(Reuters) - Britain's Royal Mail Plc (L:RMG) said it had agreed with the French competition authority to pay 40.2 million pounds to settle a breach of antitrust laws by its unit.
Royal Mail said the Autorite de la Concurrence had reduced the fine from 49 million pounds as the company had agreed not the contest the allegations of a violation of antitrust laws by its unit between 2004 and 2010.
The company had made a provision of 46 million pounds in its financial statement for the year ended March 29 to cover the fine and associated costs.
France's competition authorities had sent a note to Royal Mail in July last year over a possible breach by the French division of the company's unit, General Logistics Systems (GLS).
At the time, Espirito Santo analysts had estimated a fine of around 160 million pounds. (http://reut.rs/1O22Cmu)
Royal Mail said on Tuesday that it had implemented an enhanced compliance programme in GLS France.
GLS, a provider of ground-based parcel delivery services, accounted for 17.5 percent of Royal Mail's total revenue in the year ended March 29.
The unit gets 70 percent of its revenue from Germany, Italy and France.
Royal Mail shares were up 1 percent at 442.6 pence at 1132 GMT on the London Stock Exchange.