In accordance with Portuguese legislation and pursuant to the resolution of the Shareholders’ Meeting of 29 April 2005, Shareholders are hereby informed that the following 2004 dividends will be paid on 27 May 2005, as set out below:

1.  Privatised ordinary shares:

Resident Shareholders
Gross dividend Euro 0.35000
Withholding Tax (IRS/IRC) (7.5%) (a) Euro 0.02625
Net Dividend Euro 0.32375

Non-Resident Shareholders
Gross dividend Euro 0.35000
Withholding Tax (IRS/IRC) (12.5%) (a) Euro 0.04375
Net Dividend Euro 0.30625

(a) Resulting from the application of the fiscal benefit referred to in article 59 of the Statute of Fiscal Benefits.

2.  “A” Shares owned by the Portuguese State and which have still not been privatised:

Gross dividend Euro 0.3500
Withholding Tax (IRS/IRC) (15%) Euro 0.0525
Net Dividend Euro 0.2975

Payment will be made through the Securities Clearing House pursuant to the terms of article 53 of the Regulation no. 3/2000 and Circular no. 1/2000 of Interbolsa.

The ex-dividend date is 24 May 2005 and the record date is 26 May 2005.