Aerospace and defence company EADS has confirmed it is cutting nearly 6,000 jobs.
The firm revealed the job losses are necessary in the wake of a dip in government contracts.
Tom Enders, chief executive of EADS, stated that the company has to become more competitive and the only way to do this is to reduce costs.
"With our traditional markets down, we urgently need to improve access to international customers, to growth markets," he said in a statement.
EADS also revealed plans to reorganise its European defence and space businesses, with sites in Germany, France, Spain and the UK all set to be consolidated under the proposals.
Stevenage, Portsmouth and Newport are expected to be the three UK sites affected by the job losses, with around 450 positions likely to be lost.
In the early stages of trading today (December 10th), the share price of EADS was holding firm. At 08:25 GMT, its stocks were 0.04 per cent lower compared to the start of the session.
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