STOCKHOLM, Sweden, Oct. 1, 2002 (PRIMEZONE) -- Fritidsresegruppen is buying Ticket's subsidiary that handles package tours on regularly scheduled flights and -- via Prisma (1), the new travel arranger -- is becoming a market leader in both Sweden and Norway.
Ticket, for its part, is streamlining its role as a retailer. The two parties are also signing a five-year agreement covering the sale of Fritidsresegruppen's trips at a fixed rate of compensation. In addition to sales via Ticket's 100 outlets, the agreement includes access to Fritidsresor's on-line reservation system via Ticket's own websites in Sweden and Norway.
Fritidsresegruppen is already a market leader in charter flights via Fritidsresor, in alpine skiing trips via Sportresor, and in tour trips via Tema.
"The market for flexible package tours based on regularly scheduled flights is as large as the market for charter flights and is thus a strategic complement to our core business," Anders Holst, president of Fritidsresegruppen, said. "Prisma, with its 140,000 travelers, becomes the market leader in both Sweden and Norway."
Ticket's president, Dag Tveteras, sees business opportunities for both parties: "We can focus more sharply on what we do best - on being the largest and leading travel retailer in the Nordic region. At the same time our arrangers of tours on regularly scheduled flights will have better opportunities to take advantage of the market potential as part of Fritidsresegruppen, which will also benefit Ticket. These products will continue to be an important part of Ticket's product mix."
Anders Holst sees advantages in continuing long-term cooperation between Ticket and Fritidsresegruppen and emphasizes the opportunities available in Prisma.
(1) Prisma, which is owned by Fritidsrese, is today the Norway's leading
arranger of tours on regularly scheduled flights. The brand being
acquired from Ticket is a so-called private brand carrying the
WorldWide name that will be rechristened Prisma.
"As a result of the acquisition," he said, "Fritidsresegruppen is gaining the strongest position in the market for travel on regularly scheduled flights, with the largest customer group, an experienced organization, a well-developed reservation system and skilled personnel. Combined with the Norwegian sister company we are creating a fine platform for continuing growth in the segment."
The five-year agreement specifies the forms applicable to Ticket's sales of Fritidsresegruppen's products: Fritidsresor/Star Tour, Sportresor, Tema and Prisma Sweden.
"We are very pleased with this since if offers long-term stability with assured levels of compensation," Dag Tveteras said.
Fritidsresor is Ticket's largest supplier while Ticket is Fritidsresor's largest partner among travel agencies.
It will also be possible for Ticket's customers to purchase Fritidsresor's tours on-line via Ticket's Internet pages in both Norway and Sweden as simply and conveniently as on Fritidsresor's own Internet page.
This strengthens Ticket's multichannel strategy which is based on the customer being able to obtain the same service on all channels. The on- line service is scheduled to be introduced during the 02-03 winter season. Sales of airline tickets and regular package tours via Ticket.se will continue as before.
The sale of WorldWide is expected to generate approximately SEK 26 M for Ticket. Ticket's capital gain is expected to amount to SEK 24 M.
The transaction is subject to approval by the Swedish Competition Authority.
Ticket is an independent retailer that markets and sells tours produced by players who compete among themselves. The business is conducted via more than 100 outlets in Sweden and Norway, Sales are also made via "virtual" telephone systems and Internet sites in both Norway and Sweden.
Fritidsresegruppen offers tours from Sweden, Norway, Denmark and Finland. The principal tour arranger is Fritidsresor/Star, Tour/Finnmatkat, the largest packager of tours in the Nordic region. The Group also provides tours through TEMA, Sportresor and Seniorresor. The Group includes Prisma, which arranges tours on regularly scheduled flights, and Brittania Nordic, a charter-flight company. The Group served 1.6 million travelers in 2001. Sales amounted to SEK 9 billion, with 2,300 employees. Fritidsresegruppen is a member of TUI, Europe's leading group in the field of tours and travel-related services, which has a 37 percent share of the European market.
For additional information, contact:
Anders Holst, President, Fritidsresegruppen: +46 8-720 74 70, or Lottie Knutson, Information Manager: +46 70-645 24 64. Dag Tveteras, President, Ticket Travel Group: +46 8-702 66 10 / +46 70- 313 71 60, or Katerina Petrini: +46 70-567 51 73
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