Workers at Israel Aircraft Industries (IAI)have reacted angrily to Lockheed Martin's discussions over taking a share in the Israeli company, if and when it is privatised.
IAI chairman Yanuch Ben-Gal reveals that a high-level meeting between executives from the two companies took place at the start of the Paris air show. News of the talks provoked a reaction from the workers' union, with 10,000 IAI employees staging a demonstration on 23 June against the sale.
Ben-Gal claims that the meeting dealt with future co-operation between the companies when IAI's state owner decides to sell shares. Lockheed Martin chairman Norman Augustine also confirms that the company had held talks with IAI, but adds that any discussions hinge on IAI's privatisation.
"We have talked with IAI and many other companies about taking a stake, but it would be an unusual circumstance for Lockheed Martin to take a share in a Government-owned company," says Augustine.
The US group is keen to improve its position in Israel in preparation for the next air-force tender for advanced fighters, which is again expected to be a straight race between Lockheed Martin, with its F-16, and McDonnell Douglas, offering its F-15I.
Source: Flight International
