NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY IN OR INTO OR FROM THE UNITED STATES, CANADA, AUSTRALIA, JAPAN OR ANY OTHER JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION

 2 December 2008

Recommended Offers

by

Lake Acquisitions Limited

(a wholly-owned subsidiary of EDF)

to acquire 

British Energy Group plc

Acquisition Update

On 5 November 2008, Lake Acquisitions Limited ('Lake Acquisitions') made the recommended Offers to acquire the entire issued, and to be issued, share capital of British Energy Group plc ('British Energy') other than the Special Share (the 'Proposed Acquisition'). EDF notified the European Commission of the Proposed Acquisition under the EC Merger Regulation on 3 November 2008.

EDF announces that it has, on 1 December, offered certain commitments to the European Commission as part of the European Commission's review of the Proposed Acquisition under the EC Merger Regulation. 

The details of the commitments are at this stage confidential and may not be disclosed by EDF. In due course, the commitments offered may be market tested by the European Commission with certain competitors and customers of EDF.

The European Commission is continuing to investigate the Proposed Acquisition and it is for the European Commission to decide whether to accept the commitments offered. The European Commission's Phase I review period is due to expire on 22 December 2008. 

Enquiries

Further Information

Unless otherwise defined in this announcement, capitalised words and phrases used in this announcement have the same meanings given to them in the offer document dated 5 November 2008 (the 'Offer Document').

This announcement does not constitute an offer to sell or the solicitation of an offer to buy any securities in the United States and any securities mentioned herein have not been and will not be registered under the United States Securities Act of 1933, as amended (the 'US Securities Act') and any securities mentioned herein may not be offered or sold in the United States absent registration or an exemption from registration with the US Securities and Exchange Commission. Subject to certain limited exceptions solely with respect to the Cash Offer (in compliance with applicable US federal securities laws and the securities laws of any state or territory or other jurisdiction of the United States), the Offers are not being, and will not be, made, directly or indirectly, in or into, or by the use of the mails of, or any means or instrumentality (including, without limitation, telephonically or electronically) of interstate or foreign commerce of, or any facility of a national, state or other securities exchange of, the United States or to, or for the account or benefit of, US Persons, and acceptances from US Persons will not be accepted (other than, in respect of the Cash Offer only, from persons who are both QIBs and QPs). Accordingly, unless Lake Acquisitions, in accordance with applicable US federal securities laws and the securities laws of any state or territory or other jurisdiction of the United States, determines otherwise, copies of this announcement, the Offer Document, the Prospectus and any related offering documents are not being mailed or otherwise distributed or sent in or into the United States or to, or for the account or benefit of, US Persons (including to British Energy Ordinary Shareholders or Warrantholders or Optionholders with registered addresses in the United States). Persons receiving such documents (including without limitation, custodians, nominees and trustees) must not distribute or send them in, into or from the United States or to, or for the account or benefit of, US Persons and so doing may invalidate any purported acceptance of the Offers.

The Offers are not being made, and will not be made, directly or indirectly, in or into Australia, Canada, Japan or any other jurisdiction if to do so would constitute a violation of the relevant laws of such jurisdiction. None of this announcement, Offer Document, any Form of Acceptance, or the Prospectus constitutes an offer in Australia, Canada, Japan or any other jurisdiction where such offer would constitute a violation of the relevant laws of such jurisdiction, and the Offers will not be capable of acceptance from or within Australia, Canada, Japan or any other jurisdiction if to do so would constitute a violation of the relevant laws of such jurisdiction. Accordingly, except as required by applicable law, copies of this announcement, the Offer Document, any Form of Acceptance and the Prospectus are not being, and may not be, mailed, forwarded or otherwise distributed or sent in, into or from, Australia, Canada, Japan or any other jurisdiction if to do so would constitute a violation of the relevant laws of such jurisdiction, including to British Energy Ordinary Shareholders or Warrantholders or Optionholders with registered addresses in the aforementioned jurisdictions or to persons whom Lake Acquisitions knows to be nominees holding British Energy Shares for such persons. Persons receiving the Offer Document, any Form of Acceptance or the Prospectus (including without limitation nominees, trustees or custodians) must not forward, distribute or send them into Australia, Canada, Japan or any other jurisdiction if to do so would constitute a violation of the relevant laws of such jurisdiction.

All British Energy Shareholders (including, without limitation, nominees, trustees or custodians) who would, or otherwise intend to or who may have a contractual or legal obligation to, forward the Offer Document or any Form of Acceptance or the Prospectus to any jurisdiction outside the United Kingdom, should read the details in this regard which are contained in paragraph 19 of the letter from Lake Acquisitions and in paragraph 6 of Part B of Appendix I and paragraph (c) of Part C and paragraph (c) of Part D of Appendix I of the Offer Document before taking any action.