Not That Into You

BAE and EADS End Merger Talks

Shareholding governments could not agree on deal.

At least they broke up before they started dating. Aerospace companies EADS and BAE systems have ended merger talks after European governments failed to reach an agreement. EADS, which manufactures Airbus passenger planes, announced they were in discussions for a merger with BAE in September, and the combined market value of the new company would have been nearly $50 billion. But the governments of France, Germany, and Spain, which are all shareholders in EADS, could not agree about their holdings in a combined company. It was also unclear how BAE Systems could continue to operate in the United States if European governments kept a large stake in the company.