EADS and Finnish Patria signed contracts for strategic partnership
Helsinki, 27 June 2001
EADS European Aeronautic Defence and Space Company and the Finnish technology group Patria Industries Oyj have signed a strategic partnership agreement, a share purchase and shareholders agreement on Wednesday in Helsinki.
In the presence of the Finnish Minister of Foreign Trade, Kommo Sasi, EADS and Patria representatives confirmed the EADS acquisition of a 26.8 percent share in Patria. They described the future industrial cooperation in such priority areas as joint marketing, manufacturing of aerostructures and activities in defence electronics. The price for the EADS stake in Patria is EUR42 million. The official signature in Helsinki followed a final agreement that was reached at a meeting of Finnish Government officials, Patria CEO Jorma Wiitakorpi and the EADS CEOs PhilippeCamus and Rainer Hertrich last week at the Le Bourget Airshow in Paris.
On that occasion Patria's CEO Jorma Wiitakorpi said: "The strategic partnership will strengthen Patria's business conditions and expansion of its business activities by, for example, opening new possibilities for industrial cooperation and new export channels. It will also enhance Patria's ability to meet the Finnish requirements in the commercial and defence business."
EADS CEOs Philippe Camus and Rainer Hertrich stated: "We welcome the Finnish number one in aerospace as a partner of EADS. Our partnership with Patria is a further move towards the integration of the European aerospace industry. It shows once again that EADS is a driver of European consolidation in our industry."
EADS has nominated three out of nine Patria board members: Friedrich Dörhöfer, Chief Operating Officer Eurocopter, Hervé Garnier, Vice President Western Europe at EADS International and Robert Zaun, Vice President Controlling Aeronautics.
Today, Patria's core business includes products and services in aerospace, defence and telecommunications. The Finnish Government, Patria and EADS intend to consider potential partners for the non-aerospace activities of Patria.
The company operates internationally as a technology group and is mainly located in Finland with some facilities in Sweden. In 2000 Patria had net sales of EUR 209 million (1999: EUR 193 million) and showed an increased Operating Profit of EUR 9.7 million (1999: EUR 2.8 million) while doubling order intake to EUR 426 million. Today Patria is a partnership between the Finnish state (73.2 %) and EADS (26.8%) with more than 2,200 employees.
The contracts are subject to the approval by competition authorities. A deal closing is expected for July 2001.
Contact:
Dr. Rainer Ohler + 49 - 89 - 607 34235
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