Current Report: Information on the status of the civil action lodged by ALRO against the Competition Council concerning the former’s claim for the cancellation of the Sanction decision no. 82/2015 issued by the Competition Council

Ref: Current report as per article no.234 letter (l) paragraph 1 of Regulation no.5/2018 of FSA regarding Issuers of Financial Instrument and Market Operations, as well as per the provisions of art.99 of the Bucharest Stock Exchange, Tier II, Issuers and Financial Instruments

Significant event to be reported: Information on the status of the civil action lodged by ALRO S.A. against the Competition Council concerning the former’s claim for the cancellation of the Sanction decision no. 82/2015 issued by the Competition Council

The company Alro S.A. hereby informs the shareholders and investors that in the matter of the case file no. 3538/2/2016 which is currently pending before the Bucharest Court of Appeal, whose subject-matter is the claim for the suspension of the enforcement proceedings of the sanction decision no. 82/2015 issued by the Competition Council, on June 10th, 2016 the Bucharest Court of Appeal dismissed the claim as being ungrounded.Following the promotion of the appeal, case file no. 3538/2/2016 registered with the High Court of Cassation and Justice of Romania, the court ordered the first term of the appealon November 14, 2018.

We would like to point out that the information regarding the date for the term of appeal was taken from the Court of Law web portal, as posted on the web site of High Court of Cassation and Justice of Romania.

We would like to remind that, through its previous reports, the Company informed the investors about the receipt of Decision no. 82 of December 24^th, 2015 by which the Competition Council sanctioned our Company by the amount of lei 21,238,718.99, representing 1.05% of the turnover realized in 2014, for an alleged infringement of the competition legislation on the energy production and trading market; moreover, the Company informed on the fact that such Company would analyse and decide on the legal measures that were at the time to be undertaken in order to exercise its right to challenge the sanction decision before the competent courts of law.

Within the legal timeframes, the Company ALRO S.A. lodged three claims before the Bucharest Court of Appeal, namely the claim to cancel the Sanction Decision no.82/24.12.2015 issued by the Competition Council, which is the subject-matter of case file no.3536/2/2016, a claim  for the for the suspension of the enforcement proceedings of the aforementioned Council Decision, which is the subject-matter of case file no.3538/2/2016 and the third claim targeting the dismissal of the Sanction Minute as an administrative document, which is the subject-matter of case file no.954/2/2016. The Company paid the fine issued by the Competition Council, within the legal deadline.

As concerns the status of the above case files, Alro S.A. will inform the general public and the investors in due course.

               Chairman of the Board of Directors                                 Managing Director

                         Marian Daniel Nastase                                           Gheorghe Dobra