Metro has launched its free newspaper in three new French cities.

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• Upbeat advertising markets boost Metro Int.

The Swedish publisher of free newspapers, Metro International, said Monday it aims to expand in France and has launched its free newspaper in three new cities. The Stockholm-based publisher will also boost distribution in Paris starting next month.

The roll-out in the new cities will be made in collaboration with its local partner TF1.

"France is an important market for Metro. Together with our strong partner TF1 we have agreed to invest in the French operation in order to deal with the competitive landscape. Metro and TF1 are furthermore increasing their cooperation by implementing synergies in the areas of content production and sales, in order to further strengthen the performance of the operation going forward", said Per Mikael Jensen, chief executive officer of Metro International.

In July the Swedish publisher said it had narrowed its losses in the second quarter and earnings were now on a "positive trend" as advertising recovered.

Metro will distribute 60,000 more copies of the Parisian edition every day starting 1 October. Since 21 September, Metro is the only free daily newspaper available in Metz and Nancy where 20,000 copies are distributed Monday to Friday. Today, distribution is initiated in Toulon with 10,000 copies, accompanied by a circulation increase in Nice and Toulouse.

Metro will hence be distributed in 15 of the largest French cities.

The company turned a profit in the last quarter of 2009. It lost money in the first quarter of this year but said market conditions were improving.

"The positive trend from the first quarter has continued into the second quarter," chief executive Per Mikael Jensen said in a statement, adding the group's performances had been particularly strong in Sweden and Hong Kong.

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