EU Says No Place for EADS Golden Shares

Fri Mar 7, 2008 11:06pm GMT
[-] Text [+]

BRUSSELS/BERLIN (Reuters) - The European Commission warned France and Germany on Friday not to introduce "golden shares" at aerospace group EADS (EAD.PA: Quote, Profile, Research) as a tool to ward off potential foreign predators.

But Berlin said Brussels was missing the point in how best to protect a flagship group essential to national security.

The issue highlights concerns about how much control foreign investors should be allowed to have over companies such as EADS (EAD.DE: Quote, Profile, Research), which makes the Eurofighter jet, missiles, rockets, helicopters and satellites.

"The general view on golden shares is clear. The European Commission doesn't think golden shares have a place in the single market," European Commission spokesman Oliver Drewes told a regular news briefing when asked about the situation at EADS.

Arguing that free movement of capital is at stake, Brussels has been campaigning against golden shares, which give states special rights in publicly listed companies.

In Berlin, government aerospace coordinator Peter Hintze said Germany, France and EADS' major shareholders had held "good talks" on whether to adopt golden shares but that it was still an open question as to whether an agreement could be reached.

Hintze, who is also a deputy economy minister, dismissed Brussels' opposition to the idea, noting states had a clear right to defend national interests when it came to armsmakers.

"I consider the Commission spokesman's comments to be missing the point," he told Reuters.

German carmaker Daimler AG (DAIGn.DE: Quote, Profile, Research), a major EADS shareholder, said owners of the Airbus parent had not agreed any steps that could limit the influence of foreign investors.  Continued...

 
EAD.PA
Last:
Change:
Up/Down:
 
by Name by Symbol