The well known UK holiday company TUI Travel has now come forward to announce that it has taken measures to help itself refinance a £900 million pound shareholder loan. This called for the cancellation of 10 of the 23 orders the company had with Boeing for its 787 Dreamliner.

These refinancing measures went as far as to raise £440 million by way of convertible bonds and additional bank facilities. The company also deferred repayment of a £150 million shareholder loan past 2011. The group went on to say, as a kind of trading update, that the booking volumes for the winter remain very low when compared to last year. Although the early bookings for the summer of 2010 remain in line with the year before and the average selling prices are up 4 percent, the company fears the worse for the winter.

TUI Travel did go on to say that it continues to believe that the Dreamliner is the ideal aircraft for its long haul flights. However, after extensive talks with Boeing, it has had to cancel ten of its orders. They also went on to note that they had to add purchase rights, with no obligation, to 13 787 aircrafts.

Experts have come forward and said that they are not surprised by this move at all. Many other holiday groups have had to do a lot more than just simply canceling orders to stay alive in the current economic environment. Although they do not think that the worst is over for TUI Travel, they do feel that this is a good start to fighting off the remainder of the recession, which will hopefully start coming to a close next year.