Dassault Aviation has refused to comment on speculation that it might be about to bid for Raytheon's corporate aircraft manufacturing activities, speculation which began after chairman Charles Edelstenne was questioned at a news conference.

"The only thing we can say is that we have the file and we look at it, that is all," a spokesperson said. "Dassault is mainly involved in the high end of the market, that is clear, it is our market and we have more than 50 per cent of it.

"I don't say we are interested (in branching into the lower end of the market) and I don't say we are not interested either." Raytheon reportedly seeks four billion dollars for its corporate jet operations.

Sources close to Dassault have told European Business Air News that the French manufacturer's customers wanted a replacement for the Falcon 10 entry-level jet, but that it was not the company's intention to change the high-end niche of its aircraft and change its processes of manufacturing.

The purchase of Raytheon, the producer of the successful Beechjet range of entry-level jets, would be one solution, therefore.

However, the source said that fractional programmes, in his opinion, are reducing the market for entry-level business jets, making it possible for companies to purchase a share in a high-end business jet for the same money as, for example, a Beechjet.

Dassault reported in October that strong sales of its business jets boosted its overall profits by twenty four per cent in the first half of 2000, and has forecast that revenues would rise eight per cent over the full year.