News EADS/BAE merging : a good idea ?

[N_Molson]

As you may have heard, the french EADS and british BAE companies, both highly specialized in aerospace and defense systems, could merge in order to be stronger against Boeing (especially in the United States, where EADS has difficulties to set foot, while BAE is well-established). EADS is notably the owner of Airbus, which is the main Boeing concurrent in civil commercial aviation.

I'm not sure what to think about this, and wonder how much a good or bad idea it is... :hmm:

EADS, BAE Systems in Advanced Merger Talks

 

[Urwumpe]

I am pretty against it... too much politics in it, since this would put Germany, Italy, France and UK in one company as owners. I doubt this would be good.

Politics aside it would form the biggest defense company in the world. Which is impossible without politics.

 

[Cosmic Penguin]

I thought that major projects at Airbus / EADS have suffered from the FUBAR syndrome due to the need to distribute work among its major share-holding countries (France/Germany/Italy etc.). Now they want to add the British to the list.

Good luck with that... :shifty:

 

[Notebook]

Great Idea, I vote for it, haven't seen so much fun since

1)British Aerospace (previously British Aircraft Corporation)

2)British Aircraft Corporation(previously English Electric, Vickers Armstrong, Bristol, De Haviland, AVRO, ...lots of old UK engineering companies.)

What could possibly go wrong?

N.

 

[Evil_Onyx]

Great Idea, I vote for it, haven't seen so much fun since

1)British Aerospace (previously British Aircraft Corporation)

2)British Aircraft Corporation(previously English Electric, Vickers Armstrong, Bristol, De Haviland, AVRO, ...lots of old UK engineering companies.)

What could possibly go wrong?

N.

yes and just how well did that turn out.

On a serious note, i think this would be good if the EADS and BAE merge if it works out with additional contracts, but i don't think that is going to happen and EADS and BAE will "restructure" there work force by firing 5-10% of there employees.

 

[APDAF]

I wonder if they merge in 2014 and call it the UAC?

You know what that means!
:chainsaw:

 

[agentgonzo]

I still hold a fair amount of stock in BAE (former employee) so my stock's just gone up on the news. I have lots of friends who still work there and they had briefings saying "It's very early days - we are considering it, but that's about it so far". Frankly it won't make a lot of difference as EADS and BAE compete on very few projects. Interesting to watch, but I don't really care what happens as long as my stock goes up

 

[MattBaker]

Maybe some are still interested what has happened, well:

BBC

Aerospace and defence firms BAE Systems and EADS have decided to cancel their planned merger, after talks were thwarted by political deadlock.

It followed days of talks between the UK, French and German governments to overcome political objections.

The UK wanted its counterparts to agree to limit their influence in the merged firm in order to maintain BAE's strong working relations with the US Pentagon.

The BBC understands that Germany was fundamentally opposed to the deal.

"Once German intransigence became clear - as it did overnight - EADS and BAE had no option but to call the whole thing off," said the BBC's business editor, Robert Peston.

So, simply spoken: The UK don't want the Germans to control the biggest European firm, the Germans don't want the Brits to do, so no one does...