Press releases pg. 185

In the last year the CEZ Company reached a net income after taxation in the height of 2,259 Kc mln, i.e. ca by 64.5 % less than in the previous year. We had presupposed a decrease of the profit, even more severe, in the beginning of this year. There are several reasons for it, but the key factors are three - decrease of the domestic demand for electricity, stop of the power plant Tusimice I Retrofit and fall of the Czech crown exchange rate.

The Minister of Industry and Trade Miroslav Gregr came today for his already seventh check-day at the Temelin nuclear power plant. In the beginning of his visit lasting for more than three hours, the Minister met representatives of the investor, major contractors and the State Office for Nuclear Safety. Within a working discussion, he was informed about progress of building works, process of starting up and start of hot tests of the first Temelin unit.

The mining company MUS and the power-generation company CEZ signed today (25th February 2000) a contract for this year purchases of lignite. Simultaneously, both parties executed to their mutual satisfaction an agreement of settlement solving the recent disputes concerning bills for lignite which CEZ had failed to accept in 1999.

The power-generation company CEZ, a.s. has appointed The Sumitomo Bank, Limited, Japan as the arranger of the syndicated security amounting to EURO 85 million in favor of the European Investment Bank (EIB). The security to be given for five years is a prerequisite for drawing the second tranche of the loan granted by EIB, amounting to EURO 85 million.