Investor Update 2015»

(1)

Investor Update 2015

»

March 2015

EnBW Energie

(2)

We delivered

Divestiture programme

€ -529m

Outlook 2014: increase (2013: - € 292m)

FOKUS efficiency programme

> € 750m

Outlook 2014: > € 750m (2013: € 624m)

Free cash flow

€ 330m

Outlook 2014: > 0 (2013: € 1,168.2m)

Adj. EBITDA

-2.6 % (€ 2,167.4m)

Outlook 2014: 0 to -5 % (2013: € 2,224.7m)

Investment programme

€ 1.96bn

Outlook 2014: increase (2013: € 1.1bn)

Dividend policy

39 %

2

Outlook 2014: around 40 to 60 % 1 _{(2013: 40 %)}

Dynamic debt ratio

3.68

Outlook 2014: 3.4 to 3.8 (2013: 3.27)

ROCE

10.0 %

(3)

In 2014 we continued our growth path and

streamlined our portfolio

3

Financial performance

› More than € 1bn impairments on conventional generation plants

› Almost € 1.5bn increase of pension provisions due to

further reduction of interest rate › Capital markets

› € 1.75bn: bonds issued › Ratings in A category

› € 1.5bn syndicated loan facility until 2019

› € 330m free cash flow positive Economic and regulatory

environment

› Ongoing pressure on electricity wholesale market prices

› Network reserve capacity contracts › Costs for establishment and

maintenance of operational readiness

› Electricity generation expenses › No reimbursement of capital

costs

› Final political decisions have to be taken

› Financial market

› Interest rate on a historically low level

Operating performance

› Acqusition of GVS and terranets › Commissioning of RDK 8

› Commissioning of wind farm Balabanli in Turkey

› Sale of OSD Schäfer

› Sale of 75 % share of Bexbach power station

› Implementation of participation model for EnBW Baltic 2

› Acquisition of project Albatros › ~ 400 MW approved

offshore capacity

› Leaner structure as ONE EnBW

(4)

In 2015 we will increase our adj. EBITDA

in the segments Sales and Renewables

Adjusted EBITDA

2014

Outlook 2015

1

Group € 2,167 million 0 % to -5 %

Sales € 231 million +10 % to +20 %

Grids € 886 million 0 % to -10 %

Renewable Energies € 191 million > 20%

(5)

EnBW has already started its agenda in 2013 to

regain the company’s profitability until 2020

5

0.7

€ bn

Renewable energies

Sales

Grids

0.8

_{€ bn} +25%

1.0

_{€ bn}

0.4

€ bn

0.2

€ bn

0.2

€ bn

Generation and Trading

+250% +100% -80%

2012 Adj. EBITDA 2020

0.3

€ bn

1.2

€ bn

Investor Update, March 2015

›

Efficiency

›

Customer proximity

›

Expansion

›

Regulatory

framework

›

Wholesale market

prices

›

Efficiency

Main value drivers

Business segments

›

Approval process

›

Regulatory

environment

Int

er

es

t r

at

es

(6)

EnBW lost € >3 bn of financial flexibility since 2011

due to low interest rates

Thereof interest effect: 2,376

2012 1,069 +57% 2014 1,102 2013 5,494 2011 4,395 8,071 2013 2012 6,849 6,584 2011 +23% 2014 7,664

Gross pension obligations incl. CTA

in € millions

Nuclear provisons

in € millions

5.25% 3.8% 3.75% 2.2% Discount rates 5.5% 5.4% 5.0% 4.8%

Thereof interest effect: 808

CTA 4,575

(7)

Efficiency measures partly compensate for lower

generation and trading margins

7 10 % 20 % 30 % 40 % 50 % 60 % 70 % 80 % 90 % 100 % 2015 100 % 2016 2017 55 – 80 %

Hedge levels

1 in % 10 – 35 %

In the Generation and Trading segment, in 2014 EnBW improved the adjusted EBITDA

›

Commissioning of RDK 8 with a significant rise in efficiency despite the thightening Clean Dark Spread

›

Significantly higher earnings effects from efficiency measures

›

EnBW’s negotiations with BNetzA led to reimbursement of costs in the second half of 2014

(8)

EnBW’s CF-based Asset Liability Management:

LT-obligations do not affect OCF negatively

in € million

EnBW took care and has provided for its future

obligations sufficiently

0 4.000 8.000 12.000 16.000 0 200 400 600 800 1.000 2014 2018 2022 2026 2030 2034 2038 2042

Right Hand Side

Provisions Financial assets OCF contribution Cash outflows from provisions Asset contribution 2028: 100% coverage Max. € 300m p.a. OCF contribution1

(9)

9

Total investments

Investments 2015 - 2017

Investments and divestitures 2015 – 2017

in € billion

Reorganisation of portfolio 2012 to 2020

in € billion 9.3 %

Sales

› Supplier offering decentralised solutions

› Expansion of smart meter

33.1 %

Renewable Energies

› Offshore projects and onshore wind farms

› Completion of EnBW Baltic 2

49.8 %

Grids

› Transmission grid: Construction of two corridors of the network development plan

› Distribution grid: Expansion/modernisation of existing grids to ensure security of supply

7.8 %

Generation and Trading

› Completion of CCGT (Lausward)

› Replacement investments

EnBW continues investing in low-risk business

segments

4.0

Net investment Divestitures

2.1

1.9

7.1

14.1

7.0

EnBW 2020 Already approved capital expenditure and maintenance

9.0

Net investment Divestiture Participation models, disposal and other

5.1

14.1

Total investments

(10)

›

Completion of

EnBW Baltic 2

›

288 MW in 2015

›

EBITDA contribution of ~ € 200m p.a.

›

Acquisition of offshore wind project

Albatros

›

~ 400 MW approved capacity in the North Sea

›

Onshore

wind farms in

Germany

with about

200 MW

›

730 MW under development

›

Onshore

wind farms of 186 MW in

Turkey

with

JV Borusan

›

180 MW under construction

›

At-equity consolidated activities

›

Focused investments

in the next years

›

Further implementation of

participation

models

EnBW is going to increase the share of renewable

energies in adj. EBITDA to 30% by 2020

(11)

›

Significant

grid investments

in the years to come

due to installed renewable capacity, particularly

solar and wind onshore

›

Expansion

from 2015 to 2017

›

Construction of two corridors of the network

development plan

›

Expansion and modernisation of distribution

grids

›

Costs for construction of SuedLink mainly after

2017

›

Strengthening

of the next base years opex and

capex wise

›

Gas in 2015

›

Electricity in 2016

›

Exert influence on the possible adjustment of the

revenue based regulatory regime

Focusing on grid expansion, EnBW’s share of

regulated business will increase to 40 % in 2020

11 Investor Update, March 2015

(12)

Current situation:

›

Performance 2014 below expectations, partially

due to warm weather at year-end 2014

›

Highly competitive B2B commodity business

›

Challenging growth targets in decentralised

solutions business not met yet

›

First successful steps in providing billing services

to third parties

Further transformation towards value-added

services brings the sales segment forward

The way forward:

›

New management team led by

Dr. Susan Hennersdorf since Nov 2014

›

Strategy 2020 targets unchanged

›

Business models and organisational set-up

under review:

›

Accelerate decentralised solutions and

customer-focused services

›

Streamline and focus B2B commodity

business

›

Further expansion of strong brands in B2C

business

›

Increase accountability, commercial drive

(13)

Cost and capex control

›

Divestitures to generate

further financial headroom

for investments

Rigorously following EnBW’s strategy 2020 –

our focus is on financial discipline and stability

13

Asset Liability Management

focused on cash flows

›

No negative effect on

operating cash flow

Improved

risk-return-profile

›

EBITDA contribution from

low-risk business already

at 50 %

›

Share of low-risk

business more than 70 %

in 2020

€ 400 million p.a.

sustainable efficiency

enhancement until 2020

›

Optimisation of structures

and processes

›

Sales activities: growth and

efficiency

›

Profitability of the

conventional generation

›

Continuous improvement

EnBW

is a reliable participant in the

capital markets

Strategy 2020

Summary

(14)

Questions

(15)

Appendix

›

EnBW 2020

...

page 16

›

Figures FY 2014

...

page 18

›

Sustainability KPIs

...

page 32

›

EnBW at a glance

...

page 35

›

Financial profile

...

page 36

›

Rating

...

page 38

›

Dividend policy / shareholder structure

...

page 39

›

Calendar 2015

...

page 41

›

IR contact

...

page 42

(16)

EnBW 2020 Strategy –

Energiewende. Safe. Hands on.

Engine room of the Energiewende Where shall we play? How can we win? What should our structure be? Customer proximity

Energiewende. Safe. Hands on.

›

Wind onshore, offshore and hydropower

›

Conventional generation located mainly in BaWü

›

Transport and distribution grid infrastructure managed from BaWü into neighbouring regions (also as service provider)

›

End customer business – electricity and gas

›

Energy-related services/ energy efficiency (defined B2C and B2B segments, increasing for municipal utilities and local communities)

›

Trading and origination

›

Operational excellence

›

Infrastructure in the energy

industry

›

Regulatory management

›

Active opportunities for third parties

to invest and participate

›

System competence of energy

›

Innovative capability and innovation management

›

Strong brand portfolio

›

Maximum efficiency

›

Stringent cost orientation for

defined quality level (target costing)

›

Simplicity and standardisation

›

Building up of an innovation campus

›

Acquisition of/joint-venture with energy-related companies

›

Stringent performance management

›

Partnerships and fostering of dialogue

›

With an excellent team

›

Simple and functional management with simple structures, flat hierarchies and lean processes

›

From the region of BaWü into D, A, CH and Turkey

(17)

“EnBW 2020” –

is divided in three clearly defined phases

17

“Platform”

Create the right platform

› Customer focus and innovation

› Performance and portfolio › Process, structures

and organisation › Business model › Reputation

Achieve full potential

› Optimisation and

continuous improvement › Growth areas make first

contributions

› High-performance team › Ideal partnerships

Top-quartile products & services

› For targeted customer segments

› For special energy “ecosystems” › EnBW: first energy

company entirely focussed on the customer

“Lift-off”

“Eagle”

D

ev

el

op

ment

2012 2015 2017 2020

(18)

Non-operating EBIT

in € million1

Revenue

in € million1

Adjusted EBITDA

in € million1

Adjusted group net profit

in € million1,2 462 479 3.7 % 2.2 % -2.6 % -309.1 % 20,545 2013 2014 21,003 2,225 2013 2014 2,167 -315 -1,290 2014 2013 462 2013 2014 479

Fiscal year 2014 –

(19)

Non-operating EBIT in detail

-434

-910

54 _-1,290

-1,260

350

Addition to provision for onerous contracts relating to electricity procurement agreements Income from write-ups on power plants Economic write-downs on power plants Other Extraordinary write-downs on power plants Non-operating EBIT in € million 19

(20)

Electricity sales

in TWh

Gas Sales

in TWh

Adjusted EBITDA

in € million

Sales Segment –

Profitability slightly below expectations

› Positive earnings development of electricity sales:

Optimisation measures in the customer portfolio (EnBW 2020 strategy) and cost efficiency measures

› Negative earnings development in gas sales: Extraordinary

high temperatures, especially in Q4

› Earnings from the increased marketing of decentralised

solutions below expectations, particularly in Q4 2014

› Investments: € 76.4m, above prior-year level (€ 56.8m)

Key messages

1.5 % 2014 227.1 2013 230.6 51.1 33.9 17.2 47.0 31.2 15.8 2014 2013 B2B B2C - 8 % 5 % 67.7 57.6 10.1 71.1 62.4 8.7 2014 2013 B2B B2C

(21)

Transmission volume

in TWh1

Development of transmission volumes

in TWh1

Adjusted EBITDA

in € million

1_{Distribution only}

Grids Segment – Weather-related lower

transmission volumes

Electricity Gas

› Transmission volumes decreased due to the milder

temperatures

› Positive extraordinary items from the preceding regulatory

period in 2013 no longer applied

› Investments: With € 521.6m 12.9% above 2013 (€ 462m)

Key messages

-5.9 % -7.8 % -3.1 % -12.6 % 2014

95.7 _90.1

2013 2013 2014

886.3

961.8

65.8 67.9 2014 2013 24.3 27.8 2014 2013 21

(22)

Generation volume

in TWh1

Development of renewables generation mix

in TWh1

Adjusted EBITDA

in € million2

Renewable Energies Segment – EBITDA

driven by the delayed ramp-up of Baltic 2

› Delayed commissioning of offshore wind farm EnBW Baltic 2,

which will start operating in 2015

› Lower electricity generation and negative price effects led to a

decline in adjusted EBITDA from run-of-river power plants

› Wind-related higher earnings from Baltic 1 and

commissioning of new onshore wind facilities

› Construction of our offshore wind farm Baltic 2 doubled

investments to € 610.8m compared to 2013 (€ 316.5m)

Key messages

-13.1 % - 3.2 % 2014 6.1 2013 6.3 2014 191.4 2013 220.2 0.3 Wind Other 2014 6.1 Run-of-river 0.3 5.3 0.5 2013 6.3 0.5 5.5 - 3.2 %

(23)

1 _{Includes long-term procurement agreements and generation from partly owned power stations; the figures indicated are taken from the segments} 2_{Segment includes pump storage plants;}3_{Prior-year figures restated}

Generation & Trading Segment –

Challenging environment compensated

› Increased margin due to commissioning of RDK8 with

significantly increased efficiency

› Ordinance on Reserve Power Plants: cost reimbursement in

second half of the year

› Significantly increased earnings effects from efficiency

measures

› Investments: € 476.5m, significantly higher than 2013

(€ 207.4m). Main investments were RDK 8 and CCGT in Düsseldorf

Conventional & nuclear generation volume

in TWh1,2

Development of fossil generation mix

in TWh1,2

Adjusted EBITDA

in € million3

Key messages

-1.2 % 7.2 % 2013 51.8 2014 51.2 2014 839.0 899.5 2013 3.3 Other² 23.0 7.1 51.8 18.2 Nuclear 51.2 6.6 24.9 2014 Lignite Hard coal 16.4 2013 3.5 -1.2 % 23

(24)

Decline in FFO mainly attributable to Adjusted

EBITDA development

2013 2014

Provisions

Other Interest / _dividend

Taxes paid - 9.6 % +6.9 % 2014 2013

EBITDA

in € million1

FFO

in € million1 1,999.7 2,137.3 1,505.9 1,665.3 73.2 -254.9 -84.3 _-15.1 Revaluation -350.3

(25)

1 _{Prior-year figures restated}

1,665.3

1,505.9

Free cash flow driven by higher capex

Working capital Investments/ Divestments 330.2 1,168.2 -9.6 % 254.7 -1,430.4 - 71.7 % 2013 2014 2014 2013

FFO

in € million1

Free Cash Flow

in € million1

25

(26)

Increased net present value of provisions

counter-balanced adjusted net debt reduction

Adjusted Net Debt

in € million1 500 ₂₆₂ 7,983 6,735 1,247 -255 December 2014 +10% 1,463 -7% -1,506 7,271 December 2013 Working

capital investments, Net

acquisitions, divestitures Equity character of hybrid bond FFO Non-cash payment effects (addition of accrued interest, provisions, …) Dividends -500

(27)

Non-operating result

2014 2013

Income/expenses relating to nuclear power -30.1 -119.4

Income from the release of other provisions 36.4 126.3

Result from divestitures 96.3 34.6

Addition to the provision for onerous contracts relating to electricity procurement

agreements -433.6 -211.0

Earnings from write-ups 350.3 0.4

Restructuring -45.0 -13.7

Other non-operating result -4.4 -42.2

Non-operating EBITDA -30.1 -225.0

Unscheduled write-downs -1,260.3 -90.4

Non-operating EBIT -1,290.4 -315.4

Non-operating investment result -47.8 -18.6

Non-operating financial result -92.6 -271.3

Non-operating income taxes 473.8 166.1

Non-operating group net loss -957.0 -439.2

of which profit/loss shares attributable to non-controlling interests (-26.9) (-27.9) of which profit/loss shares attributable to the equity holders of EnBW AG (-930.1) (-411.3)

Non-operating result

in € million1

27

(28)

Other

7,129.1 -2,657.4

Calculation of adjusted net debt

Pension and nuclear power provisions

(net) Reserve fund -68.5 7,982.6 13,182.0 -9,602.6 Cash and cash equivalents Adjusted

financial liabilities December 2014

Adjusted Net Debt

in € million

(29)

Change in working capital mainly due to decrease

in trade receivables/payables

Working capital effects

Inventories 133 Derivatives 69 -255 -670 Trade receivables/ payables Other 213

Change in working capital 2014

in € million

29

(30)

Income statement

2014 2013 Variance

Revenue 21,002.5 20,544.8 457.7

Changes in inventories/own work capitalised 93.5 56.6 36.9

Cost of materials -17,511.7 -17,078.0 -433.7

Personnel expenses -1,620.2 -1,536.6 -83.6

Other operating income/expenses 173.2 12.9 160.3

EBITDA 2,137.3 1,999.7 137.6

Amortisation and depreciation -2,137.2 -975.6 -1,161.6

EBIT 0.1 1,024.1 -1,024.0

Investment and financial result -609.8 -853.4 243.6

EBT -609.7 170.7 -780.4

Income tax 222.1 -48.4 270.5

Group net profit/loss -387.6 122.3 -509.9

of which profit/loss shares attributable to non-controlling interests (63.1) (71.3) (-8.2) of which profit/loss shares attributable to the equity holders of EnBW AG (-450.7) (51.0) (-501.7)

Income

in € million1

(31)

Cash flow statement

2014 2013 Variance _{in %}

Operating cash flow 1,775.7 1,919.1 -7.5

Change in assets and liabilities from operating activities -254.7 -318.1 -19.9

Interest and dividends received 323.5 368.0 -12.1

Interest paid for financing activities -338.6 -303.7 11.5

Funds from Operations (FFO) 1,505 9 1,665.3 -9.6

Change in assets and liabilities from operating activities 254.7 318.1 -19.9 Capital expenditures on intangible assets and property,

plant and equipment -1,704.4 -1,060.2 60.8

Cash received from disposals of intangible assets and property,

plant and equipment 194.1 172.4 12.6

Cash received from construction cost and investment subsidies 79.9 72.6 10.1

Free cash flow 330.2 1,168.2 -71.7

Free cash flow

in € million1

31

(32)

Sustainability – Integrated Reporting &

Scores in Standards and Rating

› www.enbw.com/enbw-report-2014

› Concise description of business model

(including integrated sustainability strategy) (pp. 14-17)

› Inclusion of non-financial KPI´s (pp. 24-25)

› Employee-, Environment-, Customer- goal dimension with short-, mid-, long-term goals

› Description of interaction of financial and non-financial key performance indicators (pp. 27-28)

› Separate chapters on

› Stakeholder management (pp. 32-34)

› Procurement (pp. 37-38)

› Non-financial performance indicators (pp. 61-66)

› Inclusion of sustainability component in the Board of Management remuneration (p. 88)

› Reporting in accordance with UN Global Compact (Communication on Progress) and GRI G3.1 reporting guidelines (pp. 2-3)

Global Reporting Initiative

Carbon Disclosure Project (CDP)

Oekom Research 2012: Level A (GRI-checked) 2013: Level A+ (GRI-checked) 2014: Level A+ (GRI-checked) 2011: 70 C; 2012: 67 C; 2013: 94 A 2012: C 2014: C+

Integrated Reporting

Scores in Standards and Rating

› Next year EnBW will switch to G4-Standard

› EnBW is a member of the CDP Climate Performance Leadership Index 2014

(33)

Sustainability - Integrated Governance &

Selection of non-financial indicators

2014 2013

Integrated Governance

› Non-financial goals and KPIs are part of the corporate Performance Management System

› We have implemented measurable indicators that are economically, environmentally and socially relevant

› Selected figures from our sustainability reporting in 2014 were verified by external auditors as part of our assurance engagement

Selection of non-financial indicators

2020

Renewable energies (RE) inst. capacity

in GW and RE share in generation capacity in % >40.0

Employee Commitment Index (ECI)

2014 2013

56.0

2020 65.0

Lost Time Injury Frequency (LTIF)

4.3 ≤ Year- earlier figure 5.0 19.1 2.6 33 19.1 2.6 5.9 2013 2014 2020 58.0

› Installed capacity remains constant in 2014

› Extensive pipeline of onshore and offshore projects in

› At stable level

› Fall in average days of absence of present (12.5-10.5)

› Slight fall in 2014

› Satisfactory result against difficult background conditions

(34)

Engine room of the Energiewende

Sustainability is part of EnBW’s strategy

Onshore renewable energy › Widespread portfolio of power generation assets based on renewable energies: › Hydro › Onshore wind › Solar › Biomass › Geothermal

Customer proximity

Offshore renewable energy

› EnBW Baltic 1 offshore wind farm already in operation since 2011 (48 MW)

› At present we are building EnBW Baltic 2, an offshore wind farm with a generation capacity of 288 MW Sustainable Town › EnBW supports municipalities on their way to a sustainable energy supply (for ex. Leutkirch, Ehingen and Riedlingen) Fields of action: › Decentralised energy systems › Energy efficiency › Innovative mobility concepts

EnBW Energy Efficiency Networks

›The Networks enable associations of ~15 companies to go about energy topics

Services of EnBW:

›Setting up the local networks

›Analysis of the specific energy situation

›Organisation of quarterly networking meetings

(35)

Based on strong roots in Baden-Württemberg

› Number 3 in Germany with approx. 5.5 million customers

› With a generation portfolio of14 GW one of the most important utilities in Germany and Europe

› Reliable shareholder structure (OEW, federal state of BW, municipal associations)

Generation and Trading & Grids are our main performance drivers

› Generation & Trading: EBITDA 2014: € 899.5 million (41.5% share of the adj. EBITDA for the Group)

› Lowest CO2 emissions in

Germany (363 g CO2/kWh2)

› EBITDA 2013 Grids: € 886.3 million (40.9% share of the adj. EBITDA for the Group)

Active in selected foreign markets

› Currently 7 % of revenue outside of Germany

› Profitable shareholdings in core markets abroad

e.g. Turkey: generation gap, CZ: Strong regional growth in capital city

EnBW at a glance

1

35

Electricity

Generation _procurementTrading/ Transmission/ _distribution Sales

Gas

Import contracts/ _{infrastructure} Storage Trading/ portfolio _management _distributionTransport/ Sales

(36)

EnBW’s flexible access to financing sources

supports its strong liquidity position

Commercial

paper programme

Details of the syndicated loan facility:

›

As of 21 July 2014 reduced facility amount of € 1.5 billion until July 2019

›

Prolongation option in 2015 respectively 2016 for a further year each until July 2021 at the latest

›

Fixed margin

Syndicated

loan facility

Bilateral short-

term lines o. credit

Euro Medium

Term Note prog.

Other

measures

›

€ 2.0 billion

(undrawn as of

31 Dec 2014)

›

€ 1.5 billion

(

undrawn as of

31 Dec 2014)

›

€ 352 million

(

undrawn as of

31 Dec 2014)

›

€ 7.0 billion

(€ 4.2 billion

utilised as of 31

Dec 2014)

›

€ 2 billion

Hybrid bonds

›

€ 822 million

Capital increase

(July 2012)

(37)

Favourable maturity profile and proactive funding

puts EnBW in a comfortable financing situation

1 _{As of 31 Dec 2014;}2 _{First call date of hybrid maturing in 2072;}3 _{Including CHF 100m converted as of the reporting date 31 Dec 2014;}4 _{First call date of}

hybrid maturing in 2076; 5 _{Nominal with conversion as of the reporting date 31 Dec 2014}

100 200 300 400 500 600 700 800 900 1,000 750 2015 500 2016 1,0002 2017 8333 2018 833 2023 2025 1385 2038 700 2039 1,000 2072 500 1,0004 2021 2076 1,000 2026 500 100 2034 50 2044

Maturities of EnBW’s bonds

in € million1

37

(38)

Rating overview: a sound financial policy has

allowed EnBW to maintain an “A” category rating

A-/stable (10 December 2014)

›

Strong competitive position on the regional market

›

Increasing share of low-risk regulated activities, lower volatility for future operating cash flow

›

Unfavourable market conditions, particularly in the area of electricity generation

›

Coverage ratio for pension and nuclear power provisions of more than 70 %

Rating / Rating outlook ₂₀₁₄ ₂₀₁₃ ₂₀₁₂ ₂₀₁₁ ₂₀₁₀

Moody‘s A3/negative A3/negative A3/negative A3/negative A2/stable

A3/negative (15 December 2014)

›

The conventional generation market remains challenging, the EnBW strategy 2020 aims to compensate for the negative effects of the changes to the market

›

EBITDA mix subject to a low risk, increasing share of stable profit streams

›

Continuous implementation of measures to retain creditworthiness

›

Provisions for nuclear sector and pensions covered by more than 70 % by financial investments

A-/stable (15 August 2014)

›

Strengthening of future business profile due to a focus in the area of on renewables and regulated grids business

›

Strong liquidity position, access to capital markets and financial flexibility regarding investments and dividends

›

Better coverage of provisions than German competitors due to earmarked financial investments

›

Structural challenges in area of electricity generation, risks in the implementation of the company’s strategy and increasing costs for the decommissioning and dismantling of the nuclear power plants

(39)

EnBW’s dividend policy gives sufficient flexibility

to support financial strength

Two key levers influence dividend trigger

39

Operating performance

Scope of the investment programme

EBITDA

Net financial liabilities

Dynamic leverage ratio:

Net debt/EBITDA

Adequate payout ratio:

around 40% to 60% of adjusted group net profit

(40)

Stable A Rating

OEW Energie-Beteiligungs GmbH NECKARPRI-Beteiligungsgesellschaft mbH1 Badische Energieaktionärs-Vereinigung Gemeindeelektrizitätsverband Schwarzwald-Donau Neckar-Elektrizitätsverband EnBW Free float 46.75% 46.75% 2.45% 0.97% 0.63% 2.08% 0.39%

Shareholders

Stock exchange information

ISIN/security ident. no. DE0005220008/522000

Stock exchange abbreviation Bloomberg EBK GY/reutersEBK/EBKG.DE

Stock markets Regulated market: Frankfurt and Stuttgart; over-the-counter trading: Berlin, Munich

Transparency level General Standard

Indices General All Share, DAXsector All Utilities, CDAX

Number of shares 276,604,704

(41)

Financial calendar 2015

41

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29 April 2015

... Annual General Meeting 2015

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12 May 2015

...Interim report: January–March 2015

Conference time: 15:00 CET

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30 July 2015

... Interim report: January-June 2015

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13 November 2015

...Interim report: January–September 2015

(42)

EnBW’s team

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Peter Berlin

Director Capital Markets T +49 721-6312844

[email protected]

›

Ingo Peter Voigt

Senior Vice President

Head of Finance, M&A and Investor Relations T +49 721-6314375 [email protected]

›

Julia v. Wietersheim

Senior Manager Investor Relations T +49 721-6312060 [email protected]

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Julia Minges

Manager Investor Relations T +49 721-6312697 [email protected]

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Frank Mastiaux

Chief Executive Officer