On modified Airbus A400M Contract European Nations agree

French Defense Minister Herve Morin expressed on Friday that the 7 main partners in the Airbus A400M military airlifter have done an agreement on an modify contract amongst the customer governments and Airbus.

The bothered A400M program is proceeding 4 years late and much more than EUR5 billion by the first EUR20 billion budget.

The governments have been squabbling for almost 2 years as how to divide the additional costs, and have decided to raise the cost of each plane by EUR11 million, Morin expressed that.

Louis Gallois, chief executive of European Aeronautic Defence & Space Co. NV (EADSY, EAD. FR), expressed that the modified agreement applies no supplementary costs for EADS further than those put out in a beginning agreement reached in March this present year.

He expressed that EADS has provisioned an entire EUR4 billion for further costs on the program, comprising EUR1.8 billion put in side in 2009.

Just 1 thing that has altered from a financial opinion is that few payments done by the states have been extensive in time as expressed by Gallois.