UPDATE 1-Areva takes 400 mln euros charge on Finnish plant

Wed Jun 23, 2010 8:14pm GMT
 

* Areva sees H1 operating loss due to Finnish provision

* Talks continue with EDF on G. Besse 1 shutdown terms

* Still sees significant growth in 2010 backlog, revenue

(Adds details from statement)

PARIS, June 23 (Reuters) - Areva SA CEPFi.PA expects to post an operating loss for the first half 2010 due to a new 400 million euros provision tied to delays in building a 1,600 megawatt nuclear reactor in Olkiluoto, Finland.

The state-owned company also reaffirmed its view there would be significant backlog and revenue growth this year, and a sharp increase in net income due to capital gains from the sale of its transmission and distribution business (T&D).

Areva also said negotiations were continuing with French power utility EDF (EDF.PA: Quote) on the terms for the shutdown of the Georges Besse 1 enrichment plant.

Excluding the additional provision for the Finnish plant and the possible impact of a shutdown of Georges Besse 1, the group's operating margin for the first half should be around 4 percent of sales, it said.

Areva forecast first-half revenue should rise around 2 percent year-on-year and that its backlog at end-June should exceed 43 billion euros, a year-on-year rise of 1 billion.   Continued...

 
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