Airbus Defence & Space review targeting year end completion - CFO
A strategic review of Airbus [EPA:AIR] Defence & Space is ongoing with expected completion by the end of 2014, according to the division's CFO, Julian Whitehead.
"I feel we've got a lot of work to do. We think we're making quite good progress quickly," said Whitehead in an interview with this news service at the Farnborough Air Show.
The division was established at the start of 2014, following a major restructuring and the rebranding of the European aerospace and defence giant, which used to be known as EADS. The unit is through the bulk of the restructuring and switched to its new structure on 1 July, he said. "We've finally moved everyone into the new organisational structure. We've got the right people in the right jobs," he said.
As part of this restructuring, the Defence & Space division is reducing headcount by 5,300 by the end of 2016. Cutting staff has been no easy task in Europe due to the social processes involved, said Whitehead.
When questioned if the review would result in portfolio optimisation, Whitehead said that "in due course it might mean we want to divest or acquire".
The division will not rush through the strategic review due to the complexities involved. "What we're doing is standing back and looking at all the business areas we've got and how they add to value chains," he said.
Defence & Space has four business lines; military aircraft; space; communications, intelligence & security; and electronics.
Today at Farnborough, Airbus Group announced that it now has more than 3,000 firm orders for its new A320neo aircraft and that AirAsia X had signed a memorandum of understanding to buy 50 A330neo widebody aircraft.