Fortum - Company Announcement

IFRS 5 restatement of Fortum's income statement and cash flow for 2014 – Distribution segment treated as discontinued operations

Espoo, Finland, 2015-04-15 08:30 CEST (GLOBE NEWSWIRE) -- FORTUM CORPORATION
STOCK EXCHANGE RELEASE 15 APRIL 2015 at 09:30 EEST 

Fortum signed a binding agreement to sell its Swedish distribution business on
13 March 2015, which concludes Fortum's divestment of its electricity
distribution business. The divestment is expected to be completed during the
second quarter of 2015. 

After the divestment of the Swedish distribution business Fortum will not have
any distribution operations, and therefore the Distribution segment will be
treated in the first quarter 2015 interim financial statements as discontinued
operations according to IFRS 5 "Non-current assets held for sale and
Discontinued operations". The IFRS standard requires restatement of the 2014
comparative period information for the income statement and cash flow. The
restatement is done to the income statement including other comprehensive
income, cash flow statement and certain key ratios. In the segment information,
the Distribution segment is reclassified as discontinued operations. 

Reclassification of discontinued operations does not impact the balance sheet.
The Swedish distribution business' assets and liabilities will be classified as
assets held for sale in the balance sheet of 31 March 2015. 

The 2014 key figures of Fortum in total, continuing operations and discontinued
operations (Distribution segment) are as follows:



EUR million                            2014              2014               2014
                              Fortum, total        Continuing       Discontinued
                                     (old)*        operations         operations
--------------------------------------------------------------------------------
Sales                                 4,751             4,088                662
--------------------------------------------------------------------------------
EBITDA                                3,954             1,673              2,281
--------------------------------------------------------------------------------
Comparable EBITDA                     1,873             1,457                416
--------------------------------------------------------------------------------
Operating profit                      3,428             1,296              2,132
--------------------------------------------------------------------------------
Comparable operating                  1,351             1,085                266
 profit                                                                         
--------------------------------------------------------------------------------
Profit before taxes                   3,360             1,232              2,128
--------------------------------------------------------------------------------
Net cash from operating               1,762             1,406                356
 activities                                                                     
--------------------------------------------------------------------------------
Capital expenditure                     774               626                147
--------------------------------------------------------------------------------

  *previously reported information

Earnings per share figures for 2014 of Fortum in total and of the continuing
and the discontinued operations are as follows: 



EUR                                          Q1/14  Q1-Q2/14  Q1-Q3/14  2014
----------------------------------------------------------------------------
Earnings per share total Fortum Group         2.53      2.81      2.91  3.55
----------------------------------------------------------------------------
Earnings per share continuing operations      0.35      0.57      0.63  1.22
----------------------------------------------------------------------------
Earnings per share discontinued operations*   2.18      2.24      2.28  2.33
----------------------------------------------------------------------------

  * Includes impact from sales gains of the Finnish and Norwegian Distribution
businesses amounting to EUR 2.10. 

For restated information for the interim periods of 2014, see the attachment.

Fortum Corporation
Helena Aatinen
Senior Vice President, Corporate Communications

For more information, please contact:

Analysts and investors:
Sophie Jolly, Vice President, Investor Relations, tel. +358 10 45 32552
Rauno Tiihonen, Investor Relations Manager , tel. +358 10 45 36150
Marja Mäkinen, Investor Relations (SRI) Manager, tel. +358 10 45 23338

Media contacts:
Helena Aatinen, Senior Vice President, Corporate Communications,
tel. +358 10 45 20480,
Fortum Media Desk, tel. +358 40 1982 843

Distribution:
Nasdaq Helsinki
Media
www.fortum.com

Fortum
Fortum's purpose is to create energy that improves life for present and future
generations. Catering to the versatile needs of our customers, we generate,
distribute and sell electricity and heat, and offer related expert services.
Our operations focus on the Nordic and Baltic countries, Russia and Poland. In
2014, Fortum's sales totalled EUR 4.75 billion and comparable operating profit
was EUR 1.35 billion. We employ approximately 8,800 people. Fortum's shares are
traded on the Nasdaq Helsinki. www.fortum.com

Attachments:

Fortums restated quarterly information for 2014.pdf