Investor Update September 2011
EnBW Energie Baden-Württemberg AG
Investor Update Energie September 2011 braucht Impulse Investor Update September 2011
Important note
› Unless indicated otherwise, all data contained hereinafter refers to the EnBW group and is calculated according to IFRS. › No offer or investment recommendation › This presentation has been prepared for information purposes only. It does not constitute an offer, an invitation or a recommendation to purchase or sell securities issued by EnBW Energie Baden-Württemberg AG (EnBW), a company of the EnBW group or any other company. This presentation does not constitute a request, instruction or recommendation to vote or give consent. All descriptions, examples and calculations are included in this presentation for illustration purposes only. › Future-oriented statements › This presentation contains future-oriented statements that are based on current assumptions, plans, estimates and forecasts of the management of EnBW. Such future-oriented statements are therefore only valid at the time at which they are published for the first time. Future-oriented statements are indicated by the context, but may also be identified by the use of the words “may”, “will”, “should”, “plans”, “intends”, “expects”, “believes”, “assumes”, “forecasts”, “potentially” or “continued” and similar expressions. › By nature, future-oriented statements are subject to risks and uncertainties that cannot be controlled or accurately predicted by EnBW. Actual events, future results, the financial position, development or performance of EnBW and the companies of the EnBW group may therefore diverge considerably from the future-oriented statements made in this presentation. Therefore it cannot be guaranteed nor can any liability be assumed otherwise that these future-oriented statements will prove complete, correct or precise or that expected and forecast results will actually occur in the future. › No obligation to update the information › EnBW assumes no obligation of any kind to update the information contained in this presentation or to adjust or update future- oriented statements to future events or developments.
2 Investor Update September 2011
We want to talk about…
EnBW at a glance Well positioned player in the European utilities sector
Utilities environment Serious challenges ahead
EnBW’s strategy Focused into the future
Financial Policy Committed to an A rating
Hybrid issue Rationale and key facts
3 Investor Update September 2011
EnBW at a glance: Well positioned in the European utilities sector
› Number 3 in Germany with approx. 6 million customers Based on strong roots in › Within Top 10 in Europe in terms of generation capacity Baden-Württemberg › Based in Germany’s strongest industrial region (14.5% of GER GDP) › Strong and reliable shareholder base (State BW, local municipalities)
Our generation › Electricity generation and trading segment contributed 84% to adjusted EBIT in 2010 portfolio is the › Cleanest German generation fleet with avg. CO2 emissions of 299g 1 performance driver CO2/kWh
› Currently 9% of revenue outside of Germany Active in selected › Attractive fundamentals in key foreign markets (e.g. Turkey: foreign markets Capacity gap, CZ: Strong local growth in capital area)
Business activities in three different markets2
Wholesale markets Regulated markets End-customer markets (Procurement, generation, trading) › Electricity grids: 152,528 km (Business and retail)3 › Transmission: 3,674 km › Procurement: fuels (gas, coal, oil), › Distribution: 148,854 km › Electricity: 68.9 TWh emissions allowances (5.4 million customers) › Generation portfolio: 15,498 MW › Gas grids: 15,809 km › Gas: 53.6 TWh › Trading: energy (electricity): 65.5 (0.4 million customers) TWh › Renewable energies according › Gas storage in progress to EEG (German Renewable › Heat: 5.3 TWh Energies Act) › Further energy and environmental services 4 1compared to its peers; 2 annual report 2010, all figures stated as of 31 December 2010; 3 including all customers directly supplied through trading unit of EnBW Investor Update September 2011
Challenging environment for German utilities
› Energy concept 2050 and targets 2020: 1 1 Reduce consumption by 50% (target 2020: 20% ) and CO2 emissions by min. 80%² (target 2020: 40%²). Increase of share of renewables to 80%3 (target 2020: 35%3)
› Change in energy concept by the German government: › Shut-down of 8 nuclear power plants 2011 › Reduction in life-time of nuclear power plants › Nuclear fuel rod tax (2011-16)
› Reduced price level on forward markets 2012
› Full auctioning of CO2 emission allowances from 2013 onwards 2013
Implications for EnBW
› Short-term implications: › Shutdown of two smaller reactors (total capacity: 1,766 MW) › Abandonment of earlier lifetime extensions for larger reactors GKN II and KKP 2 › However: › Longest remaining nuclear lifetime of all German nuclear power plants operators
› Very modern, low CO2, and flexible conventional fleet 5 › Strong expertise in renewables 1 compared to 2008, 2 compared to 1990, 3 as percentage of gross consumption of electricity Investor Update September 2011
EnBW: First six months 2011 reflect negative impact of changed environment
Adjusted EBIT in € m. Neutral result in € m. (as of 30 June 2011)
-24% 1.159 Non-operating Non-operating Non-operating EBITDA EBIT group net profit 878 -562.3 -606.1
-1,043.0
Jan. - Jun. 2010 Jan. - Jun. 2011 › 86% of reduction relates to shut Effects relating to nuclear down of two nuclear power plants › and nuclear fuel tax power/moratorium: € 594 million
› Remainder relates to gas segment: › Impairment of EWE (€ -371 million) and deconsolidation of GESO and EVN (€ - 245 million) weather-related volume impact 6 Investor Update September 2011
The change-over in energy politics leads to a severe reduction of adjusted EBIT on group level
EnBW Current outlook 2011 Outlook 2011 Outlook 2011 Interim report Q2 2011 Interim report Q1 2011 Annual report 2010
Adjusted EBIT electricity generat. & trading significantly falling significantly falling falling
Adjusted EBIT electricity grid and sales significantly falling significantly falling significantly falling
Adjusted EBIT gas falling falling falling
Adjusted EBIT energy & environm. services stable falling falling
Adjusted EBIT on group level - 20 % to - 25 % - 15 % to - 25 % - 10 % to - 15 %
7 Investor Update September 2011
Clear strategic initiatives being implemented to cope with sector challenges
1 › Maintain an integrated energy supplier in Germany and become one in Sharpening of the Czech Republic EnBW’s business model › Realise profitable growth in the areas of renewable energies, energy solutions for customers, energy management and energy efficiency
2 Adjustment › Reduction the investment programme of investment/ › Increase divestments while maintaining the general strategic alignment divestiture programme › Capital employed / CAPEX optimization via cooperation
3 › Implement additional efficiency measures under the “FOKUS” programme. Present target of a total volume of € 300 million Efficiency measures p.a. as of 2013 will be significantly exceeded
4 Strengthening of › Take measures to support the capital structure of EnBW EnBW’s capital › Dividend model structure 8 Investor Update September 2011
1 Future business model will be based on two strategic directions
Low carbon generator Offering distributed energy solutions
Main focus of development: Main focus of development: › Maintaining a sustainable, low CO2 generation portfolio › Decentralized renewable energies Partnering › Stable generation portfolio models › Cooperation with cities as basis for further expansion and municipalities in renewables (ie. wind + hydro) › Introduction of platform solutions › Optimization of generation fleet to obtain economy of scales › Gas-fired power plants 9 Investor Update September 2011
1 Expansion of wind energy in Germany
Wind onshore › EnBW currently operates 92 onshore wind power units with an overall output of 149 MW › EnBW investigates a pipeline of projects to be acquired of over 100 MW. Further cooperations with developers are under way Wind offshore › Intention to develop four offshore projects in the Baltic and North Sea (1,200 MW) in the next few years › The first commercial wind farm in the Baltic See, Baltic 1 (50 MW), successfully started operations in May 2011 › For Baltic 2 (288 MW) all major contracts have been awarded for the construction work in 2012. Start of operation is scheduled for 2013 › Project development started for Hohe See, one of the projects in the North Sea
10 Investor Update September 2011
1 Expansion of hydropower generation
Run-of-river Laufwasser › Construction of additional turbine (38 MW) at Iffezheim hydroelectric power plant together with EDF (new total capacity 138 MW) › Construction of Rheinfelden hydroelectric power plant (100 MW) Rheinfelden› Development of additional capacity in Turkey
Pumped Storage › Projects for pumped storage under consideration (approximately 2,000 MW)1 Esslingen › Testing of alternative storage technologies through R&D (eg e-mobility, SNG)
11 1 Total capacity including third-party share Investor Update September 2011
1 Assessment of profitable gas-fired power plants
Status quo EnBW
Gas strategy › Consolidation of sales activities › Development of a diversified supply portfolio › Commercial optimisation based on expertise in electricity business › Efficient operation of grid activities
Gas to Power › Expertise and competency in operating large-scale plants › Realisation before 2020 depending on spark spread development1 › Potential strategic partnership with producer › Additional earnings potential and geographical advantages (heat supply, existing infrastructure and reserve market) to be achieved 12 1 Probability of realisation increases with ambitious climate protection targets Investor Update September 2011
1 Energy solutions - EnBW partnering with municipal authorities and public utility companies to enhance value
› Decentralised projects like „sustainable city" or individual contracting solutions
› Sharing EnBW‘s sales products with municipal authorities and public utility companies › Portfolio management for third parties
› Cooperation in renewables with third-party investors (e.g. wind offshore Baltic 1 + Baltic 2 and wind onshore) › Partnering models in grid companies › Network services for third parties (e.g. Smart Grid)
13 Investor Update September 2011
2 Divestment programme is initiated
List of potential projects:
› Poland: Rybnik + Kogeneracja Share of ~32% + ~16% Joint Venture with EDF
› ED-Holding (Switzerland): Divest of ~15% to maintain majority of 66,7%
› EVN (Austria): Share of ~32,5%
› EnBW Transportnetze AG (Germany): Fully owned by EnBW › Partial sale of transport networks under consideration 14 Investor Update September 2011
3 FOKUS programmes: Significantly exceeding the present target of € 300 million p.a. as of 2013
FOKUS Phase I Sustainable efficiency potential
› Sustainable EBIT improvement until 2013 by € 300 million › Measures already identified, realisation under way
tbd* FOKUS Phase II tbd*
› Significantly exceeding FOKUS I with focus on material reduction of complexity within the tbd* group: › Strengthen central control and improve 300 300 transparency on group-level 151 185 › Centralize support functions
2011 2012 2013 sustainable 2014 ff
FOKUS Phase I FOKUS Phase II 15 * run-up currently under definition Investor Update September 2011
4 EnBW is committed to maintain its current rating and conservative financial policy
› We have maintained our A rating Rating in › Fitch: A-/stable (3 June 2011 ) A category › Moody’s: A2/under review for downgrade (2 August 2011) remains our target › Standard & Poor’s: A-/negative (31 March 2011)
› Dynamic leverage ratio is key determinant Dynamic › To secure our A rating, all business decisions have to comply with the dynamic leverage ratio leverage ratio1 › In 2010 the dynamic leverage ratio came to 2.87 compared to 3.29 in the fiscal year 2009
› Balanced maturity profile of outstanding bonds Comfortable › Untapped and flexible financing sources: new syndicated loan in Q1 2011 financing situation › Comfortable liquidity position
› Dividend payment depends on operating results and financial situation, Shareholder payout ratio of around 40% to 60% of adjusted group net profit Commitment › Capital measures are under consideration 16 1 Dynamic leverage ratio = adjusted net debt / adjusted EBITDA Investor Update September 2011
The challenging environment is reflected in the latest rating reviews
EnBW is committed to maintain an A rating:
› A-/negative (31 March 2011) › Improved financial key figures in 2010, improvement of the key ratio FFO/net debt from 19.2% to 25.2% (clearly above the 20% guidance) › Political debate shows increased risks for nuclear power plant operators › Pressure on key figures in the short and medium term
› A2/under review for downgrade (2 August 2011) › Good performance in 2010, but earnings pressure from 2011 by the combination of the German nuclear fuel tax, lower achieved electricity prices and the recently announced planned permanent closure of operations at the Group's GKN I and KKP 1 nuclear power plants › “under review” due to perceived execution risk
› A-/stable (3 June 2011) › Solid financial performance in 2010 › Closure of nuclear power plants, lower energy prices, weaker expected performance of the regulated segment in FY11 and the weakness of the gas market will affect cash flows
17 Investor Update September 2011
Appendix
› Supporting information on EnBW › Half-year result 2011 - Investor presentation
18 Investor Update September 2011
Baden-Württemberg: one of Europe‘s wealthiest regions
GDP in € billions
Exports to foreign countries: 154 € bn Netherlands 572 › Baden-Württemberg 344 › No. 1 exporter of all federal states: 16% of German exports Belgium 339 Sweden 291 › > 4% Investment in R&D in % of GDP (#1 in GER) Austria 274 › High share of manufacturing to gross valued added (27%)
Home to many German Blue-chips Backbone: German “Mittelstand”
Daimler, Porsche › 50% of local GDP is generated by SME Bosch, ZF Friedrichshafen › 66% of BW’s workforce is employed in medium- HeidelbergCement sized enterprises SAP Zeiss, Würth
19 Source Baden Wuerttemberg Statistisches Landesamt, Wirtschaftsministerium Investor Update September 2011
Change in shareholder structure (as of 13 April 2011)
OEW Energie-Beteiligungs GmbH 46.55 % NECKARPRI-Beteiligungsgesellschaft mbH1 46.55 %
Badische Energieaktionärs-Vereinigung 2.45 % Gemeindeelektrizitätsverband Schwarzwald-Donau 0.95 % Neckar-Elektrizitätsverband 0.69 % Landeselektrizitätsverband Württemberg 0.11 %
EnBW 2.30 % Free float 0.40 %
› On 17 February 2011, via its subsidiary NECKARPRI GmbH the federal state of Baden- Württemberg acquired the 45.01% shareholding in EnBW held by EDF at a price of € 41.50 per share › The voluntary public offer of NECKARPRI GmbH to the shareholders of EnBW also at a price of € 41.50 per share, ended on 6 April 2011
20 1 100% subsidiary of NECKARPRI GmbH which is a 100% subsidiary of the federal state of Baden-Württemberg Investor Update September 2011
EnBW’s business model:Managing and optimising the integrated value chain
Generation Portfolio Wholesale Sales Portfolio Fuels Market Sales & CO2 Hedge for Electricity Optimisation Pricing Dispatch “Back-to-Back”
“Standard” integrated utility approach Advantages: › Reduction of P&L volatility (hedging & wholesale-based pricing) › Ability to generate value from the flexibility of EnBW’s assets › Ability to back growth in EnBW’s customer base
21 Investor Update September 2011
EnBW’s power plants in Germany and Baden-Württemberg
Onshore wind farm
Conventional power station operated by EnBW Nuclear power plant operated by EnBW Conventional power station (investments, purchase or supply agreements) Nuclear power plant (investments, purchase or supply agreements) Hydro-electric power station operated by EnBW Hydro-electric power station (investments, purchase or supply agreements ) Regional centre and sales office Sales office Regional centre 22 Investor Update September 2011
Expansion renewables: EnBW onshore project portfolio
in operation/ready for operation • Currently 72 wind power units with 114 MW are in at the planning Neuen- Oldendorf operation or ready for walde stage/construction Schwienau Göricke operation Buchholz preparation Leddin Elze Schulenburg Alt Zeschdorf • To date, six wind turbines Freidorf Düsedau with 15 MW have been set Kemberg up or acquired since the start of the year 2011 Marienhausen Eppenrod • Further additions to the portfolio are being Eisenach reviewed/negotiated Haupersweiler Böhmenkirch Gussenstadt • The first internally Westerheim/Heroldstadt Oberreichenbach developed projects are Schnitt- Berghülen Grömbach lingen ready for construction in Schopfloch 2011
23 Note: Investments included on a proportionate basis Investor Update September 2011
Expansion renewables: EnBW offshore projects - step by step approach
Project Location Wind Turbines Elect. production
GWh (MWel) › 21 in operation › EnBW Baltic 1 › Baltic Sea › 193 (48,3) › EnBW Baltic 2 › 80 ordered › 1.200 (288)
› 80 tendered › EnBW Hohe See › North Sea ›4.600 (~1.200) › EnBW He Dreiht › 119 planned planned Schweden
Baltic 2 EnBW Hohe See Construction Begin 2013 Dänemark Dänemark Completion 2014
Flensburg
Schleswig
Kiel Stralsund
Rostock Greifswald
EnBW He Dreiht Cuxhaven Wismar Lübeck Baltic 1 Start of Operation 2011 Bremerhaven 24 Hamburg Niederlande Investor Update September 2011
Solid development and financial flexibility secured via sharpened business model and financial strength
EnBW long-term investment case
› EnBW adjusts to difficult Strong position in Baden- › political environment for Württemberg with prospect for utilities by › EnBW pursues sound financial growth in the core market developing its business profile forcefully by Germany and selective › model further maintaining markets abroad adjusting its investment › A category rating › Further expansion of › programme renewable energies in the › Flexible dividend policy future › further enhancing cost awareness
25 Investor Update September 2011
Appendix
› Supporting information on EnBW › Half-year result 2011 - Investor presentation
26 Investor Update September 2011
EnBW Energie Baden-Württemberg AG Conference call First six months of fiscal year 2011
Thomas Kusterer Chief Financial Officer Ingo Peter Voigt Senior Vice President, Head of Finance/Investor Relations
Karlsruhe Energie 29 July 2011 braucht Impulse Investor Update September 2011
Agenda
› New German energy strategy › Performance H1 2011 › Outlook 2011 › Current Ratings › Action taken › Financial calendar 2011 and 2012 › IR contact
28 Investor Update September 2011
New energy strategy in Germany is a watershed for German nuclear operators…
› Accelerated exit of the nuclear energy programme as of 2022 New energy strategy › Nuclear fuel tax maintained despite abandonment of lifetime extension of German › Focus on expansion of renewables and energy efficiency government* › Expansion of electricity network
› Permanent shutdown of GKN I (840 MW) and KKP 1 (926 MW) › Abandonment of lifetime extension for remaining nuclear power stations GKN II Implications for (1,400 MW until 2022) and KKP 2 (1,468 MW until 2019) EnBW › Decision to bring an action against nuclear fuel rod tax assessment for KKP 2 (15 July 2011)
› Further expansion of renewables and CO2-low generation
› Intensified and accelerated expansion of renewable energies / feed-in tariffs under Opportunities the Renewable Energy Act (EEG) arising › Increasing acceptance for related infrastructure measures (grids, storage facilities) › Decrease in nuclear production capacity may lead to rising wholesale prices
29 * Decision of German Federal Parliament as of 30 June 2011; Approval of Federal Counsil of Germany as of 8 July 2011; subject to the approval of the Federal President of Germany Investor Update September 2011
… with a strong negative impact on EnBW’s performance in H1 2011
External › German GDP grew by 3.4 % in Q2 2011 compared to the prior year1 environment › Electricity consumption in Germany increased by 1.1 % in the first four H1 2011 vs. months of 20112 H1 2010 › Due to German government decision 100% shift in nuclear politics
› Full consolidation of PRE Positive › Commissioning of offshore windfarm Baltic 1 and hydroelectric power performance plant Rheinfelden drivers
Negative › Three-month and permanent shutdown of GKN I and KKP 1 and abandonment of life-time expansion due to atomic law amendment performance › Nuclear fuel tax for KKP 2 drivers
30 1 Estimations DIW 2 Source: BDEW Investor Update September 2011
Stable electricity sales – Lower sales in gas segment mainly due to GESO
In billions of kWh H1 2011 H1 2010 Variance
Electricity sales 76.2 74.4 2.4% Retail customers 10.0 10.9 -8.3% Industry and redistributors 25.1 24.0 4.6% Trading 41.1 39.5 4.1%
Gas sales 31.5 32.5 -3.1% Retail customers 4.9 7.8 -37.2% Industry and redistributors 25.6 24.7 3.6% Trading 1.0 0.0 -
› Electricity segments: › Rising unit sales in the industry/redistributors and trading division › Decrease in unit sales to retail customers due to fiercer competition and milder winter › Gas segment: › Stable development in industry and redistributors segment › Decrease in unit sales with retail customers 31 mainly due to deconsolidation of GESO (about 40%) and milder winter Investor Update September 2011
Revenue growth driven by volume and price effects …
Revenue in € millions +5.1% +458.4
8,951.4 9,409.8
Electricity 7,985.0 7,532.8 +6.0% Gas
Services
1,076.2 -0.9% 1,066.6 342.4 +4.6% 358.2
Jan.-Jun. 2010 Jan.-Jun. 2011
32 Investor Update September 2011
… but this positive development has been overcompensated by effects from Moratorium and modification of Atomic Energy Act
Adjusted EBIT in € millions -24.2% -280.5
1,158.6
878.1 thereof electricity
1,072.6 -21.8% thereof gas 839.2 thereof services
106.1 -56.5% 46.2 58.6 69.9 +19.3% Jan.-Jun. 2010 Jan.-Jun. 2011
33 Investor Update September 2011
Strong negative impact on non-operating result due to expenses relating to nuclear power and a negative investment result
1/1– 1/1– Non-operating result of the EnBW group in € millions 30/06/2011 30/6/2010 Income/Expenses relating to nuclear power -559.6 -9.8 Income from the reversal of other provisions 58.7 33.9 Gains on sale 19.7 192.6 Other non-operating result -81.1 64.4 Non-operating EBITDA -562.3 281.1 Impairment losses -43.8 -12.0 Non-operating EBIT -606.1 269.1 Non-operating investment result -614.9 -2.5 Non-operating financial result -7.8 -53.9 Non-operating income taxes 185.8 -7.8 Non-operating group net loss/profit -1,043.0 204.9 of which loss/profit shares attributable to non-controlling interests (5.5) (2.4) of which loss/profit shares attributable to the equity holders of EnBW AG (-1,048.5) (202.5)
› Non-operating EBIT: › Positive development in H1 2010 due to sale of GESO and compensation claim relating to premature termination of long-term electricity supply agreement › High extraordinary expenses relating to nuclear power in H1 2011 (final shutdown of GKN I and KKP 1, suspension of extension of liftetime of nuclear power plants) leading to higher decommissioning provisions and write-off of nuclear fuel rods › Non-operating investment result: › EWE: € -370m mainly caused by impairment losses due to higher interest rate and changed economic environment EVN: Adjustment of book value by € -245m to current market level 34 › Investor Update September 2011
Adjusted group net profit decreased mainly due to lower adjusted EBIT
Adjusted group net profit in € millions*
-34.1%
696.5
-237.8 458.7
Jan.-Jun. 2010 Jan.-Jun. 2011
35 * In relation to profit shares attributable to the equity holders of EnBW AG Investor Update September 2011
Operating cash flow decreased mainly due to lower EBITDA and higher assets and liabilities from operating activities – mitigation from taxes paid
€ millions Jan.-Jun. 2010 Jan.-Jun. 2011
- 60.2% 1,873.2
- 28.5%
75.5 -438.2 1,301.0 450.3
Other 96.6 930.5
746.3 Assets and Taxes paid Non-current liabilities from provisions operating activities
EBITDA Operating cash flow
36 Investor Update September 2011
Free cash flow decreased due to lower operating cash flow – EnBW consequently pursues capex reduction
€ millions Jan.-Jun. 2010 Jan.-Jun. 2011
- 28.5% 1,301.0
930.5 -464.6 - 33.8%
751.9
31.6 497.5
Capital expenditures1 Other2
Operating cash flow Free cash flow
37 1 For intangible assets and property, plant and equipment 2 Cash received from disposals of intangible assets and property, plant and equipment as well as cash received from construction cost and investment subsidies Investor Update September 2011
Adjusted net debt increased due to nuclear provisions
€ millions
+ 6.6%
557.7 8,680.1 8,139.8 -930.5 327.1 25.5 127.5 433.0
Operating Capital Dividends Acquisitions + Securities Non-cash cash flow expenditures* and divestitures changes in payment interest mark-to- effects market (addition valuation of accrued interest, provisions, …)
Adjusted net debt Adjusted net debt Dec. 2010 Jun. 2011 * For intangible assets and property, plant and equipment (net); also include cash received from disposals of intangible assets 38 and property, plant and equipment as well as cash received from construction cost and investment subsidies Investor Update September 2011
The change-over in energy politics leads to a more severe reduction of adjusted EBIT on group level
EnBW Current outlook 2011 Outlook 2011 Outlook 2011 Interim report Q2 2011 Interim report Q1 2011 Annual report 2010
Adjusted EBIT electricity generat. & trading significantly falling significantly falling falling
Adjusted EBIT electricity grid and sales significantly falling significantly falling significantly falling
Adjusted EBIT gas falling falling falling
Adjusted EBIT energy & environm. services stable falling falling
Adjusted EBIT on group level - 20 % to - 25 % - 15 % to - 25 % - 10 % to - 15 %
39 Investor Update September 2011
The challenging environment is reflected in the latest rating reviews
Moody’s and S&P confirm A ratings; Fitch lowers EnBW’s rating to A-:
› A-/negative (31 March 2011) › Improved financial key figures in 2010, improvement of the key figure FFO/net debt from 19.2% to 25.2% (clearly above the 20% guidance) › Political debate shows increased risks for nuclear power plant operators › Pressure on key figures in the short and medium term
› A2/negative (4 June 2011) › Good performance in 2010, comfortably in line with guidance for the A2 rating › Earnings pressure from 2011 by the combination of the German nuclear fuel tax, lower achieved electricity prices and the recently announced planned permanent closure of operations at the Group's GKN I and KKP 1 nuclear power plants
› A-/stable (4 June 2011) › Solid financial performance in 2010 › Closure of NPPs (nuclear power plants), lower energy prices, weaker expected performance of the regulated segment in FY11 and the weakness of the gas market will affect cash flows
40 Investor Update September 2011
EnBW is taking further action to steady the course and safeguard future growth
› Clear strategic focusing Clear › Sharpening the focus of EnBW’s business model strategy › Intensified and accelerated expansion of renewables
Adjustment › Reduction of net investment volume of investment/ › Base investments on strict financial criteria divestiture › Consequent implementation of EnBW’s divestiture programme programme › Further divestments under scrutiny
Strict › Further increase of existing efficiency programme “Fokus” is planned efficiency › Present target of total volume of € 300 million p.a. as of 2013 will be programme significantly exceeded
41 Investor Update September 2011
Financial calendar 2011 and 2012
› 11 November 2011 › 8 May 2012 Interim report: January–September 2011 Interim report: January–March 2012 Conference time: 15:00 CET Conference time: 15:00 CET
› 7 March 2012 › 27 July 2012 Annual report for fiscal year 2011 Interim report: –June 2012 Conference time: 15:00 CET Conference time: 15:00 CET
› 26 April 2012 › 9 November 2012 Annual General Meeting 2012 Interim report: January–September 2012 Live video webcast time: 10:00 CET Conference time: 15:00 CET
42 Investor Update September 2011
EnBW IR contacts
Ingo Peter Voigt T +49 721-6314375 Head of [email protected] Finance / Investor Relations
Julia v. Wietersheim T +49 721-6312060 Senior Manager [email protected] Investor Relations
Stefanie Hagenmeyer T +49 721-6312697 Senior Manager [email protected] Investor Relations
43