Tonight:
5°c
French banks to get cash for Airbus lift
Bill Condie26 Jan 2009
The French government is planning to hand over
€5 billion (£4.7 billion) to banks on condition they use it to finance Airbus plane purchases.
The planemaker faces difficult conditions with the world's airlines contracting.
The aviation industry is one of France's biggest export earners, and is home to thousands of hi-tech jobs.
As well as facing slower sales, Airbus may be hit by a supply crisis because of the downturn in the global automotive industry.
That is expected to put parts suppliers, many of which the two industries share, out of business. Banks with a history of aircraft financing such as Calyon, Société Générale and BNP Paribas are likely to be beneficiaries.
“The aim is to prevent airlines from cancelling orders citing difficulties in raising money,” Les Echos newspaper said.
The French government has already pledged help on a smaller scale for aeronautical suppliers, and to bolster research.
Reader views (1)
So strings attached - you hear that Crash Gordon? NOT just hand over the money and ask questions LATER!!
- Steveo, London, 26/01/2009 19:01
Report abuse
