Clarification Tax Dividend for Investment Funds

Societatea Energetica Electrica S.A.

9, Grigore Alexandrescu str.

010621 District 1, Bucharest, Romania

Phone: 021-208 59 99; Fax: 021-208 59 98

Fiscal Registration Certificate RO 13267221

J40/7425/2000

Share capital: 3.459.399.290 RON

www.electrica.ro

To: Romanian Financial Supervisory Authority (ASF)

Bucharest Stock Exchange (BVB)

London Stock Exchange (LSE)

Current report in compliance with the Romanian Capital Market Law no. 297/2004, CNVM Regulation no. 1/2006, and the Bucharest Stock Exchange Code

Report date: 29 May 2017

Company name: Societatea Energetica Electrica S.A.

Headquarters: 9 Grigore Alexandrescu Street, 1st District, Bucharest, Romania

Phone/fax no.: 004-021-2085999/ 004-021-2085998

Fiscal Code: RO 13267221

Trade Register registration number: J40/7425/2000

Subscribed and paid in share capital: RON 3,459,399,290

Regulated market where the issued securities are traded: Bucharest Stock Exchange (BVB), London Stock Exchange (LSE)

Significant events to be reported:

Clarifications regarding the fiscal treatment of dividends for investment funds without legal personality

In order to establish the tax treatment of the dividends for the year 2016, Societatea Energetica Electrica SA requires the Custodian Banks and Investment Management Companies to communicate, by June 12th, 2017, the status of the shareholders representing Investment Funds without legal personality in their custody. The situation will be accompanied by the following documents:

· statement signed by the legal representative/authorized person representing the investment fund attesting the fact that the investment fund does not have legal personality and also the fund's identification information (sole registration code), as it is mentioned in the Shareholders Registry of Electrica SA, available at the Depozitarul Central, the correct name of the investment fund, the authorization decision, the registration number in the Register of Financial Instruments and Investments, the number and the ASF notification date and its validity, as well as any other documents considered to be necessary;

· copy of the valid identification document for the legal representative/authorized person representing the investment fund - ID/CI with CNP for Romania citizens or passport with identification number for foreign citizens;

· copy of the relevant document attesting the quality of the person signing the declaration of legal representative/authorized person representing the investment fund.

In the case the above-mentioned documents will not send, Electrica SA will retain the standard quota of tax dividend in force provided by Fiscal Code on gross dividend.

CEO,

Dan Catalin STANCU