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EDF preparing cost-cutting plan worth up to 3 bln eur – sources

(Updates with EDF comment, background)

PARIS, July 6 (Reuters) – French state-controlled utility EDF has started preparing a cost-cutting plan worth between 2 and 3 billion euros ($1.13 billion), two sources told Reuters, confirming a report by French newspaper Le Monde.

The savings plan could entail divestments of major assets or a hiring and investment freeze, while seeking cost cuts at all levels, Le Monde said on Monday.

An EDF spokesman told Reuters there was a savings plan in the works, but said it was too early to provide details.

EDF, which operates all of France’s 57 nuclear reactors that account for around 70% of the country’s electricity needs, earlier withdrew its financial targets for 2020 and 2021 as the fallout from the coronavirus outbreak hit key areas of its businesses.

($1 = 0.8828 euros) (Reporting by Benjamin Maillet, Writing by Maya Nikolaeva; Editing by Sarah White and Emelia Sithole-Matarise)


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