Ref: Current report as per art.113 item A par. j) of the National Securities Commission’s Regulation no.1/2006 on the issuers of and operations with securities, as subsequently amended and completed, as well as per the provisions of art.99 of the Buchares

Significant event to be reported:

Information on the status of the civil action lodged by S.P.E.E.H. Hidroelectrica S.A. against Alro S.A.  concerning the electricity producer’s material claims, representing claimed unachieved benefits related to the bilateral agreement with Alro.

The company Alro S.A. hereby informs the shareholders and investors that in the matter of the case lodged by S.P.E.E.H. Hidroelectrica S.A. against Alro S.A., which is subject to the case file no. 13264/3/2015 currently pending before the Bucharest Court of Law, on the hearing date of May 11^th 2016 the Court examined the case and postponed the decision delivery for May 25^th 2016 and subsequently, for June 8th 2016.

On June 8^th 2016 the Bucharest Court of Law has briefly ruled the following resolution: The Court dismisses the request related to the first header of claim and the claims related to the second header of claim, for the period January 1^st 2011 - April 9^th 2012 concerning the time-barring of the material right to claim. The Court dismisses the claims related to the second header of claim, for the period April 10^th 2012 – May 31^st 2012, as being ungrounded. Right to appeal within 30 days since the notification. Appeal to be filed at the Bucharest Court of Law, 6^th Civil Division. Decision delivered in open session today, June 8^th 2016.

Mention is made that the information regarding the court resolution has been excerpted from the Court of Law web portal, as posted on the web site of Bucharest Court of Law on June 10^th 2016.