Energijos Skirstymo Operatorius AB - Other information

Energijos Skirstymo Operatorius AB strategy for 2016-2020 approved

Energijos Skirstymo Operatorius AB (hereinafter – also the Company),
identification code 304151376, registered office placed at Aguonu str. 24,
Vilnius, Republic of Lithuania. The total number of registered ordinary shares
issued by company is 894 630 333; ISIN code LT0000130023. 

The Board of the Company approved the Energijos Skirstymo Operatorius AB
business strategy  for 2016-2020 (hereinafter - the Strategy), which set out
the Company's long-term strategic direction, objectives and targets. 

The Strategy envisages further increase of operational efficiency and reduce of
operating costs by more than 10% by 2020. In pursuance to ensure high quality
and safe electricity and natural gas distribution services, it is planned by
2020 to increase the volume of investments by 45% by directing funds to improve
the technical condition of the electricity and gas distribution networks. 

The Company will seek to improve the reliability of the electricity
distribution network significantly. It is planned that the system average
interruption duration index (SAIDI with force majeure) of electricity network
will be reduced to 87 minutes by 2020 (2016 - 106 min.). The system average
interruption frequency index (SAIFI with force majeure) will fall to 0.94 times
(2016 - 1.06 times). The Company will also seek to maintain high reliability
indicators of natural gas distribution network. 

The Company plans to shorten the connection time of new customers to the
natural gas distribution network twice: from 177 to 85 days. It is planned that
the connection time of new customers to the electricity distribution network
will shorten from 66 to 50 days. Faster connection process to the electricity
distribution network process will improve the country's ranking in World Bank
Doing Business index, as one of its constituent parts is Getting Electricity
indicator. 

The company will seek to maintain a high level of customer satisfaction,
exceeding the average of Europe energy companies. It is expected that the GCSI
index of the Company customer satisfaction will remain 80 points by 2020. 

Please note, that The Company started operating on 1 January 2016 upon the
implementation of the value enhancement programme of Lietuvos Energija UAB,
whereby a gas distribution public limited liability company Lietuvos Dujos was
merged with an electricity network operator LESTO AB. 

 AB ENERGIJOS SKIRSTYMO OPERATORIUS STRATEGY FOR 2016–2020


         Representative for Public Relations Martynas Burba, tel. (8~5) 2514516.