RWE Scraps 2016 Dividend After Another Multi-Billion Writedown
- Sees 2017 dividend of 50 cents for common and preferred shares
- Power prices have slumped more than 40 percent since 2012
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There’s more pain ahead for most RWE AG shareholders after Germany’s biggest power producer said it wouldn’t pay a dividend for a second consecutive year after writing off billions because of sliding electricity prices.
The Essen, Germany-based utility booked impairments of 4.3 billion euros ($4.5 billion) attributed to its power plants in Germany, U.K., the Netherlands and Turkey, RWE said Wednesday in a statement. While the company booked a net loss for 2016, it aims to pay a dividend to all shareholders for this year.