Axia Energia Sa · BMFBOVESPA:AXIA3
Axia Energia Sa — Brazilian Electric Power — Investor Day (November 2015)
31 slides from Axia Energia Sa's investor day presentation, Nov 9, 2015
Slide 1: Investor Day October 30, 2015
Slide 2: Eletrobras
Eletrobras General Information Expansion Sectorial Scenario Capital Structure Net Debt and Financing Strategic Planning
Slide 3: Eletrobras Main Functions
Eletrobras Main Functions =) Eletrobras PROGRAMS : LARGEST “Light for Al COMPANY IN \ © GENERATION (Luz para Todos): : ELECTRIC © TRANSMISSION more than 15 ENERGY OF © DISTRIBUTION million people : a : LATIN, © TRADING attended : AMERICA PROCEL: energy saving equivalent to 2,522 MW in 2014 IMPLEMENT
Slide 4: Corporate Governance
Corporate Gover Maximizing the Company’s Value Good Practices in Corporate Governance Policies Statutes Performance Improvement Better way to capital Contribution to community Alignment of Interests . * Support Committees Internal Rules to the Board
Slide 5: Compliance
Compliance 2 Eletrobras Shareholders Fiscal C Hogan Lovells Investigate wether there are irregularities Board of Directors that violate the US Foreign Corrupt Practices Act 1977, the Brazilian anti-corruption Law Independent Comm n n° 12,846/2013 and the Code of Ethics of Eletrobras Companies on pro
Slide 6: Corporate Sustainability
Corporate Sustentability Index Indice de Sustentabilidade Empresarial 2015 For the eighth consecutive year, Eletrobras is part of the Corporate Sustainability Index (ISE) of BM&FBOVESPA . MEMBER OF Dow Jones | ; Sustainability Indices In Collaboration with RobecoSAM «® For the fourth consecutive yea
Slide 7: Eletrobras System
——— Eletrobras System 2 Eletrobras 2 Eletrobras Eletrobras (10.00%) Cepe f T T T i cocoon Generation Generation Distributors Shareholdings Transmission Binational r uf 1 vf a 1 ee ee ee ee ee Eletrobras o Eletrobras ITAIPU Eletrobras ——_Eletrobras nebogar pasebeelss a a ake ‘Amazonas Energia Distrib
Slide 8: Eletrobras
-) Eletrobras General Information Expansion Sectorial Scenario Capital Structure Net Debt and Financing Strategic Planning
Slide 9: Installed Capacity - MW
Installed Capacity- MV 44.6 GW in operation— approximately 32.4% of the installed capacity of Brazil - June 2015 Through Subsidiaries (8) _ + ,ough Participation in Eletrobras ° Special Purpose Total Companies Non-Renewed ogy company i) (a+b) Concessions Eletronorte 9,281 78 121 9,480 - Chest 1,401
Slide 10: Installed Capacity: Eletrobras x Brazil
Installed Capacity Eletrobras x Brazil Installed Capacity by source in June 2015 (MW) 7 Clean Hidraulic Nuclear Wind+ Solar Thermal June 2015 Energy Eletrobras 38,135 1,990 459 40,585 3,984 44,569 v% by source in the 85.6% 45% 1.0% 91.1% 8.9% 100.0% Eletrobras matrix Brazil 90,211 1,990 6,191 98,392
Slide 11: Generation projects under construction
Maud 3 590 MW Nov-17 Teles Pires 1,820 MW Waiting the conclusion of the TL Santo Anténio 3,568 MW 2,286 MW under operation Jirau 3,750 MW 2,400 MW under operation Sao Manoel 700 MW Mw R$ Biillion Mayt8 LY 18 Orytro 21471276 Sinop ANuclear 1,405.0 149 400 Mw ewing 1,316.2 51 = O thermal 589.6 11 Wind
Slide 12: Studies and Projects
1 Project RR seeeee 220 MW 7 Project 792.5 MW “"'+-., cece 14,450.6 MW 1 Project MA E: PB. eeeeeeee 2 Project 350 MW "*++ 407 PI Pa 596 MW 7 ee oo eee) ...... 1 Project 6 Project AC ), ~.. ) tence eee 1,132 MWi ttt teeeeee es, BA 270 MW DF Three 2 Project T Project Uavssees 2,415 MW 1,041 Mwertt ttt
Slide 13: Transmission Lines - Km
Transmission Lines- Km Through Subsidiaries (a) icipati Physical Eletrobras “NowRecacd (aspect Purpose. Rew agorcoation Companies Non-Renewed (atb)* ; O&M Company (b} Concessions pany (b) adie Eletronorte 710 10,005 2,072 12,786 602 Chesf 1,129 18,596 1,189 20,914 122 Furnas 1,148 18,759 1,361 21,26
Slide 14: Transmission Projects under Construction
2 Eletrobras Projects under Construction Existent Future TL Eletrobras System — ---- TLs Eletrobras System with Partnership = ———— TLs Other Companies = Rio Parana Complex Rio Paranapanema Complex Rio Grande Complex Rio Paranaiba Complex Paulo Afonso Complex Full Participation Partnership —Total Inv
Slide 15: Eletrobras System: Distribution
Eletrobras System Distribution anon Dc pce Dc Dc pc Dc Variation Description Acre Alagoas Amazonas Piaui Rondénia Roraima "#4! ois x 2014 CELGD Extension of Diehbuten ines: Km 19191 48,106 += 4184087634 «87,610 3525 287906 ©4464 (212,099 pea Re a! 243,730 1,035,674 886,714 1,156,750 586,225 104,395
Slide 16: Conditions of the Renewal of Distribution Concessions
Conditions of the Renew or aa Distribution Concessions Elewebres Standard Guidelines: 7" , arr, Net Debt 1) Efficiency of Service Quality; EBITDA -QRR>0 < _ 1 EBITDA 111% 2) Conditions of Governance and a . -QQR SELIC Transparency; eat 3) Minimum Conditions of Economic and Financial Sustainability;
Slide 17: Eletrobras
Eletrobras General Information Expansion Sectorial Scenario Capital Structure Net Debt and Financing Strategic Planning
Slide 18: Energy Generation by Source - Brazil
| 2 Eletrobras Energy Generation by Source - Brazil 0.5% 0.6% 0.9% 2.7% _— mm mWind 18.74 21.2% Nuclear 23.1% 89.4% = Thermal 78.0% 75.0% 71.5% m= Hydro 1H12 1H13 1H14 1H15 Source: ONS a
Slide 19: Eletrobras
Eletrobras General Information Expansion Sectorial Scenario Capital Structure Net Debt and Financing Strategic Planning
Slide 20: Capital Structure
Capital Structure Common Shares 80.4% 13.0% © 9% 5 a Reside! 24.0% 94 tied aris i Total R$ 31.3 billion 6.9% 4.7% Residents 16.3% 19.6% 82.8% Residents 3.3% 42.6% 6.9% 7.0% [El Feceral covernment [Bh snvespar Eleté (Preferred B) [Bh pxves EBR (Common) Government Funds EBR_B (Preferred B) and CEF XEL
Slide 21: Eletrobras
Eletrobras General Information Expansion Sectorial Scenario Capital Structure Net Debt and Financing Strategic Planning
Slide 22: Consolidated Net Debt
Consolidated Net Debt ’ R$ billion a : Eletrobras RGR Bonds Financial Institution Total 1H15: R$ 43.6 billion Consolidated Financing without RGR = R$ 37.4 billion (-) Cash + Securities = R$ 8.5 billion (-) Receivable Financing without RGR = R$ 12.8 billion *amounts to be reimbursed to (-) Itaipu Rei
Slide 23: Parent Company Net Debt
Parent Companys Net Debt - R$ billion ee RGR Bonds Financial Institution Total 1H15: R$ 28.9 billion 12.4 Financing without RGR = R$ 22.0 billion (-) Cash + Securities = R$ 3.4 billion (-) Receivable Financing without RGR = R$ 28.7 billion Amounts to be reimbursed to Eletrobras due to buying and sel
Slide 24: Parent Company Financing Structure
Parent Company Financing s Structure — R$ billion Elencores Receivable - R$ 36.6 Payable - R$ 28.9 56 1H15 10.3 5.0 mitaipu g reimbursement is Fin. Inst. 2 RGR 3 = Bonds a ‘= Own Resources RGR oew Financing receivable: 7.92% average rate: payable: 6.32% = Generators 7 RS billion g ‘= Distributors Re
Slide 25: Consolidated Equity Structure
Consolidated Equity Structure ; Eletrobras Total Consolidated Assets 7% R$ 151.3 billion 5% 2% 7% 35% 59% Liabilities 22% 22% . 2% 13% Investment/Fixed Asset Stockholder’s Equity Financial Asset - Concessions Provision - Contingencies Other Other Cash and cash equivalent Remuneration to Shareholders
Slide 26: Eletrobras
Eletrobras General Information Expansion Sectorial Scenario Capital Structure Net Debt and Financing Strategic Planning
Slide 27: Strategic Planning: Main Projects
Strategic Planning 20 Main Projects © New business model, covering governance and management, readjustment of corporate and organizational structures: * restructuring of the distribution business, with the sale of a significant portion participation for a private partner; * creating service center f
Slide 28: Indemnities
Indemnities Law 12,783/2013 18 Tranche R$ million Recognized Value* Received by 2Q15 Receivable 14,437 14,762 2,434 * Values based on base date of December 2012 2” Tranche: Claimed value by October 2015 of supplementary indemnities: R$ 26,427 million. RS million Book Value Claimed Value Approved Val
Slide 29: CAPEX - R$ million
CAPEX — R$ million” Investment () (b) OS 2015 1H15 Generation 8,285 2,281 27.53% Corporate Expansion 4,428 731 16.51% SPEs Expansion 3,077 1,446 47.01% Maintenance 780 103 13.25% Transmission 3,982 1,044 26.21% Corporate Expansion 2,785 551 19.78% SPEs Expansion 480 368 76.54% Maintenance 716 125 17
Slide 30: Strategic Planning: 2015-2019 Investments
Strategic Planning 2015-2019 - Investments Eletrobras- R$ billion © Generation: 1.64 1.51 R$ 27.7 billion o = Generation - expansion 3 = Generation - maitenance © Transmission: > 1 Transmission - expansion R$ 17.0 billion = Transmission - maintenance ‘= Distribution - expansion © Distribution: = Dis
Slide 31: Signature and Forward-Looking Statements
SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. Date: November 9, 2015 CENTRAIS ELÉTRICAS BRASILEIRAS S.A. - ELETROBRAS By: / S / Armando Casado de Arau
Brazilian Electric Power — Investor Day (November 2015) on 6ix