Thomas Cook's German subsidiary announces filing of insolvency

Thomas Cook's German subsidiary has announced it is filing for insolvency in an attempt to save its national brands after the collapse of the UK parent company on Monday Sep 23,2019

Almost 100,000 holidaymakers are traveling with the German affiliates and it is not clear what the bankruptcy proceedings will mean for them.

The German government has already granted a €380m (£335m; $420m) bridging loan to the holiday airline Condor.

Condor is 49% owned by Thomas Cook.

The central state of Hesse, where Condor is based, also stepped in to rescue the airline, arguing that it was profitable.

The company said it was "operationally healthy" and the six-month loan was aimed at preventing any "bottlenecks" resulting from its British parent company. The funding will be paid out pending an agreement with the European Commission.

Thomas Cook Germany is also based in Hesse and state premier Volker Bouffier said it was in principle willing to step in to help that company too.

It said that it had long been burdened by the weak Thomas Cook business in Great Britain and by Brexit.