DGAP-Adhoc: Air Berlin PLC: Restructuring to a dedicated network carrier - touristic segment to be combined in a separate business unit - providing up to 40 aircraft to Deutsche Lufthansa group - up to 1,200 employees to be laid off

Far-reaching restructuring of Air Berlin group to create a lean dedicated network carrier - touristic segment to be combined in a separate business unit - providing up to 40 aircraft to Deutsche Lufthansa group - up to 1,200 employees to be laid off

Disclosure of inside information according to Article 17 of the Regulation (EU) No 596/2014 (Market Abuse Regulation, MAR)

London, 28 September 2016 - The Board of Directors of Air Berlin PLC has resolved today to substantially restructure the group and implement a new business model. As a dedicated network carrier, Air Berlin PLC & Co. Luftverkehrs KG will operate a reduced core fleet of 75 aircraft in a dualhub strategy with long-haul flights from Berlin and Dusseldorf. All administrative functions will be concentrated in Berlin. The touristic business with 35 aircraft will be combined in a separate business unit with a view to evaluate strategic options.

To more efficiently employ excess aircraft and crew capacity, Air Berlin PLC & Co. Luftverkehrs KG intends to provide up to 40 Airbus A320 family aircraft to the Deutsche Lufthansa group with up to 38 aircraft operated by Air Berlin PLC & Co. Luftverkehrs KG under a six year wet lease agreement.

The restructuring of the group will necessitate lay-offs of up to 1,200 employees (full-time equivalents). The Air Berlin group endeavours to implement these redundancies in a close and constructive collaboration with employee representatives. Further, discussions are being held with the unions representing cockpit and cabin staff in order to reach a framework for new collective works agreements, which are economically more beneficial for the company.

Person making the notification:
Michelle Johnson, General Counsel, Company Secretary Email: [email protected]

Air Berlin PLC c/o Browne Jacobson LLP, 6 Bevis Marks, Bury Court, London, EC3A 7BA, United Kingdom; ISIN GB00B128C026, WKN AB1000 (Share), Frankfurt Stock Exchange (Regulated Market, Prime Standard); ISIN DE000A0NQ9H6 (Convertible Bonds 2007), Euro MTF market of the Luxembourg Stock Exchange; ISIN DE000AB100B4 (Bond April 2011 and January 2014), Bondm segment of the open market of the Stuttgart Stock Exchange and Euro MTF market of the Luxembourg Stock Exchange; ISIN DE000A1HGM38 (Convertible Bonds 2013), Open Market Frankfurt Stock Exchange; ISIN XS1051719786 (EUR Bond May 2014), Euro MTF market of the Luxembourg Stock Exchange; ISIN XS1051723895 (CHF Bond May 2014), SIX Swiss Exchange and Euro MTF market of the Luxembourg Stock Exchange