Uniper, which is Germany's biggest buyer of Russian gas, issued a profits warning last week, withdrew its financial forecasts for the year and said it was in talks with the German government about a possible bail-out.
The company's share price, which has fallen by 63% since the beginning of the year, certainly appears to be pricing in that eventuality.
Uniper has been forced into this position by the sudden surge in gas prices. Most well-run energy companies seek to buy gas in advance in order to have security of supply. But Russia's recent decision to reduce the amount of gas it pipes to Germany to just 40% of regular levels has forced the company to buy gas on the 'spot' market.
Its problems have been compounded by the fact that it has not been allowed to pass on these extra costs to customers - despite the fact that, under Germany's national gas emergency plan, it would have expected to., under which suppliers are usually allowed to pass on higher costs to consumers. Berlin has clearly calculated that the cost of providing Uniper with financial support will be less painful than the hit to the economy that would follow if households and businesses were ordered to stump up more for their energy.
Österreich Neuesten Nachrichten, Österreich Schlagzeilen
Similar News:Sie können auch ähnliche Nachrichten wie diese lesen, die wir aus anderen Nachrichtenquellen gesammelt haben.
How the Ukraine war is worsening the food crisis for millions of starving AfghansHow the Ukraine war is worsening the food crisis for millions of starving Afghans 🔴 Jamaludin*, a local aid worker in Afghanistan, says the loss of millions of tonnes of wheat has left people teetering on the brink of starvation.
Weiterlesen »
Boris Bondarev on Vladimir Putin’s craven diplomats“It had finally abandoned its last great remaining principle: to serve peace, not war”—a former Russian diplomat explains why he quit his country’s diplomatic service over Vladimir Putin’s attack on Ukraine
Weiterlesen »
War in Ukraine: Can we say how many people have died?Russia and Ukraine have different claims of how many people have died in the conflict. The BBC explores the data.
Weiterlesen »
Germans warned to prepare for possible gas shortage amid Russia's war in UkraineGermany has been heavily dependent on Russia for its energy imports, with 55% of its gas, 50% of its coal and 30% of its oil coming from the country.
Weiterlesen »
The mass ethnic cleansing of Syrian Kurds is collateral damage from the war in UkraineA Kurdish family share their story as they seek to escape the impending Turkish advance for the third time in five years
Weiterlesen »