In discussing the transfer of the Mistral warships to Moscow France and Russia proceed from the assumption that either Paris delivers them and receives money or compensates expenses to the customers, French President Francois Hollande said on Wednesday.

"There is a very simple principle: if the ships are not delivered I don't see how we could accept money for them. Either you make the delivery and receive the money, or you don't deliver the ships and then you should give the money back," he said at a press conference in Paris.

In the case of Russia the principle is absolutely the same, he said adding that the situation is perfectly understood by President Vladimir Putin. So given the options there will either be payment for delivery or return of money, Hollande said.