UPDATE 1-Adecco, Manpower, Vedior fined total 94.4 mln eur

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Mon Feb 2, 2009 7:27am EST

(Adds further details)

ZURICH Feb 2 (Reuters) - The French authorities have fined staffing firms Adecco (ADEN.VX), Manpower (MAN.N) and Vedior a total 94.4 million euros ($121.3 million) for sharing client information in 2003 and 2004, the competition council said.

French authorities said they had found evidence that Adecco, Manpower and Vedior, which now belongs to Dutch group Randstad (RAND.AS), had coordinated parts of their commercial and pricing politics.

"The Competition Council has fined Adecco, Manpower and Vediorbis for having coordinated (their activities) between March 2003 and November 2004, in order to reduce competition between them regarding their important clients," the French authorities said on their website.

Adecco, the world's biggest staffing group, was fined 34.2 million euros, while U.S. group Manpower and Randstad were fined 42 million euros and 18.2 million euros respectively.

By 1218 GMT, shares in Adecco had fallen 3.9 percent to 37.54 Swiss francs, underperforming a 2.4 percent drop in the DJ Stoxx industrial goods and services index .SXNP, while shares in Randstad were down 2.15 percent.

Manpower said it is to appeal the competition council's decision.

Randstad said in a statement it had a provision of 35 million euros in place. "In relation to this case clear commitments have been provided to prevent any infringement in the future," the group said in a statement.

Adecco, which made provisions of 15 million euros in the fourth quarter of 2007, said it would analyse the decision before deciding whether to appeal or not.

"We had anticipated this. Now we know what we are dealing with," a spokesman for Adecco said.

Both Adecco and Vedior entered into a settlement negotiation with the French authorities to get a reduction in the fine in exchange for not challenging the objections. ($1=.7783 euros) (Reporting by Katie Reid and Silke Koltrowitz; Editing by Mike Nesbit)

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