Letter to President of the United States of America George W. Bush

June 19, 2006

President George W. Bush
The White House
1600 Pennsylvania Ave. NW
Washington, D.C. 20500

Dear President Bush:

As you meet with European leaders this week, I urge you to speak out against any effort by European governments to provide illegal subsidies to Airbus and its parent company, the European Aeronautic Defence and Space (EADS). After a series of management, design and production failures, EADS is hemorrhaging in the marketplace and will likely seek government aid to salvage their position.

A clear and strong message from you will show America's continued resolve to force EADS to play by the rules of international trade. Tell Europe that the United States will not tolerate illegal subsidies to salvage the A350. Tell Europe that you expect them to reach an agreement at the negotiating table and that another round of market-distorting subsidies will only further imperil our relationship.

Your Administration has been a strong advocate for fair play in commercial aerospace. I've been pleased to work with you and the U.S. Trade Representative to stand up for America's aerospace workers. Today, however, that progress is being jeopardized by EADS's escalating problems.

Last month, EADS Co-Chief Executive Noel Forgeard said, "If there is a solution soon, then we could think about alternative financing. But in the other event, we may consider applying for government loans."

Those so-called "government loans" are the very same market-distorting subsidies that EADS has used for years to kill American aerospace jobs.

EADS is failing, and it's likely to seek the illegal subsidies that have propped up the company in the past. I urge you to tell European leaders that subsidies must be taken off the table.

Sincerely,

Patty Murray
United States Senator

http://murray.senate.gov/news.cfm?id=257403