French business sentiment improved to 31 in December from 30 in November, according to a survey of around 450 small and medium-sized companies by BNP Paribas Lease Group and Agence France-Presse. "This positive trend is supported by more favourable prospects over the next three months, except for the construction and transport sectors," the authors of the survey said. The highest reading of 2006 was seen in July, when the indicator reached 49. The BPLG/AFP indicator of sentiment in the French small and medium-sized business sector is based on business leaders' responses on sales, profitability, employment trends, and the outlook for their company and industry. The small and medium-sized business sector, which covers companies with between 6 and 200 employees, accounts for 45 pct of total French employment. Among the survey's sub-indices, Sales fell to 30 in December from 33 the previous month, while Profitability climbed to 30 from 21. The Employment index edged up to 36 from 35, and Investments fell to 29 from 33.