The A2A S.p.A. Board of Directors has examined and approved the Half year financial report at 30 June 2014

• Further reduction of the Net Financial Debt of 302 million euros (around -8%), which amounts to 3,572 million euros.
• The continuing critical situation in the energy sector and the effects of the high temperatures recorded in the early months of the year have been partially compensated by the growth of business on the environmental certificates market, by the measures to increase operational efficiency and by the improved performance of the hydroelectric production, which made it possible to limit the impact on the Group's economic-financial results (EBITDA amounting to 551 million euros, -9.7% compared to the first half of 2013).

Milan, 31 July 2014 – At today’s meeting of the A2A S.p.A. Board of Directors, chaired by Mr. Giovanni Valotti, the Board examined and approved the Half year financial report at 30 June 2014.

The half year was marked by the continual worsening of the economic indicators, specifically in the energy sector. Compared to the corresponding period of 2013, the market prices of electricity fell in the half year in question by 11 euros/MWh (-18%) while domestic demand dropped by 3%.

Despite this difficult market context, the company achieved a further reduction of the Net Debt of 302 million euros.

The industrial margin, taking into account the unfavourable climatic conditions recorded in the period in question and the allocation of mobility charges for 9 million euros relative to the new agreement signed with the trade unions on 23 May 2014 to address the crisis situation in the electricity production sector, is essentially in line with the same period of the previous year, thanks to the favourable hydraulicity in Italy, the continuous effort towards operational efficiency and the good performance achieved on the environmental certificates market.

The Gross Operating Income amounted to 551 million euros (610 million euros in the first half of 2013). The reduction of 59 million euros includes the effects connected to the high temperatures which can be quantified at around 27 million euros, as well as those relative to the lower hydraulicity recorded in Montenegro (38 million euros) and the expiry (from October 2013) of the CIP 6 incentive on the production of electricity by the waste-to-energy plant in Brescia for 17 million euros.

The net operating income of the period amounted to 302 million euros (-8.5%), while the net profit amounted to 97 million euros (-27.1%).
During the period, the generation of net cash flows was positive and amounted to 302 million euros, after investments of 124 million euros and the payment of dividends for 102 million euros. The Net Financial Position at the end of June 2014 thus amounted to 3,572 million euros (3,874 million euros at 31 December 2013).