad:

[Disneybumble]

I don't get how a company that is clearly having severe financial trouble can still carry on taking bookings as if nothing is wrong. It's shattered dreams. :mad:

It's shocking Dawn isn't it. Go on their website and you can still make a booking. And they have advertisments all over the web .To me at the stage the companys at, that is fraud.

[Skywatcher]

It has taught me to book flights with a credit card until they sort out proper protection.

Only flown with XL once and they were pant - which was galling as it was the lapland trip :(

[Dizneyblonde]

Was in tears when heard the news at 7am.Two very good friends of mine are waking up to this awful news and there's nothing i can do :(

This holiday means so much to Jodie and Claire who is also due to go on a big family holiday in a few weeks.

Having had both of them stay with me and chattig to them most ays on msn/txt i know exactly how they will be feeling and devastation doesn't even begin to describe it.

My heart goes out to all of you.XXX

[Debbie2]

I feel so sorry for all those affected and think it is disgraceful that they have continued to take bookings knowing full well the financial mess they were in!! It has been mooted for a few months that they have been in difficulties so was not really surprised when I heard the news this morning.

Also fear there will be more airlines and companies going belly up over the winter months. It's not been a good week with 180 jobs going at Manchester Airport and BA cancelling their scheduled daily flight from Man to JFK which has been running forever and is my SIL regular flight home three times a year for the past 30 years :( My DH works in the industry so this is not good news at all.

Thinking of all those affected ..so sorry guys :(

[Skywatcher]

:( it is an awful thing to happen - I feel concerned for the poor people caught abroad

[kazzaqld]

It's just awful - I feel so sad for Jodie. :(

[Tink]

There is absolutely nothing to be done? I mean for Jodie and those like her who are caught up in all of this? There is no option for another flight with another company?

I clearly don't understand it too well. I do know that bankruptcy means, but with prepaid packages... :( I guess not, eh? Just so darn sad and maddening at the same time. :(

[mumof2]

oh my G-d, Jodie :(

and to think a TCD brochure for next year dropped through my letter box a couple of days ago....:mad:

[lisaw]

Jodie was also my first thought this morning when i switched on the news :(

Completely feel for everyone affected, I'm sure there will be more of this happening in the coming months:(

[Tink]

Has anyone heard from Jodie today? :sigh;

[Dawn]

I've heard on another forum that Gavin is ringing round right now trying to salvage something.

Prepaid means nothing when this happens Tink. Their planes have been grounded. There's no money to buy fuel for them. No money to pay the pilots, ground crew, etc. There's just no more money for anything. :(

[Mags]

And they are going via Newark which is great news. I am sure they are relieved.

Margaret

[Wendy]

Oh that is good news, thanks for letting us know Mags :D

[lisaw]

That's great news! :yes:

[Dawn]

Well that's a little ray of sunshine amongst all the mess. :D

[uscwest]

Their website is now shut down. If you try to go to it you get an information page. It looks like, if you booked through a TA or directly with XL or TCD that you are covered under ATOL and will be able to get reimbursed. If you booked through their web sites it looks like you are up the proverbial creek without a paddle. If you are already out of country they are saying that you may be able to stay in your hotel and to collect any receipts for expenses you may be forced to pay and the CAA will see to it that you get back. But again if you booked through the web site you may have to pay again for your hotel, the CAA will get you back, but then will bill you. I really feel sorry for all these folks. :(

[Disneybumble]

Just popped on to tell you about Jodie. But you know. I am delighted for her. Reading posts on another site is heart breaking. It's good news for Jodie but desperate times for others.

[MystikPiglit]

There's just been a discussion on R2. A bride-to-be rang in to say her party of 26 were due to go to her wedding in WDW on Oct 1st. :( She was advised that she may be able to transfer the whole package over to another company.
Good luck to anyone caught up in this mess.

[tb2830]

my fater in law flew out wednesday with tcd god knows how he is getting back

im so glad i cancelled my holiday for november

[Claire]

Oh that is good news, thanks for letting us know Mags :D

Have I missed an announcement? Can't find it anywhere.

[Wendy]

Have I missed an announcement? Can't find it anywhere.

Dawn posted this earlier


I've heard on another forum that Gavin is ringing round right now trying to salvage something.

and then Mags posted this earlier in the thread Claire :hug2:



And they are going via Newark which is great news. I am sure they are relieved.

Margaret

[MystikPiglit]

That is good news!

[Claire]

Mags posted this earlier in the thread Claire :hug2:
Thank you Wendy! I saw that post but didn't know who it was refering to! Fab news.

[Tink]

Nor I Claire. So our Jodie is safe then? Her holiday is intact and she is going to be able to go, yes? :unsure: (I need things clear and direct). :lol: :spring:

[Wendy]

Yes Tink, by the sounds of things they are still able to go :207: but with another airline and via Newark.

[Tink]

Ah, got it. :D Thanks for the clarification Wendy. :D Still the same time frame, so all her work on resorts and ADRs and stuff isn't lost, I hope!

Newark isn't so bad. We flew out of there (and back) to Ireland. :yes: Customs was essentially a walk through.

[Taja]

I'm so glad Jodie's holiday was salvaged! I know many others are affected, but after after following her pre-trippie, I feel I have a vested interest in her holiday! :lol:

Tracy, :fingers: for your FIL.

It's sad that companies are allowed to use funds paid for future goods/services to attempt to salvage current operations. It happens in many industries, not just the travel industry. I've had to work on many bankruptcy cases--not fun at all!

[Tink]

I think they should be made to service those packages/arrangements that have been made for a certain period of time, and to help those who won't receive their services due to the bankruptcy, find new arrangements. Perhaps if it were more difficult to file bankruptcy companies would be forced to be more responsible. :(

[Britchick]

i feel really sorry for anyone caught up in this, both staff and holidaymakers.

[Skywatcher]

I have to say I saw the interview with the chairman of XL at lunchtime and he was practically in tears - I know it is easy to blame people and point the finger at times like this but I did feel for the guy - it is simply a result of the economic situation we are in .

just my 2 pennies worth

[Ursula]

Miracle of miracles... I managed to get through to ATOL by phone!!!!!!! I have a claim form coming to me now.... they are in meltdown there though.

[Britchick]

I have to say I saw the interview with the chairman of XL at lunchtime and he was practically in tears - I know it is easy to blame people and point the finger at times like this but I did feel for the guy - it is simply a result of the economic situation we are in .

just my 2 pennies worth

i agree.

[Britchick]

Miracle of miracles... I managed to get through to ATOL by phone!!!!!!! I have a claim form coming to me now.... they are in meltdown there though.

didn't know you were affected hun, have you managed to sort it out?

[Ursula]

Well luckily my countdown is for next year with TCD so I have loads of time to sort something else out.

[Claire]

I have to say I saw the interview with the chairman of XL at lunchtime and he was practically in tears - I know it is easy to blame people and point the finger at times like this but I did feel for the guy - it is simply a result of the economic situation we are in .

just my 2 pennies worth

I couldn't watch him without welling up. He was practically a broken man.

[Ursula]

Apparently Virgins prices have shot up?... just hearsay I don't know for a fact though :( If that IS the case we will give Florida a miss for a couple of years and do the Caribbean or something else instead.... Florida will still be there years from now won't it.

[Jazmine]

I couldn't watch him without welling up. He was practically a broken man.

Yes i saw that interview too, and felt sad for him, but i feel so bad for all the others caught up in this, especially our own friends on this forum, glad you got sorted out Jodie, what a relief, hope everyone else involved manages to get it all resolved :hug2:
Jacqui xxx

[Claire]

Yes i saw that interview too, and felt sad for him, but i feel so bad for all the others caught up in this, especially our own friends on this forum, glad you got sorted out Jodie, what a relief, hope everyone else involved manages to get it all resolved :hug2:
Jacqui xxx

Sorry if I gave the impression I wasn't thinking of all the people innocently caught up in this. On the contrary. I've spent the day checking in here to see how things were going for our friends.

[Britchick]

Sorry if I gave the impression I wasn't thinking of all the people innocently caught up in this. On the contrary. I've spent the day checking in here to see how things were going for our friends.

i don't think anyone thought that Claire, everyone can see that so many people for different reasons have been affected by this. :p015:

[Tink]

Yes, Brit. :yes: Having compassion and seeing the distress in the chairman's demeanor does not take away from the concern for our friends here, and anyone affected by this. :yes:

[Claire]

i don't think anyone thought that Claire, everyone can see that so many people for different reasons have been affected by this. :p015:


Yes, Brit. :yes: Having compassion and seeing the distress in the chairman's demeanor does not take away from the concern for our friends here, and anyone affected by this. :yes:
Thanks guys. Just me being oversensitive! I've read stories today about brides having to get married without their bridesmaids or their family, brides not even able to get to their wedding destination, people turning up for work to find they have no job and no wage coming in this month as they expected and the chairman saying he had to face people today he'd worked with for 15 years and tell them it had all gone. So many sad stories.

[Tink]

That's the real heartbreak, isn't it Claire? :( It's hard enough to lose a holiday that one has worked and saved for and planned for heaven knows how long. There are people out there who have lost their jobs, have bills to pay, no income and who knows when they'll find new employment. As the chairman he's responsible. He has to bear the brunt of everyone's anger and disappointment. I feel bad for him too. :(

It's not like those Enron people who could not have cared less about the lives they destroyed. :(