Newly merged divisions aiming to increase profitability and growth
Aerospace industry in the United Kingdom
Airbus Defence and Space may be a new brand, but the former defense and space businesses of EADS face a familiar problem: how to remain profitable when European defense budgets are in decline and export competition is intensifying. The combining of Airbus Military, Astrium and Cassidian took effect at the executive level on January 1. Three weeks earlier, a reduction of 5,800 jobs at the new combined division over the next three years was announced.
Less than three years after it was renamed Cassidian, the defense and security business of EADS is being rebranded again. In fact, the EADS name will disappear in a reorganization that includes application of the “globally recognized Airbus brand” to all the group’s activities. “We affirm the predominance of commercial aeronautics in our group,” said CEO Tom Enders.
European aerospace conglomerate EADS reported increased revenues and profitability for the first half of the year on Wednesday, driven mainly by its Airbus commercial aircraft business. The company said it will rebrand itself next year as the Airbus Group to emphasize the predominance of its commercial business.
Airbus began the 2,500-hour flight-test program for the A350 XWB when the new long-range widebody took off for the first time at almost exactly 10 a.m. local time in Toulouse, France, on Friday. The eagerly awaited first flight over southwestern France lasted slightly more than four hours and the twinjet, powered by Rolls-Royce Trent XWB engines, touched down safely back in Toulouse at 2:05 p.m.
“It’s clear for us that this is the year of the A400M. The aircraft is ready, and it will be the reference for the next 30 years.” These were the words of Airbus Military’s Domingo Ureña-Raso, speaking just prior to the Paris Air Show.
Airbus has finished building the main structural assembly and system connection of the first A350 XWB flight test aircraft, MSN-001, the company announced on Tuesday. The aircraft rolled out of the main assembly hall (Station 40) at the recently inaugurated “Roger Béteille” A350 XWB Final Assembly Line in Toulouse.