AGORACOM Investor Relations is pleased to bring you this Industry Report pertaining to the travel industry and how it may impact Pro Travel Network.
It was announced yesterday that Conquest Vacations has suddenly ceased operations blaming a competitive market and “unreasonable demands” by some of its creditors. This could present oppotunities for Pro Travel to capture some of the Canadian market.
The 37 year old Toronto Company notified customers on its website that it will no longer be providing flights or package holidays.
In a statement by the company it said, "Unfortunately, this has been a result of overcapacity and price war among the major tour operators, unrealistic and unreasonable demands by the credit card processing companies, credit squeeze and economic turmoil in recent months."
Jacques Kavafian, an analyst at Research Capital, said it’s doubtful that many travelers would be stranded as a result of Conquest's abrupt shutdown because today marks the end of the busy winter travel season, which runs from Nov. 15 to April 15.
It is estimated that Conquest holds about a seven percent market share of the Canadian packaged holiday and posted sales of $200 million annually. While the economic downturn is wreaking havoc with the airline sector, Kavafian said it had been a relatively strong year for the Canadian packaged holiday market.
"It was a record year in volume," he said.
Conquest was founded by Robbie Goldberg in 1972. It competes with Transat AT Inc., Sunwing Vacations, Sunquest Vacations and the packaged holiday arms of Air Canada and WestJet, among others.
To access the article in its entirety click on: http://www.thestar.com/Business/arti...
AGORACOM is pleased to have brought you this Industry Report pertaining to the travel industry and how it may impact Pro Travel Network. Feel free to comment on this article or any other facet of business pertaining to Pro Travel Network on the Discussion Forum on Pro Travel's investor relations hub with AGORACOM.
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