TUI AG (LON:TUI) have announced that they have decided to suspend the majority of their operations, following the escalation of the current coronavirus crisis.

The firm noted in a press release this morning, that it this move would be affecting its’ “package travel, cruises and hotel operations”.

The firm commented: “In this rapidly changing environment the safety and welfare of our guests and employees worldwide remains of paramount importance and thus TUI Group has decided, in line with government guidelines, to suspend the vast majority of all travel operations until further notice, including package travel, cruises and hotel operations.

This temporary suspension is aimed at contributing to global governmental efforts to mitigate the effects of the spread of the COVID-19.

Due to the unprecedented escalation of COVID-19, the Board of TUI are continuously evaluating the situation and are considering a variety of actions to support our customers, colleagues and stakeholders.”

TUI added that it would be withdrawing its’ profit forecast for the current financial year following the outbreak of the coronavirus.

For 2018-19, TUI reported net profit attributable to shareholders of €416 million, down 43% on the year prior.

Arguably, the airline and travel operators have been hit the hardest since the coronavirus outbreak. Last week, it was noted that TUI had dropped out of the elite FTSE 100 – which reflects a tough period of trading for the firm.

TUI see first quarter adjusted loss widen

The firm also said that continued delays with Boeing (NYSE:BA) with the delivery of 737 aircrafts had affected trade, and subsequently led to a slower than expected period of trading.

For the three months ending December 31, the company’s underlying loss before interest & tax increased 77% to €146.9 million from €83.1 million the year prior.

The firm also said that continued delays with Boeing (NYSE:BA) with the delivery of 737 aircrafts had affected trade, and subsequently led to a slower than expected period of trading.

For the three months ending December 31, the company’s underlying loss before interest & tax increased 77% to €146.9 million from €83.1 million the year prior.

First quarter underlying earnings before interest, tax, depreciation and amortisation totaled €111.5 millions from €27.2 million a year ago, as net loss narrowed by just under 6% to €105.5 million.

Annual EBITA is now expected to be between €850 million to €1.05 billion versus previous €R950 million to €1.05 billion guidance range.

Shares in TUI AG trade at 242p (-32.64%). 16/3/20 11:50BST.