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Reichlin, "a European agreement on investments is needed for growth" [block]div:row-fluid::db:hr_press_comunicazione::box:59[/block] "It is useless to negotiate the flexibility of budget rules: we need to favour the liquidity of the capital held by Italian households and, at European level, an agreement for investments is needed". This was the claim made by Lucrezia Reichlin today at the conference "Resilience and innovation: a strategy for business and the community", organised by the HERA Group to present its Sustainability Report. The well-known Italian economist, a professor at the London Business School, took on the topic of the Eurozone's weak recovery, touching on Italy's traditional delays in innovation, efficiency and investments, which hinder the creation of conditions favourable to sustainable economic development. Sustainability was the real focus of the meeting, which throughout the morning featured the participation of important institutional, economic and academic experts. Presentations were given by, aside from the Group's top management, amongst others, Angelo Rughetti (Under-Secretary of State for Public Administration and Simplification), Valentina Orioli (Councillor for Urban Planning and Environment for the Municipality of Bologna), Francesco Ubertini (Rector of the University of Bologna), Gian Carlo Muzzarelli (Mayor of Modena) and Riccardo Illy (Chairman of the Illy Group). Two words at the very heart of these reflections - resilience and innovation - were used as a basis from which to comprehend the contribution that a multiutility company like Hera can make to the system of the communities it serves and to new development models, made even more urgent by the scenario outlined by Professor Reichlin. In this sense, positive signs emerge from the Sustainability Report of the Group, which in 2015 alone transferred over Euro 1.65 billion in wealth to the areas it serves, performing a fundamental countercyclical function in favour of the local economies, which is even more important considering the significant slowdown in GDP reported by ISTAT in its August monthly report. "If we look at the Group's entire history, from 2002 until today," said Stefano Venier, Hera's CEO, "investments exceed Euro 5 billion: this means that every resident served has received a significant structural contribution in his or her community". On the same wavelength, Chairman Tomaso Tommasi di Vignano also recalled the multiutility company's commitment to promoting and protecting considerable levels of employment: "The Group has more than 8,500 direct employees," he specified, "and in addition to them, there are more than 5,600 jobs created downstream". At the same time, Hera, defined by Reichlin as "an experience of success in a context of crisis", continues to improve its environmental and energy performance, anticipating important European objectives for 2025 (on the recycling of packaging, already at 66%) and 2030 (on the reduction of landfill use, which has declined to 8.6%), with separated collection rising to 55.4% and electricity production from renewable sources exceeding 70%. Confirming its dedication to local development, with more than Euro 127 million invested in the water sector alone in 2015, the Group is increasingly becoming a "healthy carrier of resilience", capable of transmitting its efficiencies to the system in which it is integrated. This is good news for everyone, but especially for the cities served by the multiutility company, seven of which are in the top 30 in Italy due to their level of innovation. This ranking was compiled by EY based on research conducted on 116 provincial capital municipalities and presented during the conference by Francois De Brabant, EY Senior Advisor. Analysing the strengths of the areas in which the HERA Group operates, the study highlighted the contribution its services have made to the development of smart cities. Based on a precise survey of innovation initiatives carried out, using the Smart City Index methodology, the study points to the excellent results achieved by Bologna (1st), Modena (8th), Ravenna (10th), Padua (14th), Forlì (18th), Ferrara (19th) and Rimini (21st), while Udine (31st), Trieste (46th) and Pesaro (50th) also performed well.Hera's contribution makes a difference primarily through waste collection and water cycle management, but it has also had important effects in terms of energy efficiency, smart building (with cogeneration and district heating systems) and renewable energies, without overlooking the 1,250 km of fibre optics available to Hera through the company Acantho. 2016-09-27 The well-known economist commented on the issue of recovery during the conference dedicated to the presentation of the HERA Group's Sustainability Report, devoted this year to resilience and innovation. The multiutility company has made a significant contribution to the development of smart cities, with seven cities served amongst the top 30 in Italy based on level of innovation. Bilancio di Sostenibilità

Sisma 110 Comieco (National Consortium for the Recovery and Recycling of Cellulose-based Packaging), in collaboration with Anci and the Consortium for the recovery of packaging - Conai - has launched a national campaign for the municipalities struck by the 24 August earthquake: in the month of September, for every additional 100 kg of paper, cardboard and paperboard collected compared to the same month of 2015, the Consortium will donate Euro 7. Hera has answered the call of Comieco and in themunicipalities it serves, it invites households and commercial and production businesses, in particular those which by their nature generate large quantities of paper, to support this solidarity campaign by recycling their paper materials using the services available in their area, street and residential collection bins and drop-off points. In this case, aside from being a choice that we make to defend and protect the environment, separate waste collection multiplies its value, as it offers all residents the possibility to contribute to a concrete action to support the populations affected by the earthquake. Sisma 870 2014-03-19 870.1473860874.jpg Hera has answered the call of Comieco, which will provide the areas of central Italy impacted by the August earthquake with Euro 7 for every 100 kg of paper collected this month Sisma 110

Half financial results as at 30 june 2016 Financial highlights Revenues at € 2,152.7 million (-2.7%) EBITDA at € 470.1 million (+2.4%)Net profits for shareholders at € 121.0 million (+12.8%) Net financial position reduced to € 2,624.4 million Operating highlights Regulated revenues affected by lower return on invested capital (WACC) M&A initiatives contribute to results Energy market expands, with total customers reaching almost 2.3 million Today, the Hera Group's Board of Directors unanimously approved the consolidated economic results for H1, whose main indicators show positive figures and growth through to net profits. Gas The gas business EBITDA, which includes services in natural gas and LPG distribution and sales, remote heating and heat management, settled in the first half of 2016 at € 162 million, down from the € 172.5 recorded at 30 June 2015, mainly due to lower margins in trading and the negative impact of the mild winter, as well as a resolution that modified the method used to calculate the rate of return on invested capital for infrastructure services in the gas sector. The results were also sustained by the recent acquisition of Julia Servizi, a company in the Abruzzo region operating in gas and electricity sales. The gas business accounts for 34.5% of Group EBITDA. Water In the first half of 2016, the water business, which includes aqueduct, purification and sewerage services, recorded a slight drop compared to the same period in 2015, with EBITDA passing from € 107.6 million in the first half of 2015 to € 106.6 million at 30 June 2016. The negative impact of the resolution on revenues and on EBITDA for the WACC effect and the redefinition of the restriction on revenue, came to € 11.1 million, almost entirely compensated by the operative efficiencies implemented over the six months in question and, in particular, a series of optimisations concerning general management costs. The integrated water cycle accounts for 22.7% of Group EBITDA. Waste management EBITDA pertaining to the waste business, which includes services in collecting, treating and disposing of waste, went from € 119.8 million in the first half of 2015 to € 116.5 million at 30 June 2016, an essentially stable result in spite of the reduced operating capacities of a few landfills, which are currently being enlarged. Activities related to treatment of special waste showed a 20.1% growth in volume and a further improvement in prices. One fundamental contribution came from the acquisitions, dating to late 2015, of Waste Recycling and the Geonova plants, which gave greater impetus to management of industrial waste and compensated for the temporary closure of landfills presently being expanded (the Ravenna landfill is due to be reopened shortly). Good results also came from sorted waste collection, which rose to 56.9% of the total, compared to the 55.4% seen in the first half of 2015, thanks to the wide range of projects implemented across all areas served. The waste business accounts for 24.8% of Group EBITDA. Electricity The electricity business, which includes services in electricity production, distribution and sales, showed an EBITDA that grew from € 49.6 million for the first six months of the previous year to € 76.3 million at 30 June 2016. The negative impact on electricity services of the resolution on revenues and EBITDA, regarding WACC alone (€ 1.4 million in the first six months), was more than compensated by the balance payments involved in 654/15/R/eel, thanks to a revision of the criteria used for the treatment of investments made in previous years, and the continuous expansion of the customer base. The electricity business accounts for 16.2% of Group EBITDA. Statement of Executive Chairman Tomaso Tommasi di Vignano "The figures that appear in the 2016 interim report are once again positive, showing the extent to which the Group has been able to offer its shareholders a solid response in terms of both economic results and financial structure, which is all the more appreciable in light of a macroeconomic context still marked by instability. This outcome was also fuelled by M&A operations, that allowed waste treatment plants to be acquired and increased our customer base". Statement of the Managing Director Stefano Venier "We are highly satisfied, in that the operations introduced have led to the good results we expected, allowing us, in only six months, to compensate for the cut in regulated revenues. A good financial and fiscal performance also made it possible for us, in a difficult year, to close the first half with growth in net profits and other main indicators as well as a reduction in debt." 1H 2016 2015-08-26 For further information 1H 2016 Interim report at 30 June 2016 shows rising profits, positive cash flows and lesser borrowing. /documents/1514726/4210755/Hera_Group_Consolidate_half_year_financial_report_as_at_30_june_2016.1470389788.pdf/c10e9d21-76b4-2589-28b3-24d6c2bbef80?t=1597910997787 /-/hera-board-of-directors-approves-results-for-1h-2016-1 /documents/1514726/4210755/Hera_Newsletter_1H2016_eng.1469701438.pdf/0583d746-cfd6-9b22-d84d-466aa0dafcbb?t=1597910996793 /documents/1514726/4210755/Dati_finanziari_operativi_di_sintesi_1H_2016_eng.1469542136.xls/3562a414-ad03-7f51-fa6e-7505d4ce5d0f?t=1597910989700 /documents/1514726/4210755/Analyst_presentation_1H2016.1469703526.pdf/cd804341-2bdb-7a71-66b9-af7b2fc2b474?t=1597910997228 /documents/1514726/4880888/audioconference+H12016+results.1470907152.mp3/dea26a04-edb1-d007-8cfc-aa7552b7f985?t=1610038453962 /group_eng/investors First Half 2016 report Press release Newsletter 1H 2016 Financial data 1H 2016 Analyst presentation 1H 2016 Conference 1H 2016 Go to IR section centrata Half financial results as at 30 june 2016

quologo 110 Use your smartphone to read your own water metre, receive prompt notifications about temporary water service interruptions for scheduled work, report leaks in the road and discover average tap water quality values, all with a simple click. Starting today, all of this is possible with the Acquologo (Water Expert), the new free app created by Hera. After the success of the Rifiutologo (Waste Expert), which helps to best separate waste and makes it possible to send geolocalised photo-reports about litter, the multiutility company is offering yet another app dedicated to residents in the communities it serves, to put a new, innovative and immediate tool in the palm of their hands, with all of the information about the local water service. The Acquologo is available for iOS, Android and Windows Phone operating systems. Water metre self-reading with one click With the Acquologo, customers that have a contract with Hera can simply and quickly read their own water metres and report their actual water consumption using a smartphone. All they need to do is select "Water metre reading", enter the contract code and then send the numbers from their metre. The self-reading function is valid for all users that receive a Hera bill for their water service. It is not available for customers that rely on other metre reading companies. The app provides advance notification of water service interruptions The Acquologo can also notify residents beforehand about water service interruptions for scheduled work (for example, pipeline upgrades or replacements). The notifications system can be activated on any smartphone by simply choosing the post code, allowing customers to always stay informed. Hera customers can also receive a notification by SMS by entering their mobile phone number in addition to the post code. The Acquologo provides information about tap water quality Hera manages the water service while guaranteeing its customers good drinking water, in line with regulatory requirements and with careful oversight along the entire purification and distribution chain. The Acquologo provides additional confirmation of this, as it allows users to use theirsmartphones to check the average values (calcium, pH, hardness, dry residue and much more) of the quality of the water provided in each municipality served by the multiutility company, and also compare them with legal limits. There is also a function that calculates the financial savings generated by consuming tap water rather than bottled water: in the "How much do you save" section, users can enter how many litres of water they drink per week and select the brand they typically buy. The Acquologo will estimate how much they can save. Water leaks can be reported to Emergency Services by sending a photo In the future, it will also be possible to use the Acquologo to send reports, for example about water leaks on public land due to pipe breakages below the road. To do this, users can simply take a photo with their own smartphone and, if necessary, attach a brief description. The report will be sent directly to Hera Emergency Services and, using geolocalisation, the system will identify the exact location where the report was sent, to notify Emergency Services technicians. This service is already active on a trial basis in Bologna. Ask the expert Lastly, the application can be used to contact the Hera experts with questions and requests about the local water service and to read the answers to the most frequently asked questions in this area. This system is synchronised with information available on the Group's website. To ensure that the Acquologo loads all content from the central database, the app should be updated periodically. Acquologo 870 2014-03-19 FOR FURTHER INFORMATION acquologo_870.1469179950.jpg Thanks to this new free application, with just a few clicks you can find out about tap water quality, receive notifications about service interruptions for scheduled work, report leaks in the road and read your own water metre quologo 110