Current Report No.: 7/2021

Current Report No.: 7/2021

Date of Preparation: 25 February 2021

Issuer's Abbreviated Name: ENEA S.A.

Legal Basis: Article 17(1) of the Market Abuse Regulation - confidential information

Subject: Information on the intention to include non-recurring operations of an accounting nature in the financial statements for 2020

Body of the report:

The Management Board of ENEA S.A. (Company, Issuer) hereby reports that in connection with the preparation of (standalone and consolidated) financial statements for 2020, as a result of tests for an impairment of assets, on 25 February 2021, the Company identified the need to recognize an impairment loss on the value of shares in ENEA Wytwarzanie sp. z o.o. (ENEA Wytwarzanie) of approx. PLN 2,817 million in the standalone financial statements for 2020 and an impairment loss on the value of ENEA Wytwarzanie's generation assets of approx. PLN 2,881 million in the ENEA Group's consolidated financial statements for 2020.

This event will affect the standalone financial statements of ENEA S.A. by reducing the Company's pre-tax profit and net profit for the reporting period by approx. PLN 2,817 million.

This event will affect the consolidated financial statements of the ENEA Group by reducing the its pre-tax profit by approx. PLN 2,881 million and net profit for the reporting period by approx. PLN 2,334 million.

The events described above are non-cash items and therefore have no impact on either the consolidated or standalone EBITDA for the reporting period.

Please be advised that the said amounts of impairment losses are estimates and as such are subject to change. The final value of impairment losses on ENEA Wytwarzanie's generation assets and shares in ENEA Wytwarzanie will be presented in the periodic reports of the Company and ENEA Group for 2020.

Please note that the term EBITDA is defined as the value of operating profit (loss) + depreciation and amortization + impairment losses on non-financial non-current assets (values presented on a consolidated basis for the reporting period). EBITDA is a standard measure of efficiency of a business activity, in particular for the industry in which the Issuer's Group operates. The above definition and methodology for its calculation are the same as those used to calculate this indicator in the Issuer's periodic reports. The definition above is also included in the glossary of terms and abbreviations available on the Company's website (https://ir.enea.pl/slownik).