Thomas Cook offloads ancillary products unit

11th Dec 2013 15:06

Thomas Cook has sold its ancillary travel products business, Essential Travel, to the Holiday Extras Group for 2.1m pounds. The FTSE 250 group's sale of Essential Travel, which provides services such as airport parking and travel insurance, will result in a loss on disposal of £15m principally arising from goodwill recognised at the time of acquisition in March 2010.As a consequence of the sale Thomas Cook has agreed that Holiday Extras will be its exclusive distributor for its UK business of these ancillary travel products, inlcuding airport and cruise terminal parking, airport hotels and lounges and travel insurance.Group Chief Executive Officer Harriet Green said: "Further to our recent results announcement, I am pleased to report yet more progress as we deliver the rapid transformation of Thomas Cook. "The sale of Essential Travel builds on our previously announced strategy of simplifying our brands and applying an intense business focus on our core assets to deliver sustained profitable growth."Essential Travel business is based in London and operates with 20 people.OH