Statkraft AS
12 October 2007


(Oslo, 12 October) Statkraft AS and E.ON AG has today signed a letter of intent
to swap Statkraft's shares in E.ON Sverige AB (44.6 %) in exchange for flexible
power production assets and shares in E.ON AG. The total value of the asset swap
is € 4.4 billion. A final agreement is expected to be signed during the first
quarter of 2008.

The two companies will proceed with the intention of swapping Statkraft's
current shareholding in E.ON Sverige AB with 1/3 of E.ON Sverige's hydropower
assets, shares in E.ON AG and flexible gas power, hydropower and district
heating assets in Europe, mainly in Germany. The assets included in the swap
have an annual production around 7-8 TWh and include:

  • Swedish hydropower plants (934 MW), with an annual average production of
    approximately 4.2 TWh.
  • Hydro pump storage facility (220 MW) and 10 run-of-river hydropower
    stations (42 MW) in Germany.
  • Two gas-fired power plants (700 MW) in Germany, with corresponding gas
    contracts, as well as gas storage capacity of up to 100 mill sm3/year.
  • A 10 year power purchase agreement in Germany, in excess of 100 MW.
  • Hydropower installation in United Kingdom (56 MW).
  • District heating plants in Sweden and Poland.

E.ON Sverige is today owned 55.3 per cent by E.ON and 44.6 per cent by
Statkraft. A transaction as proposed will transform Statkraft's high value
creation in E.ON Sverige into strategic core assets for further growth.

Shares in E.ON are expected to constitute a substantial part of the transaction,
representing more than two per cent ownership in the company. This will make
Statkraft one of the five largest owners in E.ON. The exact amount of shares in
E.ON and other share-related issues remains to be detailed.

The deal is expected to be completed in the second or third quarter of 2008, and
must be approved by the relevant authorities and the Board of Directors of both
companies.


For further information, please contact:

Ragnvald Naero, EVP Communications, Statkraft AS
tel.: +47 24 06 71 00 / +47 900 80303
Knut Fjerdingstad, media spokesperson, Statkraft AS
tel.: +47 24 06 71 61 / +47 901 86310
Yngve Froshaug, VP Investor Relations, Statkraft AS
tel.: +47 24 06 78 76 / +47 900 23021


www.statkraft.com


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