The TUI Group states that the agreement with BOC Aviation for the financing of the five aircraft is in line with the holiday company`s Asset-Right strategy. Sale-and-leaseback was part of TUI`s recently announced measures to increase liquidity. “Unfortunately, the limited measures contained in this proposed agreement will not end the persistent scandal of secondary school teachers who are discriminated against against stolen money used on January 1, 2011, and the proposed agreement does not address at all the other levels of recruitment in which TUI represents TUI members.” He stated that the agreement did not eliminate persistent wage discrimination in new beginner students, including as a lecturer, youthreach resource, adult educator, adult care counsellor/coordinator, adult skills organizer and community educational mediator. TUI has agreed with the federal government on an additional 1.2 billion euros ($1.4 billion) in aid to provide enough cash, the tour operator said on Wednesday, as the company was affected by the coronavirus pandemic. Fritz Joussen, CEO of TUI Group, commented on the agreement with Boeing: “We have reached a fair agreement that strengthens our long-standing relationship with Boeing. The agreement provides compensation to TUI for much of the costs of grounding the 737 MAX. The new procurement plan gives us great flexibility because we will be providing fewer new aircraft over the next few years. This will allow TUI to rapidly adapt the growth of its fleet to the current challenging market environment. And it supports our plan to reduce the size of the aircraft fleet and reduce capital requirements for investments in the group`s aircraft. TUI and Boeing agreed on a comprehensive package of measures to offset the impact of grounding the 737 MAX. Although the details of the agreement are confidential, they offer compensation covering a significant portion of the financial impact, as well as credits for future aircraft orders.
Compensatory payments will be made over the next two years. In addition, the two parties have agreed on a revised delivery plan for the 61,737 custom MAX aircraft, so that TUI will receive fewer than 737 MAX deliveries from Boeing over the next few years than anticipated to date. The corresponding payment schedules have been adjusted accordingly. As a result, less than half of the originally planned 737 MAX aircraft will be delivered to TUI over the next two years. Compared to the original schedule, the 737 MAX deliveries will be delayed by approximately two years from the original date. This will significantly reduce TUI`s capital and financing requirements for aircraft in the coming years and support TUI`s plan to reduce the fleet of its five European airlines in the wake of the Corona crisis. It was agreed not to disclose the financial details of the agreement. Mr Marjoram said: “Even with this proposed agreement, the greatest wage discrimination would persist in the first few years of employment. More than 19,000 TUI members are expected to vote on the agreement next year. Previously, the Central Executive Committee of the Irish National Teachers` Organisation had decided to recommend to its 42,000 members that the proposals contained in the agreement be accepted.