Thomas Cook finding it tough to get out this mess and risks collapse

178- year-old Thomas Cook shares were branded worthless yesterday, which triggered a collapse in the value of UK’s oldest travel business and alarming customers scheduled to go on holiday this summer to its ,holiday resorts around the world.

The iconic groups shares fell 40 per cent after Citigroup said it was at risk of vicious circle “ Thomas Cook’s outlook was significantly weaker . After Thomas Cook reported a pre-tax loss of £1.5bn this week it was revealed that its auditor had noted material uncertainties over the successful sale of the group’s airline business which are worth £738m, but its debt is around the same and implies zero equity value and its  new £300m bank facility depended on it .

Thomas Cook says Brexit hitting holiday plans  and it has to close stores and cut jobs.  Thomas Cook is in the process of seeking bidders for its fleet of 105 jets as it proposes to raise funds for the business

It blamed a series of problems for its profit warnings, including political unrest in holiday destination like Turkey and last summer’s prolonged heat wave and customers delaying booking holidays due to uncertainties of Brexit.