Royal Mail takes 18 million sterling provision as part of French settlement

LONDON (Reuters) - Britain's Royal Mail said on Thursday it had taken a financial provision of 18 million pounds after reaching a settlement with French competition authorities in a possible breach of antitrust laws. Royal Mail, which listed on the stock market a year ago, said in July it had received a notice that one of its subsidiaries in France may have breached competition laws, which could result in a fine. On Thursday the group said it had entered into a settlement agreement with the French authorities, however the regulator there is still continuing its investigation. "By agreeing to settle and provide compliance commitments now, Royal Mail will benefit from a reduction to any fine," it said. Royal Mail said the full amount would be determined in the second half of the year but it has taken a financial provision of 18 million pounds for the half year. Shares in the group were up 0.9 percent in early trading, in line with the wider FTSE 100. (Reporting by Kate Holton; editing by Sarah Young)