Abu Dhabi - Mubasher: Etihad Airways announced that airberlin has filed for administration, according to a statement issued on Tuesday.
Last April, Etihad provided EUR 250 million of additional funding to airberlin as well as supporting the airline to explore strategic options for the business, the statement indicated.
The airline said that it is extremely disappointing for all parties, especially since it has provided extensive support to airberlin for its previous liquidity challenges and restructuring efforts over the past six years.
"However, airberlin’s business has deteriorated at an unprecedented pace, preventing it from overcoming its significant challenges and from implementing alternative strategic solutions.
“Under these circumstances, as a minority shareholder, Etihad cannot offer funding that would further increase our financial exposure. We remain open to helping find a commercially viable solution for all parties," the statement further explained.
As per the statement, airberlin operations are expected to continue, expressing support for the management during administration.
"Germany is an important market for Etihad and Abu Dhabi, and we remain committed to providing comprehensive air links as a key enabler of trade and tourism," the statement concluded.
