Atos wants to expand in Asia, keeps '09 goals

* Wants to strengthen in China, wider Asia

* Cost-cutting plan "well on track" - CEO

* Stock down 2 pct, underperforming sector index

(Adds details, CEO quotes from AGM)

By Dominique Vidalon

PARIS, May 26 (Reuters) - French IT services group Atos Origin (ATOS.PA), which recently made a small acquisition in China, eyes further expansion in Asia, should opportunities arise, its chairman and chief executive said on Tuesday.

Thierry Breton told the annual shareholders meeting that Atos Origin, which is bracing itself for a long global economic downturn, was sticking with its financial goals for 2009.

"We are confirming our 2009 targets," Breton said.

In April, Atos Origin, which supplies IT services to the Olympic Games and specialises in secure online payments, had forecast that underlying sales would fall by about 2 percent in 2009. Its operating margin is seen rising by between 50 basis points and 100 basis points from 4.8 percent in 2008.

To improve profitability, Atos has embarked on a plan, code-named TOP (Total Operational Performance), to cut costs, improve efficiency, and operate the group in a more centralised manner.

The TOP plan was "well on track", Breton told shareholders.

Earlier this month, Atos Origin bought Shanghai Covics Business Solutions Ltd, a Chinese SAP consultancy and SAP system integration services company, for an undisclosed amount.

The deal, which Breton described as "small", was the group's first acquisition in Asia and in the Asia-Pacific region.

"Asia and China are regions where we want to strengthen. If we find opportunities, we will grab them provided they meet our financial means," Breton said.

Atos recently extended its IT systems contract with the International Olympics Committee for an additional four years, until 2016.