Last checked at 31 Mar 2022 07:00
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION
Trainline plc ("Trainline" or the "Company")
Amendment to Trainline's third-party retail licence agreement
31 March 2022
Trainline has reached agreement with Rail Delivery Group (RDG) on a memorandum of understanding (MOU) to amend its third-party retail licence. The MOU is an output from RDG's review of rail retailing in the UK. Trainline and other third-party retailers will now enter into a collaborative phase of engagement with the RDG on new contractual licence terms.
In the event new contractual terms cannot be mutually agreed, under the provisions of the MOU, RDG has the right to implement a legally binding minimum set of commercial terms. The Company estimates this would result in a c.0.25% net reduction in commission rate for Trainline, effective 1 April 2025. The minimum terms applicable to Trainline include:
§ A 0.5% reduction in the base B2C online sales commission rate, from 5% to 4.5%
§ An offsetting removal of central industry costs. Trainline estimates this to be c.0.25%.
Jody Ford, CEO of Trainline said:
"This is a step forward in providing greater certainty to Trainline. It allows us to invest further in product innovation and marketing to encourage more people back to rail. We are committed to continuing to work constructively with RDG and the Government to reach agreement on a future retail framework that works for the customer, the industry and rail retailers like Trainline."
The person responsible for arranging the release of this announcement on behalf of Trainline is Martin McIntyre, Company Secretary.
Enquiries:
For investor enquiries, Andrew Gillian investors@trainline.com
For media enquiries, Jennifer Painter press@trainline.com
Brunswick Group
Azadeh Varzi +44 207 404 5959 / trainline@brunswickgroup.com
About Trainline:
Trainline (www.trainline.com) is the leading independent rail and coach travel platform selling rail and coach tickets to millions of travellers worldwide, enabling them to seamlessly search, book and manage their journeys all in one place via its highly rated website and mobile app. Trainline is a one-stop shop for rail and coach travel bringing together millions of routes, fares and journey times from rail and coach carriers across Europe.