C.N.T.E.E. Transelectrica

Earnings Release • Aug 16, 2018

To the: Bucharest Stock Exchange – Department of Operations Issuers Regulated Markets

Financial Supervision Authority - General Directorate Supervision - Issuers Division

Current report as per the provisions of Regulation 5/2018 of ASF and the BVB Code Date of the report: 16 August 2018

Name of Issuer Company: CNTEE TRANSELECTRICA SA, Company Managed under Two-tier System Headquarters: Bucharest 1, Blvd. Magheru no. 33 Working location: Bucharest 3, Str. Olteni no. 2-4 Phone / fax numbers: 4021 3035 611 / 4021 3035 610 Single registration code: 13328043 Number in the Commercial Register: J40/8060/2000 Share capital subscribed and paid: 733,031,420 Lei LEI Code: 254900OLXCOUQC90M036 Regulated market where the issued securities are transacted: Bucharest Stock Exchange

Important event to report: – Summary of financial results in semester I 2018 Such report includes:

• Report on the activities of CNTEE Transelectrica SA in semester 1 2018
• Simplified stand-alone intermediary financial statements non-audited on 30 June 2018

The segment of profit allowed operations: increase of billed quantity compared to S1 2017 has not attenuated the effect of the 10% drop in the average transmission fee, and EBITDA has got negative influence in the first 6 months of 2018 because electricity procurement prices on the wholesale market to cover losses in the transmission network have increased.

The zero profit operations: positive result of 33 mill Lei compared to the null result registered in the same period of last year, the 2018 positive development being determined by the 5% increase in the average tariff approved by ANRE for technological system services and by the 2% growth of the amount of delivered electricity.

	M. U.	S1 2018	S1 2017	∆
Financial
PROFIT ALLOWED ACTIVITIES
Billed quantity	[TWh]	27.96	27.40	▲2%
Total revenue	[mill lei]	560	615	▼9%
Average transmission fee (achieved)	[mill lei]	16.81	18.66	▼10%
Revenues from transmission and other activities on the energy market	[mill lei]	505	554	▼9%
EBITDA	[mill lei]	230	285	▼19%
Amortisement	[mill lei]	151	156	▼3%
EBIT	[mill lei]	79	129	▼39%
ZERO PROFIT ACTIVITIES
EBIT	[mill lei]	33	0	n/a
ALL ACTIVITIES (PROFIT ALLOWED AND ZERO PROFIT)
EBIT	[mill lei]	112	129	▼13%
Net profit	[mill lei]	98	98	n/a
Operational
Consumption	TWh	29.1	28.5	▲2%
Output	TWh	30.7	30.5	▲1%

The report on CNTEE Transelectrica SA activities in Semester 1 2018 and the Simplified stand-alone intermediary financial statements non-audited on 30 June 2018 are available beginning with 16 August 2018.

Export TWh 2.8 3.5 ▼20%

Online, on the website www.transelectrica.ro, section Investor Relations Periodical Reports / Reports, namely https://www.transelectrica.ro/rapoarte-2018;

At Company location: str. Olteni no. 2-4, Bucharest 3

Adrian-Constantin RUSU Executive Director General Directorate Chairman

Andreea Georgiana FLOREA Directorate Member