The Eurofighter Typhoon, sporting the flags of the six nations that have ordered the aircraft, is a collaboration of BAE Systems and Airbus parent company European Aeronautic Defence & Space Co. (Odd Andersen\/AFP \/ September 7, 2012) <\/p>\n
September 12, 2012, 12:11 p.m. <\/p>\n
Airbus parent company European Aeronautic Defence & Space Co. and BAE Systems, two European giants in the aerospace and defense business, have acknowledged they are in merger talks in a deal that would create the industry's largest company. <\/p>\n
The two companies had combined revenues of more than $94 billion last year, which surpasses Boeing Co.s $68.7 billion in sales. <\/p>\n
In a joint statement, the companies said that a potential combination would create a world-class international aerospace, defense and security group. <\/p>\n
Under the possible deal, BAE Systems shareholders would control 40% of the combined group's stock and EADS shareholders would own 60%. <\/p>\n
Both companies already have a large U.S. presence. In July, Toulouse, France-based Airbus announced it would build a commercial jet manufacturing facility in Mobile, Ala. The planes built there will compete directly with those made by Boeing. <\/p>\n
Analysts say that the deal makes the most sense on the defense side of business, now that global defense revenues are on the decline. <\/p>\n
EADS and BAE have a history of collaboration and currently work together as partners in a number of projects, including MBDA, a European company that develops and manufactures missiles, and the Eurofighter Typhoon, a modern combat aircraft used by various European militaries. <\/p>\n
In accordance with British law, the companies said they have until Oct. 10 to announce either that a deal has been made or that they no longer intend to pursue a transaction. <\/p>\n<\/p>\n
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Potential merger would create world's largest aerospace company<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" The Eurofighter Typhoon, sporting the flags of the six nations that have ordered the aircraft, is a collaboration of BAE Systems and Airbus parent company European Aeronautic Defence & Space Co. (Odd Andersen\/AFP \/ September 7, 2012) September 12, 2012, 12:11 p.m. Airbus parent company European Aeronautic Defence & Space Co. Continue reading