PARIS — French President Francois Hollande has approved a new Cabinet that includes his ex-companion Segolene Royal as minister of environment and energy.

The new government was named Wednesday after discussions between new Prime Minister Manuel Valls and Hollande, and follow a crushing defeat for their Socialist Party in municipal voting last week.

Laurent Fabius and Jean-Yves Le Drian keep their positions as foreign affairs and defense ministers in the new government. Former Finance Minister Pierre Moscovici has left the government and the brief has been split between two Socialists: Michel Sapin will take charge of finance, and Arnaud Montebourg will be in charge of industry and economy.

Royal was the Socialist candidate for president in 2007 but lost.