The owner of France Soir, an Egyptian, Raymond Lakah, said he fired LeFranc to demonstrate "respect for the intimate beliefs of an individual" - apparently a reference to religious beliefs.
Followers of Islam charge the cartoons are an insult to their religion.
Lakah also apologized to the "community of Muslims and all people who are shocked and outraged over this publication".
A Dutch politician campaigning on his opposition to Islam published the cartoons on his website Wednesday. Geert Wilders described as "deeply unsettling" the protests that have arisen across the Muslim world. "This is a bad business. What is the price of freedom?" Wilders said.
Denmark, finding itself in the unusual situation of seeing its flag burned and Danish businesses and diplomatic facilities in the target of protests, was seeking to ease the controversy.
In Copenhagen, the editor-in-chief of Jyllands-Posten newspaper, Carsten Juste - who issued an apology on Monday - said Wednesday he regretted his paper's decision to run the caricatures, saying the "costs were simply too high" given the current boycotts and threats against Danes.
Around the Muslim countries in the Mideast and North Africa, anger over the Mohammed caricatures continued. Tens of thousands of Yemeni protested in Sanaa outside the European Commission and the United Nations.
The Danish dairy products company Arla said it was losing some 1.6 million dollars in revenues a day in the Gulf owing to a boycott of Danish products in the Middle East.
The United Nations commission on human rights has launched an investigation of the cartoons for possible racism and insults against religion.
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Well, it's good to see that the boycotts of products and the calling back of ambassadors is having some effect. This is a needlessly escalated situation which could had been avoided if the provocative cartoons weren't published. While the extremists using freedom as a tool for their own means might think otherwise and expect a hearty congratulation on insulting Muslims, some people are finally getting some common sense.