Companhia Energetica Minas Gerais : Cemig signed the Collective Work Agreement for 2011–12

COMPANHIA ENERGÉTICA DE MINAS GERAIS - CEMIG

LISTED COMPANY CNPJ 17.155.730/0001-64
NIRE 31300040127

MARKET ANNOUNCEMENT

Cemig signs annual wage agreement with 8.2% raise

COMPANHIA ENERGÉTICA DE MINAS GERAIS - CEMIG, a listed company holding public service concessions, with securities traded on the stock exchanges of São Paulo, New York and Madrid, hereby, in accordance with Article 12 of CVM Instruction 358 of January 3, 2002, and its commitment to best corporate governance practices, informs the public as follows:

In December 2011 Cemig signed its Collective Employment Agreement (ACT) for the

2011-12 period, with all the Union Entities that represent its employees. The agreement includes a salary increase of 8.2%.

A Specific Collective Agreement was also signed for the payment of Sharing in Profits and Results, valid for two years, obeying the targets agreed between the Company and the employees.

In relation to the result for 2011, this agreement provides for distribution of a total of

R$ 200 million, if 100% of the agreed targets are met.

Cemig reaffirms its commitment to invest in its human capital, through training and skill acquisition, to keep its employees fully and appropriately prepared and qualified for the challenges of the corporation's growth, and through a policy that incentivates performance focused on operational efficiency, allied to high standards of technology.
Belo Horizonte, January 19, 2011.
Luiz Fernando Rolla
Chief Finance and Investor Relations Officer

Av. Barbacena 1200 Santo Agostinho 30190-131 Belo Horizonte, MG Brazil Tel.: [phone] Fax [phone]

Page 1 of 1 This text is a translation, provided for information only. The original text in Portuguese is the legally valid version.