To: larry pollock who wrote (3046 ) 2/21/2001 1:27:59 PM From: larry pollock Read Replies (1) | Respond to of 3891 French Stocks Fall, Led by Air France, Alcatel, France Telecom By Florence Labedays Paris, Feb. 21 (Bloomberg) -- French stocks fell, led by semiconductor and phone-equipment makers including STMicroelectronics NV and Alcatel SA, after U.S. rivals tumbled amid earnings concern. Air France, the country's largest air carrier, declined amid disappointment over third-quarter earnings, traders said. France's benchmark CAC 40 index declined 25.39 points, or 0.5 percent, to 5523.35. The broader SBF120 shed 17.64 points, or 0.5 percent, to 3783.34, with more than three shares declining for every one advancing. The U.S. Nasdaq Composite index slumped 4.4 percent yesterday, bringing its two-day decline to 9.2 percent. Alcatel, Europe's second-largest phone-equipment maker, dropped 1.83 euros, or 3.8 percent, to 46.72. STMicroelectronics, Europe's largest chipmaker, shed 1.03 euro, or 2.5 percent, to 39.97. Air France SA dropped 0.9 euro, or 4 percent, to 21.21. The carrier had a fiscal third-quarter operating loss of 19 million euros compared with a profit of 40 million euros in the year- earlier quarter as its fuel bill doubled and it integrated its regional carrier units. The following stocks are making significant gains or loses in French markets today. Stock symbols are in parentheses after the company names. France Telecom SA (FTE FP) fell 1.4 euros, or 2 percent, to 67.45. Europe's second-largest phone operator and Deutsche Telekom AG expect to sell most, if not all, of their Sprint Corp. stock as the two former European telephone monopolies shed assets to cut debt, according to a regulatory filing. Genset SA (GNST FP): Shares were suspended for falling below stock exchange limits. France's largest gene-mapping company said its loss widened to 10.9 million euros in the fourth quarter, from 5.6 million euros in the year-earlier period. The company said it will continue to post losses in the ``foreseeable future.'' The shares yesterday were unchanged at 41.7 euros. PSA Peugeot Citroen (UG FP) gained 2.5 euros to 290. Europe's second-largest automaker said full-year profit rose 80 percent to 1.3 billion euros after it slashed costs and as its factories worked at full capacity to produce compact cars and minivans. Television Francaise 1 SA (TFI FP) shed 0.48 euro to 47.85. France's most watched television company was fined 8 million francs by France's competition authority for abuse of its dominant position, AFP reported. The authority took up a complaint filed by Canal Plus, the pay television unit of Vivendi Universal SA, in December 1996, AFP said, citing a copy of the decision by the competition authority dated Feb. 13. Access More Information and Services Above