May 3, 2011 (the pricing date throughout this report is 2 May 2011, unless otherwise stated)

Transcription

1 UTILITIES POWER PACK BZ May 3, 2011 (the pricing date throughout this report is 2 May 2011, unless otherwise stated) Analyst Gabriel Laera glaera@bessecurities.com.br Analyst Paulo Eduardo Nascimento pnascimento@bessecurities.com.br This report was prepared by BES Securities do Brasil S.A. - Av. Brig. Faria Lima, 3729 Mezanino São Paulo BRAZIL FOR IMPORTANT DISCLOSURE INFORMATION, INCLUDING DISCLOSURES RELATED TO THE U.S. DISTRIBUTOR OF THIS REPORT, PLEASE REFER TO LAST 3 PAGES OF THIS REPORT.

2 Contents Valuations & Comps Recommendations and upside potential 5 Valuation Charts 6 Valuation Summary 7 Growth 8 BES Securities for estimates vs. Consensus 9 Absolute Data 10 Consensus Change Heatmap 11 Financial Ratios 12 Operational data 13 Sector multiples 14 Performance 15 Sector Performance and PE - 16 Sector Agenda 17 4Q10 Results Highlights - 18 Market Data Macro Markets Overview 19 Inflation - 20 Currencies and interest rate 21 Share Price Movements 22 Share Price Charts 24 Electrical Energy Balance Outlook 27 Supply Outlook and Additions 28 Expansion auctions - 29 Demand Outlook 30 Generation Segment Overview 31 Discos Geographic Distribution 32 Company EV, EBITDA & Generation Mix

3 Power Pack Brazil Highlights & Update Absolute Share Price Performance (pg15) Last Week Best: AES Tiete Ord. +0.6%, COPASA +1.1% Worst: COELCE -2.4%, COPEL -4.2% Mid-term (3M) Best: CEMIG +15.8%, Equatorial +16.0% Worst: ISA CTEEP -1.6%, COPEL +3.2% Weekly Update We presented today in the report UTILITIES 1Q11 Update, moving negative view on Coelce (COCE5, SELL, PT R$ 30.1) given its YTD to IFRS our 1Q11 results estimates and update the PTs for our outperformance, which we believe wasdrivenbyinvestorsfocusing coverage universe too much on the short-term dividend distribution and neglecting the Overall, we are incorporating a macroeconomic scenario of higher negative outlook for the distribution segment to which it is fully inflation and interest rates by YE11E, which affects both the top and exposed. bottom line forecasts for our companies but not necessarily in the same way. For the distribution ib ti companies and integrated t players distribution subsidiaries, we have also updated our calculations with the latest indicated figure for the regulatory WACC by ANEEL (which was below consensus expectations of a larger increase in the figure) and fine-tuned DCF parameters, but maintain our negative stance on thedistributionsegmentinbothabsolute and relative terms, i.e., still falling regulatory target return on assets vs. more attractive potential returns investing in the lower-risk generation segment. Our top picks are CPLE6 (BUY, PT R$ 53.00) and ENBR3 (BUY, PT R$ 48.60), in line with our preference for integrated players with Earnings Calendar Company Date AES Tietê 12-May Confirmed CESP 13-May TBC AES Eletropaulo 11-May Confirmed COELCE 17-May TBC Equator ial 13-May TBC CEMIG 13-May Confirmed COPEL 12-May TBC EDP En do Brasil 4-May Confirmed Light 13-May TBC ISA CTEEP 12-May TBC exposure to the generation segment, while we continue to have a COPASA 12-May Confirmed 3

4 VALUATIONS & COMPS 4

5 Recommendations and upside potential Growth (B) EDP Energias do Brasil ON - ENBR3 Company Rating Price (R$) PT (R$) up/(down) side potential Mkt. Cap (R$ bn) Stock Turnover 3M avg. (R$ mn) PE 2011E EV/EBITDA 2011E Div Yield 2011E EPS EBITDA DPS (B) COPEL PNB - CPLE6 (B) Copasa ON - CSMG3 (B) ISA CTEEP PNB - TRPL4 Electricity Generation Cesp BUY % x 6.3x 6.7% 28.5% 11.7% 28.5% AES Tietê Ord. BUY % x 5.5x 10.1% 5.1% 4.2% 4.7% AES Tietê Pref. NEUTRAL (2%) x 6.1x 10.0% 5.1% 4.2% 4.7% (B) CEMIG PN - CMIG4 (N) Equatorial Energia ON - EQTL3 (N) Light ON - LIGT3 Electricity ti it Distribution tib ti Coelce SELL % x 5.0x 11.6% 6.4% 2.7% 13.0% AES Eletropaulo NEUTRAL % x 4.8x 15.2% 1.5% (0.3%) 1.3% Equatorial Energia NEUTRAL % x 5.5x 6.4% 5.9% 2.4% 39.1% (B) CESP PNB - CESP6 (B) AES TIETE ON - GETI3 (N) AES ELETROPAULO PNB - ELPL4 Integrated Players Cemig BUY % x 6.2x 4.9% 16.2% 7.4% 16.2% Copel BUY % x 5.8x 2.6% 14.1% 7.3% 14.1% EDP Energias do Brasil BUY % x 6.0x 5.0% 26.4% 12.8% 26.4% Light NEUTRAL % x 4.8x 14.3% 26.9% 16.1% (2.2%) (S) COELCE PNA - COCE5 (N) AES TIETE PN - GETI4 Transmission Lines ISA CTEEP BUY % x 6.1x 11.6% 6.8% 8.9% 1.1% Bloomberg Consensus up(down)side potential -30% -20% -10% 0% 10% 20% 30% 40% 50% BES Sec. TP up(down)side potential Water Utilities Copasa BUY % x 5.2x 6.9% 11.5% 11.2% 36.5% Average 14% % 12.9% 7.4% 15.3% Source: covered companies - BES Securities for estimates, other - Bloomberg Last updated on 2-May-11 7 Buys: 4 Neutrals: Cemig PN - CMIG4 AES Eletropaulo l PN - ELPL4 Cesp PNB - CESP6 Equatorial Energia ON - EQTL3 Copasa ON - CSMG3 AES Tiete PN - GETI4 Copel PNB - CPLE6 Light ON - LIGT3 EDP Energias do Brasil ON - ENBR3 AES Tiete ON - GETI3 1 Sell: ISA CTEEP PNB - TRPL4 COELCE PNA - COCE5 Source: covered companies - BES Securities for estimates, consensus numbers are courtesy of Bloomberg. Note: CAGR calculated with adjusted figures. Data updated on: 2-May-11 5

6 Valuation Charts Div. Yield 2010E vs DPS CAGR E DCF Upside Potential vs EBITDA CAGR E 16.0% (N) ELPL4 14.0% (N) LIGT3 Best 18.0% 16.0% (N) LIGT3 Best Div. Yield 2011E 12.0% 10.0% 8.0% 6.0% 4.0% (C) TRPL4 (C) GETI3 (N) GETI4 (V) COCE5 (C) CMIG4 (C) CESP6 (C) ENBR3 (C) CSMG3 (N) EQTL3 2.0% (C) CPLE6 Worst 0.0% (5.0%) 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0% DPS CAGR E PE 2010E vs EPS CAGR E EBITDA CAGR E 14.0% 12.0% 10.0% 8.0% 6.0% 4.0% 2.0% (N) GETI4 (S) COCE5 (B) GETI3 (B) CESP6 (N) EQTL3 (B) CMIG4 (B) TRPL4 (B) CSMG3 (B) CPLE6 EV/EBITDA 2010E vs EBITDA CAGR E (B) ENBR3 00% 0.0% (N) ELPL4-2.0% Worst 5.0% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% DCF Upside PE 2011E 16.5x Worst (B) CESP6 14.5x 12.5x (N) GETI4 10.5x (B) GETI3 (B) CMIG4 (B) TRPL4 (B) CPLE6 (N) LIGT3 (B) ENBR3 8.5x (N) ELPL4 (B) CSMG x (N) EQTL3 (S) COCE5 Best 4.5x 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% EPS CAGR E EV/EBITDA E 6.5x 6.3x 6.1x 5.9x 5.7x 5.5x 5.3x 5.1x 4.9x (N) ELPL4 4.7x 4.5x Worst (B) CESP6 (B) CMIG4 (N) GETI4 (B) TRPL4 (B) ENBR3 (B) CPLE6 (N) EQTL3 (B) GETI3 (B) CSMG3 (S) COCE5 (N) LIGT3 Best -2.0% 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 14.0% 16.0% 18.0% EBITDA CAGR E Source: covered companies - BES Securities for estimates. Note: CAGR calculated with adjusted figures. Data updated on: 2-May-11 6

7 Valuation Summary EV / EBITDA PE Dividend Yield FCF Yield Company Curr Rec Price (R$) BES TP (R$) % upside Cons TP potential (R$) BES v Cons E 2012E 2013E E 2012E 2013E E 2012E 2013E E 2012E 2013E Cesp BRL BUY % % 8.0x 8.4x 6.3x 6.2x 5.0x 13.9x 47.6x 15.0x 14.4x 9.1x 1.1% 2.7% 6.7% 6.9% 11.0% 26.8% 11.6% 13.4% 14.2% 18.0% AES Tietê Ord. BRL BUY % (0%) 6.0x 5.7x 5.5x 5.2x 5.0x 11.1x 11.3x 10.4x 9.8x 9.4x 8.9% 8.8% 10.1% 10.6% 11.0% 10.2% 6.6% (3.8%) (0.4%) (0.6%) AES Tietê Pref. BRL NEUTRAL (2%) (6%) 6.7x 6.3x 6.1x 5.8x 5.6x 12.4x 12.6x 11.6x 11.0x 10.5x 8.8% 8.6% 10.0% 10.5% 10.9% 9.1% 5.9% (3.5%) (0.4%) (0.5%) Tractebel BRL N.C N.C. N.C N.C. 10.2x 8.6x 7.8x 6.8x 6.1x 16.2x 15.6x 14.1x 11.7x % 3.6% 4.0% 5.0% 8.0% 1.9% (1.8%) 8.9% (5.4%) 12.5% Elec. Generation Utilities Average (1%) 7.7x 7.3x 6.4x 6.0x 5.5x 13.4x 21.8x 12.8x 11.7x % 5.9% 7.7% 8.2% 10.2% 12.0% 5.6% 3.7% 2.0% 7.4% Elec. Generation Utilities Median (0%) 7.3x 7.4x 6.2x 6.0x 5.3x 13.1x 14.1x 12.9x 11.4x % 6.1% 8.3% 8.7% 11.0% 9.6% 6.3% 2.7% (0.4%) 6.0% Celesc BRL N.C N.C. N.C N.C. 5.1x 3.3x3x 3.7x 3.6x 3.4x 8.1x 6.4x 5.6x 4.6x 5.3x 4.2% 2.0% 3.7% 4.5% 5.7% 6.4% (2.2%) 2%) 4.8% 8.7% 16.1% 1% Coelce BRL SELL % (6%) 8.5x 8.2x 5.0x 5.1x 4.7x 20.4x 52.2x 6.0x 6.1x 5.3x 9.3% 9.3% 11.6% 12.8% 14.8% 13.2% 8.1% 17.6% 14.9% 16.9% AES Eletropaulo BRL NEUTRAL % (5%) 6.4x 6.2x 4.8x 5.2x 4.8x 16.9x 22.2x 7.4x 8.1x 7.2x 20.0% 13.5% 15.2% 14.1% 15.6% 8.6% 30.3% 23.9% 17.2% 21.0% Equatorial Energia BRL NEUTRAL % % 4.2x 2.4x 5.5x 4.9x 5.2x 6.0x 5.3x 6.6x 5.4x 5.9x 11.3% 11.5% 6.4% 12.9% 12.3% 25.0% 23.1% 17.9% 15.0% 20.4% Elec. Distribution Utilities Average (2%) 6.0x 5.0x 4.7x 4.7x 4.6x 12.8x 21.5x 6.4x 6.1x % 9.1% 9.2% 11.1% 12.1% 13.3% 14.8% 16.1% 13.9% 18.6% Elec. Distribution Utilities Median (5%) 5.7x 4.7x 4.9x 5.0x 4.8x 12.5x 14.3x 6.3x 5.7x % 10.4% 9.0% 12.9% 13.6% 10.9% 15.6% 17.8% 15.0% 18.7% Cemig BRL BUY % % 5.2x 5.3x 6.2x 5.6x 5.4x 8.6x 8.2x 10.3x 8.3x 7.6x 5.0% 10.3% 4.9% 12.1% 6.6% 4.4% 5.5% (0.2%) 12.2% 13.8% CPFL Energia BRL N.C N.C. N.C N.C. 10.9x 9.3x 8.3x 7.6x 7.6x 18.3x 14.5x 13.4x 12.6x 13.0x 5.3% 6.9% 7.1% 8.1% 7.4% 3.0% 1.9% 0.9% 5.7% 7.1% Copel BRL BUY % % 7.5x 8.0x 5.8x 5.8x 5.0x 12.6x 11.6x 9.5x 8.6x 7.3x 2.2% 2.4% 2.6% 2.9% 3.4% 8.4% (1.3%) 14.8% 13.2% 13.2% EDP Energias do Brasil BRL BUY % % 6.6x 6.3x 6.0x 5.2x 4.8x 10.5x 9.6x 10.1x 7.6x 6.3x 4.8% 4.5% 5.0% 6.6% 7.9% 8.6% 1.7% (0.1%) 16.6% 20.4% Light BRL NEUTRAL % % 5.4x 4.9x 4.8x 4.1x 3.5x 16.0x 9.6x 9.4x 7.2x 5.8x 7.9% 6.4% 14.3% 10.7% 13.7% 27.5% 3.3% (9.6%) 8.4% 11.0% Integrated Elec. Utilities Average 6% 7.1x 6.8x 6.2x 5.7x 5.3x 13.2x 10.7x 10.5x 8.9x % 6.1% 6.8% 8.1% 7.8% 10.4% 2.2% 1.2% 11.2% 13.1% Integrated Elec. Utilities Median 6% 6.6x 6.3x 6.0x 5.6x 5.0x 12.6x 9.6x 10.1x 8.3x % 6.4% 5.0% 8.1% 7.4% 8.4% 1.9% (0.1%) 12.2% 13.2% ISA CTEEP BRL BUY % % 7.5x 7.6x 6.1x 5.4x 5.1x 8.9x 9.3x 9.7x 9.2x 8.5x 9.3% 9.6% 11.6% 12.0% 11.9% 5.3% 2.6% (4.7%) 10.6% 12.1% Electric Utilities Average 5% 7.0x 6.5x 5.8x 5.5x 5.1x 12.9x 16.9x 9.9x 8.9x 8.0x 7.2% 7.1% 8.1% 9.3% 10.0% 11.3% 6.8% 5.7% 9.3% 13.0% Electric Utilities Median 5% 6.6x 6.3x 5.9x 5.3x 5.0x 12.5x 11.5x 9.9x 8.4x 7.5x 6.6% 7.8% 6.9% 10.5% 11.0% 8.6% 4.4% 2.8% 11.4% 13.5% Copasa BRL BUY % % 6.1x 4.5x 5.2x 4.7x 4.2x 6.4x 4.9x 7.3x 6.5x 5.8x 5.5% 9.3% 6.9% 7.7% 12.9% (7.3%) 1.6% 10.0% 3.4% 3.4% Sabesp BRL N.C N.C. N.C N.C. 6.1x 5.1x 5.1x 4.7x 4.5x 8.3x 7.4x 8.1x 8.3x 6.4x 2.9% 3.7% 3.4% 3.5% 3.9% 1.5% 0.4% 0.8% 0.0% 2.0% Water Utilities Average 4% 6.1x 4.8x 5.2x 4.7x 4.3x 7.3x 6.2x 7.7x 7.4x % 6.5% 5.2% 5.6% 8.4% (2.9%) 1.0% 5.4% 1.7% 2.7% Water Utilities Median 4% 6.1x 4.8x 5.2x 4.7x 4.3x 7.3x 6.2x 7.7x 7.4x % 6.5% 5.2% 5.6% 8.4% (2.9%) 1.0% 5.4% 1.7% 2.7% Utilities Sector Average 2% 6.9x 6.3x 5.8x 5.4x 5.0x 12.2x 15.5x 9.7x 8.7x % 7.1% 7.7% 8.8% 9.8% 9.5% 6.1% 5.7% 8.4% 13.2% Utilities Sector Median 1% 65x 6.5x 62x 6.2x 56x 5.6x 52x 5.2x 50x 5.0x 11.8x 10.5x 96x 9.6x 83x 8.3x % 5.4% 78% 7.8% 68% 6.8% 93% 9.3% 11.0% 85% 8.5% 29% 2.9% 28% 2.8% 97% 9.7% 15.0% Data updated on: 2-May-11 Source: covered companies - BES Securities for estimates, other Bloomberg. 7 Note 1: EV/EBITDA and P/E multiples for covered companies are calculated using figures adjusted for one-offs. Note 2: EV/EBITDA multiples for Equatorial and Energias do Brasil are calculated using EBITDA and Net Debt adjusted for controlling stake

8 Growth EPS CAGR DPS CAGR FCF ps CAGR EBITDA CAGR Net income (recurring) CAGR Company Rec E 2012E 2013E 10-13E E 2012E 2013E 10-13E E 2012E 2013E 10-13E E 2012E 2013E 10-13E E 2012E 2013E 10-13E CESP PNB BUY (81%) 603% 4% 59% 126% 140% 147% 4% 59% 60% (57%) 15% 6% 27% 16% (6%) 34% 1% 23% 19% (71%) 217% 4% 59% 74% AES TIETE ON BUY 6% 13% 6% 5% 8% (2%) 15% 5% 4% 8% (35%) na n.a. (89%) 32% na n.a. 6% 4% 4% 4% 4% (2%) 9% 6% 5% 6% AES TIETE PN NEUTRAL 6% 13% 6% 5% 8% (2%) 15% 5% 4% 8% (35%) n.a. (89%) 32% n.a. 6% 4% 4% 4% 4% (2%) 9% 6% 5% 6% Tractebel ON N.C. 4% 10% 20% 13% 15% 15% 10% 25% 62% 31% n.a. n.a. n.a. (334%) n.a. 18% 11% 14% 11% 12% 8% 6% 19% 11% 12% Elec. Generation Utilities Average (16%) 160% 9% 20% 39% 38% 47% 10% 32% 27% (42%) 15% (57%) (61%) 16% 6% 13% 6% 10% 10% (17%) 60% 9% 20% 25% Elec. Generation Utilities Median 5% 13% 6% 9% 11% 7% 15% 5% 32% 19% (35%) 15% (89%) 30% 16% 6% 7% 4% 7% 8% (2%) 9% 6% 8% 9% CELESC PN N.C. 26% 15% 20% (13%) 6% (52%) 82% 21% 27% 41% n.a. n.a. 83% 85% n.a. 54% (10%) 2% 4% (1%) 40% 0% 15% (97%) (69%) COELCE PNA SELL (61%) 773% (2%) 15% 115% (0%) 24% 11% 15% 17% (39%) 117% (15%) 14% 28% 3% 66% (4%) 10% 20% (61%) 773% (2%) 15% 115% AES ELETROPAULO PNB NEUTRAL 2% 12% (8%) 12% 5% (33%) 13% (7%) 11% 5% 251% (21%) (28%) 22% (12%) 3% 28% (8%) 8% 9% (24%) 199% (8%) 12% 45% Equatorial Energia ON NEUTRAL 70% (20%) 21% (8%) (3%) 1% (44%) 102% (4%) 2% (10%) (22%) (16%) 36% (4%) 78% (57%) 12% (7%) (23%) 13% (20%) 21% (8%) (3%) Elec. Distribution Utilities Average 9% 195% 8% 2% 31% (21%) 19% 32% 12% 16% 68% 25% 6% 39% 4% 35% 7% 1% 4% 1% (8%) 238% 7% (19%) 22% Elec. Distribution Utilities Median 14% 13% 9% 2% 5% (16%) 19% 16% 13% 11% (10%) (21%) (16%) 29% (4%) 29% 9% (1%) 6% 4% (5%) 99% 7% 2% 21% CEMIG PN BUY (7%) (12%) 25% 8% 6% 105% (53%) 150% (46%) (14%) 14% n.a. n.a. 14% 36% (1%) (15%) 11% 4% (1%) 5% (20%) 25% 8% 2% CPFL PNB N.C. 26% 9% 6% (3%) 4% 31% 3% 14% (8%) 3% (36%) (50%) 498% 25% 55% 18% 11% 10% 0% 7% 23% 7% 8% (3%) 4% COPEL PNB BUY 24% 21% 11% 17% 16% 10% 9% 11% 17% 12% n.a. n.a. (11%) (0%) n.a. (7%) 39% 1% 14% 17% 9% 21% 11% 17% 16% EDP Energias do Brasil ON BUY (16%) 3% 32% 21% 18% (6%) 11% 32% 21% 21% (80%) n.a. n.a. 23% 129% 4% 4% 15% 10% 10% 9% (5%) 32% 21% 15% Light ON NEUTRAL (2%) 2% 31% 23% 18% (19%) 124% (25%) 28% 29% (88%) n.a. n.a. 32% 50% 9% 3% 16% 16% 11% 67% 2% 31% 23% 18% Integrated Elec. Utilities Average 5% 4% 21% 13% 12% 24% 19% 36% 2% 10% (48%) (50%) 244% 19% 68% 5% 8% 11% 9% 9% 23% 1% 21% 13% 11% Integrated Elec. Utilities Median (2%) 3% 25% 17% 16% 10% 9% 14% 17% 12% (58%) (50%) 244% 23% 53% 4% 4% 11% 10% 10% 9% 2% 25% 17% 15% ISA CTEEP PNB BUY (7%) (2%) 5% 8% 4% 3% 21% 4% (1%) 7% (51%) n.a. n.a. 13% 66% (1%) 25% 12% 6% 14% (4%) (4%) 5% 8% 3% Electric Utilities Average (1%) 103% 13% 12% 25% 14% 27% 25% 13% 16% (15%) 8% 38% 1% 40% 13% 11% 7% 8% 7% 1% 85% 12% 5% 18% Electric Utilities Median 3% 11% 9% 10% 8% 1% 14% 11% 13% 10% (36%) (21%) (15%) 24% 36% 5% 8% 7% 7% 9% 7% 6% 10% 10% 9% Copasa ON BUY 29% (33%) 11% 12% (6%) 70% (26%) 11% 68% 11% n.a. 536% (66%) 1% 30% 36% (14%) 12% 10% 2% 31% (33%) 11% 12% (6%) Sabesp ON NC N.C. 12% (8%) (2%) 29% 5% 29% (8%) 2% 11% 2% (74%) 105% n.a. n.a. 75% 19% 1% 9% 5% 5% 10% (5%) 10% 11% 5% Water Utilities Average 20% (20%) 4% 21% (0%) 50% (17%) 7% 40% 6% (74%) 320% (66%) 1% 52% 27% (7%) 10% 8% 3% 20% (19%) 10% 12% (0%) Water Utilities Median 20% (20%) 4% 21% (0%) 50% (17%) 7% 40% 6% (74%) 320% (66%) 1% 52% 27% (7%) 10% 8% 3% 20% (19%) 10% 12% (0%) Utilities Sector Average 137% 79% 12% 13% 21% 50% 21% 22% 15% 15% (7%) 259% 18% 1% 43% 21% 6% 8% 13% 8% (62%) 65% 13% 8% 15% Utilities Sector Median 6% 8% 11% 13% 8% 6% 12% 11% 13% 10% (36%) 105% (22%) 23% 36% 8% 4% 11% 9% 9% 7% 5% 11% 12% 9% Source: covered companies - BES Securities for estimates, other Bloomberg Consensus figures. 8 Data updated on: 2-May-11

9 BES Securities estimates vs. Consensus Bloomberg Consensus Buys Sells Holds BES PT vs Cons EBITDA EPS DPS Company Rec % % % % 2011E 2012E 2013E 2011E 2012E 2013E 2011E 2012E 2013E Cesp BUY 42% 21% 38% 3.9% 15% 9% 12% 6% 18% 6% 22% 0% 54% AES Tietê Ord. BUY 83% 17% 0% 0.3% 2% 1% 1% 6% 6% 5% 3% 2% 3% AES Tietê Pref. NEUTRAL 43% 9% 48% 5.5% 2% 1% 1% 6% 6% 5% 6% 4% 3% Elec. Generation Utilities Average 56% 15% 28% -0.7% 4% 3% 4% -6% -10% -5% 10% 2% 20% Elec. Generation Utilities Median 43% 17% 38% -0.3% -2% -1% -1% -6% -6% -5% 6% 2% 3% Coelce SELL 22% 44% 33% 5.9% 5% 6% n.a. 5% 27% 2% 5% 25% 4% AES Eletropaulo NEUTRAL 26% 35% 39% 4.5% 3% 1% n.a. 8% 21% 24% 17% 45% 55% Equatorial Energia NEUTRAL 33% 11% 56% 3.3% 3% 5% n.a. 0% 7% 1% 30% 17% 6% Elec. Distribution Utilities Average 27% 30% 43% -2.4% 3% 4% n.a. 4% 19% 7% -3% 29% 15% Elec. Distribution Utilities Median 26% 35% 39% -4.5% 3% 5% n.a. 5% 21% -1% 5% 25% -4% Cemig BUY 73% 0% 27% 0.9% 3% 3% 4% 5% 3% 2% 2% 71% 10% Copel BUY 48% 4% 48% 10.1% 0% 7% 10% 1% 1% 4% 29% 28% 52% EDP Energias do Brasil BUY 57% 10% 33% 11.5% 5% 7% 10% 1% 14% 17% 6% 5% 5% Light NEUTRAL 57% 24% 19% 2.0% 6% 9% 13% 3% 15% 20% 87% 18% 35% Integrated Elec. Utilities Average 59% 9% 32% 6.1% 4% 3% 4% -1% 8% 9% 13% 14% -3% Integrated Elec. Utilities Median 57% 7% 30% 6.0% 4% 5% 7% 0% 9% 10% -2% 6% 3% ISA CTEEP BUY 33% 17% 50% 5.2% 1% 0% 2% 6% 8% 2% 12% 3% 4% Electric Utilities Average 40% 20% 40% 1.9% 3% 3% 4% -1% 5% 4% 8% 14% 9% Electric Utilities Median 38% 17% 43% 2.0% 3% 3% 3% -1% 3% -1% 5% 4% 3% Copasa BUY 50% 7% 43% 3.8% 0% 5% 8% 2% 11% 15% 16% 25% 70% Water Utilities Average 50% 7% 43% 3.8% 0% 5% 8% -2% 11% 15% 16% 25% 70% Water Utilities Median 50% 7% 43% 3.8% 0% 5% 8% -2% 11% 15% 16% 25% 70% Utilities Sector Average 42% 16% 38% 2.0% 3% 3% 3% -2% 4% 3% 2% 14% 12% Utilities Sector Median 43% 11% 39% 2.0% 3% 3% 3% -2% 3% -1% 5% 4% 3% Source: covered companies - BES Securities for estimates, other - Bloomberg Consensus figures; Some of consensus estimates are not yet adjusted to EQTL's divesture from LIGT3, happened in early Data updated on: 2-May-11 9

10 Absolute Data EPS (R$) DPS (R$) FCF per share (R$) EBITDA (R$m) Net Income (R$m) Company Rec E 2012E 2013E E 2012E 2013E E 2012E 2013E E 2012E 2013E E 2012E 2013E Elec. Generation Utilities CESP PNB BUY ,726 1,627 2,181 2,213 2, ,080 AES TIETE ON BUY (0.84) (0.09) (0.13) 1,443 1,529 1,594 1,663 1, AES TIETE PN NEUTRAL (0.84) (0.09) (0.13) 1,443 1,529 1,594 1,663 1, Tractebel ON N.C (0.50) 2.43 (1.47) ,085 2,465 2,730 3,117 3,448 1,083 1,170 1,241 1,481 1,642 Elec. Distribution Utilities CELESC PN N.C (0.91) COELCE PNA SELL AES ELETROPAULO PNB NEUTRAL ,212 1,254 1,610 1,476 1, Equatorial Energia ON NEUTRAL Integrated Elec. Utilities CEMIG PN BUY (0.06) ,841 5,777 4,886 5,436 5,637 2,366 2,488 1,982 2,473 2,678 CPFL PNB N.C ,753 3,237 3,601 3,955 3,957 1,239 1,519 1,621 1,749 1,704 COPEL PNB BUY (0.55) ,583 1,476 2,046 2,060 2, ,010 1,223 1,360 1,591 EDP Energias do Brasil ON BUY (0.03) ,223 1,277 1,332 1,534 1, Light ON NEUTRAL (2.59) ,389 1,517 1,558 1,811 2, Elec.Transmission Utilities ISA CTEEP PNB BUY (2.36) ,211 1,193 1,495 1,670 1, Water Utilities Copasa ON BUY (2.08) ,231 1,056 1,184 1, Sabesp ON NC N.C ,733 3,254 3, , ,739 1,275 1,403 1, ,462 1,629 Source: covered companies - BES Securities for estimates, other Bloomberg Consensus figures. Note: figures for Equatorial and Energias do Brasil are calculated using EBITDA and Net Debt adjusted for controlling stake Data updated on: 2-May-11 10

11 Consensus Change Heatmap Consensus tracker (period to period) EPS 2011E from EPS 2012E from EPS 2013E from EBITDA 2011E from EBITDA 2012E from EBITDA 2013E from Company 1w 2w 1m 3m 1w 2w 1m 3m 1w 2w 1m 3m 1w 2w 1m 3m 1w 2w 1m 3m 1w 2w 1m 3m Cesp 0% 0% 3% 6% 0% 0% (0%) (1%) 0% 1% (2%) 6% 0% (1%) (0%) (0%) 0% (1%) (1%) (1%) 0% 1% (1%) 6% AES Tietê Ord. (0%) (0%) (2%) (3%) 0% (0%) (2%) (2%) 0% 1% 2% (7%) (0%) (0%) 1% 1% 0% (0%) 1% 2% (0%) (0%) (3%) 0% AES Tietê Pref. (0%) (0%) (2%) (3%) 0% (0%) (2%) (2%) 0% 1% 2% (7%) (0%) (0%) 1% 1% 0% (0%) 1% 2% (0%) (0%) (3%) 0% Tractebel 0% 0% (1%) (3%) 0% 1% (6%) (7%) 0% 5% (11%) (11%) 0% 0% (1%) (1%) 0% 1% 1% 1% 0% (0%) (8%) (8%) Elec. Generation Utilities Average (0%) (0%) (1%) (1%) 0% 0% (3%) (3%) 0% 2% (2%) (5%) (0%) (0%) (0%) 0% 0% (0%) 1% 1% (0%) (0%) (4%) (0%) Elec. Generation Utilities Median (0%) (0%) (2%) (3%) 0% (0%) (2%) (2%) 0% 1% 0% (7%) (0%) (0%) 0% 0% 0% (0%) 1% 1% (0%) (0%) (3%) 0% Celesc 0% 0% 18% 112% 0% 0% 2% 54% 0% 0% 4% (4%) 0% 0% (2%) 3% 0% 0% (10%) 8% 0% 0% (7%) (31%) Coelce 0% 0% (0%) 16% 0% 0% 0% 4% 0% 0% 0% 1% 0% 0% 0% 0% 0% 0% 0% 1% 0% 0% 0% 0% AES Eletropaulo (1%) (1%) 1% 4% 0% 0% (1%) 9% (1%) (1%) (15%) n.a. 0% 0% 0% 2% 0% 0% (1%) 1% 3% 3% (3%) (2%) Equatorial Energia 0% 0% 0% (14%) 0% 0% 1% 0% (1%) (1%) (0%) (36%) 0% 0% (5%) (8%) 0% 0% (7%) 7% (3%) (3%) (2%) 2% Elec. Distribution Utilities Average (0%) (0%) 5% 30% 0% 0% 1% 17% (0%) (0%) (3%) (13%) 0% 0% (2%) (1%) 0% 0% (4%) 4% (0%) (0%) (3%) (8%) Elec. Distribution Utilities Median 0% 0% 1% 10% 0% 0% 1% 6% (0%) (0%) (0%) (4%) 0% 0% (1%) 1% 0% 0% (4%) 4% 0% 0% (3%) (1%) Cemig 0% 0% (2%) (2%) 0% 0% (3%) (2%) 1% 1% (5%) (3%) 0% 0% (1%) (1%) 0% 0% (2%) (0%) 1% 1% (4%) (5%) CPFL Energia 0% 1% 1% 1% 0% 0% (1%) (1%) 0% 2% 0% 2% 0% 1% 1% 1% 0% 1% 1% 3% 0% 3% (1%) 3% Copel (0%) (0%) (1%) 2% 0% 0% (1%) 2% (1%) (1%) (8%) (13%) 0% 0% (2%) (1%) 0% 0% (2%) (0%) (1%) (1%) (11%) (7%) EDP Energias do Brasil (0%) (0%) 2% 3% 2% 2% (1%) (1%) 6% 6% (3%) 2% 0% 0% 1% (2%) 0% 0% 3% 2% 0% 0% 2% (0%) Light 0% 0% 2% 4% (0%) (0%) 2% 4% 0% 0% (16%) (1%) 0% 0% 1% 1% 0% 0% 1% 2% 0% 0% (8%) (3%) Integrated Elec. Utilities Average (0%) 0% 1% 0% 0% 0% (1%) (0%) 1% 1% (4%) (1%) (0%) (0%) (0%) 2% 0% (0%) 1% 8% 0% 0% (3%) 4% Integrated Elec. Utilities Median 0% 0% 1% 1% 0% 0% (1%) (1%) 0% 0% (3%) 2% 0% 0% (1%) 1% 0% 0% 1% 2% 0% 0% (1%) (0%) ISA CTEEP 0% 0% (1%) (3%) 0% 1% (6%) (7%) 0% 5% (11%) (11%) 0% 0% (1%) (1%) 0% 1% 1% 1% 0% (0%) (8%) (8%) Electric Utilities Average (0%) (0%) 1% 7% 0% 0% (1%) 3% 0% 1% (4%) (5%) (0%) (0%) (1%) 1% 0% 0% (0%) 5% 0% 0% (4%) (1%) Electric Utilities Median 0% 0% 1% (0%) 0% 0% (1%) (1%) 0% 1% (1%) (3%) 0% 0% (1%) 1% 0% 0% 1% 2% 0% 0% (3%) (0%) Copasa 0% 0% 1% 1% 1% 1% 0% (1%) 0% 1% (3%) 1% 0% 0% (0%) (1%) 0% (0%) (0%) (1%) 0% (1%) (3%) (3%) Sabesp 0% 0% (1%) (3%) 0% 1% (6%) (7%) 0% 5% (11%) (11%) 0% 0% (1%) (1%) 0% 1% 1% 1% 0% (0%) (8%) (8%) Water Utilities Average 0% 0% (0%) (1%) 0% 1% (3%) (4%) 0% 3% (7%) (5%) 0% 0% (1%) (1%) 0% 0% 0% 0% 0% (1%) (5%) (5%) Water Utilities Median 0% 0% (0%) (1%) 0% 1% (3%) (4%) 0% 3% (7%) (5%) 0% 0% (1%) (1%) 0% 0% 0% 0% 0% (1%) (5%) (5%) Utilities Sector Average (0%) (0%) 1% 6% 0% 0% (1%) 2% 0% 1% (4%) (5%) (0%) (0%) (1%) 0% 0% 0% (0%) 4% 0% 0% (4%) (1%) Utilities Sector Median 0% 0% 1% (1%) 0% 0% (1%) (1%) 0% 1% (2%) (3%) 0% 0% (1%) 0% 0% 0% 1% 1% 0% 0% (3%) (1%) Source: Bloomberg Consensus figures. 11 Data updated on: 2-May-11

12 Financial Ratios Net Debt / EBITDA Net Debt/ Total Assets EBITDA Interest Cover Company Rec E 2012E 2013E E 2012E 2013E E 2012E 2013E CESP PNB BUY 3.4x 2.7x 1.3x 0.9x 0.7x 23.7% 20.8% 15.0% 11.2% 11.5% n.m. 2.9x 5.4x 5.6x 9.3x AES TIETE ON BUY 0.3x 0.3x 0.4x 0.4x 0.4x 8.1% 8.5% 12.9% 13.7% 14.7% 45.5x 23.1x 23.1x 18.9x 17.8x AES TIETE PN NEUTRAL 0.3x 0.3x 0.4x 0.4x 0.4x 8.1% 8.5% 12.9% 13.7% 14.7% 45.5x 23.1x 23.1x 18.9x 17.8x Tractebel ON N.C. 1.6x 1.4x 1.2x 1.1x 1.0x n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. Elec. Generation Utilities Average 1.4x 1.2x 0.8x 0.7x 0.6x 13% 13% 14% 13% 14% 45.5x 16.4x 17.2x 14.5x 14.9x Elec. Generation Utilities Median 0.9x 0.8x 0.8x 0.7x 0.6x 8% 8% 13% 14% 15% 45.5x 23.1x 23.1x 18.9x 17.8x CELESC PN N.C. -0.5x -0.3x -0.4x -0.4x -0.4x n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. COELCE PNA SELL 2.4x 2.4x 1.0x 0.9x 0.7x 32.4% 26.9% 20.1% 17.6% 14.5% 8.5x 4.5x 14.8x 24.1x 49.5x AES ELETROPAULO PNB NEUTRAL 2.2x 2.2x 1.6x 1.4x 1.0x 24.1% 21.5% 24.5% 19.5% 17.0% n.m. n.m. 40.5x 72.9x 34.1x Equatorial Energia ON NEUTRAL 1.9x 1.9x 1.5x 1.2x 1.1x 31.7% 25.8% 22.2% 17.8% 14.7% 3.3x 7.8x 13.4x 33.5x 110.5x Elec. Distribution Utilities Average 1.5x 1.5x 0.9x 0.8x 0.6x 29% 25% 22% 18% 15% 5.9x 6.2x 22.9x 43.5x 64.7x Elec. Distribution Utilities Median 2.0x 2.0x 1.3x 1.0x 0.9x 32% 26% 22% 18% 15% 5.9x 6.2x 14.8x 33.5x 49.5x CEMIG PN BUY 1.2x 1.2x 2.3x 1.8x 1.6x 22.7% 29.6% 32.7% 26.7% 26.2% 15.9x 6.6x 5.4x 8.2x 10.8x CPFL PNB N.C. 2.8x 2.4x 2.1x 1.9x 1.9x na n.a. na n.a. na n.a. na n.a. na n.a. n.a. n.a. n.a. n.a. n.a. COPEL PNB BUY -0.1x -0.1x -0.6x -1.2x -1.6x (1.3%) 1.1% (6.8%) (12.2%) (17.3%) n.m. n.m. n.m. n.m. n.m. EDP Energias do Brasil ON BUY 1.4x 1.4x 1.6x 1.0x 1.0x 17.5% 17.6% 19.7% 14.4% 14.0% 18.2x 8.8x 9.5x 17.4x 55.3x Light ON NEUTRAL 1.2x 1.2x 1.8x 1.6x 1.3x 17.3% 20.4% 26.9% 25.8% 24.7% 16.4x 5.0x 4.8x 6.9x 8.4x Integrated Elec. Utilities Average 1.0x 0.9x 1.1x 0.8x 0.6x 14% 17% 18% 14% 12% 16.8x 6.8x 6.6x 10.8x 24.8x Integrated Elec. Utilities Median 1.2x 1.2x 1.6x 1.0x 1.0x 17% 19% 23% 20% 19% 16.4x 6.6x 5.4x 8.2x 10.8x ISA CTEEP PNB BUY 0.8x 0.8x 1.7x 1.6x 1.5x 15.8% 19.8% 33.5% 34.3% 33.9% 4.5x 3.3x 3.3x 3.1x 3.4x Electric Utilities Average 1.3x 1.3x 1.1x 0.9x 0.8x 18% 18% 19% 17% 15% 19.7x 9.5x 14.3x 20.9x 31.7x Electric Utilities Median 1.3x 1.3x 1.4x 1.1x 1.0x 18% 20% 20% 18% 15% 16.1x 6.6x 11.5x 18.1x 17.8x Copasa ON BUY x x x x x 28.6% 30.3% 3% 28.1% 30.2% 31.6% n.m. 31.0x x 10.8x 10.8x Sabesp ON N.C. 2.3x 1.9x 1.9x 1.8x 1.7x n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. Water Utilities Average 2.2x 2.0x 2.0x 1.9x 1.9x 29% 30% 28% 30% 32% n.m. 31.0x 7.7x 10.8x 10.8x Water Utilities Median 2.2x 2.0x 2.0x 1.9x 1.9x 29% 30% 28% 30% 32% n.m. 31.0x 7.7x 10.8x 10.8x Utilities Sector Average 1.3x 1.2x 1.1x 0.9x 0.8x 19% 19% 20% 18% 17% 19.7x 11.6x 13.7x 20.0x 29.8x Utilities Sector Median 1.3x 1.3x 1.4x 1.1x 1.0x 20% 21% 21% 18% 15% 16.1x 7.2x 9.5x 17.4x 17.8x Source: covered companies - BES Securities for estimates, other Bloomberg Consensus figures. 12 Data updated on: 2-May-11

13 Operational data Company Rec E 2012E 2013E net RAB (R$m) Assured Energy (averagemw) Annual Permited Revenue (R$m) CAGR 09-13E E 2012E 2013E CAGR 09-13E E 2012E 2013E Elec. Generation Utilities CESP BUY n.a. n.a. n.a. n.a. n.a. n.a 3,916 3,916 3,916 3,916 3,916 0% n.a. n.a. n.a. n.a. n.a. n.a AES Tietê Ord. BUY n.a. n.a. n.a. n.a. n.a. n.a 1,275 1,275 1,279 1,279 1,279 0% n.a. n.a. n.a. n.a. n.a. n.a AES Tietê Pref. NEUTRAL n.a. n.a. n.a. n.a. n.a. n.a 1,275 1,275 1,279 1,279 1,279 0% n.a. n.a. n.a. n.a. n.a. n.a Tractebel N.C. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. CAGR 09-13E Elec. Distribution Utilities CELESC N.C. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. COELCE SELL , , , , ,564 8% na n.a. na n.a. na n.a. na n.a. na n.a. na n.a na n.a. na n.a. na n.a. na n.a. na n.a. na n.a AES Eletropaulo NEUTRAL 5,314 5,529 5,934 5,689 5,375 0% n.a. n.a. n.a. n.a. n.a. n.a n.a. n.a. n.a. n.a. n.a. n.a Equatorial Energia NEUTRAL % n.a. n.a. n.a. n.a. n.a. n.a n.a. n.a. n.a. n.a. n.a. n.a Integrated Elec. Utilities CEMIG BUY 5,469 5,960 7,347 7,556 7,656 9% 3,762 3,762 3,762 3,984 3,984 1% n.a. n.a. n.a. n.a. n.a. n.a CPFL Energia N.C. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. COPEL BUY 2,205 2,494 2,807 2,933 3,015 8% 1,957 1,957 2,057 2,057 2,057 1% n.a. n.a. n.a. n.a. n.a. n.a EDP Energias do Brasil BUY 2,524 2,730 2,940 3,092 3,244 6% ,137 1,137 9% n.a. n.a. n.a. n.a. n.a. n.a Light NEUTRAL 4,504 4,923 5,816 6,259 6,682 10% % n.a. n.a. n.a. n.a. n.a. n.a Elec.Transmission Utilities ISA CTEEP BUY n.a. n.a. n.a. n.a. n.a. n.a n.a. n.a. n.a. n.a. n.a. n.a 1,815 1,880 2,036 2,132 2,168 5% Water Utilities Copasa BUY n.a. n.a. n.a. n.a. n.a. n.a n.a. n.a. n.a. n.a. n.a. n.a n.a. n.a. n.a. n.a. n.a. n.a Sabesp NC N.C. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. Source: BES Securities for estimates. 13 Data updated on: 2-May-11

14 Sector Multiples EV / net RAB EV / Assured Energy EV / Annual Permitted Revenue * Company Rec E 2012E 2013E (D) as % (G) as (T) as % E 2012E 2013E E 2012E 2013E of EV % of EV of EV Cesp BUY n.a. n.a. n.a. n.a. n.a. n.a. 3.5x 3.5x 3.5x 3.5x 3.5x 100% n.a. n.a. n.a. n.a. n.a. n.a. AES Tietê Ord. BUY n.a. n.a. n.a. n.a. n.a. n.a. 6.8x 6.8x 6.8x 6.8x 6.8x 100% n.a. n.a. n.a. n.a. n.a. n.a. AES Tietê Pref. NEUTRAL n.a. n.a. n.a. n.a. n.a. n.a. 7.6x 7.6x 7.6x 7.6x 7.6x 100% n.a. n.a. n.a. n.a. n.a. n.a. Tractebel N.C. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. Elec. Generation Utilities Average n.a. n.a. n.a. n.a. n.a n.a. n.a. n.a. n.a. n.a. Elec. Generation Utilities Median n.a. n.a. n.a. n.a. n.a n.a. n.a. n.a. n.a. n.a. Celesc N.C. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. Coelce SELL 1.7x 1.4x 1.3x 1.2x 1.2x 100% n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. AES Eletropaulo NEUTRAL 1.5x 1.4x 1.3x 1.4x 1.4x 100% n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. Equatorial Energia NEUTRAL 2.4x 2.5x 2.3x 2.0x 1.8x 100% n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. Elec. Distribution Utilities Average 1.9x 1.8x 1.6x 1.5x 1.5x n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. Elec. Distribution Utilities Median 1.7x 1.4x 1.3x 1.4x 1.4x n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. Cemig BUY 0.6x 0.6x 0.5x 0.4x 0.4x 11% 6.0x 6.0x 6.0x 5.7x 5.7x 75% n.a. n.a. n.a. n.a. n.a. n.a. CPFL Energia N.C. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. n.c. Copel BUY 0.3x 0.3x 0.3x 0.2x 0.2x 6% 4.9x 4.9x 4.7x 4.7x 4.7x 81% n.a. n.a. n.a. n.a. n.a. n.a. EDP Energias do Brasil BUY 1.1x 1.0x 1.0x 0.9x 0.9x 36% 7.0x 6.9x 6.9x 5.0x 5.0x 71% n.a. n.a. n.a. n.a. n.a. n.a. Light NEUTRAL 1.0x 0.9x 0.8x 0.7x 0.7x 61% 5.0x 5.0x 4.9x 4.8x 4.8x 36% n.a. n.a. n.a. n.a. n.a. n.a. Integrated Elec. Utilities Average 0.8x 0.7x 0.6x 0.6x 0.6x 29% 5.7x 5.7x 5.6x 5.1x 5.1x 66% n.a. n.a. n.a. n.a. n.a. Integrated Elec. Utilities Median 0.8x 0.7x 0.6x 0.6x 0.6x 23% 5.5x 5.5x 5.5x 4.9x 4.9x 73% n.a. n.a. n.a. n.a. n.a. ISA CTEEP BUY n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. 5.0x 4.8x 4.5x 4.3x 4.2x 100% Elec.Transmission Utilities Average n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. 5.0x 4.8x 4.5x 4.3x 4.2x Elec.Transmission Utilities Median n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. 5.0x 4.8x 4.5x 4.3x 4.2x Copasa BUY n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. Sabesp NC N.C. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. nc n.c. Water Utilities Average n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. Water Utilities Median n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. Utilities Sector Average 1.2x 1.2x 1.0x 1.0x 1.0x 5.8x 5.8x 5.8x 5.4x 5.4x 5.0x 4.8x 4.5x 4.3x 4.2x Utilities Sector Median 1.1x 1.0x 1.0x 0.9x 0.9x 6.0x 6.0x 6.0x 5.0x 5.0x 5.0x 4.8x 4.5x 4.3x 4.2x * For Copel & Cemig, transmission assets' APRs are not disclosed and consolidated under 'Generation and Transmission' operations Source: BES Securities for estimates. For integrated companies, multiples are calculated assuming that current EV has the same breakdown among segments as in our valuation. Note: For the calculation of the EV/Assured Energy multiple the EV value in BRL (R$) is considered. Data updated on: 2-May-11 14

15 Performance Absolute vs Sector (IBOV IEE) vs Market (IBOV) Company Price (R$) 1D 1W 1M 3M 6M 1Y YTD 1D 1W 1M 3M 6M 1Y YTD 1D 1W 1M 3M 6M 1Y YTD Cesp % 1% 6% 5% 10% 20% 11% 1% 1% 3% 1% 0% 1% 3% 1% 2% 1% 9% 19% 23% 17% AES Tietê Ord % 1% 0% 10% 18% 45% 6% 2% 2% 4% 4% 8% 24% 2% 2% 3% 6% 13% 26% 48% 12% AES Tietê Pref % 1% 1% 7% 9% 44% 6% 2% 1% 5% 1% 1% 24% 2% 2% 1% 7% 11% 18% 48% 11% Tractebel % 2% 1% 4% 9% 29% 0% 1% 1% 2% 2% 1% 8% 7% 1% 0% 4% 7% 18% 32% 6% Elec. Generation Utilities Average -2% -1% -1% 7% 11% 35% 6% -1% 1% 2% 0% 2% 14% -2% -1% 2% 4% 10% 20% 38% 11% Elec. Generation Utilities Median -2% -1% 0% 6% 10% 37% 6% -1% 1% 3% 0% 0% 16% -2% -1% 1% 5% 10% 18% 40% 11% Celesc % 1% 3% 7% 26% 27% 10% 0% 1% 0% 0% 16% 6% 2% 0% 2% 2% 10% 35% 30% 15% Coelce % 2% 2% 11% 19% 28% 18% 2% 1% 1% 5% 9% 7% 11% 2% 0% 4% 15% 27% 31% 24% AES Eletropaulo % 4% 1% 13% 24% 20% 14% 3% 3% 4% 7% 14% 0% 6% 3% 2% 6% 16% 33% 23% 20% Equatorial Energia % 1% 1% 16% 10% 44% 15% 1% 0% 4% 10% 0% 23% 8% 1% 1% 6% 20% 19% 47% 21% Elec. Distribution Utilities Average -3% -2% -1% 12% 20% 30% 14% -2% -1% 2% 5% 10% 9% 7% -2% 0% 5% 15% 28% 33% 20% Elec. Distribution Utilities Median -3% -2% -1% 12% 21% 27% 15% -2% 0% 3% 6% 11% 6% 7% -2% 0% 5% 16% 30% 30% 20% Cemig % 0% 3% 16% 10% 20% 18% 1% 2% 1% 10% 0% 1% 10% 1% 3% 3% 19% 18% 23% 23% CPFL Energia % 1% 1% 14% 18% 38% 15% 2% 0% 4% 8% 8% 17% 7% 2% 1% 7% 17% 26% 41% 20% Copel % 0% 5% 3% 9% 24% 5% 1% 2% 1% 3% 1% 3% 3% 1% 2% 1% 7% 18% 27% 11% EDP Energias do Brasil % 2% 2% 8% 9% 22% 4% 0% 0% 2% 1% 1% 1% 4% 0% 0% 4% 11% 17% 25% 9% Light % 0% 1% 10% 31% 32% 13% 3% 2% 4% 4% 21% 11% 5% 3% 2% 6% 14% 40% 35% 18% Integrated Elec. Utilities Average -1% -2% -4% 8% 10% 18% 9% 0% 0% -1% 2% 0% -3% 1% 0% 1% 2% 11% 18% 21% 14% Integrated Elec. Utilities Median -1% -1% -3% 8% 9% 22% 6% 0% 0% 1% 1% -1% 1% -2% 0% 1% 3% 11% 18% 25% 11% ISA CTEEP % 1% 2% 2% 1% 20% 4% 1% 1% 1% 8% 11% 1% 12% 1% 1% 3% 2% 8% 23% 1% Electric Utilities Average -1% -2% -2% 8% 12% 25% 9% 0% 0% 1% 2% 2% 4% 1% 0% 1% 3% 11% 21% 28% 14% Electric Utilities Median -2% -1% -2% 8% 10% 25% 8% -1% 1% 2% 1% 0% 4% 0% -1% 1% 4% 11% 18% 28% 13% Copasa % 1% 5% 6% 11% 22% 3% 1% 3% 8% 1% 1% 1% 4% 1% 3% 10% 9% 19% 25% 9% Sabesp % 2% 3% 10% 20% 43% 7% 1% 0% 0% 3% 10% 22% 0% 1% 1% 2% 13% 29% 46% 13% Water Utilities Average 0% 0% 1% 8% 16% 32% 5% 1% 1% 4% 1% 6% 11% -2% 1% 2% 6% 11% 24% 35% 11% Water Utilities Median 0% 0% 1% 8% 16% 32% 5% 1% 1% 4% 1% 6% 11% -2% 1% 2% 6% 11% 24% 35% 11% Utilities Sector Average -1% -2% -2% 8% 11% 26% 8% 0% 0% 1% 2% 1% 5% 0% 0% 1% 3% 11% 20% 29% 13% Utilities Sector Median -1% -1% -2% 7% 10% 24% 6% -1% 0% 1% 1% 0% 3% -2% -1% 1% 4% 11% 19% 27% 12% IBOV Index 65,472-1% -2% -5% -4% -9% -3% -6% 0% -1% -2% -10% -18% -24% -13% IBOVIEE Index 29,298-1% -2% -3% 6% 10% 21% 8% 0% 1% 2% 10% 18% 24% 13% Last update: 2-May-11 Source: Bloomberg, historical pricing adjusted to reflect regular and exceptional cash dividends/ioc, special cash events and liquidations. Data updated on: 2-May-11 15

16 Sector Performance and PE Index Performance over 1 year PE over 1 year (x) /10 7/10 9/10 11/10 12/10 3/11 4/11 IBOV Index IBOVIEE Index Index Performance over 3 years 5/08 8/08 10/08 1/09 4/09 7/09 10/09 1/10 4/10 7/10 10/10 12/10 3/11 IBOV Index IBOVIEE Index /10 7/10 9/10 11/10 1/11 3/11 5/11 IBOVIEE Index IBOV Index PE over 3 years (x) /08 8/08 11/08 2/09 5/09 8/09 11/09 2/10 5/10 8/10 11/10 2/11 5/11 IBOVIEE Index IBOV Index Source: Bloomberg, historical pricing adjusted to reflect regular and exceptional cash dividends/ioc, special cash events and liquidations. Data updated on: 2-May-11 16

17 Sector Agenda May-11 Jun-11 Jul-11 Aug-11 Transmission i Auction (20/05) E.R.: ENBR3 (04/05); ELPL4 (11/05) CPLE6, TRPL4, CSMG3 (12/05); CESP6, LIGT3, EQTL3, CMIG4 (13/05); COCE5 (17/05) T.A.: CPLE (24/06) T.R.: ELPL (04/07) T.A.: EQTL (28/08) T.A.: ENBR (07/08) [Escelsa] C.C.: ENBR3 (05/05); GETI3/GETI4, ELPL4, TRPL4, CSMG3 (13/05) Sep-11 Oct-11 Nov-11 Dec-11 T.R.: ENBR3 (23/10) [Bandeirante] T.A.: LIGT3 (07/11) Jan-12 Fev-12 Mar-12 Apr-12 Note: T.R.: Tariff Revision; T.A.: Tariff Adjustment E.R.: Earnings Release; C.C.: Conference Call 17 Data updated on: 2-May-11

18 MARKET DATA 18

19 Markets Overview (3m) IBOVESPA 71,000 31,000 70,000 69,000 30,000 68,000 29,000 67,000 66,000 28,000 65,000 64,000 27,000 63,000 26,000 62,000 61,000 25,000 Jan 11 Feb 11 Feb 11 Mar 11 Mar 11 Mar 11 Apr 11 Apr 11 Apr 11 May 1 Jan 11 Feb 11 Feb 11 Mar 11 Mar 11 Mar 11 Apr 11 Apr 11 Apr 11 May 1 IEE IBX-50 9,800 9,600 9,400 9,200 9,000 8,800 8,600 8,400 Jan 11 Feb 11 Feb 11 Mar 11 Mar 11 Mar 11 Apr 11 Apr 11 Apr 11 May 11 Source: Bloomberg 19 Data updated on: 2-May-11

20 Inflation Overview 7.0% 6.5% IPCA YoY actual IPCA - YoY IPCA YoY BES est. 16.0% 14.0% IGPM YoY actual IGPM - YoY IGPM YoY BES est. 6.0% 12.0% 5.5% 10.0% 5.0% 4.5% 4.0% 3.5% 3.0% 2.5% 8.0% 6.0% 4.0% 2.0% 0.0% 2.0% IPCA - MoM 10% 1.0% IPCA MoM actual IPCA MoM BES est. 25% 2.5% 0.8% 2.0% IGPM MoM actual IGPM - MoM IGPM MoM BES est. 0.6% 0.4% 0.2% 0.0% 0.2% 1.5% 1.0% 0.5% 0.0% 0.5% 0.4% 1.0% Source: IBGE, BES estimates 20 Data updated on: 2-May-11

21 Currencies and Interest Rate Overview USDBRL GBPBRL Jan 11 Feb 11 Feb 11 Mar 11 Mar 11 Mar 11 Apr 11 Apr 11 Apr 11 May 11 Jan 11 Feb 11 Feb 11 Mar 11 Mar 11 Mar 11 Apr 11 Apr 11 Apr 11 May 11 22% 20% 18% SELIC Selic int. rate actual Selic int. rate BES est EURBRL 16% % 12% % % Jan 11 Feb 11 Feb 11 Mar 11 Mar 11 Mar 11 Apr 11 Apr 11 Apr 11 May 11 Source: Bloomberg, BES estimates 21 Data updated on: 2-May-11

22 Share Price Movements (local currency) Weekly % change 1 month % change 3 months % change Copasa (B) Copasa (B) Equatorial Energia (N) AES Tietê Ord. (B) Cemig (B) Copel (B) Light (N) Cesp (B) Celesc AES Tietê Pref. (N) ISA CTEEP (B) CPFL Energia Equatorial Energia (N) IEE Bovespa Sabesp EDP Energias do Brasil (B) Tractebel Ibovespa Coelce (S) AES Eletropaulo (N) AES Tietê Pref. (N) CPFL Energia Equatorial Energia (N) AES Eletropaulo (N) Light (N) AES Tietê Ord. (B) Tractebel EDP Energias do Brasil (B) Coelce (S) ISA CTEEP (B) Cemig (B) Celesc IEE Bovespa Sabesp Copel (B) Ibovespa Cesp (B) Cemig (B) CPFL Energia AES Eletropaulo (N) Coelce (S) Light (N) AES Tietê Ord. (B) Sabesp EDP Energias do Brasil (B) AES Tietê Pref. (N) Celesc IEE Bovespa Copasa (B) Cesp (B) Tractebel Copel (B) ISA CTEEP (B) Ibovespa 5% 4% 3% 2% 1% 0% 1% 2% 8% 6% 4% 2% 0% 2% 4% 6% 15% 10% 5% 0% 5% 10% 15% 20% Source: Bloomberg, historical pricing in BRL, adjusted to reflect regular and exceptional cash dividends/ioc, special cash events and liquidations. Data updated on: 2-May-11 22

23 Share Price Movements (local currency) 6 months % change 12 months % change YTD% change Light (N) AES Tietê Ord. (B) Coelce (S) Celesc AES Eletropaulo (N) Sabesp Coelce (S) CPFL Energia AES Tietê Ord. (B) Copasa (B) Equatorial Energia (N) Cesp (B) IEE Bovespa Cemig (B) Copel (B) AES Tietê Pref. (N) Tractebel EDP Energias do Brasil (B) ISA CTEEP (B) Ibovespa AES Tietê Pref. (N) Equatorial Energia (N) Sabesp CPFL Energia Light (N) Tractebel Coelce (S) Celesc Copel (B) EDP Energias do Brasil (B) Copasa (B) IEE Bovespa AES Eletropaulo (N) Cesp (B) ISA CTEEP (B) Cemig (B) Ibovespa Cemig (B) Equatorial Energia (N) CPFL Energia AES Eletropaulo (N) Light (N) Cesp (B) Celesc IEE Bovespa Sabesp AES Tietê Ord. (B) AES Tietê Pref. (N) Copel (B) EDP Energias do Brasil (B) Copasa (B) Tractebel ISA CTEEP (B) Ibovespa 20% 10% 0% 10% 20% 30% 40% 10% 0% 10% 20% 30% 40% 50% 10% 5% 0% 5% 10% 15% 20% Source: Bloomberg, historical pricing in BRL, adjusted to reflect regular and exceptional cash dividends/ioc, special cash events and liquidations. Data updated on: 2-May-11 23

24 Share Price Charts (absolute and relative) Cesp CESP /10 7/10 9/10 10/10 12/10 2/11 4/11 P vs IEEX vs IBOV AES Tietê ON GETI /10 7/10 9/10 10/10 12/10 2/11 4/11 P vs IEEX vs IBOV AES Tietê PN GETI /10 7/10 9/10 10/10 12/10 2/11 4/ Tractebel TBLE3 5/10 7/10 9/10 10/10 12/10 2/11 4/11 P vs IEEX vs IBOV P vs IEEX vs IBOV Source: Bloomberg, historical pricing in BRL, adjusted to reflect regular and exceptional cash dividends/ioc, special cash events and liquidations. Data updated on: 2-May-11 24

25 Share Price Charts (absolute and relative) Celesc CLSC6 5/10 7/10 9/10 10/10 12/10 2/11 4/11 P vs IEEX vs IBOV Coelce COCE /10 7/10 9/10 10/10 12/10 2/11 4/11 P vs IEEX vs IBOV AES Eletropaulo ELPL4 Equatorial EQTL /10 7/10 9/10 10/10 12/10 2/11 4/11 5/10 7/10 9/10 10/10 12/10 2/11 4/11 P vs IEEX vs IBOV P vs IEEX vs IBOV Source: Bloomberg, historical pricing in BRL, adjusted to reflect regular and exceptional cash dividends/ioc, special cash events and liquidations. Data updated on: 2-May-11 25

26 Share Price Charts (absolute and relative) Light LIGT3 Cemig CMIG /10 7/10 9/10 10/10 12/10 2/11 4/11 P vs IEEX vs IBOV /10 7/10 9/10 10/10 12/10 2/11 4/11 P vs IEEX vs IBOV CPFL Energia CPFE Copel CPLE /10 7/10 9/10 10/10 12/10 2/11 4/ /10 7/10 9/10 10/10 12/10 2/11 4/11 P vs IEEX vs IBOV P vs IEEX vs IBOV Source: Bloomberg, historical pricing in BRL, adjusted to reflect regular and exceptional cash dividends/ioc, special cash events and liquidations. Data updated on: 2-May-11 26

27 Share Price Charts (absolute and relative) EDP En. do Brasil - ENBR ISA CTEEP TRPL /10 7/10 9/10 10/10 12/10 2/11 4/11 P vs IEEX vs IBOV /10 7/10 9/10 10/10 12/10 2/11 4/11 P vs IEEX vs IBOV Copasa CSMG3 Sabesp SBSP /10 7/10 9/10 10/10 12/10 2/11 4/11 5/10 7/10 9/10 10/10 12/10 2/11 4/11 P vs IEEX vs IBOV P vs IEEX vs IBOV Source: Bloomberg, historical pricing in BRL, adjusted to reflect regular and exceptional cash dividends/ioc, special cash events and liquidations. Data updated on: 2-May-11 27

28 MACRO 28

29 Electrical Energy Balance Outlook avg g. MW Electrical Energy Balance National System Operator 80,000 62,004 60,000 58, % 40,000 64,497 61, % 69,691 71,123 68,541 65, % 3.8% avg g. MW Electrical Energy Balance BES s scenario 80,000 69,728 70,320 70,000 60,498 64,613 60,000 62,038 59,360 50,000 66,362 69,380 40, % 4.2% 30,000 20,000 20,000 10, % 1.4% 0 Hydro 2011E 2012E 2013E Thermo 2014E Small Hydro, Thermo & Wind farms Energy Imports (Itaipu 50hz) Total Demand Surplus (Deficit) as % of demand E 2012E 2013E 2014E Hydro Thermo Small Hydro, Thermo & Wind farms Energy Imports (Itaipu 50hz) Total Demand Surplus (Deficit) as % of demand 9,000 Schedule Changes in New Installed Capacity Start-up 8,000 7,000 6,000 MW 5,000 4,000 3,000 2,000 1,000 0 PMO May'10 PMO Mar'11 PMO Apr'11 PMO May'10 PMO Mar'11 PMO Apr'11 PMO May'10 PMO Mar'11 PMO Apr'11 PMO May'10 PMO Mar'11 PMO Apr' E 2012E 2013E 2014E Small Hydro, Thermo & Wind farms Total Thermo Total Hydro Source: ONS National System Operator, ANEEL, EPE, CCEE, BES Calculations Itaipu 50/60hz refers to Itaipu Hydro Power Plant Bi-national Project between Brazil and Paraguay Note: Energy Balance figures in avg. MW 29

30 Supply Outlook and Additions System Installed Capacity (MW) PEN Jul 2010 Base Case Scenario System Installed Capacity (MW) PMO BES Estimates 100% 90% 80% 12.1% 11.4% 10.6% 10.0% 9.9% 9.2% 10.0% 11.1% 10.5% 10.5% 100% 90% 80% 12.1% 11.1% 10.7% 10.0% 9.9% 9.2% 9.8% 11.2% 10.5% 10.5% 70% 15.8% 17.4% 19.2% 21.7% 21.5% 70% 16.4% 18.3% 18.6% 21.8% 21.6% 60% 60% MW 50% 40% MW 50% 40% 30% 62.8% 61.2% 59.1% 57.7% 58.1% 30% 62.3% 60.7% 59.4% 57.7% 58.0% 20% 20% 10% 0% 2010E 2011E 2012E 2013E 2014E 10% 0% 2010E 2011E 2012E 2013E 2014E Itaipu 50/60 hz Small Hydro, Thermo & Wind f arms Thermo Hydro Itaipu 50/60 hz Small Hydro, Thermo & Wind f arms Thermo Hydro 9,000 Capacity addition classification Mar/11 8,000 MW Installed Cap pacity 7,000 6,000 5,000 4,000 3,000 2,000 1, E 2012E 2013E 2014E Without restrictions to start-up With restrictions to start-up Operations start-up fully restricted Source: ONS National System Operator, ANEEL, EPE, CCEE, BES Estimates Itaipu 50/60hz refers to Itaipu Hydro Power Plant Bi-national Project between Brazil and Paraguay 30

31 Expansion auctions 170 Generation Auctions Price History, inflation adjusted Hydro Thermo 65% Transmission Auctions Discount to auction revenue cap R$/MWh Belo Monte Jirau Size of the bubble represents the volume of energy sold in one auction 55% 45% 35% 25% 15% 5% -5% Size of the bubble represents the revenue auctioned Generation Auctions volume & Inflation adjusted prices 14,000 R$ ,000 10,000 R$ R$ R$ R$ R$ R$ R$ MW 8,000 6, ,000 2,000 R$ 97.0 R$ 78.5 R$ R$ 80.0 R$ 60.0 R$ 40.0 R$ 20.0 R$/MWh R$ 0.0 Volume Price per year weighted by volumes Pi Price Source: ONS National System Operator, ANEEL, EPE, CCEE, BES Estimates 31

32 Demand Outlook Monthly Demand Curve ONS vs BES estimate 75,000 BES forecast 70,000 20% 15% Growth rate by segment avgm MW 65,000 60,000 ONS Demand Curve 10% 5% 55,000 ESIB Updated Demand Curve 0% 50,000-5% n-10 ja fev v-10 ma ar-10 ab br-10 ma ai-10 n-10 ju ju ul-10 o-10 ag se et-10 ou ut-10 no ov-10 de ez-10 n-11 ja fev v-11 ma ar-11-10% Residencial Industrial Comercial Outros Free clients volume and market share Electricity consumption - Growth rate (YoY) 60,000 30% 50,000 40,000 30,000 20,000 28% 25% 23% 20% 9% 8% 6% 5% 3% 2% 7.7% 7.8% 7.5% 61% 6.1% 5.2% 3.8% 4.4% 4% 10,000-18% 15% 0% -2% -3% -1.0% -0.6% Total volume Free clients / total market M11 Electricity Demand Growth (%) GDP Growth YoY (BES est. for 2010 and YE2011) Source: ONS National System Operator, ANEEL, EPE, CCEE, BES Estimates 32

33 Generation Segment Overview Accumulated growth in Assured Energy (%) Average sale price forecast (R$/MWh) 20% 40% 15% % 100 5% 50 0% E 2011E 2012E 2013E 2014E 2015E 2016E E 2012E 2013E AES Tietê Cesp Cemig Copel Light EDP Energias do Brasil AES Tietê CESP CEMIG COPEL Light EDP Energias do Brasil Energy Balance E Schedule of Contracting 85% 1% 38% 33% 34% 12% 8% 20% 15% 13% 6% 9% 11% 12% 4% 2% 2% 6% 6% 33% 65% 40% 55% 63% 55% MW 45% 44% 85% 91% 88% 25% 100% 100% 100% 91% 91% 91% 93% 92% 25% 64% 66% 66% 47% 45% 37% 37% 36% 42% 5% -15% -2% -2% 0% 0% 0% 0% 0% -3% '10A '11E '12E '13E '10A '11E '12E '13E '10A '11E '12E '13E '10A '11E '12E '13E '10A '11E '12E '13E '10A '11E '12E '13E CESP AES TIETE CEMIG COPEL EDB LIGHT To be sold Free' clients Regulated market Source: Company data, BES for estimates. 33

34 Discos Geographic Distribution RR AP Power Load share % AM PA MA CE RN 15% SE/MW AC RO MT TO PI BA PB PE AL SE 16% 62% S NE N GO MS SP MG RJ ES Share of GDP 2009 RS PR SC North Northeast Middle West Southeast South 16% 13% 5% 66% SE/MW S NE N Source: ONS National Electric System Operator and IBGE Brazilian Statistics Bureau 34

35 Company EV, EBITDA & Generation Mix 100% 80% 60% 40% 20% 0% -20% 100% 100% EV split by business type 2011E 100% 100% 90% 9% 11% 5% 36% 75% 71% 10% -7% CESP AES Tietê Coelce EletropauloEquatorial Cemig EDP En. do Brasil Generation Transmission Distribution Others 3% 61% 36% 100% 13% 6% 81% Light ISA Cteep Copel 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% -10% 100% 100% EBITDA split by business type 2011E 100% 100% 100% 4% 32% 50% 4% 59% 52% -2% CESP AES Tietê Coelce AES Eletropaulo Equatorial Cemig EDP En. do Brasil Generation Transmission Distribution Others 1% 13% 41% 85% 100% 46% 14% Light ISA Cteep Copel 100% 90% Generation Mix % 1.7% 0.5% 2.7% 9.6% 80% 100.0% 99.6% 95.6% 99.5% 90.4% 100.0% 70% 60% Cesp AES Tietê Cemig Copel EDP Energias do Brasil Hydro Thermal Wind / Small Hydro / Biomass Light Source: BES Securities for estimates 35