Subscribe to our free daily newsletters
  Energy News  

Subscribe to our free daily newsletters

Fifth year of losses for Areva on Finnish provisions
by Staff Writers
Paris (AFP) Feb 26, 2016

France's struggling nuclear giant Areva saw its share price plunge in Paris on Friday after posting a fifth straight year of losses on new provisions to pay for a spat over an atomic plant in Finland and a major asset writedown.

Majority state-owned Areva posted a net loss for 2015 2 billion euros ($2.2 billion), having delayed the earnings report by a day to finalise Thursday a 1.1 billion euro bridging loan from six banks.

Share in the group were down 9 percent mid-morning at 3.35 euros in a Paris market moving ahead overall 2.05 percent.

"As expected, the operational result and the net result have been heavily impacted by new depreciations and provisions," one Parisian broker noted.

The group said it had made "significant progress" regarding talks with Finnish customer Teollisuuden Voima (TVO) regarding an arbitration suit on cost overruns and delays to the Olkiluoto OL3 reactor Areva is building.

"If this deal is finalised, the OL3 contract will be transferred from Areva NP to Areva SA within the framework of a restructuring of the French nuclear offshoot," Areva said.

An accord with the Finns would allow French electricity giant EDF, which is seeking to acquire a majority stake in Areva's reactor unit, to avoid exposure to the financial risk associated with the OL3 project.

Falling demand for nuclear power since the 2011 Fukushima disaster in Japan has hit Areva's business.

The overall 2015 loss outstripped analysts' forecasts but was smaller than its 4.8 billion euro loss in 2014.

"The 2015 results illustrate the progress we have made this year and open up favorable prospects for 2016 and the following years in view of our fundamentals," CEO Philippe Knoche said in a statement, acknowledging "a market environment that remained difficult in 2015."

Knoche said 2016 liquidity was funded and added: "Half of this loss of 2 billion euros is due to additional provisions for OL3 and half to provisions for restructuring and impairment related to market conditions" which saw its order book value slump 10.6 percent to 29 billion euros.

EBITDA, a measure of income from ordinary operations excluding exceptional items, came in at 685 million euros from 471 million in 2014 while net debt rose to 6.323 billion euros from 5.809 billion in 2014.



Thanks for being here;
We need your help. The SpaceDaily news network continues to grow but revenues have never been harder to maintain.

With the rise of Ad Blockers, and Facebook - our traditional revenue sources via quality network advertising continues to decline. And unlike so many other news sites, we don't have a paywall - with those annoying usernames and passwords.

Our news coverage takes time and effort to publish 365 days a year.

If you find our news sites informative and useful then please consider becoming a regular supporter or for now make a one off contribution.

SpaceDaily Contributor
$5 Billed Once

credit card or paypal
SpaceDaily Monthly Supporter
$5 Billed Monthly

paypal only


Related Links
Nuclear Power News - Nuclear Science, Nuclear Technology
Powering The World in the 21st Century at

Comment on this article via your Facebook, Yahoo, AOL, Hotmail login.

Share this article via these popular social media networks DiggDigg RedditReddit GoogleGoogle

Previous Report
Areva secures bridging loan to survive 2016
Paris (AFP) Feb 25, 2016
France's struggling nuclear giant Areva said Thursday it has secured a 1.1 billion euros bridging loan from six banks, and pushed back the publication of its annual results by a day. The company said in a brief statement that the loans, which would help it stay afloat in 2016, were being finalised. "As a result the publication of the 2015 results have been postponed by 24 hours," read th ... read more

A new recipe for biofuel

Scientists unlock key to turning wastewater and sewage into power

WELTEC Group Acquires 3.3 MW Biogas Plant

ONR engineers innovative research in synthetic biology

SoloPower-led team target Indian rooftop PV market

KYOCERA kelps Dominican Republic save money with renewable energy

Landmark Community Solar Initiative Moves Forward In Maryland

Chemically storing solar power

Adwen Chooses Sentient Science For Computational Gearbox Testing

EU boasts of strides in renewable energy

Offshore U.K. to host world's largest wind farm

Germany aims to build wind energy reputation

Europe 2030: Energy saving to become 'first fuel'

New model maps energy usage of every building in Boston

The forecast for renewable energy in 2016

US, Canada and Mexico sign clean energy pact

Understanding how turbulence drains heat from fusion reactors

Electric Car War Sends Lithium Prices Sky High

Creation of Jupiter interior, a step towards room temp superconductivity

New synthesis method developed at UEF opens up new possibilities for Li-ion batteriess

Imaging technique may help discover Earth-like planets

Longest-Lasting Stellar Eclipse Discovered

Astronomers take images of an exoplanet changing over time

First detection of super-earth atmosphere

Future USS Portland takes to water

Thales to modernize tactical trainer for German Navy

U.S. Navy's USS Coronado completes survivability test

Overhauled steam catapults tested on USS Abraham Lincoln

Jarosite in the Noctis Labyrinthus Region of Mars

Trace Gas Orbiter and Schiaparelli are joined

Footprints of a martian flood

Russia plans return to Mars, Moon despite money woes

Memory Foam Mattress Review
Newsletters :: SpaceDaily :: SpaceWar :: TerraDaily :: Energy Daily
XML Feeds :: Space News :: Earth News :: War News :: Solar Energy News

The content herein, unless otherwise known to be public domain, are Copyright 1995-2017 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. All articles labeled "by Staff Writers" include reports supplied to Space Media Network by industry news wires, PR agencies, corporate press officers and the like. Such articles are individually curated and edited by Space Media Network staff on the basis of the report's information value to our industry and professional readership. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement