Germany says still aims to buy EADS shares from Daimler via KfW

Germany will continue talks to take over shares in European planemaker EADS from carmaker Daimler through the KfW state development bank, the government said after merger talks between EADS and BAE Systems collapsed.

The government acknowledged the decision on Wednesday of the two companies to abandon its merger talks, Chancellor Angela Merkel's spokesman Steffen Seibert said in a statement, adding that Berlin had full confidence in the EADS management.

"The German government will ... continue negotiations on taking over shares held by Daimler through the KfW," said Seibert.

(Reporting by Madeline Chambers)