Stmnt re Airbus Integration

BAE SYSTEMS PLC
12 July 2001


BAE SYSTEMS and EADS complete Airbus integration: Airbus SAS formally         
established                                                                   



BAE SYSTEMS and EADS(European Aeronautic Defence and Space Company) completed
the legal and tax procedures on Wednesday, 11 July to make the fully
integrated Airbus company a formal legal entity. 

The new entity is named Airbus.  It is incorporated under French law as an SAS
and based in Toulouse, France.  Airbus has operations in France, Germany,the
United Kingdom and Spain as well as subsidiaries in China, Japan and North
America.

Airbus has been operating as a fully integrated company since January of this
year.  Its two shareholders, BAE SYSTEMS and EADS announced at that time that
all contractual conditions required for the integration of the Airbus
activities of both partners were fulfilled and agreement on common decisions
had been reached, including the future Airbus business plan.


issued by:
BAE SYSTEMS PLC 
London