EADS eyes tie-up with Thales to take on US rivals

BRUSSELS (Reuters) - Airbus parent EADS is open to a tie-up with French defence electronics firm Thales (TCFP.PA: Quote, Profile, Research) to consolidate Europe's defence industry and take on U.S. rivals, the CEO of EADS's Defence and Communications Systems said.

"If we do not progressively consolidate in Europe -- I don't know in which way we will do it -- then we will fail in being the alternative to U.S. dominance in defence and security in the world," EADS's (EAD.PA: Quote, Profile, Research) Herve Guillou told Reuters on Wednesday.

"So our duty as a European company is to look forward to some sort of consolidation," he added. "It can be Thales. It can be other companies. We are totally open ... Thales has always been our best friend since many years."

(Reporting by Ingrid Melander; Editing by Dale Hudson)