Bloomberg the Company

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Follow Us

Industry Products

Veolia Slides in Paris on Concern Cost-Cutting Isn’t Fast Enough

Don't Miss Out —
Follow us on:

Oct. 29 (Bloomberg) -- Veolia Environnement SA fell to the lowest level in seven weeks in Paris on concerns that Europe’s biggest water company isn’t cutting costs fast enough.

Veolia sank as much as 4.1 percent to 12.32 euros, the lowest intraday price since Sept. 9. Raymond James Euro Equities cut its 2013 earnings-per-share estimate by 4 percent, the 2014 forecast by 30 percent and 2015 by 4 percent.

“The restructuring plan in France is lagging,” Emmanuel Retif, a Raymond James analyst, wrote in a note today.

Veolia said yesterday it reached a deal with Electricite de France SA to acquire their Dalkia energy-services venture’s international operations for 550 million euros ($757 million) after being locked in a legal dispute with EDF for more than a year. EDF will take control of Dalkia’s French activities.

The deal was neutral for net financial debt at Veolia and would end litigation, the two companies said in a statement.

Veolia fell 2.6 percent to 12.52 euros by 2:44 p.m. in Paris.

To contact the reporter on this story: Tara Patel in Paris at tpatel2@bloomberg.net

To contact the editor responsible for this story: Will Kennedy at wkennedy3@bloomberg.net