Thomas Cook's shake-up at the top in fight for survival

A boardroom clear out was unveiled at Thomas Cook today, the next stage of the embattled travel group's battle to save itself from doom.

The shake-up sees four directors all agree to step down, including Bo Lerenius, the former chief executive of Associated British Ports who resigned the chairmanship of support services firm Mouchel last October in the wake of an accounting blunder.

Also in the ejector seat are City grandee Peter Middleton, previously of Lloyd's of London and Salomon Brothers, David Allvey and Roger Burnell. Burnell will step down at the annual meeting in 2013, while the other three will go in February.

Thomas Cook saw its shares crash 70% on one day late last year when it admitted trading was awful and desperately needed cash to survive. The group later secured £200 million in funds from banks, but reported a loss for the year of £398 million and said it would close 200 branches at a cost of 660 jobs.

Allvey, the former finance director of Barclays Bank, is going after nine years' service "in accordance with corporate governance best practice", according to a company statement.

Lerenius and Middleton are retiring "to allow new chairman Frank Meysman more flexibility to refresh the board", the statement added.

Headhunters have been appointed to find replacement directors. City analysts note that they might seek younger directors - the present average age of the board is 62.

Lerenius quit Mouchel after contract blunders and government spending cuts triggered a slide in its share price. He left the board of Land Securities in July after seven years at Britain's largest listed landlord.

He remains on the board of G4S, which has just seen a £5.2 billion takeover of Denmark's ISS collapse.

Thomas Cook is currently being run by Sam Weihagen on an interim basis while the group searches for a new chief executive.

The previous incumbent, Manny Fontenla-Novoa, was ousted following a spate of profit warnings. He was paid £15 million in the four years before his departure.

Thomas Cook has been around since 1841. That makes it the world's oldest tour operator.

Allvey, who chaired the audit committee, was on a pay deal of £80,000, as did Middleton, who chaired the remuneration committee. Burnell was on £70,000.