Substantial share of low-risk regulated gas and electricity distribution activities, mainly in Spain but also in Latin America. Improved geographic and business diversification, mainly linked to international gas midstream operations and business in Latin America. Industrial and commercial integration of electricity and gas business in Spain. Exposure to the weak electricity and gas markets in Spain. Electricity generation oversupply, coupled with our forecast of weak energy demand and economic conditions in Spain in 2014. The group's competitive advantage affected by regulatory uncertainty in Spain regarding the electricity and gas sectors. Uncertain evolution of the shareholding structure. Exposure of more than 50% of its portfolio to a low demand environment for gas and power in Spain. Positive cash flow generation after
