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TUI starts review of mainstream business

Thursday, 20 October 20113 min read

TUI Travel PLC has promoted Johan Lundgren to the newly-created position of deputy chief executive.

Lundgren will now start a review of TUI’s Mainstream Sector businesses.

He is currently managing director of TUI Travel’s Northern Region within its Mainstream Sector and a PLC Board Director.

Following his promotion he will have overall responsibility for the Mainstream Sector of the Group.

Volker Bőttcher, managing director Central Europe, and Bart Brackx, managing director Western Europe, will now report into him.

David Burling, commercial director TUI UK & Ireland, is being promoted to managing director TUI UK & Ireland, and will continue to report into Johan.

TUI said in a statement that it is “developing its business model to focus on modern mainstream and the importance of online across the entire Group”.

It continued: “For the Group to operate with maximum efficiency and drive through necessary change more quickly, it will be taking a unified approach across its mainstream businesses.

“This means that, where it makes business sense, processes, core activities and best practice will be aligned. It will also help to ensure effective leveraging of scale across the Mainstream Sector.”

TUI chief executive Peter Long said: “As TUI Travel enters the next phase of its development it is important that our Mainstream Sector has common goals and focus. Johan, working with his other Mainstream colleagues, will ensure that the significant opportunities we have as market leaders in mainstream leisure travel are achieved.”

Lundgren, said: “Much good work has been done in the Mainstream Sector since the merger of First Choice and the tourism division of TUI AG.

“We do, however, need to capitalise on our strengths, for example in differentiated and exclusive product which is a critical part of our ongoing success and ensure that we continue to increase our controlled distribution particularly through online.

“Over the coming months, I will be to determine how best we can achieve our strategic goals.”

by Bev Fearis