Europe’s third-largest travel group has had to file for insolvency
As the Munich-based company announced, an application for insolvency was filed today, Monday. It was only in April 2024 that Europe’s third-largest travel group announced the entry of an investor group from the USA.
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However, despite the positive news, booking figures have fallen well short of expectations, according to a statement from FTI. In addition, numerous suppliers insisted on advance payment. The increased need for liquidity could no longer be bridged; filing for insolvency was unavoidable.
According to media reports, the sum involved is said to be in the high double-digit millions. Negotiations with the German government are said to have taken place at the weekend, but the government refused to provide financing.
Tours can no longer be organised
According to FTI, work is currently underway to ensure that trips that have already started can be completed as planned. Trips that have not yet started will probably no longer be possible or only partially possible from tomorrow (Tuesday, 4 June 2024). “We are currently working at full speed to ensure that journeys that have already started can be completed as planned,” the Group continued.
A dedicated website has been set up for affected customers: https://www.fti-group.com/de/insolvenz
According to the information provided, only the tour operator brand FTI Touristik is directly affected by the insolvency application. Subsequently, however, corresponding applications would also be filed for other Group companies.
The group includes FTI Touristik as well as the short-term tour operator 5vorFlug, the car rental agency Drive FTI, the destination planning company Meeting Point International, which is active at over 40 locations worldwide, and the tour operator for promotional goods BigXtra. In Austria, FTI Touristik is represented by a branch in Linz and employs 70 people. In total, the group has over 11,000 employees worldwide and generated consolidated sales of around 4.1 billion euros in the 2022/23 financial year.
Further information can be found at
https://www.fti-group.com/de/insolvenz
