United Kingdom
United States
Asia Pacific
Troubled Telewest to axe 1,500 staff
Cable operator Telewest is to merge its consumer and business divisions and axe 1,500 staff, it announced yesterday.
The company hopes the move will lead to savings of up to £50million in the next 12 months.
However, as the company has debts of £5.3billion further changes will also have to be made. There are increasing calls for a debt-for-equity swap, which would leave bondholders owning most of the company.
The company’s massive amount of debt meant that despite releasing good results for the first three months of the year, Telewest’s share price did not improve. On Friday morning Telewest shares were trading at 10 pence, compared to highs over £5 in 2000.
Core profits for the first three months of 2002 rose 34% to £91m, compared with £68m in the same period last year. Sales grew 4% to £334m, although this was due to revenue from domestic customers which was up by 11%. In contrast revenue from business customers was down by 6%.
See our previous stories:
03 May 2002: New Telewest service aims to speed up viewdata
18 Apr 2002: Viewdata to stay, say industry heavyweights
01 Mar 2002: Telewest reports better than expected results for 2001
28-Feb-2002: TravelMole Interview: Lawrence Hunt, Rapid Travel Solutions
25 Feb 2002: Rapid secures lastminute.com technology deal
29 Jan 2002: Telewest and X-TANT in MyTravel row
14 Jan 2002: Telewest ready to launch leisure GDS
04 Jun 2001: Viewdata’s days numbered as Telewest buys Rapid Travel Solutions
Related News Stories:
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
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
Unexpected wave rocks cruise ship
Storm Lilian travel chaos as bank holiday flights cancelled