The chief executive of BAE Systems says he is "disappointed" the potential merger the company and EADS, who make Airbus aircraft has been cancelled.
"We are obviously disappointed that we were unable to reach an acceptable agreement with our various government stakeholders."
BAE Systems stepped up its efforts to reassure staff, customers and investors today in the wake of its abandoned attempt to merge with EADS.
Plans to create a European aerospace and defence giant were in tatters tonight after German opposition scuppered the £28 billion deal.
Defence Secretary says proposed merger of BAE and EADS collapsed because it was "too difficult" to reconcile differences of the governments.