VERBUND: Statement regarding current reports concerning VERBUND’s interest in Turkey

VERBUND, Austria's leading electricity company and one of the leading producers of electricity from hydropower in Europe, has in the past years established a diversified portfolio of shareholdings in Austria and abroad and has been evaluating measures to improve this portfolio on an on-going basis. In the framework of such improvement measures VERBUND is in discussion with an open outcome with other market participants, amongst others, in relation to VERBUND’s interest in Turkey.

Subject matter of such discussions is the assessment of several options which range from a disposal of a shareholding to an acquisition of further shareholdings or the further development of an existing shareholding. An assessment of these options will be made according to strategic and economic criteria. As in past instances VERBUND will inform the public accordingly should an option become more specific.

VERBUND pursues the strategy to strengthen its position as leading producer of electricity from hydropower in Europe. The production portfolio is supplemented by wind power and existing thermal plants. Minority shareholdings are tested in relation to their strategic fit. Most important markets are Austria and Germany, with the countries situated between Austria and Turkey offering growth opportunities.

Adjustments of the shareholding portfolio which have already occurred are the exit from the retail business in France and the disposal of minority interests in non-strategic shareholdings, such as the Kaprun glacier cable car and the local service provider Energie Klagenfurt.