Setting up a multilingual wordpress site

I am trying to set up a multilingual site using wordpress. I went through Each language in its own WordPress installation and decided to use this option:

Plugins like Multisite Language Switcher and the newcomer Multilingual Press link together separate WordPress network (multisite) installations for each language by pinging back and forth..

Now I installed the Multilingual Press and set up a network. The URL of my site was wordpress.private.net and next on is it.wordpress.private.net. Both domains are served from same folder. But still when I visit the it.__ site it shows in English language and that too without all the posts.

I get this notice on network dashboard

You didn’t setup any blog relationships! You have to setup them first to use Multilingual Press. For this, go to Network » Sites » and choose a blog to edit. Then go to the tab “Multilingual Press” and set up the relationships.

But there is no option to set up the relationships in the tab “Multilingual Press”. Please guide me where am i going wrong?

Any other way to set up is also welcome.

My goal is to run my WordPress site in two languages.

1. Go to wp-admin/network/sites.php.

2. Edit one site, and set a language for that blog:

   

3. No do the same on a second site. There have to be two sites with an associated language. And then you get the relationship setting below on the same page after hitting F5 one time. This will be fixed in the next release.

   

I am helping out on that plugin now, implemented synchronized post meta data just ten minutes ago. 🙂
New docs are the next point, so if you have any questions or suggestions feel free to ask me here or per private contact.