• French deficit to reach 3% of GDP by 2013
• France to stick to deficit targets
• Economic fundamentals are solid
• Cuts 2011 GDP view to 1.75% from 2.0%; 2012 to 1.75% from 2.25%
• To modify capital gains tax on real estate
• To move quickly to harmonize corporate taxes with Germany
• Seeks spending cuts of EUR 1 bln in 2012
• To raise tax on incomes above EUR 500,000 until deficit/GDP target is met
• Capital gains tax to rise to 13.5% from 12.3%
• To raise tax on alcohol, tobacco and soft drinks