1

Institutional

May, 2013

AES Brasil Group

Service Provider

Disco

Genco

In Brazil since 1997

Operational Figures:

- Customers units: 7.7 million

- Population served: 20.2 million

- Distributed Energy: 54.4 TWh

- Generation Capacity: 3.298 MW

- Generated Energy : 14.270 GWh

7.6 thousand AES Brasil People

Investments 1998-2012: R$ 9.4 billion

Solid corporate governance and

sustainability practices

Safety our #1 Value

2

(AES Eletropaulo) (AES Tietê)

(2009 - AES

Eletropaulo)

(AES Eletropaulo)

(AES Brasil)

(AES Tietê)

(AES Tietê)

(AES Eletropaulo)

(AES Tietê)

(AES Tietê)

(AES Eletropaulo)

AES Brasil widely recognized in 2009-2013

Quality and Safety Management Excellence Sustainability

(AES Eletropaulo)

(AES Tietê) (AES Eletropaulo)

(2011- AES Tietê; 2012 – AES Eletropaulo) (AES Tietê)

(AES Brasil)

(AES Sul)

(AES Eletropaulo/ Tietê)

3

Mission & visions

Mission

Improving lives and promoting development by providing safe, reliable and sustainable energy solutions

Visions

Be a leader in operational and financial management in the Brazilian energy generation sector and expand installed capacity

Be the best distributors in Brazil

4

“Casa de Cultura e Cidadania” Project - Offers courses and activities in culture and sports. Directly benefits

approximately 5.6 thousand children and teenagers and indirectly 292 thousand people in 7 units located within

AES Brazil companies’ areas of operation

Sustainability - Corporate Social Responsibility:

annual investments of R$ 148 million

“Centros Educacionais Luz e Lápis” Project - Two units in São Paulo attending 300 children from

1 to 6 years old in condition of social vulnerability

Children educational development

Development and transformation of communities

Developed for grid connection regularization. Between 2004 and 2012, more than 500

thousand families in low income communities were benefited from better energy supply

conditions and social inclusion.

“AES Eletropaulo nas Escolas” Project - Education about safe and efficient use of energy to 4.5

thousand teachers and 404 thousand students from 900 public schools. The actions include

recreational activities offered in adapted trucks.

Education on safety and efficiency in energy consumption

Converting consumers to clients

5

AES

Serviços TC

AES

Uruguaiana

AES

Eletropaulo

AES

Tietê

AES Corp BNDES

C = Common Shares

P = Preferred Shares

T = Total

Shareholding structure

C 99.99%

T 99.99%

C 76.45%

P 7.38%

T 34.87%

Cia. Brasiliana

de Energia

C 50.00% - 1 share

P 100%

T 53.85%

C 50.00% + 1 share

P 0.00%

T 46.15%

C 71.35%

P 32.34%

T 52.55%

C 99.99%

T 99.99%

AES Sul

T 99.70%

6

US$ 3.9 bi

US$ 0.6 bi

24.2% 28.3% 39.5% 8.0%

8.5% 56.2% 19.2% 16.1%

Others² Free Float ¹ ¹

1 - Parent companies, AES Corp and BNDES, have similar voting capital on each of the Companies: approx 35.9% on AES Eletropaulo and 32.9% on AES Tietê

2 - Includes Federal Government and Eletrobrás shares in AES Eletropaulo and AES Tietê, respectively

3 - Base: 05/08/2013. Considers preferred shares for AES Eletropaulo and preferred and common shares for AES Tietê

Market Cap³

AES Tietê and AES Eletropaulo are listed

in BM&FBovespa

7

AES Brasil among the top five in

the electric sector Ebitda – 2012 (R$ billion)

Net income – 2012 (R$ billion)

Source: Companies’ financial reports 8

3.9 3.63.1

2.6 2.52.1

1.6 1.5 1.30.8

0.7 0.6-0.3

CPFL Cemig Tractebel AES Brasil Neoenergia Cesp Copel Light EDP Duke Coelce Equatorial Celesc

3.8

1.6 1.5 1.3 1.10.7 0.4 0.4 0.3 0.3 0.1 0.1 -0.3

Cemig CPFL Tractebel Neoenergia AES Brasil Copel Light Coelce EDP Duke Cesp Equatorial Celesc

Sources: ANEEL – Generation Data Source “BIG” (March, 2012) and Companies websites 2- Source: Banks’ reports

AES Tietê: 3rd largest among private

generation companies

Approximately 78% of country’s generation

installed capacity is state-owned2

18 GW of hydro capacity under construction:

– Santo Antonio and Jirau (Madeira River): 7 GW

– Belo Monte (Xingu River): 11 GW

Total Installed Capacity: 123 GW

Main privately held Companies

AES Tietê is the 3rd largest private

generator in Brazil Generation installed capacity (MW) - 20121

9

CHESF9%

Furnas8%

Eletronorte7%

CESP6%

Itaipu6%

Cemig6%

Copel4%

Petrobrás5%

Tractebel 6%

AES Tietê2,2%

CPFL2,4% Light

0,8%

ENDESA0,8%

DUKE1,7%

Eletronuclear2,8%

CGTEE0,7%

Eletrosul0,5% EDP

1,5%

Neoenergia1,2%

Demais28,9%

AES Brasil is among the top 3 largest

distribution players in Brazil Consumers – Dec/2011

63 distribution companies in Brazil

distributing 430 TWh in 2011

AES Brasil is one of the largest electricity

distribution group in Brazil:

AES Eletropaulo is the largest distribution

company in Brazil in terms of energy

distributed

AES Brasil

CPFL Energia

CEMIG

Neoenergia

Copel

Light

EDP

Outros

AES Brasil

CPFL Energia

Cemig

Neo Energia

Copel

Light

EDP

Outros

Consumption (GWh) - 2011

Source: Brazilian Association of Electricity Distributors (ABRADEE), 2011 and EPE (Energetic Research Company)

13%

12%

12%

16%7%

7%

5%

30%

13%

12%

11%

7%

6%6%6%

52%

10

Energy

distributed

(TWh)

% of the

Brazilian

market

AES Eletropaulo 45 10.5

AES Sul 8.6 2.0

AES Tietê overview

12 hydroelectric plants in São Paulo

30-year concession expiring in 2029

Installed capacity of 2,658 MW, with physical guarantee1

of 1,278 MW average

Physical guarantee contracted with AES Eletropaulo (11

GWh) through Dec, 2015 (~R$183/MWh, annually

adjusted by inflation)

369 employees as of March, 2013

Company listed at BM&Fbovespa

Rating: National International

Moody's Aa1 Baa3

Generation facilities

1 - Amount of energy allowed to be long term contracted 12

1.599 1.582 1.629

1.753

1.480

125% 124%127%

130%

102%

2010 2011 2012 1Q12 1Q13

Generation - Mwavg Generation/Physical guarantee

Generated energy shows high

operational availability

Generated energy (MW avarage1)

1 – Generated energy divided by the amount of hours * Caconde, Limoeiro, Mogi and SHPPs

1Q13 Generated energy by power plant (MW average1)

61%

11%

9%

5%

5%

4%2%3% Agua Vermelha

Nova Avanhandava

Promissão

Ibitinga

Bariri

Barra Bonita

Euclides da Cunha

Other Power Plants *

44%

17%

12%

5%

8%

6%

5% 3% Agua Vermelha

Nova Avanhandava

Promissão

Ibitinga

Bariri

Barra Bonita

Euclides da Cunha

Demais Usinas*

1,599 1,582 1,629

1,753

1,480

125% 124%127%

130%

102%

2010 2011 2012 1T12 1T13

Geração - MW médio Geração/Garantia física

13

In December 2012, AES Tietê was the first Latin American company to receive the PASS-55 certification of the

British Standards Institute, for its reliability and sustainability of assets

38

46

55

62

0

10

20

30

40

50

60

70

80

90

100

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Ma

x (%

)

2001 2012 2013Historical Data Since 2001

14

Brazilian reservoir levels1 (%) AES Tietê reservoirs levels (%)

Hydrological conditions improving

and rationing is unlikely

93%

80%

97%91%90%

80%

100% 100%

Caconde A. Vermelha B. Bonita Promissão

Apr-12 Apr-13

Thermal capacity available for dispatch: 14 GW vs. 4 GW in 2001

AES Tietê Q1 13 impact of R$ 115 million due to hydrological risk sharing

- 2013 estimated impact ranges from R$ 231 million to R$ 441 million

1 – Average reservoir levels of the National System (percent of maximum storage capacity)

Allocation of physical guarantee for AES Tietê (MWm) Monthly evolution of the spot price (R$/MWh)

System physical guarantee reduction resulted in

spot market exposure since September/2012

15

375

161

89 77 76 72

-21 -42

-108

-32

-308

-85

-31

2948

26 12 1732 23 20 21

37 46

4423

51

125

193 181

118 91

119

183

280

376

260

414

215

340 320

jan feb mar apr may jun jul aug sep oct nov dec

2011 2012 2013Secondery energy Physical guarantee reduction

11,108 11,108 11,138

2,879 3,058

1,980 1,942 3,834

1,256 600

1,340 1,519

1,141

571 42

301 554

615

163 482

2010 2011 2012 1T12 1T13

AES Eletropaulo MRE Mercado Spot Outros contratos bilaterais #REF!

89% of net revenues and 73% of billed energy

came from the bilateral contract with AES

Eletropaulo in 1Q13

1 – Energy Reallocation Mechanism

Net revenues (%) Billed energy (GWh)

89%

8%

2% 1%

Eletropaulo

Bilaterais

CCEE

MRE¹11,108 11,108 11,138

2,879 3,058

1,980 1,942 3,834

1,256 600

1,340 1,519

1,141

571 42

301 554

615

163 482

2010 2011 2012 1Q12 1Q13

AES Eletropaulo MRE Mercado Spot Outros contratos bilaterais #REF!

14,729

16

-14%

16,728

15,122

4,869 4,182

89%

8%

2% 1%

AES Eletropaulo

Bilateral contracts

Spot Market

ERM¹11,108 11,108 11,138

2,879 3,058

1,980 1,942 3,834

1,256 600

1,340 1,519

1,141

571 42

301 554

615

163 482

2010 2011 2012 1T12 1T13

AES Eletropaulo ERM Spot Market Bilateral Contracts #REF!1

156135

213

17 27

19

4

3

2011 2012 2013 (e) 1Q12 1Q13

Investments New SHPPs¹

175

21

139

213

1- Small Hydro Power Plants

Investments in power plants

modernization

Investments (R$ million)

2013 major investments in Nova

Avanhandava, Ibitinga and Agua Vermelha

power plants, that represent 71% of AES

Tietê capacity

17

13%

Growth projects

“Thermal São Paulo” Project (550 MW)

Natural gas combined cycle thermal plant

Previous license granted in Oct, 2011 valid for 5 years

Pending gas supply

Next steps: Obtain installation license

“Thermal Araraquara” Project (579 MW)

Natural gas combined cycle thermal plant

Purchase option acquired in March, 2012

Pending gas supply

Next steps: Obtain installation license

18

84

307

1T12 1T13

265%

Clients portfolio evolution in 1Q13

Contracting strategy: driven to free market

Strategy post-2015: contract energy in the free market with large unregulated customers

- Currently serving 45 customers (307 MW) with 3-5 year contracts

- Current prices for delivery in 2016: $52-$57/MWh1 (annually adjusted for inflation) – driven by supply/demand

- 143 MWavg sold from 2016 onwards

2012 2016 2020

Assured Energy (1,278 MW avg)

New client

portfolio

Consolidated

portfolio

1Q12 1Q13

Antes dez/2011

1T12 2T12 3T12 4T12

32 84 90

259 320

MWmédMWavg

19 1 - AES analysis

Ebitda (R$ million) Net revenue (R$ million)

Financial highlights

75% 75% 81% 78%

Ebitda Margin

56%

20

1,3111,466 1,542

423 334

2010 2011 2012 1Q12 1Q13

-21%1,754

1,8862,112

540 598

2010 2011 2012 1Q12 1Q13

Net Revenue

Net Revenue

11%

423334

78%

56%

1T12 1T13

Ebitda Margem Ebitda (%)

21%

Steady earnings distribution on a

quarterly basis

Net income and dividend pay-out (R$ million)

25% of minimum pay-out

according to bylaws

Average payout since 2006: 105%

Average dividends since 2006:

R$ 741 million per year

742 706 737845 901

246 186

11% 11% 10%

117% 109% 108%

2010 2011 2012 1Q12 1Q13

Net Income Yield PN Payout

21

-24%

Debt profile

Net debt (R$ billion) Amortization schedule – 1st Debenture Issuance (R$ million)

1 – Brazilian Interbank Interest Rate

Covenants Average Cost Gross Debt/Adjusted Ebitda <= 2.5

Net Debt/Adjusted Ebitda <= 3.5

1Q12 1Q13

Average Cost (%CDI)¹ 115% 121%

Average Term (Years) 2,0 0,8

Interest Rate 11.3% 9.8%

300 300 300

2013 2014 2015

Debt amortization flow

22

0.4 0.40.5 0.5

0.76

0.30.4

0.5

0.70.6 0.6

0.3

0.5

0.6

1.0

2010 2011 2012 1Q12 1Q13

Net Debt Net Debt/Adjusted Ebitda Gross Debt/ Adjusted Ebitda

2 – Total Shareholders’ Return

Capital markets

Market Cap: US$ 3.9 billion / R$ 7.8 billion

BM&FBovespa: GETI3 (common shares) and GETI4 (preferred shares)

ADRs negotiated in US OTC Market: AESAY (common shares) and AESYY (preferred

shares)

3 – Index: 05/08/2013

Daily avg volume (R$ thousand) AES Tietê X Ibovespa

23

3

1 – Information until 05/08/2013. Index: 12/29/2005 = 100

703546

739

1,387

Shares negotiated (thousand)

9,683 9,315

15,844

11,717

4,2393,269

5,269

8,529

2010 2011 2012 YTD Mar/12

Preferred Common

13,922

20,246

12,584

21,113

50

100

150

200

250

300

350

400

Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12

2005 - May 2013¹

Ibovespa AES Tietê PN AES Tietê TSR² AES TIetê ON

66.8%

54.3%

69.6%

182.1%

AES Eletropaulo overview

Largest distribution company in Brazil in terms of energy

distribution

Serving 24 municipalities in the São Paulo Metropolitan area

Concession contract expire in 2028

Concession area with the highest GDP in Brazil (16,8% of

Brazilian GDP¹)

46 thousand kilometers of lines and 6.5 million consumption

units in a concession area of 4,526 km2

46 TWh distributed in 2012

6,168 employees as of March, 2013

Company listed at BM&FBovespa

Investment grade: Fitch S&P Moody’s

National AA AA- Aa1

International BBB- BB Baa3

Concession area

25 1 – Source: IBGE, 2010.

28

37

19

31

38

23

15 9

Brasil AES Eletropaulo

Residential Commercial Industrial Others

Consumption evolution

Total market1 (GWh) Consumption by class1 – 1Q13 (%)

1 – Net of own consumption 26

2% 68%

46%

State of São Paulo GDP growth 3.3% (5-year average) - Expectation for 2013 3.0%, grows to 3.5% in 2014-2015

35,434 36,817 37,570

9,250 9,309

7,911 8,284 7,987

1,906 2,092

43,345 45,102 45,567

11,156 11,401

2010 2011 2012 1Q12 1Q13

Captive Market Free Clients

-15%

-10%

-5%

0%

5%

10%

15%

Ju

l-07

No

v-0

7

Mar-

08

Ju

l-08

No

v-0

8

Mar-

09

Ju

l-09

No

v-0

9

Mar-

10

Ju

l-10

No

v-1

0

Mar-

11

Ju

l-11

No

v-1

1

Mar-

12

Ju

l-12

No

v-1

2

Mar-

13

Industrial production SP (% 12 months) Industrial (% 12 months)

Economic recovery Economic crisis

Industrial class

1 – As of March, 2013. 27

Vehicles, Chemical, Rubber,

Plastics and Metal

Products49%

Other industries

51%

Economic crisis

Industrial class X Industrial production in

São Paulo state

Consumption of industrial class by activity1 –

AES Eletropaulo

258

220

192 199

203 207

213 219

223 228 229

234 236

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

- 8.5%

Residential class

Residential class X Average income in São Paulo Metropolitan Area

1 - Two quarters of delay in relation to consumption

Consumption per consumer (in kWh)

Rationing

1

2,300

2,800

3,300

3,800

4,300

4,800

1,200

1,300

1,400

1,500

1,600

1,700

1,800

1,900

2,000

2,100

2,200

1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q

2007 2008 2009 2010 2011 2012 2013

Res

iden

tial

-G

Wh

Avg

Rea

l In

com

e R

$ -S

P (Q

-2*)

Residential Consumption x Real Income - São Paulo (Q-2*)

Residential consumption reflects

GDP per capita growth

Average growth of the residential

class (aggregate) in the last 5

years: 4.8%

Consumption per residential

consumer: average growth of 1.5%

in the last 5 years

28

Investments focused on grid automation,

operational reliability and

system expansion Investments breakdown (R$ million)

-21%

29

717 796

621

177 134

22

35

26

7 11

739

831

647

184

145

2011 2012 2013(e) 1Q12 1Q13

Own Resources Funded by the clients

2013 investments plan:

substation repowering, adding 133 MVA

capacity to the system

29.7 km of new transmission lines

maintenance in over 5,200 km of

distribution grid

regularization of 75,000 illegal

connections and replacement of 125,000

obsolete meters.

SAIDI below regulatory reference

and in its lowest level since 2006

SAIDI¹ (last 12 months) SAIDI1 (YTD)

1 - System Average Interruption Duration Index

Sources: ANEEL and AES Eletropaulo

2009 2010 2011

11.86 10.60 10.36

SAIDI (hours)

10.09 9.32

8.68

SAIDI Aneel Reference

ABRADEE ranking position among the 28 utilities with more than 500 thousand customers

7th 6th

10.60 10.36

8.35 9.57

8.32

9.32 8.68

8.67

8.67

8.49

2010 2011 2012 1Q12 1Q13

DEC (horas) Referência Aneel4th

30

-9%

3.36 3.06

Jan-Apr 12 Jan-Apr 13

SAIDI (hours)

1.76 1.68

Jan-Apr 12 Jan-Apr 13

FEC (vezes)

SAIFI below regulatory reference

SAIFI¹ (last 12 months) SAIFI1 (YTD)

1 - System Average Interruption Duration Index

Sources: Aneel and AES Eletropaulo

3rd

ABRADEE ranking position among the 28 utilities with more than 500 thousand customers

4th

7.87 7.39

6.93

SAIFI Aneel Reference

2009 2010 2011

6.17 5.43 5.45

SAIFI (times)

5.46 5.45 4.65 5.09 4.60

7.39 6.93 6.87 6.87 6.64

2010 2011 2012 1Q12 1Q13

FEC (vezes) Referência Aneel3th

31

-5%

Regulatory Reference² - Total Losses (last 12 months) Losses (last 12 months)

Losses level within regulatory threshold

1 – In January 2012, the Company improved the assessment of the technical losses.

2 – Values estimated by the Company to make them comparable to the reference for non-technical losses determined by the Aneel

4.4 4.0 4.1 4.0 4.0

6.5 6.5 6.1 6.4 6.1

10.9 10.5 10.4 10.4 10.1

2010 2011 2012 1Q12 1Q13

Non Technical Losses Technical Losses ¹

10.6 10.3 9.8 9.4

2011/2012 2012/2013 2013/2014 2014/2015

32

1,648 1,473

476 92 122

426 933

339

442

179

206 6

2,413

2,848

636

298 128

2010 2011 2012 1Q12 1Q13

Adjusted Ebitda

Non-recurring¹

Regulatory assets and liabilities

9,697 9,097 9,128

2,286 2,146

5,017 5,405 5,354

1,362 993

739 831

186 145

14,714 15,240 15,314

3,835 3,283

2010 2011 2012 1Q12 1Q13

Net revenue ex-construction revenue

Deduction to Gross Revenue

Construction revenues

Ebitda (R$ million) Net revenues (R$ million)

Financial highlights

1 – Non recurring 2011 : Includes sale of AES Eletropaulo Telecom with a R$ 707 million impact on Ebitda.

-14% -57%

33

1 – Gross amount

Net income and dividend payout1 (R$ million)

Average payout of 74% p.a. since 2006

25% of minimum pay-out

according to bylaws

Average payout since 2006:

74% per year

Average dividends since 2006:

R$ 890 million per year

2– Non recurring 2011 :Includes sale of AES Eletropaulo Telecom with a R$ 467 million impact on net income 34

640 586

(174) (121) (30)

350 621

358

365

229 218 29

1,348

1,572

55 97

(1)

28.6% 17.1%

2.8%

2010 2011 2012 1Q12 1Q13

Adjusted Net Income

Non-recurring²

Regulatory assets and liabilities

Yield PN

114.4%

54.4%25.0%

Pay-out

640 586

(174) (121) (30)

350 621

358

365

229 218 29

1,348

1,572

55 97

(1)

28.6% 17.1%

2.8%

2010 2011 2012 1Q12 1Q13

Adjusted Net Income

Non-recurring²

Regulatory assets and liabilities

Yield PN

114.4%

54.4%25.0%

Pay-out

640 586

(174) (121) (30)

350 621

358

365

229 218 29

1,348

1,572

55 97

(1)

28.6% 17.1%

2.8%

2010 2011 2012 1Q12 1Q13

Adjusted Net Income

Non-recurring²

Regulatory assets and liabilities

Yield PN

Cost management excellence

35

1 - Personnel, Material, Third Party Services and Other Costs and Expenses

2 - Eletropaulo peers: CPFL Paulista, Light, Cemig. EDP Bandeirante. Sul Peers: Elektro, RGE, CPFL Piratininga. Eletropaulo metric excludes SIRP (one timer R$29)

Started in 2007 and evolved from cost cutting to

business process transformation

- Strategic sourcing

- Shared services

- Process redesign

- IT tools implementation

2010-2012 cumulative P&L savings of R$ 331 million

Reducing manageable costs estimated at R$ 100

million from 2013 onwards

AES Eletropaulo among the lowest cost operators in

the country

PMSO¹ per customer (R$ million) Efficiency programs and results

178

207

AES Eletropaulo Comparable peers²

302

533

228 337

226

436 321

400

2013 2014 2015 2016 2017 2018 2019 2020 - 2028

Local Currency (ex FCesp)

53 85

180

589 478

688

323 221 180

2013 2014 2015 2016 2017 2018 2019 2020 2021 - 2028

Local Currency (ex FCesp)

36

Decrease in debt amortization volume for 2013-15 by R$ 750 million

Increase in the average debt maturity from 6.6 years to 7.2 years

Debt average costs decrease from CDI+1.29% to CDI+1.27%

More flexible covenants

Debt amortization schedule

Benefits

Debt refinancing conclusion of R$ 1 billion

with more flexible covenants

36

After restructuring (as of October, 2012)

R$ 1,063 million R$ 319 million

Before restructuring (as of September, 2012)

2012 2013 2014 2015 2016 2017 2018 2019 2020 -2028

249 302

533

228337

226

436321

180

4871

45

48

52

55

59

63

677

297372

579

276

388

281

495

385

857

Moeda Nacional (s/ Fundação CESP) Fundação CESP Market debt in R$ (ex-pension plan debt )

2012 2013 2014 2015 2016 2017 2018 2019 2020 -2028

249 302

533

228337

226

436321

180

4871

45

48

52

55

59

63

677

297372

579

276

388

281

495

385

857

Moeda Nacional (s/ Fundação CESP) Fundação CESP Market debt in R$ (ex-pension plan debt )

Covenants change

Gross debt / Adjusted Ebitda < 3.5

FROM

Net debt / Adjusted Ebitda < 3.5

(equivalent to 4.5x Gross Debt / Adjusted Ebitda)

TO

If the limit is exceeded in any quarter If the limit is exceeded for two consecutive

quarters

Not considered in the calculation Considered in the calculation

(same as before IFRS adoption)

Total debt recognized in liabilities Debt recognized in liabilities excluding the

“corridor” concept

Considered in the calculation of debt Out of debt calculation

Financial Index

Default

Regulatory assets

and liabilities

Pension plan debt

Compulsory loans

37

Covenants limits amended due to tariff

reset delay and higher energy costs

Amendment of covenants limits

completed in March/2013:

Net Debt / Adjusted Ebitda:

- 5.5x in 1Q13;

- 3.75x in 2Q13;

- 3.5x from 3Q13 onwards

Covenants breach is not expected to

repeat since:

- no impact on LTM Ebitda after May/13

related to regulatory liability

(Jul11/Jun2012);

- higher cost of energy funded by CDE

or reflected in tariff adjustment

38

Accounting impacts due to

tariff reset postponement

Higher net debt

Covenants consider Ebitda adjusted

by regulatory assets/liabilities

Jun/12: tariff reset regulatory liability

final release (R$ 287 million)

Higher cost of energy since Sep/12

lowered cash position

Net Debt/Adjusted Ebitda <= 3.5x

- Q1 13: limit amended to 5.5x

- Q2 13: limit amended to 3.75x

Adjusted Ebitda/Financial Expenses >= 1.75x

1 – According the new covenants 2 – Brazilian Interbank Interest Rate 3 – Inflation Index

Debt profile

Net debt Average cost

12.0% 11.7% Interest Rate

6.6 6.9

Average Time - years

2011 2012

0.0% 0.0%

% of CDI

6.6 6.9

Average Time - years

2011 2012

0.0% 0.0%

% of CDI

112.2% 109.8%

6.4 6.7

1Q12 1Q13

% of CDI² Average Time - years

39

Covenants

2.4 2.33.1

2.4

3.0

1.1x

4.4x

0.9x 0.8x

4.9x

2010 2011 2012 1Q12 1Q13

Net Debt (R$ billion) Net Debt/Ebitda Adjusted¹

Debt profile

40

Debt amortization schedule (financial liabilities as of March, 2013)

50 87 182

590 480690

325 221 18179 5548

5255

59

6368

679

79 119 130

138147

156

166177

1,719

209 260360

780682

905

554465

2,578

2013 2014 2015 2016 2017 2018 2019 2020 2021-2028

Local Currency (ex FCesp) Fcesp (ex Corridor¹) Fcesp (Corridor¹)

Due to the ICVM 695, the corridor (accumulated gains and losses) became fully recognized in the

Company balance sheet from January, 2013 on

AES Eletropaulo: challenges

2010 Dec/12 Sep/12 Mar/13 Jan/13

“Criando

Valor”

(Creating

Value) project

launch

Apr/13 Jul/12

3rd Tariff

Reset Cycle

and 2012

Tariff

Adjustment

Jul/13

41

Filling of

administrative

appeals at

Aneel

Debt

restructuring

(R$ 1 billion)

Beginning of

out-of-the-merit

thermals

dispatch,

affecting discos

cash flows

Sale of real

estate property

“Cambuci” (R$

160 million),

subject to

Aneel’s approval

Pension plan

accounting

changes

imposed by

CVM

Resolution 695

Extraordinary Tariff

Adjustment due to

Energy Cost

Reduction

Program, with 20%

average tariff

reduction

Covenants

limits

amendment

Starting to

receive

monthly

CDE1 funding

to cover

higher energy

costs

2013 Tariff

Adjustment

Expected events: Decision

by Aneel regarding

administrative appeals and

regulatory liabilities start to

be returned through tariffs,

due to the postponement of

the 3rd Tariff Reset Cycle

1 – CDE: Energy Development Account

24,496 26,897

23,057 22,895

2010 2011 2012 YTD Mar 13

Preferred

1 – Information until 05/08/2013. Index: 12/29/2005 = 100

2 – Total Shareholders’ Return

Capital markets

3 – Index: 05/08/2013

Daily avg volume (R$ thousand) AES Eletropaulo X Ibovespa

42

2009 2010 2011 YTD September

21,960 24,496

26,897 24,427

Preferred

• Market cap³: US$ 0.6 billion/R$ 1.3 billion

• BM&FBOVESPA: ELPL3 (common shares) and ELPL4 (preferred shares)

• ADRs at US OTC Market: EPUMY (preferred shares)

14,824

23,60619,589

28,254

9,683 9,315

15,844

11,717

4,2393,269

5,269

8,529

2010 2011 2012 Acm Mar/13

Preferred Common

13,922

20,246

12,584

21,113

703546

739

1,387

Shares negotiated (thousand)10

60

110

160

210

260

310

360

Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12

2005 - May 2013¹

Ibovespa AES Eletropaulo PN AES Eletropaulo TSR²

66.8%

-69.1%

66.7%

Attachment AES Sul and AES Uruguaiana Overview

AES Sul overview

Overview and Business Drivers

Overview

Serving 118 Municipalities in the State of Rio Grande do Sul

Concession area: 99,512 km2

1.2 million consumption units

1,308 directed employees

Concession valid until November, 2027

Business drivers

Regional GDP growth 2.5% (5-year average)

- Expectation for 2013 3.6%, grows to 4.3% in 2014-2015

2013 tariff reset concluded in April – in-line with our

expectations

Quality of services: SADI/SAIFI ~30% better than 2009 levels

Consolidation of efficiency programs, leading to operating

costs below regulatory levels (~2%)

Dividend payout of 63% in 2012 2011 clearing of regulatory

restrictions allowed distribution of dividends)

44

Net revenues (R$ million) Ebitda (R$ million) Net income (R$ million)

AES Sul financial highlights

1,866 2,027

2,341

586 543

2010 2011 2012 1Q12 1Q13

45

-7%

281

490

373

137

49

2010 2011 2012 1Q12 1Q13

199 246 255

60 61

2010 2011 2012 1Q12 1Q13

-64% 2%

Overview and Business Drivers

Overview

Independent natural gas-fired thermal power generation Company with

commercial operations achieved in 2000

Authorization expiration in 2027

Installed capacity of 640 MW

Located in the State of Rio Grande do Sul – city of Uruguaiana

Suspended operations in 2008 due to lack of gas supply from YPF in Argentina

(pending arbitration)

Business Drivers

Emergency operation from February 2013 to March 2013 to support reservoir

recovery

Working to return the plant to long-term service

Leveraging on AES Brazil-Argentina relationship

AES Uruguaiana overview

46

Attachment

Energy Sector in Brazil

1 - Interconnected National System, as of 2011

2 - Small Hydro Power Plants

3 - Aneel Fiscalization Report Sources: EPE, Aneel, ONS and Banks’ reports

13 groups controlling 76% of

total installed capacity

22% private sector

2,809 power plants

121 GW of installed capacity³

66% hydroelectric

27% thermoelectric

3% SHPP²

2% wind

2% nuclear and others

Contracting environment – free

and regulated markets

68 companies

68% private sector

High voltage transmission

(>230 kV)

103,362 km in extension lines

(SIN¹)

Regulated public service with

free access

Regulated tariff (annually

adjusted by inflation)

64 companies

448 TWh of energy

distributed in 2012

72 million consumers

67% private sector

Annual tariff adjustment

Tariff reset every four or five

years

Regulated public service

Regulated contracting

environment

Consumption of 14.770 MWavg

(26% of Brazilian total market)

Conventional sources: above

3,000 kW

Alternative sources: between

500 kW and 3,000 kW

Large consumers can purchase

energy directly from generators

Free contracting environment

Generation Transmission Distribution Free Clients

Energy sector in Brazil: business segments

48

Auctions: New Energy

and Existing Energy Bilateral contracts (PPAs1)

Main auctions (reverse auctions):

– New Energy (A-5): Delivery in 5 years, 15-30 years regulated PPA1

– New Energy (A-3): Delivery in 3 years, 15-30 years regulated PPA

– Existing Energy (A-1): Delivery in 1 year, 5-15 years regulated PPA

– Extraordinary (A-0): Delivery at the same year, 1-yearr regulated PPA

Energy sector in Brazil:

contracting environment

Generators, Independent Power Producers

(IPPs), Trading companies and Auto producers

Free clients Distribution companies

Generators and Independent

Power Producers (IPPs)

Regulated market Free market

1 – Power Purchase Agreement 49

Electric sector in Brazil:

generation market overview

Installed capacity (GW)

~ 3% annual GDP growth over the last 5 years

~ 4% annual demand growth through 2021, implying 60 GW of additional capacity needed (~6 GW/year) – 35 GW

already auctioned

Gas-fired thermal to leverage on the dispatchability benefit and on the hydrology risk

Growth by source - new auctions (GW)

Sources: EPE (Energetic Research Company): Ten-year Energy Plan 2021; AES analysis

Total: 25 GW

2

50

2012 2013 2014 2015 2016 2017 2018 2019 2020 2021

116 116 116 116 116 116 116 116 116 116

5 14 22 27 33 37 40 41 41 41 1 2 4 6 11 17 25

121 130 138 144 151 157 163 168

174 182

Current installed capacity Auctioned Upcoming Auctions

Hydro 10 GW

Wind 10 GW

Thermal 5 GW

Attachment Regulatory Environment

Regulatory

Opex

(PMSO)

Investment

Remuneration

Depreciation

Energy

Purchase

Transmission

Sector Charges

Tariff reset and adjustment

• Tariff Reset is applied each 4 years for AES Eletropaulo

− Next tariff reset: Jul/2015

− Parcel A: costs are largely passed through to the tariff

− Parcel B: costs are set by ANEEL

• Tariff Adjustment: annually

− Parcel A : costs are largely passed through to the tariff

− Parcel B: cost are adjusted by IGPM +/- X(1) Factor

Remuneration

Asset Base

X Depreciation

X WACC

Regulatory

Ebitda

Parcel A - Non-Manageable Costs

Parcel B - Manageable Costs

• Remuneration Asset Base:

– Prudent investments used to calculate

the investment remuneration (applying

WACC) and depreciation

• Regulatory Opex:

– Efficient operating cost determined by

ANEEL (National Electricity Agency)

• Parcel A Costs

− Non-manageable costs that are largely

passed through to the tariff

− Incentives to reduces costs

1 – X Factor: index that captures productivity gains

Distribution companies:

tariff methodology

52

3rd Cycle of tariff reset – X factor

X FACTOR

= Pd

Q

T

+ +

Distribution

productivity Quality of service

Operational expenses

trajectory

Capture productivity

gains

Stimulate

improvement of

service quality

Implement

operational expenses

trajectory

Defined at tariff reset,

considers the average

productivity of sector

adjusted by market

growth and

consumption variation

Defined at each tariff

readjustment, considers

variation of SAIDI and

SAIFI and comparative

performance of discos

Defined at tariff reset,

considers reference

company and

benchmarking

methodologies

DEFINITION

OBJECTIVE

APPLICATION

53

Distribution companies:

tariff methodology

3rd Cycle of Tariff Reset

for AES Eletropaulo

Gross Regulatory Asset Base: R$ 10,748.8 million

Net Regulatory Asset Base: R$ 4,445.1 million

Parcel B: R$ 2,007.1 million

Non Technical Losses (referenced in the low voltage market): start point at 11.56% and get to 8,56%,

by the end of the cycle

Average effect to be perceived by the consumer: -9.33%

Economical Effect: -5.60%

Average effect to be perceived by the consumer : +5.51%

Economical Effect: +4.45%

In 17th July, Company filed as administrative appeal at Aneel about the Regulatory Asset Base and

the non-technical losses trajectory. Aneel’s decision expected to be rendered by July, 2013

Average effect to be perceived by the consumer : -2.26%

Tariff Review

Tariff Adjustment

Tariff Review +

Adjustment

Administrative

Appeal

54

Benchmark company is an outlier, previous

number of 0.49% shall be restored

Exclusion R$ 1,260 million from shielded

RAB:

- Exclusion of cables: R$ 728 million

- Reclassification/equipment volume: R$

533 million

Shielded RAB approved in 2003,

reconfirmed in 2007, based on global

consistency criteria

R$ 446 million investments not recognize,

related to Minor Components and

Additional Costs (“CA”)

Changed the benchmark in Public Hearing

(regulatory losses reduction from 0.49% to

1%)

Adequacy of regulatory standards versus

actual spending

Shielded RAB

Investments

Losses

Arguments Discussion

Discussions with the Regulator

55

3rd Cycle of Tariff Reset

for AES Sul

Gross Regulatory Asset Base: R$ 2,503.0 million

Net Regulatory Asset Base: R$ 1,488.5 million

Parcel B: R$ 542.2 million

Non Technical Losses (referenced in the low voltage market): start point at 4.91% will be kept

during the entire tariff cycle (no trajectory)

Average effect to be perceived by the consumer: 3.92%

Economical Effect: 4.49%

Tariff Review

The Company will file an administrative appeal at Aneel about Regulatory Technical Losses,

that were not adequately calculated by the methodology

Administrative

appeal

56

Extension for 30 years with effects anticipated for 2013:

- Evaluation of assets using new replacement value methodology

Concession renewal will be based on O&M costs, industry charges, fees and network usage

Extension for 30 years, as per contract

Rules for renewal has not been defined

Generation &

Transmission

Concessions

Distribution

Concessions

Regulatory pressure to lower tariffs…

57

“Energy Cost Reduction Program” established by Provisional Measure 579 and Law 12.783

- Valid for concessions granted before 1995

- 20% average reduction in electricity costs, funded by:

- Generation and transmission concessions expiring 2015-2017: -13%

- Lower sector charges: -7%

-Minimal impact on AES Brasil businesses – concessions expire between 2027-2029

Overview

Low affluence impacting reservoirs level

Thermals dispatch of 12 GW since Sep, 2012

Out-of-merit-order: higher EES¹

Within-the-merit-order: rising

energy costs

… combined with poor hydrological conditions

impacted discos cash position…

Energy Cost Reduction

Program2

Hydrological risk transferred to

discos through quotas allocation

Non-renewal of some generation

concessions

Exposure to the spot market

(~ 2 GWavg)

Impact on cash position of discos since Sep/2012

1 - ESS (Service System Charges), which pays for the dispatch of thermals that are out-of-merit 2 – Provisional Measure 579 and Law 12.783 58

Component

After

Decree #7.945

ESS¹ (out-of-the-

merit-order thermal

dispatch)

Energy Purchase

(within-the-merit-order-

thermal-dispatch)

59

Involuntary

Exposure¹

Hydrological risk¹

CDE funding via

CCEE settlement

Tariff Adjustment

1 – Before Decree # 7.945, such costs would be passed-through via Tariff Adjustment.

… resulted in a measure to preserve discos

financial stability

Spot price new methodology

Previous

Regulation

CNPE Resolution # 3/2013

Transitory regulation

(April to July, 2013)

1 - Proportional to average commercialized energy of the last 12 months.

2 - ESS (System Service Charges), which pays for the dispatch of thermals that are out-of-merit

3 – Risk Aversion Curve

From August, 2013 on

Includes out-of-the-

merit-order thermal

dispatch

Charged from

all market

agents:1 • Discos

• Free cust.

• Generators

• Traders

Other 50%

for:

• Agents

with

exposure

to spot

prices

Resolution CNPE #3/2013:

Methodology for adequacy of risk aversion

mechanisms for spot prices formation

- Risk Aversion Curve (“CAR”) of 5 years

(starting from Aug/2013)

System Service Charges (“ESS”): prorated

among all market players (including generators)

Uptrend in spot prices, which should influence

prices in energy contracts representing an

opportunity to AES Tietê

Charged

from:

• Discos

• Free cust.

Spot

Price

ESS²

ESS

ESS

ESS

Spot

Price

Spot

Price

60

Attachment AES Tietê: Expansion Obligation

AES Eletropaulo: Eletrobrás Lawsuit

AES Tietê's expansion obligation

Efforts being made

by the Company to

meet the obligation :

• Long-term energy

contracts (biomass)

totaling an average of

10 MW

• SHPP São Joaquim -

started operating in

July, 2011, with 3 MW

of installed capacity

• SHPP São José -

started operating in

March, 2012, with 4

MW of installed

capacity

• Thermal SP - Project

of a 550MW gas fired

thermo plant

• Thermal Araraquara

- Acquisition of a

purchase option

1999 Jul/09 Oct/08 Aug/08 Sep/11 Sep/10

Privatization Notice

established the

obligation to expand the

installed capacity in

15% (400 MW) until

2007, either in

greenfield projects

and/or through long

term purchase

agreements with new

plants

Aneel informed

that the issue is

not related to

the concession

agreement and

must be

addressed with

the State of São

Paulo

Judicial Notice:

The Company was notified

by the State of São Paulo

Attorney's Office to present

its understanding on the

matter, having filed its

response on time, the

proceedings were ended,

since no other action was

taken by the Attorney's

Office

In response to a

Popular Action

(filed by individuals

against the Federal

Government, Aneel,

AES Tietê and

Duke), the Company

presents its defense

before the first

instance

Popular Action:

Due to the plaintiffs

failure to specify the

persons that should be

named as Defendants, a

favorable decision was

rendered by the first

Instance Court

(an appeal has been

filed)

AES Tietê was

summoned to answer a

Lawsuit filed by the

State of São Paulo,

which requested the

fulfillment of the

obligation in 24 months.

An injunction was

granted in order to have

a project submitted

within 60 days.

Nov/11 2007

Company faces restrictions until

deadline:

• Insufficiency of hydro resources

• Environmental restrictions

• Insufficiency of natural gas

supply

• New Model of Electric Sector

(Law # 10,848/2004), which forbids

bilateral agreements between

generators and distributors

Apr/12

Lawsuit:

The Company

appealed to the

State of Sao

Paulo State

Court of

Appeals and

the injunction

was kept

In March, 19th the

Company’s appeal

was denied. Thus,

on April, 26th AES

Tietê presented

“Thermo São Paulo”

project as the plan

to fullfill the

obligation to

expand the installed

capacity.

Dec/12

In December 6th was joined

to the process a

manifestation of the State of

São Paulo over the

Expansion Plan Capacity

presented by AES Tietê

Next Steps:

shortly, the Company shall

be intimated to pronounce

on the manifestation

62

Eletrobrás lawsuit

Nov/86

Stated-owned

Eletropaulo borrowed

money from Eletrobrás

Dec/88

State-owned

Eletropaulo and

Eletrobrás disagreed on

how to calculate

interest over that loan

and two lawsuits, which

were later merged into

one, were initiated

Sep/03

Based on the spin-off

protocol, the 2nd

Instance Court

excluded AES

Eletropaulo from the

lawsuit

Jun/06

The SCJ annulled the

2nd Instance Court

decision and sent the

Execution Suit back to

the 1st Instance Court,

with the determination

to identify the amount

to be paid and who

should be liable for

such payment, which

should be done through

an appraisal procedure.

Jan/98 Oct/05

Eletrobrás and CTEEP

appealed to the

Superior Court of

Justice (SCJ)

Sep/01

Eletrobrás, after

winning the interest

calculation discussion,

filed an Execution Suit

aiming the collection of

the amounts that were

in default

State-owned

Eletropaulo was spun-

off into four companies

and, according to our

understanding based

on the spin-off

agreement, the

discussion was

transferred to CTEEP

Privatization event .

State-owned

Eletropaulo became

AES Eletropaulo

Apr/98

63

Eletrobrás lawsuit

May/09

In accordance to the

procedure that was

stipulated by 2nd

Instance Court after

an appeal from AES

Eletropaulo,

Eletrobrás requested

the 1st Instance

Court to appoint an

expert

Dec/10

Eletrobrás requested

the beginning of the

appraisal procedure

before the 1st

Instance Court

Jul/11

The 1st Instance

Court determined

AES Eletropaulo and

CTEEP to present

their arguments,

which occurred in

August

Next Steps:

1 - The appraisal procedure (AP) is

expected to begin in the 1st half of

2013 and is expected to last over 6

months

2 – AP is not expected to be

concluded in a period shorter than 6

months from its beginning

3 - After AP’s conclusion, a 1st

Instance Court decision will be issued

> In case of an unfavorable decision:

4 – Appeal to the 2nd Instance Court

and file an injunction to stay the

execution proceedings

5 – If the injunction is not granted, the

execution proceeding can be resumed

and Eletropaulo will have to post a

guarantee

6 – Eletrobrás can request the seizure

of the guarantee

7 - Appeals to the Superior Courts and

file an injunction to stay the execution

proceedings

Dec/12

Eletrobrás requested

the withdrawal of the

judicial deposit made

by state-owned

Eletropaulo in 1988,

which now amounts

for R$ 95 MM

(principal of the loan

taken in 1986), as a

direct consequence of

Eletrobrás’ victory on

the merits

The 1st instance

Court dismissed the

parties’ requests of

producing evidences

and rendered a

decision stating AES

Eletropaulo’s

responsibility for the

debt pursuant to the

Spin-Off Protocol

Jan/12

AES Eletropaulo filed an

appeal on Jan 7th arguing that

the decision is invalid, because

the procedure preceding such

decision should encompass full

discovery, pursuant to Superior

Courts determination. Also,

the Company requested a

preliminary injunction to stay

the execution proceedings until

the ruling of the appeal

The Rio de

Janeiro State

Court of Appeals,

granted on 15th a

preliminary

injunction that

suspended the

effects of the

December 2012

decision

Feb/12

On 21st, AES

Eletropaulo became

aware of the

favorable decision

granted by the

TJRJ, which fully

annulled the first

instance decision

and determined the

return of the case to

the 1st instance

64

Attachment AES Eletropaulo: Pension plan

ACCOUNTING

EXPENSE

CASH

DISBURSEMENT

CVM (Brazilian SEC) Regulatory Agency PREVIC (Pension plans regulator)

Difference between interest on actuarial

liabilities and assets Determination Result of the FCesp actuarial valuation

Calculated in accordance to market

value (National Treasury Notes/NTN-B)

on 12/31/2012: 3.75% p.a.

Discount rate Calculated in accordance to a study performed

by FCesp (Resolution CNPC No. 9): 5.5% p.a.

Pension plan expenses and disbursements

are calculated using different assumptions

Company Financial Statements

Recognition FCesp Financial Statements

66

Main amendments on accounting rules

Until 12.31.2012

(Res. CVM 600)¹

From 01.01.2013

(Res. CVM 695)

Determined by a study of a specialized

company (6.79% for 2012)

Expected return on

plan assets

Corresponds to the actuarial liabilities

discount rate (3.75% for 2013)

Accrued over the years in the "corridor"

(10% excess of actuarial liabilities

recognized in the income statement)

Actuarial Gains

and losses

Fully recognized in the Company's balance

sheet (Liabilities and Shareholders‘ Equity)

Amortized over the average future

service period of active participants

and recognized in income statement

Corridor over 10%

of plan liabilities There is no impact (fully recognized in the

balance sheet of the Company)

1 – Revoked by CVM Resolution 695, on December 13, 2012 67

916.6 Rate costs 1,018.1 Discount rate decreases from 5.5% to 3.75%

(788.6) Expected return

on plan assets (696.5) Rate of return decreases from 6.79% to 3.75%

15.3

Amortization

of actuarial

gains and losses

- Extinction of the corridor method

2012

R$ million

2013

R$ milllion

159.7 Total expenditure 350.9

16.3 Service cost 29.3 Discount rate decreases from 5.5% to 3.75%

Impact on the income statement due to

changes imposed by CVM

Increase on expense shall be reversed through equity in the coming years due a grater expected

profitability of the plan compared to the expected return on plan assets used in the calculation

Average return over the last five years on 16% (above the actuarial target period) 68

Cash impacts with the plan

Amendments set forth by CVM 695 has no influence on assumptions and on the calculation

method of the pension plan cash disbursement

271.7 Cash disbursement

before and after CVM 695

2012

R$ million

2013

R$ million

283.6 IGP-DI discount rate decreases from +6% to +5.5%,

offset by marking securities to market

+4.4%

For 2014 is not expected a significant increase on cash disbursement, since the actuarial

assumptions were maintened

69

Attachment

Other subjects

Shareholders agreement

Any party with an intention to dispose its shares should first provide the other party the right to buy

the corporate interest at the same price offered by a third party

Once the offering party exercises the Drag Along clause, offered party is obligated to dispose of all

its shares at the time, if the Right of 1st Refusal is not exercised by offered party

In the case of change in Brasiliana’s control, tag along rights are triggered for the following

companies (only if AES is no longer controlling shareholder):

– AES Eletropaulo: Tag along of 100% on its common and preferred shares

– AES Tietê: Tag along of 80% on its common shares

– AES Elpa: Tag along of 80% on its common shares

On Dec-2003 AES and BNDES executed a Shareholders’ Agreement to regulate their relationship as shareholders of

Brasiliana and its controlled companies. The Agreement is available at www.aeseletropaulo.com.br/ri,

http://ri.aestiete.com.br/ and http://www.aeselpa.com.br/.

Shareholders can dispose its share at any time, considering the following terms:

Right of 1st

refusal

Drag along

rights

Tag along

rights

71

Costs and expenses

Costs and operational expenses1 (R$ million)

1 – Do not include depreciation and amortization 2 - Personnel, Material, Third Party Services and Other Costs and Expenses

72

246 245

372

66

224

187 174

198

51

41

2010 2011 2012 1Q12 1Q13

Energy Purchase, Transmission,Connection Charges and Water Resources

Other Costs and Expenses

433

117

419

570

264

²

126%

Operating costs and expenses¹ (R$ million)

Energy costs pushed the costs and

operating expenses in the 1Q13

1 - Not including depreciation and amortization 73

117 117

282 271 267 264

165

2 8 4 3

1Q12 electric energy purchased for resale

operat. Provisions and Other Exp.

personnel, material and third party services

transmission and Conection

financ. comp. for use of wat. resources

1Q13

Costs and expenses

Costs and operational expenses1 (R$ million)

1 – Do not include depreciation and amortization

2 - Personnel, Material, Third Party Services and Other Costs and Expenses

PMS2 and other expenses (R$ million)

4,354 4,464 5,376

1,211 1,422

1,255 1,251

1,551

421 450

5,609 5,715

6,927

1,632 1,872

2010 2011 2012 1Q12 1Q13

Energy Supply and Transmission Charges¹

PMS² and Others Expenses

74

647546

725

190 211

443513

565

132 134

165 192

261

99 106

1,255 1,251

1,551

421 450

2010 2011 2012 1Q12 1Q13

Personnel and Payroll Material and Third Party Others

15%

7%

75

Manageable PMSO¹ items

below the inflation in 1Q13 PMS and other expenses¹ – 1Q13 (R$ million)

-1.4%

421

356

297 297 294 292 292 292

362

450

(65)

(60)(3) 1 (3)

69

88

1Q12 FCesp Contingencies, ADA and

Write-Offs

1Q12Manageable

Personal Materials and

Third Party Services

Others 1Q13Manageable

Contingencies, ADA and

Write-Offs

FCesp 1Q13

1 - Personnel, Material, Third Party Services and Other Costs and Expenses

Brazilian main taxes

AES Eletropaulo

• Income Tax / Social Contribution:

– 34% over taxable income

• ICMS: 22% over Revenue (average rate)

– Residential: 25%

– Industrial and commercial: 18%

– Public entities: free

• PIS/Cofins:

– 9.25% over revenue minus Costs

AES Tietê

• Income Tax / Social Contribution:

– 34% over taxable income

• ICMS (VAT tax)

– deferred tax

• PIS/Cofins (sales tax):

– Eletropaulo´s PPA: 3.65% over Revenue

– Other bilateral contracts: 9.25% over Revenue

minus Costs

76

The statements contained in this document with regard to the business prospects, projected operating and financial

results, and growth potential are merely forecasts based on the expectations of the Company’s Management in

relation to its future performance. Such estimates are highly dependent on market behavior and on the conditions

affecting Brazil’s macroeconomic performance as well as the electric sector and international market, and they are

therefore subject to changes.

Contacts:

ri.aeseletropaulo@aes.com

ri.aestiete@aes.com

+ 55 11 2195 7048