Conference Call

1st Quarter 2013

Highlights
Consumption grew 3.7% compared to 1Q12, manly driven by the residential and commercial segments whch increased its consumption by 3.2% and 7.8%; Collection rate (LTM) for the first quarter reached 101.0%, 600 bps above the 1Q12; Non-tecnical losses for the past 12 months was of 44,9%, a reduction of 50 bps in comparison with december/2012; In 1Q13, investments amounted R$162.7 million, been R$ 127.0 million for the distribution segment.

OPERATIONAL

6.9% increase in Net Revenue (without construction revenue) reaching R$ 1,883.1 million in the 1Q13; R$ 355,1 million EBITDA in 1Q13, wich represents a 18.1% decrease, as a consequence of the higher cost with energy purchase for distribution; R$ 78.6 million of net Income in the first quarter, a decrease of 43.8% over 1Q12. Adjusted by CVA, it reaches R$ 145.4 million, 4.8% above 1Q12. Net Debt of R$ 4,031.4 million, with a multiple for covenants at 2,73x. CDE transfers to the distributors to neutralize, since January/2013, the exposure to the spot market, the hydrological risk and the additional cost from thermal power plants dispatch;

RESULTS

Decree 7,945/13 R$ 428 million were recognized as a reversal of non-manageable costs (Parcel A), whereas R$ 171
million were received in April and R$ 257 million in May, regarding the 1Q13 accountings.

Energy Consumption
Distribution Quarter
TOTAL MARKET (GWh)
+1.8% +3.7%

Free Livre 19% 19% 6,407

Outro sC 13% ativos 13%

6,087

6,291

6,180

Others

Industrial I ndus trial 5% 5%

28.3C

27.8C

26.9C

27.0C

With the consumption no longer billed by the change in criteria, the total energy consumption increase in the concession area would be 5.3% over 1Q12.

ial Commercial 28% 28%

Com e rc

Resid Residential encial 35 % 35%

1Q10 1T10

1Q11 1T11

1Q12 1T12

1Q13 1T13

1Note: 1T10 To

preserve1T11 comparability 1T12 in the market 1T13 approved by Aneel in the tariff adjustment process, the billed energy of the free customers Valesul, CSN and CSA were excluded in view of these customers planned migration to the Basic Network.

Total Market
ELECTRICITY CONSUMPTION (GWh) TOTAL MARKET QUARTER
+3.7%

6,180

6,407

+3.2% +7.8%

801 2,423 1.748 1,939 191

835

2,348

1.877 2,091
214 962
-3.7% +3.7%

5.379 966 53 913

5.572

927

932 49

1,748

1,877

561 401

568 359
1T13 1Q13

882

1T12 1Q12

1T13 1Q13

1T12 1Q12

1T13 1Q13

1T12 1Q12

1T12 1Q12

1T13 1Q13

1T12 1Q12

1T13 1Q13

RESIDENTIAL

COMMERCIAL

INDUSTRIAL

OTHERS

TOTAL

CAPTIVE

FREE

Collection
COLLECTION RATE 12 MONTHS

COLLECTION RATE BY SEGMENT QUARTER

101.0% 95.0% 92.0%

100.2%

104.7% 99.2%

100.6%

97.2%

97.7%

99.5%

Total Total

Retail Varejo
1T12

Large Clients Grandes Clientes

1T13

Public PoderSector Pblico

Mar/12 mar-12

Mar/13 mar-13

1Q12

1Q13

Loss Prevention
LOSS (12 MONTHS)
45.4%
42.2% 43.1% 32.9% 19.7 7,665 7,838 8,047 8,584 8,647 44.9%
+87.3%

ENERGY RECOVERY GWh

36.9

41.2%

1T12

5,316

5,457

5,615

6,007

6,029

1Q12 mar-12

1Q13 mar-13

1T13

INCORPORATION GWh
2,349 Mar/12
mar/ 12

2,381 Jun/12
jun/ 12

2,432 Sep/12
s et /12

2,577 Dec/12
dez /12

2,618
+231.9%

23.9

Mar/13
mar/ 13

7.2

Non-technical losses GWh % Non-technical losses/ LV Market

Technical losses GWh % Non-technical losses / LV Market - Regulatory

1Q12 mar-12
1T12

1Q13 mar-13

1T13

Losses Control Initiatives

Results until March/13 Zero Losses Area (APZ)
Neighborhood Curicica Realengo Cosmos Sepetiba Caxias 1 e 2 Belford Roxo 1 e 2 Vigrio Geral Caxias 3 Nova Iguau 1 Nova Iguau 2 Nilpolis Ricardo de Albuquerque Mesquita Cabritos/Tabajaras/Chapu Mangueira/Babilnia Total Client Numbers 13.034 10.141 34.933 18.793 13.907 19.582 16.122 17.239 31.899 20.213 9.861 24.433 8.419 5.208 243.784 Non-Technical Losses / Low Voltage Market * 12,1% 16,9% 22,8% 33,5% 19,5% 32,4% 16,1% 25,2% 31,9% 25,0% 28,8% 19,5% 38,4% 11,9% 24,3% Collection Rate 99,7% 99,5% 107,7% 96,5% 93,3% 94,2% 98,3% 98,7% 98,6% 95,2% 89,8% 96,4% 96,7% 97,7% 98,4%

Favelas
Losses Conclusion Year Before Current Santa Marta 2009 95,00% 8,22% Cidade de Deus 1 2010 52,10% 14,45% Chapu Mangueira 2010 62,70% 14,75% Babilnia Cabritos 2011 62,30% 12,47% Tabajaras Formiga 2011 73,30% 9,37% Batan 2012 61,80% 10,66% Borel 2013 60,50% 31,06% Areas Collection Before Current 0,20% 99,13% 23,10% 78,30% 16,20% 101,46% 5,40% 99,51% 1,40% 96,25% 9,50% 96,99% 31,40% 84,62% 1,20% 93,88% 9,40% 79,10%

* Reflects the results accumulated until mar/13 since the begining of the implementation of each APZ.

Average losses reduction : 49.5 p.p. Average Collection increase : 80.4 p.p.

Average losses reduction: 23.0 p.p. Average Collection increase: 14.5 p.p.

Net Revenue
NET REVENUE BY SEGMENT (1Q13)*
NET REVENUE (R$MN)
+7.5

Commercialization
8.6%

Generation
7.1%

Distribution
84.0%**

1,898.7
137,4

2,040.0
157,3
* Eliminations not considered
+6,9%

1,761.3

1,883.1

** Construction revenue not considered

NET REVENUE FROM DISTRIBUTION (1Q13)

1Q12 1T12 1Q13 1T13
(Free + Concessionaires) 8.0%

Network Use (TUSD)

Residential
45.1%

Construction Revenue Revenue w/out construction revenue

Others (Captive)
11.7%

Industrial
5.5%

Commercial
29.7%

Operating Costs and Expenses

COSTS (R$MN)* 1Q13
No gerenciveis; Non manageable 70,8% (distribution): R$ 1,261.2
(70.8%)

DISTRIBUTION MANAGEABLE COSTS (R$MN)

-4.8%

333.1

317.1

Gerao e Comercializao ; 11,4% Generation and Commercialization: R$ 203.5

(11.4%)

Manageable Gerenciveis; (distribution): R$ 317.1 17,8%

(17.8%) R$ MN PMSO Provisions
PCLD Contingencies

1Q12 1T12

1Q13 1T13

* Eliminations not considered ** Construction revenue not considered

1Q12 167.6 86.5

61.6 24.9

1Q13 184.0 45.2

29.0 16.2

Var. 9.7% -47.7%

210.2% 554.9%

Depreciation Other operational/ revenues expenses Total

75.7 3.2 333.1

80.6 7.3 317.1

6.5% 127.3% -4.8%

EBITDA
; o ui 4% ,8 tr ib Dis %; 63 8 63,

CONSOLIDATED EBITDA (R$MN)

EBITDA BY SEGMENT* 1Q13

433.4

-18.1%

355.1

Distribution 63.8%

(EBITDA Margin: 13.5%)

; 4% 33, o; % 0 r a Ge 33,4

1Q12 1T12

1Q13 1T13

Commercialization 2.8%
(EBITDA Margin: 5.6%)

Generation 33.4%

(EBITDA Margin: 82.1%)

*Eliminations not considered

o; za iali e r c ,77% Com ,8%; 2 2

EBITDA
EBITDA 1Q12 / 1Q13 (R$ MN)

+ 5.8% - 18.1%

122
431 (2) (175) (19) (7) (1) 433 42 101 355 456

EBITDA Ajustado 2T11 Adjusted

EBITDA 1Q12

Ativos e EBITDA Passivos 2T11 Regulatrios Regulatory EBITDA

Receita Lquida

Assets and Liabilities

1Q12

Net Revenue Manageable Costs (PMSO) operational/ revenues Costs

Custos No Custos Provises EBITDA Ativos e EBITDA Gerenciveis Gerenciveis 2T12 Passivos Ajustado Other Regulatrios 2T12 EBITDA Regulatory Adjusted NonManageable (PMSO) Provisions Equity

Pick-up

1Q13

Assets and Liabilities

EBITDA 1Q13

Net Income
ADJUESTED NET INCOME 1Q12 / 1Q13 (R$ MN)
Lucro Lquido e Lucro Lquido Ajustado 1T12/1T13 - R$ Milhes

+ 4.8%

- 43.8%

139 (1)

140

67

145

30 (78) (4) (9)

Custos No Custos Gerenciveis Resultado Gerenciveis Impostos Financial Taxes (PMSO) Financeiro Result Provises
Outros Others

79

EBITDA Ativos e EBITDA Ajustado 2T11 LL Ajustado Ativos e 1T12 Adjusted Net Passivos Regulatory 1Q12 2T11 Regulatrios 4T11 passivos Income Assets and Regulatrios 1Q12 Liabilities

Lquida EBITDA EBITDA

Receita

EBITDA Ativos e EBITDA 2T12 Passivos Ajustado 1T13 Ativos e LL Ajustado 1Q13 Regulatory Adjusted Net Regulatrios 2T12 passivos 4T12 Assets and Income Regulatrios Liabilities 1Q13

Indebtedness
Custo Real
NET DEBT
Without Pension Fund

AMORTIZATION SCHEDULE* (R$ MN)

Average Term: 4.7 years

792 759 982 616 394 176 42 42 42 194

3,991.9 1 2.83

4,031.4

2.73

357

20 09

20 10
Mar/13 9M10
Custo Real

3T10

Dec/12 9M09

2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 After 2022
* Principal only

Net Debt / EBITDA

2010 2011

mar/13 Others
US$/Euro 16.2% 2.0%

COST OF DEBT 2012

Custo Real

11.08%
Custo Nominal

11.03%

8.21% 2.24%

7.73% 1.07% TJLP 24.3%

4.87%

4.25%

CDI/Selic 57.5%

2010 2007
1

2011 2008

2012 2009 Real Cost

2010

Mar/13 set/10

Custo Nominal
2009

Nominal Cost

*ConsideringHedge

Custo Real
2011 2012

Reclassified to reflect the deconsolidation results of jointly controlled companies.

Investments
CAPEX (R$ MN) CAPEX BREAKDOWN (R$ MN) 1Q13
Develop. of Distribution System 51.6 Commerc./ Energy Eficiency 26.1
+13.9%

928.6 700.6 563.8 153.8 796.8 102.7

116.9

181.8 774.8 518.8 694.1 142.9 11.7 131.2 2011 2011 2009 2011 2012 2012 9M11 2010 1Q12 162.7 35.8 127.0 1Q13

446.9

Losses Combat 44.7

Generation Projects 26.9

2009 2009 2009

2010 2010 2008 2010

9M12 2011

9M11

9M12

Generation Maintenance 3.1 Others 17.2

Quality Improvement 13.4

Investments in Electric Assets (Distribution)

Regulatory Framework
On March 8, 2013, the federal government issued the Decree 7,945 preventing the coverage of part of the non-manageable costs not covered by the 2013 tariff, through the resources transferred from the Energetic Development Accout (CDE) for the following costs: System Service Charge (ESS) The monthly transfer will be determined by the amounts settled in the CCEE. Involuntary Exposure associated with the quotas The monthly CDE transfer will cover the difference between the difference settlement price (PLD) and the tariff of the repositioning amount recognized in Lights last tariff adjustment. Hydrological Risk - The net monthly amount settled in the CCEE will be transferred directly via the CDE. It is worth mentioning that the amounts approved for Light reflect the methodology approved by Aneel on May 6th, 2013.

ENERGY PURCHASE (R$ MN)

1,370.9 362.2 144.9 267.1 371.0 225.7
1T13 sem 1Q13 decreto without Decree CDE CDE transfer

CHARGES AND TRANSPORT (R$ MN)

314.2
-12.8%

291.9

1,079.9 70.4 144.9 267.1 371.0 225.7

1T13 1Q13

+ 31.9%

818.2 27.2 122.8 235.4 362.1

70.7
1T12 1Q12

215.3

136.3

177.9

203.9 23.5 130.9 49.5

1T12 1Q12

79.0
52.8 46.1
1T13 sem 1Q13 decreto Without Decree CDE CDE transfer

52.8 46.1
1T13 1Q13

Spot Other Auctions

Itaipu

Norte Fluminense Availability Contracts

ESS

Transport

Other Charges

2013 Tariff Review Schedule

Date
July 11 August 01 From Jul/28 to Aug/16 September 05

Event
Aneel forwards first proposal (without remuneration and depreciation) to the concessionary and to the consumers representatives Internet presentation of the Tariff Review Porposal prepared by Aneel Regulatory Asset Base fiscalization Public Hearing

October 03
October 24 November 07

Aneel forwards new proposal consolidated to the concessionary and to the consumers representatives
Aneel Board Meeting Periodic Tariff Review Date

Important Notice
This presentation may include declarations that represent forward-looking statements according to Brazilian regulations and international movable values. These declarations are based on certain assumptions and analyses made by the Company in accordance with its experience, the economic environment, market conditions and future events expected, many of which are out of the Companys control. Important factors that can lead to significant differences between the real results and the future declarations of expectations on events or business-oriented results include the Companys strategy, the Brazilian and international economic conditions, technology, financial strategy, developments of the public service industry, hydrological conditions, conditions of the financial market, uncertainty regarding the results of its future operations, plain, goals, expectations and intentions, among others. Because of these factors, the Companys actual results may significantly differ from those indicated or implicit in the declarations of expectations on events or future results. The information and opinions herein do not have to be understood as recommendation to potential investors, and no investment decision must be based on the veracity, the updated or completeness of this information or opinions. None of the Companys assessors or parts related to them or its representatives will have any responsibility for any losses that can elapse from the use or the contents of this presentation. This material includes declarations on future events submitted to risks and uncertainties, which are based on current expectations and projections on future events and trends that can affect the Companys businesses. These declarations include projections of economic growth and demand and supply of energy, in addition to information on competitive position, regulatory environment, potential growth opportunities and other subjects. Various factors can adversely affect the estimates and assumptions on which these declarations are based on.

Contacts
Joo Batista Zolini Carneiro
CFO and IRO

Luiz Felipe Negreiros de S

Superintendent of Finance and Investor Relations +55 21 2211 2814 felipe.sa@light.com.br

Gustavo Werneck
IR Manager + 55 21 2211 2560 gustavo.souza@light.com.br

www.light.com.br/ri

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