Wires

Daimler still aims to reduce EADS stake this year

FRANKFURT, Oct 10 (Reuters) - German automotive groupDaimler remains in talks with the German governmentto lower its stake in European aerospace group EADS byselling a 7.5 percent holding to state-owned development bankKfW .

"We still aim to further reduce our stake in EADS thisyear," said a Daimler spokesman on Wednesday.

Earlier EADS and BAE Systems called off the world'slargest defence and aviation merger, with sources close to thetalks blaming Germany for wrecking the $45 billion deal.

(Reporting By Christiaan Hetzner)

((christiaan.hetzner@thomsonreuters.com)(+49 - 69 - 75651249)(Reuters Messaging:christiaan.hetzner.thomsonreuters.com@reuters.net))

Keywords: EADS BAE/DAIMLER