E.ON now has rights on G-8 privatization negotiations

The consortium of E.ON Energie AG and e.dis Energie Nord AG yesterday receiv ed exclusive negotiation rights over privatizing of the G-8 Group, which is the largest domestic energy distribution network. The period of these rights will run from August 19 to September 9. El-Dystrybucja failed to convince th e Treasury Ministry with their offer, and their hard won negotiating rights expired on August 10. According to unofficial sources quoted by Prawo i Gosp odarka, El-Dystrybucja's offer was unable to meet the demands of the social pact that accompanies privatization. When parties fail to reach an agreement , the Treasury Ministry may provide a standard offer, which gives workers a three to five year period of guaranteed employment and an option for employe es to buy cut price company shares. El-Dystrybucja's representatives yesterd ay declared that they are still interested in acquiring a majority stake in the energy supplier. The G-8 Group has a 17% share of the national energy di stribution market. (Prawo i Gospodarka, p. 5) M.T.