Air Berlin improves performance

Seasonal quarterly loss decreased – Strong growth in the sale of
individual seats – Higher fleet capacity utilization

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air transport/Q 1 results 2008

Berlin/London (euro adhoc) - Despite the significant rise in fuel
prices, Air Berlin PLC increased its operating income for the 1st
quarter of 2008 by 20 percent over the corresponding quarter of the
previous year. Seasonal operating loss (EBIT) narrowed from EUR 85
million to EUR 67.7 million. Traditionally, airline companies
focusing on tourism-related travel are in the red at the beginning of
the year. For the remainder of 2008, the company has embarked on a
stringent price and cost optimization programme.

The quarterly sales revenue of the Air Berlin Group (including LTU
and Belair) increased from EUR 631.4 million to EUR 654.5 million,
i.e. an increase of 4 percent. EBITDAR (Earnings before interest,
taxes, depreciation, amortization and leasing expenses) increased
from EUR 17.3 million to EUR 41.2 million, i.e. an increase of 139
percent. Seasonal EBIT (Earnings before interest and taxes) improved
from a loss of EUR 85.0 million to a loss of EUR 67.7 million (+20
percent). The EBIT margin improved from -13.5 to -10.3 percent. Net
loss narrowed from EUR 66.4 million to EUR 59 million (+11 percent).

As Ulf Hüttmeyer, Air Berlin´s Chief Financial Officer, explained in
Berlin on Thursday: The increase in sales volume is primarily a
result of the strong growth in the sale of individual seats for
domestic and inter-European flights. However, due to capacity
adjustments, the charter business has declined slightly. Hüttmeyer
was especially pleased that, in the first quarter, the number of
corporate agreements increased by 43 to a total of 536. Excluding
fuel cost, the cost per available seat kilometer (CASK) decreased
from 3.76 Eurocents to 3.69 Eurocents (-1.9 percent) and, including
fuel cost, from 5.02 Eurocents to 5.00 Eurocents (-0.2 percent). The
revenue per available seat kilometer (RASK) improved from 5.1
Eurocents to 5.3 Eurocents (+4 percent). For the 1st quarter, the
fleet capacity utilization improved from 69.4 to 73.3 percent.

According to Joachim Hunold, Air Berlin´s Chief Executive Officer,
the further course of 2008 will be influenced by several factors. Mr.
Hunold cited the explosive development of kerosene prices, which have
increased from USD 1,050 to USD 1,350 per ton from 31 March (the
date of the presentation of the Annual Results) to date alone, the
continuing, competition-related price pressures, the cooling-off of
the economy and the slow start-up of new long-distance flight
services.

As Joachim Hunold stated: "In light of these circumstances, Air
Berlin´s Management Board has reacted promptly. For 2008, 88 percent
of our fuel requirements are hedged. Our further planning is based on
current market prices. Therefore, for the fuel cost of the current
year, we have to budget approximately EUR 80 million more than what
we had assumed in March. We have worked out a comprehensive package
of measures for adapting the Air Berlin Group to the changed market
conditions. Among other things, this programme includes capacity
adjustments and the elimination of unprofitable flight routes. For
the 2008 financial year, we continue to expect a positive operating
result."

Air Berlin is Germany´s second-largest airline company. As at the
reporting date of 31 March 2008, the company employed 8,488 people
and operated a fleet of 127 airplanes

end of announcement euro adhoc
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ots Originaltext: Air Berlin PLC & Co Luftverkehrs KG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:

Peter Hauptvogel

Director of Corporate Communications Air Berlin

phone: +49 30 3434 1500

fax: +49 30 3434 1509

e-mail: abpresse@airberlin.com

Branche: Air Transport
ISIN: GB00B128C026
WKN: AB1000
Index: SDAX, Classic All Share, Prime All Share
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