Energa S.A.

Report Publication Announcement • Oct 13, 2017

Current Report No. 40/2017

Date of Preparation: 13 October 2017

Subject: Information about impairment losses on wind assets

Legal Basis: Art. 17 sec. 1 MAR - confidential information.

The ENERGA SA Management Board hereby reports that in connection withchanges in the market environment, such as the falling prices for thecertificates of origin for energy and the persistently low electricityprices, certain factors have been identified that may result in adecline in some of the ENERGA Group's recoverable assets.

As a result of conducted impairment tests conducted for Q3 2017, on 13October 2017 the decision was made to recognize impairment losses in theGeneration Segment for the existing wind farms totaling PLN 70.6 milionand for the goodwill totaling PLN 10.9 milion. The total impact exertedby these impairment losses on the ENERGA Group's consolidated financialstatements for Q3 2017 is PLN 81.4 million. The above operation is of anon-cash nature. It will be charged to the ENERGA Group's operatingresult without impacting the EBITDA result.

After making these impairment losses, the book value of the wind farmsin the ENERGA Group's consolidated balance sheet is PLN 520.5 million,including PLN 8.1 million for future wind power plants.

The presented items are estimates and subject to change. They will betaken into consideration in the interim report for Q3 2017 to bepublished on 8 November 2017.