German energy group EON to close three sites: report
The biggest German energy company, EON, has decided to close three sites as it grapples with the effects of a government decision to abandon nuclear energy, a press report said on Monday.
Spiegel magazine, which did not cite its source, said EON would close sites in Hannover, northern Germany, Munich in the south, and Essen in the west, and eliminate hundreds of jobs once it obtains supervisory board approval.
Spiegel said that activities at the three locations would be regrouped at EON's headquarters in Duesseldorf, western Germany, and added that the German group might also spin off some of its foreign activities.
EON is seeking to reduce debt by selling non-strategic assets worth some 15 billion euros ($21.6 billion), the report said, and could turn its back on Europe while focusing on emerging markets.
EON, which is to present quarterly results on August 10, has cut its annual forecast as the German government says it would abandon nuclear energy by 2022.
© 2011 AFP