half yearly

Well the longer things go the more things stay the same... another loss for TVL ($313868). This is an improved result on the corresponding period in '04, but still a loss all the same.

It would not have been a loss but for an extraordinary writedown of $540146 of an "imparement of receivables". Apparently these receivables were from lastminute.com and could not be recovered due to their complexity.

Offline revenues continue to decrease as online revenues continue to increase. Revenues for travel.com.au are 10.2% lower than last year, but revenues for lastminute.com.au are 50.1% higher than last year.

Making travel.com.au profitable is a priority in the new year along with moving operational and administrative systems to Australia, but these actions will are "likely to constrain full year profitability".

It is interesting that travel.com.au became the travel supplier to yahoo7.com.au and is pursuing similar affiliate opportunities. It is about time that some new relationships were formed. They are just not doing so well on their own with zilch marketing.

There is a 1 for 7 renouncable rights issue to raise money to help transition technology and operations of lastminute.com.au from the UK to Australia, provide additional cash reserves given that current reserves are in the lastminute.com joint venture and to provide additional cash reserves to buffer the company in the event of a downturn or external shock.

So I suppose they are heading in the right direction, but it is awfully slow. It will be interesting to see how the market reacts tomorrow. This will probably make no difference as the news is much the same as before...