Weak U.S. Dollar Weighs on Vivendi

Vivendi Universal’s recovery is almost complete, the French media and telecommunications giant said, despite a massive second-quarter net loss bloated by the effects of the weaker U.S. dollar.

Two years after an ill-fated acquisition spree took it close to collapse, Vivendi unveiled sharply improved second-quarter operating profit at its music and pay TV divisions as they emerge from restructuring. But Vivendi’s net loss increased more than sevenfold to $2.26 billion in the April-to-June period.

This was largely the result of an expected $2.6-billion currency charge as the weaker dollar weighed on proceeds from the sale of Vivendi Universal Entertainment to General Electric Co.’s NBC this year.

Vivendi said operating profit rose 6.6% to $1.09 billion.