Changes in the operating environment and schedules due to Covid-19
Concerning the wide-spread Covid-19 virus in AS Tallink Grupp’s (Group) home markets, the state of emergency declared in Estonia on 12 March 2020 and the restrictions imposed by the authorities the operating environment for the Group has deteriorated.
The Group has taken strict measures to prevent the spread of the virus on its vessels and hotels as well as in response to the recent changes in the operating environment. The Management Board of the Group has decided to temporarily suspend operations of the Tallinn-Stockholm, Riga-Stockholm and Tallinn-Helsinki route cruise ferries, effective from 15, 16 and 17 March 2020 respectively, until further notice. Currently, the operations on the Finland-Sweden routes and operations of Estonia-Finland shuttle and cargo ferries continue according to regular schedule until further notice. The Group continues to monitor the development of the situation and possible further restrictions imposed by the authorities.
Due to lower demand and changes in the schedules, the number of transported passengers, cargo units and passenger cars will be negatively affected over the coming months. The Group will reduce significantly all operational expenses to ensure sustainable operations after the virus situation has passed. Also, together with partners, solutions will be found to postponing costs over a longer period. The Group will look for ways to protect the jobs of the Group’s employees and negotiations have been initiated with the labour unions.
Advisor to the Management Board
Head of Investor Relations
AS Tallink Grupp
10111 Tallinn, Estonia