Partner Article

Travel company Bowen calls in administrators

Travel company Bowen have called in administrators Deloitte at the risk of cutting nearly 450 jobs.

The Loughborough-based firm announced on Friday that it would retain a skeleton staff of around 55 people, and administrators Matthew Cowlishaw and Dominic Wong are in the process of contacting staff.

The holiday firm is made up of six companies and operates a fleet of 132 coaches and 33 MPVs, alongside a retail travel agency arm with 38 stores.

Administrator and partner in Deloitte’s restructuring services team, Matt Cowlishaw, said: “After exploring all possible avenues for the future of the group, it became clear that due to lack of funds it would be unable to continue to trade.

“As a result an orderly closure is being implemented. We are working hard to assist the 393 employees with generating claims through the Redundancy Payments Service.

“We are also seeking a sale for the assets of the group in order to retrieve as much value as possible for creditors.

“Customers will receive a letter during the coming days providing information and advice for claiming a refund for unfulfilled holidays. We are also seeking an alternative coach operator to fulfil forthcoming trips and ensure minimal disruption for holidaymakers.”

A slowing demand in the tourism and leisure industries has impacted Bowen and resulted in severe cash flow issues.

All four of the groups trading firms halted trading on Thursday after it was unable to pay staff.

This was posted in Bdaily's Members' News section by Miranda Dobson .