E.ON expects two years of gloom

German utility giant E.ON said yesterday it sees two tough years ahead as the cost of a tax deal struck with the government on nuclear plants, higher gas costs and lower power prices keep a lid on profits. The firm, which is four months into a major restructuring, warned of an expected fall in core profits in 2011."The transformation process demands a lot of trust in E.ON and its management from all our stakeholders,”?said chief executive Johannes Teyssen yesterday. “The next two years will be economically tough for us.” Net profit for 2010 fell 28 per cent to €6.28bn (£5.4bn), on a 16 per cent rise in revenue to €92.9bn.