It is clear that national sensitivities are not going to be overcome easily. Germany's conviction of the importance of retaining its current level of control over EADS, and its flagship division Airbus, was demonstrated earlier this year by its insistence that the reduction in DaimlerChrysler's shareholding should not mean a reduction in Germany's influence. A German consortium was formed to take on the 7.5% stake the car manufacturer sold.

Former Airbus boss Jean Pierson, who steered Airbus through choppy waters in the 1990s, says that Franco-German tensions could sink EADS unless its shareholder base is radically overhauled. Pierson, who ran Airbus as a consortium of French, German, Spanish and UK partners between 1985 and 1998 before the creation of EADS, says: "The system we have now cannot last. EADS as a company is heading to the wall. I don't see who is going to agree to make concessions."

Source: Flight International