600,000 tourists hit as travel firm collapse hurts Webjet
Online travel agent Webjet looks set to take an earnings hit and could write off $43.7 million following the collapse of UK travel company Thomas Cook.
Webjet says it had expected to earn between $150 million and $200 million in FY20 total transactional value from Thomas Cook, which owed Webjet about 27 million euros ($A43.7 million) when it collapsed on Monday.
The demise of the 178-year-old Thomas Cook is also expected to reduce the $27 million to $33 million in additional earnings Webjet had anticipated from its WebBeds accommodation business by as much as $7 million.
Thomas Cook, the world's oldest travel firm, collapsed today, stranding hundreds of thousands of holiday-makers around the globe and sparking the largest peacetime repatriation effort in British history.
The firm runs hotels, resorts, airlines and cruises for 19 million people a year in 16 countries.
It currently has 600,000 people abroad, forcing governments and insurance companies to coordinate a huge rescue operation.
The UK's Civil Aviation Authority said on Monday Thomas Cook had now ceased trading and it will work with the government to bring the more than 150,000 British customers home over the next two weeks.