TUI Group has today posted an annual loss of €3 billion as the pandemic choked travel demand and finances of the world's biggest holiday group.
This has forced it to seek multiple bailouts from the German government.
The German-based company said it will raise its cost-cutting targets to €400m annually from the previous level of €300m, trying to become more efficient to help pay off new debts taken on to survive the crisis.
Last week, TUI secured a third bailout, striking a deal with the German government, private investors and banks for an extra €1.8 billion, on top of state loans of €3 billion it had already received.
"The rapid measures to cut costs and secure liquidity are important for the Group. They are a stable foundation for the future," TUI's chief executive Fritz Joussen said in a statement.
The company posted a loss of €3 billion while revenue came in 58% lower at €7.9 billion.
Following the latest bailout, TUI now has €2.5 billion of liquidity, and Joussen said the Covid-19 vaccine would help boost demand for holidays in 2021, forecasting a return to 2019 levels by 2022.
Bookings for next summer were 3% higher than they were at this stage in 2019, and average prices for summer 2021 were 14% higher than 2020, TUI said.