9 m2007 results and strategic update on russia

9M2007 Resultsand strategic update on Russia9M2007 Resultsand strategic update on Russia

November 8, 2007November 8, 2007

22

Enel SpAInvestor Relations


AgendaAgenda

2007 9M results

Strategic update on Russia

Q&A

Annexes

2007 9M results


Q&A

Annexes

33



Financial highlights: ConsolidatedFinancial highlights: Consolidated

9M06 9M07 %€mn

Revenues 28,621 28,760 0.5%

EBITDA 6,264 6,711 7.1%

EBIT 4,885 4,751 -2.7%

Group net income 2,640 2,678 1.4%

Net debt 11,690 24,769 111.9%(1)(1)

1. As of December 31, 20061. As of December 31, 2006

9M2007 Results

44



EBITDA evolution (€mn)EBITDA evolution (€mn)

304 28

617873

2,524 2,758

2,6532,861

166

1916,264 +25 +208+234

+256 -276 6,711

9M079M06 Market G&EM I&R International S&H

1. Including intercompany adjustments1. Including intercompany adjustments

G&EMMarket

N&IInternational

S&H 1

+447+447

9M2007 Results

55



+25+25

166+16

-113+122

EBITDA evolution: domestic market division (€mn)EBITDA evolution: domestic market division (€mn)

9M079M06 Regulatedmarket

Freemarket

191

Other &non recurring

9M2007 Results

66



EBITDA evolution: domestic G&EM division (€mn)EBITDA evolution: domestic G&EM division (€mn)

+208+208

9M079M06 Generationmargin

Fair valueBilateral contractswith SB

Nonrecurring

2,653+194

+106 -92 2,861

9M2007 Results

77



Fuel cost evolutionFuel cost evolution

307.1

Oil (€/ton)Oil (€/ton)

9M079M06

284.6

-7.3%-7.3%

27.36

Gas (c€/mc)Gas (c€/mc)

9M079M06

25.47

-6.9%-6.9%

57.9

Coal (€/ton)Coal (€/ton)

65.2

+12.6%+12.6%

9M079M06

52.4

9M079M06

46.5

-11.3%-11.3%

Average fuel cost (€/MWh)

9M2007 Results

88



2,5242,816 2,758

EBITDA evolution: domestic I&N division (€mn)EBITDA evolution: domestic I&N division (€mn)

+234+234

2,524

+292 +27 2,758

9M079M06 Electricity

-85

Gas

9M2007 Results

Nonrecurring

99



202 188

143 139

184

444

108

83

Iberia South-EasternEurope

Centrel Russia Americas France andBelgium

EBITDA evolution: international division (€mn)EBITDA evolution: international division (€mn)

-30+256+256

9M079M06

IberiaSouth-Eastern EuropeCentrelRussiaAmericaFrance & Belgium

-14

-19

-4

+260 +7 +25

12

-18

617

873

9M2007 Results

5

1010



EBITDA evolution: services & holding1 (€mn)EBITDA evolution: services & holding1 (€mn)

1. Including intercompany adjustments1. Including intercompany adjustments

-276-276

304 -210

-23

28

-43

9M079M06 Import Nonrecurring

Other

9M2007 Results

1111



Other

Geothermal

Wind

Hydro

Focus on renewablesFocus on renewables

167 +14+20

9M079M06Domestic International

201

+34+34

EbitdaEvolution

9M2007 Results

1,234

9M079M06

+29.8%+29.8%

Capacity (MW)

650

537

47

745

622

928

1,602

2,749

9M079M06

+36.7%+36.7%

Production (GWh)

1,532

963

254

21230

919

2,588

3,758

1212



Net debt evolution (€mn)Net debt evolution (€mn)

-13,079-13,079

Cash flowfrom

operationsCapex

Extra-ordinary activities

Netfinancial charges

-11,690 +5,358

-2,518

-24,769

-12,665 1-789

30/9/200731/12/2006

-668

Dividends

-1,798

Taxes

1. Including net debt of acquisitions1. Including net debt of acquisitions

9M2007 Results

1313



2007 9M result


Q&A

Annexes

2007 9M result


Q&A

Annexes

AgendaAgenda

1414



Enel has built Russia’s first vertically integrated position in the energy sectorEnel has built Russia’s first vertically integrated position in the energy sector

SupplyPower generationUpstream gas

40% of a JV with ENI

• At full production 40%-50% of OGK-5 demand

37.15% of OGK5

• Public offer filed

• 8,700 MW capacity, with balanced mix (50% gas and 50% coal)

• 40 TWh expected to be generated in 2007, with 100% exposure to West Russia and Urals

49.5% of RusEnergoSbyt

• 35TWh expected to be sold in 2007

• Strong regional reach with 25 offices and 7 branches

o

Early mover advantage and reduced risksin a huge, liberalizing market

Early mover advantage and reduced risksin a huge, liberalizing market

1515



Three year contract with RAO UES:

On time completion of 450 MW unit 2 and Russia’s longest heatpipeline

EBITDA growth from 5 €Mn (2004) to 30 €Mn (2007F)

Thermal efficiency increase

O&M costs alignment to international benchmarks (10% reduction and 12 €Mn capex and O&M savings)

30% HR reduction

First mover in independent electricity supplies in Russia

Direct experience in the supply sector through Rusenergosbyt

A proven track recordof bringing innovation and creating value

A proven track recordof bringing innovation and creating value

GenerationSt. Petersburg450 MW CCGT

SupplyRusEnergoSbyt

Enel’s experience and track record in RussiaEnel’s experience and track record in Russia

Power generation

1616



High profitability

Generation hedging

Security of supply

Competitive Supply

Participating in a worldwide major project

Partnership with E&P leading companies

Value of gas reserves in a tight domestic market

Strategic rationaleStrategic rationale

Entry in a key strategic sector Developing a robust presencein the entire value chain

Upstream gas

1717



Acquisition (2007, April 4th) of undeveloped upstream gas assets by a JV ENI - Enel (60%-40%)

Gazprom Call Option Agreement:

Gazprom option to acquire a 51% interest within 2 years from acquisition

Gazprom to

transport the natural gas to final users in Russia and/or

off-take the entire production

Enel’s acquisition cash consideration (after Gazprom call option exercise): USD 417 million

Acquisition overviewAcquisition overview

ENI Russia BV1ENI Russia BV1

100%(49% Post Gazprom entry)

Purchased Assets :1. Artikgaz (100%)2. Urengoil (100%)3. Neftegaztechnologia

(100%)

Purchased Assets :1. Artikgaz (100%)2. Urengoil (100%)3. Neftegaztechnologia

(100%)

OOO EniNefteGaz 2

OOO EniNefteGaz 2

51% call option

60%

Eni International B.V.

Eni International B.V.

Enel Investment Holding B.V.

Enel Investment Holding B.V.

40%

1 Renamed Arctic Russia BV2 To be renamed

Upstream gas

1818



Acquired companies holding hydrocarbon licences for the exploration and production of oil and gas

Fields located in West Siberia Urengoy Area

Next to the giant fields being developed by Gazprom

Connected with the “unified” national transportation system

Asset overviewAsset overview

Overall hydrocarbons resources:5 billion BOE

Upstream gas

1919



Russia is one of the most attractive power markets to invest in

OGK-5 owns some of the most competitive assets in this market

A clear path to full independent control by 1Q 2008 is available

OGK-5 will benefit from Enel’s vertical integration

Strategic rationaleStrategic rationalePower generation

2020



High new-build costs of over 1,000 $/kW increasethe value of existing and infra-marginal assets

High new-build costs of over 1,000 $/kW increasethe value of existing and infra-marginal assets

Source: RAO UES

Over 1,000 TWh of demand growing at 2.5 – 4.2% per year

40 GW new capacity required by 2010

Russia, the fourth largest power market in the worldRussia, the fourth largest power market in the world

Power generation

36

40

44

48

2004 2005 2006 2007 2008 200944

48

52

56

2004 2005 2006 2007 2008 2009

Urals IES South IESCenter IES

Capacity demand, GW Capacity supply including decommissioning, GW

11

12

13

2004 2005 2006 2007 2008 2009

2121



Russia: non households electricity market scenarioRussia: non households electricity market scenario

01/01/07 01/07/07 01/01/08 01/07/08 01/01/09 01/07/09 01/01/10 01/07/10 01/01/11

5-10%10-15% 15-20%

25-30%30-35%

50-55%

60-65%

80-85%

100%

Deregulated market(marginal price)

Regulated market(tariff)

Source: RAO UES

Liberalization process initiated by governmenton track and expected to be achieved by 2011

Liberalization process initiated by governmenton track and expected to be achieved by 2011

Power generation

2222



32 69 GW 1408

76% of demand (~750TWh)

Gas-dominated

Highest growth rates (4-6%)

European Russia& Urals

Siberia Far East

21% of demand (~ 205 TWh)

Hydro and coal dominated

Growth 2-3%

Isolated regions

3% of demand (~30 TWh)

No liberalization expected

European Russia and Urals are the most attractive regions

European Russia and Urals are the most attractive regions

Marginal nodal pricing is usedMarginal nodal pricing is used

Indicative Merit order curve Indicative Merit order curve

Hydro

Nuke

Coal

Gas

Fuel Oil

Pric

e/M

Wh

Pric

e/M

Wh

19 27GW 3511

Power generation

2323



1

1.5

2

2.5

2007 2008 2009 2010 2011

Fuel price index

gas

coal

Increasing dark spread

Coal assets in gas-fired regionswill benefit most from deregulation

Coal assets in gas-fired regionswill benefit most from deregulation

Russian government guidelines: gas prices to reach European net back by 2011

Coal prices to increase with inflation

Expected upsides from deregulationExpected upsides from deregulation

Power generation

2424



OGK-5 owns some of the most competitive assets in RussiaOGK-5 owns some of the most competitive assets in RussiaFuel mix 1

-85%41%32.99,052

OGK-6

100%

83%

70%

100%

100%

Exposure to

European Russia &

Urals

668

750

610

500

-

Transaction

multiple 2Location

8,672

8,630

8,497

8,695

9,531

Capacity

(MW)

40.4

51.0

30.6

48.1

47.2

Generation

2006

(TWh)

53%

68%

41%

63%

57%

Capacity factor

( %)

OGK-2

OGK-1

OGK-3

OGK-5

OGK-4

Gas74%

Coal26%

Gas62%

Coal38%

Coal49%

Gas51%

Coal48%

Gas52%

Gas87%

Coal13%

Gas83%

Coal17%

Source: Companies data; RAO UESR; Business news

Largest coal and European exposureLargest coal and European exposure

Power generation

1. Referred to production2. EV/Inst Cap (USD/MW)

2525



OGK-5 allows a clear path to control: Key events OGK-5 allows a clear path to control: Key events

No Shareholder Agreement required unlike other OGKs, allowing maximum management independence and flexibility

4 Enel representatives appointed to OGK-5 Board in August plus others to OGK-5 management committes

Integration process under way with 30 Enel experts mobilized locally

Others36.51%

37.15%

Russian Federation26.34%

Others25%

RAO UES 75%

Up to 73.66%

Russian Federation26.34%

OGK-5 ownership structure

Before 6.6.2007 At present Post Public Offer

FAS approval to reach 100%August 2007

37.15%0.30 € bn7.15%Enel purchase of OGK-5 shares10.24.2007

Enel’s OGK-5 stake

Purchase price

Stake

0.21 €bn

1.12 €bn

Spin off from RAO UES completedSeptember 2007

Up to 74%*Mandatory Public Offer Filing to FSFR10.29.2007

29.99%4.96%Enel purchase of OGK-5 shares6.22.2007

25.03%25.03%RAO UES sale of an OGK-5 stake6.6.2007

* assuming Russian federation will not adhere to the public tender offer Exchange rates referred to transaction date

Power generation

2626



Moscow ●

Installed capacity 2,400 MWMain fuel gasShare in OGK-5 electricity sales 21%Load factor 40% Sales volume 2006 8.1 TWh

Konakovskaya GRES

Installed capacity 1,182 MWMain fuel gasShare in OGK-5 electricity sales 16%Load factor 64%Sales volume 2006 6.1 TWh

Sredneuralskaya GRES

Installed capacity 1,290 MWMain fuel gasShare in OGK-5 electricity sales 16%Load factor 57%Sales volume 2006 6 TWh

Nevinnomysskaya GRESInstalled capacity 3,800 MWMain fuel coalShare in OGK-5 electricity sales 47%Load factor 57%Sales volume 2006 18 TWhThe largest coal-fired plant in Russia

Reftinskaya GRES

OGK-5 asset overviewOGK-5 asset overview

4 power plants, 8700 MW, 40 TWh production4 power plants, 8700 MW, 40 TWh production

Tver Region

Stavropol RegionSverdlovsk Region

Sverdlovsk Region

Power generation

2727



Moscow ●

OGK-5 investment planOGK-5 investment plan

Nevinnomysskaya GRESCCGT

Fuel Gas

Installed capacity 400 MW

Commissioning 2010

Fuel supplier Gazprom

Capex: 0.30 €bn

2.37 €bn Investment Plan (2007-2012)

• 670 €mn New capacity

• 495 €mn Safety and Environmental Capex

• 1.2 €bn Stay in business/life extension

Up to 9500 MW total installed capacity by 2010Up to 9500 MW total installed capacity by 2010

Sredneuralskaya GRES CCGT

Capex: 0.37 €bn

Fuel Gas

Installed capacity 410 MW

Commissioning 2010

Fuel supplier Itera

Increasing capacity and efficiency

Reducing environmental impact

Existing power plants

Approved: EPC contract under finalization

Power generation

2828



OGK-5 fuel suppliesOGK-5 fuel supplies

OGK-5 gas suppliers (2006)

4%

62%

34%

GAS

• Total gas consumption: ~6.5 bcm (2006)

• Five year take-or-pay contract with Gazprom (2008-2012)

• Diversified portfolio of gas suppliers

• At full gas production up to 50% of OGK-5 demand will be hedged by own equity gas OGK-5 gas suppliers (at regime)

50%Others

50%

Half of OGK-5 gas demandcould be supplied from Enel reserves

Half of OGK-5 gas demandcould be supplied from Enel reserves

Power generation

2929



RusenErgoSbytA first mover in independent electricity tradingRusenErgoSbytA first mover in independent electricity trading

49.5% held by Enel since 2006 in partnership with ESN

Significant growth since Enel entry: from 22.7 TWh (2006) to 35 TWh (2007F)

33 regions served in 2007, growing to 47 in 2008

260,000 households served (2006)

25 local offices, 7 branches

~860 employees (750 in local branches)

Regions supplied in 2007

Regions to be supplied from 2008

A unique opportunity to participate in the supply sectorA unique opportunity to participate in the supply sector

Supply

3030



ConclusionsConclusions

Russia is one of the most attractive power markets worldwide

Current status of liberalization makes investing in Russia similar to

investing in Western Europe at the end of the 1990’s

OGK-5 is best positioned to take advantage of the new framework

Enel integrated position and previous experience in Russia will create

additional value for OGK-5

Russia expected to boost Enel profitabilityRussia expected to boost Enel profitability

3131



Agenda

2007 9M result


Q&A

Annexes

2007 9M result


Q&A

Annexes

3232



Enel’s electricity salesEnel’s electricity sales

127.3117.0

+8.8%+8.8%

107.0 106.5

10.0 20.8

Italy

International

9M079M06

Volumes sold (TWh)

Annexes – 9M2007 Results

3333



80.1 69.9

147.2 152.5

31.4 35.7

Italian electricity market overview (TWh)Italian electricity market overview (TWh)

Pumped storage consumption

Net production

Import252.6252.2

Enel Net production

-6.5 -5.5

+0.2%+0.2%

9M079M06


3434



30.7 30.0

98.3 99.9

91.8 78.0

15.2 28.5

Electricity – Total market sales1

+0.2%+0.2%

+87.5%+87.5%

-15.0%-15.0%

+1.6%+1.6%

-2.3%-2.3%

Enel

Other

eligible3

107.0 106.5

1. Excluding losses on the grid. Data relating to other operators are Enel’s estimates2. Including Dual Energy3. Sales to the eligible market including self-consumption

1. Excluding losses on the grid. Data relating to other operators are Enel’s estimates2. Including Dual Energy3. Sales to the eligible market including self-consumption

Free customers2 (thousand)

827.0

120.5

9M079M06

free

eligible3

129.0 129.9

236.0 236.4

Enel’s domestic electricity sales (TWh)Enel’s domestic electricity sales (TWh)

9M06 9M07free


3535



Enel’s net production (TWh)Enel’s net production (TWh)

80.169.9

26.018.5

-2.7%-2.7%

98.695.9

Italy

International

9M079M06


3636



Group production mix (%)Group production mix (%)

24.0% 24.6%

11.1%

29.8%

14.6%

17.4%

22.2%11.8%

5.1% 5.3%6.4%

27.7%

-2.7%-2.7%

Other renewables

Coal

Nuclear

Gas CCGT

Hydro

Oil & Gas ST/OCGT

98.6 TWh 95.9 TWh

9M079M06


3737



190.6 191.6

9.49.3

+0.6%+0.6%

199.9 201.0

Italy 1

International

9M079M06

Enel’s electricity distribution (TWh)Enel’s electricity distribution (TWh)

1. Net of energy dispatched in the previous years1. Net of energy dispatched in the previous years


3838



21.2 18.0

15.213.9

23.524.9

Italian gas market overview (bcm)Italian gas market overview (bcm)

Thermoelectric

Other

Industrials

Residential & Commercial

61.658.5

-5.0%-5.0%

9M079M06

1.71.7

Source: Ministry of the Economic Development and Enel estimatesSource: Ministry of the Economic Development and Enel estimates


3939



3.22.9

Enel’s gas salesEnel’s gas sales

Volumes sold (bcm) Customers (thousand)

2,289 2,434

-9.4%-9.4% +6.3%+6.3%

9M079M06 9M079M06


4040



2.62.2

Enel’s gas distributionEnel’s gas distribution

2,001 2,005

-15.4%-15.4% +0.2%+0.2%

Volumes distributed (bcm) End users (thousand)

9M079M06 9M07 9M06


4141



Net Production : Geographical breakdownNet Production : Geographical breakdown

9M06 9M07 %(GWh)

Italy 80,132 69,862 -12.8

Spain 4,825 4,627 -4.1

Bulgaria 2,188 2,492 13.9

Slovakia 9,627 15,991 66.1

N America 1,020 922 -9.6

S America 826 1,996 141.6

Total 98,618 95,890 -2.8


4242



(GWh)Oil & GasST/OCGT

Gas CCGT Coal NuclearOther

renewablesHydro

Italy 11,310 16,680 20,616 - 4,241 17,015Iberia 2 - 3,136 - 485 1,004South-Eastern Europe - - 2,492 - - -Centrel - - 2,319 10,681 - 2,991Americas - - - - 345 2,573Total 11,312 16,680 28,563 10,681 5,071 23,583

Net production : source breakdownNet production : source breakdown


4343



Domestic net production mix (%)Domestic net production mix (%)

24.2% 24.3%

29.5%

17.9%

23.9%

27.0%16.2%

5.2% 6.1%

25.7%

-12.7%-12.7%

Other renewables

Coal

Gas CCGT

Hydro

Oil & Gas ST/OCGT

80.1 TWh 69.9 TWh

9M079M06


4444



International net production mix (%)International net production mix (%)

23.3% 25.3%

41.0%

30.5%

3.2%4.9%

34.1%

36.5%

1.2%

+40.5%+40.5%

Other renewables

Coal

Nuclear

Hydro

Oil & Gas ST/OCGT

18.5 TWh 26.0 TWh

9M079M06


4545



Domestic G&EM division: CO2 emissions vs. allowancesDomestic G&EM division: CO2 emissions vs. allowances

31.6

31.2 7.6

2.0

CO2 Emissions (Mt)

9M06

9M07

38.8

33.6

Deficit

Allowances


4646



International sales (TWh)International sales (TWh)

+108%+108%

9M079M06

10.0

20.8


4747



Domestic electricity distribution (TWh)Domestic electricity distribution (TWh)

190.6 191.6

9M079M06

+0.5%+0.5%

Net of energy dispatched in the previous yearsNet of energy dispatched in the previous years


4848



Income statementIncome statement

€ mn 9M06 9M07 %

Operating revenues 28,621 28,760 0.5%

Operating costs 21,813 22,049 1.1%

EBITDA 6,264 6,711 7.1%

% of revenues 21.9% 23.3%

EBIT 4,885 4,751 -2.7%

% of revenues 17.1% 16.5%


4949



From EBIT to EPSFrom EBIT to EPS

€ mn 9M06 9M07 %

EBIT 4,885 4,751 -2.7%

Net financial charge 491- 324-

EBT 4,394 4,427 0.8%

Net income (including third parties) 2,720 2,753 1.2%

Group net income 2,640 2,678 1.4%

EPS (€) 0.43 0.43


5050



Balance sheetBalance sheet

Net financial debt 11,690 24,769 111.9%

Shareholders' equity 19,025 18,976 -0.3%

Net capital employed 30,715 43,745 42.4%

€ mn FY06 9M07 %


5151



Debt structureDebt structure

1 Including current maturities of long-term debt2 Including factoring and other current receivables

Average debt maturity: 7 years and 8 months

Average cost of debt: 4.9%

(Fixed+hedged)/Total long-term debt: 81%

(Fixed+hedged)/Total net debt: 68%

Rating:

S&P’s = A/A-1 C.W. negative; Moody’s = A1/P-1 C.W. negative

Long-term 11,104 21,540 94.0%

Short-term1 1,409 6,248 343.4%

Cash2 -823 -3,019 266.8%

Net debt 11,690 24,769 111.9%

€ mn %FY06 9M07


5252



1998 1999 2000 2001 2002 2003 2004 2005 2006 20071998 1999 2000 2001 2002 2003 2004 2005 2006 2007

Average cost of debt6.2%

4.7%4.3%

5.9%5.5%

5.2%4.6%4.9%

4.4% 4.4%

Average residual maturity

5:44:4

7:7

4:13:11

4:9

7:7 7:8

5:2

6:4

Net financial debt (€bn)

1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

12.7

24.5

12.312.1 13.4

21.9

11.7

24.824.2 24.5

Fixed + Hedged/Total debt

1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

53%44%

81%

61%54%

42%

80%68%

60%53%

1

1. As of September 30, 2007

1

1 1

Debt evolutionDebt evolution


5353



Financial debt evolutionFinancial debt evolution

12.31.2005€m

Bank loans – maturities > 12 monthsBonds – maturities > 12 monthsOther loans – maturities > monthsLong-term financial credits – maturities > 12 months

Total net long-term financial debt - Maturities > 12 months

Bank loans – maturities < 12 monthsBonds – maturities < 12 monthsOther loans – maturities < 12 monthsLong-term financial credits – maturities < 12 monthsTotal net long-term financial debt - Maturities < 12 months

Other short-term bank debtCommercial paperOther short-term financial debtShort-term debt

Factoring receivablesOther short-term financial receivablesCash at banks and marketable securitiesTotal net short-term debt (including current maturities)

Net financial debt

Net equityDebt/Equity ratioAverage cost of debt

Bank loans – maturities > 12 monthsBonds – maturities > 12 monthsOther loans – maturities > monthsLong-term financial credits – maturities > 12 months

Total net long-term financial debt - Maturities > 12 months

Bank loans – maturities < 12 monthsBonds – maturities < 12 monthsOther loans – maturities < 12 monthsLong-term financial credits – maturities < 12 monthsTotal net long-term financial debt - Maturities < 12 months

Other short-term bank debtCommercial paperOther short-term financial debtShort-term debt

Factoring receivablesOther short-term financial receivablesCash at banks and marketable securitiesTotal net short-term debt (including current maturities)

Net financial debt

Net equityDebt/Equity ratioAverage cost of debt

06.30.2006 12.31.2006 09.30.2007

2,7828,043

142-63

10,904

39948749-3

932

970275116

1,361

-374-3

-5081,408

12,312

19,4160.63

4.3%

2,7828,043

142-63

10,904

39948749-3

932

970275116

1,361

-374-3

-5081,408

12,312

19,4160.63

4.3%

2,9758,293

219-201

11,286

340487330

860

1,4421,194

402,676

-212-12

-5212,791

14,077

18,9950.74

4.5%

2,9758,293

219-201

11,286

340487330

860

1,4421,194

402,676

-212-12

-5212,791

14,077

18,9950.74

4.5%

3,6778,375

142-1,090

11,104

2335931

-30293

54253113

1,086

-211-10

-572586

11,690

19,0250.61

4.6%

3,6778,375

142-1,090

11,104

2335931

-30293

54253113

1,086

-211-10

-572586

11,690

19,0250.61

4.6%

5,80715,780

101-148

21,540

2586325

-995-649

2,4173,374

1115,902

-195-13

-1,8163,229

24,769

18,9761.31

4.9%

5,80715,780

101-148

21,540

2586325

-995-649

2,4173,374

1115,902

-195-13

-1,8163,229

24,769

18,9761.31

4.9%


5454



85494

415

491

1,922

2,124

1,9692,162

gem

i&n

intl

sh

mkt

EBIT by business area (€mn)EBIT by business area (€mn)

4,7514,885-134mn

-2.7%

+9.8%

+10.5%

+18.3%

9M079M06-44

18

1 Including elisions

1


5555



Domestic Market division detailsDomestic Market division details

€ mn 9M06 9M07

1


Revenues 15,914 16,066 1.0%

EBITDA 166 191 15.1%

EBIT 85 18 -78.8%

Capex 22 24 9.1%

Headcount 5,176 4,991 -3.6%

%


5656



€ mn 9M06 9M07

1


Revenues 11,719 12,383 5.7%

EBITDA 2,653 2,861 7.8%

EBIT 1,969 2,162 9.8%

Capex 526 781 48.5%

Headcount 9,573 9,518 -0.6%

%

Domestic Generation & Energy Management division detailsDomestic Generation & Energy Management division details


5757



Domestic Infrastructure & Network division detailsDomestic Infrastructure & Network division details


Revenues 4,080 4,137 1.4%

Power 3,882 3,924 1.1%

Gas 198 213 7.6%

EBITDA 2,524 2,758 9.3%

Power 2,440 2,647 8.5%

Gas 84 111 32.1%

EBIT 1,922 2,124 10.5%

Power 1,894 2,081 9.9%

Gas 28 43 53.6%

Capex 979 1,001 2.2%

Headcount 24,701 23,056 -6.7%

€ mn 9M06 9M07 %

1


5858



International activities detailsInternational activities details


Revenues 2,125 3,076 44.8%

EBITDA 617 873 41.5%

EBIT 415 491 18.3%

Capex 228 671 194.3%

Headcount 13,861 13,359 -3.6%

€ mn 9M06 9M07 %

1


5959



Services & Holding detailsServices & Holding details

1. Excluding inter-company adjustments equal to €-6mn in 9m07 and €-12mn in 9m06 respectively1. Excluding inter-company adjustments equal to €-6mn in 9m07 and €-12mn in 9m06 respectively

1

1

Revenues 1,648 1,480 -10.2%

Holding 866 660 -23.8%

Services and other 782 820 4.9%

EBITDA 316 34 -89.2%

Holding 175 -101 -157.7%

Services and other 141 135 -4.3%

EBIT 506 -38 -107.5%

Holding 428 -113 -126.4%


€ mn 9M06 9M07 %


6060



Services & Holding details - ContinuedServices & Holding details - Continued

1


Capex 40 41 2.5%

Holding 3 5 66.7%


Headcount 4,585 4,412 -3.8%

Holding 1,275 721 -43.5%

Services and other 4,585 4,412 -3.8%

€ mn 9M06 9M07 %


6161



Capex by business area (€mn)Capex by business area (€mn)

40 41228

671

979

1,001

526

781

MarketG&MI&NInternationalServices & Holding

2,518

1, 795

+723mn +40.3%

+9.1%

+48.5%

+2.2%

+194.3%

+2.5%

9M079M06

24

22


6262



€mn

2006 non-recurring items analysis2006 non-recurring items analysis

Green certificates reimbursement

Reserve capacity reimbursement

Resolution 20/4

Terna

Siemens litigation

Terna bonus shares

Modena capital gain

Trento capital gain

Energy adjustment

Gas adjustment

Maritza

Total

Green certificates reimbursement

Reserve capacity reimbursement

Resolution 20/4

Terna

Siemens litigation

Terna bonus shares

Modena capital gain

Trento capital gain

Energy adjustment

Gas adjustment

Maritza

Total

41

51

23

85

71

15

33

319

41

51

23

85

71

15

33

319

2006


6363



DisclaimerDisclaimer

THESE SLIDES HAVE BEEN PREPARED BY THE COMPANY SOLELY FOR THE USE DURING THE CONFERENCE CALL ON ENEL’S 9M2007 RESULTS AND STRATEGIC UPDATE ON RUSSIA.

THE INFORMATION CONTAINED HEREIN HAS NOT BEEN INDEPENDENTLY VERIFIED. NONE OF THE COMPANY OR REPRESENTATIVES SHALL HAVE ANY LIABILITY WHATSOEVER IN NEGLIGENCE OR OTHERWISE FOR ANY LOSS HOWSOEVER ARISING FROM ANY USE OF THESE SLIDES OR THEIR CONTENTS OR OTHERWISE ARISING IN CONNECTION WITH THESE SLIDES OR ANY MATERIAL DISCUSSED DURING THE ABOVE CONFERENCE CALL.

THIS DOCUMENT IS BEING FURNISHED TO YOU SOLELY FOR YOUR INFORMATION AND MAY NOT BE REPRODUCED OR REDISTRIBUTED TO ANY OTHER PERSON.

THE INFORMATION CONTAINED HEREIN AND OTHER MATERIAL DISCUSSED DURING THE ABOVE CONFERENCE CALL MAY INCLUDE FORWARD-LOOKING STATEMENTS THAT ARE NOT HISTORICAL FACTS, INCLUDING STATEMENTS ABOUT THE COMPANY’S BELIEFS AND EXPECTATIONS. THESE STATEMENTS ARE BASED ON CURRENT PLANS, ESTIMATES, PROJECTIONS AND PROJECTS, AND THEREFORE YOU SHOULD NOT PLACE UNDUE RELIANCE ON THEM.

FORWARD LOOKING STATEMENTS INVOLVE INHERENT RISKS AND UNCERTAINTIES. WE CAUTION YOU THAT A NUMBER OF IMPORTANT FACTORS COULD CAUSE ACTUAL RESUTLS TO DIFFER MATERIALLY FROM THOSE CONTAINED IN ANY FORWARD-LOOKING STATEMENT. SUCH FACTORS INCLUDE, BUT ARE NOT LIMITED TO: TRENDS IN ENEL’S CORE ENERGY BUSINESS, ITS ABILITY TO IMPLEMENT COST-CUTTING PLANS, CHANGES IN THE REGULATORY ENVIRONMENT AND FUTURE CAPITAL EXPENDITURE.

PURSUANT TO ARTICLE, 154-BIS, PARAGRAPH 2, OF THE UNIFIED FINANCIAL ACT OF FEBRUARY 24, 1998, THE EXECUTIVE IN CHARGE OF PREPARING THE CORPORATE ACCOUNTING DOCUMENTS AT ENEL, LUIGI FERRARIS, DECLARES THAT THE ACCOUNTING INFORMATION CONTAINED HEREIN CORRESPOND TO DOCUMENT RESULTS, BOOKS AND ACCOUNTING RECORDS.

THESE SLIDES HAVE BEEN PREPARED BY THE COMPANY SOLELY FOR THE USE DURING THE CONFERENCE CALL ON ENEL’S 9M2007 RESULTS AND STRATEGIC UPDATE ON RUSSIA.

THE INFORMATION CONTAINED HEREIN HAS NOT BEEN INDEPENDENTLY VERIFIED. NONE OF THE COMPANY OR REPRESENTATIVES SHALL HAVE ANY LIABILITY WHATSOEVER IN NEGLIGENCE OR OTHERWISE FOR ANY LOSS HOWSOEVER ARISING FROM ANY USE OF THESE SLIDES OR THEIR CONTENTS OR OTHERWISE ARISING IN CONNECTION WITH THESE SLIDES OR ANY MATERIAL DISCUSSED DURING THE ABOVE CONFERENCE CALL.

THIS DOCUMENT IS BEING FURNISHED TO YOU SOLELY FOR YOUR INFORMATION AND MAY NOT BE REPRODUCED OR REDISTRIBUTED TO ANY OTHER PERSON.

THE INFORMATION CONTAINED HEREIN AND OTHER MATERIAL DISCUSSED DURING THE ABOVE CONFERENCE CALL MAY INCLUDE FORWARD-LOOKING STATEMENTS THAT ARE NOT HISTORICAL FACTS, INCLUDING STATEMENTS ABOUT THE COMPANY’S BELIEFS AND EXPECTATIONS. THESE STATEMENTS ARE BASED ON CURRENT PLANS, ESTIMATES, PROJECTIONS AND PROJECTS, AND THEREFORE YOU SHOULD NOT PLACE UNDUE RELIANCE ON THEM.

FORWARD LOOKING STATEMENTS INVOLVE INHERENT RISKS AND UNCERTAINTIES. WE CAUTION YOU THAT A NUMBER OF IMPORTANT FACTORS COULD CAUSE ACTUAL RESUTLS TO DIFFER MATERIALLY FROM THOSE CONTAINED IN ANY FORWARD-LOOKING STATEMENT. SUCH FACTORS INCLUDE, BUT ARE NOT LIMITED TO: TRENDS IN ENEL’S CORE ENERGY BUSINESS, ITS ABILITY TO IMPLEMENT COST-CUTTING PLANS, CHANGES IN THE REGULATORY ENVIRONMENT AND FUTURE CAPITAL EXPENDITURE.

PURSUANT TO ARTICLE, 154-BIS, PARAGRAPH 2, OF THE UNIFIED FINANCIAL ACT OF FEBRUARY 24, 1998, THE EXECUTIVE IN CHARGE OF PREPARING THE CORPORATE ACCOUNTING DOCUMENTS AT ENEL, LUIGI FERRARIS, DECLARES THAT THE ACCOUNTING INFORMATION CONTAINED HEREIN CORRESPOND TO DOCUMENT RESULTS, BOOKS AND ACCOUNTING RECORDS.

6464



Contact usContact us

Luca Torchia (Head of IR)

Massimiliano Bevignani (Stock analysis and IR reporting)

Donatella Izzo (Buy-side)

Fausto Sblandi (Sell-side)

Luca Torchia (Head of IR)

Massimiliano Bevignani (Stock analysis and IR reporting)

Donatella Izzo (Buy-side)

Fausto Sblandi (Sell-side)

Investor Relations Team ([email protected])

Visit our website at:

www.enel.it (Investor Relations)

Visit our website at:

www.enel.it (Investor Relations)

+39 06 83053437

+39 06 83057023

+39 06 83057449

+39 06 83052226

+39 06 83053437

+39 06 83057023

+39 06 83057449

+39 06 83052226

9 m2007 results and strategic update on russia

Travel

jv eni enel

international division

domestic market division

mn capex

domestic gem division

services holding1 mn

gazprom option

consolidatedmn 9m06