TUI Group today announced it received commitment of the German Federal Government for a €1.8 billion KfW loan to increase TUI’s existing €1.75 billion credit agreement.

TUI Group oversees TUI Cruises, Marella Cruises and Hapag-Lloyd Cruises. 

The KfW loan is subject to the approval of the banking consortium in regards to the necessary amendments of the Revolving Credit Facility, according to a statement. 

Thereby, TUI would have currently cash and available facilities to the tune of €3.1 billion, the company said.

TUI decided to apply for the KfW loan to soften the unprecedented effects of the COVID 19 pan- demic until normal business operations can be resumed. One of the conditions of the KfW loan is that TUI de facto waives dividend payments for the term of the credit line.

TUI’s Executive Board is continuously evaluating the impact on our operations from the development of the COVID 19 pandemic and is implementing a vari- ety of actions to support our customers,