First Choice lifts profits in tough year

UK tour operator First Choice Holidays posted an increase in profits today as even more holidaymakers packed their bags for long-haul destinations.

The company, which is currently in talks to offload its package holiday arm, said full-year pre-tax profits were up 2% on last year to £117.2m (€173m).

In October, First Choice admitted bird flu scares in the eastern Mediterranean coupled with recent airport security alerts would impact on full-year profits.

The firm reiterated today it had been a tough year for the leisure travel industry, but still reported a 35% increase in bookings for long-haul destinations.

It also warned of challenging times ahead, although it said continued demand for long-haul breaks had sparked an order for two new Boeing 787 aircraft.