EADS – more formally known as the European Aeronautic, Defence & Space Co. – is to take the name of its flagship brand Airbus as it reorganises.
At the same time that was announced, the company confirmed an increase in Airbus’ order target and unveiled upbeat mid-year earnings.
The reorganisation will give it a similar structure and style to arch-rival
Chief Executive Tom Enders said the move – which may include job cuts – should improve profits: “Airbus is two thirds of our revenues, Airbus is the most internationally known brand, whereas EADS was never quite a household name beyond the European nations.”
He said the decision to unite under a globally recognised
brand should galvanise the rest of its businesses: “To restructure, consolidate our defence and space business… in order to become more competitive in the market and hopefully also more profitable.”
Once approved by the board, EADS will take the name Airbus Group.
Eurocopter, which is the world’s largest commercial helicopter maker, will be renamed Airbus Helicopters.
Defence and space activities will be combined in one division, to be based in Munich, as a way of streamlining the company’s offerings.
Powered by demand for airliners,second-quarter EADS operating
profit rose 23 percent to 887 million euros on revenue of 13.945
billion, up 3.0 percent.
EADS raised its 2013 order target for passenger jets by 25 percent to more than 1,000 aircraft.