Press releases pg. 17

ČEZ IS ONE OF A FEW LARGE ENERGY COMPANIES THAT IS STILL MAKING MONEY. BUT ITS PROFIT IS DECLINING TOO, AS THE PRICE OF ELECTRICITY DECLINES. THE MAIN REASONS ARE THE LOW PRICES OF COMMODITIES, ESPECIALLY OIL, AND THE SITUATION WITH SUBSIDIZED ENERGY SOURCES. THESE ARE REVOLUTIONARY CHANGES, SAYS DANIEL BENEŠ. (Interview for Hospodarske noviny)

After thoroughly assessing all the related opportunities and risks, ČEZ decided not to submit a binding offer to buy Vattenfall’s German assets. The company is however prepared to further discuss other possible options and terms of the acquisition.

ČEZ today submitted a non-binding offer to acquire Vattenfall’s German lignite and hydro activities. These assets represent an interesting opportunity to expand business of CEZ in a neighboring region. In Europe where coal is still crucial for the overall energy supply, CEZ has extensive know-how in operation of conventional power plants and of lignite mining, as a bridge technology to more renewable energy sources.

INVEN CAPITAL has acquired a minority stake in Sunfire, a company developing and industrialising the most progressive energy technologies that help reduce CO2 emissions and develop decentralized energy generation. ČEZ has thus joined forces with other venture capital funds sponsored by EDF and Total as well as with KfW, a German state-owned development bank.