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UPDATE 1-Iliad, Bouygues Telecom say resisting crisis

Fri Jul 3, 2009 4:06am EDT

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France  |  Italy

* Iliad CEO says seen no impact from economic crisis

* Iliad CEO says sticking to fiber optics investments

* Bouygues Telecom Dep CEO says not much impact from crisis

(Adds details)

By Dominique Vidalon and Cyril Altmeyer PARIS, July 3 (Reuters) - Iliad (ILD.PA), France's No. 2 broadband operator, and Bouygues Telecom (BOUY.PA) have not been hurt so far by the economic crisis, top company executives told Reuters on Friday.

"No, there is no impact," Maxime Lombardini said on the sidelines of a telecoms conference hosted by French newspaper Les Echos when asked if the global economic slowdown was having any effect on Iliad's business.

He would not comment on second-quarter trends, but added that the group planned to stick to its investment plans for a fiber optics network.

Bouygues Telecom was also resisting well to the crisis, Deputy Chief Executive Emmanuel Forest told Reuters at the conference.

"It isn't really having any impact for now," Forest said.

However, a decline in travel abroad as customers tighten their budgets and pressure from European Union regulations on charges could impact the company's revenue from roaming fees.

"We'll see in July/August what happens to travel," he said.

Paris-based Iliad, parent of French Internet service provider Free, which recently bought provider Alice from Telecom Italia (TLIT.MI), has said it would invest 1 billion euros to build a fiber optics network.

Last month, Iliad said it would pay the 240 million euros for a fourth 3G mobile phone licence in France recommended by the country's CPT shareholding agency, which helps the government value its assets.

Iliad, the sole candidate for a first auction in 2007 that did not succeed, is once more seen as the frontrunner for the upcoming auction.

(Editing by James Regan)

((dominique.vidalon.reuters.com; +33 1 49495432; Reuters Messaging:dominique.vidalon.reuters.com@reuters.net)) Keywords: ILIAD BOUYGUESTELECOM/

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