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The Hera Group takes the podium for the value it places on female workers: this was the important outcome of the XXVIII edition of the Maria Bellisario "Donne ad Alta Quota" (high-flying women) Award which presented the multi-utility company with the Golden Apple for the "Women-Friendly Company" category. A prestigious award, with Hera selected unanimously by the Bellisario Foundation's awarding commission for its important and innovative policies and strategies to promote the growth and well-being of women in the company. Diversity management, fighting discrimination and support for families: these are the main fronts on which the Group has been working for years to promote the value of a company culture that, rooted in present challenges, always achieves excellence, from all perspectives. And everything starts with equal opportunities. Whilst the utility sector, due to the characteristics of the services provided, has historically seen a prevalently male workforce, the percentage of female employees on permanent contracts in 2015 is at a healthy 23.7%, compared to a national average for the sector, not rising above 16.5% (2010 ISTAT data). This has been a long-term process for Hera, launched back in 2009 with the signing of the "paper for equal opportunities and equality in the workplace". Together with other entities, both public and private, Hera undertook to fight against all forms of discrimination in the workplace. Another fundamental step was the introduction in 2011 of the Diversity Manager, Susanna Zucchelli, supported by an "entirely female" working group made up of women holding very different roles united by the shared objective of further developing and consolidating equal opportunities whilst also managing and promoting diversity. Hera runs many initiatives which consolidate diversity management: from company nurseries and intercompany nurseries, with long opening hours to support the careful balance of home and work life, to provisions regarding family leave, not only available for maternity and paternity but also for those who need to assist other family members or elderly relatives. A particularly good example is "the smooth return to work policies" project, founded and realised by Hera and aimed at improving the management of family leave. This project also saw investment from the Prime Minister's Office, due to the innovative and socially important nature of the approaches employed. "The Golden Apple of the Bellisario Award presented to Hera for the Women-Friendly Company category makes us hugely proud because it represents a recognition of the long and methodical commitment which we have maintained for years in terms of time, enthusiasm, resources and ideas, involving companies of all different levels" - declared Tomaso Tommasi di Vignano, Chairman of the Hera Group. "Our attention to women in the workplace is not our only commitment in terms of personnel policies and diversity management, but this certainly represents an important moment, also because of the genuinely original talent that female employees demonstrate in their work." "A talent that we support through a series of articulated measures aimed at translating rights into practices, to help women in the performance of their daily work and in the management of their time." 2014-03-19 USEFUL LINKS 870Bellisario.1466439403.png The Maria Bellisario Foundation has awarded the multi-utility company with the Golden Apple for Women-Friendly Company. Here are the motivations for this award which recognises the Group's dedication to promoting equal opportunities in the work place. 110.1466439405.png

Hera Board of Directors approves 1st quarter 2016 results Financial highlights Revenues at € 1,235.4 million (-5.8%) EBITDA at € 278.4 million (+0.4%) Net profit post minorities at € 91.2 million (+5.3%) Net debt improves, reaching € 2,504.5 million Operational highlights Management focus on extracting efficiencies and synergies Simultaneously, commercial expansion into new markets continues Solid customer base in energy markets, with approximately 2.2 million customers Good contribution to growth coming from the electricity business Today, the Hera Group’s Board of Directors unanimously approved the consolidated financial statements at 31 March 2016, which confirm the trend of growth in all main indicators, in spite of a difficult first quarter. On the one hand, organic growth aimed at achieving efficiencies and synergies, along with complementary efforts towards market expansion, succeeded in compensating for 75% of the cut in remuneration for regulated activities; on the other, M&A operations, involving above all acquisitions made in late 2015, contributed to growth in results. Note in particular that, with reference to legislative decree 25/2016, an implementation of Directive 2013/50/EU (so-called Transparency Directive), the Hera Group has voluntarily decided to publish its interim financial statements, as in the past, taking into account the high value given to communicating with the stakeholders. This decision may be modified in the future, based on changes in regulations. Revenues amounting to € 1,235.4 million In the first quarter of 2016 revenues came to € 1,235.4 million, dropping compared to the € 1,311.9 million seen in the corresponding period of 2015. The reasons for this decrease include lesser volumes of gas sold, owing to particularly mild temperatures; lesser revenues in electricity and gas sales and trading following a drop in the price of raw materials; the impact on regulated gas, electricity and water cycle services caused by the new method for calculating return on invested capital. These negative effects were only partially compensated by an increase in revenues due to greater volumes of electricity sold and higher revenues due to an increase in disposed waste. EBITDA rises to € 278.4 million EBITDA went from € 277.2 million after the first three months of 2015 to € 278.4 million at the end of March 2016, showing a growth of € 1.2 million (+0.4%). This result is particularly significant if one recalls that it was achieved in the first quarter, the period of the year in which decreases in WACC for gas, electricity and water distribution have, due to seasonal factors, a greater negative impact on revenues and EBITDA, reaching – in the case at hand – € 9.5 million (respectively: 3.9 in gas, 0.7 in electricity and 4.9 in water). The increase in EBITDA was mainly sustained by energy activities, which maintained their margins and more than compensated for the performance of regulated activities. Growth in Ebit and pre-tax profits, improvement in liability management Ebit at 31 March 2016 came to € 170.8 million, up compared to the € 170.1 million seen in the first quarter of 2015 (+0.4%), in spite of higher depreciation due to changes in the operating area, partially compensated by lesser provisions. Liability management improved by € 3.7 million, coming to € 25.7 million at the end of the first quarter (-12.6% compared to the same period in 2015), thanks in particular to lower average debt and greater efficiency in rates. In light of this situation, pre-tax profits went from € 140.7 million in the first three months of 2015 to € 145.1 million in the first quarter of 2016, showing a further increase in the rate of growth (+3.1%). Increased net profits post minorities, reaching € 91.2 million (+5.3%) Net profits recorded an increase of 4.7%, going from € 92.5 million in the first three months of 2015 to € 96.8 million in the corresponding period in 2016, on account of a reduction of the tax burden leading to a tax rate of 33.3% (an improvement compared to the 34.3% applied in the same period in 2015, thanks to the benefits obtained in 2016 deriving from the application of the “patent box” and tax credits for research and development, in addition to tax concessions for maxi amortisations). Profits post minorities came to € 91.2 million, rising by € 4.6 million on the first three months of 2015 (+5.3%), due among other things to reduced minority interests, mainly caused by the complete acquisition of Akron and Romagna Compost. Over 70 million of capital expenditure, reduction of net debt In the first three months of 2016, the Group’s operating capex amounted to 73 million, including 4.5 million in capital grants, with an increase on the same period in 2015 (€ 64.1 million), as foreseen by the business plan. These investments mainly concerned interventions on plants, networks and infrastructures, in addition to regulatory upgrading above all in the gas area, due to a massive meter substitution, and water purifying and sewerage plants. Net debt reduced by no less than € 147 million, going from 2,651.7 in 2015 to 2,504.5 at 31 March 2016 (-5.6%). This result, which is partially natural, tied to seasonal factors in the gas business, was sustained by both a reduction in working capital, owing to a continuous and constant attention in trade receivables management, and the generation of a higher operating cash flow. The debt/equity ratio thus dropped below 0.96x, showing an improvement in financial solidity. Gas EBITDA for the gas business, which includes services in distribution and sales of natural gas and LPG, district heating and heat management, reached € 128.7 million in the first quarter of 2016, with a slight growth compared to the € 128.4 seen at 31 March 2015, thanks to greater margins for activities in sales and trading and greater margins for district heating and heat management services. These positive effects more than compensate for the lesser volumes of gas sold on account of mild temperatures, and the € 3.9 million drop in gas distribution revenues, an effect of the WACC reduction. The gas area accounted for 46.2% of Group EBITDA. Water cycle EBITDA for the integrated water cycle business, which includes aqueduct, purification and sewerage services, went from € 50.5 million in the first three months of 2015 to € 49.8 million in the first quarter of 2016. This result was impacted above all by € 4.9 million in lesser revenues for delivery, an effect of the WACC reduction, which in turn were almost entirely compensated by the operational efficiencies created. The integrated water business accounted for 17.9% of Group EBITDA. Waste management EBITDA for the waste business, which includes services in waste collection, treatment and disposal, went from € 64.9 million in the first quarter of 2015 to € 62.4 million in the corresponding period in 2016. Among the factors with a negative influence, particular attention must go to the tariffs for waste collection and street sweeping, which have not as yet been updated and are currently under local authorities’ approval. As regards activities in waste recycle, treatment and disposal, results were equal to those seen in the previous year, thanks to the contribution obtained from acquisitions carried out in 2015, which compensated for the temporary stall in landfills currently being enlarged, the reduction in prices for energy certificates, and the lower amount of green certificates for the Ferrara WTE plant. Good results were seen in sorted waste, which rose to 56.2%, compared to 55.2% in the first three months of 2015, thanks to the many projects implemented across all geographical areas served. The waste business accounted for 22.4% of Group EBITDA. Electricity EBITDA for the electricity business, which includes services in electricity production, distribution and sales, rose from € 29.3 million in the first quarter of 2015 to € 33.2 million at 31 March 2016 (+13.3%), thanks above all to greater margins both in sales and trading activities and in electricity generation. This increase was only partially reduced by lesser revenues in the regulated distribution service, coming to € 0.7 million. In this area, furthermore, an increase in both customers (almost 60,000 more than in 2015) and volumes sold was seen, thanks among other things to reinforced commercial initiatives. The electricity business accounted for 11.9% of Group EBITDA. The person responsible for drafting the company’s accounting statements, Luca Moroni, declares, pursuant to article 154-bis paragraph 2 of the TUF, that the information contained in the present press release corresponds to the documentation available and to the account books and entries. The interim financial statements and related materials are available to the public at the Company Headquarters and on the website www.gruppohera.it. Unaudited extracts from the Interim Financial Statements at 31 March 2016 are attached. PROFIT & LOSS (M€) MAR 2016 INC% MAR 2015 INC.% CH CH % Sales 1,235.4 1,311.9 -76.5 -5.8% Other operating revenues 73.7 6.0% 71.4 5.4% +2.3 +3.2% Raw material (608.5) -49.3% (702.3) -53.5% -93.8 -13.4% Services costs (281.7) -22.8% (266.6) -20.3% +15.1 +5.7% Other operating expenses (12.1) -1.0% (9.9) -0.8% +2.2 +22.2% Personnel costs (132.9) -10.8% (131.4) -10.0% +1.5 +1.1% Capitalisations 4.6 0.4% 4.1 0.3% +0.5 +12.1% Ebitda 278.4 22.5% 277.2 21.1% +1.2 +0.4% Depreciation and provisions (107.6) -8.7% (107.1) -8.2% +0.5 +0.5% Ebit 170.8 13.8% 170.1 13.0% +0.7 +0.4% Financial inc./(exp.) (25.7) -2.1% (29.4) -2.2% -3.7 -12.6% Pre tax profit 145.1 11.7% 140.7 10.7% +4.4 +3.1% Tax (48.4) -3.9% (48.2) -3.7% +0.2 +0.4% Net profit 96.8 7.8% 92.5 7.0% +4.3 +4.7% Attributable to: Shareholders of the Parent Company Minority shareholders 91.2 5.6 7.4% 0.5% 86.6 5.9 6.6% 0.4% +4.6 -0.3 +5.3% -4.8% BALANCE SHEET (M€) MAR 2016 INC% MAR 2015 INC.% CH CH % Net fixed assets 5,509.0 108.0% 5,511.3 106.9% (2.3) 0.0% Working capital 105.0 2.1% 157.0 3.0% (52.0) (33.1%) (Provision) (512.7) 10.1% (513.5) (9.9%) +0.8 (0.2%) Net invested capital 5,101.3 100.0% 5,154.8 100.0% (53.5) (1.0%) Net equity (2,596.8) 50.9% (2,503.1) 48.6% (93.7) +3.7% Long term net financial debt (2,746.5) 53.8% (2,743.6) 53.2% (2.9) +0.1% Short term net financial debt 242.0 (4.7%) 91.9 (1.8%) +150.1 +163.3% Net financial debts (2,504.5) 49.1% (2,651.7) 51.4% +147.2 (5.6%) Net invested capital (5,101.3) 100.0% (5,154.8) 100.0% +53.5 (1.0%) 1Q 2016 2014-03-19 FOR FURTHER INFORMATION 1Q 2016 The interim results at 31 March show positive figures and growth in all main indicators, despite a difficult first quarter, affected by the lesser revenues in gas, electricity and water distribution caused by recent regulatory changes. /documents/1514726/4210758/Hera_Group_Consolidated_quarterly_report_as_at_31_march_2016.1462960176.pdf/dcbc0211-3b72-fa0c-3a16-e9a3b70afea4?t=1597911168892 /-/hera-board-of-directors-approves-1st-quarter-2016-results-1?inheritRedirect=true /documents/1514726/4210758/Hera_Newsletter_Q1_2016.1462957906.pdf/2d938b8c-ba16-4e50-6a1e-888659f993b2?t=1597911167130 /documents/1514726/4210758/Dati_finanziari_ed_operativi_di_sintesi_1Q_2016_eng.1462877519.xls/f1199f02-3765-b6f0-acd6-6714dac6f163?t=1597911166445 Financial report as at 31/03/2016 Press release Newsletter as at 31/03/2016 Financial data as at 31/03/2016 centrata Hera Board of Directors approves 1st quarter 2016 results

Shareholders' meeting 2016 Approval of the financial statements and the sustainability report. Dividend at 9 cent./share In the ordinary session the Meeting approved the financial statements and the sustainability report for 2015, along with the Board of Directors’ proposal to pay dividends of 9 euro cents per share, matching those paid in the previous financial year, as priorly announced in the business plan to 2019. In particular, the 2015 financial year closed with positive economic results and a rise in all main indicators, thanks to the Group’s solid business model and a good operational, financial and fiscal management: revenue reached € 4,487.0 million (+7.1% over the previous year), EBITDA settled at € 884.4 million (+1.9%) and net profit post minorities came to € 180.5 million (+9.5%). The ex coupon date was set at 20 June 2016, with payment beginning on 22 June 2016. The dividend paid, based on the price of Hera stock at 31/12/2015, corresponds to an annual return of approximately 3.7%. Amendment of article 4 of the Articles of Association In the extraordinary session the Meeting approved amendments to article 4 of Hera’s Articles of Association, consisting in an explicit statement that Hera S.p.A.’s company purpose also includes the possibility of engaging in activities involving management and/or supply of integrated energy services. The activities in question are already practiced by the Company, but this must now be specified in the Articles of Association in order for Hera S.p.A. to obtain certification pursuant to UNI CEI 11352 regulations. This is because legislative decree 102/14, which implements EU directive 2012/27, requires companies, as of July 2016, to obtain this certification in order to be qualified to carry out a number of activities in the field of energy efficiency promotion, such as energy diagnosis, and to obtain white certificates. Other resolutions approved The Shareholders’ Meeting, in addition to the report on corporate governance and compensation policy, lastly approved the renewal of the Board of Directors’ authorisation to purchase treasury shares (along with the conditions of their disposal), for a maximum exchange value of € 180 million, for 18 months. This authorisation was requested so as to pursue the goals allowed by current regulations and accepted market practices, among which investment opportunities involving the use of treasury shares to increase the creation of value and possible acquisitions of stakeholdings that also include share exchanges. Shareholders' meeting 2016 2014-03-19 For further information sito_1.1461855533.jpg The Hera Shareholders' Meeting was held in Bologna this morning, with both ordinary and extraordinary sessions. /-/hera-shareholders-meeting-dividend-at-9-cents-1?inheritRedirect=true /group_eng/governance Press release Corporate Governance centrata sede hera piloni.png