United Kingdom
United States
Asia Pacific
Doubt hangs over STA Travel as parent company files for insolvency
The future of STA Travel is under threat after the agency’s parent company filed for insolvency.
In a statement issued by Switzerland-based STA Travel Holdings, the firm said it had no option but to appoint an external administrator who will ‘determine the next steps’.
It is unclear what that means for STA’s 200 shops – of which 52 are in the UK – although the statement said local operations around the world ‘may continue’.
More information was being sought from the UK operation about the ramifications.
STA Travel has an Atol licence to carry just over 34,000 passengers.
STA parent, Diethelm Keller Group, said the company has not been immune from the ‘global magnitude of the pandemic’.
“It has brought the travel industry to a standstill, including STA Travel,” the statement said.
“Over recent months, the company took decisive measures to secure the business beyond Covid-19. However, sales have not picked up as anticipated, due to consumer uncertainties, further restrictions and renewed lock-down measures, which are expected to largely continue into 2021.
“As a consequence, STA Travel Holding AG, is filing for insolvency. In the next few days, an external administrator will take over and determine next steps.
“While the parent company STA Travel Holding AG in Switzerland is affected, local day-to-day operations by STA Travel may continue around the world. STA Travel Holding AG very much regrets to not have been able to secure the future of the business under these unprecedented circumstances.”
According to Diethelm Keller, STA was established in Australia in 1971 although the STA Travel website said it was formed in 1979.
By Steve Jones, Contributing EditorÂ
Related News Stories:
Bev
Editor in chief Bev Fearis has been a travel journalist for 25 years. She started her career at Travel Weekly, where she became deputy news editor, before joining Business Traveller as deputy editor and launching the magazine’s website. She has also written travel features, news and expert comment for the Guardian, Observer, Times, Telegraph, Boundless and other consumer titles and was named one of the top 50 UK travel journalists by the Press Gazette.
Kittipong Prapattong’s Plan for Thailand’s Tourism Growth: Taxes, Visas, and Campaigns
James Jin: Didatravel’s Journey from China to Global Reach and the Impact of AI on Travel
Darien Schaefer on Pensacola’s Evolution: From Small Town to Global Destination
Florida Tourism’s Next Frontier: Dana Young on Expanding Beyond the Classics
Patrick Harrison on Tampa Bay Tourism’s Resilience and Marketing Strategy
Bubba O’Keefe on Clarksdale’s Vibrant Music Scene
Commemorating Elvis and Embracing Tupelo’s Culture with Jennie Bradford Curlee
Craig Ray and the Expansion of the Blues Trail
Presenting Mississippi’s Cultural Trails with Katie Coats
Robert Terrell: A Journey Through BB King’s Influence
Rochelle Hicks: Celebrating Mississippi’s Musical Legacy
Exploring Jacksonville with Katie Mitura: The Flip Side of Florida
BA pilot dies during layover
Dozens fall ill in P&O Cruises ship outbreak
Turkish Airlines flight in emergency landing after pilot dies
Boy falls to death on cruise ship
Protestors now targeting Amsterdam cruise calls