strike or anti-submarine warfare. Presenting its draft budget last month, the French defense ministry said it planned to pay for eight new frigates in 2005 and the remaining nine later on. Admiral Sergio Biraghi, head of the Italian navy, was quoted in the Corriere della Sera newspaper Sunday as saying the new ships will be used mainly for patrolling the Mediterranean. Separately, Alliot-Marie said the government plans to partially privatize state-owned naval shipbuilder DCN to allow it to forge alliances with other companies. DCN has been in talks with French defense electronics company Thales SA about linking up their respective naval businesses. --More 0020 Local Time 2120 GMT