Press Release: Thomas Cook Holdings
November 9, 2000
LONDON -- Management of Thomas Cook Holdings yesterday announced the sale of its Global & Financial Services
division to U.K.-based financial services company and currency exchange competitor Travelex for 440 million pounds
(approximately USD$631 million). The transaction is subject to regulatory approvals, including the approval of
the European Commission.
The sale of the division follows a major strategic review begun by Thomas Cook management last year. The study
concluded the company's long-term interests would be best served by selling the division and focusing efforts on
building the core travel businesses. The search for a buyer was begun at that time.
The sale transfers to Travelex several Thomas Cook operations, including: a Corporate Foreign Exchange business;
Global Services, a worldwide traveler assistance service (marketed in the U.S. through Carlson Wagonlit Travel
associates); MoneyGram, a consumer money transmission business; Visa TravelMoney, a prepaid card service; a Travelers
Check operation; and a network of over 300 foreign exchange bureaus including a presence at over 30 major airports
and ports.
Thomas Cook's travel agency businesses will continue to offer foreign exchange, travelers checks, money transmission
and global services to customers. Travelex has the option to continue operating the acquired businesses under the
Thomas Cook name for up to six months.
This deal is unrelated to any developments regarding Thomas Cook Holdings' overall ownership structure. Former
majority owner Preussag of Germany is currently in the process of divesting of its 50.1 percent shareholding in
Thomas Cook in order to allow its subsequent acquisition of the Thomson Travel Group. Shareholder Westdeutsche
Landesbank of Germany (because of an affiliation with Preussag) must also divest of its 27.9 percent shareholding
in Cook. Both organizations are currently in discussions with Carlson Companies, Inc. of Minneapolis, which currently
owns 22 percent of Thomas Cook but has an option to acquire the shares available.
SOURCE: Thomas Cook Holdings