The 9-month results from the large European power generators were reassuring. E.ON held its 9-month EBITDA flat compared to last year despite a steep drop in power demand and raised net income guidance for the full year. RWE felt the impact of the prolonged outage of its Biblis nuclear plant but confirmed prior full year guidance. GDF Suez’ EBITDA was as forecasted and the company continues to expect 2009 EBITDA to exceed last year’s. All three companies have more than 90% of their 2010 power production sold forward and are hence well protected from near-term power market weakness. Also, all three companies provide 6% dividend yields and the two German utilities trade at 9x visible 2010 earnings. CEZ, the largest generator in the Czech Republic reported a 7% increase in net income for the first 9 months. Key attractions of CEZ are a competitive, low-cost generation fleet, a strong balance sheet and solid 2010 hedging.