HIGHLIGHTS-Trichet interview on Europe 1 radio

PARIS, May 12 (BestGrowthStock) – Following are comments by European
Central Bank President Jean-Claude Trichet speaking to French
radio station Europe 1 on Wednesday.

TRICHET, ASKED WHETHER THE FINANCIAL CRISIS HAS CHANGED

“It is not the same crisis but tensions are continuing. At
the beginning we had financial turbulence in 2007, then in mid
2008 we had an intensification of the crisis which hit the
private sector worldwide and now we are in an episode where the
creditworthiness of governments have been called into question
and we are taking the appropriate decisions.”

ON CENTRAL BANK PURCHASING OF GOVERNMENT BONDS

“We have decided to get markets that had been functioning
very abnormally back into order in order to allow our monetary
policy — which is unchanged — to operate normally and to be
applied normally.”

“Any observer will notice that a certain number of markets
which had been functioning very abnormally are progressively
operating more normally. It was to allow our monetary policy to
work normally. We have not changed our monetary policy. All
liquidity which being put in through these interventions will be
taken back. We are not running money printing presses. Our
objective is price stability in the medium and long term.”

ASKED IF WORST OF DEBT CRISIS OVER

“We need to remain vigilant.”

“It will depend on the capacity of public authorities and
the private sector to take the appropriate decisions.”

ASKED IF BUYING GOVERNMENT BONDS IS “REVOLUTION” FOR ECB

“This is entirely in line with that the treaty allows us to
do. We have not done up till now because we didn’t need to.”

“We are are progressively restoring the normal functioning
of certain markets, which is what we can see and observe.”

ON GREECE
“Greece must rigorously apply the recovery plan it has
decided. This is very important. Everything begins with the
confidence of households and investors in the mid term recovery
plan. Everyone has to meet their responsibilities.”

DOES FRANCE HAVE TO REFORM ITS PENSIONS SYSTEM?

“Obviously”

IMPROVING ECONOMC GOVERNANCE IN EUROPE

“We need to reinforce monitoring of each country’s budgetary
policies, costs in the economy in general and structural
reforms. It is of capital importance.”

ON SUSTAINABLE PUBLIC FINANCES

“What we need is confidence. The prospect of returning to a
sustainable, long-term situation in public finances is essential
for growth.”

“I am more than confident in the euro. The euro is not in
question. What is in question is the policies operated by the
different governments in the euro zone.”

Stock Market

(Reporting by Gus Trompiz, Sudip Kar-Gupta and James Mackenzie)

HIGHLIGHTS-Trichet interview on Europe 1 radio