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3/5/07

Businessweek Online: France offers to boost stake in Airbus - by Angela Doland

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France offers to boost stake in Airbus - by Angela Doland

France's outgoing prime minister and leading presidential candidates offered to come to Airbus' aid on Monday, highlighting the high political stakes in the struggle to rescue the European planemaker. Prime Minister Dominique de Villepin and conservative candidate Nicolas Sarkozy said the government would be ready to boost its stake in the company through a capital increase.

Airbus announced a restructuring plan including massive job cuts and factory selloffs last week, but has said it will seek to avoid layoffs by using voluntary plans such as early retirement.

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