DGAP-Ad hoc: Air Berlin plc

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

Air Berlin PLC / Key word(s): Restructure of Company/Strategic Company Decision

28.09.2016 19:58

Disclosure of an inside information according to Article 17 MAR, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement.

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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 dual- hub 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: ir@airberlin.com

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

28.09.2016 The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.dgap.de

--------------------------------------------------------------------------- Language: English Company: Air Berlin PLC 6 Bevis Marks, Bury Court EC3A 7BA London United Kingdom Phone: +49 (0)30 3434 159 0 Fax: +49 (0)30 3434 159 9 E-mail: ir@airberlin.com Internet: ir.airberlin.com ISIN: GB00B128C026, DE000AONQ9H6, DE000AB100B4, DE000A1HGM38, XS1051719786, XS1051723895 WKN: AB1000 Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart; Luxemburg, SIX End of Announcement DGAP News-Service ---------------------------------------------------------------------------