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UPDATE 1-Michelin 9-month sales 11.7 bln euros

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PARIS, Oct 24 (Reuters) - Michelin, , the French tyre manufacturer, on Thursday reported that nine-month sales slipped to 11.686 billion euros from 11.702 billion a year earlier, as weaker U.S. and South American currencies capped turnover growth.

Michelin said in a statement that sales grew 2.7 percent during the first nine months of the year, adjusting for foreign exchange rate fluctuations.

Sales were 3.865 billion euros for the third quarter, below 3.992 billion a year earlier, it said.

The company said that despite a difficult market, it remained on track to meet its 2002 growth targets.

Michelin, Europe's No. 1 tyre maker, is expecting an operating margin between 7.0 and 7.4 percent for the full year, excluding a worsening tyre market, exchange rate and raw material conditions.

It said exchange rate fluctuations, largely due to a weaker dollar and South American currencies, pulled down turnover by 2.7 percent, capping a 2.1 percent benefit from an increase in sales volumes.

The European market for replacement car and light truck tyres grew 2.2 percent during the first nine months of the year, but decreased 2.9 percent in North America in a market still feeling the impact of Ford Motor Co.'s 2001 recall of 13 million Firestone tyres. Firestone is a unit of Japan's Bridgestone Corp. .

Michelin shares closed Thursday 0.5 percent down at 29.89 euros.