Eurosystems was to be a group of three joint venture companies pooling the avionics, C4ISR an communications businesses of BAE Systems and Finmeccanica. The proposal was announced in July 2003. The difficulties of integrating the companies in this way lead to a re-evaluation of the proposal, BAE's 2004 Annual Report states that "recognising the complexity of the earlier proposed Eurosystems transaction with Finmeccanica we have moved to a simpler model."