GKN notes the recent comments from Tom Williams, Chief Operating Officer of Airbus Commercial Aircraft. These include the following:
“The nature of our industry is one that requires a commitment to long-term investment and strategic vision.”
“The industry does not lend itself to shorter-term financial investment which naturally reduces R&D budgets and limits vital innovation.”
“It would be practically impossible for us to give any new work to GKN under such an ownership model when we don’t know who will be the long-term investor.”
Airbus is GKN’s largest customer, representing 20% of the sales of GKN Aerospace in 2017.
GKN Chairman, Mike Turner, said:
“The comments from Airbus that stress the need for long-term investment and strategic vision in our industry emphasise our firmly held belief that Melrose is not an appropriate owner of GKN.
“Its management lacks the relevant experience and its short-term business model is inappropriate for GKN’s customers and investors.
“As we have previously stated, and as these comments from Airbus reinforce, winning new business in our markets would be more difficult if customers were uncertain as to the identity of their future long-term partners.”