Energias do Brasil, a subsidiary 64.8% controlled by EDP and listed in the São Paulo Stock Exchange, concluded on September 11, 2008 an asset swap deal with Grupo Rede, through which Energias do Brasil acquired a majority stake in Lajeado hydro plant and disposed its subsidiary Enersul (electricity distribution company in the State of Mato Grosso do Sul).

According to the Brazilian law the minority shareholders of Energias do Brasil which did not attend the shareholders? meeting in which the deal was approved by unanimity by the attendant shareholders, had the option to sell their shares to Energias do Brasil at their book value at 31 December 2007 (BRL23.82 per share). This put option could have been exercised until October 13, 2008.

After the end of the exercise period, the total amount of shares to be sold to Energias do Brasil was 13,110,225 shares, corresponding to 8.26% of the share capital of the company.

The financial settlement for the acquisition of these treasury shares by Energias do Brasil, by a total amount of 312.3 million reais will take place on October 27, 2008.

EDP - Energias de Portugal, S.A.