First Choice Holidays is trading in line with its expectations, with summer sales at its mainstream tour business improving and its specialist and activity holidays selling well, the company said today.
First Choice said sales of summer holidays at its mainstream business were flat, compared with a 5 per cent fall reported with its annual results in December.
Summer sales of its activity holidays were up 5 per cent and its specialist holidays up 25 per cent, the firm said in a statement ahead of its annual shareholder meeting.
"We...are satisfied with our current performance and remain confident that we will make further progress throughout the remainder of the year," it said.
Tour operators are struggling with the growing challenge from low-cost airlines and the Internet. First Choice has responded by focussing on specialist holidays, such as skiing, sailing and trekking.
Rivals MyTravel and Thomas Cook agreed last month to merge. MyTravel had previously been in talks to buy First Choice's mainstream holiday business.
First Choice also said it had exercised options to buy a further four Boeing 787 aircraft. In July 2004, it signed up for six 787s with options on a further six. It has now exercised all six options.