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EADS Forecasts Cash Outflow in 2013 on A350 Development

European Aeronautic, Defence & Space Co. cut its free cash outlook for the full year as it spends more on aircraft programs including the A350 and said it may need to review output of its A380 superjumbo amid slack demand.

The parent of Airbus SAS predicted a 1.5 billion euro ($2 billion) cash outflow instead of breakeven, as it reported third-quarter earnings. If Airbus doesn’t find customers by year’s end to fill A380 delivery slots for 2015 it may be forced to trim production below the 30 units needed to pull the program from deficit, Chief Financial Officer Harald Wilhelm said.