No rush to decide on EADS-BAE merger

Germany's defence minister, Thomas De Maizire, reckons the October 10th deadline for thrashing out details of a merger between EADS and BAE Systems might be on the optimistic side.

"Perhaps we need more time. It depends on the answers for our questions and so I think we need more time," Thomas de Maizire told reporters in Nicosia, when asked about the proposed tie-up between Airbus owner EADS and British defence firm BAE.

De Maizire revealed he had constructive discussions with his French and British counterparts on Wednesday evening, but the proposed merger is a complex issue, not least because of national security concerns. Under the current proposal, France's EADS would be the senior partner of the combined entity, which might not sit well with some of BAE Systems' military customers.

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De Maizire said it was not for him to determine whether the currently proposed 60/40 post-merger weighting in favour of EADS was appropriate.

EADS and BAE Systems have said they will offer France, Germany and Britain a "golden share" in the new company, enabling them to veto any future takeover.

JH