September 25, 2019 – The Croatian Ministry of Foreign Affairs and Ministry of Tourism released a joint statement on Wednesday about the collapse of Thomas Cook and its effect on Croatia.
This week opened with the news that Thomas Cook, one of the world’s oldest and most renowned travel agencies, declared bankruptcy and ceased all operations.
“Despite significant efforts, discussions did not result in an agreement between the company’s stakeholders and new investors,” the company said in a statement. “The company board, therefore, concluded that they had no choice but to take steps to introduce mandatory liquidation with immediate effect.”
The company filed for liquidation with the United Kingdom Supreme Court on Monday.
“Despite great efforts over the course of several months and intense negotiations in recent days, we have not been able to reach an agreement to save our business. I know this outcome is devastating and will cause a lot of people anxiety and stress,” CEO Peter Fankhauser said Monday morning.
Executives tried raising the additional $250 million needed to save the company over the weekend, but failed due to many complications and the amount of money invested.
The collapse of the UK-based company, which was founded in 1841, left thousands of people abroad unable to return to their homes. The U.K. government is currently working on a plan to rescue all tourists who have been stranded abroad in what they are calling “Operation Matterhorn”. This included 190 Thomas Cook passengers in Dubrovnik on Monday, who arrived Sunday by plane from Manchester.
Thus, HRTurizam reports that the Croatian Ministry of Foreign Affairs and Ministry of Tourism released a joint statement on Wednesday about the collapse of Thomas Cook and its effect on Croatia
“We are extremely sorry to hear the news of the Thomas Cook closure, which has a long tradition and experience in tourism. What is extremely important is that none of their guests currently in Croatia will be harmed or neglected. The UK government will take care of the flights to bring all tourists back home, while the UK government’s insurance agency will cover the cost of accommodating tourists,” reads their statement regarding the demise of Thomas Cook.
Although there were indications that the worst-case scenario could occur, it was still expected that Thomas Cook would be able to stabilize itself, i.e., raise enough capital to continue. However, one of the oldest and most famous travel agencies in the world was unable to adapt to new circumstances and market trends. The competition will certainly fill the hole left by Thomas Cook, but this sobering news is a sharp warning sign for all airlines.
“When it comes to the current and future impact of Thomas Cook’s shutdown on the arrival of British tourists to Croatia, we want to emphasize that there are a number of quality British tour operators with tours to Croatia, that is, we believe that this situation will not significantly change the situation with the UK as a major market,” the statement continued.
The Ministry of Tourism added that they are in communication with the hotels so that all guests are informed promptly about the current situation to ensure they can continue their stay in Croatia smoothly.
“The Ministry of Tourism and the Croatian National Tourist Board, as before, will continue to promote Croatia intensively on the UK market, which is one of our most important markets, and carry out activities related to strengthening air connectivity. That is why we believe that in the coming years, Croatia will be one of the most popular destinations for guests from the United Kingdom,” the joint statement concluded.
About 800,000 tourists from the United Kingdom have visited Croatia so far this year, generating about 4.1 million overnight stays, which is up 4% and 3% respectively from last year.
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