The 16 billion crown ($2.3 billion) overall hit is over half the book value of Orsted’s U.S. operations. And he’s sticking with assumptions that Orsted’s projects can generate returns of up to 300 basis points over their costs of capital. But the $7 billion hit to Orsted’s market value on Wednesday suggests investors don’t see this as a United States-specific headache. On top of this, the increase in long-dated interest rates in the United States affected both offshore as well as some onshore wind projects and will cause impairments of around 5 billion crowns, Orsted added. Orsted’s share price fell 20% to 444 Danish crowns as of 1038 GMT on Aug. 30.

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Persons: Mads Nipper, don’t, Orsted’s, Nipper, Sweden’s Vattenfall, Orsted, Orsted hadn’t, George Hay, Oliver Taslic Organizations: Reuters, U.S, Siemens, Thomson Locations: U.S, United States