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CENTRAIS ELETRICAS BRASILEIRAS S/A

CNPJ: 00.001.180/0001-26

PUBLIC COMPANY

 

 

Centrais Elétricas Brasileiras S/A (“Company” or “Eletrobras”) hereby informs its shareholders and the market in general that, received on November 13, 2017, from B3 S.A ("Brasil, Bolsa e Balcão"), the Official Letter 1724/2017-SAE, requesting clarifications regarding the news published on November 13, 2017, at Valor Econômico website, under the title "Federal Government concludes the Eletrobras modeling", as transcribed below:

 

“Subject: Official Letter 1724/2017 – SAE – Request for clarification on news in the press

 

Centrais Elétricas Brasileiras S.A. – Eletrobras

 

At. Mr. Armando Casado de Araújo

CFO and Investor Relations Officer

 

Ref.: Request for clarification on news in the press

 

Dear Officers,

 

In a news article published by Valor Econômico on 11/13/2017, under the heading "Federal Government concludes the Eletrobras modeling ", among other information, it is stated that:

 

the Tucuruí huge power plant should have the contract renewed in advance for 30 years. The concession of the hydroelectric plant expires in 2024 and the extension of the term guarantees more revenues to the National Treasury;

the expectation is to have the text of the bill project authorizing the privatization of Eletrobras approved in the House of Representatives before the parliamentary recess at the end of the year and in the Senate in the first quarter of 2018;

in theory, from the general meeting, Eletrobras' capital increase operation could take place immediately. By the timetable drawn, the capitalization would occur only in October or November 2018, at the end of the elections.

 

We request clarification on the items indicated, until 9:00 am on 11/14/2017, with your confirmation or otherwise, as well as other information considered important.

 

 

 

 

 

 

In attention of the above mentioned Official Letter, we clarify that, according to Market Announcements issued on August 22, September 18, October 3 and November 8, 2017, as well as the Relevant Facts released on August 21 and 22 and November 9, 2017 , the Company informs its shareholders and the market in general that Eletrobras' potential privatization issue is being handled by its controlling shareholder, and has not formally received from the controlling shareholder any information, reports or studies regarding news releases by the media.

 

According to CVM Instruction 358/02, the Company sent correspondence to its controlling shareholder, through the Supervisory Ministry of Eletrobras, reiterating the need that relevant acts or facts involving the Company should be disclosed to the market, pursuant to the referred regulation.

 

 

 

 

 

 

 

 

Rio de Janeiro, November 13, 2017.

 

 

Armando Casado de Araujo

CFO and Investor Relations Officer

 

 

 

 

 

                                           

 

 

 

CENTRAIS ELÉTRICAS BRASILEIRAS S.A. - ELETROBRÁS
By:	/S/ Armando Casado de Araujo
	Armando Casado de Araujo Chief Financial and Investor Relation Officer