GOLDTRAIL HOLIDAYS IN ADMINISTRATION

[watcher72]

The travel press are reporting that Goldtrail Holidays have gone into administration this evening (16/07/10).

Thousands of customers abroad at the time.

Definitely not good for Humberside but will be interesting to see who might step in ?

[Humberside]

Firstly lets hope that everyone who is on holiday can complete their holiday and that those with forward bookings can get refunds

As for replacing Goldtrail, will anyone? Very late this summer now - should help h4u fill their short notice extra DLM flight. As for next summer h4u will cover Bodrum, and I'm not convinced anyone will add an extra DLM. Maybe there has been too much capacity to Turkey?

If HUY is to take any positive from this, it is that the affect on passenger numbers will be 'got out of the way' this summer mostly. Though it does of course mean this summer as a whole will see a decline in passenger numbers, rather than the hoped for stagnation

[Deleted]

What has to be taken from the situation is the market that Goldtrail fulfilled was as a low cost holidays provider. That is the reason why the main operators don't take the slack as its not worth it to them. Its all well and good Goldtrail flooding HUY with flights to Turkey but it didn't last at rock bottom prices. Hopefully h4u won't expand at the same rate as Goldtrail have over the past few years around the country, after all they cover the same low cost market.

[kirmingtonuser]

That is a perceptive reading of the situation.
It had occurred to me that Goldtrail was unusual in failing in mid-July. Failures in this segment of the travel industry usually seem to happen in the autumn when the revenue stream is drying up and the unpaid bills are rolling in.

[Humberside]

h4u are pretty much doubling their HUY capacity next summer, but one would hope they can take the chance to increase their prices. Likewise the same for remaining capacity this summer

[pug]

What has to be taken from the situation is the market that Goldtrail fulfilled was as a low cost holidays provider. That is the reason why the main operators don't take the slack as its not worth it to them. Its all well and good Goldtrail flooding HUY with flights to Turkey but it didn't last at rock bottom prices. Hopefully h4u won't expand at the same rate as Goldtrail have over the past few years around the country, after all they cover the same low cost market.

Goldtrail never 'flooded' HUY. As far as im aware, every flight that went on sale with them from HUY actually went ahead as planned, which is different from their other regional airports served. They were known to announce flights from regional airports only to move them to a bigger airport closer to the time.

There is clear demand from HUY for these flights, not because the holiday is cheap to buy, but Turkey is outside of the Eurozone and is still relatively cheap.

I agree that the prices for holidays were unsustainable, and hopefully the other operators will learn from this and raise their prices to more profitable levels. I fully believe that HUY management will be out actively courting some replacement as it would seem the market will be underserved come next year. Its a shame for all of those affected by this too.

[elmfield]

As I understand matters,the problem seems to be more of a personal nature, with the company having taking bookings for some two years after it was first revealed they had financial problems. Unless the law has changed it is illegal to knowingly continue to trade when you cannot meet your debts!