EnBW Factbook 2018 »

October 2018 2 EnBW Factbook 2018 4. 3. 2. 1. Agenda 1 − EnBW at a glance a at EnBW − 1 Agenda › › › › Segments Segments Strategy Environment EnBW at a glance › › › › › › › › GenerationTrading and Renewable Energies Grids Sales Compliance, Data Protection Decarbonisation, Innovation, Digitalisation, Corporate Sustainability, Broadband, Contracting, Research and Development, Further strategic aspects: 2025Strategy EnBW 2020Strategy EnBW Markets Regulatory environment Political environment Key non- Key financials ...... financials ...... Corporate Governance, ...... page 76»» page 38»» page 6 »» »» 3 page 8. 7. 6. 5. Service Capital Markets - Non and KeyFinancials EnBW’sShareholdings Main › › › › › › › › › › › › › › › › › › F Halfyear 2018 Fiscalyear 2017 Five AG VNG Stadtwerke Düsseldorf Group Pražská energetika, a. s. EnergieDienst Contact details Important links calendar Financial Key financial indicators Share Shareholder structure Credit Ratings Maturity profile Bonds Asset Liability Management Model inance - year summary ...... strategic and other goal dimensions Holding Holding AG ...... financials ...... page 155 »» page 143 »» page 114 »» page page131 »» 3 EnBW Factbook 2018 Fully integratedutility in One of the largest ofGermanOne utilities Four BusinessFour Segments 2 1 E&P Business(Exploration Production)& via NorgeVNG AS soldin (closing2018 expected in autumn 2018) As of 31 December 2017 December 31 of As › › › › › 1.1 1.1 Strong roots in Baden in roots Strong employees 21,000 structure shareholder Stable portfolio generation GW 13 5.5m customers Electricity Gas Gas EnBW at a glance a at EnBW Sales -Württemberg E&P E&P Generation 2 Import contracts/ contracts/ Import infrastructure 1 Balanced risk › › › › Active in selected foreign markets foreign in selected Active ratings grade investment Solid business -risk low from contribution EBITDA ~65% grids and on renewables Focus Grids Trading/procurement - return profile return Storage Renewable Trading/portfolio Trading/portfolio management Energies Transmission/ Transmission/ Key financialKey figures distribution › › › Group net profit/loss: €2.1 profit/loss: net Group Adj. EBITDA: €2.1 EBITDA: Adj. Revenue: €22 Revenue: distribution Transport/ Transport/ bn bn Generation & Generation Trading bn Sales << Agenda Sales 4 EnBW Factbook 2018 Key non Key financialsKey KPI KPI Employee Commitment Index Employee Commitment CO (EnBW / / Yello)(EnBW Satisfaction Customer Index Adjusted EBITDA Adjusted RE share RE generationof capacity Internal financing capability Internal financing ROCE 1.2 1.2 2 intensity intensity - financials Key figures g/kWh € bn € % % % 143/161 111.9 2017 2017 25.9 556 2.1 7.3 60 Forecast 2020 Forecast 2020 - 15 % to - 15 % to >136 / >159 >136 / 2.3 2.3 8.5 8.5 >100 - 20% > 40 - 2.5 11 65 Reducing Maintain discipline financial Maintain Expand Expand renewable energies CO Raising the Group’s Raising the value Employee commitment 2 intensity Securing profitability Securing Customer proximityCustomer by 20% 15 to by Target 2020 Target 2020 << Agenda 5 EnBW Factbook 2018 4. 3. 2. 1. Agenda 2 − Environment − 2 Agenda › › › › Segments Segments Strategy Environment EnBW at a glance › › › › › › › › GenerationTrading and Renewable Energies Grids Sales Compliance, Data Protection Decarbonisation, Innovation, Digitalisation, Corporate Sustainability, Broadband, Contracting, Research and Development, Further strategic aspects: 2025Strategy EnBW 2020Strategy EnBW Markets Regulatory environment Political environment Key non- Key financials ...... financials ...... Corporate Governance, ...... page 77»» page 39»» »» 6 page page 3 »» 8. 7. 6. 5. › › › › › › › › › › › › › › › › › › Service Capital Markets - Non and KeyFinancials EnBW’sShareholdings Main Contact details Important links calendar Financial Key financial indicators Share Shareholder structure Credit Ratings Maturity profile Bonds Asset Liability Management Model AG VNG Stadtwerke Düsseldorf Group Pražská energetika, a. s. EnergieDienst F Halfyear 2018 Fiscalyear 2017 Five inance - ...... year summary strategic and other goal dimensions Holding Holding AG ...... financials ...... page 157 »» page 145 »» page 116 »» page page133 »» 6 EnBW Factbook 2018 Goal › › › › Nuclear EU 2020 EU and and Paris ClimateAgreement:Paris Hold 2.1 State operators transferred Operators mid phase Responsibility and and end of2022 end by down shut NPP to Last pursue related 2017 German - - owned out out phase and have split goals liabilities nuclear efforts fund Political ®ulatory for government - between partly Climate out financing established provisions to to limit state - 20% GHG 20% GHG 20% Energy final in RE 20% & Energy of th in e temperature emissions the Goal › Renewables › › › savings Policy increase energy in 55– 2035: 40– 2025: increased RE costs Debate expected onshore Additional current Changes electricity share Goals of power consumption on on legislative legislative increase wind and PV PV and wind in global to in 2019/2020 goal 60% RE RE 60% RE 45% to tenders tariff charges production 65% to environment ongoing system be by Goals 2030- EU period for to average expected 2030 in 1.5 . and and ° C above temperature EU 2030 EU Goal Goal › › Coal pre - - 20% 40% GHG date date 2020 national - short Commission of generation commission Newly reduce of decommissioning phase - 2018 coal industrial primary for term term - to established goals gap fired - coal climate emissions out well by relative relative goal energy - to power plants plants power to fired end end levels set below set for goals a power phase consumption by to number - 2020 for 40.0% GHG emissions GHG 40.0% 32.5% Energy 32.5% savings energy final in consumption RE 32.0% 2 ° - out out C to above by Goal › › › Electricity 2020 pre period amended System of powerlines priority Underground (i.e. transition Remove - industrial slowing grid over bottleneck in grid next grid overhead expansion cabling levels charges ) expansion legislative legislative << Agenda in given energy to be 7 EnBW Factbook 2018 › › › › › ParisThe Agreement Source: ClimateAction Tracker/ Vox Willbe further defined at COP24 in Poland in 2018 (NDCs) measures and “nationally determined contributions” countries develop and communicate their mitigation Defined half of this century Aims at achieving net achieving at Aims ° +1.5 pre Established a global warming goal well below +2 Framework Convention on Climate Change (UNFCCC) in December 2015 by the 196 Parties to the UN Adopted the at UN Climate Change Conference COP21 2.2.1 - industrial average with efforts to limit warming to C C in 2100 in relation to pre a universal, legal Global Global Decarbonisation: - zero emissions in the second (without yet calculating the impact of spill of impact the calculating yet (without regulatory framework where all all where framework - industrial levels. Current pledges leadglobal to least warmingof at +3 framework ° C on on C Effect on on 100 150 carbon 50 Gigatons 0 climate - of of over effects above +2 above effects over dioxide current 2000 emissions Historical of pledges change 2020 Projections and and 2040 ° ° C C warming) C policies 2060 on globalon GHG 2080 2100 2.6 3.1 4.1 No emissions << Agenda pathways pathways Pledges Current policies policies 1.5 2 – – – climate ° 3.2 3.7 4.8 ° C C ° ° ° C C C 8 EnBW Factbook 2018 › › UN › ° 1.5 of ”Global Warming Report IPCC of Special Approval › › ClimateUN ChangeConference ( › protection measure and report their CO (2015), among other things with uniform rules on how countries can reliably Goal: Create a framework and refine the details of the Paris Agreement When: 3 Final later in 2018 Goal: Preparation of draft a resolution for the UN Climate ConferenceChange When: 4 The report willbe about the impacts of global warming of 1.5 sustainable development and efforts to eradicate poverty strengthening the global response to the threat of climate change, industrial levels and related global GHG emission pathways, in the context of 2.2.2 Climate approval - - 14 December 2018 9 September Change Conference COP24 Katowice,in Poland International International Decarbonisation: 1 - 5 October 2018 2 emissions and national contributions to climate ) in Bangkok,ThailandIntersessionals ) in climate politics C“ ° : Key Key : C aboveC pre events - 2018 › › › Other (2021/2022) IPCC Sixth Assessment Report security) (2019) sustainable land management, food desertification, land degradation, Change and Land (incl. IPCC Special Report on Climate Climate (2019) and Cryosphere in a Changing IPCC Special Report on the Ocean reports by 2022 include << Agenda 9 EnBW Factbook 2018 1.400 1.000 1.200 (in mt CO German GHGemissions by sector 400 200 600 800 0 2.2.3 1990 1.252 2 Agriculture Industry sector Energy Transportation 132 284 164 466 – 38 78 90 equivalent; equivalent; Source: UBA) climate protection targets protection climate Decarbonisation: The emission emission The reduction target 2020 for willbe missed t byleast CO at m 60 2000 1.045 Target 2050 Target 2030, 2020, Private households Commercial/ Waste 2010 943 retail / services National GHG emissions and and emissions GHG National 10 2008- Kyoto Target Expected Total 2017 904 2012 emissions 171 193 328 91 39 72 2020 750 emissions 2 . protocol 2030 561 250 62.5 2050 – German climate strategy GHG targets for Sector emissions accordingto the Total amount Total Others Sector Subtotal Agriculture Industry Transportation Buildings Energy 2040 emissions target at least 70% below 1990 (in m COt and 2050 target 80- 2050 targetand 1.248 1.209 1990 eq.) 283 163 209 466 39 88 2 - Klimaschutzplan (in m COt 2014 eq.) 902 890 181 160 119 358 12 72 2 - 95% below 1990. 95% below (in m COt 543- 538- 140- 175- 2050 58- 95- 70- 2030 eq.) 562 557 143 183 61 98 72 2 5 - << Agenda (reduction compared compared to 1990) to 56- 56- 62– 34- 42- 67- 51- 2030 55% 54% 87% 31% 40% 66% 61% 49% 10 EnBW Factbook 2018 SituationGermany in 2 1 › › › 80% greenhouse80% gas reduction relativeto 1990 Sources: Fraunhofer ISI/ › › German large essential Decommissioning but by Reduction 2.2.4 2.2.4 Heating expectations CO Electricity 2020 reaffirmed 2 GW reductions and government volume to and in generation by 2030 essential to target attainment target to essential 2030 by generation coal in reduction further and Germany in attainable longer no targets 2020 Decarbonisation: ⅔ attainment sector by coal 2030 transport Öko coal 2030) since path - - Institut based target has has power 1990 to of : Climate Protection Scenario: BMU:2050; Projection Report 2017 already sectors declared be 2020 emissions stations expected Potentially significantpolicy and contributed have 2020 2030 by so from target 2025 targets far initial action expected to be effective 2020 for be to effective expected initial action significantly current fallen for unattainable (approx individual short levels . to of ⅓ - driven cuts in coal generation by 2030; (80% scenario (80% withcurrent policies vs. permissible levels Coal powerstation emissions: levels expected 110,0 168,0 2015 278 2 ; m t - CO based expected 2 - 94,70 127,0 222 equivalent) 2020 permissible 120,0 62,0 182 Hard Hard - 18% expected coal 107,80 65,80 174 2030 Lignite permissible 1 39,0 77,0 116 - 33% << Agenda 11 EnBW Factbook 2018 › › 2.2.5 sector targets. measures addressing itsrespective ministry will present programa of the end of 2018, each federal gap andattain togap the2030 target. 2019. Aims to reduce the 2020 target adopt a Climate Protection Act in Coalition partners have agreed to reduction targets for 2030. 2019 to achieve the emission adopt a Climate Protection Act in Coalition partners have agreed to Climate The coalitionThe agreementshows commitment andclearhighs lows: A to emission reductionand expansion of renewablesources. energy However,dutiesremaintaxand theregime many reform problemsof the like Climate protection in the coalition agreement 2018 agreement coalition the in protection Climate Decarbonisation: Protection unresolved. As a consequence, attainment of the 55% reduction target by 2030 is uncertain. Act By By › › among among the G20 members. global CO German government willadvocate a Trading Emission System Intention to strengthen EU CO 2 pricing 2 pricing system at least least at system pricing - › › capacity additional expansion of offshore 4 GW each for onshore wind and PV; Special tenders in 2019 2020: and accordingly) national grid developedis to 65% 2030 by (provided that the RE expansion goals raised from 55% sources << Agenda 12 EnBW Factbook 2018 2.2.6 › › 1. › › › › › 6. 5. 4. 3. 2. Time Time Six key Structure 27 additional members from NGOs, research institutions, industrial and business associations etc. associations business and industrial researchfrom NGOs, members institutions, additional 27 lignite to connection a with states federal six Representatives of Planning stepa nationalof Energy, and AffairsEconomic (incl. ministries Environment, federalInterior, eight Representatives of Chanceller the of Chief former one economist, premiers,climate one statemining lignite former(two Fourchairmen commission December 2018: Delivery of final report to the Federal Government, incl. an end date for coal, publication of the final repor final the of publication coal, for date end an incl. Federal Government, the toreport final of Delivery 2018: December targets2020 the relative to gap the closing for and energy the sector in measuresforRecommendations 2018: November regionsmining lignite forrecommendations economicpolicy and social Initial 2018: October Drive investment to accomplish structural change in affected regions and industries regionsand in affected change structural accomplish to investment Drive protectioncoherence climate social & change, structural development, economicfor comprehensivemix Develop a policy regions affected -out premature a phase Createin coalby new, employment sustainable Measures to meet 2030 targets in the energy sector (e.g. reduce (e.g. energycoal in the targets sector 2030 meet to Measures possible” as far “as emissions) GHG of relativereductionGermany’s to gap (40% targets 2020the close to Measures and an end date for end date an coaland Change and Employment (“Coal Commission”) (“Coal Employment and Change The German Decarbonisation: frame tasks fired power generation in Germany Germany in generation power-fired -by Commission on Growth, Structural Structural Growth, on Commission step coal-stepphase out including all accompanying -out including all economic, structuralmeasuresand social related GHG emissions by roughly by today)compared emissions to60% GHG -related Labour , Transport, , Finance << Agenda t ) y) 13 EnBW Factbook 2018 › › › › › › › transmission and distribution grid operators distribution and transmission framework for regulatory the in change substantial no to leads generally Ordinance Regulation Incentive of Amendment mid of Ordinance Regulation Incentive the of reform the to due 2019) (from period regulation electricity third the of as respects some in improve to set is grids distribution in investment framework for regulatory The framework regulatory the in changes of account on grids transmission for conditions investment Improved regulation be possible Pressure as efficientto ongoingtodue as fluctuations consumption of independent remain to grid revenues enables cap regulation Revenue regulatory the framework of stability increasing the to due manageable risks Regulatory monopoly a natural as term, long the in including regulated, remain grids and distribution transmission Electricity 2.3 2.3 Regulatory Regulated business grids business Regulated environment - 2016 › Three main challenges for grids: › › solutions: to approaches EnBW's › › Electricity generation is becoming increasingly uneven uneven increasingly becoming is generation Electricity distribution grids by municipal partners municipal by grids distribution the of expansion and swift efficient grids, distribution of expansion DSOs: cables and underground lines transmission HVDC of use centres; consumption and production of point TSO: trading country a transit as Germany grid the to connected plants generation electricity Many decentralised grid stability on impact an have – New transmission lines can bridge the distance between focal focal between distance the bridge can lines transmission New load flow reversals possible load flowreversals possible some instances in Expansion of the grids to integrate renewables, smart smart renewables, integrate to grids the of Expansion Challenges for gridsin Europe – large proportion cross of – - fluctuations fluctuations border border << Agenda 14 EnBW Factbook 2018 3 2 1 Power supply companies Depending on regulatory policies Rising new registrations compared to previous years › › › › › › › 2.4 gas gas plants topower coal due from generation power Increasing decline steady in plants power conventional of Time profitable operation of energies renewable towards trend Sustained and and volumes prices of volatility Increasing switching fuel Technological developments New market participants Regulatoryframework conditions > 160 GW by 2030 > 160GWby 2020 > 120GWby Generationtrading and 1 : Market development Market Business models utilitiesof large changing; areaccelerating development of renewable energies : More competition and fragmentation of the value chain of the fragmentationand competition More : - to - : More diversity, modularity and granularity in the energy system energy the in granularity and modularity diversity, More : gas : Undergoing: constantchange, rising complexity › › › › › › Moderate Moderate expansion ofgas grids smart grids of expansion Accelerating back in increasingly stations power Conventional increase e in increase the to due e.g. grids, distribution power of expansion for needed investment Further 2030 by 65% to target energy renewable the raising by accelerated grid expansion Transmission grid stability to detrimental generation electricity Volatile Power and gas grids gas and Power - up role up and grids as well as new servicesandwell ascustomers new for gridsas - mobility › › › › › › models business (digital) new developing of importance Rising 970. to from ~150 2008 since Landlord electromobility and systems battery PV and with role active an increasingly playing Consumer sector heating residential efficiencyand in rise demand from and electricvehicles energy to and due gas electricity demand for in Downturn Number Number of energy co- levy) EEG by (inhibited Renewables for the most part in the hands - non of hands the in part most the for Renewables Customers - to - tenant electricity supply still uneconomic uneconomic still supply tenant electricity operatives operatives increased has 1 in the future. in the 3 << Agenda sixfold PSCs 2 15 EnBW Factbook 2018 100 120 140 160 (annual average). (annual The chart shows the development of prices (indexed rates of increase, not absolute fuel prices) for heating oil, gas,electri 3,500 kWh/a) (electricity 2), BDEW 17, (FS R Office Statistical Federal Source: 40 60 80 2.5.1 2001 2002 Development of household energy pricesenergy household of Development market: electricity German 2003 2004 2005   electricity natural 2006 gas 2007 2008 2009 cit y and district heating for households since January 2001 relative to the 2010 base year   2010 heating oil district heat district 2011 2012 2013 2014 2015 2016 << Agenda 2017 16 EnBW Factbook 2018 1 2018 Source: BDEW,April As of 31 December 2017 December 31 of As 2.5.2 Installed market: electricity German Installed 216.0 GW ( GW 216.0 13.8% 20.0% 23.3% 11.7% 7.7% 3.6% 9.7% 2.5% 5.0% 2.6% Capacity ) net capacity 1 and and electricity Electricity 620.5 TWh ( TWh 620.5 13.5% 14.0% 13.6% 22.0% 11.6% 4.9% 7.9% 6.4% 2.8% 3.2% generation generation ) net 2017           Hydropower (excluding pumped storage) Nuclear power Lignite coal Hard Natural gas Oil, pumped storage and other Biomass and other renewable energies Photovoltaic Onshore wind Offshore wind 1 << Agenda 17 EnBW Factbook 2018 in TWh Electricity consumption in Germany Figures as of FebruarySource:2018; AGEB 2.5.3 2008 538 Electricity consumption Electricity market: electricity German Net electricity consumption stable in the past few years; reduction due to efficiency is compensated iscompensated due efficiency to reduction past stable few years; in the consumption Net electricity 2009 509 2010 541 by changesconsumption in habits and economic growth 2011 536 2012 534 2013 536 2014 524 2015 525 2016 527 << Agenda 2017 530 18 EnBW Factbook 2018 Electricity price Electricity 1 households private for electricity price of share 54.2% Source: German Federal Association of Energy and Water Management (BDEW), figures as of May 2018 May of as figures Average concession fee; varies according to size of community 2.5.4 2.5.4 Electricity Electricity market: electricity German Q2/2018 23.1% 16.0% 2.6% 5.6% 7.0% VAT 19% VAT EEG Concession fee Concession Electricity duty Electricity price levy 1.3% 1.2% 0.1% Offshore liability surcharge liability Offshore CHP surcharge products (NEV) surcharge (NEV) products ElectricalLow forOrdinance 19 Sec. 1 - Voltage Cents/kWh kWh) 3,500 of (Annual consumption 3 a for price electricity Average Source: BDEW, figures as of May 2018 May of as figures BDEW, Source: 15.13 29.14 2014 7.38 6.63 Procurement Network Network Taxes, fees user and and charges 14.91 28.70 cost 2015 7.05 6.74 sales allocation , including 15.53 28.80 2016 metering 6.26 7.01 - , billing person household 16.06 29.28 2017 5.71 7.51 and metering station 15.97 29.44 2018 6.20 7.27 << Agenda operation 19 EnBW Factbook 2018 in €/MWh in Forward price baseload for Germany electricity in 15 20 25 30 35 40 45 50 2.5.5 2013 Wholesale forward price Wholesaleforward market: electricity German 2014 Base2019 2015 Base2020 2016 Base2021 2017 2018 << Agenda 20 EnBW Factbook 2018 in €/MWh in Clean Clean Clean -6 -4 -2 0 2 4 6 8 › 2.5.6 2015 - - (plant efficiency: 36%) efficiency: (plant Gross margin of a coal a of margin Gross spark dark - dark - spread is the is correspondingspreadindicator for coal - spread representsthe net revenue spread a generator makesfrom sellingpower, having bought gas and the requirednumberof - spread base spread CSS at low levels and negative prices for CDS for prices negative and levels low at CSS market: electricity German 2016 fired power plant plant power -fired 2017 - fired generation electricity. generation of fired 2019 2018 -15 -10 in €/MWh in Clean 10 -5 2020 0 5 › - (plant efficiency: 50%)efficiency: (plant gas a of margin Gross spark 2015 - 2021 spread peak spread fired power plant plant power -fired 2016 carbon allowances. 2017 << Agenda 2018 21 EnBW Factbook 2018 Source: regulations Unbundling Challenge Tasks Organisation 2.5.7 2.5.7 BNetzA of / BKartA the electricity transmission and distribution grids distribution and transmission electricity for Comparison market: electricity German Monitoring Report December 2017 December Report Monitoring › › › › › › › › › Connecting offshore wind farms wind offshore Connecting lines transmission HVDC new Building Germany southern to northern wind of Transport operator operator (ITO) transmission independent unbundling, Ownership power balancing Using consumption and generation between balance Ensuring Grids by operators owned km ~36,600 Grid length: 50Hertz, operators: 4 380 kV, 220 kV 380 kV, Transmission grids - generated generated electricityfrom Amprion , TenneT , TransnetBW › › › › › › › › › › - non to as obligation and grid business the of and unbundling financial Functional smart (e.g. meters) operation metering of digitalisation and grid tech smart of Use cars electric for charging infrastructure of Integration of Connection troubleshooting and incidents Recording and consumers Connectinglocalproviders franchises for Competition municipalities by issued Franchises km ~1,808,000 Grid length: operators 817 ≤ 110 kV 110 ≤ grids Distribution decentralised discriminatory use of grid information grid information of use discriminatory renewables (e.g. PV, renewables wind)(e.g. << Agenda 22 EnBW Factbook 2018 Distribution › › Transmission › › General › › Electricity grids Electricity Source: Federal Requirements Plan, network development plan 2030, offshore network development plan 2030; plan development network offshore 2030, plan development network Plan, Requirements Federal Source: farms direct ( remodelling already Expansion Growing investment Changes The Still Feed ARegV 2.5.8 strong electricity - in current ) extended, growing geographical in of grid trend in of grid legislation transmission are the backbone of the “ the of backbonethe are grids Electricity market: electricity German (HVDC) grids the grid due back however) energy : business to e.g transmission imbalance to local . municipal have revision market grid generation has simplified – between become of primarily ownership lines the and Incentive generation a reimbursement construction growth connection (large Regulation business share and of consumption of offshore of for high concession due Ordinance Energiewende” costs voltage to wind the of in € € in tothrough 2030 Capex expansion for electricity the gridof German bn Transport grids 33 BMWi Distribution Grid Study 2014 Study Grid Distribution connection Offshore 17 Distribution grids 20 expansion expansion through to 2030 to Total Total 70 << Agenda 23 EnBW Factbook 2018 Taxes Regulated network user charges (market procurementGas and sales and operation) station and metering billing metering, (including price Gas 1 andbilling, subject to large regional variation, source: BDEW, asof 01/2018 Average net network user charge including charges for metering, metering stationoperation 2.6.1 2.6.1 and and - determined) duties Gas Gas gas German price Single 1 5.8 7.1 market - familiy 27% 47% 26% home : Cents/kWh kWh) 20,000 consumption (annual supplier default regional with contract on customer water, hot including Single 2 default supplier, withreduced concession (0.03ct/kWh),fee source: BDEW, 01/2018 Most heatingMost gascustomers are customers on contract with the regional 2014 6.52 3.41 1.49 1.04 0.55 Procurement Franchise fees Network Taxes - family home, gas central heating , fees 0.03 user and and charges cost 2015 6.26 3.15 1.53 1.00 0.55 sales allocation , including 0.03 metering 2016 5.89 2.75 1.62 0.94 0.55 , billing 0.03 and 2017 5.73 2.65 1.59 0.91 0.55 metering 0.03 station << Agenda 2018 5.70 operation 2.68 1.53 0.91 0.55 2 0.03 24 EnBW Factbook 2018 in €/MWh in prices month Front reference 1 10 15 20 25 30 A verage 2.6.2 of of Gaspool 2012 and NCG and Front Front gas German month 2013 1 market price development : 2014 2015 2016 2017 << Agenda 2018 25 EnBW Factbook 2018 in €/MWh in Spotmarket 1 A 10 20 30 40 50 60 verage 2.6.3 of of Gaspool 2012 reference prices and NCG and Spot gas German price 2013 1 development market : 2014 2015 2016 2017 << Agenda 2018 26 EnBW Factbook 2018 Source: regulations Unbundling Challenge Tasks Organisation Energiewende 2.6.4 BNetzA of / BKartA the gas transmission and distribution grids distribution and transmission gas gas German Monitoring Report December 2017 December Report Monitoring › › › › › › › renewables storage medium for generated electricity from grid as gas natural of use potential term: Long operator operator (ITO) transmission independent unbundling, Ownership areas) market other or and industry (DSOs versa and vice (transit) points export to from import gas Transport Gaspool Twomarket areas ( Grids by operators owned km ~38,800 Grid length: grid operators 16 380 kV, 220 kV 380 kV, Transmission grids ) market NetConnect : Grids: Comparison for for Comparison Grids: Germany and and Germany › › › › › › › › › - non to as obligation and grid business the of and unbundling financial Functional increases heating distance and long heating electricity if utilization, of Degree years) 10 last the in 100% by increased plants biogas of (number gas natural bio of Integration troubleshooting and incidents Recording and consumers Connectinglocalproviders franchises for Competition municipalities by issued Franchises km ~497,000 Grid length: grid operators 696 ≤ 110 kV 110 ≤ grids Distribution discriminatory use of grid information grid information of use discriminatory << Agenda 27 EnBW Factbook 2018 › › › Distribution grid › Transmission grid › General Gas grids Gas Source: gasDraft network development plan2018 Still strong trend back to municipal municipal ownership back trend to strong Still grid gas natural the to communities new of connection the to due potential Growth “ Smaller expansion compared scale of electricitytobecause 2025) by Russia/Norway L of half (approx. L from market the in Switch environment: regulatory in changes from requirements capacity Increasing - Long › › › ” has less pronounced effect on gas on effectgas pronounced market has less Energiewende” 2.6.5 approx. 2030 up to +47% approx. 2025 up to +38% approx. 2020 up to +17% approx. term increase in demand H demand for in increase term element of the “ the of element major a are grids Gas gas market: German - gas gas from tobe replaced NL by H - gas capacity Germany: in capacity gas - 2028 - gas to H- Energiewende” - gas from gas in Germany through to 2029 through Germany in Expansiontransmissiongas of the grid Compressors Transmission Investment of ~ €7.0 €7.0 ~ Investment of in MW lines in km 499 bn , , which bn of ~€6.8 1,390 << Agenda by 2024 28 EnBW Factbook 2018 in € € in market infrastructure German 2.7 bn 2015 100 German infrastructure market infrastructure German 2025 150 › › › prospects of long of prospects Attractivemargins generally attainablewith and digitalisation as such megatrends by supported growth Rapid Strong growth in German infrastructuremarket decarbonisation , sector coupling(e.g. e sector, - term earnings - mobility) << Agenda 29 EnBW Factbook 2018 1 Use ofUse renewableelectricity after conversion to synthetic gases, fuelsor industrial feedstocks 2.8 2050) (> pumps and electric boilers heat using e.g. generation, heat of Electrification generation Electrificationheat of 12 m heat pumps by pumps heat m 12 Sector couplingSector ~28 ~28 Vehicle electrification m vehicles by 2050 by vehicles generation by 2020 by generation heat of share 14% 2030; by consumption electricity gross of share 65% Target: Expansion of renewableenergies heat/synthetic fuels fuels heat/synthetic into conversion or electricity Temporary of storage excess Storage or g or as consumption by 2050 by consumption 100- for sectors other in electricity Greater of use renewable consumption Rising 200 TWh rise in electricity electricity in rise TWh 200 heating, transport transport heating, is the direct and and direct the is electricity in the the in electricity Sector indirect and industry and industry renewable sectors coupling 1 use of use << Agenda 30 EnBW Factbook 2018 Broadband Broadband Source: F.A.Z./FederalNetworkAgency as of 31 December 2017 December 31 of as 2.9 connections 7.7 Broadband 0.8 33.2 m 33.2 0.1 24.7 Mobile and and Mobile TV TV DSL / DSL VDSL Glass Glass cable fibre other › › › the next few years. few next the €10 €10 2015 by Germany throughout broadband gigabit of availability Universal target: Coalition procedure simplify the and funding public for limits raise upper aims to German government bn to €12 €12 to bn in additional funding planned for planned funding additional in << Agenda 31 EnBW Factbook 2018 Competitors (DACH region) International 2.10 Regional National New regional and new competitorsnewregional and national, International, Competitors: Companies Key challenge: Optimal positioning given the regulatory/competitive market environment Characteristics › › › › › › › solutions renewableenergies, grids, and/or sales onmarket Focus development, forexample in markets foreign selected in activities position, Stable national area of grids and sales in mostly activities business the of focus Main onregional markets Focus grids and and sales/solutions grids especially Growthrenewable in energies, strategy growth Broad value chain value the of fragmentation to and leads competition increases participants market new of Entry - based, internationally oriented based, oriented internationally Position of EnBW › › - - - areas: growth Main markets foreign selected and Germany on focusing company energy integrated an as positioned is EnBW Customer Solutions Customer Grids Energies Renewable << Agenda 32 EnBW Factbook 2018 Retail and business customers – › › › › › › › › › › 1 Source: Kreutzer Kreutzer Source: Growing price sensitivity price Growing products or smart home products in addition to their electricity contracts electricity their to addition in products home or smart products hardware products, bundled customers their offering are suppliers energy pure the attractiveness increase ofenergy products, To more and more operators) platform plant and power virtual suppliers electricity as manufacturers CHP manufacturers, (car and transport heating of electrification the and coupling sector to due markets the on convergence Increasing municipalities and industry housing and industry the a partner for as EnBW competitors new with together utilities, by offered solutions energy Local measures) political by (supported efficiency energy Increasing business solutions energy future of development the for and a prerequisite are access customer change meters Intelligent becoming prosumers Consumers are Localenergyrise: production on the by customers significant still is and gas) (electricity business Commodity customers and market shares for competing increasingly are and intermediaries entrants Lateral 2.11 Vertriebskanalstudie The “ The 1 “ increasescompetitionEnergiewende “ and and lead competitors fiercernewcompetition to 2018 trends Gas Gas Electricity in % Cumulative rateretail of churn customers competition: Strong 2 Source: BDEW 2018 2007 2007 11.0 1 2008 2008 18.90 7 2009 2009 20.70 11 2010 2010 21.90 12 2011 2011 25.80 14 29.70 2012 2012 18 2013 2013 33.50 26 2014 2014 36.10 28 2 2015 2015 39.50 31 << Agenda 2016 2016 42.00 32 42.70 2017 2017 33 33 EnBW Factbook 2018 › › › › › › › Operations especially in the area of smart metering solutions smart area metering of the in especially market, the in opportunities growth significant ofand scale shiftofferTechnology economies advantages Cost forlarge providers influencedby scale of economy heavily is business the that mean costs fixed High remodelling the for technology billing and requirements meetregulatory need tothe pressure oncosts, from rising municipal utilities for challenges Growing market the onto surging continually industries, other from and industry, energy from the players new with competition Intense Market volume in Germany €5.5 Germany in volume Market Market for energy for Market 2.12 of the energy market Market potential for energy for potential Market - related related very fragmentedservices bn › › › › Servicesand key competencies EnBW services cover the complete the services metercover EnBW Services Services fornon companies utility of needs individual the suit leading provider ofsmart meteringservices a as positioning clear and markets liberalised utility in knowledge proven has EnBW Services software either- as products - related services related - commodity commodity products and e- e.g.solutions, as- a - service service onlyorfull - to - cash cash chain. value to Services be can chosen - scale business process outsourcingprocess business scale mobility and bundled prosumer prosumer and bundled mobility << Agenda 34 EnBW Factbook 2018 › › › › › 2.13 plants power virtual by integration Market efficiency energy for support Procurement on energy system reportsStatus Energy systems management and audits services Metering Data and Development path for energy solutions energy for path Development analysis › Customers: Residential › › › › sector:and housingmunicipalities customers, industrial and Commercial e residentials for system energy modular Integrated infrastructure and assets generation energy Management contracting General Energy contracting performance and Supply mobility, commodity) -mobility, operation Assets, efficient building refurbishment building -efficient (PV, battery, heating, battery, (PV, optimisation maintenance of customers’of and and › › › › › as PV/storage as such the futurethe energyof to system related areas other with Interconnection Entry systems billing and infrastructure of maintenance operation and Assets, residential) industrial, commercial,(public, groups customer different for solutions Integrated market growing A E - mobility << Agenda 35 EnBW Factbook 2018 Growth in German contracting market market contractingto Growth in German 2025 1 › › Source: EnBW C Growth opportunities to be exploited, exploited, be to Growth opportunities aided (also by energyprice increase) marketgrowth Continuous through 2025 to 2.14.1 3,925 2015 › › storage systems, etc.) combining energy (e.g. supply charging with infrastructure, role the in as activities Expanding portfolioservice versatility the adding in and Expanding Value Value - UE, UE, 5,004 2020 pool Media and services from a single source single a from services and Media Contracting Marktperspektive in €m in 6,408 2025 2016 – Segment Segment : primarily infrastructureservice provider 2015 246 Vertrieb Profit by : pool 2020 310 1 in €m in 2025 394 › › › › › › sector and and sector commercial/retail/service customers public sector, housing industry, for solutions contracting Custom value chain value up to 100 to up currently plants, large complex (including types plant of range Wide efficiency energy plant around services additional with complemented activities contracting Core contract under plants 200 power (CHP) power Württemberg - Baden on currently projects sector housing in focus Main market German national Targeting MWth ) for diverse customer needs; focus on heat and/or onand/or heat forfocus diverse customer ) needs; – spanning the entire entire the spanning << Agenda 36 EnBW Factbook 2018 Source: › › › › › 2.14.2 pool) pool) relevance value of terms (in through2025 to retain to Current customer segments requirements buildings) (smart building energyas efficiency such Increasinglycomplex regulatory framework, Slight medium Slight energyin nextrise fewin prices Slight years Increasing importance energydistributed of trend:research – General industry remainsindustry segment biggest Challenging Challenging Contracting - term interestterm in rise rates market market Market and customer trends require contracting providers to adjust their capabilityadjust portfolios, their providers to contracting require trends customer Market and study trends , “Marktund Marktentwicklung , für Contracting mostly in terms of media mix, increased versatility and additional services : market › › › › › heating and additional additional services and heating interestin energyof terms in outdated efficiency; stock residential of Majority housing cost biggest factor) the Key importance energyof efficiency (energy ‘special’ areatask energydistributed of in- maintaining than Increasingstaffdemand for (rather outside provision reduction operating risksof energyin Focuscore on capex optimisation, business: energysystems Growing (complex) of numbers distributed environment Customer , with focus on on focus, with modernisation ”, ”, reference trends house resources)house for scenario , January 2017; own own 2017; market › › › › › and energy data monitoring data energy and monitoring systems as such Digitalisation, presence; morealliances (direct) of marketingExpansion and local scale projects and sector housing partial with forneed complex Ongoing solutions, custom charging and (e.g. systems infrastructure) direct (e.g. marketing)services other with to landlordas such contracting new models, packages combination Increasingof and use systems) management energy(and energymanagement as such services, additional of Integration - tenant electricity supply electricity and tenant combining analysis Provider/ standardisation product for smaller for trends << Agenda - - 37 EnBW Factbook 2018 4. 3. 2. 1. Agenda 3 − Strategy − 3 Agenda › › › › Segments Segments Strategy Environment EnBW at a glance › › › › › › › › GenerationTrading and Renewable Energies Grids Sales Corporate Governance, Compliance, Data Protection Corporate Sustainability, Innovation, Research and Development, Further strategic aspects: 2025Strategy EnBW 2020Strategy EnBW Markets Regulatory environment Political environment Key non- Key financials ...... financials ...... Decarbonisation, page 76»» »» 38 page page 6 »» page 3 »» 8. 7. 6. 5. › › › › › › › › › › › › › › › › › › Service Capital Markets - Non and KeyFinancials EnBW’sShareholdings Main Contact details Important links calendar Financial Key financial indicators Share Shareholder structure Credit Ratings Maturity profile Bonds Asset Liability Management Model EnergieDienst VNG AG VNG Stadtwerke Düsseldorf Group Pražská energetika, a. s. Five F Halfyear 2018 Fiscalyear 2017 inance - year summary ...... strategic and other goal dimensions Holding Holding AG ...... financials ...... page 155 »» page 143 »» page 114 »» page page131 »» 38 EnBW Factbook 2018 play? shall we Where structure be? structure our should What win? we can How 3.1 EnBW 2020 EnBW › › › › › › › › with energy- Acquisition of/jointventures Building upInnovation of an campus Strongbrandportfolio and innovationmanagement Innovative capability expertiseSystemenergy for Trading and origination municipalfor and utilities localcommunities) (defined B2C and B2B increasinglysegments, Energy- electricityforand gas End business customer relatedservices/energyefficiency related companiesrelated strategy Customer proximity : Corporate : Energiewende › › › › and lean processes flatstructures, hierarchies managementsimplewith Simpleand functional dialogue Partnershipsand fostering management Stringent performance Switzerlandand into Germany,, Baden From the region of - Württemberg strategy . Safe. Hands on. Engine room of the the of room Engine › › › › › › › › › › › Technological developmentpartnerships to invest andparticipate Active thirdforpartiesopportunities Maximumefficiency Operationalexcellence neighbouring(alsoregions as service provider) managed from Baden Transmission and distributiongridinfrastructure in Baden Conventionalgeneration,located mainly andWind (onshore offshore) and hydropower Simplicityand standardisation definedquality level (target costing) orientationcost Stringentfor Regulatorymanagement energyin industry the Infrastructure - Württemberg Energiewende - Württemberginto << Agenda 39 EnBW Factbook 2018 AdjustedEBITDAin € 3.2 Sales Renewable Energies Generationand Trading Grids requires major portfolio transformation portfolio major requires Strategy 2020 EnBW the Implementing : Strategy bn 2012 1.2 0.2 0.2 0.8 2.4 +25% +100% +250% - 80% 2020 0.4 1.0 0.7 0.3 2.4 << Agenda 40 EnBW Factbook 2018 in € bn € in Investment/divestment2012 volume 1 Divergence from 100% possible due to rounding effects rounding to due possible 100%from Divergence As of 31 December 2017; 2012 as reference year reference as 2012 2017; December 31 of As 3.3 3.3 investment Total Total 14.1 9.8 4.3 with focus on growth in growth on focus with 2018- Strategy: 2020 investment program kept flexible flexible kept program investment 2020 divestment Total Total 5.1 3.9 1.2 Remaining Realised - 2020 investment Net Net 9.0 5.8 3.1 - (2018 1 2020) low - risk businesses risk Investment volume2018 8% 53% 13% Adj ≥ € ≥ . EBITDA. 2020 €6.3 €6.3 2.4 bn bn – 2020 Low 26% - risk Growth earnings investment (80%) Others Grids Trading/ & Generation mainly Renewable (78%) offshore Sales << Agenda energies , 41 EnBW Factbook 2018 in € bn € in EBITDA Adjusted 1 Referred to forecast 2018 forecast to Referred 2.0 2.5 3.4 2012 2.40 Strategy: Earnings turnaround in 2017 in turnaround Earnings Strategy: 2013 2.23 2014 2.17 2015 2.11 2016 1.94 turnaround 2017 2.11 › › › Financial discipline Financial Efficiencymeasures Operating performance 0% 0% 2018 to +5% 0% 0% 2019 to +5% 1 ≥ 2.40 ≥ 2020 << Agenda 42 EnBW Factbook 2018 program FOKUS in € m € in Efficiencyprograms: launch › › › › 2017– 2016: Exit from unprofitable B2B commodity business Unprofitable power plants incorporated in German power plants network reserve ~€150 m p.a. contribution from functional units, including holdings such as VNG 3.5 2020: ~€100 p.a. m from 6.3% and management workforce pay cut 2012 750 Efficiency targets already to be met by 2019 by met be to already targets Efficiency Strategy: 2014 400 2016 250 1,400 2020 in € m € in Efficiencymeasures: ramp 1,050 2016 750 300 1,250 2017 750 500 - up Additional FOKUS 1,400 2019 << Agenda 43 EnBW Factbook 2018 in € m € in EBITDA Adjusted 2 1 48% Forecast May not updue to 100%add to rounding Renewable Energies Renewable 3.6 2012 2.4 Substantial progress in portfolio transformation portfolio in progress Substantial Strategy: 10% 10% 1 Grids 33% Sales Generation & Trading & Generation 15% 10- 15- 20% 2.1 2018 – 2.2 15- 2 50- 20% 55% low - › › › › Realistic targetearnings 2020 risk earnings risk Share of 2019 Efficiency measures Efficiencymeasures grids transmission and distribution in investment Continuous 2019 farms in of Commissioning MW 1,000 to MW 540 from wind onshore of Expansion 15% 15% Hohe 2020 totalling 2.4 See and and See 40% €1.4 €1.4 Albatros bn 30% will already in already achieved be will 609 MW offshore wind wind offshore MW 609 << Agenda 44 EnBW Factbook 2018 Adjusted EBITDA in € bn € in EBITDA Adjusted earningsDevelopment of Sales Grids Renewable Trading &Generation 3.7 Energies From transformation to growth to transformation From Strategy: 2025 EnBW 2020 2.4 2025 > 3.0 › › › › › › › › › 3 2 1 New infrastructureNew e- (e.g. portfolio solution the of Expansion customer infrastructure business transformation to wellas Reorganisationas sales B2C of and digitisation Growthof network grid transmission electricity expansion of Significant e- Profitable of grid integration (e.g. grid growthdistribution the in of design Active activities business Selectiveinternational MW) 3,500 ≥ to renewableExpansion of energies( (e.g. urban urban infrastructure (e.g. security) and public mobility and and decentralised mobility energygeneration) Smart infrastructure for customers, Smart customers, infrastructure for System Sustainable power infrastructure, infrastructure, power Sustainable mobility, heat) and photovoltaic / battery - critical infrastructure, infrastructure, critical decarbonisation - - related services (grid) related areasbusiness beyond energy e.g.onshore i.a . i.a and and offshore wind i.a . . << Agenda 45 EnBW Factbook 2018 1 Allocation of investment spending 2021 Rounded figure 3.8 Growth 2025 adjusted EBITDA for the Group > €3 €3 > Group the for EBITDA adjusted 2025 80% targeting growth targeting 80% 2021– priorities investment Resulting Strategy: 80 % €12 bn €12 1 20 % activities Existing business - 2025 bn infrastructure power Sustainable 2025: 33% infrastructure partner infrastructure and innovative sustainable a €12 bn €12 14% 1 53% customers infrastructure for Smart infrastructure System - critical critical << Agenda 46 EnBW Factbook 2018 Main targets Main 3.9.1 › › › Examples closelyEnBW’s linkedto existing corecompetencies growthNewareas beyond energy infrastructure, grid and charging infrastructure, plus (digital) services (digital) plus infrastructure, grid and charging e build substantial and Launch (Neckar, forlarger others?) scale vessels Support lock rivers enlargementon extended portfolioenergybeyond going integrated, and build products and activities existing Pool Infrastructure market Infrastructure : - mobility activities focused on focused activities mobility in our existing our businesses in Enhanced infrastructure emphasis on aspects › › Examples (e.g. video video surveillance) (e.g. components and solutions digital on based security public enhanced for models business Devise Group pillar EnBW for major earnings into broadband activities and telco NetCom’s Expand : << Agenda 47 EnBW Factbook 2018 3.9.2 › Charging the go Charging on Thinking market: Infrastructure › to a summer summer cottage a to energy electric Taking ahead Heat about array Solar energy EnergyBase Intelligent Intelligent network › Home systems ( systems measurement Intelligent Energy storage ) iMSys E- mobility development Residential › Community › Charging hotel the at Charging Charging at work at Charging Marketaccess Public Public charging << Agenda 48 EnBW Factbook 2018 › › › › › 1 As of 9. October 2018 October 9. of As charging for 100 for charging 300 expansion: Phased by 2020, by Our target: (roaming) pricing attractive , Germany to Access Germany in stations charging fast public of 90% at Charging coverage network Greatest areas) service three in one (at Germany in stations charging fast of operator Largest 3.9.3 kW charging stations with charging stations kW includingcities in over 19,000 charging points in in points charging 19,000 over Austria andSwitzerland 1,000 fast charging locations charging fast 1,000 Infrastructure market Infrastructure km Tank&Rast : 3 min min with › › of fast charging stations operator Largest Award over e M (over (over 130,000 downloads - ost ost frequently downloaded mobility mobility appin Germany 3,000,000 simulated kilometres - winning EnBW mobility+ app mobility+ winning EnBW and and 1 ) › home, on the road and at work Matching › and use it in your electric car power own Generate your solar+ EnBW with Integration charging solutions solutions charging for << Agenda 49 EnBW Factbook 2018 3.10 24,000 2014 Total customer growth customer Total 43,000 Broadband: 2017 81,000 2020 NetCom » » » » » » ( as NetCom (in - Baden outside of Integration - in Baden Serves - in Baden Second Around of Approx integrating which basis cooperation . 45,000. 42% of 11,400 km of km 11,400 biggest for BW BW 6,000 BW Württemberg Württemberg 5Gtechnology mobile fibre customer municipalities commercial customers Württemberg Württemberg with backbone - optic masts) GasLINE fibre network network locations network network , optic and and ) industrial cable << Agenda 50 EnBW Factbook 2018 our Who are 3.11 titors do do What do? compe we ? Business area continuously builtyears,over 15 up positioned as established contractingproviderGermanyin - Capability Contracting › › contracting providers in Germany providersin contracting 5 top the among EnBW › Highlyfragmented marketwithproviders,500 > mostwithout primaryfocus in termsof customer segments and media; occasional Five main provider groups provider main Five (similarcapabilityportfolio national and presence) Energygroups’ subsidiariesindependent and contractors are EnBW’s main competitors › › › Costumers › Regions Public Public Housing sector Industry Germany secotr portfolio : › › › Municipal providers Building Enercity E.ON (e.g. Contracting and and › Product › − − − Main focus: Additionalservicessuch as networks and energy efficiency contracting performance supply/energy energy under systems energy e.g. optimisation of system operation system of optimisation e.g. Operation management and efficient systemmanagement systems /storage energy efficiency optimisation, charging infrastructure, Packages linkedwith additional servicessuch directas marketing, Integratedsingle / systems Danpower (e.g.Techem and Engie) utilities Connecting competitors subsidiaries / service providers Design ) Energies - portfolio of of - sourcepackages, custom tailored build / major facility - , MVVEnergy Solutions, - operate energy management finance services for distributedfor services finance groups service › › Component manufacturers (e.g.Siemens/Bosch) Independentcontractors (e.g. › Systems/ › Media air gas , systems CHP plants, ventilation power, CHP Heat , systems ( ), ), steam water, hot ta keovers technologies compressed boilers ventilation turbines Getec , refrigeration ) , << Agenda compressed systems refrigeration , air , 51 EnBW Factbook 2018 › digital our of Acceleration transformation from 2015 › › Goal: future Optimising established processes effective training for managers and employees New ways of working, new digital work environments and development of our core business Technology of digitalisation and driver for the onward 3.12.1 Things Internet and of blockchain AI, around initiatives 30+ plans action digital initiatives14 180+ with Digitalisation within EnBW within Digitalisation - oriented digital business models communities About 500 employees actively involved, with around 15 2020 by in planned potential Significant › › › › focuses technology Main Augmented reality Blockchain Sensors/Internet of Things intelligence Artificial << Agenda 52 EnBW Factbook 2018 Value BUSINESS BUSINESS 3.12.2 CORE CORE NEW NEW chain Transformation of of Transformation : Digitalisation smart cities smart e- home, Connected ops Sales & Grids Trading Generation mobility, VPP, Impact Low added value High dimensions Relevant organisation Technology processes (methods) Products People & & Modern customer interaction Modern maintenance of Optimisation Improved forecasting trading Automated Digital customer customer experience Digital productsNew Predictive maintenance Increased availability ofcustomers and systems Interconnection models business Digital Focuses << Agenda 53 EnBW Factbook 2018 Website experience with fewer pages pages fewer experience with 3.12.3 More More prominentplacement Fewer clicks, Fewer user better NETZ corporate corporate NETZ design and navigation levels and navigation with mobile devices mobile with Optimised ofservices online Digitalisation case study: study: case Digitalisation Up - to for use for - date date Phased approach: Internal first,then external Improvement in online service rateuse Target rates 50%~ NETZdigital mast Service Meter Meter supply Site supply Home electricity insulation reading electricity entrance Online January 12% 22% 23% 1% - Services 17 << Agenda January 18% 35% 22% 37% 18 54 EnBW Factbook 2018 New technologies New 3.13.1 3.13.1 Strategy The research process at EnBW atprocess researchThe development:and Research development Research & Research Science Trends Business Business units Market

Viessmann Werke << Agenda 55 EnBW Factbook 2018 › › › › › › › › Pilots and demonstrations with particular focus on doing: by Learning › › business opportunitiesfutureskills right for The Explore Exciting R&D projects to attract future employees Win public opinion with attractive solutions New to skillssucceed for the energy future technology city Smart infrastructure Critical Sustainable energy provision e.g. offshore wind, green gases New partnerships - Game Emerging technologies 3.13.2 changing changing technologies new Creating know Creating development:and Research solutions - how for new opportunities new for how 37.3 2 1 in € m € in Expenditureresearch, on development and innovation 2016 Includes, e.g. electromobility and hydrogen and electromobility e.g. Includes, Alsoincludesconventional generation 15.0 9.8 5.1 6.1 1.3 + 6.7% 39.8 2017 21.6 5.3 5.1 3.6 2.3 1.2 0.5 0.3 Innovation C Gas Dismantling Other Generation Generation Grids Smart Smart ustomer 1 energy - related management from world renewables research and storage projects << Agenda 2 56 EnBW Factbook 2018 › › › Incubation - start Corporate › Company builder 3.14.1 Internal Internal development validation From idea to market development Business model Growth and scaling The innovation process at EnBW at process innovation The Innovation: ups Source: fotolia , NicoElNino 4. Urban Infrastructure 4. Plant Power Virtual 3. Infrastructure Mobility 2. Home Connected 1. Innovation portfolio Innovation › › and Mergers › Venturing › › › Start- Majority investments Late Late stage start Minority investments Minority method VC Professional investor ventures Stakes in cooperative ups acquisitions - ups << Agenda 57 EnBW Factbook 2018 16- Focus: Businessdevelopment model Campus. with 9 EnBW projects atKarlsruhe Innovation week incubation incubation week 3.14.2 Pre - Seed Innovation: Innovation: programme from October 2018, Octoberfrom In total, more than 30 start 30 total, than more In Idea to Incubation market Innovation management launches launches management Innovation incubation and scaling and incubation startdevelops and Seed management ( Binando management ( Vialytics which EnBW has a stake Including two externalstartup teams in validation Market Focus: 5 projects in marketlaunch phase. launch launch – – IoT artificial intelligence in road A number of projects also abandoned. - https://www.vialytics.de/ https://binando.com/ based digital waste waste digital based - up projects launched, tested and scaled in last four years. Startup ) - ) up projects throughprojects up and Focus: Scalingof sales,production 4 mature projectsin growth phase. platform,spunoff ( in 2017 One Campus WTT campusone.com/ ( Energybase EnBW and mantro streetlights)( charging stations, environmentalsensors, smart Smight LIV https://www.energybase.com/ - organisation T – – spin First Stage 10 Stage First More More mature projects smart urbansmart infrastructure (traffic monitoring, - – off; independent independent off; https://smight.com smart energysmart management system ) – GmbH ( GmbH award Company Company https://www.liv - https://www.wtt winningdigital learning IoT ) ) joint venture between between venture joint – builders growth and scaling scaling and growth - t.com Second Stage 50 Stage Second - ) << Agenda 58 EnBW Factbook 2018 › › WTT WTT backgrounders. courses, explanatoryvideosand compact Other productsincludee and information knowledgeand sharing. (LMS) forplatforms resource management toolsand learning management system 3.14.3 CampusONE Ludwigsburg Spin in in provides web provides Innovation: Examples of more mature projects mature more of Examples Innovation: - off - learning - based based › › LIV enterprise solution. Customer solution. enterprise tier IoTuse cases as awhite label (softwareand services). agreement with white labelcustomers and operation of use cases via licence Generates revenue from hardwaresales methodology. startup rapidefficientand developmentusing lean - T incubates, scalesTand operates top venture Munich Joint in in - centric, centric, - › › servicesandmanagement. data developmentin the areas of technology, under portfolio product Corresponding existing or newinfrastructures. urban that transportcan be integrated into wifi SMIGHTdevelopssolutions for charging, , environmental sensors,security and Micro Business Micro Internal Unit in in › › › manufacturers and utilities. B2Bplatformapproach for of energy consumption storage.and communities, with central management into powervirtualstationsenergy and Multiplehomes can be activelycombined and storage. electricity generation units, appliances interconnection and smart for management system ‘Energybaseis aprosumer’ energy In S In Company builder tuttgart optimisation << Agenda of of 59 EnBW Factbook 2018 › › › Current portfolio Current › openNewEnBW innovation Venturesthe is connectionbetween › › › portfolio approach active follows an Ventures New EnBW Cooperative approach to foster business with products and services based on innovative business models business innovative on based and services products with business foster to approach Cooperative options growth and cycles innovation fast from benefits EnBW - Start Win VC approach a traditional in syndication for Open teams founder entrepreneurial in investment stakes, minority Direct €100 m of amount investment total with investor VC Evergreen 3.14.4 - win for both sides, with sides, both for win ups ups energymarket gain EnBW’s expertise, toand suppliers access customers EnBW of › › › › › - start innovative in investment capital Venture Innovation: PV PV leasing provider High Data Peer sensors overhead with Smart parking solutions - - centre temperature temperature superconductors to - peer energy trading “utility in a box” a box” in “utility trading peer energy EnBW New Ventures Ventures New EnBW resource analysis and – generate and use your own solar power on your rooftop without upfront investment upfront without rooftop your on power solar own your use and generate operating virtualisation – innovation and high - and innovation as professional VC investor – software forthe software – – real software for a transparent view on complex IT infrastructure IT complex on view a transparent for software - time parking data for parking operators and guidance systems guidance time and parking for data parking operators tech with unique manufacturing approach density power approach high and manufacturing unique with tech startups decentralised and EnBW Group and and digitalised ups energyworld www.env.vc << Agenda 60 EnBW Factbook 2018 › › 3.15.1 3.15.1 EnBW stakeholders EnBW Sustainability dimensions Communities SustainabilityEnBW at Customers Politics Integral part of the strategy strategy the of part Integral Sustainability: Corporate Economic Social Employees Partners / employees Environmental Shareholders Society Investors Sustainability is integrated in integrated is Sustainability › › › › › Annual Annual opportunity and Risk Stakeholder - Non Corporate strategy financial reporting management top KPIs and and KPIs top analysis targets << Agenda 61 EnBW Factbook 2018 › › Major improvementsin 3.15.2 3.15.2 Corporate Corporate ethics governance business and Products and services Corporate Sustainability: Ratings Sustainability: Corporate ISS - status Prime 2017 oekom B - › › Major improvementsin Social aspects Environmental aspects Sustainalytics Outperformer Outperformer status 2018 73 › › opportunities and and risks change climate of opportunities Transparent reportingemissions, on protection climate field of the in initiatives Effective Carbon Disclosure Project Disclosure Carbon Leadership Leadership status 2017 A - << Agenda 62 EnBW Factbook 2018 Dimensions 3.15.3 3.15.3 ENVIRONMENTAL ECONOMIC SOCIAL and socialperformanceand environmental Economic, Sustainability: Corporate Activities › › › › › › › › › › › › Projects and campaigns on occupational protection Projects occupational safety and health campaigns and on Representative random sample surveysfor IndexEmployee Commitment (ECI) through measuresPromotion and various diversity and eventsof inclusion employeesproviding EnBW where needed with is bus it support happen” it “Making Stimuli for funding Stimuli Diversity Task the Participation in ForceClimate on Awardcontract of for He MW 204 farms a total onshoreof 21 with and wind expansion of Construction Expansion of charging of infrastructureExpansion for e - in plant district heating new constructionof Start of through firstbusiness gas - of Expansion €1 of amount Repayment the in hybrid bond of Dreiht programme - 900 MW MW offshore900 farm wind auction in Highlights 2017 Highlights time full consolidation VNG of consolidation full time for the protection of amphibian forprotectionand amphibian reptileof the species - - related Financial Disclosures(TCFD) mobility broadbandof mobility and business bn Gaisburg << Agenda 63 EnBW Factbook 2018 EnBW‘s position on minimum CO ETS Market ETS 3.16.1 €25 minimum price minimum €25 specified for 2020 for specified (€30 for 2025) (€30 (currently €17) ca. market price Payment of Payment minimum EnBW Decarbonisation: Energy individual CO CO taxes supports 2 adjusted 2 CO intensity 2 2 price price for ( › › price price currently Repurchase 50%) (≥ Reduction CO Options Options Payment difference Focusing on on Focusing 2 ca. ca. €5) - for reduced in revenue of CO of electricity use of additional additional of S T A T E S TA 2 certificates : tax generation , sustainability Alignment of of Alignment › › Reduction of electricity tax by at least 50% › fromfrom€30 2025 2020and COa national of Introduction › › of the the natural gas natural tax gas abolished can the be additional additional revenuefrom price minimum CO of the tax the electricity facilitated Reduction the of with emissions. carbon on impact significant Mostof today`s electricity and energytaxes have no wouldmitigated.”be risks time same forrenewable energy investments plants wouldallocated be more the At operating hours. reductionseconomically viable This wouldrender marketThis significant CObased Existing refunds and Existing exemptionsremain unaffected climate the impact energyof sources Fundamental reformenergy the of tax system: on focus with energy energy source a taxes with 2 target price of €25 of price target the – CO climate 2 intensity - friendly power << Agenda 2 2 ; 64 EnBW Factbook 2018 1 Run › › › action? climate to Why is committed EnBW 3.16.2 3.16.2 - action/sustainability responsibility for climate social delivers its on EnBW activities lowwith attained EnBW’sstrategic can goals be energysector are key growthmarkets the in Low of - riverpowerpumpedplants, storage power withplantsinflow, natural wind power,photovoltaic and other - carbon business areas to attainment of climate targets climate of attainment to geared fully activities Business Decarbonisation: - carbon carbon Adjusted EBIT Adjusted renewablesEnBW growth › › › › by 2025 by business of Selectiveinternationalisation 2025 by 1,500 MW Renewables growthTurkeyin 1,000- to 2025 Offshore growthby wind MW 1,500 ≥ to 2025 by MW 2020/2,000 by 1,000 MW Onshoregrowth wind to D 2012 0.2 A in € bn € in A 2020 target 2020 0.7 1 35.5% activities EnBW’srenewable energy theoretically be served by Württemberg can - Baden in consumption ofhouseholdelectricity annual energy savings equivalent to to equivalent savings energy annual delivered has EnBW alone, customers industrial for energyits By efficiencynetworks means of ~35,000 households (300 GWh/p.a.) (300 << Agenda 65 EnBW Factbook 2018 › › › › › › the performance indicator will not be influenced by the phasing out of nuclear energy in the coming years. coming the in energy nuclear of out phasing the by influenced be not willindicator performance the plants, power nuclear by generated electricity the discounting By plants. power nuclear by made contribution the without Group, the by generated electricity of quantity the as well as Group, CO indicator performance key the for basis calculation The as a social,political and also economicchallengefor EnBW. CO indicator performance key new the of inclusion The CO by supplemented been have dimension goal environment the in indicators performance key the 2016 In many years. company for the managing for dimension goal environment the in Increasing the proportion ofalready renewable energies has a been key performance indicator Agreement. Paris the in defined those as such protection, climate for goals and international national the to aligned is model business EnBW The The central focus here in the medium long medium and the in here focus central The already EnBW clearly “ committed tothe itself 3.16.3 The goalThe of EnBW is to actively contribute to climate protection by successively reducingthe CO Decarbonisation: Decarbonisation: intensity of power) its electricity (excluding own by generation nuclear 15 to 20% by 2020 compared to 606 g/kWh in the base year 2015. year base the in606 g/kWh to compared ” in 2013 with its 2020 strategy. strategy. 2020 its with 2013 in Energiewende” - term islowCO Climate Climate 2 intensity reflects the special importance of climate change change climate of importance special the reflects intensity 2 intensity is the amount of CO of amount the is intensity 2 or generation.electricity emission zero protection 2 goal emissions from own generation of electricity for the the for electricity of generation own from emissions 2 intensity. intensity. 2 << Agenda 66 EnBW Factbook 2018 EnBW CO in g CO 2015 3.16.4 3.16.4 606 2 /kWh 2 - 2016 Intensity 577 Key Decarbonisation: Target Target EnBW Group 2017 556 performance corridor 2018 to 2020 Reduction compared CO 2015 EnBW Goal : Goal EnBW 2019 15% 2 - Intensity Intensity base to Climate Climate indicator 20% to of year 2020 the the by protection „CO › › › › in the years ahead. the in 2017 reporting2017 year. We gradual expecta further reductionCOin COthe We overall anticipate an development expectpositive and a reductionin 8. RDK unit as such increased highlyhardand availability our the of efficient coal powerplants renewable energysources to further due expansion renewableof energies from generation expectincrease we electricity an 2018, ownIn in Karlsruhe. at the 8 RDK unit of especially use the generationfrom a more efficientof mix fossil fuel increase electricity in simultaneous and the comparison 2016 to fallThe was to the due increased generationfrom renewable sourcesin previouscomparison the to year.in g/kWh 556 to power fell 3.6% by CO The 2 - Intensity“ 2 2 intensity by between 10% and 0% in 2018 in comparison comparison in the to 2018 in 0% and 10% between by intensity intensity of EnBW’sof excluding generation intensity electricity ownnuclear : Rheinhafen - fired power plants, firedplants, power Steam Steam Power Plant in 2 intensity intensity << Agenda 67 EnBW Factbook 2018 3.17.1 › › › › › Technology compliance, Personnel,and law auditing Finance CEO Responsible Group management Responsible Corporate Management Board of Governance: and transparent and Transparent & EnBW EnBW Strengthen › › › › Long Public Employees Capital providers Customers confidence corporate - term term trust responsible success in in culture management and and › › › › › Ensuring sustained increase in added increasesustained value added in Ensuring Safeguarding existence continued with harmony In accordanceIn recognised with benchmarks supervising Managing and Supervisory social social market economy principals Board << Agenda 68 EnBW Factbook 2018 › › 3.17.2 Four remits remits Four Group Responsible management › › › › Boardof Management Technology Auditing Personnel, law and compliance Finance Responsible Corporate › 4 members Governance: and transparent and › › › › › › defined in its rules of procedure of rules its in defined approval the Supervisory ofthe Board are to subject and measures transactions Legal company the to importance fundamental of decisions in involved Always statements financial annual the and ratifies regular intervals at Management of Board the with together strategy and corporate planning performance, business Discusses company the of management on them Advises Appoints ofmembers Board ofManagement nominees 3 verdi Supervisory management Board › › 10 shareholder 10 representatives employees › › › › Each bearer bearer Each share carries vote. one cases. most in votes majority of a simple require only Meeting General Annual the of Resolutions auditor. the of and selection earnings of appropriation the members, Board Supervisory and Management discharge ofontheBoard resolutionsof passes Meeting General Annual The General Meeting Annual the at matters company regard to with rights their exercise Shareholders Annual General MeetingAnnual General << Agenda 69 EnBW Factbook 2018 3.17.3 › › Governance Corporate German previous years previous are years from declarations and the 2017, December 7. dated ( Act Corporations German 161 Stock section The 2017: February 7. on the of recommendations the with compliance in is EnBW https://www.enbw.com/privacy governance- s_docs/corporate_governance_1/german https://www.enbw.com/enbw_com/investoren/investor ,Code Governance as Corporate German amended recent German Corporate Governance Corporate Declaration of Compliance - code of published at published - 7 - february Governance: - - policy/ 2017.pdf pursuant to pursuant Code . - corporate- AktG ) , Code Further information Further › › › › › us/supervisory https://www.enbw.com/company/the Board: Supervisory us/executive https://www.enbw.com/company/the Management: of Board - https://www.enbw.com/company/investors/corporate 2017.pdf - corporate https://www.enbw.com/enbw_com/downloadcenter/ - https://www.enbw.com/company/investors/corporate Articles 2017: compliance of Declaration Code: Governance Corporate German governance/articles governance/german of governance/declaration Association - board/index.html - board/index_en.html - - of corporate- ( - Dated association/ 20 March 2018): March 20 governance- - of - - - - group/about - group/about compliance- code/ << Agenda 70 EnBW Factbook 2018 Governance 3.18.1 prevention Money prevention Anti Data protection Data - trust trust laundering Scope Compliance and Data Data and Compliance Corporate Compliance Policies and Focus Governance: Transparency law prevention law Competition Rules prevention Corruption protection › › › companies with affirmed The significant These used by Compliance: Tools company minimise The have Compliance effectiveness a been › › › › › › sufficient are Ombudsman Annual Compliance Risk Assessment Detection German economy the in incidents compliance recent most the to a view with culture on Focus Conduct of Code Training/workshops . and risks deemed violation with tested sector employees and degree Management of in appropriate of the - avoid specific accordance the of corruption certainty, in liability regulations the System, risks for EnBW with prevention issues the and as implemented applicable well Group the detection priorities and IDW as . and for a PS loss of in the antitrust and throughout the these 980 prevention of encompasses risk testing . reputation areas law that the areas of standard in there Group, such good It all of << Agenda focuses the could controlled violations time serves and system be and re on to a - . 71 EnBW Factbook 2018 Number of compliance breaches and suspected cases suspected and breaches compliance of Number 1 as of 17January 2018 At EnBW anAG directly controlled companies with employees (2016: 11) (2016: Unsubstantiatedsuspectedcases 4) (2016: cases suspected simple Unresolved 10) (2016: Simplecompliance breaches 4) (2016: Material compliance breaches 1) (2016: Unresolvedmaterial suspectedcase 3.18.2 Compliance andCompliance Governance:Corporate 5 7 as of 17January 2018 2 privicy total 1 34 protection 19 1 Number of participants in compliance training events training compliance in participants of Number 2013 938 Management personnel Sensitive areas /employees personnel management, New 481 267 190 1,474 2014 38 1,274 162 2015 778 46 546 186 2016 754 +28 % 47 523 184 2017 962 441 363 158 << Agenda 1 72 EnBW Factbook 2018 Data Protection › 3.19.1 3.19.1 for many decades. data data has been self customers’ and employees’ personal importanceThe protectingof Data Protection PhilosophyDataProtection Model - evidentEnBW to “Trust keeper” of the data which is owned subject. the by owned is which data the keeper” of “Trust › solutions) build on that trust. New business models (digital/smart day. that customers place in everyus maintaining the trust and confidence Data protection also keyis to › in data protection at all times: Our aim at EnBW is full compliance protection issuesto a new level. raised the importance of data Data Protection Regulation (GDPR) The entry into force of the General << Agenda 73 EnBW Factbook 2018 › › This has so far involved: › › › › › 120 suppliers Restructuring and assessing some work available to officehead protectiondata The team framework. legal new the of employees + 1026 employees via on Training incorporate the enhancedsubjects data rights of More than 9 Board Meetings, 20 team member from 25 depart requests advicehouse Revision of 3.19.2 Data protection of overof 8,000 employees(including 450 managerial 15 practicalapplication aids allprocessing operations in Data protection in the value chain value the in protection Data 20,000 employees for assistance in their day undergoing data protection assessment in 2017 2018, and 400 further planning compliance 400 processing400 operations - site training) in application application in site training) processing cycle being made centrally customer service over over 2,000 in - to to to - day day - and solutions Security aspects Subject technology centre Digitalisation and Legal compliance << Agenda aspects Valuechain 74 EnBW Factbook 2018 2 1 Data Protection Officer under Article37 As 3.19.3 Organisation of data protection at EnBW at protection data of Organisation 3.19.3 of 1. 1. October Human Resources 2018 LDPM Data protection officer DPO 2 - 39 of the GDPR the of 39 Trading LDPM Data protection officer Generation Head of Compliance and data protection data and Compliance of Head LDPM DPO Local Data Protection Manager 2 Nuclear LDPM LDPM LDPM Data protection staff Dataprotection Operation Sales and Operation DP staff DP LDPM LDPM 1 Business partners Business digitalisation LDPM LDPM Grids and data protection and BP Other businesses

LDPM LDPM

decentralised protection data of part centralised << Agenda 75 EnBW Factbook 2018 4. 3. 2. 1. Agenda 4 − Segments − 4 Agenda › › › › Segments Strategy Environment EnBW at a glance › › › › › › › › GenerationTrading and Renewable Energies Grids Sales Compliance, Data Protection Decarbonisation, Innovation, Digitalisation, Corporate Sustainability, Broadband, Contracting, Research and Development, Further strategic aspects: 2025Strategy EnBW 2020Strategy EnBW Markets Regulatory environment Political environment Key non- Key financials ...... financials ...... Corporate Governance, ...... page 76 »» 76 page page 38»» page 6 »» page 3 »» 8. 7. 6. 5. › › › › › › › › › › › › › › › › › › Service Capital Markets - Non and KeyFinancials EnBW’sShareholdings Main Contact details Important links calendar Financial Key financial indicators Share Shareholder structure Credit Ratings Maturity profile Bonds Asset Liability Management Model AG VNG Stadtwerke Düsseldorf Group Pražská energetika, a. s. EnergieDienst F Halfyear 2018 Fiscalyear 2017 Five inance - ...... year summary strategic and other goal dimensions Holding Holding AG ...... financials ...... page 155 »» page 143 »» page 114 »» page page131 »» 76 EnBW Factbook 2018 › › › › › › 4.1 cooperation with local authorities; collaboration with public utilities public with collaboration authorities; local with cooperation consultancy; efficiency energy services; billing industry and energy Activities Employees: 2017: EBITDA Adjusted construction and and constructionoperation of renewable energy plants power Activities Employees: 2017: EBITDA Adjusted Renewable Sales /products: /products: /products: /products: Segment overviewSegment Sale Sale electricity,of energy gas, Project development and management, Energies 3,331 m €300.0 1,050 m €331.7 - related related services › › › › › › Adjusted EBITDA 2017: EBITDA Adjusted 2017: EBITDA Adjusted direct marketing renewableenergy plants power of management/environmental services; of system provision services; waste heating; district business, midstream gas of development - market of management risk trading; gas and electricity plants; generation thermal of and decommissioning/dismantling Employees: grid of provision Employees: Activities stability system and supply of security Activities Generation Generation Grids /products: /products: /products: - related services; water supply; guaranteeing the guaranteeing supply; water related services; Advisory services, construction, operation operation construction, services, Advisory and gas; electricity of distribution and Transport and Trading Trading €377.1 m €377.1 m €1,045.9 5,457 8,858 related risks; << Agenda 77 EnBW Factbook 2018 › › › › › › › › › › › Laufenburg AG, Holding Energiedienst Heilbronn Energie ZEAG AG, Stuttgart GmbH, TransnetBW Stuttgart terranets Stuttgart BWNetze GmbH, Ellwangen NetCom Mühlacker NaturEnergie Stuttgart GasVersorgung Karlsruhe GmbH, Südwest Erdgas Ellwangen Ostwürttemberg EnBW Karlsruhe Baden Energie EnBW 4.2 BW GmbH, bw GmbH, + Deutschland+ AG, SüddeutschlandGmbH, EnBW’s - Württemberg AG, AG, Württemberg DonauRies AG, AG, market 4 3 2 1 Not fullyconsolidated,accounted for using the equitymethod. Directlyindirectlyand shares. held consolidationFull 2017. Thelist fullof shareholdings can foundbe in the notes to the consolidatedfinancial statementsunderAdditional “(36)disclos https://www.enbw.com/enbw_com/downloadcenter/annual presence 1 - › › › › reports/enbw Yello Strom GmbH, Cologne GmbH, Strom Yello VNG AG VNG Düsseldorf Group, Düsseldorf Stadtwerke Energiedienst AG, 2 , , - financial › › Borusan - Pražská statements EnBW EnBW energetika - group Enerji - 2017.pdf a.s. yatırımları 3 , Prague , << Agenda ve Üretim ures”: ures”: A.S 4 78 EnBW Factbook 2018 4.3 - Multi Sales: › › › › › In line with their new slogan, “ slogan, new their with line In Yello Natur Natur January 2018, EnBW now offers the full range ofJanuary decentralised range 2018,the full EnBW now offers in SENEC of acquisition the Following contracting. and e-mobility as such solutions energy for Germany Throughout on the premiumfocus energyEnBW Baden as with brand GasVersorgung NaturEnergie include online business via platform E platform via business online include beyond.and electricity, and Into additiongas GVSprovides broadenergy a of spectrum hydropower. 100% and is EnBW’s single brand for the German national mass market, providing a viable alternative for every customer. customer. every for alternative viable a providing market, mass national German the for brand single EnBW’s is Energie brand brand is is Plus is the national brand for environmentally aware households. aware environmentally for brand national the is Plus Süddeutschland Energiedienst’s approach Mehr - main brand and one of Germany’s first green energy brands. It is regional, green green regional, is It brands. energy green first Germany’s of one and brand main partner to municipal utilities, regional energy suppliers and industry in Germany Germany in industry and regionalenergy suppliers utilities, municipal to partner als -Point. Du ”, ”, denkst (1/2) Yello Württemberg mass market and public authorities. public and market mass -Württemberg offers more than just commodity service. commodity just than more offers solutions for the German German the for solutions related services. Focuses services.-related . Energiewende << Agenda 79 EnBW Factbook 2018 4.3 - Multi Sales: › › › › gas and gas infrastructure sectors. infrastructure gas and gas broad a and expertise gas of years 60 employees, 1,200 than more with than companiesofindependent20 strong more group a for stands and Group the VNGof brand the corporateis VNG goldgas management. waste and contracting water, energy, areas the in activitiescompany with business disposal and supply multipurposea as Düsseldorf Stadtwerke In 2012, the company added and ecoand powerIn 2012,electric the company added resellers. In 2008, In 2008, resellers. and customers industrial major organisations, housing customers, commercial households, private to electricity PRE as premium energy brand with focus on Prague mass market for electricity and energyand electricity solutions. for market on premiummass with Prague focus energybrandPRE as GmbH is one of the leading energy suppliers in Germany. The company from from company The Germany. in suppliers energy leading the of one is GmbH brand brand goldgas approach was the first independent gas supplier in Germany. Germany. in supplier gas independent first the was (2/2) power to its portfolio. portfolio. its to -power based future -based oriented service portfolio in the the in portfolio service -oriented Eschborn supplies gas and and gas supplies << Agenda 80 EnBW Factbook 2018 4.4 Sales: Market Sales: › › › › › › › › › › › › › › Enhanced brandawarenessin planning on people Focus productsEcological brand sustainability Nationwide in cooperation only products special Selected Innovativebundles product service standard for gas and Electricity service and sales on online Focus Attractive pricing Germany in customers Retail utilities municipalities/municipal and customers Retail/business/industrial value with added products special Selected participation customer and service excellent prices, Fair e-mobility) (e.g. solutions energy connected and heating district/local services, energy/environmental water, gas, electricity, Full line service provider delivering quality and inventiveness made in Baden in made inventiveness and quality delivering provider service -line feedback – Brand Brand awareness -Württemberg: Baden National National Q1/2018 Q1/2018 Q1/2018 - Württemberg 87% 96% 7% << Agenda 81 EnBW Factbook 2018 Electricity sales Gas sales Gas Trade (B2B) and customers industrial Business Retail and commercial customers (B2C) Trade (B2B) and customers industrial Business Retail and commercial customers (B2C) 4.5 in bn kWh in bn Group:EnBW Electricityandsales gas Sales: Electricity and gas sales gas and Electricity 122.0 250.1 142.0 2017 2017 83.3 23.7 15.0 93.7 14.4 114.8 139.1 2016 2016 71.6 28.2 15.0 41.5 10.8 86.8 Variance% in Variance% in << Agenda 125.8 - 16.3 16.0 79.8 33.3 63.6 6.3 0.0 82 EnBW Factbook 2018 4.6.1 E- : mobility charging with All > 600 fast >120 throughout locations up - charging to point 150 kW Overview AC AC high Germany . locations (DC) (DC) - performance locations per DC << Agenda 83 EnBW Factbook 2018 High 4.6.2 - power chargingpower E- : mobility › › › › › › Project scope: Project scope: 150 kW per charging station per kW 150 High DC) (50kW each station charging one withGermany throughout stations service Follow DC) (50kW charging stations two with provided each - Baden in stations service T&R 34 buffer storage with variable variable capacity) with storage buffer Flexibletechnicaland (CCS setup CHAdeMO, by contractual agreement charging points eight up to scalable station, fillingper points charging two with Starting and Bavaria) in Germany inGermany onBaden (focus secured stations OMV 100 filling initial An - capacity - up contract to provide 117 additional T&R additional 117 provide to contract up - ready locations for upgrade path ready to upgrade for locations References - Württemberg, Württemberg, Württemberg Württemberg Fast charginginfrastructureand digital services › › › Additionalservices: digital Proximity marketing: using EnBW mobility+ EnBW using in included stations fillingPartner upwards ofa specific purchase value Freecharging vouchers system: couponing Smart advertising mobile and content mobile › › › with rapid charging stations Benefitsof providing service stations (50 kW or 150 kW, CCS, CHAdeMO, Type 2) Type CCS, kW, CHAdeMO, 150 or kW (50 settings Flexible charging points two with station Rapid charging stations service of attractiveness the Enhances provision of provision route planning planning route << Agenda 84 EnBW Factbook 2018 › › › 4.6.3 Offer Offer sold out on first day Employees gain first 180 handed BMW i3sto employees EnBW in June 2018 E- E : mobility - mobilityemployee campaign - hand hand experience of e Campaigns - mobility › › › › › Cars handed to customers in March/April 2018 Lease offer, optionally for 12 or 24 months Over 450 applicants (from 249)€ per month yello Test offer for customers - branded branded BMW i3 for 12 months on lease E - mobility customer campaign customer mobility << Agenda 85 EnBW Factbook 2018 › 4.7.1 customer. municipal each for solution integrated deliver deliver a custom to is Our priority and services. products our with and beyond Württemberg - Baden in municipalities support and advise we municipal authorities, for challenges future and current related the of understanding a clear and life) and public economy the mobility, energy, all (communication, areas across view big picture necessary the With places to live and businessdo great managing and Shaping Activity areas Activity utilities: municipal and authorities Local - tailored, future tailored, - ready ready › billing to smart energy solutions. energy smart to billing from and solutions IT to operation network technical ranging from portfolio, capability a Webroad process. have business range services forevery almost of full proven and experience longstanding EnBW’s from benefit entities Joint Baden across utilities municipal Needs - - Württemberg driven alliances with with alliances driven › - Baden in municipalities to partner effective a highly is EnBW region, the throughout local ties with team a proven and experience longstanding such as water and broadband networks, additional infrastructure of operation the inBaden concessions gas and electricity 700 over With infrastructure infrastructure municipal managing and operating Efficiently - Württemberg Württemberg and Württemberg. Württemberg. << Agenda 86 EnBW Factbook 2018 » » » » Electricity and gas concessionsElectricity gas and Baden in >2 m infrastructure,especially rural regions.in supply of make wefutureand security of terms a in major contribution With researchWith state activities, and broadband infrastructurerollout are and concessions gas arefocus, but wemain Electricity our strong also water supply in entities. joint in and communities towns over further 150 with and partner directas concession serve over weholder municipalities grids, 700 and gas electricity In Netze effective utility supply effective and utility customer - groupBaden network in water 4.7.2 BW GmbH, wholly a GmbH, BW Municipal Electricity Electricity Municipal alliances in Baden Württemberg Baden in alliances Municipal utilities: municipal and authorities Local grid infrastructure customers - owned subsidiary of EnBW and the biggest electricity, biggest and the EnBW of and gas subsidiary owned - of Württemberg, delivers secure,reliable, and efficientcost - the - - friendlyservice. network – art technology and highlyand art our technology dedicated workforce, : the latter with very ambitious growthvery ambitious targets.latter with the >140k >140k efficient - WürttembergBW) (NETZE Households gas and reliable supplied - ready energy with -  Netze BW GmbH Netze  shareholders << Agenda 87 EnBW Factbook 2018 Shaping and managinggreat places to live and do business tomorrow’sin communities » » » 4.7.3 4.7.3 communities. communities. Our portfolioaddresses keythe action areas thefuture of for all deliver tailored to councils solutions. regional footprint, district workcloselywe municipal and with - Baden in municipal authorities great places tolive across and do business region,the for all Weprovide a broad portfolio productsof and servicesfor shaping integrated for solution every community. Thi s » » » enables us to a custom to us enablesdeliver entire for including energy smart to solutions, and … mobility broadband, electricity,networks district heating … and gas From- conventionaldesign safety digital forforpublic space and public the solutions and … neighbourhoods Local authorities and municipal utilities municipal and authorities Local Württemberg. a strongWith build - tailored, future - operate services for - ready Infrastructure Mobility quality Urban public Digital space energy Buildings/ precincts security Safety Smart Smart solutions / << Agenda 88 EnBW Factbook 2018 » » » EnBW EnBW of entirethe region. to the business development and ensuring the long the development and ensuring business the to substantiallybroadbandcontributes areasas EnBW business mobility), (such and electric new and and operating services) network as capabilities (such established both With EnBW). and authorities (municipal owners their of capabilities complementary and the by perspectives shaped is utilities development these in Business Baden regional throughoutdeep has ties EnBW shareholder minority entities, a overin As joint 100 20 4.7.4 investment % - we are a drivingforce in alliances across Baden- numerous In joint entities with municipal authorities and utilities Württemberg. volume) in Baden Market share (electricity/gas, by Investment portfolio Investment utilities: municipal and authorities Local portfolio in Baden in - Württemberg - Württemberg - term viability of utilities and thereforeand utilities of term viability €3 bn €3 Württemberg revenue << Agenda 89 EnBW Factbook 2018 EnBW grid regions grid EnBW Excluding shareholdingsin Energiedienst 4.8.1 4.8.1 constituteEnBW’s corebusiness grids gas and Electricity Grids: Holding AG, AG, Holding Erdgas Südwest GmbH, EnBW EnBW has a thorough grasp of the gridbusiness › › Gridbusiness has stabilisingeffectportfolio on › › › › Ostwürttemberg Stabilising regulation to are subject and grids gas Electricity Highregulatory competence/market competence grids EnBW for results best generally certifies Efficiencybenchmark recentfrom most regulatory period service of network extensive maintain an and technologies and tested priority highest our is supply of Security years 100 than more for grid business the in been have companies predecessor and its EnBW risk/return mix with stable cash flows cash stable mix with risk/return DonauRies AG and ZEAG Energie – AG which is why we employ modern modern employ we why is which centres << Agenda 90 EnBW Factbook 2018 Distribution grid Transmission grid Overall length 1 Thedecrease slight in the length of the distributiongridis mainly attributableto concession agreements not being renewed Extra Extra Low voltage 0.4 kV 0.4 voltage Low kV 30/20/10 voltage Medium kV voltage 110 High 4.8.2 - - high voltage voltage highkV 220 voltage high 380kV in km lengths grid Network Group: EnBW Grids: Grids: 1 Electricity grids Electricity wit h some municipalities 152,500 45,100 94,200 8,600 1,000 2,200 2017 << Agenda 151,600 46,500 94,300 8,600 1,100 2,100 2016 91 EnBW Factbook 2018 DC expansion reinforcement grid AC 1 Source: 5 4 3 2 1 In cooperationIn with converter,- Baden in power lines contribution: EnBW incorridor “ A - Baden foreast north - for Baden north for river area in Baden in corridor C C corridor in 4.8.3 BNetzA , EnBW, NEP 2030 May 2017 May 2030 NEP EnBW, , “SuedLink” “SuedLink” grid to ensure security of supply supply of security ensure to grid transmission of Expansion Grids: Ultranet TenneT Württemberg Württemberg ” 2 GW corridor GW 2 ” 4 GW corridor GW 4 Investment up to 2025: around €5 bn €5 around to 2025: up Investment Württemberg 158 / + 56 km 56 + / 158 Grid section 700 km 142 km 119 km 40 km 1 Scheduled completion Scheduled 2022 / 2030 2022 / 2023 2025 2023 2023 Amprion TransnetBW 5 1 New construction (DC) Grid reinforcement reinforcement (AC) Grid New construction (AC) 2 3 4 << Agenda TenneT 50 Hertz 92 EnBW Factbook 2018 Challengesactivities and several several “gridlaboratories”. in partners with together grids distribution smart investigating is EnBW grids, distribution the of expansion to addition In controllable (e.g. local gridstation, current peaks storage,etc.) technologies smart using grid expansion necessitate ... › › › - Baden grid in distribution the of Challenges 4.8.4 Increased Increased ofelectric emergence cars power wind for targets expansion High grid area the in PV of use Wide ~€2.5 ~€2.5 distributiongrid infrastructure Badenin high quality supply quality high whilstcarssecuringelectric and renewables Grids: bn Through to 2025, investment of of investment 2025, to Through necessarydevelop to electricity the Württemberg Investing in distribution grid to integrate integrate to grid distribution in Investing Württemberg ... - EnBW grid laboratories and grid innovations grid and laboratories grid EnBW Bio Grid Grid - oil - - lab Niederstetten lab lab transformers electric intelligence Local operation transformers Pilot fleets grid project with electric management Intelligent in in real 100 Grid grid vehicles load - lab Sonderbuch lab for grid in renewables Integration grid Grid low - voltage - - control lab Freiamtlab of innovative equipment of development Further Stockach Grid for afuture ideas effective Crafting - lab Boxberg and overload avoid Pilot - oriented gridoriented << Agenda tests grid to 93 EnBW Factbook 2018 Overall length Distribution grid Long High pressure High Low pressure Low pressureMedium pressure High 4.8.5 - distance transmission grid in km EnBW Group’s gas grids Grids: Gas grids Gas Grids: 27,400 10,800 5,200 2,500 8,900 2017 << Agenda 16,600 4,500 7,900 2,200 2,000 2016 94 EnBW Factbook 2018 Thermal powerplants Total Renewable energies Other offshore Wind onshore Wind natural Storage/pumped water) flowstorage of (using - Run Other Gas Hard coal Lignite Nuclear natural water) flowof using storagePumped (not 4.9.1 of - river Generation and portfolioand Generation 2017: in Group EnBW 13,054 3,381 9,673 in Mw in 1,327 1,034 1,448 3,523 2,933 2017 144 336 540 349 875 545 Generation portfolio portfolio Generation share 100% in % in 26 74 10 11 27 22 1 3 4 8 3 7 4 41,904 50,194 in GWh in 12,977 17,532 8,290 1,416 5,012 3,436 6,027 1,721 2017 255 661 946 211 Own generation generation Own << Agenda share in % in 100 17 83 10 26 12 35 1 3 1 2 7 3 - 95 EnBW Factbook 2018 2 1 Heilbronn Lippendorf Düsseldorf Karlsruhe Walheim Stuttgart Walsum Rostock Mannheim Decommissioning of HLB 5/6, MARMAR DTIII, MARGTII, GT WAL1/2, III, RDK4sandHKW1 ALThas been announced; continued temp Major powerincl.plants,major changes in 2018 4.9.2 in MW Conventional / Deizisau Thermal power plants in 2017¹ in power plants Thermal 1,246 1,351 778 875 136 211 250 259 546 589 Altbach Karlsruhe Walheim Heilbronn Marbach Fessenheim,Cattenom Philippsburg in MW plants² power reserve Grid in MW Nuclear () ora ry operationry due to systemrelevance << Agenda 1,096 1,402 433 353 244 250 426 96 EnBW Factbook 2018 1 EnAlpin power Iller Glatt,Jagst, Kocher, Argen Neckar, Murg, Donau, Nagold, Rhine Incl.major changes in 2018 4.9.3 power power in MW Run plants - plants of Hydropower2017¹ in plants - river Enz, Enz, 271 159 560 51 - Rudolf Glems Vorarlberger Schluchsee in MW Pumped storage Fettweis power power Illwerke - Werk Werk plants Forbach << Agenda 1.049 870 43 90 97 EnBW Factbook 2018 4.10.1 4.10.1 › › › EnBW He EnBW He EnBW EnBW Secured pipeline: Under construction: 2018: capacity Installed Portfolio andPortfolio wind: Offshore Albatros Hohe Dreiht See: : : 112 MW ~ 900MW ~ 497 MW project 900 MW 609 MW 336 MW Construction pipeline Development Development stage Hamburg In In operation EnBWBaltic 1: Rostock 48,3 MW 48,3 Barhöft EnBWBaltic 2: << Agenda 288 MW 98 EnBW Factbook 2018 Feed Commissioned Shareholders Total capacity Type turbine of Technology Country 4.10.2 4.10.2 - in tariff Windfarms wind: Offshore in EEG 2009 EEG April April 2011 ~49.9 % 19 municipal municipal utilities 19 % ~49.9 EnBW % 50.1 48.3 - 2.3 SWT Siemens x 21 OffshoreWind Germany operation MW EnBW Baltic 1 93 EEG September 2015 September 50.1 % EnBW % 50.1 OffshoreWind 288 MW - 3.6 SWT Siemens x 80 Germany ~49.9 % Macquarie, PGGM & & PGGM Macquarie, % ~49.9 2012 EnBW Baltic 2 120 ÄvWL << Agenda 99 EnBW Factbook 2018 Feed Commissioning Shareholders Total capacity Type turbine of Technology Country 4.10.3 4.10.3 - in tariff Offshore windfarms under construction under windfarms Offshore wind: Offshore EEG 2014 EEG 2019 Inc. Enbridge % ~49.9 EnBW % 50.1 497 - 7.0 SWT Siemens x 71 OffshoreWind Germany MW EnBW Hohe 154 See EEG 2014 EEG 2019 Inc. Enbridge % ~49.9 EnBW % 50.1 OffshoreWind 112 MW - 7.0 SWT Siemens x 16 Germany EnBW Albatros 154 << Agenda 100 EnBW Factbook 2018 › › › › DevelopmentFormosa3 of - › › Established Ltd. Pacific Asia EnBW › › Taiwan market wind Offshore Water Water depths between 35m to 55m Several permits (e.g. EIA approval) obtained Three offshore wind Capital and Project development together with Macquarie EnBW’s local presence Building Located in Taipei 2050 by 21GW and Long term of goals cumulative 11 2035 by GW Market development up to 5.5 by GW 2025 4.10.4 4.10.4 - up a Service JV and enhancing Swancor EnBW EnBW wind: Offshore projects projects of to up 2GW capacity Renewables presence pipeline in Taiwan in Taiwan 11 › › › 3 Formosa 16 18 17. 16. 11. 11. 14 12 19 17 9 15 25 13 24 10 23 28 22 27 29 21 20 26 30 720 732 552 MW MW MW Tainan City Tainan Kaoshiung Chiayi City Taichung City Taichung City Hsinchu CityHsinchu << Agenda Taipei City 101 EnBW Factbook 2018

USA GER Structure Corporate 4.10.5 4.10.5 America Inc. America EnBW North North EnBW 100% EnBW AG EnBW Project development activities in North America North in activities development Project wind: Offshore Castle Castle Wind Wind East East › › › US West Coast Coast (California) West US target of ~60% by 2030 by target ~60% of California renewable energy generation offshoreproject wind USA in Firstdevelopment a commercialof floating shareholder) (majority and EnBW project wind developer Trident Winds venture localJoint offshorefloating between Wind Project Offshore Sacramento San Francisco California Los Angeles Nevada Las Vegas Las US East Coast US East › › › least 8 GW by leastGW2030 8 by U.S. auctions offshorein participation lease wind Project company established forfuture local 2018 staff Q4 by with operation in Local subsidiary legally established and of fshore wind expansion expansion target wind at of << Agenda 102 EnBW Factbook 2018 Regional distribution of the 2018 pipeline and portfolio 2018 pipeline and distributionRegional the of 3 2 1 Wind parksin operation with EnBW majority shareholding leastAt landcontracts concluded (largeproportion are completed); Negotiations for landcontracts (low proportion make it to project development); 4.11.1 4.11.1 line with plans for growth up to 2020 to up growth for plans with line in 2018 pipeline Project portfolio: wind Onshore as     of Under Project development Project EnBW EnBW Installed 31 July office construction initiation 2018 wind farms³ phase 2 1 Project Project In operation Project Project development July 2018 July 3,980 1,140 2,360 480 initiation 3 phase 2 1 Forecast 2020 Forecast

3,550 1,000 1,050 1,500

Pipeline Portfolio << Agenda 103 EnBW Factbook 2018 Country Technology Type of turbine of Type Total capacity in in MW capacity Total Number of turbines of Number Commissioning date Feed system Feed 4.11.2 4.11.2 Installed wind farms farms wind Installed wind: Onshore Waldhausen Aalen GER Onshore Vestas 16.5 5 Sep 2017 Sep EEG 2014 EEG - V126 Alt Alt GER Onshore Vestas 6 3 Dec EEG 2014 EEG Zeschdorf 2009 V90 (1/7) Berghülen GER Onshore - E82 Enercon 6 3 Dec EEG 2014 EEG 2012 E2 Angeltürn Boxberg GER Onshore Enercon E 12 4 Feb 2017 Feb Dec EEG 2014 EEG 2016 - - 115 Bobstadt Boxberg GER Onshore Enercon E 12 4 Mar 2018 Mar EEG 2014 EEG - - 115 Boxberg Oberschüpf GER Onshore Enercon E 3.1 1 July EEG 2014 EEG 2017 - - 101 Braunsbach GER Onshore Enercon E 15 5 Dec 2016 Nov EEG 2014 EEG << Agenda 2016 - 115 104 EnBW Factbook 2018 1 Commissioning date turbines of Number turbine of Type Technology Country Feed system Feed Total capacity in in MW capacity Total Temporary regulations Temporary 4.11.2 4.11.2 Installed wind farms farms wind Installed wind: Onshore EEG 2017 EEG 2018 Jan 1x 2x 3 (8,25) 8,25 2,75 GE Onshore GER Breitenbach Dec 2017 - 120 1 EEG 2014 EEG 2016 Nov 6 9 Nordex Onshore GER Bremervörde S70 (2/7) EEG 2014 EEG 2017 Sep 2 6.6 Nordex Onshore GER Brettenfeld N131 EEG 2014 EEG Dec 18 36 Vestas Onshore GER Buchholz 2009 V90 EEG 2014 EEG 2 4 Onshore GER Buchholz II Dec - E82 Enercon 2012 E2 EEG 2014 EEG 4 13.2 Onshore GER Buchholz III Vestas Sep 2017 Sep V126 EEG 2014 EEG 4 13.2 Onshore GER Bühlertann May 2017 May Vestas V126 EEG 2014 EEG 3 9.9 Onshore GER Burgholz Sep 2017 Sep Vestas << Agenda V126 105 EnBW Factbook 2018 Country Technology Type of turbine of Type Total capacity in in MW capacity Total Number of turbines of Number Commissioning date Feed system Feed 4.11.2 4.11.2 Installed wind farms farms wind Installed wind: Onshore Christinendorf III GER Onshore Vestas 6 3 Dec EEG 2014 EEG 2011 V90 Dienstweiler GER Onshore Nordex 4.8 2 Mar 2017 Mar EEG 2014 EEG N117 Dittelsdorf GER Onshore Vestas V90 Vestas 6 3 Jun 2010 Jun EEG 2009 EEG (3/7) III Dünsbach GER Onshore Vestas 9.9 3 Aug 2017 Aug EEG 2014 EEG V126 Düsedau GER Onshore NM72 NEG 7.5 5 Dec EEG 2014 EEG 2002 Micon Eisennach II GER Onshore Vestas 12 6 Dec EEG 2014 EEG 2009 V90 Elze GER Onshore E53 Enercon 3.2 4 Dec EEG 2014 EEG 2010 Eppenrod GER Onshore NW52 NEG 2.7 3 Dec EEG 2014 EEG 2001 Micon << Agenda Fichtenau GER Onshore Vestas 9.9 3 Sep 2017 Sep EEG 2014 EEG V126 106 EnBW Factbook 2018 Country Technology Type of turbine of Type Total capacity in in MW capacity Total Number of turbines of Number Commissioning date Feed system Feed 4.11.2 4.11.2 Installed wind farms farms wind Installed wind: Onshore Freckenfeld GER Onshore Nordex 19.8 6 Dec EEG 2014 EEG 2017 N131 Friedberg GER Onshore Vestas 6 3 Dec EEG 2014 EEG 2011 V90 Fürth GER Onshore Nordex 16.5 5 Jun 2018 Jun EEG 2014 EEG (4/7) N131 Görike GER Onshore Vestas 10 5 Dec EEG 2014 EEG 2010 V90 GER Onshore Vestas 2 1 Jul 2014 Jul EEG 2012 EEG Grevenbroich V90 GS Harthäuser GER Onshore Enercon E 54 18 Sep 2017 Sep Dec 2015 Nov EEG 2014 EEG 2015 - 115 Wald Hasel GER Onshore Vestas 9.9 3 Nov 2017 Nov EEG 2014 EEG V126 Haupersweiler GER Onshore Nordex 15 6 Dec EEG 2014 EEG 2010 << Agenda N117 107 EnBW Factbook 2018 Country Technology Type of turbine of Type Total capacity in in MW capacity Total Number of turbines of Number Commissioning date Feed system Feed 4.11.2 4.11.2 Installed wind farms farms wind Installed wind: Onshore Homburg GER Onshore Nordex 9.6 4 Mar 2017 Mar EEG 2014 EEG N117 Ruppertshofen Ilshofen- GER Onshore Enercon E 6.1 2 Jun 2015 Jun 2014 Jul EEG 2014 EEG - 101 (5/7) Kemberg II Kemberg GER Onshore Vestas 12 6 Jul 2014 Jul EEG 2014 EEG V90 Königheim GER Onshore 115 Enercon E 6 2 Sep 2017 Sep EEG 2014 EEG - Langenburg GER Onshore Vestas 40.05 12 Dec EEG 2014 EEG 2017 V126 Leddin GER Onshore Vestas 2 1 Dec EEG 2014 EEG 2009 V90 II Neuruppin GER Onshore Vestas 16 8 Feb 2014 Feb EEG 2014 EEG V90 weiler Niederlinx GER Onshore Nordex 4.8 2 Dec EEG 2014 EEG 2015 << Agenda N117 - 108 EnBW Factbook 2018 Commissioning date Feed system Feed Number of turbines of Number Total capacity in in MW capacity Total turbine of Type Technology Country 4.11.2 4.11.2 Installed wind farms farms wind Installed wind: Onshore Mar 2017 Mar EEG 2014 EEG 2 4.8 Nordex Onshore GER Nonnweiler N117 Dec EEG 2014 EEG 15 Enercon E53 12 Onshore GER Oldendorf 2010 EEG 2014 EEG Nov 2016 Nov 12 Nordex 18 Onshore GER Ostercappeln S70 (6/7) EEG 2014 EEG Dec 10 Vestas 20 Onshore GER Puschwitz 2017 V80 EEG 2014 EEG Sep 2017 Sep 2 Nordex 6.6 Onshore GER Rosenberg Süd Rosenberg N131 EEG 2014 EEG Nov 2016 Nov 9 Nordex 13.5 Onshore GER Rositz S70 EEG 2014 EEG Sep 2016 Sep 3 Vestas 9.9 Onshore GER Rot am See am Rot V126 EEG 2014 EEG Dec 1 1 DeWind Onshore GER Schnittlingen 2002 D6 EEG 2014 EEG 1 Dec 2 Enercon E82 Onshore GER Schopfloch << Agenda 2012 109 EnBW Factbook 2018 Country Feed system Feed Commissioning date turbines of Number in MW capacity Total turbine of Type Technology 4.11.2 4.11.2 Installed wind farms farms wind Installed wind: Onshore Schulenburg II EEG 2014 EEG Dec 3 6 Vestas Onshore GER 2010 V90 Schwienau EEG 2014 EEG Dec 5 10 Vestas Onshore GER 2009 V80 II EEG 2014 EEG 2014 Jul 3 6 Vestas Onshore GER Söllenthin (7/7) V90 EEG 2014 EEG Dec 3 6.15 MM92 Repower Onshore GER Webenheim 2016 EEG 2014 EEG Dec 1 0.6 NM600 NEG Onshore GER Westerheim 1998 Micon I EEG 2000 EEG 2004 Nov 2 4 V80 Vestas Onshore GER Willich Winterbach EEG 2014 EEG Dec 3 9.9 Nordex Onshore GER 2017 N131 Zernitz EEG 2014 EEG 8 14.4 Enercon E66 Onshore GER Nov 2016 Nov << Agenda 110 EnBW Factbook 2018 Operation date Operation Number in MW capacity Total turbine of Type Technology Country Feed system Feed 4.11.3 4.11.3 of turbine Windfarm under construction under Windfarm wind: Onshore Dec 1 3.4 Senvion Onshore GER Pfettrach EEG 2014 EEG 18 M140 << Agenda 111 EnBW Factbook 2018 1 Feslegen Halilbeyli Figures not consolidated Kartopu 138 MW Kiyiköy Fuatres 40 MW 35 MW 33 MW 49.5 MW 4.12 Kaktüs Kiyiköy 72 MW 28 MW Erw 52.8 MW .. Koru Balabanli Balabanli 61.4 MW Borusan Activities 36 MW Bandirma 89.7 MW Erw . 30 MW Düzce Harmanlik 10.5 MW 52.8 MW Buket EnBW Energy portfolio projectsEnergy EnBW portfolio 49.5 MW in Turkey Makif 6.6 MW Hatmi Sarmasik 49.5 MW Pamuklu 2.2 MW 1 52.8 MW : Mut 6.6 MW Dayicik Bögürtlen 30 MW 80 MW Pelit Kartaldagi 65.6 MW Sandal 50 MW Yedigöl Aksu 50.3 MW Operating Operating Development Development Construction Geothermal Solar Hydro Wind << Agenda 495 MW 677 MW 0 MW 112 EnBW Factbook 2018 Annual trading volumes, 2017: volumes, trading Annual Group: EnBW and customers for Centralinterface to wholesale commodity markets 4.13 › › › › › › › › › Oil: 110 Oil: Emission certificates: 215 certificates: Emission 60 Coal: 750 Natural gas: Power: 640 Power: employees 200+ year per trades 500,000+ 4,500 MW 2018 marketing renewables Direct fuels coal, emissions, gas, Power, wholesale markets to manage price and volume risks volume and price manage to markets wholesale to access Central activities: trading EnBW’s mn mn bbl TWh t TWh mn t › › › › › › OTC access TTF, OTC foraccess gas: NL,IT) AT, OTC CZ, for CH, FR, access to power (HU, contracts and supply storage gas physical with Risk management and commercial customers gas and electricity their for and support Procurement and risk management sales companies forEnBW service 24/7 partners, and customers for including Marketing electricity from renewable and sources, conventional where we trade with 150+ counterparties. 150+ trade with we where PEGAS (Paris) and Spot (London) (Paris), markets EPEX as onOTC as well on major Active and power commodity (Leipzig), ICE including EEX exchanges › › › › Virtual power plants with close with plants power Virtual marketing Direct ofrenewables origin of Guarantees Privision of “Energiewende of Gaspool (H/L), NCG (H/L),VTP, AT IT, (FR) products” optimisation - to - delivery flexibility delivery of flexible gas portfolio portfolio gas flexible of << Agenda 113 EnBW Factbook 2018 4. 3. 2. 1. Agenda 5 − EnBW’s Main Shareholdings Main EnBW’s − 5 Agenda › › › › Segments Segments Strategy Environment EnBW at a glance › › › › › › › › GenerationTrading and Renewable Energies Grids Sales Compliance, Data Protection Decarbonisation, Innovation, Digitalisation, Corporate Sustainability, Broadband, Contracting, Research and Development, Further strategic aspects: 2025Strategy EnBW 2020Strategy EnBW Markets Regulatory environment Political environment Key non- Key financials ...... financials ...... Corporate Governance, ...... page 76»» page 38»» page 6 »» page 3 »» 8. 7. 6. 5. › › › › › › › › › › › › › › › › › › Service Capital Markets - Non and KeyFinancials EnBW’s M VNG VNG Stadtwerke Düsseldorf Pražská energetika, a. s. EnergieDienst Contact details Important links calendar Financial Key financial indicators Share Shareholder structure Credit Ratings Maturity profile Bonds Asset Liability Management Model F Halfyear 2018 Fiscalyear 2017 Five inance - Verbundnetz ...... year summary ain strategic and other goal dimensions Shareholdings Holding Holding AG ...... Gas AG Gas financials ...... page 114 »» page 114 page 155 »» page 143 »» page page131 »» 114 EnBW Factbook 2018 3 2 1 Directlyindirectlyand shares. held consolidationFull 2017. Thelist fullof shareholdings can foundbe in the notes to the consolidatedfinancial statementsunderAdditional “(36)disclos https://www.enbw.com/enbw_com/downloadcenter/annual 5.1 5.1 › › Laufenburg EnergiedienstHolding AG StadtwerkeDüsseldorf Group Düsseldorf EnBW‘s Main Shareholdings Main - reports/enbw Württem Baden berg Germany - financial - - - statements 1 - group Czech Rep. - 2017.pdf ures”: ures”: › › Leipzig VNG AG VNG Prague Pražská 1 energetika a.s. 2 << Agenda 115 EnBW Factbook 2018 5.2.1 5.2.1 » » Profile 994 Employees 1908 Established tomorrow’s mobility panels, smart The In Energiedienst customers sells addition, group electricity Energiedienst Holding AG Holding Energiedienst interconnected together heat with drives world Energiedienst pumps, generates and electricity with of the gas decentralised, Energiewende car electricity products . The green . sharing is growing group’s electricity . and storage renewable for own in services, new customers grid systems from business and companies hydropower including digital Switzerland Laufenburg Location and by areas providing electric energy supply solar and for , . » » » Alexander Lennemann www.energiedienst.de 2660 07623 92 [email protected] << Agenda 116 EnBW Factbook 2018 Three BusinessThree Segments SpanningGermanSwiss marketsthe & 1 Figures as of 31December 2017 › › › › NewBusiness Areas 5.2.2 Switzerland BU Switzerland 994 employees 994employees customers and gas electricity 270,000 Around Approximately 8,200 Approximately capacity installed - Run Germany BU Germany of - BU river power plants with 546 MW MW 546 with plants power river Energiedienst km low km - voltage grid voltage /generation Energy industry/generation Photovoltaic Holding AG at a glance a at AG Holding Soundinvestmentpotential with › › new businesses new Clear strategic ondeveloping focus businesses traditional in flows Stable cash Heat Heat and energy solutions Distribution Distribution 1 Additional figures Additional › › › › › Equity ratio: 52.6% ratio: Equity €25.3flow: m Freecash m €30.6 profit: Net m one €11 (after €45.6 EBIT: m €889 revenue: Net m - Electric mobility Electric off effect in 2017) in effect off Sales Sales << Agenda 117 EnBW Factbook 2018 5.2.3 Energiedienst Holding AG: HoldingEnergiedienst Current smart interconnected products products interconnected smart Development and marketing marketing of and Development The The gained additional in additional support gained New top New Three heat and and energy heat solutions with the acquisition of its its of acquisition the with Energiesysteme Germany, Switzerland, Switzerland, Germany, and services based and based on services Energiedienst New Business Areas Business New New BusinessNew Areas shareholding in Messerschmid BUs BUs photovoltaics - level organization key from mid Group also GmbH. topics - 2017: and southern Baden Switzerland in and Baden southern infrastructure and and e infrastructure multiple electricity concessions electricity multiple Applications are underway for underway are Applications Expansion of charging station charging station of Expansion projects Concessions E - mobility - car sharing in sharing car hydropower hydropower plant toproduce synthetic diesel by producing producing by diesel synthetic hydropower hydropower plant toproduce Flagship project at at Wyhlen project Flagship Pilot project at Laufenburg Laufenburg at project Pilot hydrogen and adding CO adding and hydrogen component in strategy strategy in component Digitalisation as a key a key as Digitalisation hydrogen as fuel as hydrogen Digital roadmap Power implementation Power - - to to - - liquid gas 2 << Agenda 118 EnBW Factbook 2018 5.3.1 » » » » Profile 1,449 Employees 1897 Established Energyinfrastructure and for B2B B2C, B2G services Renewablephotovoltaics) on (focus generation Prague in Republic;segment B2C Czech on focus the in customer segments all to and supplies gas Electricity Prague in distribution Electricity Pražská energetika, a. s. a. energetika, Pražská Prague, CZ Location » » Mgr. PetrHolubec www.pre.cz 790 265 602 +420 << Agenda 119 EnBW Factbook 2018 Number 3 utility in the Czech Rep. Czech the in utility 3 Number 1 Three BusinessThree Segments Figures as of 31December 2017 › › › › 5.3.2 Strong roots in Prague in roots Strong employees 1,449 structure Stable shareholder distributed electricity GWh 6,288 Electricity Sales Pražská energetika Generation Balanced risk › › on Focus , a. s. at a glance a at s. a. , (~30% EBITDA) (~30% and supply gas Electricity and EBITDA) (~60% Distribution Procurement - return profile return Grids 1 Distribution Key figures Key › › › Group net profit: CZK m 2,960 CZK profit: net Group m 4,755 CZK EBITDA: Adj. m 19,369 CZK Revenues: Renewable Energies and energy services Sales << Agenda 120 EnBW Factbook 2018 5.3.3 › › › Fibre › E › Energy services › › › city Smart › › › › › - mobility Servicing of Installation of Synergetic development of Expansion Installation of E Installation of Digitisation Provision of fiber infrastructure for telco retail partners ( Backbone for Provision of private charging B2C and B2B Multi - carsharing - in commodity in buildings measuring Current key topics and projects andtopics key Current Pražská of public of of network operation; upgrade to local distribution networkslocal integrated e integrated smart grid smart pilot in Prague heating roof lamps smart multifunctional - top solar systems incl. storage charging , v entilation - applications mobility solutions (for OEMs, B2B,B2C), i.e. chargers, commodity, billing, cars (with partner) energetika electricity and and electricity network solutions and AC systems fibre (SMIGHT) smart distribution distribution smart grid grid , a. s.: s.: a. , FTTH ) stations << Agenda 121 EnBW Factbook 2018 › › › › › › 5.3.4 Activities/products brand) retention Employees Adjusted Activities/products Employees Adjusted and power services Renewable Energies / Energy services Sales management plants ; operation EBITDA EBITDA in : : Segment overviewSegment Pražská Prague (PVs) ; 2017: 2017: construction : : of ( PRE Sale Energy ; local energy brand) of distribution - energetika electricity related efficiency and and growth operation 629 CZK services CZK 240 networks and 1 352 , 401 consultancy gas outside ; m project of ; m focus , a. s.: s.: a. , renewable of Prague on development ; e- customer mobility energy (Yello › › › stability related Activities/products Employees Adjusted Grids services EBITDA : ; 2017: guaranteeing : Distribution security of electricity 580 CZK 3 , of 002 supply ; m provision and << Agenda of system grid - 122 EnBW Factbook 2018 5.4.1 » » Profile 3,255 Employees 1866 September 20. Established infrastructureenergy,of fields the in and buildings mobility Demand Electricity,energy City utility: heating and district water gas, Stadtwerke Düsseldorf Group Stadtwerke - driven driven development interconnectedof urban Germany Düsseldorf, Location » » Accountingand Finances Business Capari Carsten www.swd info@swd - - ag.de ag.de ag.de ag.de << Agenda 123 EnBW Factbook 2018 Key figures Key Five BusinessFive Segments 1 Figures as of 31December 2017 5.4.2 Electricity District heatingDistrict Electricity Waste Water Stadtwerke Düsseldorf Group at a glance a at Group Düsseldorf Stadtwerke Gas › › › Revenue: €1,741 €1,741 Revenue: Net profit: €79 m €79 profit: Net m €197 EBITDA: Generation Procurement m Generation Generation Gas Thermal Thermal waste treatment › › › Total assets: €1,935 m €1,935 assets: Total 37%Equity ratio: m €716 Equity: Procurement Trading heating District Distribution Distribution Trading Distribution 1 Non Non Thermal waste treatment Water Distribution Sales Sales Sales Sales Waste << Agenda 124 EnBW Factbook 2018 › › › › › › › 5.4.3 Installed capacity: Installed Production: Production: Business area: Business Revenue: Business area: Business Revenue: Water Electricity Segment overviewSegment Düsseldorf Group: Stadtwerke renewable: conventional: kWh 24,171 m 51m 51m m³ Grids Generation, Trading, €1,109m Generation, Grids €92m 1 , Sales , 895 29 1 , Sales , MWel MWel › › › › › › Production: Business area: Business Business area: Business Revenue: Revenue: Production: Waste Gas 434 Thermal waste treatment Generation, Grids €185m €260m 9,262 m kWh m 9,262 kt 1 , Sales , › › › › › › Business area: Business Revenue: Installed capacity: Installed Production: Business area: Business Revenue: Others heating District Services €13m conventional: 855 kWh m 1,178 Generation, Grids €82m << Agenda 1 Mwel , Sales , 125 EnBW Factbook 2018 Business › Creation › › Impact › 5.4.4 Optimisation Development Pace New Digitalisation business on development of new Current Düsseldorf Group: Stadtwerke of possibilities areas conventional for key business Decentralisation of of Decentralisation energy generation energy topics and and projects Optimisation New New › › › business A Focus among other things on Systematic optimisation of our Düsseldorf for enhanced efficiency and customer friendliness successful › › › › › › › Emission Number of scooters increased due to strong pling demand ( (electricity, heating/climate action and mobility) Eddy is a prime example of modern sector cou electricity end of 2019 of end Düsseldorf Airport will be connected to the district heating system by the Top marks for scooter sharing ADAC automobile club test: and natural low a as gas natural and Electricity and heat are produced using climate- The heart this of district heating system is the Fortuna plant sharing.de/ of areas conventional product, - neutral for ) lower the transport “eddy” environmental business creating a smart district heating system district smart a creating - sustainable generation infrastructure generation sustainable carbon energy source e - scooter reducing impact hit Düsseldorf’s congestion friendly cogeneration technology streets and https://eddy powered in 2017 for the Citythe of for << Agenda by - green 126 EnBW Factbook 2018 5.5.1 » Profile 1,154 Employees 1958 Established from the gas field to the consumer.from the field to gas the group’s covers expertise industry gas entire the streamvalue European the and Germany countries, other in companies With inelectric gas, power and energy exploration, production, trading and as storage, transport wellas VNG gas active in Group,is headquarters The Leipzig, in with VNG AG - related services. Czech Republic Czech Slovak Republic Poland Austria Norway Germany VNGGroup Location 1 1 2 2 1 2 12 1 » » » AGVNG www.vng.de 443- 341 +49 [email protected] 0 << Agenda 127 EnBW Factbook 2018 1 › › › › › › › › › Figures as of 31December 2017 5.5.2 Hamburg, Stuttgart) Munich, Leipzig, Hamburg, Frankfurt/Main, Erfurt, Düsseldorf, (Berlin, Germany in offices sales 8 consumers gas and power 53,000 Austria: consumers and gas power 237,000 Germany: 533 and Germany Europe in divisions Retail and Wholesale Three fields under development development Threefieldsunder ( as operator Threelicenses ( fields producing in participations Five Denmark) in 2 Norway, in (32 licenses production 34 Njord Trading & Sales Sales & Trading Exploration & Production business area bn Investment Revenue: , kWh gas send Draugen VNG AG at a glance a at AG VNG , Hyme result - out , Brage, Ivar Aasen) business area : €46 m €10.3 bn Fenja , Bauge , Solsort 1 ) EBIT: EBIT: Adjusted EBIT: › › › › › › › Germany‘s Germany‘s second As 130 downstream network operators network downstream 130 points interconnection network 450 high- km 7,000 2.4 2.4 (Bad facilities storage underground Four Third Transport business area Storage business area an independent transmission operator, ONTRAS is responsible for responsible is ONTRAS operator, transmission independent an bn €103.4 m €129 m , Kirchheilingen , Bernburg, Lauchstädt - largest storage facility operator Germany in operator facility storage largest m 3 storage storage capacity pressure gas pipeline system - longestgas transmission system Group net profit : Etze €71 m << Agenda 128 EnBW Factbook 2018 Core Core 5.5.3 business › › › › Transport › › Storage › › › & Sales Trading › ExplorationProduction & Invests in biogas, natural gas mobility, P2G and energy efficiency products efficiency P2G and mobility, energy gas natural biogas, in Invests infrastructure gas green field of the in expertise comprehensive Develop efficiencyimprovements) fungibility maintaining and capital of conservation diversification, maximization, risk value factors the considering development further on Focus Increasing implementation of new business segments and and continuous segments business new of implementation Increasing parties third for business a service of Development leader and innovation cost being aim of the on Focus Digitalisation development ofonmidstream the Focus and moderate excellenceretail growthin business Optimisation of Continuationtomeasures increase (e.g., value development of Current AG: VNG of its market position in terms of procurement and sales and procurement of terms in position market its of of processes and processes market of access key topics and and projects Fenja (1/2) optimisation ) inthe regulatory framework (e.g. << Agenda 129 EnBW Factbook 2018 New New 5.5.4 business › › Innovationsstart and › › platforms digital & infrastructure Digital › solutions District › › Biogas Developing platforms platforms Developing like “ infrastructure critical of provider independent a leading Becoming manufacturers individual of independent is approach which an in infrastructure network advanced with local solutions integrated Developing stream value the of extension as well as plants of and optimisation acquisition on focus Main energies and gas alternative “green” of share the Increasing Gaining entrepreneurial impetus from subsidiary VNG Innovation and via partnership with partnership via and Innovation VNG from subsidiary impetus Gaining entrepreneurial Implementation group of Implementation Current AG: VNG - key up - wide innovation process innovation wide - effizienzcloud activities topics ” and and projects - based data services (2/2) SpinLab << Agenda 130 EnBW Factbook 2018 4. 3. 2. 1. - non and Financials Key − 6 Agenda › › › › Segments Segments Strategy Environment EnBW at a glance › › › › › › › › GenerationTrading and Renewable Energies Grids Sales Compliance, Data Protection Decarbonisation, Innovation, Digitalisation, Corporate Sustainability, Broadband, Contracting, Research and Development, Further strategic aspects: 2025Strategy EnBW 2020Strategy EnBW Markets Regulatory environment Political environment Key non- Key financials ...... financials ...... Corporate Governance, ...... page 76»» page 38»» page 6 »» page 3 »» financials 8. 7. 6. 5. › › › › › › › › › › › › › › › › › › Service Capital Markets Key Financials and Non EnBW’sShareholdings Main Contact details Important links calendar Financial Key financial indicators Share Shareholder structure Credit Ratings Maturity profile Bonds Asset Liability Management Model AG VNG Stadtwerke Düsseldorf Group Pražská energetika, a. s. EnergieDienst F Halfyear 2018 Fiscalyear 2017 Five inance - ...... year summary strategic and other goal dimensions Holding Holding AG ...... - financials ...... page 155 »» page 143 »» page 114 »» page page131 »» 131 EnBW Factbook 2018 EnBW Group EnBW 3 2 1 Earnings Profitability Cash flow Cash Balance sheet Capital markets Capital Energy sales Energy Includes investments assets financial held Includes asinvestments In relation to profit/loss attributable tothe shareholders of EnBW AG; The figures for the previous year have been restated; Revenue ROCE Free cash flow Operating cash flow Equity ratio Equity EBITDA Valueadded Net debt Net Group net profit net Group Dividend pershare Dividend Electricity Gas 6.1 3 2 1 Five - year summary summary year bn kWh bn bn kWh bn € m € m € € m € € m € m € € m € € m € % % € (1/2) - - 8,459.5 2,789.0 1,696.1 21,974 2,054 3,752 15.1 0.50 2017 152 122 250 7.3 10,046.0 19,368 - 1,797 1,939 - 0.00 2016 495 474 123 115 139 7.8 8.3 21,167 1,918 6,736 1,918 13.4 0.55 2015 158 652 354 115 135 9.5 21,003 1,776 7,983 2,137 - 10.0 11.9 0.69 2014 466 330 376 126 117 << Agenda 20,545 1,919 1,168 7,271 2,000 17.0 0.69 2013 180 128 100 9.7 51 132 EnBW Factbook 2018 EnBW Group EnBW 2 1 Sales segment Sales Renewable Energies segment Energies Renewable Generation& Trading segment Grids Since the beginning electricity2015, of sales from the Grids segment are no longer disclosed because the Independent Transmi The figures for the previous year have been restated Revenue Revenue EBITDA Adjusted Electricity Adjusted EBITDA Adjusted sales Electricity Gas Electricity Electricity Revenue Gas Gas Adjusted EBITDA Adjusted Electricity sales Electricity Revenue Adjusted EBITDA Adjusted 6.1 sales segment sales 2 2 1 Five - year summary summary year bn kWh bn bn kWh bn bn kWh bn bn bn kWh kWh kWh € m € € m € m € € m € € m € € m € € m € € m € (2/2) 7,472 1,046 7,354 6,631 2017 508 332 330 193 377 40 57 80 2 – 6,644 1,004 7,771 4,434 2016 511 295 250 337 44 54 68 85 3 – ssion Operators (ITO) no longer report their data. 6,351 9,061 5,300 2015 447 747 287 255 777 48 82 65 53 3 – 6,231 9,067 5,290 2014 407 886 191 231 900 48 72 75 45 4 - << Agenda 5,708 9,568 4,888 2013 372 962 220 227 839 13 52 69 60 31 4 133 EnBW Factbook 2018 Key performanceKey figures 2 1 In relation to the profit/loss attributable to the shareholders of EnBW AG. The figures for the previous year have been restated. Cash flowfrom operating activities ROCE Earnings pershare from Groupnet profit/loss Free cash flow Group net profit net Group Equity ratio Equity Net debt Net Internal financingInternal capability Valueadded 6.2.1 1 1,2 Key performance figures performance Key 2017: year Fiscal 1, 2 1, € m € m € € m € € m € € m € % % % € - - 2,176.3 1,696.1 2,789.0 8,459.5 151.5 111.9 7.58 15.1 2017 7.3 10,002.9 - 1,797.2 - 123.4 473.6 494.7 - 6.64 72.1 2016 7.8 8.3 Changein % - 22.8 15.8 55.2 ------<< Agenda 134 EnBW Factbook 2018 › › › Group level 1 The figures for the previous year have been restated Value added 2017 bysegment Value Value WACC ROCE Average Adj. EBIT incl. investment result Increase in average average Increase in capital employed year prior % inthe 7.8 % compared to 7.3 at ROCE (2016:€m) 123.8 value Decrease added at €151.5 m 6.2.2 added capital employed Fiscal year 2017: ROCE and value added value and ROCE 2017: year Fiscal 1 € m € € m € € m € % % 198.3 836.8 262.8 31.4 2017 Sales 7.7 141.9 619.7 193.2 31.2 2016 8.3 5,919.2 367.0 686.8 11.6 2017 Grids 5.4 5,108.5 372.9 668.2 13.1 2016 5.8 3,276.9 164.9 - 36.0 2017 Energies Renewable 6.1 5.0 2,996.9 130.1 - 95.9 2016 7.5 4.3 2,242.4 - 206.3 - 27.0 2017 - & Trading Generation 8.0 1.2 2,072.8 - 128.5 44.8 2016 8.4 2.2 2,870.8 21.2 2017 Consolidation / Other - - - 2,944.1 40.2 2016 - - - 15,146.1 1,108.7 151.5 2017 << Agenda Total 6.3 7.3 13,760.9 1,076.5 123.8 2016 6.9 7.8 135 EnBW Factbook 2018 in € m € in Segment 1 The figures for the previous year have been restated Revenue Earnings indicators Depreciation and amortisation EBITDA Internal revenue Adjusted EBITDA Total revenue External revenue Impairment losses using the equity method Netprofit/loss from entities accounted for Significant non 6.2.3 reporting - cash items Segment reporting reporting Segment 2017: year Fiscal 8,275.4 7,354.3 317.8 921.1 330.0 - 68.2 31.2 2017 - Sales 8.6 3.7 8,202.5 7,771.1 177.1 431.4 249.7 - - 56.5 44.2 22.0 2016 0.0 (1/2) 10,030.4 1,025.3 1,045.9 2,558.6 7,471.8 - 435.4 29.8 27.2 - 2017 0.8 Grids 1,004.1 9,282.7 2,639.0 6,643.7 - 897.2 367.2 12.9 16.8 - 2016 2.9 - 622.5 331.7 160.4 - 788.8 281.3 507.5 13.5 - 2017 4.4 2.8 Energies Renewable - 293.8 295.3 153.2 - - 783.0 272.4 510.6 11.8 16.5 2016 8.6 1,703.1 9,370.3 2,739.2 6,631.1 - - 377.1 422.8 111.3 - 2017 0.6 0.2 & Trading Generation - 1,417.8 6,775.7 2,341.8 4,433.9 - - 739.3 337.2 310.4 11.2 2016 4.6 - - 6,490.9 6,500.2 - - 83.7 28.3 27.4 14.1 14.4 2017 0.0 Consolidation / Other 9.3 - - 5,675.5 5,684.6 101.9 - - - 52.6 27.1 12.5 11.0 - 2016 2.5 9.1 - 21,974.0 21,974.0 3,752.4 2,113.0 1,114.2 - 134.2 47.7 43.3 2017 << Agenda Total 0.0 - 19,368.4 19,368.4 1,938.9 1,479.2 - 730.7 914.4 - 46.1 10.0 2016 0.0 136 EnBW Factbook 2018 in € m € in Segment Assets and liabilities and property, plantand equipment Capitalexpenditure accounted for using the equity method which Of carrying amount of entities Capitalemployed 6.2.3 reporting Segment reporting reporting Segment 2017: year Fiscal on intangible assets 1,004.6 (198.8) 83.3 2017 Sales 527.9 51.9 2016 0.0 (2/2) 6,534.8 (386.0) 784.0 2017 Grids 5,332.2 (282.7) 795.6 2016 3,501.9 (670.2) 417.3 2017 Energies Renewable 3,066.5 (207.7) 208.1 2016 2,293.0 (133.6) 115.7 2017 & Trading Generation 2,094.2 (56.7) 111.1 2016 2,062.2 (0.0) 18.9 2017 Consolidation / Other (1,288.5) 3,816.6 22.7 2016 15,396.5 (1,388.6) 1,419.2 2017 << Agenda Total 14,837.4 (1,835.6) 1,189.4 2016 137 EnBW Factbook 2018 › › › Retained cash flowII(RCF II) +/ Retained cash flow(RCF) Net (cash) investment Internal financingInternal capability - Internal financing capability: financing Internal RCF II: RCF: RCF: 6.2.4 6.2.4 effects from the nuclear fuel tax refund Cash RCF adjusted for the following effects of the nuclear refund tax nuclear fuel the of effects following adjusted for the RCF › › › › - - Mid internally without the need to raise additional capital Key performance indicator for the Group's ability to finance its capital expenditures (net cash investment) Will be used for additional investment of €690 m from 2018 to 2020 Will be used for debt repayment of around €830 m in 2018 relevant earnings after settlement of stakeholder needs (interest payments, taxes, dividends) taxes, payments, (interest needs stakeholder of settlement after earnings relevant Internal financing capability financing Internal 2017: year Fiscal term term target: We aim to achieve an internal financing capability of ≥ 100% each year (a) (a)/(b) (b) € m € m € m € € m € % - 1,529.5 1,520.8 3,050.3 1,367.1 111.9 2017 1,316.9 949.5 949.5 72.1 2016 0.0 Changein % 61.1 55.2 3.8 - - << Agenda 138 EnBW Factbook 2018 in € m € in 2 1 TOP TOP TOP TOP Retained Retained External Net (cash) investments Group EBIT Earnings pershare from Groupnet profit in € Adjusted EBITDA Adjusted The figures for the previous year have been restated. In relation to profit/loss attributable tothe shareholders of EnBW AG. Share of adjustedEBITDAaccounted for byOther/Consolidation in € million / in % Share of adjustedEBITDAaccounted for bySalesin € million / in % Share of adjustedEBITDAaccounted forin byGrids € million / in % Share of adjustedEBITDAaccounted for byRenewable Energies in € million/ in % Share of adjustedEBITDAaccounted for byGeneration Tradingand in € million/ in % 6.3.1 net revenue EBITDA EBIT cash flow cash flow profit 1 Financial and strategic performance indicators performance strategic and Financial - year Half II 2 2018: 1 1/1 159.5 684.9 164.8 138.8 – - 7.0 30/6/2018 11,561.8 1,141.0 1,184.7 / / / / 556.1 346.2 333.5 433.5 549.4 586.8 / 1.28 14.0 60.0 14.4 12.2 - 0.6 1/1 152.4 180.8 610.6 102.3 – 26.5 30/6/2017 10,475.8 1,679.3 1,884.6 1,072.6 2,639.6 2,082.6 / / / 449.5 881.8 543.0 / / 6.20 16.9 56.9 14.2 2.5 9.5 Changein % - 126.4 - 11.8 12.2 35.7 8.1 ------79.4 23.7 82.3 79.4 10.4 50.8 55.1 71.8 6.4 1.2 / / / / / – – – – – << Agenda 139 EnBW Factbook 2018 in € m € in 6 5 4 3 2 1 for intervals of less than ayear, the number of employees from 31/12/2017is carried forward. Variations in the group consolidated of companies; only those companies controlled by the Group areincluded. EnBW/Yello Customer Customer EnBW/Yello Customers goaldimension SAIDI (electricity)SAIDI in min/year Employees Employees Converted into full The number of employees for the ITOs(ONTRAS Number employees of excluding apprentices/trainees and inactive employees. The figures for the previous year have been restated. The values for the keyperformance indicators Reputation Index, Employee Commitment Index (ECI), “Installed output of renewable energies (RE)in GW andthe share of the generation capacity accounted for by RE” andCO LTIF Number Number 6.3.2 6.3.2 3 of 4,5 goal - full - dimension time equivalents time time time equivalents. - Non - year Half Satisfaction 2 financial performance indicators performance financial 6 Index 2018: Gastransport GmbH, terranets bw GmbH and TransnetBW GmbH) isonly updated theat end the of year; 1/1 – 130 / 150 130 30/6/2018 21,397 19,999 2 1 intensity are solely determined collected atthe end of the year. 2.5 8 1/1 – 139 / 30/6/2017 21,324 19,862 164 3.1 9 Changein % - 6.5 / - - 19.4 11.1 - 0.3 0.7 8.5 << Agenda 140 EnBW Factbook 2018 Goal 1 Finance Finance Strategygoal dimension Other Consolidation / accounts for €0.1billion / of %the+3 overall adjusted EBITDA. from Generation from Trading Generation and Share of result Energies Renewablefrom Share of result fromGrids Share of result /Sales proximity” from“Customer Share of result Increasing Groupvalue High levelof financial discipline Securing 6.4.1 6.4.1 goal profitability dimension Finance and strategy goal dimensions goal strategy and Finance - non and Financial 1 KPI EBITDA in € billion % billion / in EBITDA in € Share of overall adjusted % billion / in EBITDA in € Share of overall adjusted in billion € in / % overall Share of adjusted EBITDA in billion € in / % overall Share of adjusted EBITDA ROCE% in capability in % Internal financing in bn € Adjusted EBITDA financial KPIs and targets: and KPIs financial 2017 0.4 / 17.8 / 0.4 15.7 / 0.3 49.5 .0 / 15.6 / 0.3 7.3 111.9 Target 2020 0.3 / 15.0 / 0.3 30.0 / 0.7 40.0 / 1.0 15.0 / 0.4 8.5 >100 2.3 – - 2.5 11 capital. EnBW iscreating value for itsstakeholders. Return on capital employed (ROCE) ishigher than the cost of conditions andonly represents around %15 of the Group operating result. changed due framework to billion 2020 in 0.3 € to billion (reference 2012) year: 1.2 € from % 80 by and Trading falls segment Generation the for The operating result the Group operating result. EnBW isbecoming more sustainable. of % around represents 30 and billion in 0.72020 € to billion (reference year: 0.2 2012) The operating result for the Renewable Energies segment increases by from 250% € operating result. The shareaccounted for by stableregulated business isexpanding. Group the of around 40%and represents billion in 2020 1.0 € to year: (reference 2012) The operating result for the Grids segment increases by 25% from 0.8€ billion possible. this make Innovations result. operating Group the of % around represents 15 and billion in 2020 0.4 € to 2012) The operating result for the Salessegment doubles from 0.2€ billion (reference year: internally. level of retained cashflow II.The Group canthus finance itsown restructuring The amount net of financial liabilities iscontrolled by limiting net investment to the segments) together contributes around % to 70thisresult. Energiewende. The totalregulated business(Grids and Renewable Energies The operating result isto return tothe average level achieved before the << Agenda 141 EnBW Factbook 2018 Goal 1 Customers & society goal dimension goal society & Customers Environment goal dimension goal Environment Employees goal dimension Variations in the group consolidated of companies Climate Climate Expandrenewable energies (RE) Occupational safety commitment Employee reliability Supply proximity Customer Reputation 6.4.2 6.4.2 protection Other goal dimensions goal Other - non and Financial KPI CO capacity accounted for in REby % andthe share o. t.generation Installed capacity of REin GW LTIF¹ Index (ECI) Employee Commitment year in min / SAIDI (electricity) Satisfaction Index EnBW / Reputation Index 2 intensity in g/kWh Yello 1 Customer financial KPIs and targets: and KPIs financial 2017 3.4 / 25.9 / 3.4 3.0 19 161 / 143 52.1 556 60 Target 2020 5.0 / >40 / 5.0 year ≤previous < 25 >159 / > 136 55.4 to to - 65 15 % - 20 % products. meet the needs andwishes of their customers through tailored solutions and atthe forefront of thisdevelopment. doubled compared withOnshore2012. and offshore wind power andhydropower are The share of the generation capacity accounted for by renewable energies has falling. is The number of accidents workat andthe resulting daysabsence of remains stable or abundant system expertise. operated by EnBW isbased on comprehensive investment in grids and plantsand our further development of itsgrids. The high degree of supply reliability thein grid area Maintaining supply quality itscustomers for isof central importance to EnBW in the loyalty. EnBW and and Yello EnBW improve itsreputation. continuously to EnBW model, restructuring aims the business the In of with parallel 2020 compared to 606 g / kWh in the reference 2015. year reference the in kWh / g 606 to compared 2020 intensity of itsown generation electricity of (excluding nuclear power) by to20% 15by EnBW actively contributes toclimate protection by successively reducing the CO future future viability of the company. The commitment our of employees to EnBW isvery strong and there isfaithin the customers aresatisfied customers with ahigh level of customer Yello are organisations strongly oriented towardscustomers and << Agenda 2 142 EnBW Factbook 2018 4. 3. 2. 1. Agenda 7 − Capital Markets Capital −7 Agenda › › › › Segments Segments Strategy Environment EnBW at a glance › › › › › › › › GenerationTrading and Renewable Energies Grids Sales Compliance, Data Protection Decarbonisation, Innovation, Digitalisation, Corporate Sustainability, Broadband, Contracting, Research and Development, Further strategic aspects: 2025Strategy EnBW 2020Strategy EnBW Markets Regulatory environment Political environment Key non- Key financials ...... financials ...... Corporate Governance, ...... page 76»» page 38»» page 6 »» page 3 »» 8. 7. 6. 5. › › › › › › › › › › › › › › › › › › Service Markets Capital - Non and KeyFinancials EnBW’sShareholdings Main Key financial indicators Share Shareholder structure Credit Ratings Maturity profile Bonds Asset Liability Management Model Contact details Important links calendar Financial AG VNG Stadtwerke Düsseldorf Group Pražská energetika, a. s. EnergieDienst F Halfyear 2018 Fiscalyear 2017 Five inance - ...... year summary strategic and other goal dimensions Holding Holding AG ...... financials ...... page 143 »» page 143 page 155 »» page 114 »» page page131 »» 143 EnBW Factbook 2018 › › › › investors is always of relevance when taking strategic decisions. strategic taking when relevance of always is investors our of interest The relations. investor of importance the of aware is EnBW sell side to ensureaccess to thecapital markets at all times. activities concentrate on fixed on concentrate activities relations investor our float, free in are shares our of proportion a small only As added. value generating for potential EnBW’s underscore to us enable groups target the with dialogue ongoing and communication Active manner. a timely in and banks rating agencies analysts, investors, of requirements information the meet to strives Relations Investor stakeholders. important most its of one for relationsinvestor as a service views provided EnBW 7.1 7.1 Head of Finance, M&A and Investor Relations Investor and M&A Finance, of Head Voigt Peter Ingo Service - - focused Investor Relations Investor focused income investors and credit analysts on the buy and and buy the on analysts and credit investors income << Agenda 144 EnBW Factbook 2018 7.2 EnBW’sfinancial objectives EnBW’s financingstrategy Financial objectives and financing strategy financing and objectives Financial › › › › › › › › › › and limit burden OCF on and burden limit provisions and nuclear pension future cover to Management Liability Asset Sophisticated debt financial net managing thus and RCF to limited Investments holders debt senior support capital to Hybrid preference forlong profile; maturity spread Widely Diversifiedmarket approach - Multi standing credit a strong Maintaining Group risk the for rate interest Limiting all times at operations for liquidity sufficient Ensuring capital of cost the Optimising pillar strategy offering maximum flexibility in financing in flexibility maximum offering pillar strategy - term financing for the purpose mitigation risk of purpose the for financing term << Agenda 145 EnBW Factbook 2018 16.000 12.000 in € m € in EnBW’s CF 2 1 4.000 8.000 As of 31 December 2017 December 31 of As Adjusted for inflation for Adjusted 800 200 400 600 7.3 7.3 0 2017 Financial Provisions € impact on on impact - 300 Max. Max. based model OCF EnBW EnBW Model: Management Liability Asset m assets 2 nuclear and pension provisions still covered still provisions pension and nuclear 1 2023 Assetcontribution 2029 100% projected OCF contribution Coverage 2030 2035 impact on on impact No OCF 2041 << Agenda 146 EnBW Factbook 2018 2 1 in € bn € in Financing sources Rounded Rounded figures June 2018 30 of As 7.4 7.4 Debt Debt Thereof € 3 Maturity date: 2021 Undrawn SyndicatedCredit Line Issuance to various financing sources financing various to EnBW aflexible accesshas bn 7.0 1.5 utilised 3 4 Programme 2 Project financing and low and financing Project BilateralFree Credit Lines Hybrid Bonds Hybrid 2.0 1.4 1 - interest loans from theEIB 2 2 Thereof € 180 m Commercial Paper Programme Paper Commercial utilised 2.0 1.8 0.2 << Agenda 147 EnBW Factbook 2018 € € € YEN € € € CHF € CCY Issuer: EnBW Finance B.V. L = Luxembourg, Luxembourg, Switzerland = L S = June 2018 30 of as 7.5.1 7.5.1 Denomination 100,000,000 100,000 100,000 100,000 50,000 1,000 1,000 1,000 5,000 EnBW’s EnBW’s bonds senior income:Fixed Volume 20,000 ( 100 100 750 600 500 500 100 mn 50 ) (years) Term 25 20 10 30 12 20 10 30 30 20/11/2008 16/12/2008 16/6/2014 13/6/2014 9/12/2004 12/7/2013 Issue date 7/7/2009 4/6/2014 1/8/2014 20/11/2018 16/12/2038 16/6/2039 13/6/2034 16/1/2025 12/7/2023 7/7/2039 4/6/2026 1/8/2044 Maturity Coupon Coupon 3.080 2.875 6.875 6.125 2.500 4.875 3.880 2.900 2.25 (%) 16 June & 16 Dec Dec 16 & June Interest date Interest 16 June 16 June 13 12 July 12 20 Nov 4 June 4 16 Jan 16 7 July 7 1 Aug Security A1HM5N A0DG9U A0T3US A1AJTV A1ZJ9E (WKN) No. CH0217677654 XS0399861086 XS0438844093 XS0207320242 XS1074208270 ISIN No. ISIN Private Placement Private Placement Private Placement Private Placement << Agenda Stock Ex. Stock S L L L L 148 EnBW Factbook 2018 EUR USD € CCY Issuer 3 2 1 Frankfurt Luxembourg, = L F= June 2018 30 of as Increase of hybrid hybrid XS0674277933 No. Increase of bond ISIN Regulation S: These Notesare not offered or sold within the United States or to, or for the account or benefit of, U.S. pers Hybrid bond coupon initially 7.5.2 7.5.2 3 Denomination : EnBW Energie BadenEnergie: EnBW- 1,000 2,000 1,000 EnBW’s bondsEnBW’s hybrid income:Fixed Volume 1,000 725 300 ( mn 1 1 1 ) Württemberg AG Württemberg (years) Term 60.5 60.5 62 5/10/2016 5/10/2016 18/3/2014 Issue date 5/4/2077 5/4/2077 2/4/2076 Maturity Coupon Coupon 3.375 5.125 3.625 ons (%) Interest date Interest 5 April 5 April 5 2 April Security A2BN7K A2BN7K A2BPFD A2BPFD A11P78 (WKN) No. XS1044811591 XS1405770907 XS1405770907 XS1498442521 ISIN No. ISIN << Agenda Stock Ex. Stock F, L F, L L 149 EnBW Factbook 2018 in € m € in 7 5 3 1 Includes USD 300 million, converted 05/10/2016 of million, converted asIncludes USD 300 30/06/2018 of date reporting the of million, converted as 100 CHF Firstcall date:hybrid maturing in 2077 30/06/2018 of reporting the date of million, converted as 100 Includes CHF 7.5.3 7.5.3 Repayment on Repayment 12 July 2018 July 12 Maturities of EnBW’s bonds EnBW’s of Maturities Income:Fixed 2018 836 1 .... 1,000 2021 2 2022 993 3;4 2023 86 5 …. 2025 500 Hybrid bonds Hybrid bondsSenior Firstcalldatesof hybrid bonds 2026 500 …. 6 4 2 JPY 20 billion (swap in EUR), coupon in EUR), 3.880% coupon Swap billion (swap for JPY 20 coupon million in (swap EUR), 5.125% Swapfor Includes USD 300 Firstcall date:hybrid maturing in 2076 2034 100 …. 170 2038 6 2039 700 …. 2044 50 …. 1,000 2076 993 2077 7 << Agenda 150 EnBW Factbook 2018 Rating: Rating: › › › › › › 7.5.4 within Baden- Leadershipposition as avertically integrated utility investment investment Certain execution risksrelating to alarge challenging environment in retailmarkets conventional generation increasinglyand Difficult operating environment in Germanyfor strategy EnBW continues to invest in line with2020 its growing share of renewablesunder contracts, as distributionand transmission activities and ofAround50% EBITDA from lowregulatedrisk Strong shareholdersupport profile implementing measuresto shore its up financial Balancedfinancial policiesandrecord track in a sound financial policy has allowed EnBW to maintain A category ratings against the negative sector trend sector negative the against ratings A category maintain EnBW to allowed has policy financial sound a programme Wuerttemberg Fixed income: Credit Ratings Credit income: Fixed A3 12 June 2018 June 12 / stable › › › › › › commodity significantStill exposure to volatileand renewables regulatedactivities and long Increasedshareof operating income from low strategy repositioning in business made progress Considerable footholdin national gas distribution Solidregional competitive positionand increasing of nuclear tax refundfor capex and deleveraging Prudentfinancial policyunderpinnedby or changes to the capitalstructure strategy its to major disruptions without liabilities, Wellmanaged funding of nuclearwaste - driven wholesale power prices power wholesale driven - term contracted A 24 July 2018 July 24 - - utilisation related related / stable - risk › › › › to the senior unsecuredrating sustainedbasis,Fitch maya applyone Ifthe shareof regulatedexceedsEBITDA on 50%a charge cover respectto fundsfrom operations (FFO) fixed stronger than peers, with some exceptions with Average forecast credit metrics are generally reducedsubstantiallythese risk responsibilityfor nuclear waste storage has paymentrisk; of EUR4.8billionfor transferring offsetpartlyresidualbynuclear decommissioning High earnings visibilityin gridsand renewables contracted businessprofile Continued evolutiona more towards regulatedand 28 September 2018 September 28 A - - << Agenda notch uplift / stable 151 EnBW Factbook 2018 Stock exchange information exchange Stock Shareholder structure Shareholder 2 1 100% subsidiary100% of NECKARPRIGmbH, which isa subsidiary100% the of federal stateBaden of rounding to due possible % 100 to add not up May Stock markets Stock Classof share shares of Number Indices level Transparency abbreviation exchange Stock ISIN/securityident. no. 7.6.1 7.6.1 Other Other shareholders EnBWEnergie Baden- Neckar Gemeindeelektrizitaetsverband NECKARPRI Energie OEW Badische - Elektrizitaetsverband Energieaktionaers - - Beteiligungsgesellschaft Shareholder structure Shareholder market: capital Equity Beteiligungs Wuerttemberg 1 GmbH GmbH - Vereinigung Schwarzwald Over Regulatedmarket: Frankfurtand Stuttgart no Ordinary 276,604,704 GeneralAllShare, DAXsector Utilities, AllCDAX GeneralStandard BloombergEBKGY/reutersEBK/EBKG.DE 522000 DE0005220008/ - the AG mbH - counter trading:counter Berlinand Munich - 2 par valuebearershares - Donau 46.75% 46.75% - 0.39% 2.08% 0.63% 2.45% 0.97% Württemberg as of 31 December 2017 << Agenda 152 EnBW Factbook 2018 3 2 1 Distribution in terms of shares entitled of year as shares). m 250.006 2011:to (2010 m shares 276.605 2015:to 2012 shares Total number of Share value basedon closing price trading the EnBW sharein XETRA Dividend pershare Dividend Market capitalisationas of 31December Annual high Stock exchange trade(total) Annual low Stock exchange trade(daily average) Distribution Closing price Closing Numberof shares outstanding 7.6.2 3 EnBW share in figures in share EnBW market: capital Equity 2 as of 31 December 31of as - end. # of shares # of shares € € m € bn 1 m € € € € 270.855 157.021 135.4 29.63 20.00 28.78 0.50 2017 604 7.8 270.855 80.173 24.25 18.29 19.69 0.00 0.00 2016 391 5.3 270.855 125.440 149.0 27.00 20.21 20.62 0.55 2015 568 5.6 270.855 157.809 186.9 28.39 24.50 25.60 0.69 2014 711 6.9 << Agenda 270.855 95.634 186.9 30.89 25.00 26.85 0.69 2013 439 7.3 153 EnBW Factbook 2018 7.7 7.7 Financial Discipline Key financial indicators financial Key High Levelof Group Value Value Group Profitability Increasing Securing - 8.5 WACC > ROCE Net Investments >0 Investments Net minus Flow Cash Retained InternalFinancing Capability Adj. EBITDA contribution by 2020 by contribution EBITDA Adj. ~70% with Renewables Grids and Transformation Portfolio 11.0 Solid Investment Grade Grade Ratings Investment Solid Markets Capital toAccess Cap on Operating Cash Flow of € 300 m p.a. m 300 € of Cash Flow Operating on Cap Model Management Liability Asset provisions nuclear and pension of Coverage Adj. EBITDA Target2025€3.0 Adj. EBITDA Target2020€2.3 ( Payout Level Dividend Sustainable medium Ratio of 40% of Ratio - term term target) - - 3.3 bn 3.3 2.5 bn - 60% << Agenda 154 EnBW Factbook 2018 4. 3. 2. 1. Agenda 8 − Service − 8 Agenda › › › › Segments Segments Strategy Environment EnBW at a glance › › › › › › › › GenerationTrading and Renewable Energies Grids Sales Compliance, Data Protection Decarbonisation, Innovation, Digitalisation, Corporate Sustainability, Broadband, Contracting, Research and Development, Further strategic aspects: 2025Strategy EnBW 2020Strategy EnBW Markets Regulatory environment Political environment Key non- Key financials ...... financials ...... Corporate Governance, ...... page 76»» page 38»» page 6 »» page 3 »» 8. 7. 6. 5. › › › › › › › › › › › › › › › › › › Service Capital Markets - Non and KeyFinancials EnBW’sShareholdings Main Contact details Important links calendar Financial Key financial indicators Share Shareholder structure Credit Ratings Maturity profile Bonds Asset Liability Management Model AG VNG Stadtwerke Düsseldorf Group Pražská energetika, a. s. EnergieDienst F Halfyear 2018 Fiscalyear 2017 Five inance - year summary ...... strategic and other goal dimensions Holding Holding AG ...... financials ...... page 155 »» page 155 page 143 »» page 114 »» page page131 »» 155 EnBW Factbook 2018 8 November 2019 8 November 25 July 2019 10 May2019 8 28 2018 12 November May 2019 8.1 8.1 March 2019 Financial calendar Financial calendar Financial Quarterly Statement January to September Quarterly 2019 September to January Statement Six Quarterly March to January Statement 2019 General Meeting Annual Report Integrated 2018 December to Annual January (ConferenceCET) pm 01:00 time: Quarterly 2018 September to January Statement - Monthly 2019 ReportFinancial June to January Upcoming Events << Agenda 156 EnBW Factbook 2018 [email protected] 721 +49 T Senior Manager Investor Relations von Julia [email protected] 721 +49 T M&A and Investor Relations HeadFinance, of Ingo PeterVoigt 8.2 8.2 – – Wietersheim 6312060 6314375 Contact details Contact [email protected] 721 +49 T Manager Investor Relations Lea [email protected] 721- +49 T Director Capital Markets Peter Berlin Gantz – 6312844 6313646 [email protected] 721 +49 T Manager Investor Relations Julia Reinhardt – 6312697 << Agenda 157 EnBW Factbook 2018 EnBW currentEnBW ratings Maturitiesofour bonds Financing facilities Annual Report Six Calendar Financial Energies Renewables EnBW EnBW EnBW OverviewSupervisory Board EnBW Overview EnBW EnBW group 8.3 8.3 monthly report 2018 monthly Strategy Relations Investor Important links Important online 2017 Board of Management of Board Important links Important https://www.enbw.com/company/investors/bonds https://www.enbw.com/company/investors/bonds https://www.enbw.com/company/investors/strategy/ https://www.enbw.com/enbw_com/downloadcenter/annual https://www.enbw.com/enbw_com/downloadcenter/quartalsfinanzberichte/six- https://www.enbw.com/company/investors/events/finance https://www.enbw.com/renewable https://www.enbw.com/company/investors/strategy/group https://www.enbw.com/company/the https://www.enbw.com/company/the www.enbw.com/investors www.enbw.com - energy/renewables/ - - group/about group/about - - - - share/bonds/ratings.html share/bonds/ us/supervisory us/executive - - - calender/ strategy.html reports/enbw - board/ - board/ - integrated monthly - annual - financial - report - report - 2017.pdf - q2 - 2018.pdf << Agenda 158 EnBW Factbook 2018 are at EnBW presentation current This Future consent EnBW Unless not company sell not This No which offer 8.4 8.4 constitute indicated constitute securities presentation presentation . Group - Such . oriented indicated assumptions, or they All of investment the future descriptions, for and by are an issued a EnBW illustration Important statements the is request, has offer, otherwise, published contains - calculated oriented context, plans, by been Group recommendation an EnBW instruction examples invitation prepared purposes future estimates statements for or all but according Energie any the data may - oriented other first and or for note only or contained and also Baden a are to information time recommendation . calculations company recommendation IFRS forecasts be statements therefore . - Future identified Württemberg . hereinafter . This purposes of - only oriented are the that presentation by valid included management to to the are AG refers vote purchase only statements at use (EnBW), based the . or It in to of does does time give this the the on or of a performance Actual uncertainties diverge By expressions “assumes”, words statements EnBW complete, assumed . presentation No actually contained obligation nature, “may”, assumes events, occur considerably otherwise correct in to . of to “forecasts”, that future Therefore future this in “will”, EnBW update future the no cannot or presentation - future events oriented obligation that from “should”, and precise the results, it be the . cannot these information or the “potentially” controlled companies developments or statements future “plans”, of or the that future be any to financial guaranteed - expected oriented adjust - or kind of oriented “intends”, or accurately the . are to “continued” EnBW or position, statements and update subject nor update statements “expects”, forecast Group predicted can development the future any to may made and << Agenda results information risks “believes”, will liability by therefore - oriented similar in EnBW prove this and will be or .