Travel and insurance firms in the front line of Thomas Cook fallout
This weekend’s demise of Thomas Cook has rearranged the top of the FTSE losers and gainers table this morning and the score is as follows: travel firms score, insurance lose.
The tour group went into compulsory liquidation over the weekend after last ditch rescue talks failed, cancelling all of its flight and hotel bookings. In a larger scale replay of the collapse of Monarch airlines a few years ago thousands of travellers were left stranded, leaving the UK Civil Aviation Authority to repatriate some 150,000 passengers.
Insurance firms are already reeling from the bill that could potentially head their way with RSA Insurance, Prudential and high street banks all trading lower.
Travel group TUI spiked 8% assuming that it will pick up a large portion of Thomas Cook’s holiday traffic in the future.
Source: cityindex