BERLIN (AP) - Utility E.ON AG said yesterday that it plans to cut as many as 1,800 jobs over the coming years as it streamlines its service operations in Germany, but hopes to do it without lay-offs.

The cuts would amount to about 12 percent of its German service operations work force .

The e-company's E.On Energie unit said in a statement that it hopes to improve its competitiveness with the programme.

The company said it plans to shut about 40 of its 60 service locations in Germany by 2012 - in many cases, small operations with fewer than 10 employees.

At present, its service operations in Germany employs about 15,000 people.

E.ON shares were down 0.5 percent at 39.28 euros ($57.64) in Frankfurt trading.