By Mathieu Rosemain

PARIS (Reuters) – The Orange state-controlled telecoms group has narrowed down its search for a CEO to three individuals, according to two people familiar with the matter.

Three board members comprised the committee that selected Orange’s Chief Financial officer Ramon Fernandez and Schneider Electric (PA)’s Head for Europe Christel Heydemann. They also sat on Orange’s board. Frank Boulben, Verizon’s Chief Revenue Officer, was also chosen by this committee.

The information was reported by Liberation, a French newspaper.

Reuters could not immediately contact the candidates named after business hours normal.

Orange, France’s most important telecom operator, announced in November that Stephane Richard would be succeeded by him as Chairman and CEO. He was convicted of complicity in misuse of public funds.

Richard received a sentence of one year suspended in prison by the court. This has precipitated his resignation from the group he had led for eleven years. He denied wrongdoing.

Orange plans to hire a new Chairman and CEO before the end of this month, but it may be difficult to find Richard as the new head of its board within the time frame given by Orange. One source said.

Orange’s board employed Spencer Stuart as a head-hunter to make the final selection.

The French state may ignore this formal process, as it continues to hold 23% of key appointments in governance.

In effect, the French presidency is able to nominate another candidate beyond the one selected by the selection panel.