Result of tests for impairment of tangiblefixed assets.

With reference to the current report no.53/2017 dated December 22, 2017, the Management Board of PGE PolskaGrupa Energetyczna S.A. ("PGE", the "Company") informs that major worksregarding tests for impairment of tangible fixed assets in accordancewith the IAS 36 have been finished.

Results of conducted tests indicate theimpairment loss of balance sheet value of tangible fixed assets ofConventional Generation segment and Renewable Generation segmentamounting in total to approximately PLN 807 million.

Assets impairment involves in particularSzczecin Power Plant (PLN 473 million) and selected wind assets (PLN 110million) and is related to changes in legal environment regardingsupport scheme for renewable generation.

As a result appropriate impairment losswill be recognized in Consolidated Financial Statements of PGE for theyear 2017.

According to the adopted accounting policyof PGE, impairment losses of tangible fixed assets do not influencereported EBITDA.

Disclaimer: The above value is estimated,unaudited and may change. The ultimate result of impairment tests andvalue of impairment will be presented in Consolidated FinancialStatements of PGE for the year 2017 on March 6, 2018.