A2A Debt Investor Presentation

DISCLAIMERIMPORTANT NOTICE – STRICTLY CONFIDENTIALBy accessing this investor presentation, you agree to be bound by the following limitations.

This presentation has been prepared by A2A S.p.A. (“A2A” or the “Company”). This document has been prepared by A2A solely for investors and analysts. The information set out herein, includingforward looking statement, is current only as at the date of this document and is not intended to give any assurances as to future results and it may be subject to updating, revision, verification andamendment and such information may change materially. A2A is under no obligation to update or keep current the information contained in this presentation, including forward looking statement sand any opinions expressed in them is subject to change without notice. Market data used in the presentation not attributed to a specific source are estimates of the Company and have not beenindependently verified.

The content of this document is of purely informative and provisional nature and the statements contained herein have not been independently verified. This information is given in summary formand does not purport to be complete. Certain figures included in this document have been subject to rounding adjustments; accordingly, figures shown for the same category presented in differenttables may vary slightly and figures shown as totals in certain tables may not be an arithmetic aggregation of the figures which precede them.A2A has not authorised the making or provision of any representation or information regarding A2A or its subsidiaries other than as contained in this document. Any such representation orinformation should not be relied upon as having been authorised by A2A. None of A2A or any of its respective affiliates, advisers or representatives shall have any liability whatsoever (in negligenceor otherwise) for any loss whatsoever arising from any use of this presentation or its contents, or otherwise arising in connection with this presentation.No representation, warranty or undertaking, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or theopinions contained herein.

The information in this presentation is confidential and this presentation is being made available to selected recipients only and solely for the information of such recipients. This presentation maynot be reproduced, redistributed or passed on to any other persons, in whole or in part. This presentation is for information purposes only and does not constitute or form part of, and should not beconstrued as, any offer for sale or subscription of, or solicitation of any offer to buy or subscribe for, any securities of A2A or its subsidiaries nor should it or any part of it form the basis of, or berelied on in connection with, any contract or commitment whatsoever. This presentation does not constitute a recommendation regarding the securities of A2A or its subsidiaries. This presentationand the information contained herein are not an offer of securities for sale in the United States and are not for publication or distribution to persons in the United States (within the meaning ofRegulation S under the United States Securities Act of 1933, as amended).This presentation is for distribution in Italy only to "qualified investors" (investitori qualificati), as defined pursuant to Article 100 of Legislative Decree no. 58 of 24 February 1998, as amended andrestated from time to time (the Financial Services Act), as implemented by Article 34-ter, paragraph 1(b) of CONSOB Regulation no. 11971 of 14 May 1999, as amended and restated from time totime. This presentation is being communicated in the United Kingdom only to persons who have professional experience in matters relating to investments falling within Article 19(5) of the FinancialServices and Markets Act 2000 (Financial Promotion) Order 2005 and to persons to whom it may otherwise be lawful to communicate it to (all such persons being referred to as relevant persons).

Some information contained herein and other material discussed at the meetings may include forward-looking information based on A2A’s current beliefs and expectations. All statements otherthan statements of historical fact, contained herein regarding the A2A’ strategy, goals, plans, future financial position, results of operations future performance and business, projected revenues andcosts or prospects are forward-looking statements. Such statements may include, without limitation, any statements identified by the use of terminology such as "anticipates", "believes","estimates", "expects", "intends", "target", "aim", "may", "plans", "projects", "will", "can have", "likely", "should", "would", "could" and other words and terms of similar meaning or the negativethereof. These statements are based on current plans, estimates, expectations, projections and projects and therefore you should not place undue reliance on them. Forward-looking statementsinvolve inherent risks and uncertainties. We caution you that a number of important factors could cause actual results to differ materially from those contained in any forward-looking statement.Such factors which may not be predicted or quantified or may be beyond the Company’s control include, but are not limited to changes in global economic business, changes in the price of certaincommodities including electricity, gas and coal, the competitive market and regulatory factors. Moreover, forward-looking statements are current only at the date on which they are made.

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Million € 2017 2016 2015Revenues 5,910 5,093 4,921

Reported EBITDA 1,211 1,231 1,048

Ordinary EBITDA 1,135 1,033 1,022

Group net income 293 232 73

Group ordinary net income 413 377 278

CAPEX 450 349 317

Distributed Dividend 180 153 126

Dividend Yield (%) 4.1 4.2 3.8

Net Capital Employed 6,239 6,415 6,156

Net Financial Position -3,226 -3,136 -2,897

Net Equity 3,013 3,279 3,259

Market cap. (year-end) 4,831 3,853 3,929

Manpower (units) 11,280 13,494 12,083

FINANCIAL HIGHLIGHT

A2A Highlights

A2A is the Italy's largest local utility and the most diversified utility among local utilities.

The Group operates throughout Italy, predominantly in Lombardy

LARGEST TERRITORY

AGGREGATION

80

companies

Growth oriented multi-utility, delivered industrial and financial value

2017

NFP/EBITDA

2,7x

2017

D/E

1,1

4

1,231 1,211

2016 2017

EBITDA

-2%

232 293

2016 2017

GROUP NET INCOME

+26%

377 413

2016 2017

GROUP ORDINARY NET INCOME

+10%

1,033 1,135

2016 2017

ORDINARY EBITDA

+10%

349450

2016 2017

CAPEX

+101

REVENUES

+16%

5,0935,910

2016 2017

NET FINANCIAL POSITION

-226 +90

3,1362,910 316 3,226

2016 2017 Change ofperimeter

2017

0.0492 0.0578

2016 2017

DPS

17%€

2017 ACHIEVEMENTS

ORGANIC GROWTH

WASTEOngoing developments

in investments for treatment plants

MARKETFurther expansion of the free market

customer base

NETWORKSSuccessful participation

in the first gas distribution tender (Milano1)

GENERATIONSolid performance

of the generation fleet,in particular CCGT plants

EXTERNALGROWTH

LGH - 12M fully consolidation: strong synergies from

the industrial partnership

Set up of A2A Rinnovabili and M&A

First step in PV Renewables

Northern Lombardy Multiutility: Start of the partnership project

Geographical focus: sale of stake

in Montenegrin EPCG

2017 Bulletin Board: shaping the future today

€M

5

9M 2018 Consolidated Results

A2A consolidates the accounts of ACSM-AGAM group on a line-by-line basis, starting from July 1, 2018.

The ACSM-AGAM group is the multi-utility company of Northern Italy resulting from the combination of the Como, Monza, Lecco, Sondrio and Varese public utility companies.

6

A2A FORMS PART OF THE FOLLOWING INDICES

FTSE MIB

STOXX Europe

EURO STOXX

MSCI Europe Small Cap

WisdomTree Utilities

S&P Developed Ex-US

ETHICAL INDICES

ECPI Euro ESG Equity

Ethibel Sustainability Index Excellence Europe

EURO STOXX Sustainability Index

Euronext Vigeo Europe 120

Solactive Climate Change Index

Standard Ethics Italian Index

A2A 2017 figures (Borsa Italiana)

Shareholding structure listed in Milan Stock Exchange

Municipality of Milan and Brescia: shareholding pact on 42%

Note: At December 31, 2017

Indices

Moreover, A2A has been included in the Ethibel Excellence Investment Register and in the Ethibel Pioneer Investment Register.

AT DECEMBER 31, 2017

MUNICIPALITY OF BRESCIA

MUNICIPALITY OF MILAN

MARKET

TREASURY SHARES

49.2

25.0

%

25.0

0.8MARKET CAPITALISATION AT DECEMBER 29, 2017:

€ 4,831 m

AVERAGE CAPITALISATION € 4,455 m

AVERAGE VOLUMES 9,729,351

AVERAGE PRICE: 1.422 €/share

MAXIMUM PRICE: 1.635 €/share

MINIMUM PRICE: 1.232 €/share

NUMBER OF SHARES: 3,132,905,277

Tickers: Bloomberg – A2A:IMReuters – A2.MI

A2A stock is also traded on the following platforms: Chi-X, BATS, Turquoise, Equiduct, Sigma-X, Aquis, BOAT OTC, LSE Europe OTC, BATS Chi-X OTC

7

A2A at a glance Well Balanced Business Mix

2017Ordinary

EBITDA (1)

WASTE MARKET(2)NETWORKS GENERATION

& TRADINGNETWORKS HEAT

1st energy producerfrom WTE plants

Leader for quality and customer satisfaction

Incumbent in the key areas

1st domestic operator

2 GW hydro installed capacity

251€M 22% 173

€M 15% 309€M 26% 78 €M 7% 353

€M 30%

Collection and street sweeping

Electricity and gas sales• free market

• regulated market

Electricity distributionCogeneration heat recovery

and sales

Fuel sourcing

Urban Waste Treatment Material Recovery

Electricity andHeat production

Public Lighting Gas distribution

HeatDistribution

Power generation (Thermoelectric

and RES)

Industrial Waste Treatment

New Energy Solutions (Energy Efficiency,

E-mobility and Smart City)

Integrated Water Cycle

Whole-sale & Trading

(1) Ordinary EBITDA Equal to 1,164 €M, calculated as Reported EBITDA (1,211 €M) net of non recurring items (64 €M), EBITDA from “Corporate” (-29 €M), EBITDA from EPCG (12 €M). Put option on EPCG stake was exercised by A2A in July 2017

(2) New perimeter of the old Energy Retail BU, including also Energy Efficiency, Public Lighting, Smart City and E-Mobility.

VALUE FROM ENDTO BEGINNING

MORE SOLUTIONSTO INVOLVE CUSTOMERS

SMARTER AND MORE RELIABLE

FLEXIBLE AND GREENER ENERGY

8

A2A at a glance Italian Geographical Presence

G

G

G

G

G

WASTEWaste collection

Treatment plants

Biogas/Biomass plants

Waste-to-Energy

E

G

W

PL

C

DH

NETWORKSElectricity

Gas

Water

Public Lighting

Cogen. & thermal plants

Thermal solar plants

District Heating

A2A operates throughout Italy, predominantly in LombardyG

PL

G

DHE G

W

G W

E G

E

DH

G

G DH

DH

DH

DH

G

G

PL

PL

PL

C

C

C

C

C

C

C

C

C

C

DH

GENERATIONHydroelectric

CCGT

Coal

Fuel Oil

Solar

Technological partnerships abroad on waste treatment plants (UK, Spain and Greece)

9

A2A growth – Acquisition Strategy on PV plants

Lombardia 1 MW

Piemonte 2,9 MW

Trentino AA 0.6 MW

Sicilia 0,9 MW

Emilia Romagna 8 MW

Marche 17,8 MW

Toscana 0,9 MWPuglia 15,6 MW

Lazio 6,5 MW

NOVAPOWER

REENERGY

IMPAX

• October 2017• 17,8 MW• 16 plants• 8 SPV• EBITDA 7€M

• September 2017• 17 MW• 18 plants• 5 SPV• EBITDA 6€M

• February 2018• 15,7 MW• 5 plants• 5 SPV• EBITDA 6€M

TALESUN potential acquisition

• term sheet November 2018• 43,2 MW• 39 plants• 9 SPV• EBITDA 9€M• Potential joint venture

Portfolio of 43 PV plants

Total installed power 54,1MWp

10

NORTHERN LOMBARDY

MULTIUTILITY

Benefits of industrial partnership:

• Sharing technical and management skills

• Optimization of industrial

and financial position

Preservation of the identity of existing

companies

Enhancement of investment capacity

Improvement of quality standards

and service level

ASPEMLARIO RETI HOLDING

AEVV

A2A

LGH

ACSM-AGAM

Industrial entities strongly rooted in our territory

~60-70 €M net additional EBITDA fully consolidated

Almost complete coverage of Lombardy

Open to new aggregation opportunities

A2A growth – Aggregation Strategy

11

A2A is a large group of companies

A2A GENCOGAS100%

GENERATION

A2A ENERGIEFUTURE100%

LINEA GREEN (1)

100%

A2A ALFA70%

ERGOSUD50%

PREMIUMGAS50%

A2A ENERGIA100%

A2A ENERGY SOLUTIONS100%

A2A ILLUMINAZIONE PUBBLICA

100%

LINEA PIÙ (1)

100%

METAMER50%

LUMENENERGIA92,7%

CONSUL SYSTEM75%

MARKET

A2A AMBIENTE100%

LINEA AMBIENTE (1)

100%

LINEA GESTIONI (1)

100%

AMSA100%

LOMELLINA ENERGIA80%

APRICA100%

WASTE

A2A CICLO IDRICO100%

A2A CALORE E SERVIZI100%

ASPEM90%

PROARIS60%

UNARETI SERVIZI METRICI

100%

NETWORKS

LD RETI (1)

90,85%

UNARETI100%

RETRAGAS91,6%

ASVT74,8%

CAMUNA ENERGIA89%

A2A SMART CITY100%

SMART CITYACSM - AGAM (2)

45,33%

LINEA GROUP HOLDING51%

OTHER COMPANIES LINEA COM

96,17%

(1) Shareholdings held through Linea Group Holding S.p.A.(2) ACSM-AGAM shares at the end of Sell-Out Procedure (as of 25 October 2018)

The Group includes: 80 companies @30.09.18Starting from July 2018, aggregation of Northern Lombardy Multiutility

A2A ENERGIE RINNOVABILI

100%

12

Financial Strategy: Cost reduction and high duration

DEBT STRUCTURE AND MATURITY

DEBT BREAKDOWN BY INTEREST at 31/12/2017

BONDSLOANS

DEBT BREAKDOWN BY SOURCE at 31/12/2017

FIXED RATEVARIABLE RATE

82

STATISTICS RELATING TO DEBT AT 31/12/2017

DEBT ITEMSmillion euro

ACCOUNTING BALANCE

31/12/2016

ACCOUNTING BALANCE

31/12/2016

PORTIONSMATURINGWITHIN 12 MONTHS

PORTIONSMATURINGBEYONDS

12 MONTHS

PORTION MATURING IN

31 dic 2019 31 dic 2020 31 dic 2021 31 dic 2022 beyond

BONDS 2,527 2,995 345 2,650 509 0 350 498 1,293

BANK LOANSAND OTHER 1,268 943 92 851 90 138 89 86 448

TOTAL 3,795 3,938 437 3,501 599 138 439 584 1,741

%

18

24

76%

FLEXIBILITY

FINANCIAL STRATEGY

provide the Company with the right instruments to take potential

market opportunities, in a prompt and efficient way

DIVERSIFICATIONoptimize financial sources

and assess/select at any time the most economical and/or best

available

LIQUIDITYmaintain an adequate liquidity

buffer in terms of cash and available committed lines to cover planned

cash outlays and absorb low-probability events

RISK MANAGEMENTmanage in a proactive way

the interest risk with the main purpose to mitigate the effects

of market volatility

TOTAL GROSS DEBT 3.9 €Bn

AVERAGE COST OF DEBT ~ 3.1%

AVERAGE MATURITY 5.2 yrs

LIQUIDITY POSITIONof which:CASHUNDRAWN COMMITTED LINES AND LOANS

1.4 €Bn

0.7 €Bn0.7 €Bn

STATISTICS RELATING TO DEBT AT 30/09/2018*

TOTAL GROSS DEBT 3.9 €Bn

AVERAGE COST OF DEBT ~ 3.0%

AVERAGE MATURITY 4.5 yrs

LIQUIDITY POSITIONof which:CASHUNDRAWN COMMITTED LINES AND LOANS

1.7 €Bn

1.1 €Bn0.6 €Bn

*Does not include ACSM-AGAM

13

Bonds and EMTN Programme

On 1 March 2018 the Board of Directors of A2A approved a framework resolution (i) revoking for the portion not performed the resolution previously taken on 10 November 2016 and (ii) authorising the issue of one or more unsubordinated, unsecured and non-convertible notes, under the EMTN Programme, up to an aggregate amount of Euro 1 billion, by 30 April 2020.

The bonds to be issued on the basis of the Programme are placed to institutional investors

Liability management executed to optimized debt duration and cost of debt

The adoption of the EMTN is part of the A2A Group’s medium-term financial strategy, which is aimed at lengthening the average life of the Company’s outstanding debt and at maintaining an adequate financial flexibility in order to efficiently manage the future debt maturities, to support the Company’s rating

Program amounts to 4 billion, of which 1,438 million euro still available as of today.

14

October 2017

• ISSUE of a ten-year bond for a total amount of 300 million euro under the Euro Medium Term Notes Programme.

• TENDER OFFER over A2A outstanding €750,000,000 4.500 per cent. Notes due 28 November 2019 (of which €510,703,000 remain outstanding) and its outstanding €500,000,000 4.375 per cent. Notes due 10 January 2021 (of which €351,457,000 remain outstanding)

Debt maturities breakdown

Recent capital markets transactions

343

2018

602

139299

44

2019

440

586

385365 365

50

348

254

91 139 89 86 85 65 65 50 48 145

2020

511

351

500

300 300 300 300 109

2021 2022 2023 2024 2025 2026 2027 Beyond2027

LoansBonds A2ABonds LGH

March 2017

Private placement with a limited number of qualified investors Euro 300 million notes with a seven-year maturity due in March 2024, under its Euro Medium Term Notes Programme.

December 2016TENDER OFFER over A2A outstanding €750,000,000 4.500 per cent. Notes due 28 November 2019 and its outstanding €500,000,000 4.375 per cent. Notes due 10 January 2021

15

Bonds and EMTN Programme

Issue quantity(EUR)

Outstandingamount (EUR)

Annualcoupon Issue date Maturity date Issue price Re-offer

yield

Euro Bond 2027 300,000,000 300,000,000 1.625% 19/10/2017 19/10/2027 98.700 1.768%

Euro Bond 2025 300,000,000 300,000,000 1.750% 25/02/2015 25/02/2025 99.221 1.836%

Private Placement 2024 300,000,000 300,000,000 1.250% 16/03/2017 16/03/2024 99.774 1.284%

Private Placement 2023 300,000,000 300,000,000 4.000% 04/12/2013 04/12/2023 99.539 4.057%

Euro Bond 2022 500,000,000 500,000,000 3.625% 13/12/2013 13/01/2022 99.561 3.688%

Euro Bond 2021 500,000,000 351,457,000 4.375% 10/07/2013 10/01/2021 99.323 4.487%

Euro Bond 2019 750,000,000 510,703,000 4.500% 23/11/2012 28/11/2019 99.718 4.548%

Euro Bond 2018 (LGH) 300,000,000 299,500,000 3.875% 28/11/2013 28/11/2018 99.444 4.000%

16

Rating overview

Moody's upgrades A2A S.p.A.'s ratings to Baa2; stable outlook, April 2018.

The rating action reflects:

• A2A's track record of improved financial and operating performance as evidenced by funds from operations (FFO)/net debt and retained cash flows (RCF)/net debt ratios in 2017 of 25.8% and 21.3% (vs. 16.8% and 14.1% in 2014), respectively;

• the increase in baseload power prices since early 2016 which will gradually filter through the company's earnings;

• A2A's commitment to maintaining credit quality and Moody's view that the company has flexibility to mitigate unexpected negative pressures […]and maintain metrics in line with the ratio guidance for the Baa2 rating.”

A2A’s rating reflects:

Business Risk: SATISFACTORY

Expectation that the company will continue to strengthen its positions in regulated and more stable activities, while posting funds from operations (FFO)to debt above 20% over 2018-2019” and “successful cost reduction plan with €130 million of cost savings already achieved over 2015-2017

Liquidity: STRONG

The group's liquidity as strong, based on our view of the group's proactive financing and healthy cash flow generation and A2A has sound bank relationships, prudent financial discipline, and proven access to the debt capital markets

Rating: Baa2, Not on Watch

Rating: BBB/Stable/A-2

17

Enterprise Risk Model supports management actionsThe Risk Management Model – Process and Activities

REGULAR IDENTIFICATION AND UPDATING OF THE RISKS to which the Group is exposed

RISK ASSESSMENT PROCESS carried out through the involvement of all Group structures, risk owners and risk specialists, which includes:

• update of risk scenarios related to activities

• risk scoring

• establishment of the relative controls and mitigation plans

DEFINITION OF RISK PRIORITIES AND RISK REPORTING submitted to the top management for approval

CONSTANT MONITORING OF MITIGATING ACTIONS PROGRESS, to check their effectiveness on risks mitigation and prevention

BALANCE SHEET DISCLOSURE (“Bilancio Integrato” under the D.Lgs 254/2016 regulation)

1 2 3 4 5

The methodology adopted is characterized by the following steps:

The A2A Group has a risk assessment and reporting process which is based on the Enterprise Risk Management method(1) and on the best risk management practice, in compliance with the Corporate Governance Code. The model, operative since 2010 and far from being a static reference, is subject to periodic revision consistent with the evolution of the Group and the context in which it operates.

RISK – External, Internal and Strategic Risk

CHANGES IN LAWS AND REGULATIONS

MACRO-ECONOMIC SITUATION

BUSINESS INTERRUPTION COMMODITY PRICECOUNTERPARTY

CREDIT RISKINTEREST

RATELIQUIDITY RATING

DEFAULT AND COVENANT

ACQUISITIONS, INTEGRATION AND BUSINESS COMBINATION

LEGAL PROCEEDING NATURAL EVENTS ENVIRONMENTALTENDER AND

CONCESSIONSICT INFRASTRUCTURE AND

SECURITY

SOCIAL AND ENVIRONMENTAL

CONTEXT

FISCAL AND TAX-RELATED

COMPLIANCE

(1) This method follows the framework set by the Committee of Sponsoring Organizations of the Treadway Commission (CoSO report)

18

New strategic Guidelines

a2a T

2018 2022

TTransformation

a2a E

2018 2022

EExcellence

a2a C

2018 2022

CCommunity

Business strengthening & change agile organization,leader in operational excellence

attract and empower people engageexternal ecosystem

Sustainabilityinspiring priciple of enterprise development

Over 350 innovation concepts evaluatedwill be translated into the experimentation of about 50 new initiatives

A2A will make a significant effortto undertake, in its 4 reference businesses, the transformation actions necessary to respond to the identified market trends (detailed plan in the next pages)

Starting from the positive experience of the EN&A Project, the Mistral Project has been launched: focus on operational excellence through a bottom-up redesign of processes and the transformation of the managerial culture. Moreover, strong boost in Capex for digitalization and technological innovation (>500 €M in the period)

from

toREGENERATIONActive role in the energy market transformation

RELAUNCHConsistent industrial growth

Selective external growth

RESHAPEPublic lighting, smart city,

energy efficiency

2017-2021

19

A2A Sustainability embedded in the Strategic Plan

GENERATION MARKET WASTE NETWORKS60+ core goals built on our sustainability pillars

• The shift to a traditional governance model, occurred in June 2014, facilitates decision making and emphasizes the central role of the Board of Directors

• 100% executives with sustainability MBOs (weight increased from 5% to 10% for the CEO/Managing Director)

• A2A adopts a prudent energy risk policy, part of its ERM model, whose purpose is to further develop and integrate risk management into the business process

% sorted collection

New recycling plants

Project on reduction/ reuse/recycle

Water network losses

Depurated waste water

Digital users

# LED lighting points

EV charging stations

Contact centre quality

Smart bins Smart meter

Service interruption

Smart grid

GOVERNANCE

CO2 emissions reduction Energy efficiency projects

Green energy sold to Mass Market

Low-impact vehicles DH users

Dispersed heat recovery and DH non-fossil sources

Smart city projects

Banco dell’Energia step 2

Roadwork siteinspections

Reduction of the accident rate

Environmental education

CIRCULAR ECONOMY

DECARBONIZATION

SMART GRID AND SERVICES

PEOPLE INNOVATION

E

S

G

Integration of Sustainability Plan and Financial BP @2022 in line with 2030 sustainability goals

August 2018 - A2A signs the first Credit Line in Italy linked to the Group’s Sustainability Policy and the Standard Ethics Rating

20

A2A Sustainability embedded in the Strategic Plan

100

8284

31

CIRCULAR ECONOMY

MATERIAL RECOVERY RATEIN A2A PLANTS ON TOTAL WASTE COLLECTED

2015 2016 2017 2022

%

394

419420

445

DECARBONIZATION

CO2 /kWh CARBON INTENSITY

2015 2016 2017 2022

550

356269227

SMART GRID AND SERVICES

ONLINE MEMBERS OF A2A ENERGIA COMMUNITY

2015 2016 2017 2022

20

550

PEOPLE INNOVATION

SMART WORKING% on total employees applicable

2015 2016 2017 2022

g/kWh

k %

21

A2A Asset Portfolio

Consolidated Income Statement

Consolidated Balance Sheet

Consolidated Net Financial Position

A2A strong Commitment to Sustainability

Data Annexes

Financial Report and Economic data and News are all available on A2A website:

http://www.a2a.eu/en/investor/

22

A2A Asset Portfolio as of 31 December 2017

23

Consolidated Income Statement

Note: Group net income adjusted for the impact of extraordinary items: 2017 = 413 €M; 2016 = 377 €M; 2015 = 278 €M; 2014 = 175 €M; 2013 = 156 €M; 2012 = 116 €M; 2011 = 165; 2010 = 243

(1) The figures at December 31, 2016 include the economic effects deriving from the LGH Group’s PPA and the reclassification for the purposes of IFRS 5 of the EPCG Group’s income statement items.

(2) EPCG not included in Group EBITDA as of 2016 restated results

24

Consolidated Balance Sheet

25

Consolidated Net Financial Position

26

A2A strong Commitment to Sustainability

Listening to the needs of stakeholders in the various territories in which A2A operates. Identification of the material aspects for planning and reporting

Definition of a Sustainability Policy with objectives through to 2030 and a Sustainability Plan integrated with the Business Plan. The Policy is based on 4 pillars, crucial to A2A’s business and consistent with the international approach given by the UN

Reporting to external stakeholders during focussed meetings or through the Integrated Report and Territorial Sustainability Reports

Implementation of practices and adoption of instruments that are consistent with the sustainability goals prefixed in the value creation process

• Stakeholder Engagement: more than 270 initiatives involving external and internal stakeholders. The forumAscolto programme, the multistakeholder feedback initiative launched by A2A in 2015 aimed at understanding the needs of the communities where it operates, continued in 2017

• Materiality Evaluation: A2A Group materiality matrix was updated

A2A has an active participation in national and international associations and networks on matters of sustainable development.

WINNER IN 2017

SUSTAINABILITY NETWORKS

Circular Economy: Sustainably manage wasteduring its life cycle

Decarbonization: Contribute to achieving national and EU targets for the reduction of greenhouse gas emissions

Smart grid and services: Increase grid reliability through technological innovation

People Innovation: Actively contribute to the welfare of the community and the improvement of working conditions

INVESTMENTS CLASSIFICATION

GENERATION & TRADING

NETWORKSAND HEAT

WASTE CORPORATE TOTAL

EmissionReduction

2.1 4.6 6.4 - 13.1

Energyefficiency

0.4 4.1 25.8 - 30.3

Renewables 13.2 5.3 7.6 - 26.1

Innovation 0.5 - 7.7 0.4 8.6

Total 16.2 14 47.5 0.4 78.1

Governance and Tools• Sustainability Policy• Territory and Sustainability Committee: the Committee has the task to assist with

information, advice and proposals the Board of Directors,the Chairman and CEO of the Group in defining guidelines, orientations and initiatives

• Code of Ethics • Organisation, Management and Control Model (according to 231/01 Law)• Policy for Quality, Environment and Safety and Systems for their Management• Sustainability Issues for Risk Management: Climate Change impacts

INTEGRATED REPORTA2A 2017 Integrated Report has been prepared in accordance with the Global Reporting Initiative (GRI) Standards and, for some indicators, it complies with GRI-G4 Electric Utilities Sector Supplement. The Report considers six forms of capital (Human, Financial, Relational, Intellectual, Manufacturing and Natural), in accordance with the International Integrated Reporting Council (IIRC) framework.

Moreover, in 2015, A2A began, first in Italy, publishing sustainability reports with reference to the specific territories in which it operates, undertaking a path toward the community and extending its stakeholder engagement model. During 2017 six Territorial Sustainability Reports were published (Milan, Brescia, Bergamo, Varese, Valtellina and Valchiavenna and Friuli Venezia Giulia).

The Integrated Report 2017 is available on A2A website