Falling Dollar Worries OEMs

 - March 28, 2008, 5:58 AM

Dassault Aviation CEO and Gifas chairman Charles Edelstenne, speaking at French aerospace trade group Gifas’s annual meeting last month, said the French aerospace industry wrote a record E57.5 billion in orders last year but warned, “These results hide a very worrying reality. With the euro currently valued at over $1.50, orders are less profitable” since the aerospace industry sells its products in U.S. dollars. “Strategies such as currency hedging and raising productivity, which have already been adopted to compensate for the falling dollar, are now no longer enough,” he added, “obliging us to move some of our activities abroad.”