17Combined Group Management Report Consolidated Financial Statements Corporate Governance Report Supervisory Board and Board of Management Tables and Explanations The increase in Central Europe's gas sales volume is mainly attributable to the inclusion, effective January 1, 2009, of com- panies in Romania that were formerly consolidated at Pan- European Gas and to the inclusion of operations in France. E.ON Ruhrgas sold about 609 billion kWh of natural gas in 2009, 78 billion kWh, or about 11 percent, less than the prior-year figure of 687 billion kWh. More than one third of the volume decline resulted from the transfer of supply contracts within the Group and from the curtailment of short-term trading due to unfavorable conditions. Another negative factor was a recession-driven decline in production at industrial facilities in and outside Germany which E.ON Ruhrgas supplies directly or indirectly through regional gas companies and municipal utilities. Significantly keener competition was also responsible for part of the decline in sales volume. Sales in the fourth quarter of 2009 were about 3 billion kWh, or 2 percent, lower than in the prior-year quarter; the competition-driven decline in sales to regional gas companies and municipal utilities was partially offset by higher sales to industrial customers and customers outside Germany. For the year as a whole, about 61 percent of total gas sales went to regional gas companies and municipal utilities, 15 percent to directly supplied indus- trial customers, and 24 percent to customers outside Germany. The transfer of operations in Romania to the Central Europe market unit was the main reason why Pan-European Gas's majority-owned shareholdings recorded lower gas sales vol- ume than in the prior year. U.K. sold less gas to residential and SME customers mainly due to changes in customer behavior, energy-efficiency savings, and the recession. The overall weather effect in both years is similar. Gas sales to I&C customers decreased significantly as a result of the continuing economic slowdown. Following the transfer of gas contracts to Energy Trading during 2008, gas sales to Energy Trading in 2009 are zero. Nordic's gas sales were 10 percent below the prior-year figure. The main factors were the economic downturn and keener competition. Heat sales of 7.9 billion kWh were up 4 percent from the prior-year figure of 7.6 billion kWh, mainly due to colder weather. U.S. Midwest's gas sales decreased as a result of the economic downturn and milder weather. In the New Markets segment, Italy sold a total of 25.7 bil- lion kWh of natural gas (prior year: 32.6 billion kWh): 10.3 bil- lion kWh to residential customers and SME, 7.4 billion kWh to I&C customers, 2.4 billion kWh to sales partners, 4.3 billion kWh to the wholesale market, and 1.3 billion kWh to E.ON Energy Trading S.p.A. Gas sales volume declined due to the transfer of certain activities from E.ON Energy Trading S.p.A. to the Energy Trading market unit. Gas Sales (Excluding Pan-European Gas)1 Billion kWh Central Europe U.K. Nordic U.S. Midwest Energy Trading New Markets Consolidation E.ON Group 2009 2008 2009 2008 2009 2008 2009 2008 2009 2008 2009 2008 2009 2008 2009 2008 Residential and SME 58.1 45.7 52.8 54.7 0.2 0.2 5.9 6.4 ­ ­ 10.3 7.6 ­ ­ 127.3 114.6 I&C 60.1 56.8 18.5 21.4 4.0 4.9 3.4 3.8 ­ ­ 7.4 16.3 ­ ­ 93.4 103.2 Sales partners 22.9 23.8 ­ ­ ­ ­ 3.2 3.4 ­ ­ 2.4 4.5 ­ ­ 28.5 31.7 Wholesale market/ Energy Trading 5.0 3.9 ­ 34.6 0.4 ­ 0.1 0.3 753.8 493.6 5.6 4.2 -318.7 -232.2 446.2 304.4 Total 146.1 130.2 71.3 110.7 4.6 5.1 12.6 13.9 753.8 493.6 25.7 32.6 -318.7 -232.2 695.4 553.9 1In 2009, we deployed a new IT system across our company for gathering energy-related data and also modified our classification methods. We adjusted the prior-year figure for U.K. (112.4 billion kWh) accordingly.
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