Majority of Uniper’s 2019 impairments will not affect Fortum’s share of profits
FORTUM CORPORATION STOCK EXCHANGE RELEASE 12 MARCH 2020 AT 16.45 EET
Release category: Other information disclosed according to the rules of the exchange
Uniper has recorded impairments of EUR 1,048 million in its financial statements 2019. In its first-quarter 2020 results, Fortum expects to record a reversal of approximately EUR 315 million after tax related to the negative impact of Uniper’s impairments. As a result of this Fortum expects its first-quarter 2020 share of profits from Uniper’s results to be approximately EUR 90 million.
In the purchase price allocation of the acquisition of 49.99% of the shares in Uniper, Fortum recorded a fair value adjustment of EUR 613 million after tax, relating to political and regulatory risks of certain generation and production assets of Uniper. If Uniper reports negative impacts relating to these generation and production assets, Fortum assesses the potential need to use this fair value adjustment to reverse these negative impacts. Fortum has assessed and concluded to use the fair value adjustment to reverse a majority of this negative impact from the impairments recorded by Uniper.
Ingela Ulfves, VP, IR and Financial Communications
Ingela Ulfves, VP, IR and Financial Communications, tel. +358 40 5151 531
Måns Holmberg, IR Manager, IR and Financial Communications, tel. +358 44 518 1518
Fortum is a leading clean-energy company that provides its customers with electricity, heating and cooling as well as smart solutions to improve resource efficiency. We want to engage our customers and society to join the change for a cleaner world. We employ more than 8,000 professionals in the Nordic and Baltic countries, Russia, Poland and India. In 2019, our sales were EUR 5.4 billion and 59% of our electricity generation was CO2 free. Fortum's share is listed on Nasdaq Helsinki. www.fortum.com