Every parameter of the business was fixed by the state and could be altered by the Air Ministry at will. Engaging in this market exposed a firm to enormous risks, unless the finance for expansion was provided by the state itself. And this is what the Air Ministry did, through the mediation of the so-called Aerobank, which acted as the financier for the entire Luftwaffe sector. The state also provided the other critical preconditions for the Luftwaffe expansion. On 10 June 1936 the Air Ministry signed a second major contract with IG Farben, this time to build

