The cash and cash equivalents and securities portfolio of the Group is invested mainly in non-speculative financial instruments, mostly highly liquid, such as certificates of deposit, overnight deposits, commercial paper, other money market instruments and bonds. See “Hedging Activities — Interest Rates” and “Notes to Consolidated Financial Statements (IFRS) — Note 30a: Information about Financial Instruments — Financial risk management”.

EADS has a fully automated cross-border cash pooling system (covering France, Germany, Spain, the Netherlands, the U.K. and the U.S.). The cash pooling system enhances Management’s ability to assess reliably and instantaneously the cash position of each subsidiary within the Group and enables Management to allocate cash optimally within the Group depending upon shifting short-term needs.

Total cash and cash equivalents (including available-for-sale securities) in 2007 includes €0.6 billion from the 37.5% consolidation of MBDA, compared to €0.6 billion in 2006 from the 50% consolidation of MBDA.