EADS Might Choose To Do Away With German State Support

  • 12:00 AM, March 5, 2012
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As a dispute between EADS and Germany continues to widen over restructuring plans, the European Aeronautic Defense and Space Company (EADS) has said it might in future do without financial support from the German state. The European Aeronautic Defense and Space Company (EADS) is already examining if it can do without German state support, the Frankfurter Allgemeine newspaper reported on Monday. The defense aerospace giant’s management center would in future be located in Toulouse, France. Moving away from the current division of management tasks between Toulouse, Paris and, Ottobrunn near Munich in Germany, announced Tom Enders, the company's new chief executive. Peter Hintze, Germany's Government Coordinator for the Aerospace Sector, has repeatedly criticized the planned concentration of power in Toulouse, fearing that German interests might fall by the wayside. Berlin has increasingly been putting pressure on EADS to reconsider its reforms. In a bid to become more independent, EADS, and its subsidiary Airbus, have in turn been considering forgoing development funds, which amount to one billion euros ($1.32 billion) this year alone.