Vattenfall’s AGM highlighted the customer

The electricity market and the customers took centre stage at Vattenfall’s Annual General Meeting on Thursday. As was the case last year, the AGM was open to the public.

“The company’s greatest responsibility lies in running the operations professionally and profitably so that it can work in a long-term and sustainable way to offer good products and services to its customers, create attractive working conditions and contribute to sustainable development,” said the Chairman of the Board, Dag Klackenberg. The President and CEO, Lars G Josefsson, noted that 2005 was yet another record year in Vattenfall’s history and that 2006 has also begun well. He revealed that Vattenfall now intends to make a major effort to achieve a greater market share by increasing the number of customers. “At present, we have over 600 000 private customers in Sweden, which is a market share of 13 per cent. Our objective is to at least double this share by continuing to pursue our efforts to become the customers’ first choice. We will build long-term customer relations and offer the customers the best possible conditions,” he said. The owner was represented at the AGM by Sven-Eric Söder, State Secretary at the Ministry of Industry, Employment and Communications. Vattenfall AB’s financial targets were set as follows: a return on average equity of 15 per cent, a cash flow interest coverage ratio after maintenance investments of between 3.5 and 4.5 and a credit rating in the “Single A” category. The following wording was adopted for Vattenfall AB’s dividend policy: “In the long term, the dividend shall amount to 40-60 per cent of the profit for the year (after tax). However, the annual decisions on the dividend shall take into account the company’s strategy, the company’s financial position and other financial targets.” Dag Klackenberg (Chairman), Christer Bådholm, Peter Lindell, Maarit Aarni, Lone Fønss Schrøder, Anders Sundström and Hans-Olov Olsson were re-elected as Members of the Board. Director Greta Fossum from Stockholm, who is in charge of research policy issues at the Swedish Forest Industries Federation, was elected as a new Member of the Board. In accordance with the State’s ownership policy, Lars G Josefsson, the President and CEO, is not a Member of the Board. Other regular Members of the Board are the personnel representatives Ronny Ekwall of SEKO (The Union of Service and Communication Employees), Carl-Gustaf Angelin of CF (The Swedish Association of Graduate Engineers) and Johnny Bernhardsson of SIF (The Swedish Union of Clerical and Technical Employees in Industry), while Lars Carlsson of SIF, Stig Lindberg of Ledarna (The Swedish Association for Managerial and Professional Staff) and Per-Ove Lööv of SEKO are Deputy Members. The AGM exonerated the Members of the Board and the CEO from liability, adopted the annual accounts and the balance sheet for Vattenfall AB and the Vattenfall Group and decided on the distribution of profits. Of the profits of SEK 16 080 834 124 at the disposal of the AGM, it was decided to pay a dividend of SEK 5 800 000 000 to the shareholder and to carry forward SEK 10 280 834 124. For further information, please contact: Knut Leman, Senior Vice President Communications Vattenfall AB, phone +46 (8) 739 50 31. Martin May, Head of Group Media Relations Vattenfall AB, phone +46 (8) 739 52 70, 070-539 52 70. From Vattenfall’s Press Office, phone +46 (8) 739 50 10.