ess Trust of India / Paris September 21, 2006The European aerospace group EADS today warned of new delays in deliveries of its Airbus A380 superjumbo airliner.This is the second big setback for the group and its customers within three months."Continuing industrialisation challenges with the wiring of production aircraft have been identified and are being tackled," EADS said in a statement."Consequently, from what is known today, there will be further delays." The company said it had "not finalized the schedule of deliveries nor the financial impact of any delays". But it said it would provide more information within four weeks.In London today, the Guardian newspaper reported the A380 would be delayed by up to six months and that at the end of this month Airbus would announce cost cuts, involving job losses, of at least $2.54 billion per year.A French newspaper report yesterday had suggested the company would announce new delays of up to six months.Last week, Mike Turner, the head of British group BAE Systems which builds wings for Airbus of which it owns 20%, said he expected new delays and also suggested that Airbus might have to raise new capital.In early trading in Paris today the price of shares in EADS was showing a fall of 1.36% to euro 22.49.EADS, which owns 80% of Airbus, had already announced in June that deliveries of the A380, which can carry up to 840 passengers, would be delayed by at least a year because of production setbacks.
