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. Last Updated: 07/27/2016

Europe Defense Merger

PARIS -- Merger talks between French, German and British aerospace groups are at an advanced stage and an agreement to form a European defense giant could come quickly, a senior French executive was quoted as saying Wednesday.

"A three-way merger could go ahead very quickly, all the conditions are in place," Lagardere managing partner Philippe Camus told the French daily La Tribune, referring to talks between Aerospatiale-Matra, British Aerospace and Germany's Daimler-Benz Aerospace.

A three-way merger would be a first step to consolidate the European defense and aerospace industry, which is seen as necessary to compete with huge U.S. groups formed in the 1990s.