The settlement is the result of negotiations concerning the payment of contractual penalties for Alstom's failure to complete the 858 MW unit construction project on time.

The reached settlement closes the matter of PGE GiEK SA's claims in this respect and fully offsets the company's damage and lost profits. The parties have not revealed the terms of the settlement.

"From the technical point of view, the unit is working perfectly, reaching a maximum capacity of 910 MW," said Tadeusz Banasiak, Managing Director of the Bełchałów Power Plant Branch.

Łukasz Witkowski
External Communication Manager
PGE Polska Grupa Energetyczna SA                                                                      

GK PGE
The PGE Capital Group is the largest power company in Poland and one of the largest such companies in Central and Eastern Europe. Because of its size and position, it is a very important link in Poland's energy security system. PGE CG is the undisputed leader with respect to the installed capacities, volume of generated electricity and the number of end users. The PGE Capital Group has a 40% share in Poland's power generation market and a 26% share in the electricity distribution market.   PGE CG's activities are divided into five segments: Conventional Power Generation, Renewable Power Generation, Nuclear Power Generation, Distribution Retail Sales and Wholesale Trade. The Group employs over 46,000 people and boasts 13.1 GW of installed generation capacities. In 2010 the PGE Capital Group's net electricity production reached a net level of 53 TWh. PGE's largest competitive advantage is its presence in almost all links of the value chain in the power generation industry (with the exception of electricity transmission, which is the domain of PSE Operator S.A.). One of the most important principles followed by the PGE Capital Group is sustainable development.