Air Berlin is claiming $11.8 million in damages from Etihad saying it did not support to avoid bankruptcy of Air Berlin.
According to German newspaper Rheinische post, Frank Kebekus is having discussions with Etihad and negotiating for a general settlement amounting close to $11 million.
Air Berlin filed for bankruptcy in August as Etihad refused to fund the initial payment of EUR 250m which was the amount it paid to acquire 29,2 percent stake from Air Berlin in the year 2011. Etihad was disappointed with the decision of Air Berlin to file for bankruptcy and at the time of announcement the net debt of Air Berlin was EUR1.2bn. Air Berlin accumulated a loss of Eur2.7bn over six years.
Air Berlin is due to officially cease operation on 28th October.