Friday, March 02, 2007

Down and down it goes

They're not lovin' that spin they're in:

PARIS, March 2, 2007 (AFP) - Shares in Airbus parent company EADS plummeted for the second day in a row on Friday as worries piled up over the crisis at the European jet maker.

A key client cancelled an order for aircraft on Friday, trade unions were in revolt against job losses announced earlier in the week, and questions remained about new finance, analysts said.

On the Paris stock exchange, shares in EADS closed the day 4.02 percent lower at 23.63 euros in a broadly weaker market. On Thurdsay, shares had fallen 4.98 percent, taking the total decline over two days to 9.0 percent.

At the end of a torrid week for Airbus, US-based freight group UPS heaped more misery on the company on Friday by cancelling an order for 10 Airbus A380 superjumbo freighters because of delivery delays.

Airbus had pre-empted the announcement on Thursday by revealing that it had stopped development of the cargo version of its star A380 superjumbo jet, which is running two years behind schedule because of production problems and for which UPS was the sole remaining customer.

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