MyTravel Group plc for the financial year having ended on 31 October 2005 announced the clossure of 110 Going Places…
MyTravel Group plc for the financial year having ended on 31 October 2005 announced the clossure of 110 Going Places stores this month.
It has been MyTravel`s intention to reduce the number of Going Places shops to around 500 by 2007. In view of the continuing growth of internet sales UK internet bookings reached 16% in October this year, compared with 9% in October 2004 – the Board decided to bring forward its planned realignment of its distribution channels.
As a result of these closures, the Going Places estate will be reduced to approximately 500 shops by year end 2006. All of the Going Places employees affected by these closures will be offered similar employment within the Group.
This decision will result in improved operating performance of approximately £10 million on an annualised basis. The cost of these closures will be taken in 2005 as an exceptional item of £14 million, of which £4 million is non-cash and the balance is included in our existing cash projections.
Theodore is the Co-Founder and Managing Editor of TravelDailyNews Media Network; his responsibilities include business development and planning for TravelDailyNews long-term opportunities.
