Endesa''s Sustainability Report for 2002 is based on the model defined by the Global Reporting Initiative Guidelines for the preparation of sustainability reports on corporate economic, environmetal and social sustainability.

The 2002 Sustainability Report provides information on the environmental, social and economic repercussions of the Company''s activities in the various lines of business in which it is structured and in the three geographical areas in which it operates, namely Spain, the rest of Europe and North Africa, and Latin America.

This report is the vehicle for disseminating the sustainability strategy implemented by the Company and its environmental, social and economic policies and management systems. In order to furnish an overall and in-depth view of the features of Endesa, the Report summarizes the Company''s main lines of business, business activities and organizational stucture. Afterwards, it addresses the principles and structure underpinning the Company''s fulfillment of its environmental, social and economic commitments and, lastly, it focuses on the measures taken by Endesa in each of these fields in 2002, highlighting the differences with respect to prior years.

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The publication of the Sustainability Report 2002, based on international Global Reporting Initiativa(GRI) criteria, has allowed to Endesa to turn into one of the first companies in the energy industry.

Endesa has incorporated the Sustainability Strategy and Corporate Social Responsability at its decision-making levels.

Endesa has signed the Global Compact, a initiative set up in july 2000. The Global Compact constitues the first forum aimed at examining the key issues relating to globalization and represents for companies an opportunity to adopt on a voluntary basis innovative good corporate citizenship practices. Endesa, has made an undertaking to observe the values and principles set forth in the Global Compact in the human rights, labor standars and environmental fields, with a view to promoting sustainability growth and civic responsibility through committed and creative business leadership.

At the end of 2002 the Global Compact Coordination Committee was set up in Spain, the mission of which includes:

- Coordinating the dissemination and fostering of mutual learning among all the participating companies and institutions of socially responsible experiences and business practices in compliance with the Global Compact.

- Promoting initiatives to enable the participating organizations to adequately comply with the principles of the Global Compact.

- Coordinating relations with the Global Compact Office and with Global Compact''s promoters and networks in others countries.

- Informing society of the content and goals of the Global Compact and of the best practices follewed in the fulfillment thereof.

Endesa was founder member of the Committee. Accordingly, the Committee is designed to promote the paticipation of all the signatory companies and organizations and foster the integration of all points of view.