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EADS loses out on euro weakness

Aerospace group EADS’s hedging programmes will prevent the company from taking advantage of the weaker euro over the next two years, chief executive Louis Gallois told shareholders yesterday. Gallois noted a hedging programme would mute currency impacts for 2010, 2011 and at least part of 2012 but said the stronger dollar “will certainly improve profitability over time.” EADS’ revenue guidance for 2010, targeting stable results compared to 2009, assumes a ratio of $1.40 to the euro. The euro hit a four-year low of $1.2112 yesterday.