Thomas Cook shares down 60% in 8 days
Thanks to Peter once again for a link to a BBC news story, reporting that Thomas Cook shares continued to fall today (Tuesday) and have now plunged by nearly 60% in eight days.
The travel company’s bonds also dropped in value and the cost of insuring its debt against defaulting on payments reached a record high. Concerns over its borrowings rose last week when it issued a second profit warning in two months and said profits would be £30m lower than expected.
Last week, the company said it was not in breach of its banking arrangements, but by late this morning, the firm’s equity market value had fallen to £363m.
Flybe losing £7000/hour
Meanwhile problems continue at budget airline Flybe, which has put itself up for sale – as reported in the Independent here.