Mega Merger Means Cheaper Travel

Paris, France
May 31, 2007

The European Commission has just given its blessing to the merger of travel groups Thomas Cook and My Travel, pending the latter's shareholder agreement. This will create a company of 33,000 employees dealing with 19 million passenger trips a year and an annual turnover of 12 billion euro. Whether or not this is fair trading-the two companies along with TUI and First Choice control the market in the whole of Ireland and look set to dominate Belgium-remains to be seen.

The merger on June 19 to form the new group, called Thomas Cook plc, will be 52% held by Karstadtquelle (holding 100% of the current Thomas Cook company) and 48% by My Travel shareholders. If the merger is successful and results in a reduction in overheads, travelers can expect to find cheaper deals.

Other news from the Continent will help to uphold the French reputation for good living. The George V hotel (with rooms from $983) near the Champs Elysées in Paris, has just been voted "Best Palace in the World" in a survey run by the Zagat guide in the U.S. The title of "Best Restaurant in the World" goes to La Maison Troisgros, in Roanne (about 50 miles northwest of Lyon).

Best regards,
Maria Savage
European Consultant