The Chief Executive Officers, supported by an Executive Committee (the “Executive Committee”), are responsible for managing the day-to-day operations of the Company. The Executive Committee, chaired by the Chief Executive Officers, also comprises the Heads of the major Functions and Divisions of the Group. The Executive Committee met nine times during 2005.

The following matters are discussed, amongst others, at the Executive Committee meetings:

• Setting up and control of the implementation of the strategy for EADS businesses;
• Management, organisational and legal structure of the Group;
• Performance level of the Group’s businesses and support functions; and
• All business issues, including the operational plan of the Group and its Divisions and BUs.

The internal organisation of the Executive Committee is defined by the business allocation among the members under the supervision of the Chief Executive Officers. Notwithstanding the joint responsibilities as defined above, each member of the Executive Committee is individually responsible for the management of his portfolio and must abide by decisions taken by the Chief Executive Officers and the Executive Committee, as the case may be.

The Chief Executive Officers endeavour to reach consensus among the members of the Executive Committee on the matters discussed at the Executive Committee meetings. In the event of consensus not being reached, the Chief Executive Officers are entitled to decide the matter. If there is a fundamental or significant disagreement with respect to any undecided matter, the dissenting Executive Committee member may request that the Chief Executive Officers submit such matter to the Chairmen for their opinion.

The term of office for the Executive Committee members is five years.

On 25th June 2005, the Board of Directors appointed the new Executive Committee which is led by the two Chief Executive Officers.