CEEN Announces Preliminary Results For 2005.

Centrenergo (CEEN: BUY) finished 2005 with revenue of USD 381 mln (19% growth yoy) and net income USD 11.9 mln (compared to net losses of USD 6.4 mln year before). Concorde Capital: All the sales increases are explained by tariff growth (which was a case for all the GenCos in 2005). CEEN is the only thermal generation company which reduced its electricity output (by 2%) in 2005. The company’s poor performance in winter 2004/2005, when the company reduced output by 14%, was the main reason for the decrease in production. Following a change in management in March 2005, CEEN has corrected the problems it was having at the beginning of the year. With its newly reconstructed 300 MW power unit, the company is expected to increase its total output by 3-4% in 2006.