TUI AG said it plans to generate 1 billion euros ($1.3 billion) in operating profit by 2015 and resume its dividend as new Chief Executive Officer Friedrich Joussen overhauls Europe’s largest tour operator.
Joussen, who took over from Michael Frenzel in February, will cut administrative costs and jobs at the corporate headquarter in Hanover, Germany, reduce interest costs to about one third of the current 160 million euros each year, lower the number of hotel brands and restructure its Hapag Lloyd cruise business, he said in a statement today.
TUI, which last paid a dividend in 2008, has been struggling to maintain profitability as consumers increasingly book flights and hotels on the Internet, and TUI failed to build up a strong presence in the thriving market for cruises. TUI had a net loss in three of the past seven fiscal years, and investors have labeled Frenzel’s reign as two lost decades.
Read full story at：http://skift.com/2013/05/15/tuis-new-ceo-plans-operations-overhaul-with-1-3-billion-profit-goal/
