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12 June 2008

EU Commission's investigations against E.ON Ruhrgas:

Constructive Cooperation with the EU Commission

In the ongoing investigations by the EU Commission against E.ON/E.ON Ruhrgas and Gaz de France, our company will collaborate constructively with the EU Commission to dispel the charges.

E.ON Ruhrgas supports the EU's goals in the energy sector and systematically promotes competition on the European gas market. This is a consequence of its European positioning: E.ON Ruhrgas supplies customers throughout the EU and has invested billions of euros in supply projects and cross-border gas pipelines.

In information provided today, the EU Commission expressly points out that the statement of objections communicated yesterday does not prejudge the final outcome of the procedure.

The current investigations by the EU Commission against E.ON Ruhrgas and Gaz de France reach far back into the past. They essentially concern gas transport agreements signed in 1975 in connection with the construction of the MEGAL pipeline during the early days of the European natural gas industry. Those agreements were not relevant to market developments and were terminated by the companies in 2004 for the sake of clarity. At the time E.ON Ruhrgas and Gaz de France heeded the EU Commission's decision in similar proceedings and adjusted their contracts accordingly. In those proceedings against Gaz de France, ENI and ENEL, the Commission deliberately refrained from imposing a fine because it had noted far-reaching changes in the players' trade practices.

Our company rejects the EU Commission's further charges concerning market and strategy agreements between E.ON Ruhrgas and Gaz de France. Liberalisation of the European gas market from 1998 onwards led to a significant intensification of competition. E.ON Ruhrgas seized the opportunities and actively tapped sales potential abroad. Its gas supplies abroad have risen almost sevenfold since 1998. While sendout abroad still amounted to 5 % of total sendout in 1998, it accounted for over a quarter in 2007. In France, E.ON Ruhrgas sold 8.4 billion kWh last year and is seeking further growth. Conversely, the market activities and sales volumes of Gaz de France in Germany have increased considerably in recent years.

© E.ON Ruhrgas AG 2008