POWERGRID Corporate Disclosure — 20 November 2014

(Continuation of News of POWERGRID): 2. As disclosed in Note # 7 to the financial statements, the Company has reported an amount of Tk. 864,243,630 as inventories. We have visited 8 GMD's out of 31 as per the TOR of appointment involving the inventories value amounting to Tk. 270,970,906 where we found that movement of inventories is not properly recorded in the accounts maintained. As a result, physical existence of inventory could not be verified. We had no other practical alternative auditing procedure that we could apply to authenticate the physical existence as well as the value thereof as on 30 June 2014. (cont. 3)