DONG Energy sells fibre optic network to TDC

Today DONG Energy concluded a contract with TDC on the acquisition of parts of DONG Energy's fibre optic network. TDC will pay DKK 325 million in cash on completion of the contract. DONG Energy is also to receive a percentage of the TDC group's future fibre optics-related revenue. The parties capitalised these revenue flows at DKK 100 million when they concluded the contract. 146 staff members will be transferred to the buyer when the completion is effectuated. The conditions for the staff members concerned are stipulated in the Danish Company Transfer Act. DONG Energy will retain ownership of the fibre optics used by the power network (approx. 40% of all sections). “I am convinced that fibre optic network is the building block of tomorrow's communications platforms. TDC is the right buyer, given that the company can help to give many more people access to high-speed broadband connections, digital TV and high quality telephone services - in short, all the integrated solutions that are in customer demand,” says Executive Vice President Lars Clausen. The contract is expected to be settled by the end of 2009. The sale will not affect the EBITDA. However, it will negatively affect the results after tax by DKK 508 million since they will be subject to a write-down in connection with the sale of the fibre optic network. The expected EBITDA for the 2009 financial year thus remains unchanged, whilst the expected results after tax are to decrease after the write-down. For further information, please contact: Media Relations Morten Kidal +45 9955 9583 Investor Relations Morten Hultberg Buchgreitz +45 9955 9750 DONG Energy is one of the leading energy groups in Northern Europe. We are headquartered in Denmark. Our business is based on procuring, producing, distributing and trading in energy and related products in Northern Europe. We have approximately 6,000 employees and generated more than DKK 60 billion (approx. EUR 8.2 billion) in revenue in 2008. For further information, see www.dongenergy.com.