Notes on reporting

Changes in reporting

As announced in our report for the first quarter, we reorganised the RWE Group comprehensively. This results in a new segment structure for the financial statements for fiscal 2009 (see Outlook). Our reporting for the first three quarters was still not affected by this, since we ran the company based on the old segment structure during that period. Irrespective of this, there have been some changes in reporting compared to 2008, which we have illustrated below. To ensure comparability between current and prior-year figures, we adjusted the latter accordingly:

  • RWE Innogy, which we established as of February 1, 2008, and in which we pooled our activities in the field of renewable energy, is presented as a separate division from 2009 onwards. The company was previously included in “Other, consolidation” at the Group level.
  • As of July 1, we spun RWE Transportnetz Strom GmbH, which has been operating as “Amprion GmbH” since September 1, out of RWE Energy and assigned it directly to RWE AG. We are including the company under “Other, consolidation” at the Group level.

  • RWE Key Account GmbH, which used to serve our large German industrial and corporate customers as part of the RWE Energy Division, has been folded into RWE Supply & Trading GmbH. This has also been considered in the reporting structure retrospectively.

  • Another adjustment relates to the calculation of EBITDA (earnings before interest, taxes, depreciation and amortisation). This figure now also includes operating income from investments. We have therefore brought the calculation of EBITDA in line with that of the operating result. Income from investments is expected to increase in the next few years and therefore gain significance. This will be a consequence of RWE Innogy’s expansion programme, among other things.

RWE balance sheet reflects Essent acquisition

As stated in Major events in the period under review, we completed the acquisition of Essent on September 30. The Dutch energy utility’s opening balance sheet and our payment of the purchase price have been taken into account in these interim financial statements. Among other things, this led to the significant rise in the RWE Group’s net debt. Essent’s revenue and operating result will be included in Group figures from the fourth quarter onwards.

American Water still recognised as a “discontinued operation”

We have again classified American Water (“Water Division”) as a “discontinued operation” this financial year. We reduced our shareholding in the US water utility to under 50 % in June and deconsolidated it. We state our remaining shares as “assets held for sale.” We intend to sell American Water entirely.