Airbus

Airbus SE

Company type	Societas Europaea (SE)
Industry	Aerospace; Defense
Founded	10 July 2000
Key people	Guillaume Faury (Chief Executive Officer); Thomas Toepfer (Chief Financial Officer); René Obermann (Chairman)
Revenue	€69.2 billion (2024)
Number of employees	156,921 (2024)
Website	www.airbus.com

Airbus SE (from 2000 to 2013 trading as EADS for European Aeronautic Defence and Space) is Europe’s largest aerospace company and, after BAE Systems, the second-largest defense contractor. With revenues of around €52 billion in 2021, Airbus ranked as the third-largest aerospace company in the world. At the turn of 2013/14, the group adopted the name of its subsidiary Airbus S.A.S., which manufactures commercial aircraft. The company employs approximately 138,000 staff at more than 70 development and production sites in Europe, as well as in 35 offices worldwide. Since its foundation in 2000, Airbus shares have been traded on the Paris and Frankfurt stock exchanges and are included in the CAC 40 index and, since 20 September 2021, in the DAX.

History

Founding of EADS

EADS was founded on 10 July 2000 and soon became the largest European aerospace group. It emerged from the merger of the German DASA, the French Aérospatiale-Matra, and the Spanish CASA. The group’s initial structure comprised the following divisions and their leaders:

• Airbus (led by Noël Forgeard)
• Military Transport (EADS CASA, led by Alberto Fernández)
• Aeronautics:
  • EADS Germany (Aloysius Rauen)
  • Eurocopter (Jean-François Bigay)
  • ATR (Jean-Michel Leonard)
  • Elbe Flugzeugwerke (Dierk Minke)
  • EADS Sogerma (Yves Richard)
  • EADS Socata (Philippe Debrun)
• Space:
  • Astrium (Armand Carlier, Joseph Kind, Klauss Ensslin)
  • EADS Launch Vehicles (Philippe Couillard)
• Defence and Civil Systems:
  • Defence Electronics (Stefan Zoller)
  • Services (Jacques Vannier)
  • Missile Business (Fabrice Brégier)
  • Aérospatiale Matra Missiles (Pierre Dubois)
  • LFK (Werner Kaltenegger)
  • Telecommunications (Jacques Payer)

At foundation, the shareholdings were distributed as follows:

• 34.5 percent of shares publicly floated and held in free float
• 30.0 percent held by Daimler AG (sold in 2013)
• 30.0 percent held by Lagardère Group (15 percent) and the French state (15 percent) (Lagardère sold its stake in 2013)
• 5.5 percent held by SEPI (the Spanish state industrial holding company)

In the same year, Rainer Hertrich (German) and Philippe Camus (French) became joint Chief Executive Officers. Due to disagreements among shareholders and the separation of BAE Systems, Airbus became 80 percent owned by EADS and 20 percent by BAE Systems, and was officially described as “an EADS joint venture with BAE Systems.”

By the end of 2000, Airbus officially launched the A380 program, having already secured 50 firm orders.

2001 to 2002

In 2001, EADS established several joint ventures. Among these was a 50/50 joint venture with Thales Nederland called ET Marinesysteme, based in Wilhelmshaven, which produced naval combat management systems. The aim was to broaden the group’s market presence and open new business areas. Another joint venture formed in 2001 was MBDA, combining assets from Aérospatiale Matra Missiles, Matra BAE Dynamics, and Alenia Marconi Systems, to produce missiles used on Eurofighter Typhoon, Dassault Rafale, and Saab JAS 39 Gripen fighters.

That year, EADS Aeroframe Services LLC was founded as a joint venture in which EADS held 81 percent and Northrop Grumman 19 percent; it provided support for all Airbus aircraft operating in North and South America. After the Polish government decided to modernize its armed forces with EADS products (including the C-295), EADS acquired 85 percent of PZL Warszawa-Okęcie, renaming it EADS PZL and fully integrating it. Higher order volumes for the A380, A400M, and Eurocopter Tiger strengthened EADS’s competitiveness against U.S. rivals such as Boeing.

In 2002, EADS revenue increased, especially in the military sector and through collaboration with the United States. Airbus won a contract from easyJet for 120 A319 aircraft, gaining market share from competitor Boeing in the low-cost carrier segment. EADS purchased the remaining shares of Astrium and Paradigm Secure Communications from BAE Systems. In 2002, EADS shares were first listed on the MDAX.

2003 – Restructuring

The expanded product range and market scope led EADS to restructure in 2003, creating five main divisions. One of these was EADS Defence and Security Systems (later Cassidian), which consolidated military business units. The divisions and their leaders were:

• Airbus (Chief Executive Officer: Noël Forgeard; Chief Operating Officer: Gustav Humbert)
  • Airbus Military (Domingo Ureña-Raso)
  • Premium Aerotec (Hans Lonsinger)
  • Aerolia (Christian Cornille)
  • EADS Sogerma (Jean-Michel Léonard)
  • Elbe Flugzeugwerke (Horst Emker)
• Military Transport Aircraft (Francisco Fernández Sáinz)
• Eurocopter (Fabrice Brégier)
• Defence and Security Systems (Thomas Enders)
  • Military Aircraft (Johann Heitzmann)
  • Defence and Communication Systems (Stefan Zoller; Patrick Jourdan)
  • Defence Electronics (Bernhard Gerwert)
  • MBDA (Marwan Lahoud)
  • LFK (Werner Kaltenegger)
  • EADS Services (Jacques Vannier)
  • Eurofighter (Aloysius Rauen)
• Space (François Auque)
  • Astrium Satellites (Evert Dudok)
  • Astrium Space Transportation (Alain Charmeau)
  • Astrium Services (Eric Béranger)

In 2003, Airbus for the first time outperformed Boeing in civil aircraft orders, becoming the market leader in civilian passenger aircraft. The group expanded globally by establishing EADS Russia, the first Airbus design center outside its founding nations. At year’s end, EADS and BAE Systems agreed on the Airbus A350’s marketing, although customers criticized its development for lacking innovations compared to Boeing’s 787, leading Airbus to revise the design.

2005 – Leadership changes

At the beginning of 2005, Thomas Enders and Noël Forgeard were appointed co-Chief Executive Officers of EADS, while Gustav Humbert became head of Airbus. Two Chief Operating Officers—Jean-Paul Gut and Hans-Peter Ring—were appointed to oversee strategy, international business, and finance. In June 2005, the Aeronautics division was restructured into a standalone Eurocopter division, with ATR and EADS Socata reporting directly to the COO.

The 2005 divisional structure and leaders were:

• Airbus (Gustav Humbert)
  • EADS Sogerma Service (Anne-Marie Perus)
  • Elbe Flugzeugwerke (Horst Emker)
• Military Transport Aircraft (Francisco Fernández Sáinz)
• Eurocopter (Fabrice Brégier)
• Defence and Security Systems (Stefan Zoller)
  • Military Air Systems (Johann Heitzmann)
  • Defence and Communication Systems (Hervé Guillou)
  • Defence Electronics (Bernhard Gerwert)
  • MBDA (Marwan Lahoud)
  • Eurofighter (Aloysius Rauen)
• Space (François Auque)
  • Astrium (Antoine Bouvier)
  • Astrium Space Transportation (Evert Dudok; Alain Charmeau)
  • Astrium Services (Eric Béranger)

The year 2005 was marked by the first A380 deliveries and the first deliveries of the Eurofighter Typhoon in final configuration.

2006 to 2009

On 2 July 2006, Noël Forgeard resigned as EADS CEO and was succeeded by Louis Gallois, former head of SNCF. At the same time, Gustav Humbert resigned as head of Airbus, and Christian Streiff became his successor in July 2006.

In August 2006, EADS won a €3–4 billion contract with Siemens to build Germany’s new digital police radio network (TETRA). BAE Systems sold its 20 percent stake in Airbus to EADS for €2.75 billion, making EADS sole owner of Airbus. Also in August 2006, Russian bank VTB acquired 5.02 percent of EADS shares for approximately €781 million, planning to increase its stake to 6–7 percent to gain influence.

In early October 2006, Christian Streiff resigned after just three months; Louis Gallois assumed his duties in addition to his role as EADS CEO. Gallois announced a competition between Hamburg and Toulouse for final A380 assembly. DaimlerChrysler announced its intention to reduce its EADS stake by 7.5 percent, prompting political efforts in France and Germany to preserve balance. A consortium of banks took over this stake without voting rights, allowing DaimlerChrysler to potentially repurchase later.

In 2006, EADS and Northrop Grumman won a U.S. Air Force contract for 179 A330-based KC-45A tanker aircraft to be assembled in Mobile, Alabama—a first major production move to the United States. On 10 September 2008, the U.S. Defense Department canceled the award and deferred the decision to a subsequent administration, after the Government Accountability Office raised procurement concerns. In March 2010, EADS/Northrop Grumman withdrew from the competition, and in February 2011, Boeing was awarded the tanker contract.

In July 2007, Dubai International Capital acquired a 3.12 percent stake in EADS. On 16 July 2007, the dual-CEO structure was abolished; Louis Gallois became sole CEO, Thomas Enders took over Airbus, and Rüdiger Grube became Chairman of the Supervisory Board.

In March 2008, EADS and Northrop Grumman won a US Air Force contract to modernize tanker aircraft, worth at least $35 billion. In July 2009, EADS’s Defence and Security division secured a $1 billion contract to provide border security systems for 9,000 km of Saudi Arabia’s border—the largest project of its kind.

2010 – Division renaming

In 2010, EADS Defence and Security was renamed Cassidian, and EADS Astrium became Astrium. ATR reported directly to the COO. The divisional structure that year was:

• Airbus (CEO: Thomas Enders; COO: Fabrice Brégier)
  • Airbus Military (Domingo Ureña-Raso)
  • Premium Aerotec (Hans Lonsinger)
  • Aerolia (Christian Cornille)
  • EADS Sogerma (Jean-Michel Léonard)
  • Elbe Flugzeugwerke (Andreas Sperl)
• Eurocopter (Lutz Bertling)
• Cassidian (Stefan Zoller)
  • Cassidian Air Systems (Bernhard Gerwert)
  • Cassidian Systems (Hervé Guillou)
  • Cassidian Electronics (Bernd Wenzler)
  • MBDA (Antoine Bouvier)
  • Eurofighter (Enzo Casolini)
• Astrium (François Auque)
  • Astrium Satellites (Evert Dudok)
  • Astrium Space Transportation (Alain Charmeau)
  • Astrium Services (Eric Béranger)

By the end of 2010, Airbus had overtaken Boeing in civil aircraft orders for the first time.

2011 to 2013

Failed merger with BAE Systems

In July 2012, reports surfaced of a possible takeover of BAE Systems by EADS. On 10 October 2012, EADS and BAE announced that the proposed merger had failed due to a lack of agreement among the participating governments, with EADS blaming the German government for the collapse of negotiations.

Shareholder changes

In April 2013, Lagardère sold its remaining EADS shares.

2014 – Renamed Airbus Group

On 31 July 2013, EADS announced that, effective 1 January 2014, it would be renamed Airbus Group. The former divisions Airbus Military, Astrium, and Cassidian were merged into the new Airbus Defence and Space division, headquartered in Munich.

2015 – Change of legal form

On 27 May 2015, Airbus Group N.V. transformed into a Societas Europaea (SE) and adopted the name Airbus Group SE as of 2 June 2015. As the corporate headquarters are not located in Germany, Airbus Group SE is not subject to German co-determination rules.

2017 – Transformation program

In 2017, Airbus Group SE and its largest division, Airbus Commercial Aircraft (Airbus S.A.S.), were merged into a single new entity named Airbus SE. In April 2019, Guillaume Faury succeeded Tom Enders as CEO.

Divisions

Airbus Commercial Aircraft

Airbus Commercial Aircraft is the largest division. Its product line ranges from the A318 to the A380, which was first delivered to Singapore Airlines on 15 October 2007 as the largest passenger aircraft in the world. Following A380 production challenges, Airbus reported a loss in 2006—the first loss in its history as the group’s main profit center.

Airbus Defence and Space

The Airbus Defence and Space division was created in 2014 by merging Cassidian, Astrium, and Airbus Military. Headquartered in Ottobrunn/Taufkirchen near Munich, its product portfolio includes military aircraft (e.g., Eurofighter Typhoon, A400M, A330 MRTT, C-295 Persuader), satellites and orbital systems, commercial launch vehicles (ArianeGroup), missiles (MBDA), defense electronics, security solutions, and communication technology.

Airbus Helicopters

Airbus Helicopters (formerly Eurocopter until 1 January 2014), founded in 1992, is a Franco-German-Spanish subsidiary. In 2009, it held a 52 percent share of the civil and parapublic helicopter market, with €4.6 billion in revenue and 344 orders. Its products represent 30 percent of the world’s total helicopter fleet. Supported by 18 subsidiaries on five continents, it maintains a network of dealers and maintenance centers. Over 10,500 Airbus Helicopters are in service with more than 2,800 customers in over 140 countries. Airbus Helicopters is the largest manufacturer of civil and military rotorcraft, employing around 15,600 staff.

Other operations

Civil aircraft production also includes Airbus Aerostructures (formerly Premium Aerotec) for structures and manufacturing systems; Airbus Atlantic (formerly Stelia Aerospace, previously Aerolia and Sogerma) producing structural, skin, and cabin interior components; Airbus Transport International, operating five Beluga and six Beluga XL transport aircraft; and Elbe Flugzeugwerke in Dresden, which specializes in converting passenger to freighter aircraft and conducts Airbus A380 structural tests.

Additional products and joint ventures include ATR turboprop regional aircraft, SOCATA (sold in 2009 and now Daher Airplane) for light sport and general aviation aircraft, and Tarmac Aerosave, Europe’s largest aircraft storage, maintenance, and recycling company. Group-wide research and development operates under Airbus Group Innovation.

The group also runs an Airbus Global Business Services center in Lisbon, Portugal.

Further reading

• Carsten Bockstette, _Corporate Interests, Network Structures, and the Emergence of a European Defence Industry: A Case Study of the Founding of the European Aeronautic Defence and Space Company (EADS)_, Dr. Kovač Verlag, Hamburg, 2003, ISBN 3-8300-0966-6.

External links

• Official website: http://www.airbusgroup.com/