Hannover - TUI, the world's largest travel group, expects significant profit losses due to the flight ban imposed to the Boeing 737 MAX jets after Ethiopian Flight 302 crash on March 10.
The German travel group had to lease replacement aircraft to fill the gap caused by the grounded MAX jets, which will bring the company around an extra 200 million euros (225 million USD) burden until the Boeing's newest generation single-aisle jets are allowed to fly again, presumably, in mid-July.
If the flight ban takes longer, it would add another 100 million euros (112.5 million USD) in costs, CEO Fritz Joussen said in Hannover during a press conference.
There is considerable uncertainty as to when the 737 MAXs will be allowed to fly again. So far no dates have been announced.
TUI Group has 15 Boeing 737 MAX series jets operating in the Group airlines standing for the 10% of its total fleet - TUI Airways, U.K. (six 737 MAX 8), TUI fly Belgium (four 737 MAX 8, 11 more on order), TUI fly Deutschland (No current order for the airline), TUI fly Netherlands (three 737 MAX 8, three more on order), TUI fly Nordic, Sweeden (two 737 MAX 8, three more on order).
The Group has recently sold French carrier Corsair International to the German INTRO Aviation and became a pure leisure travel company.