Ex-Corporate Governance Manager Litigation

To: Bucharest Stock Exchange (BSE)

London Stock Exchange (LSE)

Romanian Financial Supervisory Authority (FSA)

Current report in compliance with the Law 24/2017, republished on issuers of financial instruments and market operations, the Romanian Capital Market Law no. 297/2004, FSA Regulation no. 5/2018, and the Bucharest Stock Exchange Code

Report date: 18 October 2021

Company name: Societatea Energetica Electrica S.A. (Electrica)

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 3,464,435,970

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

Significant events to be reported: Actioned filed by plaintiff Augusta Romana Alexandra Borislavschi Popescu against the defendant Societatea Energetica Electrica SA (Electrica) for the payment of certain amounts of money allegedly due based on the mandate agreement.

Electrica informs the shareholders and investors about the fact that, on 18 October 2021, the Company has received a statement of claim by which the plaintiff requests:

1. Obligation of the defendant to pay to the plaintiff the amount of 166,738 lei, representing the percentage of 55% of the OAVT package, in accordance with the provisions of Annex 3 to the mandate contract no. 42/10.08.2015.

2. Obligation of the defendant to pay to the plaintiff damages for non-execution of the obligation to pay the percentage of 55% of the OAVT package.

3. Obligation of the defendant to pay the amount of 11,973 lei, representing the annual variable remuneration for 2018.

4. Obligation of the defendant to pay the amount of 24,756 lei, representing the annual variable remuneration related to 2019.

5. Updating the amounts provided in the previous items, with penalizing legal interest. The asked damages should be calculated as the legal penalty interest plus 8% payable per each day of delay as of the date of the registration of the claim until the payment of the 55% of OAVT package by the defendant.

6. Obligation of the defendant to pay the expenses incurred by the request for arbitration.

The case was registered before the Vienna International Arbitral Centre, under no. ARB-5670 Borislavschi(RO) vs Energetica Electrica(RO).

We mention that Ms Augusta Romana Alexandra Borislavschi Popescu was Chief of Corporate Governance & M&A for a period of 4 years. 

Chief Executive Officer

Georgeta Corina POPESCU