French winemakers are disappointed that President Nicolas Sarkozy is teetotal and fear his clean-living image gives the wrong impression of France.

French winemakers are disappointed that President Nicolas Sarkozy is teetotal and fear his clean-living image gives the wrong impression of France.
"Everytime you see him on TV he's jogging. He doesn't like eating, he doesn't like drinking, he doesn't represent the culture of France," said Serge Dombierer, who works for the Chateau de Mauvanne vineyard in Provence in southern France.
"President Jacques Chirac, at least he knew how to put the drinks away," he added of Sarkozy's predecessor who could often be seen enjoying wine and beer in visits around the country.
Sarkozy said in an interview he never touched alcohol.
"I don't like it," he said in response to reports he may have been drunk at a recent news conference.
Some producers say Sarkozy should taste wine and then spit it out as winetasters do, just to show he was interested in a product that enshrines many French traditions, accounts for thousands of jobs and a slice of exports.
"I don't think it's good. He could at least have the intelligence to take it in and spit it out," said Vincent Charleux, a winemaker for Gerard Bertrand.
"Given that wine is in crisis in France, he could at least make an effort. It gives a negative message."
Many French winemakers are struggling with plummeting domestic consumption and fierce competition from new world producers such as Australia and Chile.

Sarkozy for a TVA Sociale Trial

From leblogfinance.com

Nicolas Sarkozy has persisted and signed on a la TVA sociale, even if the policy has cost him the blue wave he could have used to surf over the criticisms of the Socialist party and other opposition.? The TVA sociale would be trialled, Sarkozy confirmed on Wednesday. During a visit to a textile factory in Tourcoing, Prime Minister François Fillon affirmed the day before he did not want to "close the book" on the TVA sociale "on the pretext of it being poorly explained".
Segolene Royale has called on the President to "tell the truth" on the policy of TVA "sociale" instead of "packaging it in a political speech" which according to her is the "opposite of what will be done".

I – Sarkozy : la TVA sociale will be trialled
Nicolas Sarkozy confirmed Wednesday that the principles associated with the TVA sociale would be put into practice...but in the context of a "trial". It remains to be seen how one can "trial" such a measure in a concrete fashion. For beyond the speeches waxing lyrical, there will come a time to face the realities. "If this trial is successful, we will expand it. If it is not important, not useful, we won't" said the Head of State to the presidential majority gathered at the Elysée. Note in passing that the new President attempting to show that the French economy will have to bring into existence measures that he is not so sure will be useful. A way of gradually reducing unemployment in the public service perhaps?

Mr Sarkozy had to intervene directly, between the two rounds of legislative voting, to re-assure voters that the TVA sociale would not be brought in if it suceeded in reducing the purchasing power of the French. After ten days of controversy on the subject, he finally decided to breathe new life into a measure mentioned during has campaign to not "sit back with arms folded in the face of offshoring". Mr Sarkozy pointed out that Germany "has just trialled it" and that "Denmark has adopted it".

The French President has however revealed that he took account the warnings of the policy, which consist of swinging a part of business' social security financing towards households, through a simultaneous lowering of employer's contributions and an increase in TVA.
"Si the TVA sociale is not effective in preventing offshoring, if the TVA sociale is not good for employment and purchasing power, well, we won't have a TVA sociale" he explained to MPs.
Everything seems so simple for him, would the french economy be steered as easily as a yacht?

On the other hand, if the TVA sociale “contributes to slow offshoring, if it is good for employment, good for growth and does not penalise purchasing power, then we will introduce it." The policy has certainly got a lot on its plate if it is to cross all these boxes. A roundabout way of progressively abandoning the project without a loss of face...

According to survey out Wednesday, 67% of people asked rejected the measure. This CSA/Profession politique study points the spotlight on the impact of the theme in the second round of elections. "Messrs Fillion and Borloo "have been extremely clumsy", and this error "has cost us 50 to 100 MPs", denounced UMP MP Renaud Dutriel on Tuesday. Former Prime Minister Jean-Pierre Raffarin seems to share Dutriel's analysis.

II – Fillon : the book is not closed
Prime Minister François Fillon affirmed Tuesday that he did not want to "close the book" on the TVA sociale "on the pretext of it being poorly explained". "Everybody recognises that you cannot fund social security purely from work. The more charges you levy on work, the more jobs go away" explained Fillion, reaffirming that all political parties "from across the spectrum are saying one way or another (...) that we need to find a new tax base". "But there is only one new tax base, it's consumption, it's value added" he continued. The Prime Minister who was travelling with the new Minister of the Economy, Christine Lagarde, has promised the opening "of a great debate in front of the French" as soon as he receives the findings of the TVA sociale report, due in July. This task, given to Mr Borloo, will now be compiled by Mrs Lagarde.

During her monthly press conference in Paris, the Medef president broached the subject of TVA sociale. She thought that "reflection and debate should be continued" on this subject to see if such a reform would allow "France to become more competitive and respond to the growing financial needs of the social security system."

III - Ségolène Royal asks for the truth on the TVA "sociale"
Ségolène Royal has called on Nicolas Sarkozy to "tell the truth" on the TVA sociale policy. "How can you trial a tax? Either the tax is there or it isn't" she said on the Question d'info LCP-Le Monde- France Info Wednesday. In what regards the practical application side of things, she isn't completely wrong.

The Socialist president of the Poitu-Charentes region also contested "that a tax on consumption could lower the costs of living". "A political speech that says a tax on consumption lowers living costs is not a speech of truth" she added. "Hence, I reproach Nicholas Sarkozy for not clearly saying what he wants to do (...) He packages the truth in a political speech which corresponds to the opposite of what will be done."

Royal also estimated that the "tax package" confirmed by Nicolas Sarkozy was an "unbearable expense for France". "The government estimates it will cost eleven billion euros, but the experts agree that this will cost 15 to 20 billion euros, which comes to one hundred billion over five years" she advanced. "Keeping in mind the current budget deficits and the levels of debt, this spending is unbearable for France." It is true that the government has taken a few liberties to dress the figures it seems, but the Accounts Court and Phillipe Séguin are watching over to make sure that our fellow citizens are faced with the reality of things.
For Ségolène Royal, these measures do not allow any growth in employment or the competitiveness of firms and "it is a tax package that is socially unjust".

PRG and Greens attempt to form a group in the Assembly

From Challenges.fr

The president of the Radical Left Party (PRG), Jean-Michel Baylet, has confirmed that the radicals of the left and the greens will try to constitute a group a the National Assembly. The senator, who was accompanying new PRG members of parliament, made clear that his friends would ask that the number of members needed to create a group at the Assembly should be wound back from 20 to 15.

"The opposition is made up of different elements. We do not wish to sit in a monolithic group and I hope that the Socialist party will respect its allies and will not oppose the formation of this group", said the Tarn-et-Garonne senator in the corridors of the Bourbon Palace. "We actually have 17 members. We still have a few days to find three other parliamentarians. We are well advanced in our negotiations. There are already nine radicals, four Greens, a number of overseas MPs and others with whom we are currently speaking" continued Jean-Michel Baylet.

He also added that in the case where his friends would not gather the twenty MPs necessary, Gérard Charasse (PRG) et Noël Mamère (Greens) had been demanded to ask the office of the Assembly a lowering of the membership level. Between 1997 and 2002, the Radical-Citizens-Greens (RCV) existed in the Assembly, gathering together the radical left, Greens, supporters of Michel Chevènement and various left of centre representatives. From 2002 to 2007 certain radical left members had attached themselves to the Socialist grouping, others joined the independents with Greens and several various Left.

The return of Airbus

From rfi.fr




The European plane maker resurfaces at the opening of the Bourget Air Show. With 339 orders signed in a single day (Monday), Airbus must have broken some kind of record. The less than shiny performance from Boeing makes this day particularly appreciated by company directors

It's a marathon day for Louis Gallois, Airbus President, and the commercial managers of the firm. As soon as the gates of the air show open, the plane maker called a press conference to announce a whole series of contracts. First in line, the president of Qatar Airways not only confirmed his gigantic order of A350 jets, but ordered three additional A380s. A few minutes later, the president of Emirates, the Dubai based airline and first client of the huge aircraft, added eight A380s to his order, bringing the total to 55 planes. A little later, it was US Airways' turn to choose the A350, the competition to Boeing's 787. "And it's not over, there will be a lot of others before the end of the week" affirmed the commercial manager of Airbus.

On its side, Boeing kept a comparatively low profile, with a single cargo plane order. But the American company disposes of a healthy lead on its European competitor with already more than 400 orders booked since the beginning of the year, or twice as many as Airbus. However, the Europeans are confident. Forgetting the doubts of the last few years, the ministers of the Airbus consortium's member nations have expressed their confidence in both A350 and A380 programmes.

Legislative elections: A first warning for Nicholas Sarkozy

From NouvelObs.com

Nicholas Sarkozy has a majority at his disposal to implement his reforms, but will have to take into account the warning given by electors at Sunday's second round of legislative elections. With 345 members including 313 for the UMP, the resident of the Elysée Palace has won a tinted victory, obscured by the symbolic defeat of Alain Juppé.


The head of state took his first decision after the elections in renewing Prime Minister François Fillon, who tendered his resignation and the government's, conforming to republican tradition.
The composition of the second Fillon ministry should be known Tuesday. The reshuffling will be more extensive than expected due to the surprise defeat of Alain Juppé in the second district of the Gironde. Several names have been put forward to replace him, including the former Environment and Foreign Affairs Minister Michel Barnier and Economy Minister Jean-Louis Borloo. Seven or eight secretaries of state should make their entrance into the government.
The Fillion II team is expected to confirm the choices of openness, affirmative action and renewal.



Nicolas Sarkozy and François Fillon have consulted at greater length Monday, before and after the ceremony of the 18th of June at Mont-Valérien. While the President met with Mr Borloo, the Prime Minister was meeting with Mr Juppé. On the whole, the head of state, whose honeymoon is decidedly finished, will have to tale into account a tighter victory than was expected from the UMP. He is expected to appear on television Wednesday to present his plan of action after these elections.

Certainly, none of the policies promised during the presidential campaign can be put into question. From Sunday night, François Fillon confirmed the program of the extraordinary sitting of parliament that will be recalled in July to vote on the first laws of the Sarkozy presidency: labour and employment laws and purchasing power, that will set the scenes for tax measures and the removal of taxes on overtime, minimal sentences for re-offenders, the autonomy of universities and the setting of minimum service delivery for public transport.

But a shift is always possible. The TVA sociale policy (social value-added-tax), judged responsible by some for the rise of the left between the two rounds of voting, seems to be in jeopardy. The eventual decision on its introduction will be taken "at the end of the month of July" said Budget Minister Eric Woerth. The TVA sociale is "not government policy" but a "subject of debate" among the parliamentary majority, assured the UMP Parliamentary Group deputy spokesman Patrick Devedjian.

What ever it is, Nicolas Sarkozy will have to further explain the benefits of his reforms. With its shambles last week on the TVA sociale, the government has invited criticism from the left on a supposed increase on the TVA after the legislative elections. It will require "enormous efforts of explanation" recognised Mr Woerth. The policy of openness could also prove itself more difficult to put into practice with the left holding 227 seats, of which 186 for the Socialist Party. The majority will keep to its promise to reassert the value of the opposition, that will see it take the presidency of the Finance Committee at the National Assembly, confirmed Mr Devedjian.

More immediately, the announcement of Hollande-Royal seperation has more so served the majority in eclipsing the jump in the Socialist Party's second round vote. Ségolène Royal confirmed Monday the end of her relationship with the Party's First Secretary, with whom she lived as a common law wife for almost thirty years. This "clarification" coincides with the opening of a new page in Socialist Party history, that of the rebuilding after the two consecutive defeats at presidential and legislative elections. While the party while hold a national council on Saturday to examine the causes of its defeats and to begin its transformation, Ségolène Royal has confirmed her intention to canvass for the leadership of the party. Back in the saddle after the latest elections, François Hollande has announced that he would remain in the post as expected until the party congress scheduled to be held after the municipal elections of 2008.

Four Seats for the MoDem

From Europe 1.fr

The Movement for Democracy (MoDem) has achieved the election of four members of parliament. Starting with its founder: François Bayrou re-elected in his electoral stronghold of the Béarn with 61,21% of votes. It is not yet known if Jean-Christophe Lagarde will sit alongside them. By not allowing the "blue wave" to burst forth as predicted by polls, the people of France have refused to give a blank cheque to the party in control.


"The French have given the government a penalty notice stamp", estimates François Bayrou. "The electors did not want to give a blank cheque" to the government and "the last issues that have appeared in the electoral campaign have not incited the French to intensify their confidence towards the government", he added. François Bayrou has been re-elected in the second district of the Pyrénées-Atlantiques with 61,21% of votes. In the fourth district of the same region, Jean Lassalle was also re-elected in the only three cornered contest in this election with 40,37% of votes. Abdoulatifou Aly was elected with 56,29% at Mayotte. Thierry Benoit in Ille-et-Vilaine has also obtained his ticket to the National Assembly with 55,09%.

As expected, Jean-Christophe Lagarde was re-elected at Bobigny in the fifth district of the Seine-Saint-Denis. But the Deputy Mayor of Drancy has not said whether he would sit with the MoDem group in the parliament, despite having received its endorsement. Jean-Christophe Lagarde said he was ready to work with the presidential majority. For Marielle de Sarnez, a close of François Bayrou, the result of this ballot shows "a reversal for the UMP and its allies, (...) last week 400-450 seats were being trumpeted for the presidential majority.

According to the MEP, "there is something that has been punished such as maybe an over sized arrogance, this way of saying: 'we need a blank cheque for the coming five years. We have a programme, a project, nothing is discussed, take it or leave it'", she added. "Following this ballot the future needs to be thought of", she concluded. "We cannot have a parliament that primarily represents two strong forces, we are in the bi polarisation.

For Jean-Marie Cavada, a MoDem candidate in the Val-de-Marne has admitted that his party "was not in a comfortable situation with many supporters but very few elected. As we are in a bi-partisan system, we do not spare ourselves the internal analysis of partnerships that is necessary to do if we wish to weigh on the channels of power."

Finally, for François Bayrou, the "political path that we have drawn exists, and the voters are ready to choose it providing that the electoral system allows them the choice. The MoDem MPs will "represent in the National Assembly all those who are unjustly isolated from it, those who have their place and to those whom the counting method does not provide representation which all french citizens should be entitled to. (...) We are going to represent this pluralism and diversity to find one day a better balance for our country.

Hollande: The contest for succession has not begun

From lefigaro.fr

The day following the second round of legislative elections, one question splits the Socialist Party: when must François Hollande leave his post?

The succession race is not "open". Whereas Ségolène Royal has announced her intention to constest the position of First Secretary, François Hollande has dotted the i's on Monday calling on the various candidates "to respect the rhythms and reckonings". In other words, no succession is expected to be seen before the convention he intends to convoke "the day following" the municipal elections of 2008. François Hollande will therefore put to the party's national council on Saturday a working calendar, notably fixing a date for the convention. Stéphane Le Foll, Hollande's right hand man, said on Monday the calendar will be put to a vote.

"We don't need a leadership battle yet, an appointment of one us, that will come. We need to understand everything, watch everything, think of everything and I hope to tomorrow suggest a new deal" said First Secretary Hollande. The Socialist Party's convention, which will be held "the day following" the March 2008 municipal election, "will come after a process of reform" he added.

Royal: Difficulties with Hollande before campaign

from TF1.LCI.fr

"For some time now a number of imputations and rumours have been circulating regarding myself and François Hollande, I think it is time to clarify these matters" declared Ségolène Royal in an interview with France Info broadcast Monday. "I wanted to say very simply that we have decided not to be together anymore. Like all couples, we have experienced difficulties. I had chosen to put these aside during the [presidential] campaign (...) It was also a necessity to protect my children" she added. "Today, I think that we are entering a a new stage, and it is important to say things as they are regarding each other and other people" she concluded.

In "Behind the scenes of defeat", a book written by journalists Christine Courcol et Thierry Masure published Wednesday, the socialist pretender to the French presidency ascribes an affair to her partner of thirty years, whom she met at the ENA in 1978 and the father of her four children. "I asked François Hollande to leave home, to live his love life on his side, hereafter spread out in books and newspapers and I wished him happiness" she writes according to extracts published in the media.

Protecting the Private Life
For his part, François Hollande underlined Monday that his separation with Ségolène Royal dealt with his "private life" and had "no political consequences" as it had "no political cause". "Things have been said, and I have confirmed them. I have always sought to separate my political life which must have its principles, rules and foundations from my private life which must be protected" said François Hollande on the same station.

The first secretary of the socialist party has "no other comments to make". "I will be watchful always over the coming weeks and months to have this path of duty" he said. Regarding the public announcement of this separation the night of the second round of legislative elections, François Hollande said: "It is Ségolène Royal who has wished to give her side of facts first to a book, it is her choice, her freedom.