France

2011, 3rd Quarter results
Revenues in France were 16.873 billion euros in the first nine months of 2011, down 3.1% on a comparable basis. Excluding the impact of regulatory measures (-315 million euros), the decline was limited to -1.3% compared with the previous year.
In the third quarter of 2011, revenues were down 4.6% on a comparable basis to 5.569 billion euros. Excluding the impact of regulatory measures (-106 million euros), revenues fell 2.8%, compared with a decline of 0.5% in the second quarter.
This reflects the evolution of the revenue growth in Personal Communication Services (2.695 billion euros), which increased 1.7% excluding the impact of regulatory measures (-87 million euros), compared with a gain of 6.4% in the second quarter. This was primarily due to the decline in mobile devices sales, which had been very brisk in the third quarter of last year . In addition, the slowdown of growth in incoming traffic (particularly SMS) and the impact of changes to the pricing for Open quadruple-play offers.
Data services grew 15.7%, excluding the impact of regulatory measures, both from SMS revenues and non-messaging services. Data services represented 36.7% of network revenues in the third quarter of 2011, an increase of 5.0 percentage points compared with the third quarter of 2010.
The number of contract customers (19.254 million at 30 September 2011) continued to rise steadily (+3.4% year on year), driven by the success of the Origami segmented offers and the Open offers. They represented 72.4% of the total customer base at 30 September 2011, compared with 70.9% a year earlier. The hosted MVNO customer base rose 24% year on year to 3.235 million customers at 30 September 2011.

Home Communication Services revenues decreased 4.8% on a comparable basis to 3.184 billion euros. Excluding the impact of regulatory measures (-34 million euros), revenues fell 3.8%, reflecting the downward trend in traditional telephone services (-13.2%).
Revenues from Internet services rose 3.8%, driven by the 4.3% increase year on year in the number of broadband customers to 9.478 million at 30 September 2011. Third quarter 2011 commercial activity was very vigorous, with net additions of 107,000 broadband customers, representing estimated ADSL market share net adds of 35.3%, attributable to the success of the Open offers (898,000 customers at 30 September 2011) and the new Livebox star and Livebox zen triple-play offers. Digital TV continued its rapid growth, rising 28% year on year to 4.124 million customers at 30 September 2011.
Revenues from Carrier Services fell 2.0% on a comparable basis; excluding the impact of regulatory measures ( 26 million euros), revenues rose +0.3%. The rising number of telephone line rentals to other carriers (+13.2% year on year) was largely offset by the decline in national interconnections and other services.