DaimlerChrysler sells off a part of their owned stake in Airbus owner EADS

DaimlerChrysler sells off a part of their owned stake in Airbus owner EADS

DaimlerChrysler AG has confirmed in a statement that they have sold off a third of its stake in European Aeronautic Defense & Space Co. (EADS).

EADS is the parent of European aircraft manufacturer Airbus. The company sold off this stake for about 1.5 billion Euros and they plan to use these funds to reorganize the Chrysler division.

DaimlerChrysler still retains 15 percent of the stake. The 7.5% stake was sold to German banks and states who were instructed by the government to go ahead with this deal.

Thomas Froehlich, a DaimlerChrysler spokesman added in a statement on this stake sale: “We want to concentrate on our core business. It’s a strategic rationale not a financial one.”

Market analysts have said that the company Chief Executive Officer Dieter Zetsche is due to announce a plan to boost sales and reduce costs at Chrysler.