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Investors cheer plan for Germany's RWE to sell oil unit to Russian-linked investment group

BERLIN - Shares in German energy company RWE AG are rising after it announced plans to sell its oil RWE said Sunday it plans to sell its RWE Dea unit to LetterOne Group, an international investment arm of Mikhail Fridman's Alfa Group. The deal values the business at about 5.1 billion euros ($7.1 billion); the two sides have yet to conclude a sale agreement, which would require approval by several countries' authorities. The news comes amid tensions between the European Union and Russia over Ukraine.

Germany's RWE to sell oil, gas unit RWE Dea to LetterOne Group, division valued at $7.1B

BERLIN - Germany energy company RWE AG says it plans to sell its oil and gas exploration and production division to LetterOne Group in a deal valuing the business at about 5.1 billion euros ($7.1 billion). RWE announced last year it had decided to abandon crude oil and natural gas production and was considering options for selling the RWE Dea AG unit. It said then the move would remove pressure on future capital spending and improve its financial situation.

Germany's RWE to sell oil, gas unit RWE Dea to LetterOne Group, division valued at $7.1B

BERLIN - Germany energy company RWE AG says it plans to sell its oil and gas exploration and production division to LetterOne Group in a deal valuing the business at about 5.1 billion euros ($7.1 billion). RWE announced last year it had decided to abandon crude oil and natural gas production and was considering options for selling the RWE Dea AG unit. It said then the move would remove pressure on future capital spending and improve its financial situation.

RWE posts first full-year loss in 60 years in 2013

RWE, Germany's second-biggest power supplier, unveiled Tuesday its first full-year loss in more than 60 years last year as it grapples with the crisis in conventional electricity generation. And RWE warned its earnings would deteriorate further this year. The power giant said in a statement that writedowns on its conventional power plants pushed it into net loss of 2.757 billion euros ($3.8 billion) in 2013. Underlying or operating profit fell by 8.3 percent to 5.881 billion euros while revenues edged up 1.6 percent to 54.07 billion euros.

RWE posts first full-year loss in 60 years in 2013

RWE, Germany's second-biggest power supplier, unveiled Tuesday its first full-year loss in more than 60 years last year as it grapples with the crisis in conventional electricity generation. And RWE warned its earnings would deteriorate further this year. The power giant said in a statement that writedowns on its conventional power plants pushed it into net loss of 2.757 billion euros ($3.8 billion) in 2013. Underlying or operating profit fell by 8.3 percent to 5.881 billion euros while revenues edged up 1.6 percent to 54.07 billion euros.

RWE board agrees to pay cut of half a million euros

The management board of German energy giant RWE has agreed to a total pay cut of 500,000 euros ($688,000) this year because the business is in difficulties, the company said on Tuesday. "The company is in a very difficult situation. It goes without saying that we wish to make our contribution too," said chief executive Peter Terium. He and the other three executive board members would together forego a total of 500,000 euros.

RWE takes 3.3-bn euro hit on 2013 earnings

RWE, Germany's second-biggest power supplier, said on Tuesday it will make additional writedowns of 3.3 billion euros ($4.5 billion) on its 2013 earnings. RWE said in a statement that it "has recognised an additional impairment of about 3.3 billion euros." The writedowns included about 2.9 billion euros in the conventional power generation division and were due to "the significant deterioration in earnings in the continental European power plant sector." On top of this, there was also a need for impairment in the renewables division and other shareholdings.

RWE takes 3.3-bn euro hit on 2013 earnings

RWE, Germany's second-biggest power supplier, said on Tuesday it will make additional writedowns of 3.3 billion euros ($4.5 billion) on its 2013 earnings. RWE said in a statement that it "has recognised an additional impairment of about 3.3 billion euros." The writedowns included about 2.9 billion euros in the conventional power generation division and were due to "the significant deterioration in earnings in the continental European power plant sector." On top of this, there was also a need for impairment in the renewables division and other shareholdings.

Top German court throws out suit over giant coal mine

Germany's highest court threw out Tuesday a lawsuit against plans for an enormous open-cast coal mine for which entire villages will have to be uprooted. The Constitutional Court threw out a suit by one resident who had argued that the Garzweiler II mine near the town of Moenchengladbach in North Rhine-Westphalia is not indispensable for Germany's power supply. The Garzweiler II mine is to measure a staggering 48 square kilometres (19 square miles), slightly smaller than the area of Manhattan.

Energy supplier npower to cut 1,400 UK jobs: source

(Reuters) - Npower, the UK arm of Germany utility RWE <RWEG.DE>, is expected on Thursday to announce it is moving 1,000 back-office jobs to India from Britain and axing another 400 in the UK, a source familiar with the matter said. The source said that npower will also outsource 550 jobs to another company within the UK. RWE recently said it planned to cut 6,750 jobs across Europe during 2014 to 2016 to fight a deep crisis in Europe's energy industry.
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