The new A400M will replace the C-130 Hercules and C-160 Transall fleet.

Top European aerospace and defence group EADS has today announced that delays of up to 12 months on the development of the A400M military aircraft could slash its third quarter profits by  €1.2 billion–€1.4 billion (£83 million-£97 million).

More than €1bn (£70m) will be taken from its aircraft manufacturing division, Airbus, the company said.

In a statement, EADS revealed that the figure does not include any potential issues which could arise from flight testing, engine development and military systems – it is remaining, “in close contact with its suppliers on these matters.”

The A400M will replace the ageing C-130 Hercules and C-160 Transall fleet of aircraft, and will offer twice the payload and volume of its predecessors.

It will be equipped with state-of-the art technology including: a fly-by-wire flight control system with sidestick controllers; flight envelope protection system; advanced structural design; high performance turboprop engines; and high flotation landing gear.

By Natasha Piscitelli