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FRENCH GOVERNMENT TO ACT IN EADS CRISIS
Published in Saudi Press Agency on 21 - 06 - 2006


FRENCH PRIME MINISTER DOMINIQUE DE VILLEPIN SAID
WEDNESDAY THAT HIS GOVERNMENT WOULD ACT TO REASSURE CLIENTS OF THE
TROUBLED EUROPEAN AEROSPACE CONSORTIUM EADS OVER DELAYS IN DELIVERY
OF THE AIRBUS A380 SUPERJUMBO AIRCRAFT, DPA REPORTED.
THE FRENCH GOVERNMENT WILL "TAKE ALL NECESSARY MEASURES SO THAT
EADS CAN GIVE ASSURANCES OVER PRODUCTION DELAYS AND SUPPLY ITS
CUSTOMERS UNDER THE BEST CONDITIONS," VILLEPIN TOLD DEPUTIES IN THE
NATIONAL ASSEMBLY.
"THERE ARE URGENT DECISIONS TO BE TAKEN," HE SAID. "THEY WILL BE."
VILLEPIN'S DECLARATIONS CAME AFTER THE EADS SHARE PRICE LOST MORE
THAN A QUARTER OF ITS VALUE LAST WEEK FOLLOWING THE ANNOUNCEMENT BY
ITS SUBSIDIARY AIRBUS THAT DELIVERY OF THE A380 WOULD BE DELAYED BY
SIX OR SEVEN MONTHS BECAUSE OF WIRING PROBLEMS.
EARLIER WEDNESDAY, A GROUP REPRESENTING THE INTERESTS OF SMALL
SHAREHOLDERS SAID IT WAS SUING EADS BECAUSE OF LAST WEEK'S PLUNGE IN
THE FIRM'S SHARE PRICE, AND DEMANDING THAT ITS LEADERSHIP STEP DOWN.


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