EADS's third-quarter losses were worse than predicted due to delays in a major military project and it has cut its profit forecast. The parent company of planemaker Airbus acknowledged that its controversial restructuring plans are inadequate to cope with what Chief Executive Louis Gallois called the dollar's "unbearable" slide.
In the first three months of the year EADS lost 10 million euros, between January and June it was showing a 71 million euro profit, but the year to September figures confirm a 705 million euro loss. There was a one point three seven billion euro charge in the third quarter from delays to the A400M military transport aircraft.
The project has been pushed back by six to 12 months. Despite the problems there, and with the A 380 superjumbo, analysts say EADS's core business is doing better than expected. The aerospace group's shares rose in response to Gallois' pledge of more cost cuts to find additional savings of around one billion euros in the next three to four years.
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