The Executive Board of Directors of EDP - Energias de Portugal, S.A. ("EDP") has decided to initiate a private process addressed to a limited number of investors in relation to a potential sale of a stake representing a maximum of 15% of the share capital of REN - Rede Eléctrica Nacional, S.A. by the end of 2006, which has received the favourable opinion from the General and Supervisory Board of EDP.  This process represents a step towards the reduction of EDP's shareholding in REN, with the purpose of reaching a maximum stake of 5% of the respective share capital.