14th Jun 2006 16:19
BAE SYSTEMS PLC14 June 2006 Response to Airbus Announcement 14 June 2006 BAE Systems notes the announcement by Airbus last night regarding its latestexpectations for deliveries of A380 aircraft. While both Airbus shareholdershave discussed the possibilities of delays to the schedule in recent months, BAESystems were only informed of Airbus' planned announcement yesterday afternoon. No assessment of the financial impact of the delays to the A380 were included inAirbus' announcement. No revised budget or business plan reflecting the latestdelivery plans and expectations referred to in the Airbus announcement has beeneither presented to, or approved by, the Shareholder Committee of Airbus. Inparticular, the management of Airbus have yet to present proposals formanagement actions designed to alleviate the financial implications of therevised A380 deliveries. As a result, BAE Systems does not believe any credibleor serious assessment of the likely financial impact of such delays can be madetoday. Regarding the sale of its 20% shareholding in Airbus, BAE Systems has previouslyannounced it has served upon EADS a formal notice of exercise of its Put Option.BAE Systems remains confident that the process prescribed in the Shareholders'Agreement will recognise the robustness of Airbus' long-term value over anyshort-term fluctuations. Issued byBAE Systems plcLondon Investor enquiries: 44 (0) 1252 383730Media enquiries: 44 (0) 1252 384719 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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