The Eindhoven travel organisation Vacansoleil is having financial problems. The camping holiday provider has requested a deferment of payment from the court. That is often a precursor to bankruptcy. Vacansoleil employs 300 employees.
The company says that it has been under heavy pressure in the past period. Vacansoleil had built up a large debt burden. After the outbreak of the corona pandemic, sales of camping holidays collapsed and the company needed additional financing.
Now that interest rates have risen, the mountain of debt for the company has become unsustainable. High inflation also caused problems, Vacansoleil reports.
Negotiations
The company had previously taken measures to reduce debt, cut costs and increase sales, but without success. A possible buyer was also sought, but negotiations about this failed. The company works with a caretaking administrator to determine whether the company still has a future.
About half a million people go on holiday every year through Vacansoleil, founded in 1969. In the event of bankruptcy, customers who have made a down payment are likely to be compensated. The company is affiliated with the Stichting Garantiefonds Reisgelden (travel guarantee fund, SGR), which reimburses customers of travel organisations in the event of bankruptcy.
Corona
According to a company spokesperson, many debts date from the period before the corona crisis. Then Vacansoleil suffered losses for several years in a row. A reorganisation was supposed to improve things, but the pandemic once again caused financial problems.
“We made a profit this year and last year from normal business operations. But that is without interest payments. You have to pay the interest costs from the past from that profit”, the spokesperson explains.
An uncertain period is beginning for the 300 employees of Vacansoleil. The intention is for the administrator to work with the company’s management to determine what future options still exist.
Source: Studio040
Translated by: Bob
