RWE AG — Capital/Financing Update 2003

Nov 12, 2003

News Details

Ad-hoc | 12 November 2003 14:57

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RWE Reaches Agreement with RWE Gas Municipal Shareholders Ad-hoc-announcement transmitted by DGAP. The issuer is solely responsible for the content of this announcement. ——————————————————————————– RWE Reaches Agreement with RWE Gas Municipal Shareholders Essen, 12 November 2003 RWE AG in Essen and the Dortmund-based RWE Gas AGs municipal shareholders today reached an agreement to fully integrate RWE Gas into the Groups new structure. RWE Gas will as originally envisioned be merged into RWE Energy in Dortmund. Thus, entrepreneurial responsibility for the Groups Continental-European gas sales and network activities lies solely with RWE Energy. The municipal shareholders will receive a one-off payment of Euro 100 million, and, for the fiscal years 2004 through 2008, an annual guaranteed dividend of Euro 48 million. They will have a 20.03-percent stake in the newly established RWE Westfallen-Weser-Ems AG. With the transfer of the RWE Gas assets, RWE Energy assumes full entrepreneurial control. In 2009 the RWE Gas municipal shareholders will sell their full stake to RWE Energy AG for Euro 800 million. This agreement is subject to the approval of the appropriate supervisory bodies on the parts of both negotiation partners. The transaction has a total cash value of Euro 900 million. The agreement with the RWE Gas municipal shareholders also enables RWE to realize all of the Euro 300 million p.a. in synergies associated with the Groups new structure. end of ad-hoc-announcement (c)DGAP 12.11.2003 ——————————————————————————– WKN: 703712; ISIN: DE0007037129; Index: DAX, EURO STOXX 50 Listed: Amtlicher Markt in Düsseldorf und Frankfurt (Prime Standard); Freiverkehr in Berlin-Bremen, Hamburg, Hannover, München und Stuttgart; EUREX; Swiss Exchange 121457 Nov 03