'Major crisis' as Airbus faces two investigations (Stock market regulators)

MSNBC ^ | 15 June 2006 | By Peggy Hollinger in Paris and James Mackintosh and James Boxell in London

[Sometimes A River]

EADS, the parent company of Airbus, is facing twin probes by French stock market authorities and its main shareholders following its shock profit warning and admission of delays on its flagship A380 airliner.

Arnaud Lagardère, one of the Franco-German aerospace group's co-chairmen, said EADS was in a "major crisis".

The AMF, France's stock market regulator, is understood to be looking into share sales by several directors in March, including Noël Forgeard, the joint chief executive who made a gain of about €2.5m ($3.2m) just weeks before the board was alerted to problems in the world's biggest passenger aircraft.

On Thursday the share sales by at least three EADS directors drew calls for inquiries from politicians and shareholder lobby groups.

[Sometimes A River]

pingaroo

[Chad_the_Impaler]

Airbus = French Enron?

[Yossarian]

Since Airbus is a state-backed concern, I would be suprised if the French powers-that-be allow a full and complete investigation into the company. Either that, or Noël Forgeard should start hiring a food taster....

[inkling]

EADS, the parent company of Airbus...

More like "EGADS!"

[Steely Tom]

But Business Week spent it's most recent issue talking about all the problems Boeing's having with the 787, although, after reading their "exclusive" scoops, they seemed to come down to this: there are some problems, sometimes, with bubbles in the fuselage sections (the biggest ones ever made by man), and... what was the other one? Oh yeah. Building a big airplane with lots of parts is "hard."

[AmericaUnited]

what was the other one? Oh yeah. Building a big airplane with lots of parts is "hard."

If building the world's most advanced airliner was easy, we'd all be building them in our backyards and garages.

[VOA]

bump

[Andyman]

To the French people: Remember what happened when you financed the Panama Canal.

[Calpernia]

>>>>If building the world's most advanced airliner was easy, we'd all be building them in our backyards and garages.

Or in a bicycle shop!

:)

[Erasmus]

Building a big airplane with lots of parts is "hard."

Aerospace Barbie!

[randog]

The company also defended the share sales saying that under strict company statutes executives could only sell shares in a tight three-week window.

Wow, they might have missed the window if, like, their alarm clocks hadn't gone off.

</sarc>

[Calvin Locke]

BW never changes. About 20 years ago, I was working for a startup company. A BW reporter came in, and one of the
founders had me give a her a demo of the product.

I was disappointed in the article, and not just because it didn't mention me..., but it was boring, and ended on a
negative note.

Sounds like they used the formula with the 787. Give me Forbes or Fortune to read. Yes, I know, they're not
weekly publications. There's also Barrons.

[Steely Tom]

BW never changes.

They seem to have about the same POV as do those business shows on NPR (I can't remember the name). I read it almost never (like, on one of my infrequent airline flights), but their formula seems to be: something about the Fed, something about a company that is involved in some kind of scandal, something about a company that's having some other problem, a story about how high taxes are actually good for business, and a story about how rich people can "get more mileage out of their charity dollars."

Perhaps I exaggerate a little.