FRENCH SENATE APPROVES FRANCE TELECOM REFORMS.

The French Senate adopted at first reading on October 22 the reform of France Telecom, paving the way for the French state, which owns 58.7% of the group, to cut its holding to a minority share. Entitled "public service telecommunications obligations and France Telecom", the bill transposes into French law a European Directive aimed particularly at defining the concept of "universal service" and opening the European telecommunications market up to competition. It was adopted by 201 votes to 106, with the left who see it only as a pretext for privatising the traditional state-owned operator voting against. The legislation ends France Telecoms monopoly and lays down that "universal service missions" supplying a quality telephone service at an affordable price, offering discounted rates to low- income customers, information and directory services, access to publicly accessible telephone boxes should be opened to tenders. The bill will be put to the national assembly in December and it is expected to become law in February-March next year.

The French economy minister, Francis Mer, told the Senate on October 21 that the reform of France Telecom will permit the "guarantee of continuity of public service telecommunications", whilst placing the company "in a legal framework that is as close as possible to that of...

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