French govt says to work with GE on new Alstom plan

PARIS, June 20 Fri Jun 20, 2014 12:03pm EDT

PARIS, June 20 (Reuters) - French Economy Minister Arnaud Montebourg said neither the General Electric (GE) offer or the joint Siemens-Mitsubishi Heavy Industries offer for Alstom power assets had met the government's demands, but that France would work with GE on defining a new proposal.

"The Siemens-MHI offer was serious but the government has made up its mind," Montebourg told a news conference.

The French state would purchase a 20 percent stake in Alstom from main shareholder Bouygues at market price, he said, adding that it was vital that key decision-making centres of the group would remain in France. (Reporting by Jean-Baptiste Vey; editing by Natalie Huet, Mark John and Pravin Char)