Hanover, 25 May 2023

TUI extends 2.7 billion euros credit lines with banks until summer 2026 - terms tied to sustainability targets for the first time

  • Maturity of the Revolving Credit Facility (RCF) extended in full by two years until July 2026
  • Reduced KfW credit line as a buffer - return by the end of the term at the latest
  • Interest rate conditions linked to achievement of the Group's emission reduction targets confirmed by the Science Based Targets Initiative (SBTi)
  • CFO Mathias Kiep: "The successful extension of our credit lines is a key result of the Group's operational and balance sheet recovery and a vote of confidence in TUI - this lays the basis for profitable growth."

TUI has successfully extended the maturity of its existing credit lines of 2.7 billion euros by a further two years. The syndicated credit line from the 19 banks (1.65 billion euros) and the credit line from KfW (1.05 billion euros) will now mature in July 2026. The interest conditions of this revolving credit facility (RCF) will in future also be linked to the achievement of the Group's emission reduction targets confirmed by the Science Based Targets Initiative (SBTi). With the review and confirmation of the ambitious emission reduction targets by the SBTi, TUI is setting new standards in the tourism sector.

KfW's credit line, which was reduced to 1.05 billion euros after the successful capital increase, is not to be drawn further and serves only as a buffer. The aim is to return this credit line quickly, but at the latest by the end of the term.

When presenting its figures for the second quarter of the financial year, the Group reported strong bookings for Summer 2023, and demand for travel remains high in all markets. Booking numbers in recent weeks for Summer 2023 are already above pre-crisis levels. TUI CFO Mathias Kiep: "The successful extension of our credit lines is essentially the result of the TUI Group's operational and balance sheet recovery and a vote of confidence in our business model and future strategy. This lays the basis for profitable growth and we remain the industry's pioneer in climate protection. TUI is on its way to former strength."

TUI Group's current credit facilities comprise

- 1.65 billion euros credit line from 19 private banks (incl. 190 million euros guarantee line)

- 1.05 billion euros KfW credit line from the Corona stabilisation package

The transaction was coordinated by Deutsche Bank, LBBW and UniCredit.

TUI’s emission reduction goals

By 2030, emissions are to be significantly reduced in TUI Airlines (-24 per cent), in the hotel segment (at least -46.2 per cent) and in cruises (-27.5 per cent).

About TUI Group

The TUI Group is one of the world's leading tourism groups and operates worldwide. The Group is headquartered in Germany. TUI shares are listed in the Prime Standard of the Frankfurt Stock Exchange, in the regulated market of the Lower Saxony Stock Exchange in Hanover and in the FTSE 250, an index of the London Stock Exchange. TUI Group offers its 19 million customers integrated services from a single source and forms the entire tourism value chain under one roof. The Group owns over 400 hotels and resorts with premium brands such as RIU, TUI Blue and Robinson and 16 cruise ships, ranging from the MS Europa and MS Europa 2 in the luxury class and expedition ships in the HANSEATIC class to the Mein Schiff fleet of TUI Cruises and cruise ships operated by Marella Cruises in the UK. The Group also includes Europe's leading tour operator brands and online marketing platforms, for example for hotel-only or flight-only offers, five airlines with more than 130 modern medium- and long-haul aircraft and around 1,200 travel agencies. In addition to expanding its core business with hotels and cruises via successful joint ventures and activities in vacation destinations, TUI is increasingly focusing on the expansion of digital platforms. The Group is transforming itself into a global tourism platform company.

Global responsibility for sustainable economic, environmental and social action is at the heart of our corporate culture. With projects in 25 countries, the TUI Care Foundation initiated by TUI focuses on the positive effects of tourism, on education and training and on strengthening environmental and social standards. In this way, it supports the development of vacation destinations. The globally active TUI Care Foundation initiates projects that create new opportunities for the next generation.

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