TAP Portugal posted an annual loss of 1.6 billion euros ($1.74 billion) hurt by the closure of its aircraft maintenance business in Brazil and the depreciation of the euro against the dollar.

The airline has been under a rescue plan that forced it reduce its fleet and eliminate over 2,900 jobs.

TAP has released this statement:

• TAP has received yet another Airbus A330neo, bringing the total number of aircraft of the company’s fleet to 100;
• The new aircraft have enabled record growth to be achieved in the United States. TAP was the fastest growing European airline over the past four years on routes between Europe and the United States;
• On average, each new TAP aircraft results in €28 million in duties and taxes each year to the Portuguese economy. And more than 750 jobs in Portugal.

On May 20, TAP marks a historic day in its 74 year history. With the arrival of another A330neo – CS-TUI, which has been named King Afonso Henriques – the company has 100 aircraft in its fleet for the first time.

The renovation of the TAP fleet, with 71 new aircraft due to arrive by 2025, is one of the main pillars of the new shareholders’ Strategic Plan. This was presented and approved by the Portuguese State when the company was privatised in 2015. A significant part of TAP’s transformation and modernisation rests on these latest generation aircraft, offering more seats and lower costs.

The new aircraft allow new routes to be opened and help TAP diversify its income streams. The company continues to grow in Brazil, a market in which it retains market leadership for connections to Europe, with a 22.8% increase in the number of passengers carried between 2015 and 2018. We also have a strong commitment to the North Atlantic market, where there has been a 176.5% growth in passenger numbers between 2015 and 2018, alongside almost four-fold growth in the number of seats available in four years.

TAP was the fastest growing European airline on routes to the United States, offering 245,000 more seats compared to 2015.

The new fleet is also an important contribution to the country. Each new TAP airline makes a significant contribution to the country’s GDP, generating an average of €28 million in duties and taxes each year for the Portuguese economy and creating more than 750 jobs in Portugal, on average.

The growth in TAP’s fleet has, in just four years, put the company above the average of other leading European airlines in terms of growth: TAP’s fleet grew by 21% between 2015 and 2018, while other European airlines have grown 13% on average, according to data from Flight Global.

TAP’s passenger numbers have also grown faster than the average of other leading European airlines: The number of passengers carried between 2015 and 2018 is up 39%, compared to the average of 19% for our European competitor airlines.

TAP will continue receiving new aircraft for the rest of this year, and will open new routes – flights to Chicago, San Francisco and Washington start in June. TAP will also bring more tourists to Portugal. In 2018, TAP brought 4 million tourists to Portugal, who contributed more than €5.5 billion to the national economy.