annual shareholder's meeting: management proposal - to define the number of sitting and...

8/11/2019 Annual Shareholder's Meeting: Management Proposal - To define the number of sitting and alternate members of …

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LIGHT S.A.

MANAGEMENT PROPOSAL

ANNUAL SHAREHOLDERS’ MEETING ON APRIL 24, 2014

Table of Conen!

Mana"e#en P$o%o!al.......................................................................................2

I & Mana"e#en’! 'o##en! on (e Co#%an)’! f*nan'*al %o!**on%+$!+an o Ie# 10 of (e Refe$en'e o$#.....................................................-

II Allo'a*on of In'o#e.................................................................................../-

III & Ele'*on of #e#be$! fo$ (e oa$ of D*$e'o$! an *!'al Co+n'*l.../

I3 & Co#%en!a*on fo$ (e Mana"e#en an *!'al Co+n'*l.................10

1



;) To insta!! the +isca! Counci! an e!ect its sitting an a!ternate members

(pursuant to the ocument a*ai!ab!e in the 456 system 7 Category' Meeting,

Type' Management 5roposa!, an Sub9ect' 6!ection of members of the :oar of

Directors an +isca! Counci!)8

-) To estab!ish the Management"s o*era!! annua! compensation (pursuant to the

ocument a*ai!ab!e in the 456 system 7 Category' Meeting, Type' Management

5roposa!, an Sub9ect' Compensation for the members of the Management an

:oar of Directors)8 an

<) To estab!ish the o*era!! annua! compensation for the +isca! Counci! members

(pursuant to the ocument a*ai!ab!e in the 456 system 7 Category' Meeting,

Type' Management 5roposa!, an Sub9ect' Compensation for the members of

the Management an :oar of Directors).

/io e 0aneiro, March #;, #%&$.

Mana"e#en

3



I & Ie#! on (e a"ena fo$ (e Ann+al S(a$e(ole$!’ Mee*n"

15 To a'6no7le"e (e #ana"e#en’! a''o+n!, an anal)8e, *!'+!! an

9oe on (e f*nan'*al !ae#en! fo$ (e f*!'al )ea$ ene De'e#be$ :1,

201:.

To reso!*e on this item, shareho!ers ha*e at their isposa! the fo!!o1ing

ocuments' (a) Management /eport, +inancia! Statements, an 4nepenent

Auitors" /eport, prepare by De!oitte Touche Tohmatsu, pub!ishe in

comp!iance 1ith the current !egis!ation8 (b) +isca! Counci!"s opinion, ate

March &%, #%&$8 an (c) the Management"s comments on the Company"s

financia! position, pursuant to item &% of the /eference +orm of C=M 4nstruction

$%>%?.

25 To $e!ol9e on (e %$o%o!al fo$ allo'a*on of ne *n'o#e fo$ (e f*!'al

)ea$ ene De'e#be$ :1, 201: an *!$*b+*on of *9*en!.

To resolve on this item, shareholders have at their disposal the

following documents' (a) proposa! for a!!ocation of income for the fisca! year

ene December &, #%&8 (b) e@hibit to the proposa!, pursuant to C=M

4nstruction $&>%? (Anne@ ?&44)8 an (c) +isca! Counci!"s opinion on the

a!!ocation of income, ate March &%, #%&$.

:5 To ef*ne (e n+#be$ of !**n" an ale$nae #e#be$! of (e oa$ of

D*$e'o$!.

4n comp!iance 1ith Artic!e of the :y!a1s, the Company"s :oar of Directors

must be compose of at !east fi*e (;) an at most thirteen (&) sitting an

a!ternate members.Current!y, the Company"s :oar of Directors is compose of e!e*en (&&) sitting

an a!ternate members.

The Company"s Management proposes that the :oar of Directors remains

compose of e!e*en (&&) sitting members an the same number of a!ternate

members.

45 To ele' (e !**n" an ale$nae #e#be$! of (e oa$ of D*$e'o$!.

4



5ursuant to La1 -,$%$><-, the Company"s contro!!ing shareho!er is responsib!e

for nominating at !east the ma9ority of the sitting an a!ternate members of the

:oar of Directors.

4n comp!iance 1ith item $.$ 5D otice %&>?-L4BT, pub!ishe uner the

scope of the :ra3i!ian 5ri*ati3ation 5rogram (5D), the Company must ha*e

one (&) sitting member an respecti*e a!ternate appointe by its emp!oyees.

4n accorance 1ith the Novo Mercado Listing /u!es of :M+:E=6S5A, at

!east t1enty percent (#%F) of the sitting an a!ternate members of the :oar of

Directors must be inepenent members.

Gnti! fortyeight ($) hours before the meeting, shareho!ers representing fi*e

percent (;F) may reuest the aoption of a mu!tip!e *oting.

During the meeting, the attening minority shareho!ers representing at !east

ten percent (&%F) of the capita! stoc2 may reuest separate *ote for the

e!ection of one (&) sitting member an respecti*e a!ternate. The contro!!ing

shareho!er sha!! not participate in such separate *ote.

The 6@hibit 444 attache hereto presents the information reueste in items &#.-

to &#.&% of the /eference +orm set forth in C=M 4nstruction $&>%? regaring

the caniates nominate to e!ection>ree!ection by the contro!!ing shareho!er

for the positions of sitting an a!ternate members of the :oar of Directors.

The Company informs that, pre*ious!y to the meeting, it 1i!! isc!ose information

on a!! caniates presente by minority shareho!ers, gi*ing them the same

isc!osure gi*en to the caniates nominate by the contro!!ing shareho!er.

The isc!osure 1i!! be carrie out through the 456 System, category “otice to

Shareho!ers”, an type “Ether otices”.

4n comp!iance 1ith Letter>C=M>S65>o %&>#%&$ of C=M, some scenarios are

presente be!o1 1hich, among others, may be *erifie in the process of e!ecting members of the :oar of Directors uring the meeting'

4n case neither mu!tip!e *oting nor separate *oting is reueste, the :oar of

Directors 1ou! be compose of e!e*en (&&) members, 1ith ten (&%) members

nominate by the contro!!ing shareho!ers an one (&) member nominate by

emp!oyees.

4n case mu!tip!e *oting is not reueste, an separate *oting is reueste, the

:oar of Directors 1i!! be compose of e!e*en (&&) members, 1ith one (&)member nominate by the ma9ority of the attening minority shareho!ers

5



participating in the separate *oting, nine (?) members nominate by the

contro!!ing shareho!er an one (&) member nominate by emp!oyees.

4n case mu!tip!e *oting is reueste, the :oar of Directors 1i!! be compose of,

at !east, e!e*en (&&) members (being a!!o1e, in accorance 1ith the !imit

estab!ishe by the :y!a1s, up to thirteen (&) members in case separate *oting

is reueste), entit!ing each share to as many *otes as the number of :oar

members, gi*ing shareho!ers the right to *ote cumu!ati*e!y for on!y one

caniate or to istribute his *otes among se*era! caniates. The presiing

boar of the meeting 1i!! be responsib!e for informing the shareho!ers in

a*ance, in *ie1 of the shareho!er attenance boo2, the number of *otes

necessary for the e!ection of each member of the :oar of Directors.

4n accorance 1ith C=M orientation, there may be aoption of mu!tip!e *oting

process an separate *ote in the same meeting. 4n this case, ho1e*er,

shareho!ers participating in the separate *ote 1i!! not participate in the mu!tip!e

*oting process.

4n the mu!tip!e *oting process, minority shareho!ers may e!ect representati*es

in the :oar of Directors in case the sum of their respecti*e *otes represent the

percentage necessary for the e!ection of :oar members. The number of

necessary *otes 1i!! *ary regar!ess of the reuest for separate *oting uring

the meeting, an 1i!! be etermine consiering the tota! of *otes from

attening shareho!ers, e@c!uing the *otes from minority shareho!ers 1ho

ecie to participate in the separate *oting.

Hhene*er, pursuant to La1 -,$%$><-, the e!ection of the :oar of Directors"

members is, cumu!ati*e!y, effecte through the mu!tip!e *oting system an

minority shareho!ers reuest separate *oting, it 1i!! be ensure to the

contro!!ing shareho!er the right to e!ect :oar members in the same number asthose e!ecte by the other shareho!ers an>or nominate by emp!oyees, p!us

one, regar!ess of the number of :oar members estab!ishe in the :y!a1s or

e!iberation on the number of members of the :oar of Directors.

5 To *n!all (e *!'al Co+n'*l an ele' *! !**n" an ale$nae #e#be$!

4n accorance 1ith Artic!e #% of the :y!a1s, the Company has a nonpermanent

+isca! Counci! 1hich, 1hen instate, is compose of at !east three () an atmost fi*e (;) sitting members an their respecti*e a!ternates, shareho!ers or

6



not, 1ith term of office running through the Annua! Shareho!ers" Meeting to be

he! after their e!ection.

The e!ection of the members of the +isca! Counci! 1i!! comp!y 1ith the current

!egis!ation an the Company"s :y!a1s.

During the meeting, minority shareho!ers may reuest the aoption of separate

*oting for the e!ection of one (&) sitting member an respecti*e a!ternate of the

+isca! Counci!.

The 6@hibit 444 attache hereto presents the information reueste in items &#.-

to &#.&% of the /eference +orm set forth in C=M 4nstruction $&>%? regaring

the caniates nominate to e!ection>ree!ection by the contro!!ing shareho!er

for the positions of sitting an a!ternate members of the +isca! Counci!.

A!! nominate caniates ec!are, ini*iua!!y, for a!! purposes of !a1, that in the

past fi*e years they 1ere not sub9ect to the effects of any crimina! con*iction,

sanction or pena!ty in any aministrati*e proceeing by C=M or any fina! an

unappea!ab!e con*iction in the 9uicia! or aministrati*e sphere that suspene

or isua!ifie them from carrying out any professiona! or commercia! acti*ity.

The Company informs that, pre*ious!y to the meeting, it 1i!! isc!ose information

on a!! caniates presente by minority shareho!ers, gi*ing them the same

isc!osure gi*en to the caniates nominate by the contro!!ing shareho!er.

/5 To e!abl*!( (e Mana"e#en’! o9e$all ann+al 'o#%en!a*on; an

The proposa! for the compensation for the management is a*ai!ab!e pursuant to

item & of the /eference +orm en*isage in C=M 4nstruction $%>%?.

5 To e!abl*!( (e o9e$all ann+al 'o#%en!a*on fo$ (e *!'al Co+n'*l

#e#be$!.

7



I & Mana"e#en’! 'o##en! on (e Co#%an)’! f*nan'*al %o!**on,

%+$!+an o Ie# 10 of (e Refe$en'e o$#

10. Co##en! of (e oa$ of E<e'+*9e Off*'e$!=

10.1 E<e'+*9e Off*'e$! !(all 'o##en on1 2=

a. "ene$al f*nan'*al an e>+*) 'on**on!

The Company"s re*enues come from the fo!!o1ing energy segments'

istribution, generation, commercia!i3ation an ser*ices. The istribution

segment accounts for ;.F of the conso!iate net re*enue, 1hi!e the

generation an commercia!i3ation an ser*ices segments account for <.&F an

.-F, respecti*e!y.En December &, #%&, the Company"s shareho!ers" euity stoo at /I.;

bi!!ion, &$.?F (/I$;&.$ mi!!ion) higher than on December &, #%&#, main!y ue

to the net income of /I;<. mi!!ion, /I$<#. mi!!ion of 1hich 1i!! be istribute

as i*iens, sub9ect to e!iberation at the #%&$ Annua! Shareho!ers" Meeting.

En December &, #%&, the Company"s cash position 1as /I;$-.$ mi!!ion, 1ith

mar2etab!e securities reaching /I&,#$$.% mi!!ion, an cash an eui*a!ents

amounting to /I&,<?%.$ mi!!ion. The Company"s 1or2ing capita! is sufficient tomeet the current reuirements, an its cash funs, inc!uing !oans from thir

parties, are sufficient to finance its acti*ities an to co*er its nees for financia!

resources. En the same ate, the Company"s net ebt tota!e /I$,%#$.?

mi!!ion, 1hi!e the et ebt>6:4TDA ratio stoo at &.&-, *ersus &.$ in #%&#.

The Management be!ie*es that the Company"s euity an financia! position is

sufficient for the imp!ementation of its business p!an an fu!fi!! its short an

meium term ob!igations.

1 The information inc!ue in the annua! isc!osure of the reference form must refer to the !astthree yearen financia! statements. Hhen the reference form is isc!ose upon reuest of registration of pub!ic securities offering, the information must refer to the !ast three yearenfinancia! statements an the !ast accounting information isc!ose by the issuer.

2 Hhene*er possib!e, the Management must a!so use this fie! to comment on the main trens

ac2no1!ege, uncertainties, commitments or e*ents that may ha*e a materia! effect on thefinancia! an euity conitions of the issuer, especia!!y its resu!ts, re*enue, profit, an conitionsan a*ai!abi!ity of financing sources.

8



b. Ca%*al !$+'+$e an %o!!*b*l*) of $ee#%*on of !(a$e! o$ *ne$e!,

*n*'a*n"=

:e!o1 is the f!uctuation of the et Debt > (et Debt J Shareho!ers" 6uity) an

Shareho!ers" 6uity > (et Debt J Shareho!ers" 6uity) ratios, 1here et Debt

K Loans an +inancing J Debentures 7 Cash an Cash 6ui*a!ents), ca!cu!ate

as fo!!o1s'

*. 'a!e! of $ee#%*on

**. fo$#+la +!e o 'al'+lae (e $ee#%*on 9al+e

There are no possibi!ities of reeeming shares issue by the Company,

e@cept for those en*isage by !a1.

'. ab*l*) o %a) f*nan'*al obl*"a*on!

4n *ie1 of its inebteness, cash f!o1 an !iuiity position, the Company

be!ie*es it has !iuiity an capita! resources, 1hich can be comp!emente by

resources borro1e from pub!ic an pri*ate financia! institutions, if necessary, to

co*er in*estments, e@penses, ebt an other amounts to be pai in the coming

years, a!though the Company cannot guarantee that such situation 1i!! remainunchange.

. !o+$'e! +!e o f*nan'e 7o$6*n" 'a%*al an *n9e!#en! *n non'+$$en

a!!e!=

4n aition to partia!!y using its o1n cash generation, one of the sources of

financing for the Company"s in*estment pro9ects is the :D6S, 1hich usua!!y

offers !o1er interest rates than the pri*ate mar2et, in aition to terms of payment compatib!e 1ith the in*estment pro9ect"s return perio.

9

Ca%*al S$+'+$e 201: 2012

et Debt>(et DebtJShareho!ers" 6uity) ;.<F ;.;FShareho!ers" 6uity>(et DebtJShareho!ers" 6uity) $-.$F $&.;F

Ca%*al S$+'+$e? 2012 2011

et Debt>(et DebtJShareho!ers" 6uity) ;.;F -.$FShareho!ers" 6uity>(et DebtJShareho!ers" 6uity) $&.;F &.-F



4n case the in*estment pro9ect is not e!igib!e for :D6S financing, the Company

usua!!y resorts to the capita! mar2et (ebentures), mu!ti!atera! e*e!opment

agencies or other sources from the ban2ing mar2et.

e. !o+$'e! of f*nan'*n" fo$ 7o$6*n" 'a%*al an *n9e!#en! *n non'+$$en

a!!e! o be +!e o 'o9e$ *ll*>+**)

Current!y, the Company has 1or2ing capita! !ines that ha*e been contracte

an>or appro*e by firsttier financia! institutions. En December &, #%&, the

tota! amount 1as /I#%%.% mi!!ion

f. le9el! an '(a$a'e$*!*'! of *nebene!!, ea*l*n"=

*. $ele9an loan an f*nan'*n" a"$ee#en!

En December &, #%&, the Company"s tota! outstaning conso!iate

inebteness 1as /I;,<$&.; mi!!ion, of 1hich &$.-F (/I?.< mi!!ion) 1as

enominate in foreign currency.

Ef the tota! inebteness mentione abo*e, ?.?F (/I;-.<mi!!ion) 1as

maturing in the short term, 1hi!e ?%.&F (/I;,&<#. mi!!ion) 1as maturing in the

!ong term.

4n !ine 1ith its foreign e@change eri*ati*e po!icy, on December &, #%&, the

Company ha s1ap operations enominate in foreign currency 1hose notiona!

*a!ue 1as GSI#?-.? mi!!ion an $.? mi!!ion, corresponing to ?$.$;F of the

ebt ba!ance enominate in foreign currency (e@c!uing charges).

4n aition to these foreign e@change eri*ati*es, in August #%&%, the Company

contracte for1ar interest rate s1ap operations in the amount of /I&;% mi!!ionfrom :anco S:C, 1hose maturities 1ere pegge to the amorti3ation f!o1 of

the CC:s of :raesco.

The tab!e be!o1 sho1s the Company"s tota! conso!iate outstaning

inebteness for the fo!!o1ing reference perios'

Deb! @R #*ll*on5 201: 2012

S(o$ Te$# /-. 41.-

+oreign Currency &$<.$ <.%

1



Loca! Currency $#&. $%.

Lon" Te$# ,12.- :,.

+oreign Currency -?#.# ;?<.#

Loca! Currency $,$%.- ,&<.;

S7a% 1:,1 2/.:

O9e$all oal ,-/./ 4,21.-4

Deb! @R #*ll*on5 2012: 2011

S(o$ Te$# 4B/./ 4/:.4

+oreign Currency <.% ?.?Loca! Currency $?.- $;.;

Lon" Te$# 4,121. :,/40.1

+oreign Currency ;?<.# #&?.<

Loca! Currency ,;#$.$ ,$#%.$

S7a% 2/.: 4.0

O9e$all oal 4,/44.40 4,10.

4n aition to the inebteness escribe abo*e, the Company a!so has

actuaria! !iabi!ities 1ith :ras!ight (the Company"s pension fun p!an) 1hich

amounte to /I&,##$.< mi!!ion on December &, #%&.

Rele9an *nan'*n"

4n #%&&, #%&# an #%&, the Company contracte ebt faci!ities, inc!uing'

:an2 Creit Certificates (CC:s) to eposit 1ith A: Amro /ea! S.A.,

issue on August #<, #%%, tota!ing /I% mi!!ion. These CC:s mature in

August #%&% an 1ere rene1e 1ith :anco Santaner (ne1 contro!!ing

shareho!er of :anco /ea!) in the same amount an at a cost of CD4 J &.$Fp.a., maturing on September , #%&$.

Creit +aci!ity Agreement for Light S6SA"s an Light 6nergia"s

in*estment programs for the t1oyear perio bet1een #%%? an #%&%,

signe 1ith :D6S on o*ember %, #%%?, uner the +46M irect finance

moa!ity, 1hich amounts finance, isburse an the respecti*e

remunerations are etai!e be!o1'3 onrec!assifie #%&# figures 1ere use in the comparison to #%&&

11



Light S6SA'

o +46M T0L5 J #.;F p.a.' /I#%; mi!!ion 7 maturity on Apri! &;,

#%&<, of 1hich /I&$- mi!!ion 1as isburse by December #%&% an

/I#-.; mi!!ion by March &, #%&&.o +46M T0L5 J .;F p.a.' /I#%; mi!!ion 7 maturity on Apri! &;,

#%&<, of 1hich /I&$- mi!!ion 1as isburse by December #%&% an

/I#.$ mi!!ion by March &, #%&&.

o +46M 5S4 $.;F p.a.' /I&%& mi!!ion 7 maturity on September &;,

#%&?, of 1hich /I&%& mi!!ion 1as isburse by December #%&%.

Light 6nergia'

o +46M T0L5 J #.;F p.a.' /I<.$ mi!!ion 7 maturity on Apri! &;,

#%&<, of 1hich /I< mi!!ion 1as isburse by December #%&%.

o +46M T0L5 J .;F p.a.' /I<.$ mi!!ion 7 maturity on Apri! &;,

#%&<, of 1hich /I< mi!!ion 1as isburse by December #%&%.

o +46M 5S4 $.;F p.a.' /I&- mi!!ion 7 maturity on September &;,

#%&?, of 1hich /I; mi!!ion 1as isburse by December #%&% an /I&.-

mi!!ion by March #%&&.

Creit +aci!ity Agreements for Light S6SA"s an Light 6nergia"s

in*estment programs for the t1oyear perio #%&& an #%&#, signe 1ith the

:D6S on December -, #%&& an Apri! &%, #%&#, respecti*e!y, uner the

+46M irect finance moa!ity, 1hose amounts finance, isburse an the

respecti*e remunerations are etai!e be!o1'

Light S6SA'

o +46M T0L5J&.&F p.a.' /I#;% mi!!ion 7 maturity on March &;,

#%&?, of 1hich /I&# mi!!ion 1as isburse by December #%&#.

o +46M T0L5J#.#&F p.a.' /I-#; mi!!ion 7 maturity on March &;,

#%&?, of 1hich /I;; mi!!ion 1as isburse by December #%&#.

Light 6nergia'

o +46M T0L5J&.&F p.a.' /I;.; mi!!ion 7 maturity on March &;,

#%&, of 1hich /I#-.; mi!!ion 1as isburse by December #%&#.

12



Creit +aci!ity Agreement 1ith :D6S to fun the energy efficiency

pro9ects of Light 6sco in #%&&, tota!ing /I&.< mi!!ion, 1ith the !ast one

maturing on December &, #%&< at the a*erage T0L5 ratio J &.&F p.a.

Creit +aci!ity Agreement 1ith :D6S to fun the S5 Mar2et 5ro9ect of

Light 6SCE signe on 0anuary &?, #%&&, tota!ing /I&%.$ mi!!ion, of 1hich

/I-.- mi!!ion 1as isburse by 0u!y &, #%&#. The maturity ate is Ectober

&;, #%&<. The interest rate *ariation on the principa! amount is T0L5 J

&.&F p.a.

<th ebenture issue by Light S6SA 1orth /I-;% mi!!ion on May #, #%&&.

The ebentures 1i!! mature on May #, #%&-. The interest rate *ariation on

the principa! amount is CD4 J &.;F p.a.

th ebenture issue by Light S6SA 1orth /I$<% mi!!ion on September &%,

#%&#. The ebentures 1i!! mature on 0une $, #%#-. The interest rate

*ariation on the principa! amount is CD4 J &.&F p.a.

?th ebenture issue by Light S6SA on 0une &;, #%&, in t1o series. Series

A' in the amount of /I&,%%% mi!!ion, maturing on May &;, #%#&, an

interest rate on the principa! amount of CD4 J &.&;F p.a. Series :' in the

amount of /I-%% mi!!ion, maturing on May &;, #%#, 1ith a9ustment to the

nomina! unit *a!ue by the accumu!ate *ariation of 45CA p!us a fi@e

interest rate of ;.<$F p.a.

&st ebenture issue by Light 6nergia 1orth /I&<% mi!!ion on Apri! &%,

#%&&. The ebentures 1i!! mature on Apri! &%, #%&-. The interest rate

*ariation on the principa! amount is CD4 J &.$;F p.a.

#n ebenture issue by Light 6nergia 1orth /I$;# mi!!ion on December

#?, #%&&. The ebentures 1i!! mature on August &?, #%&?. The interest rate


13



r ebenture issue of Light 6nergia 1orth /I% mi!!ion on September

&%, #%&#. The ebentures 1i!! mature on 0une $, #%#-. The interest rate


+uning in foreign currency (operation $&&) on Ectober &<, #%&& in the

amount of $.? mi!!ion (eui*a!ent to /I; mi!!ion) through :anco :5

5aribas :rasi!, 1ith maturity on Ectober #&, #%&$8 an on o*ember <, #%&&

in the amount of GSI;% mi!!ion (eui*a!ent to /I<.$ mi!!ion) through :an2

of America, 1ith maturity on o*ember &%, #%&-.

+uning in foreign currency (operation $&&) on August #, #%&#, in the

amount of GSI&%% mi!!ion (eui*a!ent to /I#%#.% mi!!ion), for Light S6SA,

through :anco Citiban2 S.A., 1ith maturity on +ebruary #, #%&.

+uning in foreign currency (operation $&&) on Ectober #, #%&#, in the

amount of GSI% mi!!ion (eui*a!ent to /I&-#.$ mi!!ion), for Light 6nergia,

through :anco Citiban2 S.A., 1ith maturity on Apri! , #%&.

**. o(e$ lon"e$# $ela*on!(*%! 7*( f*nan'*al *n!*+*on!.

The !ompan" and its su#sidiaries use several $nancialinstruments re%uiring, among other o#ligations, that the!ompan" maintains speci$c $nancial ratios and&orcompliance with several o#ligations to do and notrestricted to its operations' These include( Total net de#t&)*+T- ratio lower or e%ual to 3',including( !!* of *radesco, 5th de#enture issue #" .ight/)/-, 0+) *)/ .ight /)/- and .ight )nergia

26&28, *)/ -greement .ight )sco, !!* of /antander, funding in foreign currenc" from * ari#as*rasil and *an of -merica, 7th and 8th de#enture issues#" .ight /)/-, and 1st, 2nd and 3rd de#enture issues #".ight )nergia'

)*+T-&-dusted and !onsolidated ross +nterest

)penses ratio( higher than or e%ual to 2'5' a"ment of dividends( the !ompan" ma" onl" pa"

dividends higher than the minimum mandator" amount if all contractual o#ligations are met'

14



.astl", the $nancing mentioned contracted

mentioned a#ove aims at $nancing the !ompan":sinvestment plans and increasing its woring capital'

***. le9el of !+bo$*na*on be7een eb!.

)cept for those de#ts #aced #" real propert", which are

set forth in all agreements signed with 0unda;<o

*raslight, *)/, )letro#ras, ational Treasur" and 4th

e#enture +ssue of .ight /ervi;os de )letricidade /'-',

there is no level of su#ordination #etween the !ompan":s

de#ts' !onse%uentl", in the event of start of court=

supervised or out=of=court reorgani>ation, the !ompan"

will adopt the precepts of .aw 11,11&5 to compose the

order of preference in the collective creditor collectionaction'

*9. e9en+al $e!$*'*on! *#%o!e on (e *!!+e$, e!%e'*all) (o!e

$elae o l*#*! on *nebene!! an (e 'on$a'*n" of ne7

eb, *!$*b+*on of *9*en!, *!%o!al of a!!e!, *!!+e of

ne7 !e'+$**e! an !ale of 'on$oll*n" *ne$e!

Loans c!assifie as the Company"s current an noncurrent

en*isage the maintaining of inebteness an interest co*erageratios. 4n the fisca! year ene December &, #%&, the Company

attaine a!! inicators reuire by contract.

". l*#*! on (e +!e of loan! 'on$a'e

Specifica!!y for the Creit +aci!ity Agreements for Light S6SA"s in*estment

programs for the t1oyear perio #%&& an #%&#, signe 1ith :D6S onDecember &, #%& uner the +46M irect finance moa!ity, there 1ere no

amounts to be re!ease.

(. #ae$*al '(an"e! *n ea'( *e# of (e f*nan'*al !ae#en!

15



16



Analysis of the statement of income for fiscal year ended December 31,

2013 compared to fiscal year ended December 31, 2012

Ne O%e$a*n" Re9en+e

et operating re*enue for the fisca! year ene December &, #%& 1as

/I<,$##. mi!!ion, an increase of .F *ersus the /I<,&#.$ mi!!ion recore in

#%&#, ue to the upturns of &%;.;F, -.#F an &.;F in re*enue from

commercia!i3ation an ser*ices, generation an istribution segments,

respecti*e!y.

et re*enue from commercia!i3ation an ser*ices 1as hea*i!y impacte

by the increase in energy prices an sa!es *o!ume in #%&, main!y ref!ecting the

rea!!ocation of Light 6nergia"s capti*e mar2et contracts terminate at the c!ose

of !ast year to the free mar2et.

The increase in net re*enue from the generation segment can be

e@p!aine by the higher price an *o!ume of energy contracts trae on the free

mar2et (ACL), as 1e!! as the increase in the a*erage spot mar2et price.

4n #%&, net re*enue from istribution 1as &.;F higher than in #%&#.

o1e*er, e@c!uing re*enue from construction, net re*enue from istribution

ecrease by %.F bet1een the perios, main!y ue to the e@traorinary tariff

re*ie1 of 0anuary #$, #%&, 1hich reuce tariffs by &?.-F on a*erage,

mitigate by the &.F upturn in tota! mar2et consumption, combine 1ith the

a*erage increase of &.F in the energy tariff (e@c!uing effects from specia!

ob!igations) as of o*ember <, #%&, ratifie in the tariff re*ie1 process.

Co! of O%e$a*on!

4n the fisca! year ene December &, #%&, costs of goos an ser*ices

so! by the Company tota!e /I;,$$.? mi!!ion, o1n &.#F o*er the /I;,;;&.$

mi!!ion recore in #%&#, main!y as a resu!t of the <.#F ecrease in energy

purchase for resa!e.

6nergy 5urchase for /esa!e' Costs from energy purchase for resa!e

1ent o1n from /I$,&$;.& mi!!ion in #%&# to /I,$. mi!!ion in #%&. The

17



ecrease of <.#F bet1een the perios incorporates the effect of Decree

<,?$;>&, 1ith the pro*ision re!ate to the month!y transfer of funs from the

6nergy De*e!opment Account (CD6), 1hich tota!e /I%&.& mi!!ion in #%&.

The a*erage purchase energy cost, e@c!uing spot mar2et purchases,

amounte to /I&&.>MHh, *ersus /I&$.>MHh in #%&#, a reuction of #.#F.

5ersonne!' 4n the fisca! year ene December &, #%&, personne! costs

amounte to /I#%&.- mi!!ion, an increase of &.#F *ersus the /I&??. mi!!ion

reporte in #%&#, ref!ecting the -.<;F annua! pay rise, as of 0une, as 1e!! as the

nonrecurring effect of the boo2ing of *ariab!e compensation !in2e to

achie*ement of targets.

Materia!s' 4n the fisca! year ene December &, #%&, costs from materia!s

amounte /I&;.; mi!!ion, representing a sharp ecrease of %.#F from /I##.&

mi!!ion in #%&#.

Eutsource ser*ices' 4n the fisca! year ene December &, #%&, costs

from outsource ser*ices 1as /I#%-.& mi!!ion, up #-.?F in re!ation to the /I&-#.$

mi!!ion reporte in #%&#, chief!y ue to' (i) the success fee for consu!ting firms

re!ate to the impro*e performance of processes8 an (ii) the a*ances mae by

the ero Loss Area (A5) program.

Depreciation an amorti3ation' 4n the fisca! year ene December &,

#%&, epreciation an amorti3ation amounte to /I;&.; mi!!ion, &&.-F higher

than the /I&;.% mi!!ion recore in #%&#. This resu!t 1as chief!y a resu!t of the

1or2 of preparation of the remuneration base, 1ith high *o!ume of in*estments

an intensi*e use of assets for the tariff re*ie1, 1hich too2 p!ace in o*ember.

Ether' 4n the fisca! year ene December &, #%&, other operating costs

tota!e /I$&.< mi!!ion, an increase of ?.&F o*er the /I.# mi!!ion recore in

#%&#.

18



G$o!! O%e$a*n" P$of*

4n the fisca! year ene December &, #%&, the Company"s gross

operating profit came to /I&,?<.$ mi!!ion, &.F higher than the /I&,-&.%mi!!ion recore in #%&#. This increase is main!y a resu!t of the upturn of .F

in net re*enue an the o1nturn of &.#F in the cost of operation, in the

comparison bet1een #%& an #%&#.

O%e$a*n" E<%en!e!

Benera! an Aministrati*e' 4n the fisca! year ene December &, #%&,

the Company"s genera! an aministrati*e e@penses came to /I#<&.- mi!!ion,representing a sharp rop of #.F from the /I&.; mi!!ion recore in #%&#.

This resu!t can be e@p!aine by the reuction of /I&$%.% mi!!ion in pro*ision for

contingencies, 1hich represents a *ariation of <#.<F bet1een the perios.

Se!!ing' 4n the fisca! year ene December &, #%&, the Company"s

se!!ing e@penses came to /I$;. mi!!ion, o1n &.-F from the /I;;.&

mi!!ion recore in #%&#. Ene of this !ine"s components is 5ro*isions for 5astDue Accounts (5CLD), 1hich in #%& represente &.?F of gross bi!!e energy,

tota!ing /I&;. mi!!ion. This figure 1as !o1er than the one reporte in #%&#,

1hen there 1as a e@traorinary impact from the a9ustment of the estimate for

the reception of past ebt ue from ma9or c!ients, inc!uing the go*ernment

segment, in the amount of /I&&&.< mi!!ion.

Ether Eperating /e*enues (6@penses)

4n the fisca! year ene December &, #%&, the Company"s other operating re*enues>e@penses amounte to /I&. mi!!ion, *ersus /I;.-

mi!!ion in #%&#. The sharp fa!! of <<.%F bet1een the perios is a resu!t of the

recognition of /I&#$. mi!!ion re!ate to the e1 /epositioning =a!ue (=/)

fo!!o1ing appro*a! of the ne1 /egu!atory Asset :ase (/A:). 4n $N&#, the main

effect 1as the recognition of /I$%.# mi!!ion in asset remuneration re*enue at

the en of the concession, ca!cu!ate by the =/ criterion, efine by the

granting po1er through 6@ecuti*e Decree ;<?>#%&#, 1hich 1as pre*ious!yrecogni3e at the acuisition cost.

19



In'o#e befo$e f*nan'*al $e9en+e! an e<%en!e!

4n the fisca! year ene December &, #%&, the Company"s operating

resu!t tota!e /I&,&&. mi!!ion, ##.F higher than the /I&,%-<.? mi!!ion

recore in #%&#, primari!y ue to the recoring of other operating re*enues

an a!so the gro1th of gross operating profit.

*nan'*al Re9en+e! @E<%en!e!5

4n the fisca! year ene December &, #%&, financia! resu!t 1as a

negati*e /I$;. mi!!ion, *ersus the negati*e /I$?&.& mi!!ion recore in #%&#.

/e*enue' 4n #%&, financia! re*enue tota!e /I.# mi!!ion, up <;.<F

o*er the /I&?#.; mi!!ion recore in the pre*ious year. The main *ariation 1as

in the net s1ap resu!t, a!though this 1as tota!!y offset by financia! e@penses 1ith

the monetary an e@change *ariation. +urther up1ar pressure came from the

income from financia! in*estments !ine, 1hich increase by .<F ue to the

Company"s higher cash position an the upturn in the benchmar2 interest rate

(Se!ic).

6@penses' +inancia! e@penses came to /I<?&.? mi!!ion in #%&, up

&;.F from the /I-.- mi!!ion recore in #%&#, chief!y ue to higher ebt

e@penses from the Company"s increase !e*erage an the upturn in the Se!ic

rate.

In'o#e befo$e *n'o#e a< an !o'*al 'on$*b+*on

4n the fisca! year ene December &, #%&, income before income ta@

an socia! contribution amounte to /I;#.& mi!!ion, *ersus /I;?.$ mi!!ion in

#%&#, an increase of $#.$F.

In'o#e a< an !o'*al 'on$*b+*on

4n #%&, the Company recore income ta@ an socia! contribution of

/I#-$. mi!!ion, *ersus /I&<$.; mi!!ion in #%&#.

Ne In'o#e fo$ (e )ea$

2



Light S.A. recore net income of /I;<. mi!!ion in #%&, .;F more

than in #%&# (/I$#.? mi!!ion), chief!y as a resu!t of the .F increase in net

operating re*enue an the &.#F reuction in cost of operations.

21



Analysis of the statement of income for fiscal year ended December 31,

2012 4 compared to fiscal year ended December 31, 2011

Ne O%e$a*n" Re9en+e

et operating re*enue for the fisca! year ene December &, #%&#

tota!e /I<,-&.& mi!!ion, up ?.-F in re!ation to the /I-,?$$. mi!!ion recore

in #%&&, ue to higher re*enue from a!! segments of the Company.

4n the istribution segment, this increase can be e@p!aine by the #F

gro1th of tota! mar2et (capti*e an free mar2ets) consumption. The increase in

the commercia! segment 1as ue to a ?.&F gro1th of consumption, combine

1ith the effects of the <.#F tariff a9ustment of o*ember #%&&.

4n the generation segment, the increase in net re*enue can be e@p!aine

by higher price an *o!ume of energy contracts trae on the free mar2et.

4n the commercia!i3ation segment, re*enue 1as strong!y impacte by the

$$.F increase in re*enue from energy sa!e, in *ie1 of the higher energy resa!e

price an *o!ume. This re*enue gro1th 1as a!so a resu!t of the !arger number of

pro9ects e*e!ope uring the year in the ser*ices segment.

Co! of O%e$a*on!

4n the fisca! year ene December &, #%&#, costs of goos an ser*ices

so! by the Company tota!e /I;,958'7 mi!!ion, a &#.-F increase in re!ation to

the /I;,#?%. mi!!ion reporte in #%&&. This increase 1as main!y a resu!t of the

&.$F upturn in costs from purchase energy bet1een the perios.

6nergy 5urchase for /esa!e' 5urchase energy costs tota!e

/I$,;$.# mi!!ion in the fisca! year ene December &, #%&#, an upturn of

&.$F from the /I,#.% mi!!ion recore in #%&&, chief!y ue to' (i) the

increase in the ifference sett!ement price (5LD), 1hich resu!te in higher

e@penses 1ith a*ai!abi!ity contracts, ue to therma! p!ant ispatch an spot

mar2et purchases8 (ii) a9ustments to e@isting contracts in o*ember #%&& an

o*ember #%&#8 (iii) the increase in energy purchase *o!ume8 an (i*) the4 onrec!assifie #%&# figures 1ere use in the comparison to #%&&

22



e@change *ariation impacting energy purchase costs from 4taipu an the orte

+!uminense hyroe!ectric p!ant.

The a*erage purchase energy cost, e@c!uing spot mar2et purchases,

amounte to /I&$.>MHh, #;.$F up on the /I&%<.&>MHh recore in #%&&.

Costs 1ith charges c!imbe by &&.#F bet1een #%&& an #%&#, main!y

ue to the annua! 5/E4+A rea9ustment, in accorance 1ith an A66L

/eso!ution, an the rise in System Ser*ice Charges (6SS), than2s to the

acti*ation of therma! p!ants, ispatche outsie the orer of merit.

5ersonne!' 4n the fisca! year ene December &, #%&#, costs from

personne! amounte to /I&%.? mi!!ion, --.#F higher than the /I&%. mi!!ion

recore in #%&&, chief!y ue to insourcing in some acti*ities, 1hich resu!te in

an increase in the payro!!, combine 1ith the annua! pay rise.

Materia!s' 4n the fisca! year ene December &, #%&#, costs from materia!s

amounte to /I##.& mi!!ion, .-F up on the /I#&.$ mi!!ion recore in #%&&.

Eutsource ser*ices' 4n the fisca! year ene December &, #%&#, costs

from outsource ser*ices amounte to /I&;. mi!!ion, o1n -.#F from the

/I&?<.$ mi!!ion recore in #%&&, chief!y ue to insourcing in some acti*ities,

1hich reuce the costs from thirparty contracts.

Depreciation an Amorti3ation' 4n the fisca! year ene December &,

#%&#, epreciation an amorti3ation tota!e /I&;.% mi!!ion, a .-F fa!! in

re!ation to the /I#-.< mi!!ion in #%&&. This resu!t 1as chief!y ue to the change

in epreciation rates introuce by A66L /eso!ution $<$>#%&#, 1hich reucethe a*erage epreciation rate as of 0anuary #%&#.

Ethers' 4n the fisca! year ene December &, #%&#, other operating costs

tota!e /I;#.# mi!!ion, up #?&.F from /I&. mi!!ion in #%&&.

23



G$o!! O%e$a*n" P$of*

4n the fisca! year ene December &, #%&#, the Company"s grossoperating profit stoo at /I&,-;$.# mi!!ion, in !ine 1ith the /I&,-;$.; mi!!ion

reporte in #%&&.

O%e$a*n" E<%en!e!

Benera! an Aministrati*e' 4n the fisca! year ene December &, #%&#,

the Company"s genera! an aministrati*e e@penses tota!e /I#. mi!!ion, an

increase of #$.&F in re!ation to the /I%.% mi!!ion recore in #%&&.Se!!ing' 4n the fisca! year ene December &, #%&#, the Company"s

se!!ing e@penses tota!e /I548'4 mi!!ion, up &<.F in re!ation to the /I467'5

mi!!ion in #%&&. 5ro*isions for 5ast Due Accounts (5CLD) tota!e /I##.-

mi!!ion in #%&#, *ersus /II#;&. mi!!ion in #%&&.

Ether Eperating /e*enues (6@penses)

4n the fisca! year ene December &, #%&#, other operatingre*enues>e@penses amounte to /I<;.- mi!!ion, *ersus the negati*e /I;.?

registere in #%&&. This resu!t can be e@p!aine by the recognition of /I$%.#

mi!!ion in asset remuneration re*enue at the en of the concession, ca!cu!ate

by the e1 /epositioning =a!ue (=/) criterion, efine by the granting po1er

through 6@ecuti*e Decree ;<?>#%&#.

In'o#e befo$e f*nan'*al $e9en+e! an e<%en!e!

4n the fisca! year ene December &, #%&#, the Company"s operating

resu!t 1as /I&,%??.& mi!!ion, up #;.?F from /I<.# mi!!ion in #%&&. This

increase 1as primari!y ue to the recognition of other operating re*enues.

*nan'*al $e9en+e! @e<%en!e!5

The financia! resu!t for the fisca! year ene December &, #%&# 1as a

negati*e /I$?;.< mi!!ion, *ersus the /I$&%.# mi!!ion recore in #%&&.

24



/e*enue' 4n #%&#, financia! re*enue tota!e /I#%.? mi!!ion, &;.?F

higher than in #%&&, primari!y ue to the nonrecurring effect of the a9ustment

for inf!ation of 9uicia! eposits from !a1suits on the “other financia! re*enue”

!ine, in the amount of /I<.# mi!!ion.

6@penses' 4n #%&#, financia! e@penses came to /I-??.- mi!!ion, &?.$F

more than in #%&&, !arge!y ue to the impact of the a9ustment to present *a!ue

that increase financia! e@penses, in !ight of the pro*isions in #%&# in the

amount of /I<$.; mi!!ion, re!ate to conitiona! iscounts pro*ie for in

insta!!ment contracts of ma9or c!ients 1ith Light, an ue to the nonrecurring

effect of the a9ustment for inf!ation of 9uicia! eposits from !a1suits on the

“other financia! re*enue” !ine, in the amount of /I;.% mi!!ion, as 1e!! as higher

D4C an +4C, tota!ing /I.& mi!!ion in #%&#, *ersus /I#?. mi!!ion in #%&&.

In'o#e befo$e a<e! an !o'*al 'on$*b+*on

4n the fisca! year ene December &, #%&#, income before income ta@ an

socia! contribution 1as /I-%#.& mi!!ion, *ersus the /I$-.% mi!!ion recore in #%&&,

representing an increase of %.%F. The factor that most contribute to such increase

1as the #;.?F upturn in income before the financia! resu!t.

In'o#e a< an !o'*al 'on$*b+*on

4n the fisca! year ene December &, #%&#, the Company recore

income ta@ an socia! contribution tota!ing /I&<.# mi!!ion, *ersus /I&#&.%

mi!!ion in #%&&.

Ne In'o#e fo$ (e )ea$

4n #%&#, net income tota!e /I$#.? mi!!ion, #$.%F higher than in #%&&,

chief!y ri*en by higher net operating re*enue an !o1er operating e@penses.

25



ANALSIS O THE MAIN ALANCE SHEETS

26



27



Co#%a$a*9e Anal)!*! of (e alan'e S(ee! a! of De'e#be$ :1, 201: *n

$ela*on o De'e#be$ :1, 2012

4n the assets account, the main *ariations 1ere'

Cash an cash eui*a!ents' En December &, #%&, cash an cash eui*a!ents

amounte to /I;$-.$ mi!!ion, up &<.#F from the /I#%.$ mi!!ion recore on

December &, #%&#, chief!y ref!ecting the procees from the ? th ebenture issue

on 0une #, #%&, tota!ing /I&,-%% mi!!ion, combine 1ith the transfer of

/I&,##$.< mi!!ion to the “Mar2etab!e securities” !ine, for purposes of payment of

ebt re!ate to postemp!oyment benefits.

Mar2etab!e securities' En December &, #%&, the Company"s mar2etab!e

securities came to /I&,#$$.% mi!!ion, an increase of ,%$.F in re!ation to the

/I&;. mi!!ion reporte on December &, #%&#. This *ariation 1as ue to the

recognition, in this !ine, of funs earmar2e to the sett!ement of a ebt 1ith

:ras!ight re!ate to postemp!oyment benefits, tota!ing /I&,##$.< mi!!ion.

Consumers, concessionaires an permissionaires (current an noncurrent)' En

December &, #%&, consumers, concessionaires an permissionaires tota!e

/I&,$#. mi!!ion, o1n &<.#F in re!ation to /I&,<&.% mi!!ion on December

&, #%&#. This *ariation can be e@p!aine chief!y by the rop in efau!t !e*e!,

combine 1ith !o1er tariffs as of 0anuary #%&, ue to 6@ecuti*e Decree ;<?.

Ta@es an contributions (current an noncurrent)' En December &, #%&,

ta@es an contributions amounte to /I&?$.- mi!!ion, a reuction of .$F inre!ation to the /I&;.? mi!!ion recore on December &, #%&#, main!y ue to

the transfer of 4CMS to offset on permanent assets to intangib!e assets, in

aition to other offsetting of ta@ creits.

4ncome ta@ an socia! contribution (current an noncurrent)' En December &,

#%&, income ta@ an socia! contribution reache /I;;.& mi!!ion, an increase of

<&?.F in re!ation to the /I-.< mi!!ion recore on December &, #%&#, chief!yue to prepai 4/5+ an CSLL in #%&.

28



Deferre ta@es' En December &, #%&, eferre ta@es tota!e /I-##. mi!!ion,

#;.%F !o1er than on December &, #%&# (/I%.% mi!!ion), primari!y ue to the

re*ersa! of temporary ifference from the effect of the eficit in actuaria!

!iabi!ities an the 1riteoff of !ongterm efau!ting c!ients.

+inancia! assets from concessions' En December &, #%&, financia! assets

from concessions tota!e /I&,?#-.# mi!!ion, an increase of ##.$F in re!ation to

the /I&,;<. mi!!ion recore on December &, #%&#, chief!y ue to the fact

that the report ratifie by the :ra3i!ian 6!ectricity /egu!atory Agency (A66L)

uring the r cyc!e of tariff re*ision of Light S6SA ha*ing generate a

iscrepancy of /I&#$.< mi!!ion bet1een the e1 /epositioning =a!ue (=/)

an historica! cost. +urthermore, the Company mae in*estments in the

istribution net1or2 uring the year 1hich, 1hen i*ie into t1o, ha*e a irect

impact on financia! assets from concessions.

/ecei*ab!es from s1ap transaction' En December &, #%&, recei*ab!es from

s1ap transaction amounte to /I&$&.# mi!!ion, up #?<.F in re!ation to the

/I;.; mi!!ion recore on December &, #%&#, main!y ue to the increase in

the foreign e@change rate in December #%&, in aition to the /I&&-.? mi!!ion

foreign currencyenominate funs raise, hege by a currency s1ap

operation in the same amount.

Ether recei*ab!es (current an noncurrent)' En December &, #%&, other

recei*ab!es came to /I#&<.& mi!!ion, mo*ing up by #.&F in re!ation to the

/I&-?.; mi!!ion on December &, #%&#, chief!y ue to recei*ab!es from thetransfer of funs from the energy e*e!opment account (CD6) etermine by

Decree <,?$;>&, issue by the feera! go*ernment 1ith the aim to partia!!y

offset the impacts from the e@pressi*e increase in energy cost.

+i@e assets' En December &, #%&, fi@e assets tota!e /I&,-<.< mi!!ion, in

!ine 1ith the /I&,-;. mi!!ion recore on December &, #%&#.

29



4ntangib!e assets ' En December &, #%&, intangib!e assets came to /I,?-#.&

mi!!ion, c!imbing by ;.<F from the /I,<$.- mi!!ion reporte on December &,

#%&#, chief!y as a resu!t of usua! in*estments mae in the Company"s

operations.

4n the !iabi!ities account, the main *ariations 1ere'

Supp!iers' En December &, #%&, the supp!iers !ine 1as /I?%<. mi!!ion, up

&&.$F *ersus the /I&$.; mi!!ion reporte on December &, #%&#, primari!y

ue to the increase *o!ume of energy purchase 1ithin the scope of the

6!ectric 6nergy Commercia!i3ation Chamber (CC66) for sa!e, 1hich 1as

impacte by higher ifference sett!ement price (5LD) in the perio.

Loans, financing an ebentures (current an noncurrent)' En December &,

#%&, !oans, financing an ebentures (inc!uing financia! charges) tota!e

?@5,815'3 million, an upturn of <.#F in re!ation to the /I$,#<.; mi!!ion

reporte on December &, #%&#, primari!y ue to the ? th issue of simp!e, non

con*ertib!e ebentures on 0une #, #%& in the amount of /I&,-%%.% mi!!ion. 4n#%&, raise funs tota!e /I#,$$$.; mi!!ion, 1hi!e amorti3ations came to

/I&,%<.$ mi!!ion.

5ro*isions' En December &, #%&, pro*ision for contingencies came to

/I;$.< mi!!ion, o1n &%.F from the /I-%-.% mi!!ion reporte on December

&, #%&#, chief!y ref!ecting the re*ersa! of !abor a9ustments tota!ing /I;.%

mi!!ion an the higher *o!ume of 1riteoffs ue to re*ersa! in re!ation to #%&#.

5ostemp!oyment benefits ( current an noncurrent )' En December &, #%&,

postemp!oyment benefits tota!e /I&,##$.< mi!!ion, a ec!ine of &%.<F *ersus

the /I&,<%.< mi!!ion poste on December &, #%&#, main!y ue to the partia!

re*ersa! of actuaria! !osses recore in fisca! year #%&# against the

comprehensi*e income !ine in shareho!ers" euity, especia!!y as a

conseuence of the increase in interest rates in #%&.

3



Ether payab!es (current an noncurrent)' En December &, #%&, other

payab!es came to /I#;?.? mi!!ion, ropping by &#.;F from the /I#?<.# mi!!ion

reporte on December &, #%&#, ref!ecting the 1riting off of Gse of pub!ic asset

(G:5) of the subsiiary 4taocara 6nergia, ue to the en of the concession

agreement for the 4taocara hyroe!ectric po1er p!ant in o*ember #%&.

Co#%a$a*9e Anal)!*! of (e alan'e S(ee! a! of De'e#be$ :1, 2012 *n

$ela*on o De'e#be$ :1, 20115 onrec!assifie #%&# figures 1ere use in the comparison to #%&&.

31



4n the assets account, the main *ariations 1ere'

Cash an cash eui*a!ents' En December &, #%&#, cash an cash eui*a!ents

amounte to /I<<.- mi!!ion, o1n ;&.&F o*er the /I<<#.; mi!!ion recore

on December &, #%&&, main!y ue to the ?&.-F ec!ine in financing acti*ities in

#%&# *ersus #%&&' -c%uisition of $ed assets clim#ed #" 56'A,

negativel" impacting the !ompan":s cash position, while pa"ment of

dividends and interest on e%uit" resulted in a dis#ursement of

?@425'1 million'

Consumers, concessionaires an permissionaires (current an noncurrent)' EnDecember &, #%&#, consumers, concessionaires an permissionaires tota!e

/I&,<;.< mi!!ion, in !ine 1ith the /I&,-#.# mi!!ion recore on December &,

#%&&.

Ta@es an contributions (current an noncurrent)' En December &, #%&#,

ta@es an contributions amounte to /I&.& mi!!ion, an increase of .#F in

re!ation to the /I#%.# mi!!ion recore on December &, #%&&, chief!y ue tothe increase in 4CMS creits resu!ting from higher in*estment in e!ectricity gri

assets, 1hich 1i!! be offset in up to four years.

4ncome ta@ an socia! contribution (current an noncurrent)' En December &,

#%&#, income ta@ an socia! contribution 1as /I&&.< mi!!ion, <.#F !o1er than

the /I?%.? mi!!ion recore on December &, #%&&, main!y ue to the reuction

of ??.<F in a*ance income ta@ an socia! contribution recore in #%&& in

re!ation to #%&#.

+inancia! assets from concessions' En December &, #%&#, financia! assets

from concessions came to /I&,;<. mi!!ion, an increase of &?.<F in re!ation

to the /I-;-.; mi!!ion on December &, #%&&. This increase 1as main!y a resu!t

of the ne1 epreciation rates estab!ishe by A66L (/eso!ution $<$>&#), 1hich

!e to a remeasurement of infrastructure an resu!te in the rec!assification of

/I&&. mi!!ion from intangib!e assets to financia! assets. Another important

32



factor 1as the pub!ishing of the 6@ecuti*e Decree ;<?>#%&#, 1hich 1as

con*erte into La1 &#,< an efine that the ca!cu!ation for asset

inemnification must use the e1 /epositioning =a!ue (=/) methoo!ogy, so

the Company recore the amount referring to the ifference bet1een =/ an

historica! cost, generating a gain of /I$%.& mi!!ion in financia! assets.

+urthermore, the Company mae significant in*estments in the istribution

net1or2 uring the year 1hich, 1hen i*ie in t1o, ha*e a irect impact on

financia! assets from concessions.

Ether recei*ab!es (current an noncurrent)' En December &, #%&#, other

recei*ab!es amounte to /I&?-.& mi!!ion, an increase of .%F *ersus the

/I&&.; mi!!ion recore on December &, #%&&, main!y ue to the recoring of

guarantees an !in2e eposits re!ate to the 9oint!yo1ne subsiiary /eno*a

6nergia.

+i@e assets' En December &, #%&#, fi@e assets tota!e /I#,##%.- mi!!ion, an

increase of &&.F *ersus the /I&,?;.? mi!!ion recore on December &,

#%&&, main!y ue to usua! in*estments mae in the Company"s operations.

4ntangib!e assets' En December &, #%&#, intangib!e assets amounte to

/I$,%&<.& mi!!ion, a reuction of .F in re!ation to the /I$,&<$.? mi!!ion

recore on December &, #%&&, main!y resu!ting from the i!ution of the

interest in /eno*a 6nergia, in aition to the rec!assification of /I&&. mi!!ion

to financia! assets of the concession, as escribe abo*e in this item.

4n the !iabi!ities account, the main *ariations 1ere'

Supp!iers' En December &, #%&#, supp!iers amounte to /I-&. mi!!ion, an

increase of &.F o*er the /I<;<.& mi!!ion recore on December &, #%&&,

chief!y ue to the higher *o!ume of energy purchase 1ithin the scope of the

6!ectric 6nergy Commercia!i3ation Chamber (CC66) an po1er auctions, 1hich

in turn 1ere impacte by the increase in the ifference sett!ement price (5LD) in

the perio.

33



Loans, financing an ebentures (current an noncurrent)' En December &,

#%&#, !oans, financing an ebentures (inc!uing financia! charges) tota!e

/I$,---.% mi!!ion, an increase of &#.&F *ersus the /I$,&-#.# mi!!ion recore

on December &, #%&&. During the year, the Company raise funs tota!ing

/I&,#%.? mi!!ion, partia!!y offset by amorti3ations in the amount of /I&#.;

mi!!ion.

Contingencies' En December &, #%&#, pro*isions for contingencies amounte

to /I;.# mi!!ion, up &.&F from /I;&;.< mi!!ion on December &, #%&&. This

increase can be main!y e@p!aine by a9ustments an ne1 !a1suits tota!ing

/I&<$.& mi!!ion, partia!!y offset by 1riteoffs ue to payment or re*ersa! in the

amount of /I&%-.- mi!!ion.

5ostemp!oyment benefits' En December &, #%&#, postemp!oyment benefits

tota!e /I&,<%.< mi!!ion, an increase of &<.%F *ersus the /I&,&<&.# mi!!ion

recore on December &, #%&&, chief!y ue to the reuction in the interest rate,

1hich ha a irect impact on the Company"s actuaria! !iabi!ities for December

&, #%&#.

Ether payab!es (current an noncurrent)' En December &, #%&#, other

payab!es amounte to /I#;. mi!!ion, o1n &$.$F from the /I%.- mi!!ion

recore on December &, #%&&, chief!y ue to the transfer of Gse of pub!ic

asset (G:5) from the 4taocara hyroe!ectric po1er p!ant, recore in 4taocara

6nergia LtaOthe Company"s irect subsiiaryOto the respecti*e consortium

that manages the p!ant.

34



Analysis of the 2013 cash ow in relation to 2012

The Company presents substantia! cash generation as a resu!t of its

operations in the istribution segment, a!though cash f!o1 can *ary bet1een

perios in accorance 1ith tariff a9ustments *isP*is cost *ariations.

En December &, #%&, the Company"s cash an cash eui*a!ents

tota!e /I;$-.$ mi!!ion, an increase *ersus the /I#%.$ mi!!ion on December

&, #%&# ref!ecting the increase financing acti*ities.

The tab!e be!o1 sho1s, in thousans of /I, the brea2o1n of our cash

f!o1s on December &, #%& an #%&#'

Cash f!o1s from operating acti*ities

Cash generate by operating acti*ities increase by &$&.$F, from

/I;$&.# mi!!ion in the fisca! year ene December &, #%&# to /I&,%-.

mi!!ion in the fisca! year ene December &, #%&, main!y ue to the increase

in income before ta@es, an the reuction in recei*ab!es from c!ients resu!ting

from the impro*e co!!ection rate, among other reasons.

35

2013 2012

!ash at the #eginning of the period 1 23'4 652'5

et cash from operations 2 1,36'3 541'2

0inancing activities 3 1,147'2 78'4

+nvesting activities 4 2,137'5 884'9

!ash at the end of the period 1B2B3B4 546'4 23'4

Cash variation 316.0 (422.1)

On Decemer 31!



Cash f!o1s from in*estment acti*ities

Cash absorbe by in*estment acti*ities c!imbe by &$&.-F from /I$.?

mi!!ion in the fisca! year ene December &, #%&# to /I#,&<.; mi!!ion on

December &, #%&, main!y ref!ecting the upturn in financia! in*estments ue to

funs raise to sett!e the ebt re!ate to postemp!oyment benefits in the

amount /I&,##$.< mi!!ion.

Cash f!o1s from financing acti*ities

Cash f!o1s from financing acti*ities mo*e up from /I<.$ mi!!ion in the

fisca! year ene December &, #%&# to /I&,&$<.# mi!!ion on December &,

#%&, chief!y ue to ?th ebenture issue tota!ing /I&,-%%.% mi!!ion.

Analysis of the 20126 cash ow in relation to 2011

The Company presents substantia! cash generation as a resu!t of its

operations in the istribution an generation segments, a!though cash f!o1 can

*ary bet1een perios in accorance 1ith tariff a9ustments *isP*is cost

*ariations.

En December &, #%&#, the Company"s cash an cash eui*a!ents

tota!e /I<<.- mi!!ion, *ersus the /I<<#.; mi!!ion recore on December &,

#%&&. This reuction is e@p!aine by the *ariation in cash from financing

acti*ities.

The tab!e be!o1 sho1s the brea2o1n of our cash f!o1s on December

&, #%&# an #%&&'

Cn ecem#er 31,

?@ million2012 2011 2012"20

11!ash at the #eginning of the period1 772'5 514'1 5'3Aet cash from operations 2 457' 472' =3'2A0inancing activities 3 83'3 986'7 =91'6A+nvesting activities 4 935'3 1,2'3 =22'1A!ash at the end of the period1B2B3B4 377'6 772'5 =51'5A

Cash variation (2#3#4)(3$4.$) 2%&.4

6 onrec!assifie #%&# figures 1ere use in the comparison to #%&&.

36



Cash f!o1s from operating acti*ities

Cash from operating acti*ities ecrease by .#F, from /I$<#.% mi!!ion

in the fisca! year ene December &, #%&& to /I$;<.% mi!!ion in the fisca! year

ene December &, #%&#, primari!y ue to the ecrease net income cash

basis.

Cash f!o1s from in*estment acti*ities

Cash absorbe by in*estment acti*ities fe!! by ##.&F, from /I&,#%%.

mi!!ion in the fisca! year ene December &, #%&& to /I?;. mi!!ion in the

fisca! year ene December &, #%&#. This resu!t 1as impacte by the capita!

increase carrie out by /eno*a 6nergia, 1hich !e to a i!ution in the

Company"s interest.

Cash f!o1s from financing acti*ities

Cash f!o1s use in financing acti*ities ecrease from /I?-.< mi!!ion inthe fisca! year ene December &, #%&& to /I.& mi!!ion in the fisca! year

ene December &, #%&#, main!y ue to the contracting of !oans an financing

in #%&# in a significant!y !o1er amount than in #%&&.

37



10.2 E<e'+*9e Off*'e$! #+! 'o##en on

a5 Re!+l! of (e *!!+e$’! o%e$a*on!, e!%e'*all)=

*. an) *#%o$an 'o#%onen! of $e9en+e

The Company"s re*enues are generate main!y from the istribution of

energy in the concession area. To a !esser egree, the Company"s re*enues

a!so come from the generation, transmission, an commercia!i3ation an

ser*ices segments.

The tab!es be!o1 sho1 the brea2o1n of net re*enue (e@c!uing

e!iminations) in the !ast years'

Ne Re9en+e @R #*ll*on5 201: 2012

D*!$*b+*on -,<&-. -,-&$.$Gene$a*on ;;.< $&%.&Co##e$'*al*8a*on an!e$9*'e!

-%&.< #?#.

Ne Re9en+e @R #*ll*on5? 2012 2011

D*!$*b+*on -,??&.- -,;%-.?Gene$a*on $$%.# ;.Co##e$'*al*8a*on an!e$9*'e!

#?&. &?%.#

**. a'o$! 7*( #ae$*al *#%a' on (e o%e$a*n" $e!+l!

Ele'$*' Po7e$ S+%%l)

The tab!e be!o1 sho1s po1er supp!y by the Company to each c!ass of

c!ients, i.e. resientia!, inustria!, commercia! an other, as 1e!! as their

consumption an bi!!ing trens since #%&&, an their shares in tota! bi!!e

energy'

7 onrec!assifie #%&# figures 1ere use in the comparison to #%&&

38



Cla!! of Cl*en

201: 2012 2011

C o n ! + # % * o n

@ G D ( 5 R

A # * l l * o n

E P o 7 e $ S + % % l )

C o n ! + # % * o n

@ G D ( 5

R A # * l l * o n

E P o 7 e $ S + % % l )

C o n ! + # % * o n

@ G D ( 5 R

A # * l l * o n

E P o 7 e $ S + % % l )

/esientia! ,&# #,<#.% $%. ,&$? ,%$#. $%.- ,$& #,<%. $#.$

4nustria! &,?; #?$.# -. &,;# -#.& <.- &,<& ?#.$ .<

Commercia! <,%- #,&%?. $. -,;- #,#-&.; $.# -,&% &,?#.- &.<

Ether ,;? $;. &<.- ,;#& ?#;.# &<.- ,$&< .$ &<.#

4CMS #,&?$.? #,#.? #,#<.;

Gnbi!!e Supp!y (.#) &%;.& &<.

Toal 20,:B1 -,2::.0 100.0 20,04 B,020.1 100.0 1B,-/ -,24.B 100.0

Migration of free clients

The number of potentia!!yfree c!ients is re!ati*e!y sma!!. o1e*er, theyo represent a significant percentage of the Company"s re*enue an *o!ume of

po1er supp!ie. 4n #%&, appro@imate!y &&.%F (#,#; BHh) of po1er supp!ie

by the Company to the capti*e mar2et 1as a!!ocate to potentia!!yfree c!ients.

Hhen a c!ient ecies to migrate from the regu!ate tariff system to become a

+ree C!ient, the Company is sti!! entit!e to recei*e TGSD for the use of its

istribution system (1hich oes not materia!!y affect the Company"s profitabi!ity),

an it may a!so return the po1er to the generation companies from 1hich thepo1er 1as purchase.

Default

istorica!!y, a significant percentage of the Company"s bi!!e energy is

not pai on the ue ate, gi*ing origin to the 5ro*isions for past ue accounts

(5CLD) account, in accorance 1ith the sector"s regu!atory accounting

practices. 4n #%&& an #%&#, 5CLD stoo at .%F an .#F, respecti*e!y, of

gross bi!!e energy. 4n #%&, 5CLD came to &.?F of gross bi!!e energy, tota!ing

39



/I&;. mi!!ion, o1n /I&#$. mi!!ion from the figure recore in #%&#, 1hen

there 1as the e@traorinary effect of the a9ustment of the estimate for recei*ing

o! ba!ances from !arge c!ients, inc!uing the go*ernmenta! segment, in the

amount of /I&&&.< mi!!ion.

The reuction in the !ast t1o years can be e@p!aine by the change in the

criterion for treating c!ients 1ith !ongterm efau!t as from March #%&#, in

aition to efau!tcombating acti*ities throughout #%&#. Light S6SA"s efau!t

rate, ho1e*er, is sti!! higher than %.?;F of net bi!!e energy recogni3e in the

tariff re*ision (o*>&). The regu!atory methoo!ogy consists in i*iing the

ca!cu!ation of irreco*erab!e re*enues in t1o insta!!ments' (i) one associate 1ith

sector"s charges, ca!cu!ate base on the concessionaires" o1n efau!t rates8

an (ii) another re!ate to the other items of the reuire re*enue, ca!cu!ate

through a methoo!ogy that groupe :ra3i!ian energy istribution companies in

c!usters, 1hich 1ere efine accoring to a socia! comp!e@ity ine@ e*e!ope

by the regu!atory agency.

Energy losses

The Company is sub9ect to t1o types of energy !oss' technica! an non

technica!. Technica! !osses occur in the norma! course of e!ectric po1er

istribution, 1hi!e nontechnica! !osses resu!t from energy theft, in aition to

frau, incorrect measurement an errors 1hen issuing bi!!s. 6nergy !osses

mean that the Company 1i!! ha*e to acuire more energy in orer to meet its

istribution nees, thereby increasing the cost of energy purchase for resa!e.

The conc!usion of the 5ub!ic earing %;#>#%%< on o*ember #;, #%%

!e A66L to moify the methoo!ogy use to ca!cu!ate the regu!atory energy

!oss rate that is passe through to consumers. The ne1 methoo!ogy aopteby the agency consiers the socia! comp!e@ity ine@, 1hich ifferentiates the

concession areas regaring certain socia! an economic characteristics.

:ase on this ne1 methoo!ogy, nontechnica! !osses, 1hich 1ere

pre*ious!y ca!cu!ate by 1ire charge, are no1 ca!cu!ate on the !o1 *o!tage

mar2et, consiering a o1n1ar tren unti! the en of the tariff cyc!e.

4



4n o*ember #%&, A66L appro*e Light"s Tariff /e*ision process,

etermining that the percentage of nontechnica! !osses to be recogni3e in the

ne1 regu!atory cyc!e 1i!! be $%.$&F on the !o1*o!tage mar2et, remaining

unchange uring the cyc!e. The amount corresponing to the ifference

bet1een this percentage an a reference figure that starts from &.<F, at the

beginning of the cyc!e, unti! it reaches %.;F in #%&, 1i!! be in*este in the

Company"s energy!osscombating program an aresse as Specia!

Eb!igations, outsie the /egu!atory /emuneration :ase. The progress of the

energy!osscombating program 1i!! be monitore by A66L as a conition for

maintaining the !e*e! of $%.$&F. 4n #%&, Light mae significant progress in

reucing energy !osses. ontechnica! energy !osses tota!e ;,< BHh in

#%&, accounting for $#.#F of bi!!e energy in the !o1*o!tage mar2et, or &;.<F

of the gri !oa, a reuction of .# p.p. in re!ation to #%&#.

4n the fisca! year ene December &, #%&#, nontechnica! energy !osses

tota!e -,%%< BHh, or &-.;F of the gri !oa, accounting for $;.$F of bi!!e

energy in the !o1*o!tage mar2et.

4n the fisca! year ene December &, #%&&, nontechnica! energy !osses

amounte to ;,#;- BHh, or &;.%F of the gri !oa, accounting for $%.$F of

bi!!e energy in the !o1*o!tage mar2et.

Financial assets from concession

+inancia! assets from concession represent the recei*ab!es at the en of

the concession from the granting authority or a party esignate by it, as an

inemnification for the construction ser*ices performe an not recei*e

through the pro*ision of ser*ices re!ate to the concession.

A66L ormati*e /eso!ution $<$ of +ebruary <, #%&# introuce ne1epreciation rates for assets in operation uner e!ectricity concession ser*ice

arrangements, effecti*e 0anuary &, #%&#, 1ith change in the economic usefu!

!ife of the assets pertaining to the e!ectricity istribution infrastructure.

Bi*en that such change !e to an a*erage increase in the usefu! !ife of

sai assets, there 1as a ecrease in amorti3ation, 1ith a conseuent increase

in the resiua! infrastructure amount that the Company e@pects to recei*e as

inemnification at the en of the concession perio. As a resu!t, there has beena reistribution of the infrastructure that is c!assifie into intangib!e assets an

41



into financia! assets, ue to the aoption of 4+/4C &#>EC5C ; 7 Concession

Arrangements.

The Company estimate the ne1 amount of the inemnification for

returnab!e assets upon the e@piration of the concession perio in 0une #%#-

an the amount attributab!e to intangib!e assets. Consiering the economic,

regu!atory aspects an the best technica! accounting unerstaning, this

remeasurement of the infrastructure resu!te, in #%&#, in rec!assifying /I&&.

mi!!ion from the intangib!e assets account to the financia! assets account,

1ithout changing other accounting proceures arising out of the aoption of

4+/4C &#>EC5C ; 7 Concession Arrangements.

The 6@ecuti*e Decree ;<?>#%&#, con*erte into La1 &#,<>#%&,

etermine that the ca!cu!ation of the financia! assets" inemnification,

corresponing to the portions of in*estments mae an not recei*e through

the pro*ision of ser*ices re!ate to the concession sha!! aopt the e1

/epositioning =a!ue (=/) criterion. Accoring to the unerstaning of the

Company"s Management, this change the concession"s contractua! conitions

re!ate to the inemnification to the Company for in*estments mae in

infrastructure re!ate to the renering of ser*ices grante, 1hich unti! #%&& 1ere

recogni3e at historica! cost. Conseuent!y, on December &, #%&, the

Company recore the amount referring to the ifference bet1een =/ an

historica! cost of /I&#$. mi!!ion in the income statement for the fisca! year,

uner other operating re*enues.

b5 9a$*a*on! *n $e9en+e +e o '(an"e! *n %$*'e!, fo$e*"n e<'(an"e

$ae!, *nfla*on, 9ol+#e an *n$o+'*on of ne7 %$o+'! an !e$9*'e!

The Company"s operating re*enue, e@c!uing construction re*enue in theamount of /I#%. in the fisca! year ene December &, #%&, 1as /I-,-%#.%

mi!!ion, up &.$F from /I-,;&.% mi!!ion on December &, #%&#, main!y ue to

the increases of &%;.;F an -.#F in re*enues from the commercia!i3ation an

ser*ices an generation segments, respecti*e!y.

The upturn in net re*enue from commercia!i3ation an ser*ices in #%&

is a resu!t of the substantia! perio increase in energy prices an sa!es *o!ume,

primari!y as a resu!t of the rea!!ocation of Light 6nergia"s capti*e mar2etcontracts terminate at the c!ose of #%&# to the free mar2et, 1hi!e the upturn in

42



re*enue from generation resu!te from the surge in the *o!ume of energy so!

on the free mar2et (ACL), 1hose contract prices are higher than on the capti*e

mar2et.

4n #%&, net re*enue from istribution, e@c!uing re*enue from

construction, amounte to /I;,?-.; mi!!ion, %.F !o1er than in #%&#, chief!y

ue to the 6@traorinary Tariff A9ustment of 0anuary #$, #%&, 1hich reuce

tariffs by &?.-F, mitigate by the #.?F upturn in tota! mar2et consumption an

the &.F increase in the a*erage energy tariff (e@c!uing the effect of the

specia! ob!igations) as of o*ember <, #%&, ratifie by the Tariff /e*ie1

process.

'5 *#%a' f$o# *nfla*on, %$*'e 9a$*a*on of #a*n *n%+! an %$o+'!,

e<'(an"e an *ne$e! $ae! on o%e$a*n" an f*nan'*al $e!+l! of (e

*!!+e$

The main ine@es use in the Company"s business p!an are the 4B5M

(Benera! Mar2et 5rice 4ne@), 45CA (6@tene Consumer 5rice 4ne@), CD4

(4nterban2 Deposit Certificate), T0L5 (LongTerm 4nterest /ate) an e@change

rate (G.S. o!!ar)'

4B5M' part of the energy istribution tariff of Light Ser*iQos e

6!etriciae S.A. is pegge to the 4B5M ine@.

45CA' most of the energy generation agreements of Light 6nergia

S.A. are pegge to the 45CA ine@, as 1e!! as &%.?F of tota! ebt of Light S.A.

CD4' a!! the Company"s financia! in*estments an appro@imate!y

<#.#F of its tota! ebt are pegge to the CD4 rate.

T0L5' at the en of #%&, &;.%F of the Company"s ebt 1as

pegge to T0L5, most of it arising from contracts financing the

Company"s pro9ects an in*estment programs signe 1ith :D6S.

+oreign e@change rates' Appro@imate!y &$.-F of the Company"s

ebt 1ith thir parties is enominate in foreign currencyO&#.-F in G.S. o!!ars

an #.%F in 6uros. o1e*er, the po!icy for the use of foreign e@change

eri*ati*e instruments, appro*e by the :oar of Directors, etermines the

protection of the foreign currencyenominate ebt ser*ice (principa! p!us

interest rates an commissions) maturing 1ithin #$ months. Conseuent!y,

43



En 0u!y #?, #%&&, 5arati acuire from :ras!ight a!! its shares,

representing a #;F sta2e in +45 Luce.

5arati current!y ho!s &%%F of +ip Luce. Hith the acuisition,

5arati, 1hich inirect!y he! &-.#F of the Company"s tota! an *oting capita!,no1 ho!s inirect!y #%.%F of the Company tota! an *oting capita!.

En Ectober , #%&&, 5arati became the ho!er of ?-.F of the

tota! capita! of /eentor, 1hich in turn ho!s inirect!y, through /M6,

#-,;<-,&;% common shares issue by the Company, representing

appro@imate!y &.%F of the tota! capita!. As a resu!t, 5arati, consiering a!so

its other inirect ho!ings, is no1 the inirect ho!ers of a #;.-$F sta2e in the

Company.

En May &, #%&#, the Company 1as notifie by 5arati of the

isso!ution of its subsiiary Luce. Luce 1as the ho!er of se*entyfi*e percent

(<;F) of +45 Luce"s shares, 1hich in turn 1as the inirect ho!er, through

L65SA, of appro@imate!y thirteen point 3ero three percent (&.%F) of the

Company"s tota! capita!. As a resu!t, 5arati, the ho!er of t1entyfi*e percent

(#;F) of +45 Luce" shares, became the irect ho!er of one hunre percent

(&%%F) of +45 Luce"s shares an the inirect ho!er of one hunre percent

(&%%F) of L65SA"s shares.

En 0u!y &#, #%&#, the Shareho!ers" Meeting appro*e the

!iuiation of +45 Luce, 1hich became effecti*e through the transfer of a!! assets

composing the +un"s portfo!io to its so!e shareho!erO5arati. As a resu!t,

5arati became the irect ho!er of one hunre percent (&%%F) of the shares of

L65SA an the sta2e in the Company"s capita! remaine unchange.

At present, no materia! impacts from the operations mentione abo*e on

the Company"s financia! statements or resu!ts 1ere obser*e.

'5 +n+!+al e9en! o$ o%e$a*on!

There 1ere no unusua! e*ents or operations.

45



10.4 E<e'+*9e off*'e$! !(all 'o##en on=

a5 S*"n*f*'an '(an"e! *n a''o+n*n" %$a'*'e!

Since 0anuary &, #%&, the Company no !onger conso!iates the

fo!!o1ing 9oint!yhe! irect an inirect subsiiaries' /eno*a 6nergia,

Buanhes 6nergia, 6:L, Lightger, A@@iom, Ama3Unia 6nergia an 65o1er.

This change 1as ue to accounting pronouncement C5C &? (/#) 7 0oint

Arrangements, 1hich estab!ishes that companies 1ith in*estments in 9oint!y

contro!!e entities are reuire to use the euity metho instea of accounting

for them uner the proportiona! conso!iation metho.

4n #%&#, the Company change its accounting po!icy regaring the

recoring of actuaria! gains or !osses re!ate to the efine benefit pension

p!ans, 1hich no1 are recogni3e immeiate!y on the shareho!ers" euity, uner

other comprehensi*e income, being immeiate!y transferre to accumu!ate

!osses an retaine earnings. 4n #%&, the Company cease oing such

transfer, thus maintaining actuaria! gains or !osses uner other

comprehensi*e income, as permitte by C5C (/&).

Aitiona!!y to these rec!assifications, the Management of subsiiary

Light S6SA ecie to present 54S an CE+4S ta@ creits on purchase

energy as a reuction factor for purchase energy costs instea of as a

reuction in 54S an CE+4S on re*enue. The purpose of this rec!assification

1as to a!ign the presentation criterion 1ith the best practices of companies in

the same sector.

b5 S*"n*f*'an effe'! f$o# '(an"e! *n (e a''o+n*n" %$a'*'e!

The changes arising from the aoption of C5C &? (/#) ha no impact on

the Company"s net income, but resu!te in a!terations to ini*iua! accounts in

the conso!iate income statement as a counterentry to the euity income

account, as 1e!! as in the reuction in conso!iate assets an !iabi!ities as a

counterentry to an increase in the in*estments account, an a!so in

rec!assifications of certain !ines of the statements of cash f!o1s an ae

*a!ue.

46



The aoption of C5C (/&) generate an increase in the retaine

earnings account in the amount of /I&<#.% mi!!ion, an a reuction in other

comprehensi*e income in the same amount, on December &, #%&#, 1ith no

changes in the shareho!ers" euity on this ate, nor on 0anuary &, #%&#.

The rec!assification of 54S an CE+4S ta@ creits generate a ecrease

in the Company"s net income in the amount of /I<<.# mi!!ion as a counter

entry to the cost of purchase energy for resa!e, 1hich 1as reuce by the

same amount, 1ith no impacts on net income on December &, #%&# an on

0anuary &, #%&#.

'5 Ine%enen a+*o$F! >+al*f*e o%*n*on

201:=

Nua!ifie opinion' none

Epinion'

4n *ie1 of the changes in accounting practices, the ba!ances referring to the

fisca! year ene December &, #%&# 1ere restate for comparison purposes.

The inepenent auitors re1 attention to the recoring, by subsiiary Light

S6SA, of funs recei*e from the 6nergy De*e!opment Account (CD6), 1hich

1ere ratifie by A66L, accounte for as reuction in the cost of purchase

energy in fisca! year #%&.

The inepenent auitors a!so re1 attention to the measurement of

in*estments in subsiiaries, associates an 9oint *entures by the euity

accounting metho in the separate financia! statements, in accorance 1ith

accounting practices aopte in :ra3i!, 1hi!e for 4+/S purposes it 1ou! be

*a!ue at cost or fair *a!ue.

2012=

Nua!ifie opinion' one

Epinion' En!y 1ith respect to the measurement of in*estments in subsiiaries,

associates an 9oint *entures by the euity accounting metho in the separate

financia! statements, in accorance 1ith accounting practices aopte in :ra3i!,

1hi!e for 4+/S purposes it 1ou! be *a!ue at cost or fair *a!ue.

47



2011=

Nua!ifie opinion' one

Epinion' En!y 1ith respect to the measurement of in*estments in subsiiaries,

associates an 9oint *entures by the euity accounting metho in the separate

financia! statements, in accorance 1ith accounting practices aopte in :ra3i!,

1hi!e for 4+/S purposes it 1ou! be *a!ue at cost or fair *a!ue.

10.. E<e'+*9e Off*'e$! #+! %o*n o+ an 'o##en on '$**'al

a''o+n*n" %ol*'*e! ao%e b) (e *!!+e$, *!'+!!*n" *n %a$*'+la$ (e

Mana"e#en’! a''o+n*n" e!*#ae! fo$ *!!+e! (a a$e +n'e$a*n an

#ae$*al o e!'$*be f*nan'*al !*+a*on an $e!+l!, an (a $e>+*$e

!+be'*9e o$ 'o#%le< e<%lana*on!, !+'( a!= %$o9*!*on!, 'on*n"en'*e!,

$e9en+e $e'o"n**on, a< '$e*!, lon"l*9e a!!e!, +!ef+l l*fe of non

'+$$en a!!e!, %en!*on %lan!, a+!#en! +e o $an!la*on of f*"+$e!

*no fo$e*"n '+$$en'), en9*$on#enal $e'o9e$) 'o!!, '$*e$*a fo$

*#%a*$#en e! an f*nan'*al *n!$+#en!

The preparation of the financia! statements reuires the Management ma2e

certain 9ugments, estimates an premises that affect the app!ication of

accounting po!icies an the reporte amounts of assets, !iabi!ities, re*enues an

e@penses.

:e!o1 is the escription of the main accounting practices aopte by the

Company"s Management, especia!!y those re!ate to estimates an 9ugments'

a. Con!+#e$!, 'on'e!!*ona*$e! an %e$#*!!*ona*$e! @'l*en!5

4nc!ue e!ectric po1er supp!ying, bi!!e an unbi!!e, charges an interest for payment in arrears an e!ectricity trae 1ith other concessionaries for

e!ectricity supp!y, accoring to the amounts a*ai!ab!e in the 6!ectric 6nergy

Trae Chamber (CC66).

5ro*isions for 5ast Due Accounts (5CLD) are recore base on the

Management"s estimates in amount sufficient to co*er probab!e !osses. The

main criteria efine by the Company for consumers are as fo!!o1s' (i) for

consumers 1ith significant o*erue amounts, an ana!ysis is conucte on theba!ance recei*ab!e ta2ing into account the Company"s reco*ery recor,

48



negotiations in progress an security interest8 (ii) for other consumers, ebts

o*erue by more than ?% ays for resientia! consumers, another &% ays for

commercia! consumers or another -% ays for other consumers, &%%F of

ba!ance is accrue. These criteria o not iffer from those efine by A66L.

b. In9e!#en!

The subsiiaries, 9oint *entures an affi!iate companies financia! information

are recogni3e in the separate financia! statements of the parent company

through the euity metho.

4n the conso!iate financia! statements, in*estments in affi!iate companies

are accounte for by the euity metho.

The Company"s in*estments inc!ue the surp!us *a!ue ientifie in the

acuisition of interest, net of any accumu!ate !osses ue to impairment.

'. *<e a!!e!

Measure at acuisition, formation or construction cost, !ess accumu!ate

epreciation.

Costs inc!ue e@penses irect!y attributab!e to the acuisition of an asset. The

costs of assets bui!t by the Company itse!f inc!ue'

• costs of materia!s an irect !abor8

• any other costs to put the asset in p!ace an conitions necessary so

that they are capab!e of operating as p!anne by the Management88

• costs of !oans o*er ua!ifying assets.

Depreciation

4tems of fi@e assets are epreciate by the straight!ine metho against the

income statement base on each component"s estimate usefu! economic !ife.

+or most of the fi@e assets, the estimate usefu! !ife is in !ine 1ith the

parameters estab!ishe by A66L, an !ans are not epreciate. +or fi@e

assets 1ith no guarantee of inemnification, the items are epreciate by the

straight!ine metho unti! the !imit of the authori3ation or concession.

49



4tems of fi@e assets are epreciate as of the ate they are insta!!e an

become a*ai!ab!e for use, or in case of assets interna!!y bui!t, as of the ate

1hen construction is comp!ete an the item is a*ai!ab!e for use.

. Inan"*ble a!!e!

i. Concession agreements an infrastructure assets !in2e to the concession

The Company recogni3es an intangib!e asset eri*ing from a concession

agreement 1hen it is entit!e to charge for the use of the concession"s

infrastructure or to e@p!ore it. An intangib!e asset recei*e as consieration for

construction ser*ices pro*ie uner a concession agreement is measure at

fair *a!ue upon initia! recognition. +o!!o1ing initia! recognition, the intangib!e

asset is measure at cost, 1hich inc!ues capita!i3e !oans, !ess accumu!ate

amorti3ation.

The estimate usefu! !ife of an intangib!e asset uner a concession agreement

is the perio counte as of 1hen the Company is ab!e of charging consumers

for the use of infrastructure unti! the en of the concession perio.

ii. Amorti3ation

Amorti3ation is recogni3e in the income statement by the straight!ine metho

base on the estimate usefu! !i*es of intangib!e assets, from the ate 1hen

they are a*ai!ab!e for use or for generation of re!ate economic benefits.

Amorti3ation methos, usefu! !i*es an resiua! *a!ues are re*ie1e at the en

of each financia! year an are a9uste as change in accounting estimates,

1hene*er appropriate.

e. I#%a*$#en

i. +inancia! assets (inc!uing recei*ab!es)

A financia! asset not measure at fair *a!ue is e*a!uate at each reporting ate

to assess if there is ob9ecti*e e*ience of !oss in its reco*erab!e *a!ue. An asset

has !oss in its reco*erab!e *a!ue if ob9ecti*e e*ience inicates that a !oss e*ent

occurre after the initia! recognition of the asset, an that such !oss e*ent has a

negati*e effect on forecast future cash f!o1s, 1hich can be reasonab!yestimate.

5



Eb9ecti*e e*ience that the financia! assets ha*e !ost *a!ue might inc!ue

efau!t or !ate payment by the ebtor, the restructuring of the amount o1e to

the Company uner conitions the Company 1ou! not usua!!y consier in other

transactions, inications that the ebtor or issuer 1i!! fi!e for ban2ruptcy, or the

isappearance of an acti*e mar2et for a security. Aitiona!!y, for an euity

instrument, a significant or steay ecrease in its fair *a!ue be!o1 its cost is

ob9ecti*e e*ience of impairment.

+inancia! assets measure at amorti3e cost

The Company consiers e*iences of impairment of assets measure at

amorti3e cost both ini*iua!!y an co!!ecti*e!y. 4ni*iua!!y significant assets

are assesse for impairment. A!! ini*iua!!y significant recei*ab!es ientifie as

not suffering ini*iua! impairment are then co!!ecti*e!y assesse regaring any

other impairment not yet ientifie. Assets that are not ini*iua!!y important are

co!!ecti*e!y assesse for impairment, by 9oint!y grouping securities 1ith simi!ar

ris2 characteristics.

Hhen co!!ecti*e!y assessing impairment, the Company uses historica! trens of

efau!t !i2e!ihoo, reco*ery term an incurre !oss amounts, a9uste to ref!ect

the Management"s 9ugment regaring the assumptions, as current economic

an creit conitions may be such that actua! !osses 1i!! be probab!y higher or

!o1er than those suggeste by historica! trens.

An impairment re!ate to a financia! asset measure at amorti3e cost is

ca!cu!ate as the ifference bet1een boo2 *a!ue an present *a!ue of estimate

future iscounte cash f!o1s at the origina! effecti*e interest rate of the asset.

Losses are recogni3e in the income statement an ref!ecte in a pro*ision for

recei*ab!es account. The interests on impaire assets continue to berecogni3e. Hhen a subseuent e*ent inicates re*ersa! of impairment, the

reuction in impairment is re*erse an recore in the income statement.

The Management has not ientifie any e*ience of financia! assets impairment

on December &, #%& an #%&# besies pro*isions for past ue accounts an

a9ustment to the present *a!ue of recei*ab!es.

ii. onfinancia! assets

51



The boo2 *a!ues of the Company"s nonfinancia! assets, other than in*entories

an eferre income ta@ an socia! contribution, are re*ie1e on each reporting

ate to chec2 for impairment. 4f impairment occurs, the asset"s reco*erab!e

*a!ue is estimate. 4n case of intangib!e assets 1ith inefinite usefu! !ife, the

reco*erab!e *a!ue is estimate each year.

The impairment is recogni3e if the boo2 *a!ue of an asset or cash generating

unit (CBG) e@cees its reco*erab!e *a!ue.

The reco*erab!e *a!ue of an asset or CBG is the highest amount bet1een the

*a!ue in use an fair *a!ue !ess se!!ing e@penses. Hhen e*a!uating the *a!ue in

use, forecast future cash f!o1s are iscounte at their present *a!ues through

iscount rate before ta@es to ref!ect mar2et"s current conitions as to reco*ery

perio of capita! an specific ris2s of asset or CBG. 4n orer to test for

impairment, assets that cannot be ini*iua!!y teste are groupe to the

sma!!est group of assets that generate continue use cash inf!o1 1hich are

most!y inepenent from cash f!o1s of other assets or groups of assets (CBG).

4mpairment !osses are recogni3e in the income statement. 4mpairment !osses

are re*erse on!y 1hen the asset"s boo2 *a!ue oes not e@cee the boo2 *a!ue

ca!cu!ate, net of epreciation or amorti3ation, in case !oss of *a!ue has not

been recogni3e.

f. enef*! o e#%lo)ee!

&. Define contribution p!ans

Define contribution p!an is a postemp!oyment benefit p!an uner 1hich an

entity pays fi@e contributions to a separate entity (pension fun), 1ith no !ega!

or constructi*e ob!igation to pay aitiona! amounts. Liabi!ities for contributions

to efine contribution pension p!ans are recore as e@penses 1ith benefits toemp!oyees in the income statement in the perios uring 1hich ser*ices are

renere by emp!oyees. Contributions pai in a*ance are recogni3e as an

asset pro*ie that there is a cash reimbursement or that a reuction in future

payments is a*ai!ab!e.

#. Define benefit p!ans

The net !iabi!ity of the Company regaring efine benefit pension p!ans isca!cu!ate ini*iua!!y for each p!an by estimating the *a!ue of the future benefit

52



earne by the emp!oyees in return of ser*ices renere in current an pre*ious

perios8 that benefit is iscounte at its present *a!ue. Any unrecogni3e past

ser*ice costs an the fair *a!ues of any p!an assets are eucte. The iscount

rate is the gains presente in the reporting ate of the financia! statements for

first !ine securities 1hich ue ates are c!ose to the conitions of the !iabi!ities of

the Company an that are enominate in the same currency in 1hich the

benefits are e@pecte to be pai.

The ca!cu!ation is mae annua!!y by a ua!ifie actuary using the forecast unit

creit metho. Hhen the ca!cu!ation resu!ts in a benefit for the Company, the

asset to be recogni3e is !imite to the tota! of any unrecogni3e past ser*ice

costs an the present *a!ue of economic benefits a*ai!ab!e as future

reimbursements of the p!an or reuction in future contributions to the p!an. To

ca!cu!ate the present *a!ue of the economic benefits, any minimum cost

emans app!icab!e to any p!an in the Company are consiere. An economic

benefit is a*ai!ab!e to the Company if it is rea!i3ab!e throughout the !ife of the

p!an, or in the sett!ement of the !iabi!ities of the p!an.

The !iabi!ity recogni3e in the ba!ance sheet is eui*a!ent to the higher amount

bet1een the ebt agree 1ith the +ounation to amorti3e actuaria! !iabi!ities an

the present *a!ue of net actuaria! !iabi!ities.

Sponsorship costs of the pension p!an an any possib!e surp!us or p!an eficits

are immeiate!y recogni3e in shareho!ers" euity uner other comprehensi*e

income, in comp!iance 1ith C=M /eso!ution no. -?;>&#.

Actuaria! gains an !osses arising from a9ustments an changes in actuaria!

assumptions of pension an retirement benefit p!ans are immeiate!y

recogni3e in shareho!ers" euity uner other comprehensi*e income, not

being transferre to retaine profits or accumu!ate !osses.

". P$o9*!*on!

A pro*ision is recogni3e 1hen the Company has a !ega! or construe !iabi!ity

that can be re!iab!y estimate as the resu!t of a past e*ent, an it is probab!e

that an economic resource is reuire to sett!e such !iabi!ity. 5ro*isions are

recore base on the best estimates of ris2 in*o!*e an e@pecte future cash

f!o1s. A pro*ision for ris2s is estab!ishe through an e*a!uation anuantification of !a1suits 1hose probabi!ity of !oss is eeme as probab!e in the

53



opinion of the Management an !ega! a*isors.

(. Re9en+e $e'o"n**on

/e*enues are measure at the fair *a!ue of the consieration recei*e or

recei*ab!e, net of ta@es an iscounts.

i. 6!ectricity sa!es re*enues

These are recogni3e 1hen there is conc!usi*e e*ience that most significant

ris2s an benefits inherent to the assets" o1nership 1ere transferre to the

buyer, 1hen is probab!e that the economic benefit associate 1ith transactions

1i!! f!o1 to the Company an re*enue can be reasonab!y measure. Trae

e!ectricity is month!y in*oice base on the e!ectricity supp!y, in accorance 1ith

the amounts isc!ose by the 6!ectric 6nergy Trae Chamber (CC66).

ii. Ser*ice /e*enues

/e*enues from ser*ices renere are recogni3e in the income statement

base on the stage of comp!etion of ser*ices on the reporting ate of the

financia! statements. The stage of comp!etion is e*a!uate by referencing

research of 1or2s performe.

*. In'o#e a< an !o'*al 'on$*b+*on

Current an eferre income ta@ an socia! contribution for the year are

ca!cu!ate base on &;F rates, p!us &%F surcharge o*er the ta@ab!e income

e@ceeing /I#$%,%%% for income ta@ an ?F o*er the ta@ab!e income for socia!contribution on net income an consier socia! contribution ta@ !oss

carryfor1ars, restricte to %F of ta@ab!e income.

6@penses 1ith income ta@ an socia! contribution inc!ue current an eferre

income ta@. Current an eferre ta@ is recogni3e in the income statement

un!ess it is re!ate to items irect!y recogni3e in the shareho!ers" euity an

other comprehensi*e income.

Current ta@ is the ta@ to be pai o*er income, or e@pecte to be recei*e in caseof payment in a*ance e@ceeing ta@ab!e income for the year, at ta@ rates

54



*ie1 of that, it must be consiere, for ta@ purposes, the accounting methos

an criteria in effect on December &, #%%<.

En o*ember &&, #%&, the 6@ecuti*e Decree -#<>& (M5 -#<) 1as enacte,

re*o2ing the /TT an setting forth other measures, among 1hich are the

fo!!o1ing' (i) changes in the DecreeLa1 &,;?><<, 1hich ea!s 1ith the income

ta@ of companies, as 1e!! as amens the !egis!ation re!ate to socia!

contribution on net income8 (ii) estab!ishes that the moification or aoption of

accounting methos an criteria, by means of aministrati*e acts issue base

on the competence attribute in the commercia! !a1, that are subseuent to the

pub!ication of this M5 -#<, sha!! not ha*e imp!ication for the etermination of

feera! ta@es unti! the ta@ !a1 regu!ates this matter8 (iii) inc!ues specific

treatment on potentia! ta@ation of profit or i*iens8 (i*) inc!ues the pro*isions

on ca!cu!ation of interest on capita!8 an (*) inc!ues consierations re!ate to

in*estments state using the euity metho.

The reuirements of M5 -#< 1i!! be effecti*e as from #%&;, but sai M5 -#<

a!!o1s ta@payers to opt for ear!y aoption of the effects for #%&$ as a conition

to e!iminate any possib!e ta@ effects re!ate to i*iens pai unti! the ate

1hen sai M5 -#< 1as pub!ishe, the ca!cu!ation of interest on euity, an to

the e*a!uation of re!e*ant interests in subsiiaries an associate companies by

the euity metho. Bi*en that M5 -#< may suffer significant changes by its

propose amenments, the Company 1i!! 1ait unti! it becomes a !a1 to ma2e a

conc!usi*e ana!ysis. e*erthe!ess, base on pre!iminary stuies, 1e o not

e@pect any significant impacts on the Company"s financia! statements.

. P$e!en 9al+e a+!#en

The Company ca!cu!ate the present *a!ue for ba!ances of consumers,concessionaires, permissionaires an c!ients 1ith payment terms o*er &%

ays. The iscount rate use by Management for iscount at present *a!ue for

these items is &#.%F, simi!ar to the Company"s funing costs an financia!

charges co!!ecte from its c!ients. 4nterest rates accumu!ate in a sa!es

transaction are etermine upon initia! recoring of transaction an are not

subseuent!y a9uste.

56



10./ E<e'+*9e off*'e$! !(all 'o##en on *ne$nal 'on$ol! ao%e o

en!+$e (e %$e%a$a*on of $el*able f*nan'*al !ae#en!=

a5 eff*'*en') le9el of (e!e 'on$ol!, *n*'a*n" e9en+al *nae>+a'*e!

an #ea!+$e! ao%e o 'o$$e' (e#

The Company comp!ies 1ith the Novo Mercado corporate go*ernance

stanars an consiers its interna! contro!s to be sufficient, gi*en its type of

acti*ity an traing *o!ume. Moreo*er, gi*en the comp!e@ity of acti*ities an

techno!ogica! inno*ations, the Management enea*ors its efforts to probe,

re*ie1 an continuous!y impro*e its processes an to imp!ement ne1 too!s for

re*ie1 an interna! contro!s.

b5 ef*'*en'*e! an $e'o##ena*on! abo+ *ne$nal 'on$ol! *n'l+e

*n (e *ne%enen a+*o$!’ $e%o$

The !atest inepenent auitor"s report on accounting proceures an interna!

contro!s i not recor any eficiencies or recommenations that cou!

significant!y affect the Company"s financia! statements.

10. If (e *!!+e$ (a! 'on+'e a %+bl*' ene$ offe$, (e e<e'+*9e

off*'e$! !(all 'o##en on=

a5 (o7 (e %$o'ee! f$o# (e offe$*n" 7e$e allo'ae

The procees from recent issues 1ere use as fo!!o1s'

-th ebenture issue of Light S6SA tota!ing /I%% mi!!ion' procees 1ere use to

(i) pay for the manatory ear!y reemption of 5romissory otes of the & st 4ssue,

in the amount of /I&%% mi!!ion8 an (ii) to increase the Company"s 1or2ing

capita!.

&st promissory note issue tota!ing /I&%% mi!!ion' procees 1ere use to

strengthen the Company"s 1or2ing capita!.

Seconary pub!ic offering tota!ing /I<<#.& mi!!ion' funs 1ere raise by the

shareho!ers 1ho carrie out the offering, therefore the Company is not entit!e

thereto.

<th ebenture issue of Light S6SA tota!ing /I-;% mi!!ion' procees 1ere use to

(i) fu!!y pay the ebt resu!ting from the - th ebenture issue of the Company in

0une #%&&8 an (ii) to fun its in*estment program.

57



th ebenture issue of Light S6SA tota!ing /I$<% mi!!ion' procees are being

use to fun the in*estment program of Light S6SA.

&st ebenture issue of Light 6nergia tota!ing /I&<% mi!!ion' procees 1ere use

to (i) fun the in*estment program of Light 6nergia, an (ii) to finance its1or2ing capita!.

&st promissory note issue of Light 6nergia tota!ing /I$%% mi!!ion' procees 1ere

use to pay for the acuisition of an interest in /eno*a 6nergia S.A.

#n ebenture issue of Light 6nergia tota!ing /I$#; mi!!ion' procees 1ere use

(i) for the ear!y reemption of the promissory notes, inc!uing charges, issue

on August &?, #%&&, part of the sing!e series of the & st issue of Light 6nergia,

an (ii) to strengthen the 1or2ing capita! of Light 6nergia.

r ebenture issue of Light 6nergia tota!ing /I% mi!!ion' procees 1ere use

to fun the in*estment program of Light 6nergia.

?th ebenture issue of Light S6SA tota!ing /I&,-%% mi!!ion' procees 1ere use

to strengthen the 1or2ing capita! an e@ten the ebt profi!e, inc!uing the ear!y

reemption of #n issue commercia! promissory notes.

b5 If (e$e 7e$e an) $ele9an e9*a*on! be7een (e %$o%o!al! fo$ (e

+!e of (e %$o'ee! *!'lo!e *n (e $e!%e'*9e offe$*n"

%$o!%e'+!e! an (e*$ effe'*9e +!e

There 1ere no e*iations from the proposa!s.

'5 *n (e e9en of e9*a*on!, +!*f) (e $ea!on!

There 1ere no e*iations from the proposa!s.

10.-. E<e'+*9e off*'e$! !(all e!'$*be $ele9an *e#! 7(*'( no 'o9e$e

b) (e *!!+e$F! f*nan'*al !ae#en!, *n*'a*n"=

a5 a!!e! an l*ab*l**e! *$e'l) o$ *n*$e'l) (el b) (e *!!+e$, off

balan'e !(ee *e#!, !+'( a!=

*. o%e$a*n" lea!e, a!!e! an l*ab*l**e!

**. %o$fol*o! of $e'e*9able! 7$*en off o 7(*'( (e en*)

#a*na*n! $*!6! an $e!%on!*b*l**e!, *n*'a*n" (e*$ $e!%e'*9e

l*ab*l**e!

58



***. fo$7a$ 'on$a'! of %$o+'! o$ !e$9*'e!

*9. 'on!$+'*on a"$ee#en! no 'on'l+e

9. a"$ee#en! on f*nan'*n" $e'e*9able!

The Company oes not ha*e any assets or !iabi!ities that are not ref!ecte in

this /eference +orm or in its financia! statements an notes.

b5 o(e$ *e#! no 'o9e$e b) (e f*nan'*al !ae#en!

There are no items not co*ere by the financia! statements.

10.B In $ela*on o ea'( one of (e *e#! no *n'l+e *n (e f*nan'*al

!ae#en! an *n*'ae *n *e# 10.-, (e e<e'+*9e off*'e$! !(all

'o##en on=

*. (o7 (e!e *e#! '(an"e o$ #a) *n (e f++$e '(an"e $e9en+e!,

e<%en!e!, o%e$a*n" *n'o#e, f*nan'*al e<%en!e! o$ o(e$ *e#! *n (e

*!!+e$’! f*nan'*al !ae#en!

As mentione in item &%. abo*e, there are no items not co*ere by the

financia! statements.

**. na+$e an %+$%o!e of (e o%e$a*on



***. na+$e an a#o+n of (e obl*"a*on! a!!+#e an (e en!+*n"

*!!+e$’! $*"(! f$o# (e $an!a'*on



10.10 E<e'+*9e off*'e$! !(all *n*'ae an 'o##en on (e #a*n ele#en!

of (e *!!+e$’! b+!*ne!! %lan, !%e'*f*'all) (e follo7*n" o%*'!=

a5 *n9e!#en!, *n'l+*n"=

*. >+an*a*9e an >+al*a*9e e!'$*%*on of *n9e!#en! *n %$o"$e!!an e!*#ae *n9e!#en!

59



The main in*estments in recent years ha*e been in maintenance an

impro*ement of the Company"s istribution net1or2, generation pro9ects an

combating nontechnica! energy !osses.

The tab!e be!o1 sho1s the Company"s in*estments in fisca! years ene

December &, #%&&, #%&# an #%&'

Pe$*o

*!'al )ea$ ene

De'e#be$ 201:

*!'al )ea$ ene

De'e#be$ 2012

*!'al )ea$ ene

De'e#be$ 2011

In9e!#en @R #*ll*on5 $;.% <?-. ?#.-

4n #%&, /I$;.% mi!!ion 1as a!!ocate to in*estment pro9ects, -.&F more than

in #%&#.

The istribution segment absorbe the !ion"s share of /I<&#.- mi!!ion

(representing $.F of the tota!), #.<F up on #%&#. Ef this tota!' (i) /I$?.

mi!!ion 1ent to the e*e!opment of istribution an e@pansion net1or2s,

inc!uing the unergroun net1or2, to 2eep pace 1ith mar2et gro1th,

strengthen the net1or2 an impro*e ua!ity, (ii) /I&?#.& mi!!ion 1ent to the

energy !oss pro9ect (net1or2 protection, e!ectronic meters an frau

regu!ari3ation, an (iii) /I&$.< mi!!ion 1ent to specific in*estments for the

Hor! Cup an E!ympic Bames.

Commercia!i3ation an energy efficiency in*estments increase from /I#-.&

mi!!ion in #%&# to /I -&.% mi!!ion in #%&.

4n #%&$, the Company p!ans to in*est appro@imate!y /I&,&<.% mi!!ion, of 1hich /I?%.; mi!!ion is earmar2e to the istribution segment, /I&#$. mi!!ion

to in*estments in other companies, an /I&&.# mi!!ion to euity interests.

**. So+$'e! of f*nan'*n" fo$ *n9e!#en!

The Company finances its in*estment pro9ects partia!!y through its o1n

cash generation an a!so through :D6S creit faci!ities (1hen e!igib!e) an>or

other capita! mar2et funing instruments.

6



***. Mae$*al *9e!#en! *n %$o"$e!! an e!*#ae *9e!#en!

one.

b5 P$o9*e (a al$ea) anno+n'e, *n*'ae (e a'>+*!**on of %lan!,

e>+*%#en, %aen! o$ o(e$ a!!e! (a !(o+l #ae$*all) affe' (e

*!!+e$F! %$o+'*on 'a%a'*)

Ene of the pi!!ars of Light"s Strategic 5!an is to increase the share of energy

generation in its resu!ts. Hith this in min, the Company has announce se*era!

pro9ects to boost insta!!e generating capacity, 1hich no1 tota!s ?$& MH.

Consiering pro9ects uner e*e!opment, the generation insta!!e capacity 1i!!

increase by -.#F in coming years, from the current ?$& MH to &,;#.% MH.

'5 Ne7 %$o+'! an !e$9*'e!, *n'l+*n"=

*. e!'$*%*on of $e!ea$'( *n %$o"$e!! al$ea) anno+n'e

The /esearch De*e!opment (/D) program is prepare in accorance 1ith

La1 ???& of 0u!y #$, #%%%, 1hich estab!ishes that e!ectricity istribution

concessionaires must in*est %.#F of their net operating re*enue in /D

pro9ects, A66L /eso!ution #<& of 0u!y &?, #%%%, an the manua! appro*e by

A66L /eso!ution ;%$ of August #%&#.

**. oal a#o+n! *n9e!e b) (e *!!+e$ on $e!ea$'( fo$ e9elo%*n"

ne7 %$o+'! an !e$9*'e!

4n #%&, e@penses 1ith the /D program amounte to /I&.$ mi!!ion, of 1hich

Light S.6.S.A. accounte for /I&&.% mi!!ion an Light 6nergia /I#.$ mi!!ion,

inc!uing pro9ect e*e!opment an management costs from the /D 5rogram.

***. %$oe'! +ne$ e9elo%#en (a (a9e al$ea) been anno+n'e

Bi*ing continuity to the research pro9ects an fo!!o1ing the same guie!ines

app!ie to these pro9ects, in #%& the Company e*e!ope one (%&) ne1 pro9ect

in L4BT S.6.S.A. an e!e*en (&&) in Light 6nergia. 4n aition, thirtyeight ()

/D pro9ects through L4BT S.6.S.A. 1ere e@ecute, of 1hich t1enty (#%)

1ere comp!ete.

L4BT S.6.S.A."s main pro9ects, proucts an ser*ices uner inustria!

e*e!opment phase inc!ue (a) specia! aapter for cutting supp!y of !o1 *o!tage

61



c!ients, (b) pro*isiona! repair for f!ui oi! cab!e c!ass &$;2=, an (c) prouction of

the pioneering !ot for the inte!!igent gri p!atform.

*9. oal a#o+n! *n9e!e b) (e *!!+e$ *n e9elo%*n" ne7 %$o+'!

an !e$9*'e!

4n #%&, the first unit of the series an pioneering !ot pro9ects of Light S.6.S.A.

absorbe appro@imate!y &%F of tota! in*estments.

4n #%&, the /D pro9ects of Light 6nergia 1ere a*ancing, gi*ing seuence to

inno*ation chain stages.

10.11 Co##en on o(e$ fa'o$! (a #ae$*all) *nfl+en'e (e o%e$a*n"

%e$fo$#an'e an ne*(e$ *en*f*e no$ 'o##ene *n o(e$! *e#! of (*!

!e'*on.

A!! re!e*ant information referring to this topic has been isc!ose in the items

abo*e.

62



II Allo'a*on of In'o#e (CVM Instruction 481 (Annex 9-1-II)

Allo'a*on of Ne In'o#e

1. Info$# (e ne *n'o#e fo$ (e f*!'al )ea$

4n #%&, net income tota!e fi*e hunre eightyse*en mi!!ion, three hunre

thirtyfour thousan, nine hunre eighteen reais an fiftyfour centa*os

(/I;<,$,?&.;$).

2. Info$# (e o9e$all a#o+n an a#o+n %e$ !(a$e of *9*en!,

*n'l+*n" %$e%a* *9*en! an *ne$e! on e>+*) (a (a9e al$ea) been

e'la$e.

The Management proposes to istribute four hunre se*entyt1o mi!!ion, three

hunre e!e*en thousan, t1o hunre eightyt1o reais an ninetysi@ centa*os

(/I$<#,&&,##.?-) of net income for fisca! year #%&. Di*iens an interest

on euity per share is /I#.&-.

The amount ec!are to comp!y 1ith the minimum manatory i*iens 1as

one hunre thirtynine mi!!ion, four hunre ninetyt1o thousan, fortythree

reais an fifteen centa*os (/I&?,$?#,%$.&;), of 1hich one hunre se*en

mi!!ion, four hunre se*entythree thousan, t1o hunre fortynine reais an

si@tyt1o centa*os (/I&%<,$<,#$?.-#) as interest on euity, prepai base on

the ba!ance sheet as of September %, #%&, an thirtyt1o mi!!ion, eighteen

thousan, se*en hunre ninetythree reais an fiftythree centa*os

(/I#,%&,<?.;) as i*iens, base on the income for fisca! year #%&. Tota!

i*iens an interest on euity per share is /I%.-$.

Tota! gross amount of i*iens propose aitiona!!y to minimum manatory

i*iens is three hunre thirtyt1o mi!!ion, eight hunre nineteen thousan,

t1o hunre thirtynine reais an eightyone centa*os (/I#.&?.#?,&),

eui*a!ent to /I&.-# per common share (Light S>A E).

:. Info$# (e %e$'ena"e of ne *n'o#e fo$ (e f*!'al )ea$ *!$*b+e

The Management proposes to istribute the eui*a!ent to %.$F of the net

income for #%&.

63



4. Info$# (e o9e$all a#o+n an a#o+n of *9*en! %e$ !(a$e *!$*b+e

ba!e on (e ne *n'o#e fo$ %$e9*o+! f*!'al )ea$!

one.

. Info$#, ne of %$e%a* *9*en! an *ne$e! on e>+*) al$ea) e'la$e=

a. T(e "$o!! a#o+n of *9*en! an *ne$e! on e>+*) !e%a$ael) fo$ ea'(

)%e an 'la!! of !(a$e

Tota! Bross amount of i*iens propose aitiona!!y to those a!reay

ec!are is three hunre si@tyfour mi!!ion, eight hunre thirtyeight thousan,

thirtythree reais an thirtyfour centa*os (/I-$,,%.$), eui*a!ent to

/I&.<? per common share (Light S>A E).

b. T(e fo$# an %e$*o fo$ (e %a)#en of *9*en! an *ne$e! on e>+*)

The form an perio for the payment of i*iens 1i!! be efine at the Annua!

Shareho!ers" Meeting.

'. An) $e!ae#en an *ne$e! a%%l*e o (e *9*en! an *ne$e! on

e>+*)

There 1i!! be no restatement or interest app!ie to the i*iens.

. T(e e'la$a*on ae of %a)#en of *9*en! an *ne$e! on e>+*)

+!e o *en*f) !(a$e(ole$! 7(o 7*ll be en*le o !+'( %a)#en!

To be efine at the Annua! Shareho!ers" Meeting.

/. If *9*en! o$ *ne$e! on e>+*) (a9e been e'la$e ba!e on

ne *n'o#e $e'o$e *n (e !e#*ann+al balan'e !(ee o$ balan'e !(ee! fo$

!(o$e$ %e$*o!

a. Info$# (e a#o+n of *9*en! an *ne$e! on e>+*) al$ea) e'la$e

The amount ec!are in a*ance 1as one hunre se*en mi!!ion, four hunre

se*entythree thousan, t1o hunre fortynine reais an si@tyt1o centa*os

(/I&%<,$<,#$?.-#) as interest on euity.

b. Info$# (e ae of (e $e!%e'*9e %a)#en!

64



The i*iens 1ere pai on December #<, #%&.

. P$o9*e a 'o#%a$a*9e able 7*( (e follo7*n" a#o+n! %e$ !(a$e

of ea'( )%e an 'la!!=

a. Ne *n'o#e fo$ (e f*!'al )ea$ an fo$ (e ($ee %$e9*o+!

f*!'al )ea$!

b. D*9*en! an *ne$e! on e>+*) *!$*b+e *n (e la! ($ee

%$e9*o+! f*!'al )ea$ !

V5roposa! to be reso!*e on the #%&$ Annua! Shareho!ers" Meeting

-. If ne *n'o#e 7a! allo'ae o le"al $e!e$9e

a. Ien*f) (e a#o+n allo'ae o le"al $e!e$9e

To this reser*e, it is a!!ocate ;F of the net income for the fisca! year, up to the

!imit of t1enty percent (#%F) of the capita! stoc2, after absorption of

accumu!ate !osses, pursuant to Artic!e &? of La1 -,$%$, i.e. t1entynine

mi!!ion, three hunre si@tysi@ thousan, se*en hunre fortyfi*e reais an

ninetythree centa*os (/I#?,--,<$;.?).

b. ea*l (e #e(o +!e o 'al'+lae (e le"al $e!e$9e

;F of net income for the year.

B. If (e 'o#%an) (a! %$efe$$e !(a$e! en*l*n" o f*<e o$ #*n*#+#

*9*en!=

a. e!'$*be (e 'al'+la*on #e(o fo$ (e f*<e o$ #*n*#+#

65



*9*en!

b. *nfo$# *f (e ne *n'o#e *n (e f*!'al )ea$ *! !+ff*'*en fo$

(e f+ll %a)#en of f*<e o$ #*n*#+# *9*en!

'. *en*f) *f an) %o$*on no %a* *! '+#+la*9e

. *en*f) (e o9e$all a#o+n of f*<e o$ #*n*#+# *9*en! o be %a* o

ea'( 'la!! of %$efe$$e !(a$e!

e. *en*f) f*<e o$ #*n*#+# *9*en! o be %a* %e$ %$efe$$e !(a$e of ea'(

'la!!

The Company oes not ha*e any preferre shares.

10. In $ela*on o #*n*#+# #anao$) *9*en!

a. e!'$*be (e 'al'+la*on #e(o !e fo$( *n (e )la7!

4n comp!iance 1ith Artic!e #%# of La1 -,$%$, as 1e!! as Artic!e #; of the :y!a1s,

each fisca! year shareho!ers 1i!! be entit!e to minimum manatory i*iens

eui*a!ent to t1entyfi*e percent (#;F) of the Company"s net income.

b. *nfo$# 7(e(e$ (e) (a9e been f+ll) %a*

The minimum manatory i*iens ha*e been fu!!y pai.

'. *nfo$# an) a#o+n 7*((el

There 1as no amount 1ithhe!.

11. If an) of (e #*n*#+# #anao$) *9*en 7a! 7*((el +e o (e

Co#%an)’! f*nan'*al !*+a*on

a. *nfo$# (e a#o+n 7*((el

b. e!'$*be *n ea*l (e 'o#%an)’! f*nan'*al !*+a*on,

*n'l+*n" (e a!%e'! $elae o l*>+**) anal)!*!, 7o$6*n" 'a%*al an

%o!**9e 'a!( flo7!

'. +!*f) (e 7*((ol*n" of *9*en!

ot app!icab!e.

12. If a %o$*on of ne *n'o#e 7a! allo'ae o (e 'on*n"en')$e!e$9e

66



a. *en*f) (e a#o+n allo'ae o (e $e!e$9e

b. *en*f) an) lo!!e! ee#e a! %$obable an (e*$ 'a+!e!

'. e<%la*n 7() (e lo!! 7a! ee#e a! %$obable

. +!*f) (e 'on!*+*on of (e $e!e$9e

ot app!icab!e.

1:. If a %o$*on of ne *n'o#e 7a! allo'ae o +nea$ne *n'o#e $e!e$9e

a. *nfo$# (e a#o+n allo'ae o +nea$ne *n'o#e $e!e$9e

b. *nfo$# (e na+$e of (e +nea$ne *n'o#e (a o$*"*nae

(e $e!e$9e

ot app!icab!e.

14. If a %o$*on of ne *n'o#e 7a! allo'ae o (e !a+o$) $e!e$9e!

a. e!'$*be (e 'la+!e! of (e b)la7! e!abl*!(*n" (e $e!e$9e

b. *en*f) (e a#o+n allo'ae o (e $e!e$9e

'. e!'$*be (o7 (e a#o+n 7a! 'al'+lae

ot app!icab!e.

1. If (e 7*((ol*n" of %$of* 7a! %$o9*e fo$ *n (e 'a%*al b+"e

a. *en*f) (e a#o+n 7*((el

The amount 1ithhe! 1as t1o hunre se*entynine mi!!ion, se*en hunre

t1e!*e thousan, t1o hunre t1entyt1o reais an fortynine centa*os

(/I#<?,<&#,###.$?).

b. %$o9*e a 'o%) of (e 'a%*al b+"e

Hith reference to the in*estments inc!ue in the capita! buget for #%&, therea!i3e amount surpasse by #&F the estimate amount, as sho1n in the

tab!e be!o1'

67



4n comp!iance 1ith paragraph # of Artic!e &?- of La1 -,$%$><-, the conso!iatecapita! buge for #%&$ of Light Broup, tota!ing /I&,&<,%;% thousan, 1as

submitte to an unanimous!y appro*e by the Shareho!ers" Meeting, in

accorance 1ith the sources of financing be!o1'

So+$'e! of *nan'*n" R (o+!an 2014

/etaine earnings in fisca! year #%& #<?,<&#E1n or thirparty funs ?,

Toal So+$'e! of *nan'*n" 1,1:,00

68



The tab!e be!o1 sho1s a summary of in*estments of the capita! buget for

#%&$'

1/. If a %o$*on of ne *n'o#e 7a! allo'ae o (e f*!'al *n'en*9e $e!e$9e

a. *nfo$# (e a#o+n allo'ae o (e $e!e$9e

b. e<%la*n (e na+$e of (e allo'a*on

ot app!icab!e.

69



III Ele'*on of #e#be$! of (e oa$ of D*$e'o$! an *!'al Co+n'*l

12./. In $ela*on o ea'( #e#be$ of (e #ana"e#en an f*!'al 'o+n'*l of

(e *!!+e$, *n*'ae (e follo7*n" *n a able=

a. na#e

b. a"e

'. %$ofe!!*on

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*. o(e$ %o!**on! o$ off*'e! (el *n (e *!!+e$

. *f ele'e b) 'on$oll*n" !(a$e(ole$ o$ no

Board of Directors:

a.na#e

b.a"e

'.%$ofe!!*on

.CP

e.%o!**on

f.ae of (eAnn+al

S(a$e(ole$!’Mee*n"

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(.e$#of

off*'e

*.o(e$ %o!**on!(el *n (e

Co#%an)

.a%%o*ne b)

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Sergio A!air :arroso

-$6conomist -%?.;;;.?%%

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%$>#$>#%&$ %$>#$>#%&$#

years

Member of theBo*ernance an

Sustainabi!ityCommittee

Wes

umberto6ustXuio

Cesar Mota-< La1yer %%#.%-<.<--?&

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%$>#$>#%&$ %$>#$>#%&$#

yearsone Wes

/au! :e!ens0ungmann

5into

-&:usinessconsu!tant

#$$.$$?.#$-Sitting

member %$>#$>#%&$ %$>#$>#%&$

#years

one Wes

Maria6ste!a

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%$>#$>#%&$ %$>#$>#%&$#

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D9a!ma:astos e

Morais<< 6ngineer %%-.-.;#-$?

Sittingmember

%$>#$>#%&$ %$>#$>#%&$#

years


Sustainabi!ityCommittee

Wes

0os Car!os A!e!uiaCosta

--6!ectrica!engineer

%&<.#%.<;%%Sitting

member %$>#$>#%&$ %$>#$>#%&$

#years

one Wes

/ute!!yMarues a

? 6conomist ?#;.<<.?-< Sittingmember

%$>#$>#%&$ %$>#$>#%&$ #years


Sustainabi!ity

Wes

7



Si!*aCommittee

Lui3 Car!osa Si!*aCantZio0unior

;; :usinessaministrator

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member %$>#$>#%&$ %$>#$>#%&$

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Da*iy!bers3ta9n

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5ro9ect anConstruction of

Substations

o

Lui3

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member %$>#$>#%&$ %$>#$>#%&$

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+inanceCommittee Wes

Csar =a3e Me!o

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%$>#$>#%&$ %$>#$>#%&$#

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committees

Wes

+ernanoenriueSchuffner

eto

;$ 6ngineer #%.%%.?-$? A!ternatemember

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%$>#$>#%&$ %$>#$>#%&$ #years

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Hi!son:orra9o Ci

< 0ourna!ist %&#.$%.??-?& A!ternatemember

%$>#$>#%&$ %$>#$>#%&$#

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0os AugustoBomesCampos

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%$>#$>#%&$ %$>#$>#%&$#

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Auit CommitteeWes

Car!os AntonioDece3aro

;& :usinessaministrator

$.$;.&$%#% A!ternatemember

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Magno osSantos+i!ho

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%$>#$>#%&$ %$>#$>#%&$#

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71



Fiscal Council:

aname

bage

c profession

d!"F or number of passport

e position

fdate of the

Annual #hareholders$ Meeting

gdate of in%estiture

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positions held in the!ompany

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member%$>#$>#%&$ %$>#$>#%&$ & year one Wes

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member %$>#$>#%&$ %$>#$>#%&$ & year one Wes

A!isson AnraeBoinho

& La1yer %&.;%&.%-#& Sittingmember

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+ranciscoLui3 Moreira

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%?#.#?$.%%-&%Sitting

member %$>#$>#%&$ %$>#$>#%&$ & year one Wes

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%$>#$>#%&$ %$>#$>#%&$ & year one Wes

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'o##*ee!, e9en *f !a* 'o##*ee! o$ !$+'+$e! a$e no !a+o$)-=

Audit Committee:

8 Information included in this item must cover audit, risk, finance and compensation committees, as well

as similar orani!ational structures, even if these committees or structures are not statutor", provided thatthese committees or structures participate in the decision#makin process of the $anaement%s &odies or

in the issuer%s manaement as consultants or controllers.

72



aname

bage

c profession

d!"F

e position tobe held

fdate for appointment

gscheduled date of in%estiture

htermof offic e

iother

positionsheld in the!ompany

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Campos

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Directors8Member of

the Auit anuman

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Wes

Finance Committee:

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bage

c profession

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htermof offic e

iother


&appointed by controlling shareholder

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;& :usiness Aministrat

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Shareho!ers"

Meeting'%$>#$>#%&$




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Wes

73



Csar =a3

e Me!o+ernanes ;-6!ectrica!6ngineer #??.;#?.%-%$

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Aministrator

&;%.?&;.&%%

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%$>#$>#%&$




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%$>#$>#%&$




%$>#$>#%&$

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%$>#$>#%&$




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/ute!!yMarues a

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&st :oar of

Directors"Meeting after the Annua!


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#years


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Wes

74



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anBo*ernance

anSustainabi!ity

Committees


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uman/esources

Committees




%$>#$>#%&$




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Human Resources Committee:

aname

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Wes

75



Marce!o5ereira e

E!i*eira

$-6conomist %%.-#.$;<;?

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the :oar of Directors>Member of the Auit,




Shareho!ers"

Meeting'%$>#$>#%&$




%$>#$>#%&$

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Directors8Member of the Auit,


Wes

Governance and Sustainability Committee:

aname

bage

c profession

d!"F




htermof office

iother



Sergio A!air :arroso

-$ 6conomist-%?.;;;.?

%%

Member of theBo*ernance

anSustainabi!ity Committee

&st :oar of



%$>#$>#%&$




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Bo*ernancean

Sustainabi!ity Committee




%$>#$>#%&$




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Wes

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Wes

76



12.- o$ ea'( #e#be$ of (e #ana"e#en, f*!'al 'o+n'*l an !a+o$)

a+* 'o##*ee, %lea!e %$o9*e=

a. $e!+#e *n'l+*n" (e follo7*n" *nfo$#a*on=

*. #a*n %$ofe!!*onal e<%e$*en'e! *n (e la! f*9e )ea$!, *n'l+*n"=

• na#e of (e 'o#%an)

• %o!**on an ob +*e!

• #a*n a'*9*) *n (e 'o#%an) *n 7(*'( (e e<%e$*en'e oo6 %la'e,

*n*'a*n" (e a!!o'*a*on! o$ o$"an*8a*on! (a 'o#%$*!e @*5 (e

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*n*$e' *ne$e! "$eae$ (an of a !a#e 'la!! o$ )%e of (e *!!+e$’!

!e'+$**e!**. a l*! of all #ana"e#en %o!**on! (el *n %+bl*'l)$ae 'o#%an*e!

oa$ of D*$e'o$!

S**n" Me#be$!

Se$"*o Ala*$ a$$o!o

Srgio A!air :arroso, from Cipot]nea, Minas Berais, has a egree in economics

from Gni*ersiae So Lucas, !ocate in So 5au!o. e stuie internationa!

economics at the :oston Gni*ersity, business aministration at the Gni*ersity of

Michigan an e@ecuti*e management at Co!ombia Gni*ersity. e 1as the first

:ra3i!ian to ho! the position of C6E of Cargi!! AgrZco!a S>A in :ra3i!. e a!so

ser*e as Chairman of the :oar of Directors of +osterti! an G!traferti!,

member of the Senior Counse! of +46S5, A:4A, 5resient of A:4E=6 an

internationa! organi3ations. After < years ser*ing in pri*ate companies, he

acte as the Minas Berais State 6conomic De*e!opment Secretary for t1o

years, as Chairman of the :oar of Directors of Companhia 6nergtica e

Minas Berais (C6M4B), Companhia e Desen*o!*imento 6conUmico o 6stao

e Minas Berais (Coemig), 4nstituto e Desen*o!*imento 4ntegrao e Minas

Berais (4D4), an as =iceChairman of the :oar of the Minas Berais

De*e!opment :an2 (:DMB). +rom 0anuary, #%&& unti! 0u!y #%&#, he structure

the Minas Berais State 6@traorinary Hor! Cup Secretary an ser*e as its

77



Secretary. Current!y, he is the Chairman of the :oar of Directors of Light S.A.,

an member of the :oar at :anco o Triangu!o, A!gar an :iofi!ica.

H+#be$o E+!>+*o C!a$ Moa

Mr. Mota 1as born on August &, &?$- an has a La1 egree from

Gni*ersiae +eera! e Minas Berais an a :usiness egree from the Co!!ege

of Aministrati*e Sciences Co!!eges of Gni*ersiae e eg\cios e

AministraQo o 6stao e Minas Berais. Throughout his e@tensi*e

professiona! career, he has he! positions in pri*ate an stateo1ne

companies, as 1e!! as in go*ernment, professiona! an community

organi3ations. e participate in the ; th Senior 6@ecuti*e De*e!opment 5rogram

of the :usiness Management Schoo! of the Gni*ersity of Hestern Entario.

Since #%%;, he ser*e as the C6E of :rasif Duty +ree Shop, an the C6E an

Chairman of Dufry South America. e is current!y the C6E an Chairman of

Dufry o :rasi!, a!so chairing its A*isory :oar. 4n aition, he is the =ice

Chairman of 6mpresas :rasif, member of the :oar of Directors of :rasif

companies, Light S.A. an Light Ser*iQos e 6!etriciae S.A., Chairman of the

Superior A*isory :oar of the /io e 0aneiro Commercia! Association AC/0,

Chairman of the :oar of the ationa! Association of :ra3i!ian Airport

Concessionaires ACA:, member of the Counci! of 6conomic an Socia!

De*e!opment Counci! 7 CD6S, 1hich is o*erseen by 5resient Di!ma /ousseff,

member of the 4nfrastructure Counci! of the ationa! 4nustria! Confeeration

CE4+/A, member of the A*isory :oar of the ationa! Ci*i! A*iation Agency

AAC, member of the :oar of 4nstituto A!ethia, member of the 5ermanent

Strategic De*e!opment +orum of /io e 0aneiro State, member of the :oar of Hor! Wouth Day 4nstitute, by in*itation of D.Erani 0oo Tempesta, E.Cist.

Archbishop of /io e 0aneiro, member of the :oar of Directors of Santa Casa

e Miseric\ria o /io e 0aneiro, Centro e 4ntegraQo 6mpresa 6sco!a an

/otary C!ub, an partner at Csar Mota A*ogaos an Consu!trae

Assessoria 6mpresaria! Lta. Mr. Mota began his career at :rascan as an

6@ecuti*e Assistant, mo*ing up to become A9unct Director of De*e!opment,

6@ecuti*e Director, =ice5resient of Corporate De*e!opment, 6@ecuti*e =ice5resient an =iceChairman of :rascan :rasi! an 5resient of :rascan

78



5articipaQRes. 4n May #%&&, he 1as name Personalidade Cidadania 2011, an

a1ar grante by the Gnite ations 4nformation Center, :ra3i!ian 5ress

Association an ol!a "iri#ida, by ;,<# community !eaers by irect, secret

e!ection. e 1on this a1ar again in #%&. 4n go*ernment, among other

functions, he 1as Sectary of 6conomic De*e!opment of /io e 0aneiro State,

5resient of 6mpresa :rasi!eira e Correios e Te!grafos, Chief of Staff of the

Secretary of 5!anning of Minas Berais State, Specia! A*isor to the State

+inance Minister, 5resient of the Strategic 5!an for /io e 0aneiro, founer an

5resient of Ag^ncia /io 7 5romoQo, Desen*o!*imento e Meio Ambiente an

Chairman of the :oar of Directors of Companhia e Desen*o!*imento

4nustria! o /io e 0aneiro. 4n professiona! an community organi3ations, he

has ser*e, among other ro!es, as 5resient of the /io e 0aneiro Commercia!

Association, Benera! Secretary an =ice5resient of the Confeeration of

Commercia! Associations of :ra3i!, Chairman of the :ra3i!Canaa Chamber of

Commerce, =ice5resient of the /io e 0aneiro 4nustria! Center, Member of

the :oar of /egents of Sebrae/0, member of the :oar of the Hor!

6conomy Center of +unaQo Betu!io =argas, an member of the De*e!opment

:oar of 5ontifica! !atholic Dniversit" of ?io de Eaneiro, Gni*ersiae

Bama +i!ho an Gni*ersiae 6stXcio e SX. 4n 0une #%&#, he participate in

the G !onference on Sustainab!e De*e!opment /ioJ#%, as a member of

the C6D6S e!egation.

Ra+l elen! J+n"#ann P*no

Mr. 0ungmann 1as born on Apri! , &?;#. e 1as Secretary of State, Secretary

of 5!anning of 5ernambuco State, &??%&??&, 6@ecuti*e Secretary, :ra3i!ian

Ministry of 5!anning, :uget an Management, :rasZ!ia D+, &??&??$,5resient, :ra3i!ian 6n*ironment an /ene1ab!e atura! /esources 4nstitute

(4:AMA), :rasZ!ia D+, &??;&??-, Minister, Specia! Ministry of /ura! 5o!icy,

:rasZ!ia D+, &??-&???, 5resient, ationa! 4nstitute of Agrarian /eform

(4C/A), :rasZ!ia D+, &??-&???, Minister, Ministry of Agrarian De*e!opment,

:rasZ!ia D+, &???#%%#, 6@ecuti*e Secretary of the 5ub!ic Company Contro!

Committee>CC6 of the 5!anning Ministry, Chairman of the :oar of Directors of

:D6S, :rasZ!ia D+, &??&??$, Member of the :oar of Directors of :anco o:rasi! S.A., :rasZ!ia D+, Chairman of the :oar of the 6@port +inance

79



Committee, CE+46_, Chairman of the ationa! De*e!opment +un :oar,

:rasZ!ia D+, &??&??$. Member, 5ub!ic Company Contro! Committee>CC6,

:rasZ!ia D+, &??&??$, Member, ationa! Monetary Counci! CM, &??&??$,

6@ecuti*e Secretary, ationa! 6n*ironmenta! Counci!, :rasZ!ia D+, &??;&??-,

Chairman of the :oar of /egents of :anco a Terra, :rasZ!ia D+, &??#%%#,

5resient, ationa! Counci! of /ura! De*e!opment, :rasZ!ia, D+, &???#%%#.

Current!y, he is a member of the :oar of irectors of Light S.A., Light Ser*iQos

e 6!etriciae S.A. an Light 6nergia S.A.

Ma$*a E!ela K+b*!'(e'6 Lo%e!

:orn on December &%, &?$#, Mrs. Lopes is an architect an ser*e as a

member of the :oar of Directors of Companhia 6nergtica e Minas Berais

from #%% to #%&# (current), as 1e!! as of Cemig DistribuiQo S.A. an Cemig

BeraQo e Transmisso S.A. from #%%$ to #%&# (current). She 1as =ice

5resient of +unaQo Casa Santa 4gne3, a member of the Cu!tura! Counci! of

the Archiocese of /io e 0aneiro, a member of the Cu!tura! Counci! of 4nstituto

Light, member of the :oar of Directors of A::/:ra3i!ian Charity

/ehabi!itation Association, =ice5resient of A:/AB/0 7 :ra3i!ian Association

of +riens an +ami!y of B!aucoma 5atients, 5resient of 4nstituto `5ensano o

:rasi!̀ an =ice5resient of +unaQo Casa Santa 4gne3 (current!y =ice

Chairman of the :oar). Toay Ms. Lopes ser*es as a member of the :oar of

Directors of Light S.A., Light Ser*iQos e 6!etriciae S.A. an Light 6nergia

S.A.

Dal#a a!o! e Mo$a*!

:orn on March &-, &?<, he has a egree in 6ngineering from 4nstituto Mi!itar e 6ngenharia, an comp!ete a grauate program in te!ecommunications an

4T at the same institution. e ser*e as the C6E of Te!ecomunicaQRes e Minas

Berais S.A. Te!emig8 Manager of Te!ecomunicaQRes :rasi!eiras S.A.

Te!ebrXs8 Eperations Efficer of Te!ecomunicaQRes e Mato Brosso Te!emat8

Eperations Efficer of Te!ecomunicaQRes o Ama3onas 7 Te!ema3on, an

Manager of Te!efUnica Municipa! S.A. Te!emusa. Current!y, he is the C6E an

=iceChairman of the :oar of Directors of Companhia 6nergtica e MinasBerais S.A. (C6M4B) since 0anuary &???8 C6E of Cemig BeraQo e

8



Transmisso S.A. an Cemig DistribuiQo S.A. since September #%%$8 =ice

Chairman of the :oar of Directors of Cemig DistribuiQo S.A. an Cemig

BeraQo e Transmisso S.A. since December #%%$8 a member of the :oar of

Directors of Light S.A. since August #%%- an of Transmissora o At!]ntico e

6nergia 6!trica S.A. 7 TA6SA from o*ember #%%? to December #%%?8

Chairman of the :oar of Directors of Transmissora A!ianQa e 6nergia 6!trica

S.A. since o*ember #%%?, an a member of the :oar of Directors of 5arati

S.A. 5articipaQRes em Ati*os e 6nergia 6!trica since o*ember #%&&. e

has been the C6E of C6M4B Ser*iQos S.A. since #%%.

Jo! Ca$lo! Alel+*a Co!a

:orn in Sa!*aor (:A) on December ?, &?$< to Maria o Amparo A!e!uia Costa

an mi!itary officer i*a!o Lins a Costa. e comp!ete seconary eucation

at Co!gio Antonio Muni3, an 1as transferre to 4nstituto orma! 4saias A!*es

(4ceia) an !ater to Co!gio Centra! (both pub!ic schoo!s). 4n &?--, he began his

stuies in 6!ectrica! 6ngineering at 6sco!a 5o!itcnica a Gni*ersiae +eera!

a :ahia (G+:a), grauating in &?-? an then beginning his masters at 6sco!a

+eera! e 6ngenharia e 4ta9ubX in Minas Berais. e is a professor of

e!ectrica! engineering at 6sco!a 5o!itcnica a G+:A. e began his career in

&?<& as an engineer for C66:, 1hich 1as !ater incorporate by Coe!ba. 4n the

same year, he became a professor in the e!ectrica! engineering epartment of

6sco!a 5o!itcnica a G+:A, ser*ing as 5o1er 6!ectric Systems chair. e

taught unti! &?;, 1hen he too2 a !ea*e of absence to ser*e as senior

management of Companhia iro 6!trica o So +rancisco (Chesf). At Coe!ba,

he 1as i*ision an epartment hea an Distribution Efficer. 4n &?;, he

assume the position of 6ngineering Efficer of Chesf, name by 5resientE!i*eira :rito. 4n &?-, he assume the presiency of Chesf, 1here he ser*e

unti! &??. e 1as a member of the :oar of SGD66 from &?< to &?? an

:: uring the same perio. e returne to the uni*ersity in &?? an in &??%,

ran for a seat in the ouse of /epresentati*e. Current!y, he is City Grbanism

an Transportation Secretary of Sa!*aor:A. e is the !icense presient of

+unaQo Liberae e Ciaania, an a*isory an research organi3ation of

the Democratas party. e a!so ser*es as a member of the :oar of C6LBpar

81



(Companhia 6nergtica e BoiXs e 5articipaQRes) an Light S.A., Light

Ser*iQos e 6!etriciae S.A. an Light 6nergia S.A.

R+ell) Ma$>+e! a S*l9a

:orn on 0anuary #%, &?<;, Mr. Si!*a ho!s a bache!or"s an master"s egree in

6conomics from Gni*ersiae +eera! e Minas Berais. Since September

#%%?, he has been a member of the +isca! Counci! of :anco a Ama3Unia S.A.

7 :ASA. e ser*e at the +inance Ministry, Secretary of 6conomic Super*ision

from August #%% through March #%&$. As A9unct Secretary, he coorinate

teams in ci*i! a*iation an airport, rai!roa, high1ay, port, e!ectricity, fue!, mining,

natura! resources an basic sanitation infrastructure to e*e!op stuies an

ebates in the feera! go*ernment 1ith sector regu!atory agencies an

Congress to impro*e regu!ation for greater efficiency an competiti*eness. e

represente the Secretary of 6conomic Monitoring an participate in

go*ernment forums on Acce!erate Bro1th 5rogram 7 5AC pro9ects. e has

ser*e as Senate Legis!ati*e Consu!tant for Mines an 6nergy since March

#%&$ in the +inance Ministry 7 Secretary of 6conomic Monitoring, being

responsib!e for stuies, ana!yses an !egis!ati*e proposa!s an e*a!uation of

pub!ic po!icy in the mines an energy sector to support senators an specific

Senate commissions.

L+*8 Ca$lo! a S*l9a Can*o J+n*o$

:orn in &?;?, Mr. CantZio ho!s a egree in :usiness Aministration from City

Co!!ege of e1 Wor2, :aruch Co!!ege. e began his career at Citiban2, 1here

he 1or2e from &?; to &?< in +oreign Trae. +rom &? to &??, he 1as

+inance Efficer at Confab, an from &?? to &??<, 6@ecuti*e Efficer of :ancoChase Manhattan S.A. an :anco orChem S.A., 1here he 1as in charge of

the internationa! i*ision. e 9oine Brupo Santaner in 0u!y of &??< as ea of

4nternationa! Di*ision. 4n mi&???, he became =ice5resient an responsib!e

for the commercia! area of the Corporate :an2 an Corporate 4n*estment

:an2ing unti! #%%?. Current!y, he is responsib!e for 6uity 4n*estments, is the

C6E of Santaner 5articipaQRes S.A. an a member of the :oar of Directors

of TA6SA 7 Transmissora A!ianQa e 6nergia 6!trica S.A., Sete :rasi!5articipaQRes S.A., 6nesa 5articipaQRes S.A., Corporaci\n Sienor S.A.,

82



:rasi!>CT Comrcio e Turismo S.A. an EDCAmbie*o Tecno!ogia e 4no*aQo

Ambienta! S.A. e a!so ser*e as a member of the :oar of Directors of the

fo!!o1ing companies' :anco Santaner (:rasi!) S.A., :anco o 6stao e So

5au!o S.A. 7 :anespa, orchem Leasing S.A. 7 Arrenamento Mercanti!,

Maeira 6nergia S.A. 7 M6SA (Santo Antonio 6nergia) an /eno*a 6nergia

S.A. 4n aition, he has ser*e as e@ecuti*e officer of the fo!!o1ing companies'

:anco Santaner S.A., :o3ano, Simonsen S.A. Distribuiora e TZtu!os e

=a!ores Mobi!iXrios, 4sban :rasi! S.A., 5rouban Ser*iQos e 4nformXtica S.A.,

Santaner Aministraora e Cons\rcios Lta., Santaner Asset Management

Distribuiora e TZtu!os e =a!ores Mobi!iXrios Lta., Santaner :anespa

Companhia e Arrenamento Mercanti!, Santaner :rasi! Arrenamento

Mercanti! S.A., Santaner S.A. Ser*iQos Tcnicos, Aministrati*os an

Corretagem e Seguros, Santaner :rasi! Seguros S.A., Santaner

Capita!i3aQo S.A. an Santaner 4n*estimentos em 5articipaQRes S.A.

Da9* )lbe$!8an

:orn on December ?, &?;$, Mr. y!bers3ta9n has a 5h.D. in 6conomic

6ngineering from 4nstitut "6conomie 6T e 5o!itiue e L"6nergie 7 4656. e

ser*e as a member of the :oar of Directors of :anco o :rasi! S.A. from

0une &?? to Apri! #%%#. e 1as the Chairman of the :oar of Directors of

=iaQo Area /io Branense 7 =A/4B from May to o*ember #%%-. +rom

0anuary &?? to Ectober #%%&, he 1as the first Benera! Director of the ationa!

5etro!eum Agency 7 A5, carrying out its imp!ementation an conucting the

first auction rouns for oi! an gas e@p!oration an prouction b!oc2s. e signe

the first concession contracts, inc!uing those for presa!t fie!s. e 1as the

Coorinator of the 6nergy Master"s 5rogram of Gni*ersiae e So 5au!o(&? through December &??$). e is current!y a professor (!icense) at the

5ontifica! Catho!ic Gni*ersity of /io e 0aneiro. e 1as the So 5au!o State

Secretary of 6nergy from 0anuary &??; to 0anuary &??. e 1as the Chairman

of the :oar of Directors of Cesp, C5+L, 6!etropau!o an Comgas (from

0anuary &??; to 0anuary &??). Since +ebruary #%%#, he has been Managing

5artner of D eg\cios com 6nergia, a company that e!aborates stuies an

pro9ects re!ate to the energy sector.

83



Ca$lo! Albe$o a C$+8

Hith a egree in 6!ectrica! 6ngineering from Gni*ersiae

Coimbra>Gni*ersiae, =eiga e A!meia, he has he! se*era! positions in Light

6nergia S.A. an Light Ser*iQos e 6!etriciae S.A. e ser*e in e!ectrica!

engineering, responsib!e for monitoring substation pro9ects an 1or2s of the

Substation an Transmission Lines 5ro9ect Management Di*ision, an 1as

Lea 6n*ironmenta! Auitor in the certification process for Light sites (SBA). e

represente Light in the Mines an 6nergy Ministry"s Hor2ing Broup on

regu!ating the !a1 estab!ishing !imits to 6!ectrica! an Magnetic +ie!s create

by po1er systems. e represente the /io e 0aneiro State Gnion of 6ngineers

an e!aborate the Light Socia! /esponsibi!ity 5rogram. e is current!y irector

of the /io e 0aneiro State Gnion of 6ngineers, a*isor to C/6A /0 an ser*es

as senior engineer of Light"s technica! i*ision.

Ale$nae Me#be$!

L+*8 e$nano Rolla

Current!y, Mr. /o!!a is the Chief Efficer for +inance, 4n*estor /e!ations an

Contro! of o!ings at C6M4B. e earne a egree in 6!ectrica! 6ngineering

from G+MB in &?<$, an comp!ete grauate stuies in 6conomic 6ngineering

an Data 5rocessing. e 9oine C6M4B in &?<;, an become in*o!*e in the

coorination an p!anning of the e!ectrica! system, coorination an e*a!uation

of pro9ects finance by the Hor! :an2, 4D:, Y+H an 6!etrobrXs, as 1e!! as

the internationa! funraising operation 1ith p!acement of 6urobons an share

b!oc2 trae. 4n &?<, he assume !eaership of the company"s in*estor re!ations

area, responsib!e for imp!ementing Le*e! 4 an Le*e! 44 AD/ programs (inc!uing!isting the company"s shares on the e1 Wor2 Stoc2 6@change), the company"s

aherence to Le*e! & of Corporate Bo*ernance on the :o*espa in #%%& an the

!isting of the company"s shares on the Mari an :arce!ona stoc2 e@changes

in #%%#. 4n #%%<, he became Chief Efficer for +inance, 4n*estor /e!ations an

Contro! of o!ings at C6M4B. 4n #%%, he 1as e!ecte the “:est C+E” in the

6!ectric an Gti!ities category by Investor $elations Ma#a%ine an a!so name

“:a!ancing Act of the Wear” by the :ra3i!ian 4nstitute of +inancia! 6@ecuti*es 74:6+. 4n #%%?, he 1as name “:est 4/ 5rofessiona!” by the Association of

84



Ana!ysts an Capita! Mar2ets 5rofessiona!s an “:est 4n*estor /e!ations

Efficer” by I$ Ma#a%ine. 4n #%%?, he 1as e!ecte Chairman of the :ra3i!ian

4n*estor /e!ations 4nstitute 7 4:/4.

C!a$ 3a8 e Melo e$nane!

:orn on o*ember ;, &?;<, he earne an M:A in +inance in #%&% an another

in :usiness Management in #%%%, both from the :ra3i!ian Capita! Mar2ets

4nstitute (4:M6C). e earne his egree in 6!ectrica! 6ngineering from

Gni*ersiae +eera! e Minas Berais 7 G+MB an specia!i3e in Distribution

Management in +rance at 6!etricite e +rance in &?-. e a!so comp!ete

specia!i3ation in Distribution Management in S1een at S1ee 5o1er (&??<)

an technica! courses an *isits in the G.S. an 6urope, in 6!ectric Systems

Techno!ogy an Systems, 4nformation Techno!ogy, 4n*estor /e!ations

(&??,&??<,&???, #%%%, #%%&, #%%-, #%%, #%%?, #%&%, an #%&#). Since #%%,

he has been :usiness De*e!opment Superintenent at C6M4B. e is a member

of the :oar of Directors of Light, a member of the +inance Committee,

Management Committee, / Committee an Auit Committee coorinator, as

1e!! as a member of the :oar of Directors at Basmig. e is a member of the

Technica! Committee an +inance Committee at A@@ion, 1hich operates in 4T

an istribution automation, an a member of the :oar of Directors of Maeira

6nergia S.A M6SA, a company responsib!e for the G6 Santo AntUnio pro9ect

(&;% MH). e is a member of the +inance Committee at M6SA an a member

of the 6nergy /is2 Management Committee at C6M4B, 1here he is a!so

responsib!e for business e*e!opment (MA) in energy an gas istribution,

coorinator of pro9ect to acuire a sta2e in B:D (BXs :rasi!iano), an

coorinator of the pro9ect to acuire a sta2e in 6D5 (6!etriciae e 5ortuga!).

e$nano Hen$*>+e S'(+ffne$ Neo

e has a egree in 6!ectrica! 6ngineering from the 5ontifica! Catho!ic Gni*ersity

of Minas Berais, 1ith a master"s in Automation an Contro! from G4CAM5. e

a!so comp!ete an M:A program in :usiness Management at 4:M6C. Mr.

Schuffner eto participate in *arious e@ecuti*e eucation programs, inc!uing

+inance for 6@ecuti*es, 4S6AD 7 +rance. Since #%&%, he has been :usinessDe*e!opment Efficer at Cemig, 1here he pre*ious!y ser*e as Beneration an

85



Transmission Efficer (#%%<7#%%) an Distribution an Commercia!i3ation

Efficer (#%%7#%&%). e is a member of the :oar of Directors of the ationa!

System Eperator (ES), a member of the :oar of Directors of Light S.A. an

Light Ser*iQos e 6!etriciae S.A., a member of the :oar of Directors of orte

6nergia S.A., a member of the :oar of Directors of /eno*a 6nergia S.A., a

member of the :oar of Directors of 5arati S.A. 5articipaQRes em Ati*os e

6nergia 6!trica, a member of the :oar of Directors of 6mpresa Ama3onense

e Transmisso e 6nergia S.A. an 6mpresa Santos Dumont e 6nergia S.A,

a member of the :oar of Directors of Cons\rcio Tapa9\s, Chief 6@ecuti*e

Efficer of 6mpresa e Ser*iQos e Comercia!i3aQo e 6nergia 6!trica S.A.

an Director of Cemig Traing S.A. +urthermore, he is a member of the

A*isory :oar of Socieae Mineira e 6ngenheiros an ser*e as a member

of the :oar of Directors of Cemig from #%%< to #%&#.

Ca$#en L'*a Cla+!!en Kane$

:orn on 0u!y ;, &?;%, she is current!y Chairman of the :oar of Directors of

:ras!ight an a member of the :oar of Directors of Light since &???. She 1as

4n*estor /e!ations Manager at Light, +unraising Manager at uc!ebrXs an

/ea! 6state Creit Ana!ysis Manager at :anco o 6stao o /io e 0aneiro

:A6/0. At the :ra3i!ian 4n*estor /e!ations 4nstitute (4:/4), she 1as a member

of the :oar of Directors, Director an 5resient of 4:/4/io. She ser*e as

A9unct 4nstitutiona! Efficer an member of the :oar of Directors of the

Association of Ana!ysts an 4n*estment 5rofessiona!s A54M6C /0. She has

a egree in Architecture from the Schoo! of Architecture an Grban 5!anning of

Gni*ersiae +eera! o /io e 0aneiro8 +inancia! 5!anning 7 5LA+A5 7

MM68 M:A Mar2eting #%%& 7 CE556AD.

*l!on o$$ao C*

:orn on August , &?$%, he has a egree in 0ourna!ism an 1or2e from #%%

to #%&% at Ergani3aQo 5anorama e ComunicaQo as a 1riter, po!itica!

co!umnist, an eitorinchief. At /Xio 5anorama, he 1or2e as a proucer

an presenter. e 1or2e at Sistema /egiona! e ComunicaQo as a 1riter an

po!itica! eitor ("i&rio $e#ional ) an as a participant on ebate programs for theTiraentes an 6ucati*a te!e*ision stations. e 1as Director of affi!iates an a

86



1riter for 'stado de Minas, oe e* "ia an + ,e*o ne1spapers. e 1or2e

for &? years at + .lo/o ne1spaper as a corresponent for ona a Mata

region. e 1as 5romotions Efficer of the 0ui3 e +ora City Tourism Department,

Secretary Benera! of the Mariano 5roc\pio Museum Association in 0ui3 e

+ora, 5resient of the 0ui3 e +ora istorica! an Beographica! 4nstitute,

5resient of the Santo TomXs e Auino Cu!tura! 4nstitute of 0ui3 e +ora an

member of the City istorica! eritage 5reser*ation Counci!.

Jo! A+"+!o Go#e! Ca#%o!

:orn on December #, &?-$, Mr. Campos has ser*e as 5ro9ect De*e!opment

Director at Anrae Butierre3 ConcessRes S.A. since #%%?. 5re*ious!y, he

ser*e as 5ro9ect +inance Efficer at Corporaci\n Nuiport S.A., the

concessionaire for the Nuito 4nternationa! Airport (#%%- to #%%). e has #%

years of e@perience in the infrastructure sector, 1or2ing in high1ays (AB

ConcessRes an CC/ from &??; to #%%&), energy (Sue3Tractebe! from #%%&

to #%%-), an airports (Nuiport 7 6uaor an Aeris 7 Costa /ica, from #%%- to

#%&). e has a egree in 5hysics, 1ith specia!i3ation in so!i state an

materia! sciences from Gni*ersiae 6staua! e Campinas (Gnicamp). 4n the

!ast fi*e years, Mr. Campos has a!so ser*e as an a!ternate member of the

:oar of Directors of C6M4B, C6M4B BeraQo e Transmisso an C6M4B

DistribuiQo, an ser*e as an a!ternate member of the +isca! Counci! of CC/.

e is current!y an a!ternate member of the :oar of Directors of Light S>A, Light

6nergia S>A an Light Ser*iQos e 6!etriciae S>A, positions for 1hich he is up

for ree!ection.

Ma$'elo Pe$e*$a e Ol*9e*$a

:orn on o*ember &<, &?-<, he earne a egree in 6conomics from +acu!ae

Canio Menes in &??%, an M:A in +inance from the :ra3i!ian Capita! Mar2ets

4nstitute (4:M6C) in &??$. e began his career as a 9unior economist at

+unaQo /ee +erro*iXria e Seguriae Socia!. +rom &??# to &??<, he

ser*e as 6conomist, Management Accounting Di*ision Chief an Manager of

the Contro! an e1 :usiness Department at Light S.A. +rom &??< to #%%$, he

1as an Efficer at S6:, assistant to the =ice5resient of Companhia 6nergticae Minas Berais (Cemig), C6E of 6!etronet, 6mpresa e 4nfo*ias an Hay

87



:rasi! Te!ecomunicaQRes, in aition to Chief +inancia! an 4n*estor /e!ations

Efficer at 6!etronet S.A an the consortium of the Aimors yroe!ectric 5o1er

5!ant. +rom #%%$ to #%%- at Brupo eoenergia, he 1as Superintenent of

5!anning an Contro! for Companhia e 6!etriciae o 6stao a :ahia

Coe!ba, S.A. +rom #%%- to current, he has 1or2e at the Brupo +45 :rasi!

6nergia as the C6E of 4ntegraQo Transmissora e 6nergia S.A, Terme!trica

=iana S.A. an 5C /io o :raQo S.A. e 1as a sitting member of the :oar of

Directors of the fo!!o1ing companies' Cemig, 6!etronet, Hay :rasi!, Cons\rcio

Aimors, A6S Communications /io e 0aneiro S.A., 4ntesa, Te*isa an 5C

/io o :raQo S.A., an Chairman of the +isca! Counci! of A6S 6!etropau!o S.A.

Ca$lo! Anon*o De'e8a$o

e has a egree in :usiness Aministration from Gni*ersiae a /egio e

0oin*i!!e (Gni*i!!e), 1ith specia!i3ation uner the Senior 6@ecuti*e De*e!opment

5rogram of Gni*ersiae +eera! o /io e 0aneiro, Management Brauate

an /esearch 4nstitute, M:A 7 4nternationa! :usiness, an lato sensu grauate

stuies at +unaQo 4nstituto e 5esuisas 6conUmicas 7 +456. e comp!ete

a Corporate Bo*ernance program at +ipecafi +unaQo 4nstituto e 5esuisas

ContXbeis, Atuariais e +inanceiras, an institutiona! support boy of the

Accounting an Actuaria! Sciences of the 6conomics, Management an

Accounting Co!!ege of Gni*ersiae e So 5au!o. e is certifie uner the

+B= C6E program by the Brauate Schoo! of 6conomics an :ra3i!ian Schoo!

of 5ub!ic Aministration at +unaQo Betu!io =argas8 M:A 7 A*ance

:usiness Management from 4nstituto e 6nsino e 5esuisa em AministraQo

465AD an Gni*ersiae +eera! o Mato Brosso 7 G+MTM. e 9oine :anco

o :rasi! S.A. in December &?&, 1here he ser*e as, among other functions,Ser*ice Manager, :ranch Manager, /egiona! Superintenent in Santa Maria

/S, CriciumaSC, 0oin*i!!eSC, +!orian\po!isSC an So 5au!oS5. 4n the past

fi*e years, he ser*e as' /egiona! Superintenent in So 5au!oS5, responsib!e

for coorinating sa!es, ser*ice an management processes at retai! branches in

the region8 Superintenent of 5iauZ State, responsib!e for coorinating sa!es,

ser*ice an management processes at retai! branches in the state, as 1e!! as

institutiona! representation 1ith a!! parties in the region, inc!uing go*ernment,!egis!ators an the courts, associations, organi3ations, etc.8 6@ecuti*e Director

88



of /etai!, responsib!e for istribution of in*estment funs an management of

fun raising proucts (eman eposits, time eposits an sa*ings) an

chec2ing accounts an :an2 fees at the nationa! !e*e!8 6@ecuti*e Director of

Distribution in So 5au!o, responsib!e for managing the aministrati*e i*ision

of retai! branches in So 5au!o State, inc!uing ser*ice, comp!iance, interna!

contro!, efau!t, operating !osses, interna! an e@terna! communication, an

information. A!ternate member of the :oar of Directors of Light S.A., Light

S.6.S.A an Light 6nergia S.A.

Al#*$ Jo! o! Sano!

:orn on 0une #?, &?$, he has ser*e as C+E of Centrais 6!tricas o orte o

:rasi! S.A. 6!etronorte, C6E of Companhia Au@i!iar e 6mpresas 6!tricas

:rasi!eiras (Caeeb), A*isor to the C6E of 6!etrobrXs, senior consu!tant of

pri*ati3e companies, C+E of ati*a 6ngenharia, Chief Aministrati*e an

+inancia! Efficer of +unaQo 6!etronuc!ear e Assist^ncia Mica, an a

member of the +isca! Counci! of Light S.A. an 6@ce!sa. e has a egree in

6conomics from +acu!ae e 6conomia e +inanQas o /io e 0aneiro.

Ma"no o! Sano! *l(o

:orn on o*ember -, &?-, he starte his career at Centro e Apreni3es e

EfZcios (Hor2 Apprentice Center) at the inustria! par2 in Triagem in &?<. e

ser*e as Eperator of Substations at Light Ser*iQos e 6!etriciae S.A. unti!

&??$, 1hen he 1as e!ecte Grban Hor2ers" Gnion Director. 4n #%%#, he became

5resient of the /io e 0aneiro an /egion 6nergy Company Hor2ers" Gnion

Sintergia for t1o terms. 4n 0une #%%?, he became SecretaryBenera! of the

Grban Hor2ers" +eeration, continuing as Training Efficer for Sintergia.

*!'al Co+n'*l

S**n" Me#be$!

A$*!ele! L+*8 Mene8e! 3a!'on'ello! D$+##on

Mr. Drummon 1as born on o*ember ##, &?$$, comp!ete seconaryeucation, an has professiona! e@perience in the areas of 9ourna!ism, pub!ic

89



re!ations an business management. e is certifie to act as a fisca! counci!

an boar of irectors" member by the :ra3i!ian Corporate Bo*ernance 4nstitute

(4:BC). e 1or2e in the pri*ate sector as A*isor to the :oar of 6@ecuti*e

Efficers of :anco aciona! (&?-&?<%) an in &?< he became the Managing

Efficer of 4ra 7 Assessoria e Consu!toria Lta. 4n the Buanabara State

Bo*ernment (egro e Lima aministration) he he! the positions of 5resient

an Efficer of Companhia e abitaQo 5opu!ar o 6stao a Buanabara

(CEA:B:), a*isor to the Buanabara State Bo*ernment Secretary an ea

of Di*ision at the 5ub!ic Hor2s State Secretary. 4n the +eera! Bo*ernment

scope, Mr. Drummon ser*e as A*isor an ea of the Mines an 6nergy

Ministers Effice (&?%&?$). e ser*e as Chief Aministrati*e Efficer of Light

S.A. in &?; an from o*ember &?< to 0une &??-, member of the :oar of

Directors of /io e 0aneiro Sub1ay System (&?;), Centrais 6!tricas o orte

S.A. (&??-#%%#), Manaus 6nergia S.A. an :oa =ista 6nergia S.A. (&??<

#%%#). e 1as a member an Chairman of the +isca! Counci! of =AL6 (&?-

&?? an a member of the +isca! Counci! of 5etroferti! S.A. e a!so ser*e as

9uge of the Labor Court of /io e 0aneiro (T/T/0) from &??$ to &??<.

Current!y, he has been a member an the Chairman of the +isca! Counci! of

Companhia 6nergtica e Minas Berais (Cemig) since &???, a member of the

:oar of Directors of C6MAT, an a member an the Chairman of the +isca!

Counci! of Light S.A.

$an'*!'o L+*8 Mo$e*$a Penna

:orn on September , &?$, Mr. 5enna has a egree in :usiness

Aministration from the Co!!ege of Aministrati*e Sciences of GA. e began

his career at Lier 6ngenharia Lta., 1or2ing in ci*i! construction. e ser*e asa member of the :oar of Directors of 5roabe! for three years, the Secretary of

State for 5ub!ic Hor2s (May &?- to March &?<), Chief Aministrati*e an

+inancia! Efficer an a member of the :oar of Directors of BASM4B 7

Companhia e BXs e Minas Berais (o*ember &??& to 0anuary &???), ea

of +inance an Mar2et /e!ations at C6M4B 7 Companhia 6nergtica e Minas

Berais, De*e!opment Ana!yst of :anco e Desen*o!*imento e Minas Berais

:DMB (+ebruary &??? to March #%%$), an he pro*ie ser*ices to the Statean City Bo*ernments (0u!y &??; to 0anuary &???). e has been a member of

9



the +isca! Counci! of C6M4B Te!ecom 7 Cemig Te!ecomunicaQRes S.A. since

0u!y #%&%, of /eentor 6nergia S.A. since September #%&&, an of BASM4B 7

Companhia e BXs e Minas Berais since Apri! #%&&. e is a!so a member of

the +isca! Counci! of Light S.A.

Ro"$*o e$nano Lo

:orn on 0anuary , &?-;, Mr. Lot has a bache!or"s egree in :usiness

Aministration, an an M:A in Benera! Training for Senior 6@ecuti*es from

G+/0>G4::. e 9oine :anco o :rasi! in December &?, 1here he has he!

se*era! management positions. Since +ebruary #%&#, he is ea of 5ri*ate

:an2 Di*ision, being a member of the :oar of 6@ecuti*e Efficers an

responsib!e for the 5ri*ate :an2 businesses. +rom September #%%? to +ebruary

#%&#, he 1as the Benera! Manager of the Miami branch of :anco o :rasi!, an

responsib!e for imp!ementing the 5ri*ate :an2 operations in the GSA, reaching

&#,%%% c!ients an increasing AGM from GSI-;% mi!!ion to GSI#.% bi!!ion. e

a!so imp!emente the arm of :: Securities LLC in Miami to ser*e the 5ri*ate

:an2 mar2et. +rom +ebruary #%%< to September #%%?, he ser*e as the Chief

/epresentati*e of the Hashington DC branch of :anco o :rasi!, 1or2ing 1ith

internationa! mu!ti!atera! organisms such as Hor! :an2, 4nternationa! Monetary

+un, 4nterAmerican De*e!opment :an2, among others. +rom 0une #%%$ to

+ebruary #%%<, he acte as interim irector an e@ecuti*e manager of the

+oreign Trae Di*ision of :anco o :rasi! in :rasZ!ia D+, being a member of the

:oar of 6@ecuti*e Efficer of :anco o :rasi! an responsib!e for +oreign Trae

business. 4n #%%-, he ser*e as a member of the :oar of Directors of T6YA

Tece!agem Yuenrich, base in :!umenau SC, representing 5/6=4 :anco o

:rasi! 6mp!oyee 5ension +un. Current!y, he ser*es as a member of the +isca!Counci! of Light S.A.

Al*!!on An$ae Go*n(o

Mr. Boinho earne a La1 egree from +acu!ae e Direito Mi!ton Campos

(o*a Lima, MB) in December of #%%< an comp!ete grauate stuies in

5ub!ic Aministration 5/EA5 =4 at +unaQo 0oo 5inheiro. Current!y, he is a

partner at Agui!ar, Martins Boinho A*ogaos Associaos, 1here he has

91



ser*e since 0anuary #%&&. +rom +ebruary #%%< through 0anuary #%&&, he

acte as Lega! A*isor to the Minas Berais State ouse of /epresentati*es.

Ale$nae #e#be$!

A$* a$'elo! a S*l9a

:orn on March , &?$#, Mr. Si!*a has egrees in :usiness Aministration

(C/A>/0 o #%#<&%<<) an Accounting Sciences (C/C>/0 o &&-#<-). e

ser*e as 6@terna! Auitor at Arthur Anersen Co., 4nterna! Auitor at

6mpreenimentos e 6stuos 6conUmicos S.A., Benera! Accountant at

Companhia Buanabara e Crito, +inanciamento e 4n*estimento, Assistant to

the Chief +inancia! Efficer of Companhia iro 6!trica o So +rancisco

(C6S+), 5resient of +unaQo 6!etrobrXs e Seguriae Socia! (6L6T/ES),

ea of Accounting at 6L6T/E:/S, Ta@ Efficer at +unaQo e Seguriae

Socia! (B6AS5), Chief +inancia! Efficer at Centrais 6!tricas o Maranho S.A.

(C6MA/), ea Auitor an ea of the C6E"s Effice at 6!etrobrXs

Termonuc!ear (6!etronuc!ear), an 6@ecuti*e Efficer at 4n*estimentos

Canaenses em 6nergia Lta. (4CA6) an Companhia Canaense e

4n*estimentos em 6nergia (:rascan Broup). Mr. Si!*a 1as a member of the

+isca! Counci! an :oar of Directors of the fo!!o1ing companies' Centrais

6!tricas S.A. (6L6T/ESGL), Companhia iro 6!trica o So +rancisco

(C6S+), Companhia Au@i!iar e 6mpresas 6!tricas :rasi!eiras (CA66:),

+G/AS, C6MA/ an +unaQo 6!etrobrXs e Seguriae Socia!. Current!y,

he ser*es as a member of the :oar of Directors of Light S.A. an Companhia

6nergtica e Minas Berais (C6M4B).

Ronal Ga!o An$ae Re*!

:orn on o*ember &<, &?$, Mr. /eis ho!s a bache!or"s egree in business

aministration from the 5ontifica! Catho!ic Gni*ersity of Minas Berais, an

comp!ete a specia!i3ation program in 6conomic+inancia! 5!anning in Toronto,

Canaa. e 9oine Companhia 6nergtica e Minas Berais (C6M4B) in &?-<,

1here he ser*e unti! o*ember &??<8 ea of +inancia! Contro! an 5!anning

unti! o*ember &??<, responsib!e for the buget, cost an funing areas8responsib!e for structuring the +inancia! Management of the ationa! 6!ectric

92



System Eperator (ES), upon its creation8 +inancia! 6@ecuti*e Manager of

ES unti! #%%8 A*isor to the 5resient of ES in the imp!ementation of the

5ro9ect Effice of the Eperation. Current!y, he ser*es as a consu!tant to ES in

the 5ro9ect Management an +inance areas. e is a!so an a!ternate member of

the +isca! Counci! of Light S.A.

Al*o#a$ a$'elo! a S*l9a

Hith a egree in 6conomics an specia!i3ation in +inance, he has been acti*e

in the financia!, capita!, monetary, foreign e@change an insurance mar2ets. Mr.

Si!*a has broa e@perience in corporate financia! p!anning, negotiation 1ith

commercia! ban2s, cash f!o1 management an treasury operations. e is a

professor of unergrauate an grauate c!asses in corporate finance,

economics an business aministration. e has pro*ie consu!ting ser*ices in

the area of finance to financia! companies an higher eucation institutions,

in*o!*ing cost management, cash f!o1 imp!ementation an management,

interna! contro!s, bugeting, etc. e has ser*e as a member of +isca! Counci!s

of companies that be!ong to the Cemig Broup since #%%%. e is a!so an

a!ternate member of the +isca! Counci! of Light S.A. an has e*e!ope

acaemic acti*ities in teaching an research since &?<<.

$an'*!'o 3*'ene Sanana S*l9a Telle!

:orn on May &%, &?-?, Mr. Te!!es earne a egree from G+/0 in &??$, an an

M:A in +inance from 4:M6C/0 in &???. e has #$ years of e@perience in

contro!!ership, treasury, auit an ne1 business at companies in the fo!!o1ing

inustries' energy, te!ecommunications, entertainment an in*estment ban2ing.

4n the past ten years, he has ser*e as Superintenent at A6S6!etropau!o,Contro!!er at Lafarge, C+E at 6nemo!g!obo an has been Contro!!er at S56s

Te*isa an LBSA since #%%. e is a!so a member of the +isca! Counci! of

C6M4B, 6!etronet, 4ntesa, /eentor, Sete :rasi! an Light.

b. e!'$*%*on of an) of (e follo7*n" e9en! (a (a9e o''+$$e *n (e %a!

f*9e )ea$!=

*. '$*#*nal 'on9*'*on

93



**. 'on9*'*on *n a C3M a#*n*!$a*9e %$o'e+$e an (e %enal*e!

*#%o!e

***. f*nal an +na%%ealable 'on9*'*on *n +*'*al o$ a#*n*!$a*9e !%(e$e

7(*'( (a! e*(e$ !+!%ene o$ %$o(*b*e (e %$a'*'e of an) %$ofe!!*onal

o$ 'o##e$'*al a'*9*)

Me#be$! of (e oa$ of D*$e'o$!

A!! professiona!s mentione in item &#.- abo*e ini*iua!!y ec!are, for

a!! !ega! purposes, that in the !ast fi*e years they ha*e not been sub9ect to the

effects of any crimina! con*iction, con*iction in an aministrati*e proceure of

C=M, an unappea!ab!e con*iction in the 9uicia! or aministrati*e sphere

suspening or in*a!iating the e@ercise of professiona! or commercia! acti*ity.

Me#be$! of (e *!'al Co+n'*l

A!! professiona!s mentione in item &#.- abo*e ini*iua!!y ec!are, for

a!! !ega! purposes, that in the !ast fi*e years they ha*e not been sub9ect to the

effects of any crimina! con*iction, con*iction in an aministrati*e proceure of

C=M, an unappea!ab!e con*iction in the 9uicia! or aministrati*e sphere

suspening or in*a!iating the e@ercise of professiona! or commercia! acti*ity.

12.B Info$# (e e<*!en'e of #a$*al o$ !able $ela*on!(*%, o$ 6*n!(*%

+% o !e'on e"$ee be7een=

a. *!!+e$’! #e#be$! of (e Mana"e#en

one.

b. @*5 #e#be$! of (e Mana"e#en of (e *!!+e$ an @**5 #e#be$! of (e

Mana"e#en of *$e' o$ *n*$e' !+b!**a$*e! of (e *!!+e$

one.

'. @*5 #e#be$! of (e Mana"e#en of (e *!!+e$ o$ *! *$e' o$ *n*$e'

!+b!**a$*e! an @**5 (e *!!+e$’! *$e' o$ *n*$e' 'on$oll*n" !(a$e(ole$!

one.

94



. @*5 #e#be$! of (e Mana"e#en of (e *!!+e$ an @**5 #e#be$! of (e

Mana"e#en of *$e' o$ *n*$e' %a$en 'o#%an*e! of (e *!!+e$

one

12.10 Info$# (e (*e$a$'(*'al !$+'+$e!, !e$9*'e! $ene$e o$

'on$ol $ela*on!(*% *n (e %a! ($ee f*!'al )ea$! be7een (e

#e#be$! of (e Mana"e#en of (e *!!+e$ an=

a. *$e' o$ *n*$e' !+b!**a$) of (e *!!+e$

Sergio A!air :arroso, umberto 6ustXuio Csar Mota, /au! :e!ens

0ungmann 5into, Maria 6ste!a Yubitschec2 Lopes, Da*i y!bers3ta9n, D9a!ma

:astos e Morais, 0os Car!os A!e!uia Costa, /ute!!y Marues a Si!*a, LuZs

Car!os a Si!*a Cantiio 0[nior, Car!os A!berto a Cru3, Lui3 +ernano /o!!a,

Csar =a3 e Me!o +ernanes, +ernano enriue Schuffner eto, Carmen

L[cia C!aussen Yanter, Hi!son :orra9o Ci, 0os Augusto Bomes Campos,

Marce!o 5ereira e E!i*eira, Magno os Santos +i!ho, A!mir 0os os Santos,

an Car!os Antonio Dece3aro, nominate to the Company"s :oar of Directors,

are members of the :oar of Directors of Light 7 Ser*iQos e 6!etriciae S.A.,

a subsiiary of the Company.

Magno os Santos +i!ho ser*e as Substation Eperator of Light Ser*iQos

e 6!etriciae S.A. unti! &??$, 1hen he !eft to e@ercise union acti*ities.

+rancisco Lui3 Moreira 5enna, Arist\te!es Drummon, A!isson Anrae

Boinho, /ogrio +ernano Lot, A!iomar Si!*a Lima, Ari :arce!os a Si!*a,

/ona! Basto Anrae /eis, an +rancisco =icente Santana Si!*a Te!!es are

members of the +isca! Counci! of Light S.A.

b. *$e' o$ *n*$e' 'on$oll*n" !(a$e(ole$ of (e *!!+e$

The persons be!o1 ha*e a suborinate re!ation to the Company"s irect or

inirect contro!!er, as escribe'

D9a!ma :astos e Morais is the C6E an member of the :oar of Directors of

Companhia 6nergtica e Minas Berais (C6M4B), 1hich is part of the

contro!!ing b!oc2 of Light S.A.

Lui3 +ernano /o!!a is an officer at Companhia 6nergtica e Minas Berais

(C6M4B), 1hich is part of the contro!!ing b!oc2 of Light S.A.

95



Csar =a3 e Me!o +ernanes is :usiness De*e!opment Superintenent of



+ernano Schffner is an officer an member of the :oar of Directors of



Ari :arce!os a Si!*a is a member of the +isca! Counci! of Companhia

6nergtica e Minas Berais (C6M4B), 1hich is part of the contro!!ing b!oc2 of

Light S.A.

Arist\te!es Lui3 Mene3es =asconce!!os Drummon is a member of the +isca!

Counci! of Companhia 6nergtica e Minas Berais (C6M4B), 1hich is part of

the contro!!ing b!oc2 of Light S.A.

/ona! Basto Anrae /eis 1as a member of the +isca! Counci! of



+rancisco Lui3 Moreira 5enna 1as an officer of C6M4B, 1hich is part of the

contro!!ing b!oc2 of Light S.A., an is a member of the +isca! Counci! of

/eentor 6nergia S.A., parent company of Light S.A.

A!iomar Si!*a Lima is a member of the +isca! Counci! of Companhia 6nergtica

e Minas Berais (C6M4B), 1hich is part of the contro!!ing b!oc2 of Light S.A.,

an a member of the +isca! Counci! of /eentor 6nergia S.A., inirect contro!!er

of the Company.

0os Augusto Bomes Campos is an a!ternate member of the :oar of Directors

of C6M4B, 1hich is part of the contro!!ing b!oc2 of Light S.A.

/ute!!y Marues a Si!*a is a member of the :oar of Directors of 5A/AT4 S.A.

5articipaQRes em Ati*os e 6nergia 6!trica, as 1e!! as of /eentor 6nergiaS.A., 1hich are irect contro!!ers of Light S.A.

'. *f $ele9an, !+%%l*e$, 'l*en, ebo$ o$ '$e*o$ of (e *!!+e$, *!

!+b!**a$) o$ %a$en 'o#%an), o$ !+b!**a$*e! of an) of (e!e %e$!on!

one.

96



I3 & Co#%en!a*on fo$ (e Mana"e#en an *!'al Co+n'*l (C=M

4nstruction $&, Artic!e &#)

Co#%en!a*on fo$ (e Mana"e#en an *!'al Co+n'*l

+or fisca! year #%&$, the Company submitte to the :oar of Directors"

Meeting of March &%, #%&$ the proposa! for o*era!! annua! compensation for the

management of the Company, Light S.6.S.A. an Light 6nergia S.A. tota!ing

t1entyt1o mi!!ion, si@ hunre fiftyone thousan, si@ hunre ninetyfour reais

(/I##,-;&,-?$.%%), an for ini*iua! month!y compensation for the members of

the +isca! Counci!, 1hen ser*ing as a sitting member, in the amount of se*en

thousan, fi*e hunre an thirtyeight reais (/I<,;.%%), an 1hen ser*ing as

an a!ternate member, in the amount of three thousan, se*en hunre an

si@tynine reais (/I,<-?.%%).

1:.1 De!'$*be (e %ol*') o$ %$a'*'e of 'o#%en!a*on of (e boa$ of

*$e'o$!, !a+o$) an non!a+o$) boa$ of e<e'+*9e off*'e$!,

f*!'al 'o+n'*l, !a+o$) 'o##*ee!, an a+*, $*!6, f*nan'*al an

'o#%en!a*on 'o##*ee!, a$e!!*n" (e follo7*n" a!%e'!B

a. obe'*9e! of (e 'o#%en!a*on %ol*') o$ %$a'*'e

:ase on mar2et research, the Company"s compensation po!icy

comp!ies 1ith best corporate go*ernance practices an aims to attract an

retain ua!ifie an competent professiona!s.

The Company"s strategy is to maintain a sustainab!e, transparent po!icy

targeting a resu!toriente cu!ture. 4n this conte@t, the *ariab!e compensation

p!ays an important ro!e, since shareho!ers share success an *a!ue generation

1ith the e@ecuti*e officers, creating a !ongterm *ision an sustainabi!ity, in

aition to a!igning a!! their interests.

The uman /esources Committee, 1ithin the Company"s organi3ationa!

structure, is responsib!e for aressing matters re!ate to the compensation of

the statutory management. This committee is permanent an aims to re*ie1

' (he information on the compensation polic" should encompass audit, risk, financial and compensation

committees, as well as similar orani!ational structures, even if such committees or structures are non#statutor", as lon as such committees or structures participate in the decision#makin process of the

manaement &odies of the issuer as consultants or inspectors.

97



an propose to the :oar of Directors po!icies an guie!ines of compensation

of the Companys statutory e@ecuti*e officers, as 1e!! as of the members of the

:oar of Directors an +isca! Counci!, base on performance targets

estab!ishe by the :oar of Directors.

The :oar of Directors e@amines the uman /esources Committee"s

recommenations an appro*es the fi@e an *ariab!e compensation amounts,

respecting the !imits estab!ishe at the Annua! Shareho!ers" Meeting.

b. b$ea6o7n of (e 'o#%en!a*on, *n*'a*n"=

*. e!'$*%*on of (e 'o#%en!a*on 'o#%onen! an (e obe'*9e! of

ea'( one of (e#=

The Company aopts a moe! compose of fi@e month!y compensation an

*ariab!e compensation, base on the resu!t of ini*iua! an corporate

performance inicators, in aition to benefits.

1 & oa$ of D*$e'o$!

The members of the :oar of Directors are entit!e to fi@e compensation on!y.

A!! members recei*e the same compensation base on the position they ho!O

sitting or a!ternate member.

2 & oa$ of E<e'+*9e Off*'e$!

The members of the :oar of 6@ecuti*e Efficers are entit!e to fi@e an

*ariab!e compensation.

The amounts pai as fi@e compensation are base on the mar2et"s a*erage,

inc!uing a more substantia! portion in the *ariab!e compensation, base on

ini*iua! performance, as 1e!! as the Company"s g!oba! inicators, 1hicha!!o1s the ris2s an resu!ts to be share, a!igning the interests of the Company

1ith those of the e@ecuti*e officers.

4t is 1orth noting that the Company has a uman /esources Committee that

e@amines the compensation strategy to be aopte, as 1e!! as its beneficiaries,

sub9ect to the :oar of Directors for appro*a!.

98



: & *!'al Co+n'*l

The compensation of the +isca! Counci! is estab!ishe by Shareho!ers"

Meeting in 1hich the members are e!ecte an may not be inferior to &%F of

the a*erage compensation for e@ecuti*e officers, e@c!uing benefits an agency

fees. The members of the +isca! Counci! are entit!e to fi@e compensation on!y,

besies !ega! reimbursements for transportation an !oging e@penses eeme

as necessary for the performance of their uties.

4 & Co##*ee!

A!! members of the Committees are aministrators an o not recei*e aitiona!

compensation for participating in the committees.

**. !(a$e of ea'( 'o#%en!a*on 'o#%onen *n (e oal 'o#%en!a*on

4n the case of the :oar of Directors an +isca! Counci!, the fi@e compensation

represents &%%F of their tota! compensation.

4n the case of the :oar of 6@ecuti*e Efficers, in #%& the fi@e portion

represente -F of the tota! compensation, 1hi!e the *ariab!e portion

represente #F, an “other” $F. These figures *ary in accorance 1ith the

Company"s resu!ts an targets achie*e in each year.

***. 'al'+la*on an a+!#en #e(o of ea'( 'o#%en!a*on 'o#%onen

The fi@e an *ariab!e compensations for the :oar of 6@ecuti*e Efficers fo!!o1

the mar2et"s e*e!opment, 1hich is assesse through sur*eys conucte by

specia!i3e consu!ting firms that e*a!uate competiti*eness an nee for

a9ustments. The fi@e compensation is estab!ishe consiering peer

companies, in aition to the responsibi!ities of each emp!oyee, as 1e!! as thecomp!e@ity an 2no1!ege !e*e! reuire for their position. The *ariab!e

compensation epens on the achie*ement of targets for financia! an

operating resu!ts that are common for a!! members of the :oar of 6@ecuti*e

Efficers.

The compensation of the :oar of Directors an +isca! Counci! is a9uste to

inf!ation on an annua! basis.

*9. $ea!on! +!*f)*n" (e 'o#%en!a*on’! 'o#%o!**on

99



The Company has a compensation po!icy that concentrates a substantia!

portion in the *ariab!e compensation, in !ine 1ith its strategy of sharing success

an *a!ue generation 1ith the e@ecuti*e officers, in aition to fostering a !ong

term *ision an sustainabi!ity.

'. #a*n %e$fo$#an'e *n*'ao$! (a a$e a6en *no

'on!*e$a*on 7(en ee$#*n*n" ea'( 'o#%en!a*on 'o#%onen=

To etermine the compensation, the Company"s g!oba! inicators are ta2en into

consieration, 1hich are appro*e by the :oar of Directors an inc!ue the

targets set for the year (for e@amp!e, 6:4TDA, net income, i*iens, ua!ity of

ser*ices renere, occupationa! safety, !osses, co!!ection).

. (o7 (e 'o#%en!a*on *! !$+'+$e o $efle' (e e9ol+*on

of (e %e$fo$#an'e *n*'ao$!

The *ariab!e compensation is irect!y connecte 1ith the Company"s

performance an achie*ement of the targets estab!ishe for the perio uner

consieration.

e. (o7 (e 'o#%en!a*on %ol*') o$ %$a'*'e al*"n! *!elf 7*(

(e Co#%an)’! *ne$e!! *n (e !(o$, #e*+# an lon" e$#

The main ob9ecti*e of the Company"s compensation po!icy is to a!ign the

interests of the members of the Management 1ith those of the shareho!ers,

assigning an o*era!! compensation an its respecti*e components consistent!y

1ith mar2et best practices in the segments 1here the Company operates, as

1e!! as 1ith short, meium, an !ong term goa!s, an ob9ecti*es of *a!ue

generation to shareho!ers, sharing ris2s an resu!ts 1ith the Company"se@ecuti*e officers.

f. e<*!en'e of a 'o#%en!a*on !+%%o$e b) !+b!**a$*e!,

*$e' o$ *n*$e' 'on$olle 'o#%an*e! o$ 'on$oll*n" !(a$e(ole$!

The subsiiaries Light S6SA an Light 6nergia partia!!y support the

compensation of the Company"s Management. There is no other compensation

or benefit supporte by irect or inirect contro!!ing shareho!ers.

1



". e<*!en'e of an) 'o#%en!a*on o$ benef* %e""e o a

'e$a*n 'o$%o$ae e9en !+'( a! !ale of !(a$e 'on$ol of (e *!!+e$

There is no compensation or benefit pegge to a certain corporate e*ent

such as sa!e of share contro! of the Company.

1:.2 & Toal 'o#%en!a*on %e$ bo)10=

2014oa$ of D*$e'o$!

Sa+o$)oa$ of E<e'+*9eOff*'e$!

*!'alCo+n'*l

Toal

N+#be$ of #e#be$! 22 - 10 40

*<e ann+al'o#%en!a*on @R5

2,:,0B- 10,:,/10 -/,10 1:,B4/,-1

alaries oicers3 co*ensation

&,?-#,;# ;,;-,#-; <&,$# ,;#,#-?

"irect and rin#e /eneits <%,;$% <%,;$%Particiation inCo**ittees

+t!ers ?#,;&- $,%%,%; &$#,-; $,;$$,%%-

3a$*able 'o#%en!a*on -,: -,/1B,12/ -,04,-B

onus $,;&#,<-? $,;&#,<-?

Proit !arin#

Attendance at Meetin#s

Co**issions

+t!ers (I5P) $,&%-,;< $,&%-,;<

Ethers ;,<;

;,<;

Po!e#%lo)#en benef*!

enef*! +e o (ee$#*na*on of (e

%o!**on (el

S(a$eba!e %a)#en

Toal 'o#%en!a*on 2,440,-1 1B,:4,:/ -/,10 22,/1,/B4

201: oa$ of D*$e'o$!

Sa+o$)oa$ of E<e'+*9e

*!'alCo+n'*l

Toal

1) (he information on the compensation polic" should encompass audit, risk, financial and compensation

committees, as well as similar orani!ational structures, even if such committees or structures are non#

statutor", as lon as such committees or structures participate in the decision#makin process of themanaement &odies of the issuer as consultants or inspectors.

11



Off*'e$!

N+#be$ of #e#be$!

21.42 - 10 :B.42

*<e ann+al

'o#%en!a*on @R5

1,/4,42

B,11,1- /4,:-

11,4/0,2-/


&,<,?;#

;,-$;,&#& ;$;,#?

<,;-?,<&

"irect and rin#e/eneits

;,<;- ;,<;-

Particiation inCo**ittees

+t!ers #<;,<?

%#,-#

%,%? &%?,%-%,%%;,&;?

3a$*able'o#%en!a*on

:,-4

:,-1:,-4:,-1

onus ,&

&,%# ,&&,%#

Proit !arin#


Co**issions

+t!ers

--

#,%-? --#,%-?

Po!e#%lo)#enbenef*!


%o!**on (el

;&,# :1,:2:

S(a$eba!e%a)#en

O9e$all Toal1,/4,4

21:,2

/,:-1 /4,:-1,-:,4-1

2012 oa$ of D*$e'o$!


*!'alCo+n'*l

Toal

N+#be$ of #e#be$! 21.2 -.:: 10 :B.-


1,14,12:-,-4B,BB //,:0- 11,:B:,2/0


&,#-&,<-? ;,#?,?$ ;;$,$#$ <,&$,-


<%,-< &,%&,&%

12




+t!ers #;#,;$ #,#%,$&$ &&%,; ,#&,<-#

3a$*able

'o#%en!a*on :,B,2- :,B,2-

onus ,?<;,;# ,?<;,;#

Proit !arin#


Co**issions

+t!ers (I5P)

Po!e#%lo)#enbenef*!


%o!**on (el ?<;,?% ?<;,?%

S(a$eba!e%a)#en

O9e$all Toal 1,14,12: 1:,-01,41: //,:0- 1,B-0,-44

2011oa$ of D*$e'o$!


*!'alCo+n'*l

Toal

N+#be$ of #e#be$! 20.:: . 10 :-.1


1,0/,:2: ,2:1,::B 20,41 /,-2-,20:

alaries oicers3 co*ensation &,%<-,# $,$<$,-;& ;#%,;$& -,%<&,;&;


<;-,- <;-,-


+t!ers

3a$*able'o#%en!a*on

,2B,B20 ,2B,B20

onus &,%#,;?& &,%#,;?&

13



Proit !arin#


Co**issions

+t!ers (I5P) ;,$?;,#? ;,$?;,#?

Po!e#%lo)#enbenef*!


%o!**on (el

S(a$eba!e%a)#en

O9e$all Toal 1,0/,:2: 12,2B,2B 20,41 14,12/,12:

1:.: 3a$*able Co#%en!a*on=

3a$*able 'o#%en!a*on e!*#ae fo$ f*!'al )ea$ 2014 @'+$$en5

oa$ of D*$e'o$!


*!'alCo+n'*l

Toal

N+#be$ of #e#be$!

on+! Minimum amountestimate in the

compensation p!an 3ero 3ero

Ma@imum amountestimate in the

compensation p!an &$.#% sa!aries

&$.#%sa!aries

Amount estimate in thecompensation p!an, incase the targets are

achie*e

A*erage of &%

sa!aries

A*erage of &% sa!aries

Amount effecti*e!y

recogni3e in the incomefor the fisca! year

P$of* !(a$*n"

Minimum amountestimate in the

compensation p!an


compensation p!an

Amount estimate in thecompensation p!an, incase the targets are

achie*e

14



Amount effecti*e!yrecogni3e in the income

for the fisca! year

3a$*able Co#%en!a*on & f*!'al )ea$ ene 12Q:1Q201:

oa$ of D*$e'o$!


*!'alCo+n'*l

Toal

N+#be$ of #e#be$!

on+! ,&&,%#Minimum amountestimate in the



compensation p!an &&. sa!aries

&&.sa!aries

Amount estimate in thecompensation p!an, in case

the targets are achie*e

A*erage of sa!aries

A*erage

of sa!aries

Amount effecti*e!yrecogni3e in the income for

the fisca! year ,&&,%#

P$of* !(a$*n"


compensation p!an


compensation p!an

Amount estimate in thecompensation p!an, in case

the targets are achie*e

Amount effecti*e!yrecogni3e in the income for

the fisca! year

3a$*able Co#%en!a*on & f*!'al )ea$ ene 12Q:1Q2012

oa$ of D*$e'o$!

Sa+o$)oa$ of

E<e'+*9eOff*'e$!

*!'alCo+n'*l

Toal

N+#be$ of #e#be$! . .

on+! ,?<;,;#Minimum amountestimate in the



compensation p!an &.;; sa!aries

&.;;sa!aries

15



Amount estimate inthe compensation p!an, in

case the targets areachie*e

A*erage of ?.- sa!aries

A*erage of

?.-sa!aries


for the fisca! year

,?<;,;#

P$of* !(a$*n"


compensation p!an


compensation p!an

Amount estimate inthe compensation p!an, in

case the targets areachie*e

Amount effecti*e!yrecogni3e in the incomefor the fisca! year

3a$*able Co#%en!a*on & f*!'al )ea$ ene 12Q:1Q2011

oa$ of D*$e'o$!


*!'alCo+n'*l

Toal

N+#be$ of #e#be$! <.<; <.<;

on+! &,%#,;?& &,%#,;?&




compensation p!an &%.#; sa!aries

&%.#;sa!aries

Amount estimate inthe compensation p!an,in case the targets are

achie*e

A*erage of <.#

sa!aries

A*erage of <.# sa!aries


for the fisca! year

&,%#,;?& &,%#,;?&

P$of* !(a$*n"


compensation p!an


compensation p!an

Amount estimate inthe compensation p!an,in case the targets are

achie*e

Amount effecti*e!yrecogni3e in the incomefor the fisca! year

16



1:.4 Con'e$n*n" (e !(a$eba!e 'o#%en!a*on %lan of (e boa$ of

*$e'o$! an !a+o$) boa$ of e<e'+*9e off*'e$! *n effe' *n (e la!

f*!'al )ea$ an e!*#ae fo$ (e '+$$en f*!'al )ea$, e!'$*be=

one.

1:. Info$# (e n+#be$ of !(a$e! o$ >+oa! *$e'l) o$ *n*$e'l) (el *n

$a8*l o$ ab$oa, an o(e$ !e'+$**e! 'on9e$*ble *no !(a$e! o$

>+oa!, *!!+e b) (e *!!+e$, *! *$e' an *n*$e' 'on$oll*n"

!(a$e(ole$!, !+b!**a$*e! o$ 'o#%an*e! +ne$ 'o##on 'on$ol, b)

#e#be$! of (e boa$ of *$e'o$!, !a+o$) boa$ of e<e'+*9e

off*'e$! o$ f*!'al 'o+n'*l, "$o+%e b) bo), on (e 'lo!*n" ae of (e

la! f*!'al )ea$ 11=

Light S.A.&#>&>#%&#

Common shares Tota! shares:oar of Directors &,%&% %F &,%&% %F

+isca! Counci! % %F % %F

:oar of 6@ecuti*eEfficers

% %F % %F

Tota! Shares #%,?$,%-% &%%F #%,?$,%-% &%%F

Light S6SA (subsiiary)

&#>&>#%&#

Common shares Tota! shares :oar of Directors

%F %F

:oar of 6@ecuti*e Efficers % %F % %FTota! S hares

#%,?$,%-%,%&& &%%F #%,?$,%-%,%&& &%%F

11 In order to avoid duplicit", when the same person is a mem&er of &oth the &oard of directors and thee*ecutive &oard, the securities held &" said person should &e disclosed e*clusivel" at the amount held &"

mem&ers of the &oard of directors.

17

Light 6nergia S.A. (subsiiary)&#>&>#%&#

Common shares Tota! shares

:oar of Directors % %F % %F

:oar of 6@ecuti*eEfficers % %F % %FTota! Sha res <<,$#&,;& &%%F <<,$#&,;& &%%F



1:./ Con'e$n*n" (e !(a$eba!e 'o#%en!a*on of (e boa$ of *$e'o$!

an !a+o$) boa$ of e<e'+*9e off*'e$! $e'o"n*8e *n (e *n'o#e

fo$ (e la! ($ee f*!'al )ea$! an (e one e!*#ae fo$ (e '+$$en

f*!'al )ea$, %$e%a$e a able 7*( (e follo7*n" 'onen12=

#%&' one.

#%&#' one.

#%&&' one.

1:. Con'e$n*n" (e o+!an*n" o%*on! of (e boa$ of *$e'o$!

an !a+o$) boa$ of e<e'+*9e off*'e$! a (e en of (e la!

f*!'al )ea$, %$e%a$e a able 7*( (e follo7*n" 'onen1:=

There are no outstaning options.

1:.- Con'e$n*n" (e o%*on! e<e$'*!e an !(a$e! "$ane a! !(a$e

ba!e 'o#%en!a*on fo$ (e boa$ of *$e'o$! an (e

!a+o$) boa$ of e<e'+*9e off*'e$! +$*n" (e la! ($ee f*!'al

)ea$!, %$e%a$e a able 7*( (e follo7*n" 'onen=

#%&' one.

#%&#' one.

#%&&' one.

1:.B $*ef e!'$*%*on of (e *nfo$#a*on ne'e!!a$) o +ne$!an (e aa

*!'lo!e *n *e#! 1:./ o 1:.-, !+'( a! (e e<%lana*on of (e %$*'*n"

#e(o of !(a$e! an o%*on!, *n*'a*n" a lea!=

one.

12 In order to avoid duplicit", the compensation paid for mem&ers of the &oard of directors should &e

deducted from the compensation paid to e*ecutive officers who are also mem&ers of the &oard.

13 In order to avoid duplicit", the compensation paid for mem&ers of the &oard of directors should &e

deducted from the compensation paid to e*ecutive officers who are also mem&ers of the &oard.

18



a. aa an a!!+#%*on! +!e *n (e %$*'*n" #oel, *n'l+*n" (e

!(a$e 7e*"(e a9e$a"e %$*'e, !$*6e %$*'e, e<%e'e 9ola*l*), l*fe

e$# of (e o%*on, e<%e'e *9*en! an $*!6f$ee *ne$e! $ae!

!alculation assumptions used in the model(

= /hare weighted average price( ot applica#le'

= /trie price( ?@21'49

= )pected volatilit"( 44A

= .ife term of the option( 89 da"s

= )pected dividends( not applica#le

= ?is=free interest rate( 8A

b. (e #e(o +!e an (e a!!+#%*on! #ae o *n'o$%o$ae (e

e<%e'e effe'! of ea$l) e<e$'*!eThe best estimate of the Company at that time 1as that there 1ou! not

be ear!y e@ercise, therefore this assumption 1as not consiere in the

pricing moe!.

'. (o7 (e e<%e'e 9ola*l*) *! ee$#*ne

The historica! *o!ati!ity 1as base on share return. The !ast #$<

obser*ations, as of the grant ate, 1ere consiere.

. *f an) o(e$ fea+$e! of (e o%*on 7a! *n'o$%o$ae 7(en

#ea!+$*n" *! fa*$ 9al+e

ot app!icab!e.

1:.10 P$o9*e (e follo7*n" *nfo$#a*on on %en!*on %lan! *n effe' fo$

#e#be$! of (e oa$ of D*$e'o$! an Sa+o$) oa$ of E<e'+*9e

Off*'e$!, %$e%a$e a able 7*( (e follo7*n" 'onen!=

oa$ of D*$e'o$!

Sa+o$) oa$ of E<e'+*9e Off*'e$!

N+#be$ of #e#be$! %

(- are participants of :ras!ight, & in 5!anC an ; in 5!an D)

Na#e of (e %lan 5!an C an 5!an DN+#be$ of #ana"e$! 7(o

(a9e 'on**on! o $e*$e

# (regu!ar retirement in 5!an D)

19



Con**on! fo$ ea$l) $e*$e#en*n Plan C

To be at !east $; years o! an ha*e at!east - months of creite ser*ice (perio

of continuous ser*ice at the sponsor).

Con**on! fo$ ea$l) $e*$e#en*n Plan D

To be at !east ;% years o! an registere in

the 5!an or ha*e a 1or2 contract 1ith thesponsor for at !east years in effect

A+!e a#o+n of (e'on$*b+*on! a''+#+lae +%o (e en of (e la! f*!'al)ea$, e+'*n" (e a#o+n$elae o 'on$*b+*on!*$e'l) #ae b) (e #e#be$!of (e #ana"e#en

/I&,?;-,<#.$ (or /I&,?#,<-.?,consiering on!y the contributions re!ate to

the perio from #%%< to #%&)(V)

Toal a''+#+lae a#o+n of (e 'on$*b+*on! #ae +$*n"(e la! f*!'al )ea$, e+'*n"

(e a#o+n $elae o'on$*b+*on! *$e'l) #ae b)(e #e#be$! of (e#ana"e#en

/I#;%,-%#.%(V)

Po!!*b*l*) of ea$l) $ee#%*onan 'on**on!

/eemption is a!1ays possib!e. 4ts *a!uecorrespons to' d&%%F of the ba!ance of the

participant"s ini*iua! account (resu!tingfrom the contributions mae by the

participant)J dpercentage of the ini*iua!account of the sponsor (resu!ting from the

contributions mae by the sponsor)a*ai!ab!e by ;%F p!us %.;F for each month

of bining to the 5!an, !imite to %FJd&%%F of resources from pub!ic!yhe!

entities.

@?5 A#o+n 'al'+lae ba!e on (e 9al+e of >+oa of Plan C an D on 12Q:1Q201:.

1:.11 o$ (e la! ($ee f*!'al )ea$!, 'on'e$n*n" (e boa$ of *$e'o$!, (e

!a+o$) e<e'+*9e boa$ an (e f*!'al 'o+n'*l, %$o9*e (e

follo7*n" *nfo$#a*on *n a able14

=

14 (o verif" the fiures to &e inserted into this item, adopt the criteria esta&lished in item 13.2.

11

#%&Statutory :oar

of 6@ecuti*eEfficers

:oar of Directors

+isca! Counci!

b 7 number of members #&.$# &%

c 7 *a!ue of the highestini*iua! compensation (/I)

#,%%&,-&#,%?

&%;,%?

7 *a!ue of the !o1estini*iua! compensation (/I) &,#$-,<;# --,&;$ ;#,?%#e 7 *a!ue of a*erage ini*iua!compensation (/I)

&,-?%,<? <<,#-$ -;,$-



1:.12 De!'$*be 'on$a'+al a$$an"e#en!, *n!+$an'e %ol*'*e! o$ an) o(e$

*n!$+#en! (a !$+'+$e 'o#%en!a*on o$ *ne#n*f*'a*on

#e'(an*!#! fo$ #e#be$! of #ana"e#en *n 'a!e of e$#*na*on of

e#%lo)#en o$ $e*$e#en, *n*'a*n" (e f*nan'*al 'on!e>+en'e! o

(e *!!+e$.

one.

1:.1: In $ela*on o (e la! ($ee f*!'al )ea$!, *n*'ae (e %e$'ena"e of

oal 'o#%en!a*on of ea'( bo) $e'o"n*8e *n (e *!!+e$’! $e!+l

'o$$e!%on*n" o #e#be$! of (e boa$ of *$e'o$!, !a+o$) boa$ of

e<e'+*9e off*'e$! o$ f*!'al 'o+n'*l (a a$e $elae %a$*e! o *$e' o$

*n*$e' 'on$oll*n" !(a$e(ole$!, a! ef*ne b) (e a''o+n*n" %$*n'*%le!

abo+ (*! !+be'.

one.

111

#%&#Statutory :oar

of 6@ecuti*eEfficers

:oar of Directors

+isca! Counci!

b 7 number of members . #&.#; &%c 7 *a!ue of the highestini*iua! compensation (/I)

#,%,$# &%$,#;; ,%%

7 *a!ue of the !o1estini*iua! compensation (/I)

#;,<<-;#,&#

$&,$?<

e 7 *a!ue of a*erage ini*iua!compensation (/I)

&,&,$? ;?,<< ;;,$$#

#%&&Statutory :oar

of 6@ecuti*e

Efficers

:oar of Directors

+isca! Counci!

b 7 number of members <.<; #%. &%

c 7 *a!ue of the highestini*iua! compensation (/I)

#,&;,;$? ?,;&? <<,#%

7 *a!ue of the !o1estini*iua! compensation (/I)

?%,&& $?,#;? #-,-$$

e 7 *a!ue of a*erage ini*iua!compensation (/I)

&,-&-,-< ;#,?$ ;#,%;$



1:.14 *( $e"a$ o (e la! ($ee f*!'al )ea$!, *n*'ae (e a#o+n!

$e'o"n*8e *n (e *!!+e$’! $e!+l a! 'o#%en!a*on of #e#be$! of (e

boa$ of *$e'o$!, !a+o$) boa$ of e<e'+*9e off*'e$! o$ f*!'al

'o+n'*l, "$o+%e b) bo), fo$ an) $ea!on o(e$ (an (e %e$fo$#an'e

of (e*$ %o!**onF! +*e!, !+'( a! 'o##*!!*on! an 'on!+l*n" o$

a9*!o$) !e$9*'e! $ene$e.

one.

1:.1 In $ela*on o (e la! ($ee f*!'al )ea$!, *n*'ae (e a#o+n!

$e'o"n*8e *n (e *n'o#e of *n*$e' an *$e' 'on$oll*n"

!(a$e(ole$!, 'o#%an*e! +ne$ 'o##on 'on$ol an !+b!**a$*e! of

(e *!!+e$, !+'( a! 'o#%en!a*on of (e #e#be$! of (e boa$ of

*$e'o$!, !a+o$) boa$ of e<e'+*9e off*'e$! o$ f*!'al 'o+n'*l,

"$o+%e b) bo), !%e'*f)*n" 7() (e!e a#o+n! 7e$e a!!*"ne o

(e!e *n*9*+al!.

LIGHT SESA

201:oa$ of D*$e'o$!


*!'alCo+n'*l

Toal

N+#be$ of #e#be$! &.; 2/.-

Ann+al *<eCo#%en!a*on @R5

1,1--,4B: ,-,B14 B,0//,40/

alar6oicersco*ensation

??%,$&& $,&;,#-# ;,%;,-<#

"irect and rin#e /eneits <&,;< <&,;<

Particiation in co**ittees +t!er &?,%# #,#&,%-; #,$<?,&$<

3a$*able Co#%en!a*on :,1,2- :,1,2-

onus #,;,#%? #,;,#%?

Proit !arin#

Attendance at *eetin#s

Co**issions

+t!er --#,%-? --#,%-?

112



Po!e#%lo)#en benef*! 4-,1B1 4-,1B1

enef*! +e o (ee$#*na*on of (e %o!**on

(el

S(a$eba!e 'o#%en!a*on

O9e$all Toal 1,1--,4B: 11,-1,:-2 1:,0B,-

2012oa$ of D*$e'o$!


*!'alCo+n'*l

Toal

N+#be$ of #e#be$! &<.-< .#; 2.B2


1,1B:,-1 ,:--,22: -,-2,040


??$,$ $,$#,$ ;,$#<,-?-

"irect and rin#e /eneits -#%,%$ -#%,%$

Particiation in co**ittees

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