COMPANHIA ENERGÉTICA DE MINAS GERAIS - CEMIG

LISTED COMPANY - CNPJ 17.155.730/0001-64 - NIRE 31300040127

MATERIAL ANNOUNCEMENT Absorption of Capim Branco by Cemig GT

Cemig (Companhia Energética de Minas Gerais S.A.) and Cemig GT (Cemig Geração e Transmissão S.A) inform the public, the Brazilian Securities Commission (CVM), and the São Paulo Stock Exchange (BM&FBovespa S.A.) (in compliance with CVM Instruction 358/2002, as amended) as follows:

An Extraordinary General Meeting of Stockholders of Cemig held today decided to authorize absorption by Cemig GT of Cemig Capim Branco Energia S.A., and subsequent dissolution of the latter company.

This absorption is a condition precedent for the Association of Cemig GT and Vale S.A. ('Vale') to establish Aliança Geração de Energia S.A. ("Aliança"), to comprise the interests held by Vale S.A. and Cemig GT in the following power generation assets:

Porto Estrela,

Igarapava,

Funil,

Capim Branco I, Capim Branco II,

Aimorés and

Candonga.


Belo Horizonte, February 27, 2015.
Fabiano Maia Pereira
Chief Finance and Investor Relations Officer

Av. Barbacena 1200 Santo Agostinho 30190-131 Belo Horizonte, MG Brazil Tel.: +55 31 3506-5024 Fax +55 31 3506-5025

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This text is a translation, provided for information only. The original text in Portuguese is the legally valid version.

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