CEZ announced that it settled a dispute with Dalkia France on a joint venture, which did not take place. The dispute runs from 1999. Dalkia was asking USD 25m in compensation. CEZ would settle with Dalkia in the lower end of a third of the claimed damages. i.e. max USD 8.3m (CZK 191m) or CZK 0.3 per share. CEZ created reserves against Dalkia’s claim in the value of CZK 641m hence its 2004 net income would be boosted by CZK 450m or CZK 0.8 per share.
Separately, the Industry Minister M. Urban said that CEZ may eventually become the owner of both coal mines Severoceske doly and Mostecka Uhelna.
Tomáš Gatěk, Patria Finance