Germany's Siemens to Leave Areva Joint Venture

January 26, 2009

BERLIN (The Associated Press)

Germany's Siemens AG said Monday that it has decided to pull out of a
nuclear power plant joint venture with French company Areva SA by 2012,
citing a lack of "entrepreneurial influence."

Siemens said last week that it would consider dropping its 34 percent
stake in the venture, Areva NP. On Monday, it said the company would
terminate its shareholder agreement with Areva by Jan. 30, 2012, and sell
the stake to the French company, which owns the remaining 66 percent.

"Siemens stated its lack of exercising entrepreneurial influence
within the joint venture as the reason behind the move," which is subject to
approval by antitrust authorities, the Munich-based industrial conglomerate
said in a statement.

It said that the purchase price of its stake would be agreed on by the
two companies on the basis of their shareholder agreement.

Siemens said it had enjoyed "good cooperation" with Areva, with which
it entered the joint venture in 2001.

"However, the role as a minority shareholder considerably limits the
entrepreneurial maneuverability of Siemens within the joint venture," it
added, prompting its management and supervisory boards to decide that it
would pull out "at the earliest date possible."

Siemens said it "will further evaluate all available options to
continue its commitment in (the) nuclear power plant business."