The Board of Management also informed us regularly and in
detail about ongoing antitrust proceedings in the electricity
and gas sectors. In particular, we discussed the European
Commission's investigation of E.ON Ruhrgas on allegations
of a market-sharing agreement with Gaz de France and the
related fine proceedings as well as the investigation of E.ON
Ruhrgas in conjunction with network usage and the agree-
ment reached with the European Commission.
Financial Situation and Medium-Term Plan
We discussed in detail the financial situation of the major
Group companies in relation to developments in European
and global energy markets, about which the Board of Manage-
ment continually informed us. We also discussed thoroughly
the E.ON Group's medium-term plan for the period 20102012,
including the investment program, its financing, and Group-
wide human resources. In this context, the Board of Manage-
ment explained the analyses regarding the enhancement
of the Group's performance as well as structural measures.
Furthermore, the Board of Management informed us about
the scope of E.ON's use of derivative financial instruments.
The global financial and economic crisis, which also affected
the energy industry and thus the E.ON Group, continued to
be a key topic of our discussions. The Board of Management
informed us in detail about the effects of the crisis on E.ON's
financial situation and the various necessary measures
(including adjustments to investment plans) to maintain the
Group's ability to act in the near term and discussed these
measures with us.
Energy Policy and Regulatory Environment and
Proceedings
The Board of Management informed us about developments
in the policy and regulatory environment of the electricity
and gas industries. In this context, we dealt extensively with
the relevant legislative and regulatory processes and their
effects on our markets and the E.ON Group. Key topics were
the current state of negotiations on the European Commis-
sion's third package of internal energy market legislation
(including proposals for unbundling network operations) as
well as the incentive regulation scheme that took effect in
Germany in January 2009 and the resulting consents process
for network charges conducted by the German Federal Net-
work Agency. We also discussed the legal disputes relating to
the construction of a coal-fired generating unit in Datteln
and the overall investment conditions for the construction of
new power plants in Germany.
In addition, the Board of Management provided detailed
reports about the gas dispute between Russia and Ukraine in
early 2009 and the resulting curtailment of natural gas deliv-
eries from Russia and about energy-policy developments in
Sweden regarding the construction of nuclear power stations.
The E.ON Group's agreement to the European Commission's
commitment decision on the divestment of generating capac-
ity and the ultrahigh-voltage transmission system was
again a focus of our discussions in 2009. The Board of Man-
agement reported to us regularly and comprehensively about
the process of divesting about 5,000 megawatts of generat-
ing capacity in Germany and E.ON's ultrahigh-voltage trans-
mission system. By the end of the financial year, the commit-
ment decision was almost completely implemented.
157Combined Group Management Report
Consolidated Financial Statements
Corporate Governance Report
Supervisory Board and Board of Management
Tables and Explanations