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]

for a good outcome.

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

[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.

[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.

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.