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TUI axes summer capacity by 12%
TUI Travel is to slash capacity by 12 per cent next summer in an attempt to improve profitability across its merged Thomson and First Choice brands.
The company made the announcement in a trading statement that also revealed sales for Summer 07 remained flat (see separate story).
Most of the cuts will be to short-haul destinations, with Thomson’s unprofitable scheduled routes being axed.
A statement from the company said: “As we continue our post-merger 100 day review, we are exiting unprofitable lines of business for summer 2008 wherever possible…..UK capacity will be down 12 per cent as we scale back the loss-making scheduled flying programme within Thomson.”
A spokeswoman for the company said it was refusing to give any more information at this stage.
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