Bond Comisión Federal de Energía 4.75% ( USP29595AB42 ) in USD

Comisión Federal de Energía

100.42 % ▼

Mexico

USP29595AB42 ( in USD )

4.75% per year ( payment 2 times a year)

22/02/2027

Prospectus brochure of the bond Comision Federal de Electricidad USP29595AB42 en USD 4.75%, maturity 22/02/2027

P29595AB4

BBB ( Lower medium grade - Investment-grade )

Baa2 ( Lower medium grade - Investment-grade )

23/08/2026 ( In 141 days )

The Comisión Federal de Electricidad (CFE) is Mexico's state-owned electric utility responsible for generating, transmitting, and distributing electricity throughout the country.

The Bond issued by Comisión Federal de Energía ( Mexico ) , in USD, with the ISIN code USP29595AB42, pays a coupon of 4.75% per year.
The coupons are paid 2 times per year and the Bond maturity is 22/02/2027

The Bond issued by Comisión Federal de Energía ( Mexico ) , in USD, with the ISIN code USP29595AB42, was rated Baa2 ( Lower medium grade - Investment-grade ) by Moody's credit rating agency.

The Bond issued by Comisión Federal de Energía ( Mexico ) , in USD, with the ISIN code USP29595AB42, was rated BBB ( Lower medium grade - Investment-grade ) by Standard & Poor's ( S&P ) credit rating agency.

LUXEMBOURG LISTING PROSPECTUS

U.S.$ 1,000,000,000

Comisión Federal de Electricidad
(a Productive State Enterprise of the Federal Government of the United Mexican States)
4.750% Notes due 2027

We made an offer of U.S.$ 1,000,000,000 aggregate principal amount of our 4.750% notes due 2027, which we refer to as the "notes." The notes
will mature on February 23, 2027. Interest on the notes began to accrue from October 18, 2016 and will be payable on February 23 and August 23 of each
year, beginning on February 23, 2017.
The notes rank without any preference among themselves and equally with all of our other unsecured and unsubordinated public external
indebtedness. The Federal government of Mexico (the "Mexican government") does not guarantee or secure our obligations and has no obligation to pay the
principal or interest on the notes in the event that our cash flows and/or assets are not sufficient to make any such payments. The notes do not grant in any way
rights over the ownership, control or assets of our company.
We may redeem the notes, in whole or in part, at any time by paying the greater of 100% of the principal amount of the notes and the applicable
"make-whole" premium amount, plus accrued interest to the redemption date. In the event of certain changes in the applicable rate of Mexican withholding
tax, we may redeem the notes, in whole but not in part, at a price equal to 100% of their principal amount, plus accrued interest to the redemption date. In
addition, upon the occurrence of certain fundamental changes in our ownership or business, we will be required to offer to purchase the notes at a price equal
to 100% of their principal amount, plus accrued interest to the purchase date. See "Description of the Notes--Redemption and Purchase."
The notes contain provisions, commonly known as "collective action clauses." Under these provisions, which differ from the terms of our public
external indebtedness issued prior to June 16, 2015, we may amend the payment provisions of any series of debt securities issued under the indenture
(including the notes) and other reserved matters listed in the indenture with the consent of the holders of: (1) with respect to a single series of debt securities,
more than 75% of the aggregate principal amount of the outstanding debt securities of such series; (2) with respect to two or more series of debt securities, if
certain "uniformly applicable" requirements are met, more than 75% of the aggregate principal amount of the outstanding debt securities of all series affected
by the proposed modification, taken in the aggregate; or (3) with respect to two or more series of debt securities, more than 662/3% of the aggregate principal
amount of the outstanding debt securities of all series affected by the proposed modification, taken in the aggregate, and more than 50% of the aggregate
principal amount of the outstanding debt securities of each series affected by the proposed modification, taken individually. See "Description of the Notes--
Meetings, Amendments and Waivers."
______________________________________________________
Investing in the notes involves risks. See "Risk Factors" beginning on page 16.
______________________________________________________
ISSUE PRICE: 99.876%, PLUS ACCRUED INTEREST, IF ANY, FROM OCTOBER 18, 2016
_______________________________________________________
THE INFORMATION CONTAINED IN THIS LUXEMBOURG LISTING PROSPECTUS IS EXCLUSIVELY OUR RESPONSIBILITY
AND HAS NOT BEEN REVIEWED OR AUTHORIZED BY THE COMISIÓN NACIONAL BANCARIA Y DE VALORES (MEXICAN BANKING
AND SECURITIES COMMISSION, THE "CNBV"). THE NOTES HAVE NOT BEEN AND WILL NOT BE REGISTERED WITH THE
REGISTRO NACIONAL DE VALORES (MEXICAN NATIONAL SECURITIES REGISTRY) MAINTAINED BY THE CNBV AND THEREFORE
THE NOTES MAY NOT BE PUBLICLY OFFERED OR SOLD NOR BE THE SUBJECT OF BROKERAGE ACTIVITIES IN MEXICO,
EXCEPT THAT THE NOTES MAY BE OFFERED IN MEXICO TO INSTITUTIONAL AND QUALIFIED INVESTORS, PURSUANT TO THE
PRIVATE PLACEMENT EXEMPTION SET FORTH IN ARTICLE 8 OF THE LEY DEL MERCADO DE VALORES (MEXICAN SECURITIES
MARKET LAW). AS REQUIRED UNDER THE MEXICAN SECURITIES MARKET LAW, WE WILL NOTIFY THE CNBV OF THE
OFFERING OF THE NOTES TO COMPLY WITH A STATUTORY REQUIREMENT AND FOR INFORMATION PURPOSES ONLY, AND
THE RECEIPT OF SUCH NOTICE BY THE CNBV, DOES NOT IMPLY ANY CERTIFICATION AS TO THE INVESTMENT QUALITY OF
THE NOTES, OUR SOLVENCY, LIQUIDITY OR CREDIT QUALITY OR THE ACCURACY OR COMPLETENESS OF THE INFORMATION
SET FORTH HEREIN. THIS LUXEMBOURG LISTING PROSPECTUS MAY NOT BE PUBLICLY DISTRIBUTED IN MEXICO.
Application has been made to list the notes on the Official List of the Luxembourg Stock Exchange and to trade them on the Euro MTF Market of
such exchange. The Euro MTF Market of the Luxembourg Stock Exchange is not a regulated market for the purposes of the Law on Prospectuses for
Securities or Directive 2003/71/EC. This Luxembourg Listing Prospectus can only be used for the purposes for which it has been published. This
Luxembourg Listing Prospectus constitutes a prospectus for purposes of the Luxembourg law on prospectus securities dated July 10, 2005, as amended.
The notes have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the "Securities Act'"), or the securities laws
of any other jurisdiction, and are being offered only (1) to qualified institutional buyers in reliance on the exemption from registration provided by Rule 144A
under the Securities Act and (2) outside the United States to non-U.S. persons in compliance with Regulation S under the Securities Act. For certain
restrictions on the transfer of the notes, see "Transfer Restrictions."
__________________________________________________
The initial purchasers delivered the notes to purchasers on October 18, 2016 in book-entry form through the facilities of The Depository Trust
Company for the accounts of its direct and indirect participants, including Euroclear Bank S.A./N.V. and Clearstream Banking, société anonyme.
___________________________________________________
Joint Lead Managers and Joint Bookrunners
BBVA
BofA Merrill Lynch
Citigroup
October 24, 2016

TABLE OF CONTENTS
Page
Enforceability of Civil Liabilities ................................................................................................................................ iii
Where You Can Find More Information ......................................................................................................................iv
Mexican Energy Reform...............................................................................................................................................iv
Presentation of Financial and Other Information ........................................................................................................... v
Forward-Looking Statements .......................................................................................................................................vi
Technical Terms Relating to the Electricity Industry ................................................................................................. vii
Summary........................................................................................................................................................................ 1
Risk Factors ................................................................................................................................................................. 16
Use of Proceeds ........................................................................................................................................................... 25
Exchange Rates ........................................................................................................................................................... 26
Capitalization ............................................................................................................................................................... 27
Management's Discussion and Analysis of Financial Condition and Results of Operations ...................................... 28
Comisión Federal de Electricidad ................................................................................................................................ 52
Management ................................................................................................................................................................ 78
Description of the Notes .............................................................................................................................................. 86
Taxation ..................................................................................................................................................................... 103
Form of Notes, Clearing and Settlement ................................................................................................................... 107
Transfer Restrictions .................................................................................................................................................. 110
Plan of Distribution ................................................................................................................................................... 112
Legal Matters ............................................................................................................................................................. 118
Independent Auditors ................................................................................................................................................ 118
Listing and General Information................................................................................................................................ 119
Index to Financial Statements .................................................................................................................................... F-1
_______________________________
You should carefully review the entire Luxembourg Listing Prospectus before making an investment
decision. Neither we nor the initial purchasers have authorized anyone to provide you with different information.
We offered to sell, and sought offers to buy, the notes only in jurisdictions where offers and sales are permitted. This
Luxembourg Listing Prospectus does not constitute an offer to sell, or a solicitation of an offer to buy, any notes by
any person in any jurisdiction in which it is unlawful for such person to make such an offer or solicitation. Neither
the delivery of this Luxembourg Listing Prospectus nor any sale made under it implies that there has been no change
in our affairs or that the information in this Luxembourg Listing Prospectus is correct as of any date after the date of
this Luxembourg Listing Prospectus.
In connection with the offering, one of the initial purchasers acting as stabilizing manager, or any agent
acting on their behalf, may over-allot or effect transactions with a view to supporting the market price of the notes at
a level higher than that which might otherwise prevail for a limited period after the issue date. However, there is no
obligation on the stabilizing manager, or any agent acting on its behalf, to do this. Any stabilizing, if commenced,
may be discontinued at any time and must be brought to an end after a limited period. For a description of these
activities, see "Plan of Distribution."
This Luxembourg Listing Prospectus has been prepared by us solely for use in connection with the
placement of the notes. We and the initial purchasers reserve the right to reject any offer to purchase for any reason.
Neither the Securities and Exchange Commission (the "SEC"), the CNBV, any state securities
commission nor any other regulatory authority has approved or disapproved the notes; nor have any of the
foregoing authorities passed upon or endorsed the merits of the offering or the accuracy or adequacy of this
Luxembourg Listing Prospectus. Any representation to the contrary is a criminal offense.
You must:
comply with all applicable laws and regulations in force in any jurisdiction in connection with the
possession or distribution of this Luxembourg Listing Prospectus and the purchase, offer or sale of the
notes, and
obtain any consent, approval or permission required to be obtained by you for the purchase, offer or
sale by you of the notes under the laws and regulations applicable to you in force in any jurisdiction to
i

which you are subject or in which you make such purchases, offers or sales; and neither we nor the
initial purchasers shall have any responsibility therefor.
See "Transfer Restrictions" for information on transfer restrictions applicable to the notes.
You acknowledge that:
you have been afforded an opportunity to request from us, and to review, all additional information
considered by you to be necessary to verify the accuracy of, or to supplement, the information
contained in this Luxembourg Listing Prospectus;
you have not relied on the initial purchasers or any person affiliated with the initial purchasers in
connection with your investigation of the accuracy of such information or your investment decision;
and
no person has been authorized to give any information or to make any representation concerning us or
the notes, other than as contained in this Luxembourg Listing Prospectus and, if given or made, any
such other information or representation should not be relied upon as having been authorized by us or
the initial purchasers.
In making an investment decision, you must rely on your own examination of us and the terms of the
offering, including the merits and risks involved.
The notes may not be transferred or resold, except as permitted under the indenture governing the notes, the
Securities Act and applicable U.S. state securities laws. You may be required to bear the financial risks of this
investment for an indefinite period of time.
We have taken reasonable care to ensure that the information contained in this Luxembourg Listing
Prospectus is true and correct in all material respects and is not misleading in any material respect as of the date of
this Luxembourg Listing Prospectus, and that there has been no omission of information that, in the context of the
issuance of the notes, would make any statement of material fact in this Luxembourg Listing Prospectus misleading
in any material respect, in light of the circumstances existing as of the date of this Luxembourg Listing Prospectus.
We accept responsibility accordingly.
The initial purchasers are not making any representation or warranty, express or implied, as to the accuracy
or completeness of the information contained in this Luxembourg Listing Prospectus. You should not rely upon the
information set forth in this Luxembourg Listing Prospectus, as a promise or representation, whether as to the past
or the future.
None of us, the initial purchasers, nor any of our and their respective representatives, is making any
representation to you regarding the legality of an investment in the notes. You should consult with your own
advisors as to legal, tax, business, financial, regulatory and related aspects of an investment in the notes. You must
comply with all laws applicable in any place in which you buy, offer or sell the notes or possess or distribute this
Luxembourg Listing Prospectus, and you must obtain all applicable consents and approvals. None of us, the initial
purchasers nor any of our or their respective representatives shall have any responsibility for any of the foregoing
legal requirements.

ii

ENFORCEABILITY OF CIVIL LIABILITIES
We are an empresa productiva del Estado (productive state enterprise of the Mexican government). We
have irrevocably submitted to the jurisdiction of the U.S. federal courts located in the Borough of Manhattan in The
City of New York and, to the extent permitted by law, have waived immunity from the jurisdiction of these courts in
connection with any action based upon the notes brought by any holder of notes. We have, however, reserved the
right to plead immunity under the U.S. Foreign Sovereign Immunities Act of 1976 (the "Foreign Sovereign
Immunities Act") in actions brought against us under the U.S. federal securities laws or any U.S. state securities
laws. Unless we waive our immunity against such actions, a U.S. court judgment could be obtained against us only
if a U.S. court were to determine that we are not entitled to sovereign immunity under the Foreign Sovereign
Immunities Act with respect to that action.
Our directors and officers, as well as certain experts named in this Luxembourg Listing Prospectus, reside
outside the United States, and all or a substantial portion of their assets and our assets are located outside of the
United States. As a result, it may not be possible for holders of the notes to effect service of process outside of
Mexico upon us, our directors or officers or those experts, or to enforce against such parties judgments of courts
located outside Mexico predicated upon civil liabilities under the laws of jurisdictions other than Mexico, including
judgments predicated upon the civil liability provisions of the U.S. federal securities laws or other laws of the
United States.
As a productive state enterprise of the Mexican government, we are not subject to the Ley de Concursos
Mercantiles (Commercial Bankruptcy Act) and thus cannot be declared in reorganization or bankrupt (en concurso
mercantil o quiebra). Under applicable Mexican law, we may be liquidated and dissolved by the Mexican Congress
if it determines that we cease to fulfill the purpose for which we were created or for any other reason. In the event
that we are liquidated and dissolved by the Mexican Congress, it is uncertain whether or to what extent the rights of
holders of the notes would be honored.
Under the CFE Law (as defined below), real property owned by us shall be deemed to be property of the
public domain and, under Article 4 of the Ley General de Bienes Nacionales (General Law of Public Property),
neither attachment prior to judgment nor attachment in aid of execution will be ordered by Mexican courts against
any such real property. As a result, a Mexican court would not recognize an attachment order against any such real
property. In addition, under the Ley de la Industria Eléctrica (the Electric Industry Law), the transmission and
distribution of electric energy as a public service are reserved to the Mexican government, through us, and to that
extent, the assets related thereto are subject to immunity. As a result, the ability to enforce judgments against us in
the courts of Mexico may be limited.
We cannot predict whether Mexican courts would enforce judgments of United States courts based on the
civil liability provisions of the United States federal securities laws. Therefore, even if a United States judgment
against us were obtained, a holder of notes may not be able to obtain a judgment in Mexico that is based on that
United States judgment. Moreover, a holder of notes may not be able to enforce a judgment against our property in
the United States except under the limited circumstances specified in the Foreign Sovereign Immunities Act. If an
action were to be brought in Mexico seeking to enforce our obligations under the notes, satisfaction of those
obligations may be made in pesos, pursuant to the laws of Mexico, at the rate of exchange in effect on the date on
which payment is made. Such rate of exchange is currently determined by Banco de México every business day in
Mexico based on an average of wholesale foreign exchange market quotes and is published the following business
banking day in the Diario Oficial de la Federación (Official Gazette of the Federation) and on Banco de México's
website (www.banxico.org.mx). See "Exchange Rates."

iii

WHERE YOU CAN FIND MORE INFORMATION
We prepare annual audited financial statements and quarterly summary financial information in both
Spanish and English. This information is available on our website (www.cfe.gob.mx). In addition, we are required to
file certain annual, quarterly and other reports and information with the Bolsa Mexicana de Valores, S.A.B. de C.V.
(the "BMV") with respect to our debt securities listed in the BMV. You may inspect and copy these reports and
other information related to us at the website of the BMV (www.bmv.com.mx).
We are a productive state enterprise of the Mexican government. However, the Mexican government does
not guarantee or secure our obligations and has no obligation to pay the principal or interest on the notes in the event
that our cash flows and/or assets are not sufficient to make any such payments. Macroeconomic and other
information relating to the Mexican government is available to the public on the websites of Banco de México
(www.banxico.org.mx), the Secretaría de Hacienda y Crédito Público (Ministry of Finance and Public Credit, or the
"Ministry of Finance") (www.shcp.gob.mx) and the Instituto Nacional de Estadística, Geografía e Informática
(Mexican National Institute of Statistics, Geography and Informatics, or "INEGI") (www.inegi.org.mx). In addition,
Mexico publishes ongoing reports with the SEC. Such reports are available on the SEC's website, www.sec.gov.
The information contained in the foregoing websites is not incorporated by reference in this Luxembourg
Listing Prospectus.
MEXICAN ENERGY REFORM
On December 20, 2013, amendments to Articles 25, 27 and 28 of the Constitución Política de los Estados
Unidos Mexicanos (Political Constitution of the United Mexican States, or the "Mexican Constitution") were
published as the Decreto por el que se reforman y adicionan diversas disposiciones de la Constitución Política de
los Estados Unidos Mexicanos, en Materia de Energía (Decree that amends and supplements various provisions of
the Mexican Constitution relating to energy matters, or the "Energy Reform Decree"), in the Official Gazette of the
Federation and took effect on December 21, 2013. The Energy Reform Decree outlines the general framework for
the secondary legislation that is required to give full effect to the Energy Reform Decree (the "Secondary
Legislation"). On August 11, 2014, the Secondary Legislation was published in the Official Gazette of the
Federation. The Secondary Legislation includes nine laws, among others, the new Ley de la Comisión Federal de
Electricidad (the "CFE Law") and the Ley de la Industria Eléctrica (the "Electric Industry Law"). As of the date of
this Luxembourg Listing Prospectus, certain provisions of the Secondary Legislation, including some provisions of
the Electric Industry Law, are not yet fully effective. On October 31, 2014, the President of Mexico published in the
Official Gazette of the Federation 26 regulations and amendments in respect of the Secondary Legislation (the
"Regulations") including, among others, the Reglamento de la Ley de la Comisión Federal de Electricidad
(Regulations to the CFE Law) and the Reglamento de la Ley de la Industria Eléctrica (Regulations to the Electric
Industry Law). See "Comisión Federal de Electricidad--General Regulatory Framework" for more details regarding
the implementation of the Secondary Legislation and the Regulations.
iv

PRESENTATION OF FINANCIAL AND OTHER INFORMATION
Unless otherwise specified or the context otherwise requires, references in this Luxembourg Listing
Prospectus to "CFE," "we," "us" and "our" refer to Comisión Federal de Electricidad, together with its empresas
productivas subsidiarias (productive enterprise subsidiaries), and the "company" refers solely to the Comisión
Federal de Electricidad.
This Luxembourg Listing Prospectus includes our audited consolidated financial statements as of and for
the years ended December 31, 2015, 2014 and 2013, and our unaudited condensed consolidated interim financial
information as of June 30, 2016 and for the six-month periods ended June 30, 2016 and 2015 (together, our
"financial statements").
Our financial statements are expressed in Mexican pesos and have been prepared in accordance with
International Financing Reporting Standards ("IFRS"), as adopted by the International Accounting Standards Board
("IASB").
Currency Information
References in this Luxembourg Listing Prospectus to "U.S.$," "U.S. dollars" and "dollars" are to the lawful
currency of the United States and references to "Ps.," "Mexican pesos" and "pesos" are to the lawful currency of
Mexico. See "Exchange Rates" for certain historical Mexican peso/U.S. dollar exchange rates.
This Luxembourg Listing Prospectus contains translations of certain peso amounts into dollars at specified
rates solely for the convenience of the reader. These translations should not be construed as representations that the
peso amounts actually represent such dollar amounts or could be converted into dollars at the rate indicated. Unless
otherwise indicated, dollar equivalent information for amounts in pesos is based upon the rate published by Banco
de México in effect as of June 30, 2016, which was Ps. 18.911 per U.S.$ 1.00.
Rounding
Certain figures included in this Luxembourg Listing Prospectus have been rounded for ease of presentation.
Percentage figures included in this Luxembourg Listing Prospectus have been calculated on the basis of such
amounts prior to rounding, not on the basis of rounded figures. For this reason, percentage amounts in this
Luxembourg Listing Prospectus may vary from those obtained by performing the same calculations using the figures
in our financial statements. Certain numerical figures shown as totals in some tables may not be an arithmetic
aggregation of the figures that preceded them due to rounding.

v

FORWARD-LOOKING STATEMENTS
This Luxembourg Listing Prospectus contains words, such as "believe," "expect," "anticipate" and similar
expressions that identify forward-looking statements, which reflect our views about future events and financial
performance. Examples of such forward-looking statements include projections or statements as to the following:
changes in the legal and regulatory regime applicable to the Mexican electricity sector, or the
interpretation thereof;
our future operating revenues, net income (loss), capital expenditures, indebtedness levels or other
financial items or ratios;
our plans, objectives or goals;
our future financial performance;
the future economic performance of Mexico;
interest rates, currency exchange rates and foreign securities markets; and
availability and cost of external financing for our operations, which have been affected by the stress
experienced by the global financial markets.
Actual results could differ materially from those projected in such forward-looking statements as a result of
various factors that may be beyond our control. These factors include, but are not limited to:
significant economic or political developments in Mexico, particularly developments affecting the
electricity sector;
changes in the economic policies or priorities of the Mexican government;
developments relating to the implementation of the Energy Reform Decree, the Secondary Legislation
and the Regulations, including the creation of empresas productivas subsidiarias (subsidiary
productive state enterprises) and empresas filiales (subsidiary enterprises) to undertake certain
activities;
adjustments to the rates that we charge our customers;
availability of funds under income laws and budgets approved annually for our operations;
effects on us from increases in fuel oil or natural gas prices;
changes in interest rates or access to sources of financing on competitive terms and inflation levels;
effects on us from competition, including on our ability to hire and retain skilled personnel; and
changes in our regulatory environment, including tax and environmental regulations, or the
interpretation thereof.
Accordingly, you should not place undue reliance on these forward-looking statements. In any event, these
statements speak only as of their dates, and we undertake no obligation to update or revise any of them, whether as a
result of new information, future events or otherwise.
For a more detailed discussion of important factors that could cause actual results to differ materially from
those contained in any forward-looking statement, see "Risk Factors."

vi

TECHNICAL TERMS RELATING TO THE ELECTRICITY INDUSTRY
"capacity" means the installed capacity an electric system must have to meet peak hour demand plus a
reserve sufficient to cover unplanned outages. Some of our installed capacity is idle during periods when there is
lower demand for energy output and, during those periods, some of the potential output is not generated. Capacity is
generally measured in megawatts.
"demand" means, for an integrated electric system, the amount of power demanded by consumers of energy
at any point in time, including energy lost during transmission and distribution to consumers. It is often expressed in
kilowatts.
"distribution" means the part of the electric power system that takes power from a bulk power substation to
customer switches. It includes distribution substations, circuits that extend from distribution substations to every
distribution transformer, metering equipment and customer location.
"generation" means the production of electricity in the large quantities required to supply electric power
systems in generating stations, or power plants. Generation of electricity is achieved by converting the heat of fuel
(e.g., coal, gas or uranium), the hydraulic energy of water, or other forms of energy (e.g., wind or solar) into electric
energy. A generating station or facility may consist of several independent generating units.
"GW" means gigawatt. One gigawatt equals one billion watts, one million kilowatts or one thousand
megawatts.
"GWh" means gigawatt-hour, or one million kilowatt-hours. The GWh is often used to measure the annual
energy output from large power generators.
"GVA" means gigavolt-amperes. The capacity of our transmission network is normally measured in terms
of gigavolt-amperes, where one GVA is one billion volt-amperes.
"kW" or "kilowatt" means one thousand watts.
"kWh" means kilowatt-hour--the standard unit of energy used in the electric utility industry to measure
consumption. One kilowatt-hour is the amount of energy that would be produced by a generator producing one
thousand watts for one hour.
"MW" or "megawatt" means one million watts.
"MWh" means megawatt-hour, or one thousand kilowatt-hours.
"photovoltaic" means a method of generating electrical power by converting solar radiation into direct
current electricity using semiconductors.
"reserve" means, in the electricity industry, the generating capacity that is accessible on short notice to
meet unplanned increases in demand for electricity or losses of generation capacity.
"substation" means an assembly of equipment through which electrical energy delivered by transmission
circuits is passed in order to convert it to voltages suitable for use by consumers.
"thermal" means a type of electric generating station in which the source of energy for the prime mover is
heat.
"transmission line" means an electrical connection between two points on a power system for the purpose
of transferring high voltage electrical energy between the points. Generally, a transmission line consists of large
wires, or conductors, held aloft by towers.
"TW" means terawatt. One terawatt equals one trillion watts, one billion kilowatts, one million megawatts
or one thousand gigawatts.

vii

"TWh" means terawatt-hour--a unit of electrical energy equal to the work done by one TW acting for one
hour.
"volt-ampere" means the unit used to measure the apparent power in an electrical circuit.
"voltage" means the energy level of electrons flowing in an electric current. A high voltage line carries
electrons that are at a high energy level, and can transmit more power than a low voltage line with the same current
flowing in it.

viii

SUMMARY
This summary highlights selected information described in more detail elsewhere in this Luxembourg
Listing Prospectus. This summary may not include all of the information you should consider before making a
decision to invest in the notes. You should carefully read this entire Luxembourg Listing Prospectus, including the
risk factors and financial statements.
Comisión Federal de Electricidad
Overview
We are the national electricity company of Mexico and, following the energy reform described below, we
remain 100% owned by the Mexican government. We generate approximately 84% of the electricity consumed in
Mexico, including electricity generated by Independent Power Producers ("IPPs") (28.8%), and we are solely
responsible for the transmission and distribution of electricity for public service purposes throughout Mexico.
Approximately 9% of the remaining generation corresponds to electricity generated by Petróleos Mexicanos
("PEMEX"), the Mexican state-owned oil and gas company, and the remaining approximately 7% corresponds to
private producers for self-consumption. As of June 30, 2016, we provided electricity to 40.2 million customer
accounts, which we estimate represented 98.6% of the Mexican population. Since 2005, our customer base has
grown at an average rate of 5.8% per year.
CFE was created in 1937 by presidential decree, and then converted by the Mexican Congress in 1949 into
an organismo público descentralizado de la Administración Pública Federal (decentralized public entity of the
Mexican government). Pursuant to the CFE Law, in accordance with the Energy Reform Decree and Secondary
Legislation, CFE was converted into a productive state enterprise (empresa productiva del Estado) on October 7,
2014, subject to a new legal regime. See "Comisión Federal de Electricidad--General Regulatory Framework."
Our Business
Our business is divided into three main areas: generation, transmission and distribution. Pursuant to the
2016-2030 Programa de Desarrollo del Sistema Eléctrico Nacional (the Development of the National Electric
System Program, or "PRODESEN") prepared by the Federal Government, our generation market share as of the
date of this Luxembourg Listing Prospectus is estimated at 84%, of which 28.8% comes from IPPs. We have a
100% market share of the transmission and distribution markets.
We continually invest in electricity generation, transmission and distribution infrastructure in order to
address Mexico's growing electricity demand. In 2015, we invested Ps. 39.8 billion (U.S.$ 2.1 billion) in new
electricity generation, transmission and distribution infrastructure. Our Board of Directors defines our five-year
business plan, determines our annual budget and approves investment priorities and projects. Our balance financiero
(financial balance) and techo de gasto de servicios personales (personal services expenditure ceiling) is updated
annually and requires the approval of the Mexican Congress. Our expected investment for 2016 is approximately
Ps. 35.7 billion (U.S.$ 1.9 billion), of which we had invested Ps. 5.5 billion (U.S.$ 0.3 billion) as of June 30, 2016.

1