On Friday October 8 Thomas Cook and Co-operative Travel announced plans to merge their retail businesses.
The deal would create the largest high-street agency chain in the UK, with 1,204 shops and a customer base of 4.3m. It is expected to generate savings of £35m a year.
Concerns about the merger were centred on shop closures and the health of the independent sector, with third-party operators facing the loss of Co-operative Travel as a distribution channel.
Co-operative Group head Peter Marks promised shop closures would be ‘fewer than 100’, while Thomas Cook chief executive Manny Fontenla-Novoa predicted redundancies would be in the hundreds rather than the thousands.
The deal
- Cook boss insists ‘the numbers work’ in Co-op merger
Manny defends deal at 2011 ITT Conference - Cosmos Co-op tour operation to close
Joint venture will not survive merger - Page & Moy calls for OFT probe into merger
Tie-up is ‘deeply anti-competitive’, says Burton - Manny dismisses ‘takeover’ claims
Cook CEO stresses commitment to Co-op brand - Critics ‘don’t understand the numbers’
Synergies will add total of £46m to companies’ profits - Greenacre apologises to staff for merger shock
Stock market rules prevented Co-operative Travel boss warning staff
Opposition
- Cook Co-op merger makes no sense, says Blastland
Tui Travel UK boss questions logic of deal - Aito agents to switch-sell Cook if Co-op merger is agreed
Survey finds 77% of members oppose tie-up - Operators warn Cook-Co-op merger will ‘foreclose large part of market’
At least nine firms make submissions to competition watchdog
Job losses and shop closures
- Freedom members could leave in wake of merger
Loss of independence leaves some agents considering departure - Hays Travel eyes disaffected agents
‘Opportunities’ for Co-op staff who opt to leave - Shopworkers’ union pledges to fight for jobs
USDAW positive about deal, but looks to minimise losses - Stoke MP demands meeting over jobs
Co-op’s Burslem headquarters to relocate - Shop closures will be below 100, says Co-op chief
‘There will be rationalisation, but it won’t be big’ - Job losses to be in the ‘hundreds’
Companies predict redundancy costs of £13m
The independent sector
- Merger ‘does not signal decline of independents’ – McEwan
But access to product could be an issue, says Advantage boss - Retailer to continue supporting indie operators
‘We will be pushing Thomas Cook, but not exclusively’ - Merger ‘good news’ for indie agents
Chance for independents to demonstrate quality of service - Agents give deal thumbs down in Gazetteers poll
Almost two thirds think merger is bad for industry
Analysis and key figures