Iberdrola SA Chief Executive Officer Ignacio Galan faced renewed criticism from his biggest investor, which analysts say may be plotting to undo the international expansion he carried out at the Spanish utility.
Iberdrola SA, the worst performer among European utility stocks in 2012, will maintain its dividend by cutting costs and increasing foreign profit as it begins to reduce debt as much as 20 percent, the chairman said.
Chairman Ignacio Galan of Iberdrola SA, the world’s biggest producer of renewable energy, has battled for five years to limit the influence of his largest investor. Galan is about to lose one of his best tools.
Iberdrola SA Chairman Ignacio Galan is resisting the Spanish government’s campaign to make utilities like his assume some of the 24 billion euros ($32 billion) in debt that consumers owe to electricity producers.
Iberdrola SA Chief Executive Officer Ignacio Galan said construction of new wind farms in the U.S. will slow down next year because of competition from cheap natural gas, the Financial Times reported, citing remarks by Galan.