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ENDESA (NYSE:ELE) -- 73% of the total figure (Euro 2.5 billion) is earmarked for Spain and Portugal, 15.5% will be spent on Latin America and 11.5% on Europe. -- Of the Euro 2.5 billion earmarked for Spain and Portugal, Euro 1.327 billion will be invested in the generation business and Euro 1.107 billion in distribution and supply networks. -- Euro 534 million will be invested in Latin America and Euro 395 million in Europe. -- Capex planned for this year is part of the Strategic Plan for 2005-2009, which calls for net overall investment of around Euro 14.6 billion. ENDESA (NYSE:ELE) is set to increase capex in 2005 by 7% to Euro 3.43 billion. Of this amount, 73% (Euro 2.5 billion) is earmarked for Spain and Portugal, 15.5% will be spent in Latin America (Euro 534 million) and the remaining 11.5% in Europe (Euro 395 million). With this investment, ENDESA is consolidating its commitment to improving service quality through ongoing upgrades in its electricity infrastructure. Capex planned for this year is part of the Strategic Plan for 2005-2009, which calls for net overall investment of around Euro 14.6 billion over the five year period, of which over Euro 10.3 million (71%) will be spent in the Spanish and Portuguese markets. Almost half of the capex planned for Spain and Portugal this year will be spent on the distribution business (Euro 1.09 billion), and practically all of the remainder will be spent on upgrading generation assets, primarily maintenance of existing facilities and new combined cycle and renewable energy installations (Euro 1.327 billion). The investment is part of the Company's commitment to providing excellent service quality. In this sense, in 2004 ENDESA's system average interruption duration index improved by 19%. The investment in distribution networks in 2005 will be spread over the markets the Company supplies in Spain in strict accordance with each region's size and specific enhancement and expansion requirements. The sharp increase in investment in distribution reflects in large part ENDESA's plans for enhancing its electricity networks in Andalusia (Alborada Plan) and in Catalonia (Tramuntana Plan) as well as a series of initiatives in Aragon and in the Balearic and Canary Islands. These investment projects are part of ENDESA's ongoing commitment to enhancing and extending its Spanish distribution network, in which it invested Euro 4.05 billion between 1999-2004. Generation in Spain The Company plans to invest Euro 1.327 million in generation in Spain in 2005. New capacity development, for the most part combined cycle technology, will absorb around Euro 600 million of this total. The other significant investment item (Euro 286 million) relates to renewable energies, specifically the construction and launch of new wind farms and mini hydro plants. The start up of these projects, which form part of ENDESA's Strategic Plan, will add 277 MW in generation capacity, 252 MW in wind farms (representing investment of Euro 250 million) and 25 MW in mini hydro plants (representing investment of Euro 36 million). ENDESA plans to bring its net installed capacity in renewable energies and cogeneration up to 4,423 MW by 2009, increasing the weighting of this type of power to around 14% of its total output. This will mark a major step forward in the diversification of ENDESA's generation mix and put it on track to meeting its environmental protection targets. The Company will build 2,230 MW of new wind energy capacity, 78 MW of mini hydro capacity, 103 MW of solid waste-fuelled and biomass capacity and 39 MW of co-generation capacity 2005 and 2009. Investment in renewable energies between 2005 and 2009 will reach around Euro 1.63 billion. Latin America and Europe ENDESA will invest Euro 534 million in Latin America in 2005 (15.5% of total capex) and around Euro 2.5 billion over the period spanning 2005 and 2009 (c.17% of the total). The aim is to grow organically, although the Company does not rule out looking at other attractive opportunities as they arise, particularly in the Brazilian and Mexican markets. This year, Euro 237 million will be spent on generation and transmission, while Euro 263 million has been earmarked for the distribution business. By country, Euro 135 million will be spent in Argentina this year, Euro 142 million in Brazil, Euro 47 million in Colombia, Euro 100 million in Chile and Euro 110 million in Peru. In Europe, ENDESA will spend Euro 395 million on enhancing its generation infrastructure in 2005, 11.5% of the total investment. Of this amount, Endesa Italia will receive Euro 320 million, the French operator, Snet, Euro 72 million and Tahaddart in Morocco will receive Euro 3 million. Between 2005 and 2009, investment in Europe will total Euro 1.8 billion, 12.3% of total capex. * This document may contain certain forward-looking statements regarding anticipated financial and operating results and statistics that are subject to risks and uncertainties as well as to material risks, changes and other factors which may be difficult to predict, including, without limitation, those factors described in the Folleto Informativo Continuado of Endesa filed within the Comision Nacional del Mercado de Valores and in the Form 20-F of Endesa filed within the Securities and Exchange Commission, both for the fiscal year ended December 31, 2003. For all of these forward-looking statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.