Letter of intent on the restructuring Fortum's Naantali power plant's ownership in Finland

Fortum, Turun Seudun Maakaasu ja Energiantuotanto (TSME), Turun Seudun Kaukolämpö and Turku Energia as well as the municipalities of Naantali, Raisio and Kaarina have today signed a letter of intent on consolidating energy production to one co-owned production company, TSME. According to the letter of intent, Fortum will lease its Naantali power plant's production capacity to TSME. The district heat produced will be sold to Turku Energia, the steam to Fortum and the electricity to TSME shareholders, which - according to the letter of intent - will be Fortum (50.5%), Turku Energia (38.5%), Raisio (5%), Kaarina (3%) and Naantali (3%). The letter of intent includes an option for TSME to buy the Naantali power plant from Fortum at a later date. The aim is to reach a final decision on the restructuring during the first quarter of 2011, in which case arrangement will be effective on 1 September 2011.