I would find the kiss odd, and certainly not the norm in France for a first business introduction.
That said, she "freaked out and ran out of the room?" Is this embellished at all? It's okay if it is -- I've often heard that a story is not worth telling unless it's embellished. :-)
Let's assume that it is not. I would be deeply embarrassed if a colleague of mine reacted that way. I am certain that the Frenchman who offered the cheek kiss was humiliated if not offended. What an utterly absurd over-reaction!
I'm curious about the lost three days of productivity as well. It sounds as if she ought to think about a different line of work if something this minor caused her to lose her cool and focus for three whole days.