“RWE scraps 2016 dividend after another multi-billion writedown”
Germany’s biggest power producer RWE won’t pay a dividend for a second consecutive year after writing off billions because of sliding electricity prices, report Lars Paulsson and Tino Andresen for Bloomberg. The Essen-based utility booked impairments of 4.3 billion euros attributed to its power plants in Germany, U.K., the Netherlands and Turkey, RWE said in a statement. “The root of the problem for RWE and the rest of Germany’s biggest utilities lies in the nation’s unprecedented shift to renewable energy that created a glut and squeezed earnings from traditional electricity sources from coal to lignite and nuclear,” write the authors.
Read the article in English here.