The Minneapolis-based TMC, generally agreed to be the second largest corporate travel brand in Europe, has forged recapitalisation agreements with banks representing more than 90% of its debts.
 
Key terms of the agreement with bankers Barings and others include:
 
* Adding $350 million of new equity capital and “substantial long-term liquidity”.

* Eliminating almost $900 million of debt with new credit. 

* Providing for all business partners and other providers of goods and services to CWT to be paid in full.
 
CWT said it expected to begin soliciting formal approval of the plan from existing financial stakeholders in the next few weeks and to finalize it later this year.

Michelle McKinney Frymire, CWT chief executive, said: “Implementation of this agreement will enable us to move beyond the pandemic, accelerate investments that create industry-leading experiences for our clients and travellers and position CWT to benefit from the recovery already underway.

“With travel demand now increasing, the actions we are taking will enable us to build on our industry-leading position.”