Airbus parent rallies, but CAE continues downward slide - Share Wrap
After several days of falls (including a 4.0% drop last Friday), Airbus parent, EADS, saw its share price rebound somewhat on 25-May-2009, climbing 2.6%. Military rather than commercial orders have boosted its share price lately. It was reported over the weekend that the Indian military has selected a derivative of Airbus' A330 for its USD1 billion aerial tanker contract.
Other news on military tanker programmes is less promising for EADS. Progress on the competition with Boeing for a new US military aerial refueling tanker appears to have stalled, regarding oversight of the controversial USD1.5 billion contract.
Meanwhile, shares in Canadian simulator supplier, CAE, fell 1.3% yesterday, continuing the downwards trend it has seen since early May. On 14-May-2009, the company announced its financial results, prompting a small rally on news that it plans to cut up to 700 staff and restructure some operations to deal with the global financial downturn.
Selected Aviation suppliers daily share price movements (% change): 25-May-09