Strategic alignment at last Fortum today presented its new strategic vision, which incorporates for the first time Uniper as one of the group''s divisions, albeit still listed and with its own governance. Fortum re-iterated that it does not plan a domination agreement or squeeze-out of Uniper minorities before the end of 2021 but that possibility remains open in the future. Uniper''s CEO gave a presentation at the CMD, demonstrating that the relationship between the groups is now fully functional. Limited new information Fortum presented its decarbonisation targets but given the targets already set by the main countries in which the group operates, there were no surprises. The plan to deliver 1.5-2GW of renewable capacity, predominantly on sites currently occupied by closing / shut thermal power plants is interesting but limited visibility on the actual pathway was provided. The EUR100m synergies by 2025 was ''new news'' and is now included in our model (EUR50m at the Uniper level, EUR50m at the Fortum level) but offset in value terms by maintenance capex also being higher by ca. EUR100m (EUR700m guidance for 2021 vs EUR600m we assumed). Dividend - growth - balance sheet trilemma Fortum made it very clear that maintaining a BBB rating is very important for the group. Based on our power price forecasts, Fortum needs substantial disposals to get there, with Baltic and Polish heating (EUR1bn in our SOTP), Stockholm Exergi (EUR2bn in our SOTP) and now Consumer Solutions (EUR1bn in our SOTP) up for review. We already assume the first two are disposed, and an exit from Consumer Solutions would lead to high-single-digit EPS dilution. Unfortunately, we thus remain unconvinced of Fortum''s ability to strike a value-enhancing balance on its trilemma. Re-iterate Underperform rating on Fortum and Uniper We update our estimates for power prices, the German coal auction, maintenance capex and synergies. Our price targets remain unchanged, implying downside...