The Government said that it was clear the proposed BAE EADS merger had commercial logic, but insisted the merger would only be successful if the interests of all parties were met. A Government spokesman said:
The two companies will remain as successful independent companies, each with a significant presence in the UK. The Government has always been clear that it could see the commercial logic of this deal but that it would only ever work if it met the interests of all the parties involved. Today the two companies decided that a merger cannot be concluded on this basis.