Dart Group PLC AGM Statement and Proposed Name Change (8613X)

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RNS Number : 8613X

Dart Group PLC

03 September 2020

3 September 2020

Dart Group PLC ("the Company")

Annual General Meeting Statement and Proposed Name Change

At the Company's Annual General Meeting today, Philip Meeson, Executive Chairman, will make the following statement:

"After grounding our aircraft fleet in mid-March, we were pleased to resume operations on 15 July, gradually ramping up Summer 2020 flying to approximately 40% of our planned destinations for August, ensuring we could provide as many of our customers as possible with their well-deserved and eagerly anticipated summer holidays.

Whilst there have been setbacks, such as the imposition of quarantines and evolving guidance from the UK Government, we have been satisfied with the average load factors and financial contribution achieved to date and will continue to add further capacity, as appropriate, for the remainder of Summer 2020, supported by our quick to market, flexible operating model.

Winter 20/21 forward bookings have yet to match our revised on-sale seat capacity, with customer bookings displaying a shorter lead time than in previous years. Therefore, pricing for both our leisure travel products - end-to-end package holidays with Jet2holidays and flight-only seats with Jet2.com - will need to remain consistently enticing.

For Summer 2021, we plan to fly to all our popular leisure destinations with an appropriate, tailored level of service, which we anticipate will be close to Summer 2019 seat capacity levels. Bookings to date are encouraging, with average load factors ahead of the same point last year and package holiday customer numbers as a proportion of total departing customers showing a material increase.

As at 28 August, our Total Cash balance was GBP1,064m, with an 'Own Cash' balance (excluding customer deposits) of GBP629m (at 31 March 2020: GBP1,387m and GBP520m respectively). Additionally, the Bank of England Covid Corporate Financing Facility of up to GBP300m of funding is currently unutilised. We will continue to take every step necessary to preserve cash and enhance liquidity to ensure both Jet2.com and Jet2holidays are equipped to deal with this most challenging of trading environments and also best positioned for a return to full operations in a stable financial position, to the benefit of all stakeholders. The Board will provide a further trading update on publication of its interim results on 19 November 2020."

Following the sale of our Distribution and Logistics business, Fowler Welch, earlier in the year, the Company has applied to Companies House to change its name to Jet2 plc reflecting the continued focus on its longer-term strategy of growing its leisure travel business.

We are delighted to announce that Stephen Heapy is appointed Chief Executive Officer of Jet2 plc. Philip Meeson will remain Executive Chairman.

This is an exciting day for our Company. Our business has evolved significantly over the last decade and we believe now is the right time to align our Group name with the brand under which our business is delivered. Whilst what we are called is changing, the way in which we do business will not alter as our "Customer First" strategy will remain consistent. The combined power of our proposition, product and people is what will fuel our ongoing success, as we constantly seek to improve our customers' holiday choice, experience and enjoyment, giving us the greatest opportunity to retain and attract new customers - the key to continuing profitable growth!

Our long-term ambition therefore remains - To be the Leading UK Leisure Travel Business."

The restrictions on working that have been imposed by Companies House in response to the Covid-19 pandemic have resulted in a delay to their processing of change of name applications and the Company does not yet have a firm date when this is expected to be completed. A further announcement will be made once the Company has received its change of name certificate and the change becomes effective.

For further information please contact:

 
 Dart Group plc 
  Philip Meeson, Executive Chairman 
  Gary Brown, Group Chief Financial 
  Officer                                0113 239 7817 
 Cenkos Securities 
  Nominated Adviser 
  Katy Birkin/Russell Cook/Harry 
  Hargreaves                             020 7397 8900 
 Canaccord Genuity 
  Joint Broker 
  Adam James                             020 7523 8000 
  Arden Partners 
   Joint Broker 
   Paul Shackleton/Daniel Gee-Summons     020 7614 5900 
 Buchanan 
  Financial PR 
  Richard Oldworth                       020 7466 5000 
 

Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement.

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September 03, 2020 02:00 ET (06:00 GMT)