CEZ Distribution Bulgaria AD is a joint-stock company of stock distribution as follows:

67% are owned by CEZ, a.s., Czech Republic, and 33% by the Ministry of Economy and Energy of the Republicof Bulgaria. The corporate headquarters is at 330, Tzar Simeon St, the city ofSofia. CEZ Distribution Bulgaria AD is of over a century history and tradition in the field of electricity supply and distribution.

The company has been granted a licence, issued by the State Energy and Water Regulatory Commission (SEWRC) for a period of 30 years:

By the beginning of 2007 the company had been granted still another licence – for public electricity supply. On January 03, pursuant to the specified in § 17 from the Transitional and Final Provisions of the Energy Act, the activities related to electricity distribution and the operation of the distribution networks and the activities related with electricity supply and other EDC activities were legally and organizationally unbundled. The electricity supply was taken over by a newly-established company: CEZ Electro Bulgaria AD, which is a successor of the electricity supply activity of Electricity Distribution Stolichno AD, Electricity Distribution Sofia Oblast AD and Electricity Distribution Pleven AD.

In November 2007 with a decision of Sofia City Court dated November 02, 2007, CEZ merged Electricity Distribution Stolichno AD, Electricity Distribution Sofia Oblast AD and Electricity Distribution Pleven AD. In practice the two electricity distribution companies Sofia Oblast andPleven merged into Stolichno. Electricity Distribution Stolichno took over all responsibilities and obligations of the other two western Bulgarian companies. The aim of the restructuring is to optimize the activity of the company, to improve its management and to achieve higher efficiency. This will result in stable quality of customer service in all West Bulgaria and in the introduction of consistent policy for the electricity network maintenance and development.

On January 29, 2008, with a decision of Sofia City Court, Electricity Stolichno AD was renamed to CEZ Distribution Bulgaria AD.

The company operates in West Bulgaria and covers an area of 40 000 sq km. The area has 2 930 000 residents.

Scope of activity:

• Operation and management of the electricity distribution network, consisting of MV, LV and HV electricity power lines and electricity systems, which is used for transmission and distribution of electric power in order to supply electricity to supplier companies;
• Electricity distribution on the territory of the districts Sofia-city, Sofia, Blagoevgrad, Kyustendil, Pernik, Pleven, Lovech, Vratsa, Montana, Vidin.
• Construction of new electricity distribution and metering systems and maintenance of the operated facilities and equipment.

The company executes its activity in conformity with the energy legislation in force, regulated by the Energy Act and the related legal provisions.