Tui has warned on the adverse impact the grounding of the Boeing 737 max fleet will have upon profits.
The travel company said it may cost it as much as €300 million (£258 million), as it looks to find alternative arrangements for its customers who will be affected.
Tui said some of these measures included leasing additional planes, extending expiring leases that were supposed to be replaced by the 737 Max, as well as using spare aircraft in its fleet.
Moreover, the firm added that a ‘considerable amount of uncertainty’ remained regarding when the Boeing 737 Max will return to flight.
In the statement, Tui said that its Executive Board have decided to revise guidance to an underlying EBITA for the full-year of approximately -17%, as opposed to previous “broadly flat” expectations.
The grounding of the Boeing fleet occurred after safety concerns were raised over the aircraft.
Various aviation authorities opted to ground the fleet after two separate plane 737 max crashes occurred in the space of five months.
Tui has a fleet of about 150 aircraft, including 15 of the grounded 737 Max.
An additional eight of the Boeing aircrafts are due for delivery by the end of May.
Tui is one of the largest travel companies in Europe, it is headquartered in Hannover and Berlin in Germany.
It operates 1,600 travel agencies, 150 aircraft as well as 16 cruise liners and 380 hotels and resorts.
Tui shares (ETR: TUI1) are currently trading -6.59% on the back of the profit warning.