OPERATING AND FINANCIAL RESULTS

3Q14

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Agenda

► Highlights

► Operating Results

► Introduction

► Financial Results

► Corporate Updates

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► Highlights

► Operating Results

► Financial Results

► Introduction

Agenda

► Corporate Updates

4

Introduction

Presentation of Operating and Financial Information

► The financial information contained herein is presented in consolidated figures, pursuant to Brazilian Corporate Law, based on revised financial information. The consolidated financial information represents: i) 100% of CEMAR’s results, excluding 34.89% related to minority interests before Net Income, resulting in participation of 65.11% ii) 100% of CELPA’s results, excluding 3.82% related to minority interests before Net Income, resulting in participation of 96.18%; and iii) 100% of Equatorial Soluções’ results, which in turn consolidated 100% of Sol Energias’ results, excluding 49% of minority interest before Net Income.

► The operating information presented herein consolidates 100% of CEMAR’s results and 100% of CELPA’s results.

► The following information was not reviewed by the independent auditors: i) non-financial information relating to CEMAR, Light and the PLPT (Programa Luz para Todos - Light for All Program); ii) pro forma information and its comparison with the results presented in the period; and iii) management expectations regarding the future performance of the Companies.

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► Highlights

► Operating Results

► Introduction

► Financial Results

Agenda

► Corporate Updates

6

Operating Highlights

► CEMAR’s total billed energy volume reached 1,489 GWh in 3Q14, 9.3% higher than in 3Q13. The total volume distributed by CELPA (captive and free markets) totaled 2,087 GWh in 3Q14, representing growth of 12.4% YoY.

► In CEMAR, energy losses of the last 12 months ending 3Q14 represented 17.3% of the required energy, with a decrease of 0.5 percentage points compared to 17.8% recorded in 2Q14. In CELPA, total losses ended the year at 31.7% of the required energy, a decrease of 1.3 percentage points compared to the 33.0% recorded in 2Q14.

► In 3Q14, CEMAR’s DEC and FEC indexes (accumulated over the last 12 months) were 16.5 hours, a decrease of 14.0%, and 10.9 times, an increase of 3.2%, compared to those observed at the end of 3Q13. In CELPA, these same indexes closed the quarter with improvements of 39.3% and 27.2%, respectively.

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► Net operating revenues (NOR) in 3Q14 reached R$1,670 million, 38.8% higher than 3Q13’s NOR.

► In 3Q14, Adjusted Regulatory EBITDA was R$276 million, compared to R$228 million in 3Q13, a 21% increase.

► The Adjusted Regulatory Net Income of the quarter amounted to R$ 140 million compared to R$ 135 million in the 3Q13.

► In 3Q14, Equatorial's consolidated investments totaled R$323 million, 115% higher than those made in 3Q13.

► Due to MP 651, in September, CEMAR paid R$49 million in fiscal debt originally restructured through REFIS, being R$ 15 million in cash and R$ 35 million compensated through tax loss carryforward.

► In August, CELPA restructured through REFIS (Law 12,996/14) R$ 151 million in fiscal debt that, after the inclusion of new debt, discounts and compensation through tax loss carryforward, became R$ 98 million.

► In October, CEMAR concluded the issuance of R$ 400 million in new long term debt.

► In October, CELPA received R$ 67 million in CCC Subvention, due to the Marajó Island interlinking project to the SIN (National Interconnected Grid, in Portuguese)

Financial Highlights

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► Highlights

► Operating Results

Agenda

► Introduction

► Financial Results

► Corporate Updates

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► CEMAR: 3Q14 energy sales moved up by 9.3%, reaching 1,488 GWh.

Energy Market - CEMAR

Electricity Consumption per Segment (MWh)

Energy Balance (MWh)

CONSUMPTION SEGMENTS * (MWh) 3Q13 2Q14 3Q14 Chg. 9M13 9M14 Chg.

Residential 658.860 662.570 717.308 8,9% 1.873.387 2.042.709 9,0%

Industrial 127.738 119.030 133.331 4,4% 354.759 372.923 5,1%

Commercial 272.786 283.481 306.970 12,5% 775.029 864.254 11,5%

Others 302.309 287.566 330.886 9,5% 844.411 894.914 6,0%

TOTAL 1.361.693 1.352.647 1.488.494 9,3% 3.847.585 4.174.801 8,5%

* Does not include sales to CEPISA and ow n consumption.

ENERGY BALANCE (MWh) 3Q13 2Q14 3Q14 Chg. 9M13 9M14 Chg.

Required Energy 1.699.003 1.660.907 1.813.518 6,7% 4.807.432 5.057.644 5,2%

Sold Energy (*) 1.363.727 1.354.850 1.490.813 9,3% 3.853.646 4.181.383 8,5%

Losses 335.276 306.057 322.704 -3,7% 953.785 876.260 -8,1%

(*) Considers sale to the segments, own consumption and sales to CEPISA

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Distribution – Energy Losses in CEMAR

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Distribution – DEC and FEC - CEMAR

► CEMAR: In 3Q14, the DEC index decreased 14.0% compared to 3Q13 while the FEC index increased 3.2%

compared to the same quarter last year.

16,5

19,2

3Q13 3Q14

-14.0%10,910,6

3Q13 3Q14

3.2%

FEC

(times – last 12 months)

DEC (hours – last 12 months)

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► CELPA: Energy demand growth of 12.4% in energy sales in 3Q14 (Captive Market + Free), reaching 2,087 GWh.

Energy Market - CELPA

Electricity Consumption per Segment (MWh)

Energy Balance (MWh)

CONSUMPTION SEGMENTS (MWh) 3Q13 2Q14 3Q14 Chg. 9M13 9M14 Chg.

Residential 700.202 811.033 867.152 23,8% 1.999.630 2.445.535 22,3%

Industrial 339.552 326.518 346.503 2,0% 929.362 989.717 6,5%

Commercial 418.796 421.382 445.746 6,4% 1.193.639 1.265.849 6,0%

Others 310.328 327.397 332.268 7,1% 888.331 967.025 8,9%

TOTAL 1.768.878 1.886.330 1.991.669 12,6% 5.010.962 5.668.126 13,1%

Free Consumers 87.716 92.915 95.700 9,1% 254.574 278.677 9,5%

TOTAL (Captive + Free) 1.856.593 1.979.245 2.087.369 12,4% 5.265.536 5.946.803 12,9%

ENERGY BALANCE (MWh) 3Q13 2Q14 3Q14 Chg. 9M13 9M14 Chg.

Energy Sales (Captive + Own Consumption) 1.775.472 1.894.709 2.000.297 12,7% 5.030.136 5.692.665 13,2%

Free Market 87.716 92.915 95.700 9,1% 254.575 278.677 9,5%

Total Losses 1.053.750 906.654 948.602 -10,0% 3.015.885 2.713.875 -10,0%

Required Energy 2.916.937 2.894.278 3.044.599 4,4% 8.300.595 8.685.217 4,6%

Own Generation 115.621 113.355 121.301 4,9% 328.572 341.416 3,9%

Energy Purchase (Contracts) 2.801.316 2.780.923 2.923.298 4,4% 7.972.023 8.343.801 4,7%

(*) Includes sales to the segments, own consumption and free market.

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Distribution – Energy Losses in CELPA

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Distribution – DEC and FEC

► CELPA: In 3Q14, the DEC index (LTM) improved 39.3% compared to 3Q13 while the FEC index (LTM)

decreased 27.2% compared to the same quarter last year.

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► Highlights

► Operating Results

Agenda

► Introduction

► Financial Results

► Corporate Updates

16

Quarterly Results

Equatorial’s EBITDA

Consolidated EBITDA (R$ million) 3Q13 2Q14 3Q14 Chg.

CEMAR's EBITDA 172 21 172 0,0%

CELPA's EBITDA 161 (92) 286 77,6%

EBITDA (Holding + Others) (2) (2) (8) 300,0%

Accounting EBITDA 331 (73) 450 36,0%

Net Regulatory Assets / Liabilities CEMAR (11) 127 (31) 177,5%

Net Regulatory Assets / Liabilities CELPA (125) 232 (32) -74,4%

CEMAR's Adjustments - (11) 10 N/A

CELPA's Adjustments 33 (33) (127) N/A

Stock Options Expense Adj. (Equatorial) - - 5 N/A

Adjusted Regulatory EBITDA 228 242 276 21,0%

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Quarterly Results

Consolidated Net Income

Consolidated Net Income (R$ million) 3Q13 2Q14 3Q14 Chg.

CEMAR's Net Income 57 (14) 66 16,5%

CELPA's Net Income 165 (189) 203 22,7%

Net Income (Holding + Others) (22) 17 13 -159,1%

Accounting Net Income 200 (185) 282 41,0%

Net Regulatory Assets / Liabilities CEMAR 9 83 (13) -248,8%

Net Regulatory Assets / Liabilities CELPA (115) 237 (10) -91,2%

CEMAR's Adjustments 14 (6) 19 N/A

CELPA's Adjustments 27 (27) (142) N/A

Stock Options Expense Adj. (Equatorial) - - 4 N/A

Adjusted Regulatory Net Income 135 101 140 3,2%

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Debt: Schedule of Gross Debt Maturities

Consolidated Gross Debt

(100% CEMAR + 100% CELPA)

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100% CEMAR + 100% CELPA

Net Debt - Consolidated

Net Debt (R$MM) and Net Debt/ Regulatory EBITDA

(Last 12 months) Net Debt Reconciliation (R$MM)

1.189 1.2851.0891.077

1.453

1,41,2

1,71,81,7

3Q13 4Q13 1Q14 2Q14 3Q14

3.506

820

1.233

1.453

Gross Debt Net

Regulatory

Assets

Cash Net Debt

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65.11% CEMAR + 96.18% CELPA

Net Debt – Pro-rata

Net Debt (R$MM) and Net Debt/ Regulatory EBITDA

(Last 12 months) Net Debt Reconciliation (R$MM)

849954

797737

1.135

1,31,2

1,71,91,7

3Q13 4Q13 1Q14 2Q14 3Q14

2.862

1.135

1.015

712

Gross Debt Net

Regulatory

Assets

Cash Net Debt

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► CEMAR: In 3Q14, total capex reached R$106 million, of which R$85 million are own capex and R$21 million regarding the Light for All Program (PLPT).

► CELPA: In 3Q14, total capex reached R$217 million, of which R$141 million are own capex and R$76 million regarding the Light for All Program (PLPT).

Capex - Equatorial

INVESTIMENTS (R$MM) 3Q13 2Q14 3TQ4 Chg. 9M13 9M14 Chg.

CEMAR

Own (*) 62 70 85 38,0% 194 218 12,5%

PLPT 6 25 21 266,5% 18 62 243,7%

Total 68 95 106 57,2% 212 280 32,2%

CELPA

Own (*) 78 149 141 81,0% 250 391 56,6%

PLPT 4 45 76 1684,2% 23 150 550,8%

Total 82 194 217 163,6% 273 541 98,3%

Geramar

Generation 0 0 0 619,9% 0 0 143,7%

TOTAL EQUATORIAL 150 289 323 115,8% 485 821 69,4%

(*) Including indirect investiments from PLPT

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► Highlights

► Operating Results

Agenda

► Introduction

► Corporate Updates

► Financial Results

23

Corporate Updates

► Tariff Adjustments:

In August, ANEEL authorized tariff adjustments in CEMAR by 24.12% and in CELPA by 34.96%.

► Fiscal Debt Restructuring (REFIS):

Due to MP 651, CEMAR paid R$ 49 million in fiscal debts originally restructured under REFIS, beind R$ 15 million in cash and R$ 35 million through compensation of tax loss carryforward.

In August 2014, CELPA restructured through REFIS (Law 12,996/14) R$ 151 million in fiscal debt that, after the accrual of new debt, discounts and compensation through tax loss carryforward, became R$ 98 million.

► New Debt:

In October 2014, CEMAR concluded the issuance of R$ 400 million in new long term debt, being: i) R$ 200 million in debentures and, ii) R$ 200 million through two commercial banks.

► CCC Subvention:

In October, CELPA received R$ 67 million in CCC Subvention, due to the Marajó Island interlinking project to the SIN (National Interconnected Grid, in Portuguese).

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Eduardo Haiama

CFO and IRO

Thomas Newlands

Investor Relations

Renato Parentoni

Investor Relations

Telephone 1: +0 55 (21) 3206-6635

Telephone 2: +0 55 (21) 3217-6607

Email: ir@equatorialenergia.com.br

Website: http://www.equatorialenergia.com.br/ir

Contacts

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• This presentation may contain forward-looking statements, which are subject to risks and uncertainties, as they were based on the

expectations of Company’s management and on available information. These prospects include statements concerning the Company’s

current intentions or expectations for our clients; this presentation will also be available at our website www.equatorialenergia.com.br/ir and

in the IPE system of the Brazilian Securities and Exchange Commission (CVM).

• Forward-looking statements refer to future events which may or may not occur. Our future financial situation, operating results, market share

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this statement or any other information herein, does not constitute the basis for any contract or commitment of any kind.

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