shares in this article
ESPOO (dpa-AFX) – Because of the consequences of the Russian attack on Ukraine, the Finnish energy company Fortum has written off billions. Overall, the impairments amounted to around 2.1 billion euros, said the parent company of the German MDAX group (MDAX) Uniper on Tuesday in Espoo. The majority results from the business of the German electricity supplier. The Uniper paper widened the losses on the stock exchange, most recently the minus was three percent to just under 23 euros. Fortum shares fell 1.7 percent on the Helsinki Stock Exchange.
The loan written off by Uniper for the Baltic Sea pipeline Nord Stream 2, which was co-financed by the Russian energy company GAZPROM, alone accounts for almost one billion euros. This effect fell into the first quarter of the utility, which presented its figures on Tuesday. In addition, 0.6 billion euros are attributable to the fixed assets of the Russian Uniper subsidiary Unipro.
Uniper holds around 83.7 percent of Unipro. The portfolio in Russia consists of five power plants. The generation activities mainly include natural gas, but also hard coal and lignite and, according to Uniper, cover five percent of Russia’s electricity requirements. In the future, Uniper wants to sell the subsidiary.
Furthermore, Fortum has to make 0.3 billion euros in adjustments to its own fixed assets and goodwill for the Russia segment. A further EUR 0.2 billion resulted from impairments of joint ventures and in connection with Fortum’s stake in the Russian energy producer TGC-1 (Territorial Generation Company No 1). According to data from the Bloomberg news agency, Gazprom has a majority stake in this company, with Fortum holding just under 30 percent.
The Finnish group plans to present its quarterly figures on May 12th. Last year, Fortum made less than 1 percent of its sales in Russia. However, the business contributed around 10 percent to earnings before interest, taxes, depreciation and amortization./lew/men/jha/
Leverage must be between 2 and 20
No data