ČEZ - Czech power company · Table of Contents 10.13A 31.3.2003 PL ČEZ - Basics 2002 4 The Czech Power Industry 5 Current Model of the Electricity Market in the Czech Republic 6

10.16A 01.04.2003 PL

ČEZ - Czech power company

April 2003

1duhová energierainbow power

Table of Contents10.13A 31.3.2003 PL

ČEZ - Basics 2002 4

The Czech Power Industry 5Current Model of the Electricity Market in the Czech Republic 6Liberalization of Electricity Market in the Czech Republic 7GDP and Electricity Consumption in the Czech Republic 8Electricity Demand in the Czech Republic Scenarios 9Electricity Demand Structure 10Average Weekly Peak Loads on the Transmission Grid Level 11ČEZ Milestones 12Power in the Czech Republic in Brief in 2002 13Scheme of the Power Supply in the Czech Republic in 2002 (GWh, index 02/01) 14ČEZ´s Share in the Installed Capacity of the Czech Republic 15

Position of ČEZ 16ČEZ Mission Statement 17ČEZ Business Vision 18Organizational Chart of ČEZ as of April 2003 19ČEZ Power Plants 20Installed Capacity of ČEZ 21ČEZ´s Coal-fired Power Plants Emissions 22Balance of Electricity in the Czech Republic 23ČEZ Electricity Supply Structure 24Number of ČEZ Employees as of December 31 25

Nuclear Power 26NPP Temelín - Main Events 27NPP Temelín - Details 28

duhová energierainbow power 2

Table of Contents - Continuation10.14A 31.3.2003 PL

NPP Temelín - the Most Important Improvements of the Design 29NPP Dukovany - Performance Results 30Public Opinion Research about Nuclear Power Plants (%) 31Insurance of the Nuclear Power Plants of ČEZ 32

Regulation and Prices in Power Industry 33Energy Policy of the Czech Republic 34Progress in Establishing of Regulatory Framework 35Development of Electricity Prices (without VAT) 36ČEZ’s Product Offer for 2003 - “Rainbow Power” 37Public Offer of “Rainbow Power” for 2003 38

Ownership Restructuring 39The Shareholders of ČEZ as of February 18, 2003 40Establishing of New ČEZ Group 41Ownership transformation – Procedure of the Transaction 42

Operational and Financial Results 43Basic Data 44Income Statement in Brief (CZK bn) 45Balance Sheet in Brief (CZK bn) 46Investment Program (without financial investments) and Internally Generated Cash Flow 47Development of Long-term Liabilities 48Credit Rating of ČEZ and the Czech Republic 49ČEZ is a Leading Corporate Name in Emerging Europe 50


ČEZ - Basics 200210.2A 31.3.2003 PL

• Dominant power producer in the Czech Republic• Prepared for strong competition on the European market• 49,873 GWh - net electricity generation in 2002• 11,146 MW in operation (from 04/2003 12,146 MW) *• 1,000 MW in construction (from 04/2003 0 MW) *• 7,250 employees

ČEZ Prezentation on InternetHome Page: http://www.cez.cz

http://www.duhovaenergie.czAvailable Reports: Annual Report

Quarterly ReportsOther Information

*) The 2nd unit of NPP Temelín put into the Commercial operation in April 2003


10.3A 17.05.2001 ZM

The Czech Power Industry

Position of ČEZ

Nuclear Power

Ownership Restructuring

Operational and FinancialResults


Current Model of the Electricity Market in the Czech Republic2.44A 08.04.2003 IN

Regulator guarantees equal conditions(regTPA) for all groups of market

participants, controls chargesfor transmission and distribution

Competitiveenvironment

in generation

ČEZ

Market Operator

Energy Traders

ChoiceChoice of of suppliersupplier

Transmission(ČEPS) Distribution

(REAS)

ProtectedCustomers

protected by the law

EligibleCustomers

IndependentPower Producers

Import

Market Operator balances deviationsbetween contracts and real

consumption

RegulatoryOffice

rainbow power 6

0

10

20

30

40

50

60

70

80

90

100

2001 2002 2003 2004 2005 2006 2007

Liberalization of Electricity Market in the Czech Republic8.13 15.4.2003 MH

over 40 GWh

9 - 40 GWh

Customers with annual consumption:

%

duhová energierainbow power

Protected (captive) customershave not right to choose supplier

7

subjectto

approval

less than 0.1 GWh

?

? 0.1 - 9 GWh

GDP and Electricity Consumption in the Czech Republic1.13A 31.3.2003 PL

160%

118.8115.1

111.4110.9112.1

112.9108.3

102.2

120.9

107.9104.9

100.4102.8102.7104.0101.8107.9

112.6109.5

106.5109.3111.3

113.4109.2

103.2 112.4

128.2

139.6

124.4126.5130.6

144.2

133.7

117.5

127.1

98.9

140%

120%

100%

80%

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002

Gross Domestic Product (GDP)

Total electricity consumption

Electricity consumption, households excluded

Households


Electricity Demand in the Czech Republic Scenarios1.43A 11.04.2003 MH

TWh

42,000

46,000

50,000

54,000

58,000

62,000

66,000

70,000

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Reality (1993 – 2002)ČEZ scenario (2003 – 2010)


Zone according to Tractebel scenarios(result of the least cost study in 1992)

Zone according to Czech EnergyRegulatory Office scenario (the latest versionfrom 2002 )

9

Electricity Demand Structure1.8A 31.3.2003 PL

2002* 2005*1993


Industry Households Commerce and Business Services

Transport Agriculture and forestryConstruction

5%23%

18%22%

18%

4%2%

5%

19%

25%2%4%

1%1%1%

48%49% 53%

*) Estimation

Average Weekly Peak Loads on the Transmission Grid Level1.14A 13.2.2003 PL

(for days Tue-Fri, recalculated for 50 Hz and standard temperature)

11,000

10,000

9,000

MW

8,000

7,000

6,000

5,0001 4 7 10 13 16 19 22 25 28 31 34 37 40 43 46

Week49 52

1989 2001 2002


ČEZ Milestones2.2A 8.4.2003 MH

19961990 Separation of regional distribution companies, heat and other activities1992 ČEZ established as Joint-Stock Company1993 ČEZ partially privatized (27%)

Regional distribution companies established as joint-stock companies1994 Energy Act passed by Parliament1995 Partial privatization of regional distribution companies (app. 50%),

further step at ČEZ privatization (up to 33%)ČEZ grid connected to UCPTE

1996 Nuclear Act passed by Parliament1999 ČEPS established as a subsidiary of ČEZ2000 New Energy Act passed by Parliament (market liberalization 2002 to 2006)01/2002 Full Market opening for generation03/2002 Tender for privatization of FNM shares in ČEZ and regional distributors

canceled, Government decided for integration within FNM06-08/2002 Signature of agreements for purchases 5 majority and 3 minority stakes

in the regional distribution companies from FNM and ČKA to ČEZ, sale of 51% stakein ČEPS from ČEZ to OSINEK, and sale of 15% stake in ČEPS from ČEZ to the Ministryof Labour and Social Affairs

03/2003 Anti-trust Office approves merger under some restrictive conditions04/2003 Realization of the whole transaction. ČEZ acquires shares in all regional

distribution companies and loses majority in ČEPS.


Note: FNM = National Property Fund,ČKA = Czech Consolidation Agency

Power in the Czech Republic in Brief in 20021.1A 31. 03. 2003 PL

Czech RepublicCzech power market and

its participantsInstalled capacityas of 31st December 2002Maximum load in 2002Net electricity generation

16,311 MW11,205 MW ČEZ -

sale of purchased energy5.8% ČEZ -

sale of itsown production

56.6%

IPP37.6%

70,393 GWh

ČEZ, a. s.Installed capacityas of 31st December 2002Net electricity generation

11,146 MW49,873 GWh

ČEZ´s market share62.4%


Scheme of the Power Supply in the Czech Republicin 2002 (GWh, index 02/01)

1.4A 07.04.2003 PL

Import**

4,085(493.4%)

Export**

16,298(134.2%)

Distributionnetworklosses4,061

(99.8%)

Sale in powerplant

premises28

(127.3%)

Pumpedstorage

power plants479

(86.2%)

Transmissiongrid losses*

694(91.22%)

Otherconsumption

494(108.1%)

Self consumptionOther

consumptionNetworklosses Import

20,272(98.4%)

248(107.4%)

Otherconsumption

1,274(124.5%)

135(x)

102(125.9%)

2,809(39.2%)

176(119.7%)

973(53.7%)

Export

282(>500%)

Industry30,125 (98.6%)

Households14,122 (99.2%)

Commerce7,451 (101.6%)

Commerceand Industry

37,576 (99.2%)Dis

tribu

tion

com

pani

es

ČEZ49,873

(104.0%)

Small scaleconsumers

(LV)21,573 (100.0%)

Large scaleconsumers

(HV)27,316 (116.8%)

(RE

AS

)

Import

Distributioncompanies + dealers

Independent*/ incl. sale to ČEPS**/ incl. import and export ČEPS power producers


ČEZ´s Share in the Installed Capacity of the Czech Republic1.12A 1.4.2003 PL

14,285 15,443 16,31113,826 13,793 15,073 15,293 15,216 15,32414,93718,000

10,655 10,235 10,184 10, 999 10,999 10,900 10,151 10,146 10,146 11,146

3,591 3,6093,938 4,074 4,393 5,065 5,178 5,297

5,1653,630 (32%)

(68%)(75%)

(25%)

16,000

14,000

12,000

MW 10,000

8,000

6,000

4,000

2,000

01993 1994 1995 1996 1997 1998 1999 2000 2001 2002

ČEZ IPP


10.4A 18.05.2001 ZM


Position of ČEZ

Nuclear Power

Regulation and Prices inPower Industry




ČEZ Mission Statement2.1A 31.03.2003 MH

…to meet demand for electricity and auxiliary

services of both traditional and newly acquired

customers on the basis of successful

market operation.

ČEZ will reliably supply safely and

environmentally friendly produced electricity,

using preferentially its own sources.


ČEZ Business Vision2.24A 31.03.2003 MH

To ensure optimum level of electricity sales,

enabling efficient use of production capacities,

to be a respected, sought-after,

reliable commercial partner and an attractive

employer of skilled employees,

and thus to ensure an attractive return on equity

and an increase of the company´s

market value.


Organizational Chart of ČEZ as of April 2003 2.6A 8.4.2003 MH

GENERAL MEETING JOINT-STOCKCOMPANY

STATUTORY BODIES

SUPERVISORY BOARD

HEADQUARTERS

BOARD OF DIRECTORSChairman

IT &Telecom.

Strategy& Controlling Taxes

Planning

Finance(CFO)

EconomicAdministration

Quality& Security

CPP Hodonín

Personnel

Generation

Technology

Purchasing

AssetAdministration

CPP PočeradyCPP Ledvice

CPPs TušimiceCPP Tisová

CPPs Prunéřov HYDRO PPs

CPP MělníkCPP ChvaleticeCPP Dětmarovice

CPPs Poříčí

Coal & HydroGeneration

NPP Temelín

ORGANIZATIONALUNITS

COAL & HYDROPRODUCTION

InternalAuditChief Executive Officer NUCLEAR

PRODUCTION

Subsidiaries,Affilated comp.

& Joint-ventures

ČEZTrade NPP Dukovany

Trade

Accounting

FinancialOwnership

PropertyManagement

Balance

Trade Support

& Develop.

Management System &

External Relat.

StrategicalDevelopment

Financing

HumanResources

Office of the CEO

& Legal

Distribution

Personnel

Nuclear FuelCycle

Economyand Purchasing


NuclearGeneration

1

ČEZ Power Plants2.8A 01.04.2003 PL

13 BROWN COAL-FIRED

1 COMBINED HEAT AND POWER1 HARD COAL-FIRED13 HYDRO

3 PUMPED STORAGE

1 NUCLEAR

ČEZ POWER PLANTS

DLOUHÉ STRÁNĚ I, II

CHVALETICE

HODONÍN

DALEŠICEMOHELNO

HNĚVKOVICE

Č. BUDĚJOVICE

KOŘENSKO IIKOŘENSKO I

KAMÝKSLAPY

ŠTĚCHOVICE IŠTĚCHOVICE II

VRANÉ

K. VARY

ÚSTÍ n. L.

MĚLNÍK II, III

PRUNÉŘOV I, IIŽELINA

POČERADY

LEDVICE II, III

DĚTMAROVICE

OSTRAVA

BRNO

HR. KRÁLOVÉ

PARDUBICE

MĚLNÍK

POŘÍČÍ II

TUŠIMICE IIDVŮR KRÁLOVÉ

MRAVENEČNÍK

PRAHATISOVÁ I, II

PLZEŇ

ORLÍK

ZLÍN

DUKOVANY

TEMELÍN

LIPNO I, II1 NUCLEAR IN CONSTRUCTION

1 WIND


Installed Capacity of ČEZ2.16A 07.04.2003 PL

11,146 12,08614,000

6,517

2,760

1,869

6,457

3,760

1,86912,000

10,000

MW

6,000

8,000

4,000

2,000

01993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003* 2004* 2005*

Coal power plants Clean coal power plantsNuclear power plants Hydro power plants

Notes: Installed capacity 1 MW of wind PP is includedin the installed capacity of hydro PP *) Estimation


ČEZ´s Coal-fired Power Plants Emissions5.1A 1.4.2003 PL

Index 2002/1993

SO2 9%NOx 51%

CO 27%Fly-ash

SO2NOx

Fly-ash

5%

CO1993 1994 1995 1996 1997 1998 1999 2000 2001 20020

100

200

300

400

500

600

700

800

kt


Balance of Electricity in the Czech Republic1.10A 02.04.2003 PL

Balance of import and export of ČEZ

Balance of import and export of the others

45,377 48,266 47,892

12,43713,328 14,486 15,991 16,590 17,22018,646

22,624 22,48522,230

17777 1,949 636 996 1,023 1,388

1,598 1,902 4,204

-2,121-1,222 -1,531 -639 -2,184 -3,484-4,664

-11,615 -11,441-15,591

46,445 46,361 48,008 45,72250,842

54,11852,162

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002

70,000

60,000

50,000

GW

h

30,000

40,000

20,000

10,000

0

-10,000-20,000

Gross production of the othersGross production of ČEZ


ČEZ Electricity Supply Structure2.15A 2.4.2003 PL

604%

35%

61%50%

47%

3%50

40

TWh

20

30

10

01993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003* 2004* 2005*

Clean coal power plantsCoal power plants Hydro power plantsNuclear power plants *) Estimation


Number of ČEZ Employees as of December 314.1A 2.4.2003 PL

14,000

ČEPS

13,723

12,14311,664

11,280 11,157

10,314

9,2668,795

7,5527,250 6,767

483483

459427

ČEZ

9,749

ČEZ

9,278

8,011

ČEZČEZ

7,677

13,000

12,000

11,000

10,000

9,000

8,000

7,000

6,000

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003*

*) Estimation


10.5A 18.05.2001 ZM


Position of ČEZ

Nuclear Power





1986 Building permit issued1987 Construction of operational buildings commenced1990 Construction of units No. 3 and 4 stopped1993 Contracts ČEZ - Westinghouse signed1995 Transformation of the main contracts ČEZ - Škoda Praha1995-1998 Change of cabling1997 Supply of nuclear fuel from Westinghouse

04/2000 Hot function test of the 1st unit

03/2002 Fuel loading into the 2nd unit

1998 Contract amendmentsČEZ - Škoda Praha - Westinghouse signed

06/2002 Commercial operation of the 1st unit04/2003 Commercial operation of the 2nd unit

07/2000 Fuel loading into the 1st unit

NPP Temelín - Main Events2.26A 15.04.2003 MH


NPP Temelín – Details2.27A 31.03.2003 MH

Type of reactor PWR - pressurized water reactor. as majority ofreactor types in the world, proven types in CIS,Slovakia, Finland, Hungary and Bulgaria(totally different from Chernobyl reactor)

Basic description Based on the original Russian technical designwith many improvements to achieve higheroperational safety

USD 3 bn - very competitive amountTotal investment costs

2 x 1,000 MWInstalled Capacity

11.6 TWhAnnual production


NPP Temelín - the Most Important Improvements of the Design2.29A 31. 03.2003 MH

Replacement of the instrumentation and control system (I&C)

Replacement of the nuclear fuel

Replacement of the radiation monitoring system

Replacement of the diagnostic and monitoring system

Replacement of the cabling (for non-flammable and fire-resistant cabling)

Modification of the electric components

New accident analyses

New safeguard system

New training system for personnel incl. usage of full-scale simulator


NPP Dukovany - Performance Results2.20A 10.04.2003 MH

Global reactor rankings as of December 31, 2001 (Cumulative Load Factor)

Rank out of 421: 92 80 102 7982

80.3 80.9 79.6 81.0

70.4


Cum

ulat

ive

aver

age

load

(%)

64

66

68

70

72

74

(life

time)

fact

or

80

78

76

Unit 1 Unit 2 Unit 3 Unit 4 ArithmeticannualaverageNote: Worldwide data for 2002 is not yet available

Source: Nuclear Engineering International

Public Opinion Research about Nuclear Power Plants (%)2.39 02.04.2003 PL

NPP Temelín


6771 73

86NPP Dukovany

84

69

52

6559 58 58 60

55 52 5255

60

69 71 75

3/93

4/94

11/94 3/9

511

/95 3/96

11/96 3/9

711

/97 3/98

11/98 5/9

94/0

011

/0110

/021995 1996 1997 1998 2000

Support of continuation of operationPublic approval of completion by STEM agencyin the region by AISA agency

Insurance of the Nuclear Power Plants of ČEZ2.38A 09.04.2003 EN

Property damage insurance - NPP Dukovany since December 1998- NPP Temelín since July 2000

Nuclear third party liability insurance (operational) - NPP Dukovany since January 1998- NPP Temelín since July 2000

Nuclear third party liability insurance - transport of nuclear fuel - from the Russian Federationfor NPP Dukovany and from the United States of America for NPP Temelín – since 1996

Liability insurance is concluded according to the Czech Atomic Act.

Policies are concluded with the Czech Nuclear Pool.

The necessary reinsurance support is provided within international pooling system (foreignnational nuclear insurance pools).

The property and liability risks in both NPPs are checked in the course of risksurveys which are regularly carried out by international teams of inspectors.


10.6A 17.05.2001 ZM


Position of ČEZ

Nuclear Power





Based on pillars similar to Energy Policy of EU (protection of environment, reliability of energy supply, competitiveness of economy)Legislation framework for principal objectives of energy policy comprises the newEnergy Act and the Act on Energy Economy (effective since January 1, 2001)

Completion of tariffs structure and prices rectification completion(removal of cross subsidies to the year 2002)

Privatization of the state shares in energy companies (ČEZ and regionaldistribution companies to 2002) - modification 03/2002

Establish the independent regulatory body (done 2001)Forming the internal electricity market

Adopted the system of the savings of energy and exploitation of renewable sources(law adopted in 2000, modification expected in 2003)

Observing the territorial limits of brown coal mining (enable mining to the year2040)Further development of nuclear energy

Energy Policy Objectives

Energy Policy of the Czech Republic1.7AD 8.4.2003 MH


New Energy Policy is to be processed in 2003.

3

Progress in Establishing of Regulatory Framework8.2A 8.4.2003 MH


•

•••

Clean Air ActEnergy Act (effective since January 1, 2001,amendment expected in 2003)Atomic ActEnvironmental Impact Assessment Act (EIA)Act on Energy EconomyAct on Renewable Sources of Energy (exp. in 2003)

•••

Environmental monitoringRules for nuclear liability insuranceDecrees to the Energy Act

•Sets competition and licensing rulesAuthorizes new power conctructions

decision to join

energy sectorin accordance

Driven by the government

the EU and deregulate

with EU directives

•

•

•

3

Key legislationissued and implemented

Sub-legislation

Tariff regulated byindependent regulator

Branch structureregulated by Ministry of

Industry and Trade

• Approves protected consumers´ prices

• Approves prices of system services (auxiliaryservices)Approves prices of transmission and distribution(from 2002)

• Monitors cost and investment programs

•

Development of Electricity Prices (without VAT)9.3A 31.10.2002 MH

Indexhouseholds/industry:

1.13

2.29

0.95

1.41

2.02

0.46 1.44??

??

2.5

2.0

1.5

1.0CZK

/kW

h

0.5

0.01989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002


Consumers from HV and VHV Transfer prices ČEZ - REAS (transmission included)Companies from LV including ancillary servicesHouseholds excluding ancillary services

9.1A 9.4.2003 MH

ČEZ’s Product Offer for 2003 - “Rainbow Power”

• ČEZ started to sell its set of products „Rainbow Power“ for 2003 in the third quarter of 2002

• This set consists of 11 individual standard products

• A possibility of an option for some products above

• Publicly offered to REAS, traders and eligible customers

• 8 REAS and 2 other companies have accepted this offer

• More than 90% of planned domestic sales was contracted


Public Offer of “Rainbow Power” for 20039.6A 09.04.2003 PL


0 9 18 27 36 45 54 63 72 81 90 99 108

117

126

135

144

153

162

0 9 18 27 36 45 54 63 72 81 90 99 108

117

126

135

144

153

162

Summer week - minimum

Cap

acity

MW

hours

hours

Cap

acity

MW

Winter week - maximum

745 CZK/MWh

Cap

acity

MW

Full year 2003

year = 8,760 hours

monthly 5 days blockannual 5 days blockmonthly 5 days bandmonthly 7 days bandannual 5 days bandannual 7 days band

residual

10.7A 17.05.2001 ZM


Position of ČEZ

Nuclear Power





The Shareholders of ČEZ as of February 18, 20033.2A 09.04.2003 PL

National PropertyFund (FNM)

67.6%

InstitutionalInvestors

18.6%

Individuals4.3%

Custodians9.5%

Note: Custodians may manage portfolios of both individuals and institutional investors


Establishing of New ČEZ Group2.32A 09.04.2003 MH

STE

ZČE

SČE

VČE

JME

JČE

PRE

ČEPS

ČEZ

Shareholders´equity as on Sept. 30, 2002Shares as on April 1, 2003

Minority share of ČEZMajority share of ČEZ, no share prior to April 1, 2003

SME

ČEZShareholders´ equity CZK bn 126Share of FNM 67.6 %

Shareholders´ equity CZK bn 6.7Share of ČEZ 3,0 % + 48,0 %

Shareholders´ equity CZK bn 8.0Share of ČEZ 0 % + 34,0 %





Shareholders´ equity CZK bn 4,2Share of ČEZ 0 % + 34,0 %


ČEPSShareholders´ equity CZK bn 13Share of ČEZ 100 % - 66 %

Majority share of ČEZ, small share prior to April 1, 200According to Anti-trust Office decision, ČEZ has to sell all minority shares in REAS and ČEPS, and one of the majority shares. The terms for sales are undisclosed.

duhová energie 4

Ownership transformation – Procedure of the Transaction2.34A 08.04.2003 MH

January/December 2001- Privatization tender for all state sharesin ČEZ + 6 distributors but no investor selected at the end

March 2002 - Government confirms the idea of reintegration

May 2002 - Government approves transaction in detail

June 11, 2002 - Approval by the General Meeting of ČEZ

June/July 2002 - Signature of agreements for• Sale of 51% stake in ČEPS from ČEZ to OSINEK• Sale of shares of REAS from FNM to ČEZ

August 2002 - Signature of agreement for sale of 15% stakein ČEPS from ČEZ to the Ministry of Labour and Social Affairs

March 2003 - Approval by the Antimonopoly Office of the whole transaction

April 1, 2003 – Completion of the deal (post-closure conditions remain)

Note: FNM = National Property Fund


10.8A 17.05.2001 ZM


Position of ČEZ

Nuclear Power





Basic Data7.1A 09.04.2003 ZM

1997 1998 1999 2000 2001 2002

Capacity at end of period (MW) 10,999 10,900 10,151 10,146 10,146 11,146

Electricity sales (GWh) 49,333 48,179 46,570 50,449 50,850 53,174

Number of employees at end of period 11,157 10,314 9,266 8,795 7,552 7,250

Capital expenditures in CZK bn * 23.43 25.81 22.73 21.62 15.32 10.33

*/ Data is in accordance with IFRS


Income Statement in Brief (CZK bn)7.3A 09.04.2003 ZM

1997 1998 1999 2000 2001 2002

Operating Revenues 54.81 54.97 53.53 52.43 56.06 55.58

Operating Expenses 40.77 42.3 43.49 39.8 41.38 44.32

Income before interest, taxesand depreciation (EBITDA) 21.3 21.1 19.08 22.01 24.04 22.98

Operating Income (EBIT) 14.04 12.68 10.04 12.63 14.68 11.25

Other Expenses/Income 4.41 - 0.76 4.83 2.03 1.39 - 0.54

Income before income taxes (EBT) 9.63 13.43 5.21 10.60 13.29 11.80

Income Taxes 4.18 3.46 0.92 3.36 4.17 3.38

Net Income 5.45 9.97 4.29 7.24 9.12 8.42

Note: All data is in accordance with IFRS


Balance Sheet in Brief (CZK bn)7.5A 09.04.2003 ZM

1997 1998 1999 2000 2001 2002

Total Assets 183.06 196.21 211.49 222.26 229.03 231.47

Net Plant in Service 89.82 95.44 94.75 92.95 87.64 138.98

Construction Work in Progress 74.88 81.34 91.46 103.59 111.93 56.51

Shareholders´ Equity 107.93 117.92 122.21 129.44 136.73 143.68

Long-term Liabilities 57.12 52.47 69.54 70.61 64.48 59.60

Current Liabilities 14.88 20.32 13.48 14.16 17.95 15.65



Investment Program (without financial investments) and Internally Generated Cash Flow

6.3AD 17.4.2003 MH


Capitalized interest

Payments for nuclear fue

Nuclear power - Temelín

Other nuclear power

Environment

Performance upgrade

Waste treatment

Transmission system

Other projects

Notes: All data is in accordance with IFRS.*) Estimation

21.7

21.8

19.0

19.5

19.4

18.818.3

19.5

18.2

18.3

0

5

10

15

20

25

30

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003* 2004* 2005*

CZK

bn

21.024.1

28.827.1

23.422.1

21.5 21.0

14.7

10.4 10.08.4

8.9

Net cash provided byoperating activities

4

Development of Long-term Liabilities

Current portion of LT debt

LT debt, totalBonds, net of currentportion

Other LT debt, net ofcurrent portionAccumulated provisionfor nuclear dec. and fuelstorage

Bonds, total

CZK

bn

64.5

21.423.9

18.512.7

24.6 23.0

23.616.9

24.6 23.010

20

30

40

50

60

7059.6

48.2

39.9

7.24A 9.4.2003 MHMethodical change as of January 1, 2002– debts recounted to original currency

(USD, EUR)

8,1 EUR 22%

USD36%

CZK 42%CZK39%

EUR 23%

USD38%

CZK69%

USD25%

7_24A 11.04.2003 MHEUR 6%Including financial

derivatives (CZK)

0December 2001 December 2002



Credit Rating of ČEZ and the Czech Republic *)3.1A 27.01.2003 Pl

A+ A1

A2A

A- A3

BBB+ Baa1

Baa2BBB

Baa3BBB-

Ba1BB+

1994 1995 1996 1997 1998 1999 2000 2001 2002

Moody´s


ČEZ, a. s. ČR *)

Standard & Poor´sČR *)*) LT Foreign Currency Government Bonds' Rating

ČEZ, a. s.

ČEZ is a Leading Corporate Name in Emerging Europe2.37A 8.4.2002 MH

One of the largest publicly traded utilities in Centraland Eastern Europe

Largest electricity producer in the region

One of the leaders in revenues and in profitin the Czech Republic

First and one of the largest corporate bond issuersin emerging Europe

First rated and investment grade company in emergingEurope (currently Baa1/BBB+)

Stock regarded as a proxy for the Czech stock exchange market


Documents

ČEZ - Czech power company · Table of Contents 10.13A 31.3.2003 PL ČEZ - Basics 2002 4 The Czech Power Industry 5 Current Model of the Electricity Market in the Czech Republic 6