(Editor's note: In the full analysis update published on Oct. 15, 2002, the title of table 2 was misstated. A corrected version follows.) Robust cash flows stemming from Electricité de France's (EDF) domestic market, where the company benefits from its incumbent position; Comparatively low electricity production cost in Europe, essentially owing to a large, homogeneous set of nuclear and hydro generation plants; and Gradually increasing diversification as the group expands, mainly in other Western European markets. Exposure to competitive electricity wholesale prices and further pressure on supply margins as the liberalization of electricity markets in Europe continues; Lower-than-expected contribution from foreign businesses, especially Latin American investments; Potentially diminishing support from the state, as evidenced by recurring discussions about partial privatization
