Alcatel Alsthom becomes Alcatel

Wien (pts016/01.09.1998/14:53)

Paris, August 31, 1998 - The decision to change Alcatel Alsthom's name to Alcatel, voted at the General Meeting of shareholders on June 18, comes into effect today. The name of the Group is now the same as its consumer product brand name.

This new name, which is easier to remember and to pronounce in a great many languages, reflects the focus of the Group on its core activity, which comprises telecommunications, as well as associated cables and components. Its 1997 activities represented a pro forma turnover of 131.5 billion FF and a pro forma headcount of 118,000 employees.

The restructuring of Alcatel Alsthom's activities - carried out in the framework of the Serge Tchuruk's recovery plan initiated in the Autumn of 1995 - saw the Group transfer Cegelec to GEC Alsthom, introduce GEC Alsthom onto the stock exchange under the new name of Alstom, and engage a strategic partnership with Thomson-CSF. The restructuring of the French electronics industry also led to the uniting of the satellite activities of Alcatel, Aerospatiale, Thomson-CSF and Cegelec within a single company held 51% by Alcatel and 49% by Thomson-CSF, and which is managed by Alcatel as part of a whole which also includes its own earth station activities.

In the 130 countries in which the Group is established, the main subsidiary shall bear the name Alcatel followed by the name of the country.

Today the "new Alcatel" makes about 85% of its turnover on the fast-growing telecommunications market. It also manages its shares in defense electronics with 16.36% of Thomson-CSF, and in energy and transport with 24% of Alstom.

Contacts
Press relations
Christophe Lachnitt: HQ, Paris Tel: +33 (0)1 40 76 12 19
Christophe.Lachnitt@alcatel.fr

Investor relations
Charlotte Laurent-Ottomane Tel: +33 (0)1 40 76 13 30
ottomane@ahqps.alcatel.fr (end)