Tui (LON: TUI) has sunk to a €3bn (£2.7bn) full-year loss.
The holiday operator posted a 58% slide in revenues to €7.9bn (£7.2bn) amid the pandemic and warns it does not expect to return to normal trading levels until 2022.
The company is raising its cost-cutting targets to €400m per year as winter bookings this year are down 82% from last year.
“Very rapid cost and liquidity measures, an accelerated realignment and our flexible business model have enabled us to steer the group through the crisis,” said the Tui chief executive, Fritz Joussen.
“Tui is ready for a speedy and successful resumption of travel activities as soon as the lockdowns are lifted and destinations reopen.”
“The prospect of vaccinations from the beginning of the year will significantly increase demand for summer holidays in 2021,” he added.
Joussen added that he hopes all customers will have tests before they fly: “Vaccination protects you but on top of that you need testing, low-cost high-quality tests which are immediately available is absolutely an important thing for us.”
Last week, the group confirmed a third bailout thanks to the German government, private investors and banks. Tui will receive an extra €1.8bn, on top of the €3bn it has already received.
In September, Tui said it would be will be refunding all cancelled holiday packages following a CMA investigation.
The chief executive of the CMA said: ”It’s absolutely essential that people have trust and confidence when booking package holidays and know that if a cancellation is necessary as a result of coronavirus, businesses will give them a full, prompt refund. The CMA’s action ensures that Tui UK customers will get their refunds by the end of the month.”
Tui shares (LON: TUI) are trading -0.93% at 437,60 (1052GMT).
