COMPANHIA ENERGÉTICA DE MINAS GERAIS - CEMIG

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

MATERIAL ANNOUNCEMENT Judgment given on Jaguara Plant mandamus case

In accordance with CVM Instruction 358 of January 3, 2002, as amended, Cemig (Companhia Energética de Minas Gerais), a listed company with securities traded on the stock exchanges of São Paulo, New York and Madrid, hereby informs the Brazilian Securities Commission (CVM), the São Paulo Stock Exchange (BM&F Bovespa S.A.) and the market in general, as follows:

The Higher Appeal Court (Superior Tribunal de Justiça - STJ) has given judgment on the Application (Nº 20.432/DF) made by Cemig's wholly-owned subsidiary Cemig Geração e Transmissão S.A. ('Cemig GT') for an order of mandamus to annul the decision in which the Mining and Energy Ministry, by its dispatch of August 23, 2013, refused, on its merits, the application by Cemig GT for extension of its period of concession to operate the Jaguara Hydroelectric Plant, under the terms of its Concession Contract Nº 007/97.

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At the Court's session of June 24, 2015, Justice Assusete Magalhães, who had asked for full sight of the papers in the case at the judgment session of December 10, 2014, voted to refuse Cemig GT's application for an order of mandamus. Following this, Justice Sérgio Kukina then also gave his judgment vote, which was against grant of the order of mandamus. As a result, the decision of the Court is to reject the application by Cemig GT, by a majority of 6 votes to 2. Previously judgment votes had been given by Justices Ari Pargendler, Herman Benjamin, Mauro Campbell and Benedito Gonçalves, against grant of the order of mandamus; and by Justices Arnaldo Esteves Lima and Napoleão Nunes Maia, in favor of granting the order.
The Company respects the decision of the Higher Appeal Court, and awaits publication of the result of the judgment to take any further legal steps that are appropriate.
Cemig will give its stockholders and the market timely updates on the progress of this case.
Belo Horizonte, June 24, 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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