Agree with both previous posters. Acquisition seems unlikely. Retrenchment is possible, as is merger/partnership with an Asian company. I can see them holding onto the more established brand in Europe, allowing CG to save face, while behind the scenes the business model is changed.
Although the French state doesn't have the cash to prop up companies directly anymore, CG is a big enough name that if it became necessary they'd cut it a break with tax payments, pressure banks not to pull in their loans, or make sure that any merger/partnership is done a friendly fashion (as described above).
In context though, I'm not sure CG is doing significantly worse than similar firms. The market's tough right now and even the Asian firms are seeing costs rising and fees being driven down. As ever, one big win/loss can make all the difference to market confidence, and that same highly uncertain variable affects the competition too.