27 March 2008
European aerospace firm EADS has announced it is to pay its suppliers in dollars, so it can remain competitive.
In an interview with the Financial Times, Louis Gallois, chief executive of the firm, said: "We will pay them in dollars. That is clear. We must prepare ourselves to be competitive with a weaker and weaker dollar."
Announcing the group's annual results this month, Gallois said 2007 had been a tough year for the group, "with many high profile challenges to be overcome". The group recorded a net loss of ?446 million (£352 million) last year. But Gallois remained confident about the future: "Improvements across the board and our recent success in the US defence market point to a promising start to 2008. Our short-term focus is now to further improve programme management and to secure the ramp-ups ahead."
One element of this will be the firm's "Power8" cost savings plan, which aims to save £2 billion a year by 2010. "Implementation is on track at all levels," he said.