By Victoria Moores,
EADS has formally rebranded as Airbus Group, retaining its Airbus commercial aircraft identity and renaming its other two divisions as Airbus Defense and Space, and Airbus Helicopters.
This means the group’s Cassidian, Astrium and Airbus Military defense and space activities have now been united under the Airbus Defense and Space division.
Airbus Group is also planning to change its legal status, subject to regulatory and shareholder approvals, although its organizational structure and operations will remain the same.
After the transition, it will be converted from a Naamloze vennootschap (NV) public company to a European company, or Societas Europaea (SE); however, Airbus Group will continue to be legally registered in the Netherlands.
“We are a pioneer for European industrial integration. It is a logical step and high time that our multinational culture is also mirrored in our legal structure,” Airbus Group CEO Tom Enders said.
The legal name change is expected to be approved by Airbus Group’s shareholders during the company’s annual general meeting in May, but the change to SE status is not due to be approved until May 2015.
“These steps complement the transformation process of the group. In less than two years, the company has not only modernized its governance, broadened the shareholding structure and united the headquarters, but also thoroughly overhauled its company strategy and launched the integration of the defense and space businesses,” Airbus Group said in a statement.
In 2012, the group generated €56.5 billion ($77.9 million) in revenues, employing over 140,000 staff.
Sourced by ATW
Aerospace and defence giant EADS says it will cut 5,800 jobs as a fall in governments’ military spending begins to bite.
The company, which owns Airbus, plans to reorganise its European defence and space businesses.
It says there will be a “substantial consolidation” of sites in Germany, France, Spain and the UK.
In the UK operations will be focused on three sites – Stevenage, Portsmouth and Newport at the cost of around 450 jobs.
It is understood that the programme will be put in place over three years and that the company aims to make most of the cuts through voluntary measures.
Tom Enders, chief executive of EADS, said in a statement: “We need to improve our competitiveness in defence and space – and we need to do it now.
“With our traditional markets down, we urgently need to improve access to international customers, to growth markets.”
Last year, EADS tried to negotiate a tie-up with UK defence company BAE Systems, but the deal stumbled amid strong political opposition.
EADS warned then that it would have to restructure in the face of defence budget cuts in its main markets.
It is understood that the UK operations, which employ more than 17,000 people, will be affected as part of the consolidation of the Astrium, Cassidian and Airbus Military divisions in a new unit, to be called Airbus Defence and Space.
Cassidian is the biggest shareholder in the Eurofighter and builds the fuselage and important parts of the combat jet’s electronics.
EADS’ Paris headquarters will also be closed. The company had already announced that it is changing its name to Airbus, the Toulouse-based commercial aircraft arm that contributes the bulk of group revenues.
Sourced by BBC News