Thomas Cook announces Essential Travel aquisition

THOMAS COOK ANNOUNCES FINANCIAL SERVICES ACQUISITION

Thomas Cook Group plc ('Thomas Cook' or the 'Group') announces today that it has agreed to acquire 100% of Think W3 Limited, the owner of Essential Travel. Essential Travel is one of the UK's leading online providers of travel-related products, including travel insurance, airport parking and airport hotels.

Essential Travel was established in 2001 as a business-to-business supplier of white label travel insurance solutions for online travel providers. Today the business also sells directly to consumers through more than 70 specialist websites under a range of different brands. It is asset light, almost entirely online and fully scalable.

The acquisition supports Thomas Cook's strategy to become a leading, travel-related financial services provider. In particular, the acquisition provides the Group with a platform to accelerate the growth of travel-related services online.

For the financial year ended 31 March 2009, Essential Travel had gross assets of £2.5m. The business is currently owned by the management team and the acquisition will be funded from existing cash resources.

The acquisition is conditional upon FSA approval and is expected to complete shortly.

Manny Fontenla-Novoa, Group Chief Executive, Thomas Cook Group plc said: 

"We are delighted that Essential Travel will join the Thomas Cook Group. We continue to believe a strong position in the direct travel insurance market is strategically important. Furthermore, we expect that together with the experienced directors of Essential Travel, we can build upon our respective strengths to enhance Thomas Cook's position in both travel insurance and other travel services such as airport parking and airport hotels."

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About Thomas Cook Group plc

Thomas Cook Group plc is one of the world's leading travel groups with sales of £9.3 billion and 22.1 million customers. The Group operates under five geographical segments in 21 countries, and is number one or two in all its core markets. Its business is supported by 31,000 employees, a fleet of 94 aircraft and a network of over 3,400 owned and franchised travel stores.