2005 - 2006 - Pinsent Masons Water Yearbook 2012

GERMANY PART 3 (i): COMPANY ANALYSIS: MAJOR PLAYERS
FY 31/12 (€ million) 2001 2002 2003 2004
Operating profit – USA NA 117 527 505
Total operating profit 865 963 1,374 1,389
Capital expenditure 2,643 2,182 6,129 1,531
Certain Central and Eastern European water activities were transferred to RWE Energy in January
2004. These generated revenues of some €100 million in 2003.
RWE AG Subsidiary companies
FY 31/12/2004 (€ million) Revenues Net profit
RWE Thames Water Plc (UK) 2,278 220
American Water Works (USA) 1,479 51
Pridesa Group (Spain) 103 3
Agreed bid for Thames Water and American Water Works
In September 2000, Thames Water accepted a €7.1 billion bid by RWE. In November 2000, Thames
became RWE’s water arm and assumed management responsibility for RWE Aqua. In September
2001, RWE agreed to buy American Water Works (AWW) for US$4.6 billion. Regulatory approval was
gained in January 2003.
RWE, breakdown of populations served as at June 2005 (million)
Country Water Sewerage Total
Great Britain 9.47 14.87 14.87
Germany 11.98 5.79 14.47
Hungary 2.00 0.00 2.00
Croatia 0.00 1.00 1.00
Poland 0.14 0.14 0.14
Spain 3.70 8.71 10.48
Australia 1.24 1.13 1.24
New Zealand 0.00 0.20 0.20
Thailand 0.60 0.00 0.60
Indonesia 3.65 0.00 3.65
China 2.16 1.40 3.56
Turkey 1.31 0.00 1.31
UAE (Ajman) 0.00 0.18 0.18
Puerto Rico 1.70 0.00 1.70
USA and Canada 15.14 1.82 16.45
Chile 3.52 3.12 3.52
Grand total 52.91 38.36 75.37
United Kingdom: RWE Thames Water Plc
Most of Thames Water’s expansion over the last decade has been outside the UK, but it has won a
number of UK ‘inset’ appointments, as well as two contracts in Scotland and the contract to manage
customer services for Dwr Cymru Welsh Water. As a result, Thames Water now provides sewerage
or customer services to the capital of Scotland, Edinburgh and the capital of Wales, Cardiff, as well as
serving the British capital, London.
TW has a reputation for carrying out major water construction projects at home (notably the London
Ring Main) and abroad ahead of time and budget. Thames has been successful in winning many
overseas contracts. The company successfully renegotiated the Jakarta water provision contract,
which at one point appeared to be under threat in the post Suharto changes. At Izmit in Turkey, TW’s
dam and bulk water provision infrastructure were unaffected by the earthquake in August 1999.
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Pinsent Masons Water Yearbook 2005 – 2006