The administrator for defunct German carrier Air Berlin is seeking damages of up to €2 billion from former shareholder Etihad Airways, according to reports.
The Landgericht Berlin regional court reportedly said in a statement the insolvency administrators are seeking payment of €500 million and “a declaration that the defendant is under an obligation to pay further damages. The Chamber has provisionally fixed the amount in dispute at up to €2 billion”.
Air Berlin’s administrators maintain Etihad “violated its obligations” agreed to in a document confirming its intention to provide the airline with necessary support “in any event.”
Reports claim an 28 April letter promised Etihad’s support for an 18 month period to enable Air Berlin to meet its financial obligations, but withdrew financial support in August 2017 resulting in the carrier filing for insolvency.
Etihad had owned a 29.2 per cent stake in Air Berlin at the time of the bankruptcy. It has been given a deadline of the end of January 2019 to respond.