Paris: Vivendi SA said yesterday its net loss narrowed by 32 per cent in the fourth quarter due to lower financial charges, even though it made a 550 million euro (Dh2,752 million) provision to cover possible fines from a US class action suit brought by shareholders.
The French media and entertainment giant added in a statement that the amount of damages it might have to pay "could differ significantly" from the 550 million euro provision after a jury in the United States said Vivendi lied to the public about its shaky finances.
Vivendi said its net loss in the fourth quarter of last year was 958 million euros compared with 1.4 billion euros a year earlier, thanks to lower financial charges.
The company was found liable for lying about its finances in a January verdict in US District Court in Manhattan. Vivendi has said it will appeal.
In yesterday's statement, chairman Jean-Bernard Levy said Vivendi will "continue to vigorously defend the company and its current shareholders against the unfounded claims we and they are suffering."
Lawyers on both sides said any potential payouts if the appeal fails are more than a year away.
Thousands of investors from the US, France, England and the Netherlands said Vivendi covered up its troubles in 2001 and 2002 as the one-time public water company grew into a media and communications empire.
