Francois Hollande News

French govt has made 50/50 ownership offer to Italy; Minister says offer on the table until Thursday. The French state said on Wednesday it would nationalise the STX France shipyard if Italy does not accept its offer to split STX's capital equally, putting down a marker on the limits of economic liberalism under new President Emmanuel Macron. The threat raises the stakes in a standoff with Rome over the shipyard's fate, the only one in France with facilities large enough to build aircraft carriers. Economy Minister Bruno Le Maire said nationalisation would give the state more time to find a better shareholder deal, but even if temporary, it would mark the first major state intervention in the corporate world by Macron's government which was elected on a pro-business platform.

France wants a "multiple shareholder" solution to STX France, the shipbuilding company being sold off, French President Francois Hollande said on Tuesday. "We are working with the aim that the state can remain a minority shareholder, we want a multiple shareholder solution," Hollande said, speaking at a news conference held with Italian Prime Minister Paolo Gentiloni. Italian shipbuilder Fincantieri has made a bid for STX France, but France - which owns 33 percent of the company - wants to ensure that the French state remains a key stakeholder in the firm. The head of French state-controlled military shipbuilder DCNS also said last week it was "very likely" that DCNS - in which Thales has a minority stake - would enter into the capital of STX France.

Fleet of 12 submarines to be built in South Australia; decision has political implications at home, abroad. France has beaten Japan and Germany to win a A$50 billion ($40 billion) deal to build a fleet of 12 submarines for Australia, one of the world's most lucrative defence contracts, Australian Prime Minister Malcolm Turnbull announced on Tuesday. The victory for state-owned naval contractor DCNS Group underscored France's strengths in developing a compelling military-industrial bid, and is a blow for Japanese Prime Minister Shinzo Abe's push to develop defence export capabilities as part of a more muscular security agenda. Reuters earlier reported that DCNS would be announced as the winner, citing sources with knowledge of the process.

France's state-owned naval contractor DCNS Group has won a A$50bn ($40 billion) contract to build 12 submarines for the Australian Navy, beating bids from Japan and Germany. Malcolm Turnbull, Australia’s prime minister, announced that DCNS awarded tender over Germany and Japan to build fleet of Barracuda-class submarines in South Australia. The decision to build a new fleet of submarines in partnership with DCNS represented “a momentous national endeavour,” he said. The Shortfin Barracuda submarines will be built in Adelaide using Australian steel, creating 2,800 jobs, he said. French President Francois Hollande hailed the decision as historic.

French shipyard STX has secured an order for up to four more ships from MSC Cruises, in a 3.6 billion-euro ($4.1 billion) deal announced on Wednesday. MSC Cruises, part of privately owned shipping group MSC, has in recent years been the main customer for STX France, which is based at the Atlantic port of Saint-Nazaire. The two companies signed a letter of intent for the order at a ceremony on Wednesday at the Elysee palace in Paris, reflecting the importance placed on the investment for French President Francois Hollande who is struggling to bring down unemployment.

France is an attractive investment location for DP World’s projects related to infrastructure development, port centric development, distribution and export hubs, rail freight, customs, and other logistics topics, said DP World Group Chairman and CEO Sultan Ahmed bin Sulayem. He has recently met the President of France, Francois Hollande and senior government and business leaders at a major investment summit at the Élysée Palace in Paris. Bin Sulayem outlined DP World's contribution to global trade, investment opportunities in France and the potential for further collaboration in the trade, transport and logistics sector. He said: "France is an important partner in DP World's European operations.

DP World Group Chairman and CEO HE Sultan Ahmed bin Sulayem recently met the President of France, Francois Hollande and senior government and business leaders at a major investment summit at the Élysée Palace in Paris. France’s attractiveness as an investment location and DP World’s projects in the country were highlights of the discussions which also covered infrastructure development, port centric development, distribution and export hubs, rail freight, customs, and other logistics topics. HE Bin Sulayem outlined DP World’s contribution to global trade, investment opportunities in France and the potential for further collaboration in the trade, transport and logistics sector.

Microsoft co-founder Bill Gates will launch a multi-billion-dollar clean energy research and development initiative on Monday, the opening day of the U.N. climate change summit in Paris, GreenWire reported Friday. Gates and a group of developing and developed countries will agree to double their research and development budgets to boost clean energy deployment and work collaboratively, according to GreenWire, an energy and climate trade publication, citing government and business officials familiar with the agreement. Access to clean energy technology will play a key role in a global agreement to combat climate change. More than 190 countries will negotiate a new pact in Paris from Nov. 30 to Dec. 11. Gates will join Indian Prime Minister Narendra Modi, U.S.

French President Francois Hollande and his Egyptian counterpart Abdel Fattah Al-Sissi have agreed on the purchase by Egypt of the two French Mistral helicopter carriers whose planned sale to Russia was cancelled. "They agreed on the principle and the terms of the acquisition by Egypt of the two" Mistral warships, Hollande's office said in a statement on Wednesday. France, whose navy already operates three of the Mistral helicopter carriers, has no use for the ships, whose sale to Russia was scrapped due to the Ukraine crisis. Reporting by James Regan

Two Mistrals were originally destined for Russia. France is in talks to sell two Mistral helicopter carriers to Egypt after their sale to Russia was cancelled earlier this month, two sources close to the matter said on Wednesday. Cairo has sought to boost its military power in the face of a two-year-old insurgency based across the Suez Canal in the Sinai peninsula and fears the crisis in neighbouring Libya could spill over. Egypt's allies are also keen to burnish its image in a region beset by turmoil. A sale would also fit into France's recent strategy of favouring predominantly Sunni Arab nations, both politically and commercially, over their Shi'ite rival Iran.

About 10 countries, including Egypt, are interested in buying two French helicopter carriers whose planned sale to Russia has been cancelled due to the Ukraine crisis, a source familiar with the situation said. A second source, a French diplomatic source, said that other countries interested include Brazil, Singapore, Saudi Arabia and Canada, which could be the most suitable candidate for the ships because they were designed for cold waters. France, whose navy already operates three of the Mistral helicopter carrier warships, has no use for the two ships and will have to pay Russia nearly 1.2 billion euros ($1.3 billion) for cancelling the contract. The first source also said that Egypt is negotiating the possible exercise of its option to buy two Gowind corvettes.

The total cost to France of reimbursing Russia for cancelling two warship contracts will be less than 1.2 billion euros, French Defence Minister Jean-Yves Le Drian said on Thursday. Le Drian said on radio RTL the initial price for the two Mistral helicopter carrier warships had been 1.2 billion euros, but France will have to pay less than that because the ships were not been finished and the contract was suspended. "Talks between President Putin and President Francois Hollande have concluded yesterday. There is no further dispute on the matter," he said. He added that the discussions had been held in an amiable way and that there were no further penalties to pay over the contract, which was cancelled because of Russia's role in the Ukraine conflict.

Egypt staged a show of international support on Thursday as it inaugurated a major extension of the Suez Canal which President Abdel Fattah al-Sisi hopes will power an economic turnaround in the Arab world's most populous country. The former armed forces chief, who led a military takeover two years ago but ran for president as a civilian last year, told a ceremony attended by leaders of France, Russia, Arab and African states that Egypt would defeat terrorism. The $8 billion New Suez Canal project was completed in just one year instead of three on Sisi's orders…

While France is seeking a way to cancel its contract to deliver two helicopter carriers to the Russian navy, Russia wants 1.163 billion euros ($1.32 billion) from France in compensation for nixing the deal. President Francois Hollande is under pressure from Western allies to scrap the deal because of Moscow’s role in the Ukraine crisis. France has offered Russia its terms to scrap a contentious contract to supply two warships that was suspended due to the Ukraine crisis, but Moscow judged the sum as unacceptable. According to the Russian daily, Kommersant, Paris is offering around 785 million euros. The Kremlin says its position is clear: either France stumps up the full compensation, or it hands over the warships.

Russia and France are close to reaching an agreement for Paris to cancel a frozen contract on the sale of Mistral helicopter carriers and reimburse Moscow, a Russian source close to talks indicated on Friday. France suspended the delivery of the warships last year after the European Union decided to impose sanctions on Russia over the separatist conflict in neighbouring Ukraine. French President Francois Hollande, who was holding talks with Russian President Vladimir Putin in the Armenian capital of Yerevan on Friday, suggested on Wednesday that Paris could cancel the contract and reimburse Moscow. Putin had said the previous week that Moscow would not impose penalties on France over the 1.2 billion euro ($1.29 billion) deal if all costs incurred by Russia were reimbursed.

Private jet collided with snow plow during takeoff; Total's CEO a defender of Moscow policies. Insiders Boisseau and Pouyanne long seen as potential successors. The chief executive of French oil major Total, Christophe de Margerie, was killed when his private jet collided with a snow plough as it was taking off from Moscow's Vnukovo airport on Monday night. De Margerie's death leaves a void at the top of one of the world's biggest listed oil firms at a difficult time for the industry as oil prices fall and state-backed competitors keep them out of some of the best oil exploration territory. The collision occurred minutes before midnight Moscow time as de Margerie's Dassault Falcon jet was taking off for Paris.

U.S. oil prices rose to near one-month highs on Monday as a weak dollar prompted buying a day before the June contract's expiration, while Brent prices fell as slumping global equities outweighed the impact of low Libyan output. The U.S. dollar fell to its lowest level in more than three months against the yen, which is supportive for oil and commodities priced in dollars. Asian and European equities fell after data released late on Sunday showed growth in average new home prices in China slowed to a near one-year low in April. Meanwhile, Libya's major western oilfields, El Sharara and El Feel, remained shut a week after the government said it reached a deal with protesters to reopen them.

General Electric Co Chief Executive Jeff Immelt said on Wednesday that GE is still going to "work constructively" with the French government on its bid for the power business of Alstom and that he expects the deal to close. GE has encountered resistance to its $16.9 billion proposal from the government, which has sought to encourage Germany's Siemens as a potential rival bidder. "It's a deal that's executable. It's a deal we're experienced in. It's a deal we expect to close," Immelt said at the Electrical Products Group conference.

Poland's foreign minister urged France on Tuesday to cancel a 1.2 billion euro ($1.66 billion) contract to sell Mistral helicopter carriers to Russia, saying these would be used to threaten east European nations. The United States and some European partners have been urging Paris to reconsider its supply of high-tech military hardware to Moscow following Russian action in Ukraine, including its annexation of the Crimean Peninsula in March. Asked if France should deliver the two vessels, Radoslaw Sikorski told Le Monde newspaper: "No, because Russian generals have already said what these ships will be used for: to threaten Russia's neighbors in the Black Sea and that means Europe's partners.

France chose General Electric to form an alliance with Alstom on Friday - rejecting an offer from Siemens and Mitsubishi Heavy Industries - but said the deal still needed some work and added it would buy a 20 percent stake in the hotly-contested company. Economy Minister Arnaud Montebourg said he had used a newly- created state decree to reject both of the existing offers as not being in France's strategic interest, and had formulated fresh demands to GE Chief Executive Jeff Immelt. The decision ended weeks of suspense surrounding one of Europe's fiercest industrial battles in years, but left open major questions about the final shape of an alliance which GE hopes will give it access to new power markets.

Russian President Vladimir Putin on Thursday said he believed many European leaders were eager to end the standoff over sanctions with Russia. "I think that many in Europe including the politicians, my colleagues, ... (want) to get out as soon as possible of a situation, which is damaging our cooperation," Putin said during a visit to the Crimea peninsula, which Russia annexed from Ukraine earlier this year. He added that he had recently spoken to his French counterpart Francois Hollande and felt this also reflected the French president's mood.

French President Francois Hollande said on Thursday that a ceasefire and a political settlement in Ukraine were conditions for France to deliver a warship it has built for Russia. Hollande told reporters on the sidelines of a NATO summit that the contract to supply two Mistral-class helicopter carriers was neither cancelled nor suspended, but the conditions for delivering the first ship - due in October - were not ripe. "What are the conditions? A ceasefire and a political settlement," he said. If there were further complications, delivery would be delayed but the contract would not be suspended, he added. France has come under strong public pressure from the United States and European partners to scrap the deal, signed under former President Nicolas Sarkozy in 2011.

Paris continues to believe that the transfer of a Mistral-class ship to Russia is not possible at the moment, according to official Russian News Agency ITAR/TAS, citing a Foreign Ministry spokesperson. The spokesperson recalled President Francois Hollande’s statement of September 18 that the contract with Russia would be fulfilled only if there was progress in political settlement in Ukraine. He declined to comment on Russian Deputy Prime Minister Dmitry Rogozin’s remarks on Sunday that if France cancelled the contract and decided to transfer the ship to somebody else, it would act unlawfully as one third of that ship was Russian-made. Citing Rogozin, ITAR/TAS says that the stern section of the Mistral was made at Baltic Shipyard in St.