Talks on a huge merger of European aerospace groups EADS and BAE Systems have been blocked by Germany, a source close to the matter said on Wednesday. \"It did not work because the Germans blocked it,\" the source said, adding that the two groups would not seek an extension to a 1600 GMT deadline for notifying British authorities of their intentions to pursue the talks. Another source told AFP that talks which have been held in the past few days \"did not make much progress,\" and added that the companies would issue a statement to clarify the situation shortly. A French government spokeswoman had said earlier that \"the talks are continuing, normally a decision should be made public today.\" Shares in EADS which had fallen as talks wore on jumped by 2.89 percent in afternoon Paris trading while those in BAE Systems fell by 2.5 percent in London.