In a move to integrate and strengthen its defence and security business EADS is realigning its defence electronics, military aircraft and telecommunications activities with the formation of the Defence & Security Systems division. With 5 B in revenue and 24,000 employees in nine different countries, the new division will be headquartered in Munich and headed by Tom Enders. Through the merger of the current Telecom and S&DE business units, the company is creating a fully-fledged 'system house', comprising the entire C4ISR chain, air defence systems and secure telecommunications systems as well as future large systems integration capabilities. The division will also include a new concept development, simulation and experimentation entity to develop innovative systems solutions.

EADS CEOs Philippe Camus and Rainer Hertrich said, "EADS Defence & Security will build upon our formidable strengths as a truly global defence systems powerhouse. Growing our capabilities and business revenues in defence is a core strategic priority for the group. A full integration of our operations and offering within one division will move us substantially towards this goal."

Looking to increase its role as a leading prime contractor in defence and security initiatives globally, the new division will enable EADS to offer customers and shareholders alike, greater scope and value. Commenting on this important development, Tom Enders said, "Customers are increasingly looking for innovative and integrated systems solutions to pursue their various transformation efforts. We are meeting those requirements with a leading-edge stronger industrial organisation.

"In particular, EADS Defence & Security Systems will increase our position and product offering in the areas of manned and unmanned mission systems, air defence systems, information, telecommunications and command and control systems, as well as new, network-enabling capabilities."