United Kingdom
United States
Asia Pacific
Worldspan drops into red
Worldspan has blamed a $55.6 million refinancing charge for dropping the company into the red in 2005.
The GDS incurred a net loss of $0.7 million for the year but claimed that without the charge a profit of $54.9 million would have been achieved – a $13 million improvement over 2004.
A range of cost reductions including lower employee costs, communication and technology expenses, maintenance expenses and other expenses led to a 31% improvement in the 2005 operating income to $116.1 million.
Global transaction volumes remained unchanged at 2004 levels, while transaction volumes by online agencies grew by 5% but traditional agency volumes dropped by 5%.
The company reported a fourth quarter net loss of $3.2 million against a loss of $5.6 million in the same three months in 2004. Operating income was up to $10.5 million, a rise of $5.4 million. Global transaction volumes in the quarter were down by 4% year-on-year. Transactions by online agencies dropped by 4% and by traditional agencies by 5%.
Chairman, president and CEO Rakesh Gangwal said: “We are pleased with the continued growth of our operating income in the quarter, given a challenging revenue environment.
“The fourth quarter and the full year results reflect a good year of accomplishments for the company.”
Report by Phil Davies
Phil Davies
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
Boy falls to death on cruise ship
Turkish Airlines flight in emergency landing after pilot dies
Unexpected wave rocks cruise ship
Woman dies after going overboard in English Channel