Dexia says finalising Banque Postale agreement

PARIS, Jan 20 (Reuters) - Franco-Belgian bank Dexia said on Thursday it was finalising a funding agreement with state-owned French mail operator and financial services provider La Poste, without giving further detail.

French newspaper Le Figaro had reported La Poste was expected to subscribe this year to 3 billion euros ($4.0 billion) of covered bonds issued by Dexia.

'The principles of a funding agreement between the two groups have been drawn up but the exact terms are being finalised and are not yet sealed,' a Dexia spokesman said, declining to comment on the 3 billion figure.

'This partnership will be mutually beneficial and will be made according to market conditions,' he said.

(Reporting by Julien Ponthus; Editing by Dan Lalor)

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