Risk Warning

I agree

Prime Markets in the Press - Tui Travel (TT)

06/10/2010

WYN ELLIS| NUMIS

Demand has held up well over the summer and TUI appears to be encouraged by the apparent return of consumer confidence. Additional restructuring is required however, notably at Corsair (possibly£60m) and in the UK (around £20m). High levels of exceptional costs are a sadly recurrent feature.

CHRIS ALEXANDER| BNP PARIBAS

This morning’s update strikes a more confident posture than that from Cook last week. In bookings terms, the summer was OK, but winter bookings are better – TUI has probably out-performed Cook and raised market share. In the near term we see few catalysts to lead to a material revaluation.

RICHARD CURR| PRIME MARKETS

Tui Travel has well and truly caught the market napping this morning, with a real humdinger of a trading update. the group has taken advantage of tough trading conditions to build market share as smaller operators struggle and fail, and with net debt reduced and positive noises for summer 2011, shareholders should see some decent gains in coming weeks.

City AM

 

Securities and Derivatives markets may be subject to rapid and unexpected price movements and past performance is not necessarily a guide to future performance. Trading in these markets is generally considered to be suitable only for the more experienced investor as it carries a high degree of risk. An investor may not receive back the amount of their original investment and in certain circumstances may be liable for a sum that is greater than their original investment. If in any doubt, please seek independent financial advice.