Airbus had quite the tumultuous year, with corruption investigations, aircraft delivery delays due to engine issues, doubts over the A380’s future, and financial penalties associated with its A400M airlifter. Despite the difficulties, the company did score a major win during the year with its surprise acquisition of a majority stake in Bombardier’s CSeries program. The year ahead looks to be one of transition as management changeover at the top level continues apace. Continue reading
Spain’s government signed off on an additional EUR856.6 million ($975+ million) in defense spending at a convening of the ruling cabinet on May 14. The top-up funding has become an annual rite as Spain continues to pay off the lingering costs of 19 major defense programs – collectively referred to as the Special Armaments Program – that date back to a previous People’s Party (PP) government led by Jose Maria Aznar (1996-2004). Of the extra funding provided, 99 percent – EUR845 million ($948+ million) – will be allocated toward payments for the Special Armaments Program.
By Dan Darling, Forecast International.
Changes to its fiscal balance sheet and the broader security horizon for Europe have prompted Germany to rethink its approach to defense investment going forward, with the net effect being about a 5.7 percent increase to the country’s defense budget over the coming five-year period.