EADS to extend cost-cutting plan

EADS has announced an extension to its Power8 restructuring programme to save another billion euros ($1.6bn; £790m) a year from 2011-12.

The aerospace company already aims to cut 10,000 jobs and save 5bn euros in the first five years of the programme.

The announcement came with the release of three-month results. Net income from April to June came in at 118m euros, up 46% from the same period of 2007.

EADS also said it had done well with orders from the Farnborough Air Show.

The company has increased its forecast of orders for its Airbus unit this year from 700 to 850 following the air show. As a whole, EADS received 247 aircraft orders at Farnborough.

Earlier this week, Emirates Airlines received its first Airbus A380. Emirates is the second customer to receive the super-jumbo.

EADS said it was taking "decisive actions" on currency hedging and had started to buy a "significant amount" of US dollar options.

The company is particularly vulnerable to the weakness of the US currency because most of its products are paid for in dollars while most of its expenses are paid in euros.

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