Areva nuclear group estimates 4.9bn euro losses

2015-02-23 06:50:58

(MENAFN- AFP) France's nuclear group Areva said Monday its provisional net losses in 2014 widened to 4.9 billion euros ($5.6 billion) after it was forced to absorb costs linked to project delays.

The mostly state-owned company has taken a particular hit in the past year from delays in building its Olkiluoto 3 nuclear plant in Finland, as well as difficulties with its renewable energy contracts.

Areva also said there were impairment charges tied to the modernisation of its uranium conversion plant, the Comurhex II project in France.

The figure is only provisionary, with the group's audit and ethics committee due to meet again on March 2 to review the finances.

The company, which is 87-percent owned by the French state, has suffered in recent years as interest in nuclear power has cooled following the 2011 Fukushima catastrophe in Japan.

Areva announced in October that it would cut investments and step up sales of non-strategic assets as it tries to shore up its finances.

The provisional figure is greater than Areva's value on the Paris Bourse, which is 3.7 billion euros.

Shares of Areva were down 1.10 percent to 9.47 euros in early trading in Paris after sinking nearly 3.0 percent at the open.

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