TUI secures third government bailout since April

TUI is set to receive a E1.8b financial support package from German government fund WSF, largest shareholder Unifirm and a consortium of banks, aimed at securing the tourist group’s operation amid the coronavirus crisis. The package is TUI’s third since the crisis began. In April, the Hannover-headquartered group received E1.8b from state-owned development government bank KfW. This was followed by another E1.2b package from KfW in August. TUI says the latest package became “necessary due to the increasing travel restrictions caused by the rising number of infections and the associated more short-term booking behaviour of some customers”. The group adds: “The financial package is intended to ensure that the company can bridge the gap if the pandemic persists in 2021.” CE Fritz Joussen states: “With these measures, the group is securing liquidity for a continuing pandemic in 2021, while at the same time improving our balance sheet structures in the long term.”<br/>