Page 46 - KELAG Annual Report 2017

The segments and the information to be reported are based on the internal management and
reporting (management approach).

In segment reporting, the business activities of the KELAG Group are allocated to the following
segments:

 Electricity/Gas;
 Heat;
 Investments/Misc.

The segments in these consolidated financial statements follow the management approach
concept set out in IFRS 8.5 and reflect the basis on which the management and control of the
company’s economic situation is carried out by the Group’s chief operating decision makers. This
corresponds to the internal reporting.

The Electricity/Gas segment contains the following (where applicable) for each product:

 Production;
 Trading;
 Distribution; and
 Grid.

The Heat segment includes all activities in the field of utilising waste heat and bio-energy to
supply heat on domestic and foreign markets.

The Investments/Misc. segment consists of:

 management and control functions as well as activities in the field of domestic investments;
and
 activities in the telecommunications sector.

The accounting policies applied to the reportable segments are the same as those described in
the group accounting guidelines.