EADS Names New Management

More than 50 top managers have been named for the European Aeronautic, Defense and Space Company (EADS). The new aerospace and defense giant, formed by the merger of Aerospatiale Matra and DaimlerChrysler Aerospace, is due to be formally established in the second quarter of this year.

EADS will be managed by an executive committee comprising the leaders of its principal divisions. Among those named to the committee are Airbus chief Noel Forgeard, who will be CEO of the EADS Airbus Division, with Gustav Humbert as chief operating officer. Dietrich Russell will lead the Aeronautic Division, and Alberto Fernandez will double as head of the Military Transport Aircraft Division and chairman of CASA. Francois Auque will lead the Space Division.

EADS is to have a border-spanning management structure, with single management teams covering all three countries where it is represented. The only areas where EADS will have purely national management functions will be those that relate directly to national government customers, national employment laws and other strictly national regulations.

Although the first batch of executive appointments has been made according to national quotas-23 German, 25 French and four Spanish-this breakdown is not enshrined in EADS statutes. "The first and foremost criterion must be to choose the best person for the job," says EADS co-chairman Jean-Luc Lagardere.

EADS says it intends to drive decision-making authority down to the lowest practical level in all its operations, and has ambitious goals: EADS vows to be a company that sets the standards for profitability, innovation and quality.

The EADS partners are "making every effort" to meet the second-quarter date. However, the deal is subject to review by multiple government bodies, by both national and European Union entities. Differences among national corporate, tax and labor laws likewise pose problems which remain to be solved.

By Bill Sweetman