Sarkozy receives Bush greeting

By James Mackenzie

PARIS (Reuters) - U.S. President George W. Bush said on Thursday he looked forward to working with "smart, capable" French president-elect Nicolas Sarkozy, as sporadic youth protests against the rightist's election continued in France.

Sarkozy's election raises the possibility of a closer U.S.-French alliance, a shift from the strained relations Bush and outgoing President Jacques Chirac have had over Iraq.

Bush said he telephoned Sarkozy shortly after his election victory against Socialist Segolene Royal on Sunday.

"I had met with him before when he came over here and found him to be a very engaging, energetic, smart, capable person. We will have our differences and we will have our agreements, and I'm looking forward to working with him," Bush said.

Sarkozy has said France would be a friend to the United States but that there were differences in areas such as global warming that he would address.

Bush's comments came as Sarkozy received clear signs at home from trade unions, students and rioters that his promise of change in domestic areas ranging from labour laws to education would face significant opposition.

In northern Rouen, some 400 to 500 youths lobbed bottles at police. Officers used tear gas to disperse the crowd, and several people were arrested.

"We're Sarkozy's nightmare," read posters put up on walls to call for the protests. "The war has only just started. We're not 'his France' and we'll make him realise that."