PGE Polska Grupa Energetyczna S.A.

Regulatory Filings • Jul 5, 2016

Information about the test for impairment of assets being conductedwithin the Renewables segment.The Management Boardof PGE Polska Grupa Energetyczna S.A. ("PGE") discloses that PGEidentified indications to conduct tests for impairment of assets inaccordance with the IAS 36, regarding assets of Renewables segment.Amongrationales behind conducting impairment tests were:- changes inmarket environment (prices of green certificates),- changes in legalenvironment (increase of tax burden caused by Wind Farm Investment Act).

Impairment tests implied the total loss at the consolidated balancesheet (PGE Group) of approximately PLN 0.8 billion. The above valueincludes: tangible fixed assets related to operating wind farms,investment projects and goodwill.

Appropriate impairment loss will be recognized in the consolidatedfinancial statements of PGE for the first half of 2016.

According to initial estimates, the net value of tangible fixed assetsattributable to wind farms of Renewables segment, after the recognitionof impairment losses, amounts to approximately PLN 2.3 billion,including investment projects of approximately PLN 0.2 billion.

Impairment tests indicated that hydro power plants and pumped storagepower plants were not subject to impairment losses.

Disclaimer: Value presented above is estimated and may change. Finalresult of the tests and value of the impairment of assets will bepresented in the consolidated financial statements of PGE for the firsthalf of 2016 that will be published on August 9, 2016.