Annual Report 2010 - Enel.com

1
July
Sale of power transmission networks in
Spain
On July 1, 2010, Endesa reached an agreement with Red
Eléctrica de España (REE) for the sale, to a subsidiary of
REE, of the power transmission network owned by Endesa
Distribución Electrica, a wholly owned subsidiary of Endesa.
This sale is to take place in accordance with the provisions
of Law 17/2007, which designates REE as the sole
entity to perform transmission activities. The agreement
refers to both the assets in service and the assets currently
under construction. The agreement, which calls for a payment
of around €1.4 million, will be effective subject to
obtaining the required administrative authorizations. On
December 13, 2010 the sale was completed and Endesa
Distribución Electrica received an additional €66 million as
payment for the maintenance of the electricity grids sold.
30
July
Agreement with Gas Natural to divide assets
of Enel Unión Fenosa Renovables
On July 30, 2010, Enel Green Power and its subsidiary Enel
Green Power España (EGPE) reached an agreement with
Gas Natural for the division of the assets of Enel Unión
Fenosa Renovables (EUFER), an equally held joint venture
between EGPE and Gas Natural Fenosa. The aim of the
transaction is to enable the parties to pursue their strategies
for the Iberian renewable energy market more effectively.
The agreement is subject to a number of conditions that
are expected to be met by the end of the year, including
approval from the competent antitrust and regulatory authorities.
Pending completion of the agreement between
the parties, the EUFER assets have been divided into two
well-balanced groups (Lot A and Lot B): Lot A will continue
to be held by the Enel Group, which will own all of
EUFER, and Lot B will be transferred to Gas Natural Fenosa.
Accordingly, the assets and liabilities associated with Lot
B have been classified as “Assets held for sale” and “Liabilities
held for sale” in these consolidated financial statements,
as they meet the requirements for such classification
set out in IFRS 5.
24
September
Sale of gas transport and distribution
networks in Spain
As part of efforts to leverage its operations in the gas
transport and distribution industry in Spain, on September
24, 2010 Endesa reached an agreement for the sale of an
80% stake in its subsidiary Nubia 2000, a company established
in 2010 with the assets of Endesa Gas (a gas distribution
company) to two infrastructure investment funds
managed by Goldman Sachs. Endesa may repurchase the
stake upon the exercise of a call option between five and
seven years after the completion of the transaction. Endesa
will continue to have a presence in Spain’s gas transport
and distribution sector through its remaining 20% interest
in Nubia 2000, to which it will continue to provide a
number of support services. The assets held by Nubia 2000
comprise about 3,800 kilometers of distribution networks,
600 kilometers of transport network and 355,000 delivery
points, with annual consumption of 7,500 GWh.
On December 17, 2010, Endesa completed the sale of
80% of Nubia 2000, which also includes a 35% stake in
Gas Aragon, previously transferred by Gas Natural to Nubia
2000.
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