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Good Christmas for Gucci

Luxury brand Gucci expects to achieve higher earnings for the full year after a good Christmas period.

Jean-Francois Palus, finance director of PPR, which owns Gucci, said: "Christmas sales were satisfactory and in line with expectations. Our earnings in 2007 will improve compared with the previous year."

However PPR shares dropped 5% to their lowest level since August 2006.

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