Conto Energia)

Falck Renewables

Italy / Utilities Company report

Investment Research Reason: Initiation of Coverage 19 June 2013

Buy An undervalued asset base gets closer to value recognition Initiating Coverage We believe that Falck Renewables’ assets are strongly undervalued. The proof of Share price: EUR 0.83 this is due to materialise by the end of the year, once the company has completed closing price as of 18/06/2013 the sale of a minority stake in its UK wind assets. In fact, the sale will provide a Target price: EUR 1.50 tangible valuation of the company’s installed capacity. Based on our estimates,

Falck Renewables’ current installed capacity is worth around EUR 1.49m per MW, Reuters/Bloomberg AA4.MI/FKR IM while the all-in cost for a wind farm is around EUR 1.85m per MW. We have Daily avg. no. trad. sh. 12 mth 2,892,110 performed a sum-of-the-parts valuation for Falck Renewables. Our valuation Daily avg. trad. vol. 12 mth (m) 241.03 points to a target price of EUR 1.5 per share. We have thus started the coverage Price high 12 mth (EUR) 1.14 on the company with a BUY recommendation. Price low 12 mth (EUR) 0.79 Abs. perf. 1 mth -5.5%  Falck Renewables has recently unveiled its 2013-2017 business plan. Abs. perf. 3 mth -11.7% The company is proving its proactive approach to cope with the present difficult Abs. perf. 12 mth -0.9% macroeconomic context that requires strong actions in order to overcome this

Market capitalisation (EURm) 240 situation with an improved industrial stance and, possibly, to take the existing Current N° of shares (m) 291 opportunities.

Free float 0%  Falck Renewables has identified in its portfolio the following issues to be

Key financials (EUR) 12/12 12/13e 12/14e readdressed: a) excessive focus on wind technology (around 92% of its installed Sales (m) 277 284 294 capacity and 81% of its production in 2012); b) high exposure to wind EBITDA (m) 158 137 144 unpredictability; c) the progressive decrease in wind quality of new sites (i.e. lower EBITDA margin 57.0% 48.1% 49.1% EBIT (m) (21) 61 71 load factors). EBIT margin nm 21.5% 24.2%  All these elements are pushing the company: 1) to increase the programmable Net Profit (adj.)(m) (92) 3 2 ROCE -1.7% 4.9% 6.0% source exposures; 2) to focus on technologies where profitability is less dependent Net debt/(cash) (m) 843 800 739 on incentives; 3) to reduce out-sourcing services; 4) to decrease debt leverage; Net Debt Equity 2.5 2.3 2.1 5) to widen the portfolio to get scale effects and direct control on plant Net Debt/EBITDA 5.3 5.9 5.1 performances. Int. cover(EBITDA/Fin.int) 3.4 2.6 2.9 EV/Sales 4.1 3.7 3.4  The company’s first strategic objective is to create partnerships through the sale of EV/EBITDA 7.1 7.6 6.8 minority stakes in existing operating plants located in the UK and to continue to EV/EBITDA (adj.) 7.1 7.6 6.8 EV/EBIT nm 17.0 13.8 develop new initiatives (mainly in programmable sources). The sale is due to be P/E (adj.) nm nm nm completed by early 2014. P/BV 0.8 0.7 0.7 OpFCF yield 11.4% -16.5% 3.7%  In our estimates we have considered an EV for UK Wind assets of around Dividend yield 0.0% 0.3% 0.3% EUR 560m as detailed in the valuation paragraph. We then deducted the 2012 debt EPS (adj.) (0.27) 0.01 0.01 portion related to these assets (in accordance with company guidance) to find the BVPS 1.18 1.19 1.20 theoretical equity value. We applied a 20% discount in order to estimate the DPS 0.00 0.00 0.00 potential cash-in for Falck Renewables. The discount we applied is mainly due to

the size of the deal, to the pipeline and to the general revision of the incentive 1.15vvdsvdvsdy mechanism currently underway in the UK. On these bases we obtained that the 1.10 sale proceeds may be around EUR 135m. We have assumed that around 60% of 1.05

1.00 this amount, roughly EUR 81m, is due to be banked in 2013 while the remaining

0.95 40% in 2014 (around EUR 54m).

0.90  Valuation. We have performed a sum-of-the-parts (SoP) valuation for Falck 0.85

0.80 Renewables in order to assess its value, trying to capture the specific value related

0.75 May 12 Jun 12 Jul 12 Aug 12 Sep 12 Oct 12 Nov 12 Dec 12 Jan 13 Feb 13 Mar 13 Apr 13 May 13 Jun 13 to the single business units and to the different geographical areas the company operates. Our SoP valuation for Falck Renewables points to a EUR 1.5/sh fair Source: Factset FALCK RENEWABLES Stoxx Europe 600 (Rebased) Shareholders: value, which is also our target price on the stock. At the current market prices, this target implies an upside potential of around 70%. We have thus started the coverage on the company with a BUY recommendation.

For company description please see summary table footnote Analyst: Dario Michi +39 02 4344 4237 [email protected]

Produced by: All ESN research is available on Bloomberg “ESNR”, Thomson-Reuters, Capital IQ, FactSet

Distributed by the Members of ESN (see last page of this report)

Falck Renewables

CONTENTS

An undervalued asset base, but the proof is materialising ...... 3 Valuation ...... 5 Financials ...... 7 2013-2017 Business Plan ...... 16 The Sicilian dispute ...... 21 Italian green certificates: regulatory framework ...... 25 Photovoltaic Incentives (Conto Energia) ...... 27 CIP 6/92 ...... 28 United Kingdom: regulatory framework in the wind sector ...... 28 Spain: regulatory framework ...... 30 France: regulatory framework in wind sector ...... 31 Falck Renewables profile ...... 32 ESN Recommendation System ...... 41

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An undervalued asset base, but the proof is materialising

Industrial stance. Falck Renewables has recently unveiled its 2013-2017 business plan. The company is proving its proactive approach, given that, in our view, the difficult macroeconomic environment requires strong actions in order to face the crisis, to overcome this situation with an improved industrial stance and, if possible, to take the opportunities this negative scenario is offering. To do that, Falck Renewables has identified in its portfolio the following issues due to be readdressed: excessive focus on wind technology (around 92% of its installed capacity and 81% of its production in 2012); high exposure to wind unpredictability; the progressive decrease in wind quality of new sites (i.e. lower load factors).

All these elements are pushing the company: to increase the programmable source exposures; to focus on technologies where profitability is less dependent on incentives; to reduce out-sourcing services (greenfield development); to progressively decrease debt leverage; to widen the portfolio to get scale effects and direct control on plant performances (O&M).

The company’s strategic objective is to create partnerships through the sale of minority stakes in existing operating plants located in the UK and to continue to develop new initiatives (mainly in programmable sources). The sale is due to be completed by early 2014. In our estimates we considered an EV for Wind UK assets of around EUR 560m as detailed in the valuation paragraph. We then deducted the 2012 debt portion related to these assets (in accordance with company guidance) to reach the theoretical equity value. We applied a 20% discount in order to estimate the potential cash-in for Falck Renewables. The discount we applied is mainly due to the size of the deal, to the pipeline (farms under construction and authorised) and to the general revision of the incentive mechanism currently underway in the UK. On these bases we obtained that the sale proceeds may be around EUR 135m. We assumed that around 60% of this amount, roughly EUR 81m, is due to be banked in 2013 while the remaining 40% in 2014 (around EUR 54m).

EURm

EV Wind UK (current installed capacity + farms under construction + authorised projects) 562 UK Wind Debt 219 Theoretical Equity Value UK Wind 343 Theoretical Equity Value UK Wind (net of 20% discount) 274 Theoretical proceeds for the UK Wind 49% due to be sold 135 Source: Banca Akros estimates

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It is also worth noting that if we apply the implicit value of the deal we are considering (i.e. around EUR 1.61m per MW not considering the 20% discount given that we are going to use this figure to value 2012 installed capacity only), we would obtain a theoretical value for Falck Renewables’ equity of EUR 331m or around EUR 1.14 per share. We remind readers that this valuation is very conservative given that: Falck Renewables’ installed capacity is not 100% wind, and, thus, we are underestimating WTE (cost around EUR 5.5m per MW vs. EUR 1.61m per MW we are using to evaluate the company’s installed capacity), Solar (EUR 2.0m) and Biomass (EUR 3.5m) installed capacity and we are not considering waste management and O&M service activities; we are using EUR 1.61m per MW, while the cost for a wind farm is around EUR 1.85m; we are not assigning any value to Falck Renewables’ pipeline.

Sicilian assets. The company is involved in a legal battle over the construction and management of three WTE plants in Sicily. This matter, which took place prior to the appointment of the current management team, commencing with the public tender process in 2002 to award the conventions for the integrated systems of waste treatment and electricity production in Sicily, culminated in: (i) civil proceedings with the Sicily Region; (ii) administrative proceedings before the Palermo TAR and (iii) the magistrates’ investigation into the tender for the construction of integrated waste management systems in Sicily. Falck Renewables sought compensation for the damage suffered in respect of both the pecuniary loss (circa EUR 105.0m) and the loss of profit (roughly EUR 162.5m). This means a total potential cash-in for Falck Renewables of around EUR 267.5m. At the same time, the Sicilian Regional Administration is asking for compensation for the damage it alleges it suffered, quantified in EUR 63.7m. Falck Renewables adjusted its 2012 consolidated financial statements to book impairment losses on the Sicilian assets. This was due to the increasing complexity and uncertainty surrounding the dispute with the Sicily Region. The total impact from these negative adjustments on the consolidated profit for 2012 is roughly EUR 104m. Following these adjustments, Falck no longer has any residual value in its balance related to the Sicilian WTE plants/projects. In any case, legal proceedings against the Sicily Region will continue in order to uphold Falck Renewables’ rights and motives and provide defence against the claims made by the Department.

Valuation. We performed a sum-of-the-parts (SoP) valuation for Falck Renewables in order to assess its value, given that we believe this method captures, better than any other, the specific value related to the single business units and to the different geographical areas in which the company operates. Our SoP valuation for Falck Renewables points to a EUR 1.5 per share fair value, which is also our target price on the stock. At the current market prices, this target implies an upside potential of around 70%. We have thus started the coverage on the company with a BUY recommendation. It is worth noting that at our roughly EUR 436m of equity value target (EUR 1.5 per share), Falck Renewables’ current installed capacity is worth around EUR 1.75m per MW. This is quite conservative, considering that Falck Renewables’ installed capacity is 92% wind (the all-in cost for a wind farm is around EUR 1.85m per MW), 4% WTE (EUR 5.5m per MW), 2% Solar (EUR 2.0m) and 2% Biomass (EUR 3.5m). Based on our estimates, at the current market price of around EUR 0.84 per share, Falck Renewables’ current installed capacity is worth around EUR 1.49m per MW.

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Valuation

We performed a sum-of-the-parts (SoP) valuation for Falck Renewables in order to assess its value, given that we believe this method captures, better than any other, the specific value related to the single business units and to the different geographical areas in which the company operates. Our SoP valuation for Falck Renewables points to a EUR 1.5 per share fair value, which is also our target price on the stock. At the current market prices, this target implies an upside potential of around 70%. We have thus started the coverage on the company with a BUY recommendation.

SoP (EURm)

Wind UK DCF 562.3 Wind Italy DCF 555.6 Wind France DCF 61.8 Wind Spain DCF 48.3 Solar Italy DCF 76.7 WTE Italy DCF 80.0 Biomass Italy DCF 27.8 Waste management Italy DCF 7.1 O&M DCF 0.4 Holding costs Multiple EV/EBITDA @ 5x (85.0) Enterprise Value (EV) 1,337.3

Debt as at 31/12/2012 YE2012 (842.8) Minorities (estimated value) P/BV (6.2) Compensation claimed by the Sicilian Administration NPV (48.7) Provisions YE2012 (4.0) Equity value 437.2

NOSH (m) 291.4

Equity per share (EUR) 1.5

Source: Banca Akros estimates

Our sum-of-the-parts valuation is based on the following: a DCF model for the single business unit, considering the residual useful asset life of each plant, with no terminal value and with a different WACC calculated on the basis of the plants’ geographical area/tariff/financing condition (as detailed in the table below); we have considered only the installed capacity as at the end of 2012 plus the MW under construction (i.e. Nutberry – 15MW; West Browncastle – 30MW) and the MW ready to be built (i.e. Spaldington – 12.5MW; Kingsburn – 20 MW). We did not include any new wind extension in Italy, nor in France and Spain, no new WTE installation and no new solar panels; we are assuming that the new feed-in-tariff due to replace the “Green Certificate” incentive mechanism starting from the 1st of January 2016 will be set in accordance with the current remuneration system for plants that entered into operation before January 2013; the current Robin Hood Tax burden on the Italian activities will be confirmed also from 2014 onward, while the law that introduced it envisaged a decrease from 10.5% to 6.5% of the additional IRES; for the holding costs we have assumed a 5x EV/EBITDA based on 2012 figures (roughly EUR 17m) in order to calculate the divisional enterprise value;

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we took into account the compensation asked by the Sicily Region’s Department for Energy and Public Utilities for the damage that it allegedly suffered as a result of the presumed breach of the conventions signed with the President of the Sicily Region for the construction and management of the WTE plants. The total potential cash-out for Falck Renewables is around EUR 63.7m. According to company guidance, the solution to the dispute is not due before 2017 (the last year included in the business plan). We have thus considered the cash-out in 2018 and we calculated the net present value of this amount by using as discount factor the cost of debt we have assumed in our WACC calculations for the Italian activities (i.e. 5.5%).

Risk-free Market risk Cost Beta Tax Divisions D/(D+E) WACC rate premium of debt unlevered rate Wind UK 3.5% 4.0% 4.0% 1.2 23% 45% 6.0% Wind Italy 4.5% 4.0% 5.5% 1.2 40% 45% 6.6% Wind France 3.5% 4.0% 5.0% 1.2 33% 45% 6.1% Wind Spain 4.8% 4.0% 4.5% 1.2 30% 45% 6.7% Solar Italy 4.5% 4.0% 5.5% 1.2 40% 45% 6.6% WTE Italy 4.5% 4.0% 5.5% 1.2 40% 40% 6.9% Biomass Italy 4.5% 4.0% 5.5% 1.2 40% 40% 6.9% Waste management Italy 4.5% 4.0% 5.5% 1.2 40% 40% 6.9% O&M 4.5% 4.0% 5.5% 1.2 31% 30% 7.6% Source: Banca Akros estimates

It is worth noting that at our roughly EUR 436m of equity value target (EUR 1.5 per share), Falck Renewables’ current installed capacity is worth around EUR 1.75m per MW. This is quite conservative, considering that Falck Renewables’ installed capacity is 92% wind (the all-in cost for a wind farm is around EUR 1.85m per MW), 4% WTE (EUR 5.5m per MW), 2% Solar (EUR 2.0m) and 2% Biomass (EUR 3.5m). Based on our estimates, at the current market price of around EUR 0.84 per share, Falck Renewables’ current installed capacity is worth around EUR 1.49m per MW.

SWOT Analysis

STRENGTHS WEAKNESSES . Young asset portfolio and geographical . Exposure to GBP/EUR exchange rate diversification; fluctuations; . Strong management team; . Overhang risk related to Mr. Heller and Mr. . No relevant short-term re-financial needs; Colombo’ stakes (on a total 8% share capital); . Sound and visible growth over 2012-2017 . High exposure in terms of revenues to the (EBITDA CAGR around 3% based on our incentives (i.e. around 50%); estimates); . Low free float; . Available credit lines at 235bps spread vs. . Excessive focus on wind technology. EURIBOR.

OPPORTUNITIES THREATS . Potential positive outcome arising from the . Potential negative outcome arising from the Sicilian dispute; Sicilian dispute; . Sale of the 49% stake in UK wind assets; . Changes in the regulatory frameworks; . Programmable source developments; . Additional windfall tax introduction. . Service sector developments.

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Financials

In order to provide the clearest and the most transparent presentation of our financial projections, we have decided to analyse each segment in which the company operates. We have started with wind, which is the most important one, representing around 92% of Falck Renewables installed capacity and roughly 81% of the company’s production in 2012. Wind. As at the end of 2012, Falck Renewables had around 655MW of installed capacity in the wind sector.

Wind installed capacity breakdown by geographical area

Wind France Wind Spain 6% 7% Wind UK Wind Italy 42% 45%

Source: Company Data

Wind Italy. As at the end of 2012, Falck Renewables had around 292MW of installed capacity in the wind sector in Italy.

Installed Stake Load Production Site Incentive COD capacity (MW) (%) Factor (%) (GWh) Minervino Murge 52.0 100 23 102.5 Green Certificate Dec. 2008 San Sostene North Ridge 42.0 100 23 82.8 Green Certificate Oct. 2009 San Sostene South Ridge 37.5 100 23 73.9 Green Certificate Oct. 2010 Buddusò - Alà dei Sardi 138.0 100 27 326.4 Green Certificate Dec. 2011 Petralia Sottana 22.1 100 23 43.6 Green Certificate Dec. 2012 Source: Banca Akros estimates

In our estimates we considered an useful asset life of 25 years. In the first 15 years the production benefits from the green certificate incentive, while in the last 10 years the production is sold at market prices. The load factors and thus the production we have taken into account are the average load factors we consider for the residual asset life for each farm. We have assumed this value flat for the entire useful asset life. In our projections we updated the market price for a 1.5% flat CPI, starting from EUR 65/MWh in 2013. Green certificate values are calculated in accordance with the Law Decree 28/2011 on 3rd March 2011: (EUR 180MW - the electricity price of the previous year) * 78%

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In our incentive revenues we also considered (on the negative side) the charges related to the unbalanced system the AEEG has recently introduced in order to limit the volatility of the unpredictable sources. More in detail, we factored in EUR 6/MWh of charges, in line with AEEG indications (EUR 6/7 per MWh). In our view, this is a conservative assumption, given Falck Renewables’ management’s ability to handle its farms and thus predict their production. Once we calculated the divisional revenues, split between incentive revenues and market price revenues, we applied an EBITDA margin in the range of 78% in order to calculate the gross margin. We kept the EBITDA margin flat until farms benefitted from the green certificate tariff and then we have estimated a decrease in margins to around 60%. We then deducted the precise D&A (construction costs divided by asset life) to reach the divisional EBIT.

P&L (EURm) 2013E 2014E 2015E 2016E 2017E CPI 1.5% 1.5% 1.5% 1.5% 1.5% Market price (EUR/MWh) 65.0 66.0 67.0 68.0 69.0 Green Certificates (EUR/MWh) 89.7 88.9 88.2 87.4 86.6 Unbalance (EUR/MWh) -6.0 -6.0 -6.0 -6.0 -6.0 Revenues related to mkt price 40.9 41.5 42.1 42.8 43.4 Revenues related to incentives 56.4 56.0 55.5 55.0 54.5 Revenues 97.3 97.5 97.6 97.7 97.9 EBITDA 75.9 76.0 76.1 76.2 76.3 EBITDA margin 78.0% 78.0% 78.0% 78.0% 78.0% D&A 27.8 27.8 27.8 27.8 27.8 EBIT 48.1 48.2 48.3 48.4 48.6 EBIT margin 49.4% 49.5% 49.5% 49.6% 49.6% Source: Banca Akros estimates

Wind UK. As at the end of 2012, Falck Renewables had around 273MW of installed capacity in the wind sector in the UK.

Installed Stake Load Production Site Incentive COD capacity (MW) (%) Factor (%) (GWh) Cefn Croes 58.5 100 34 174.2 NFFO Apr. 2005 Boyndie 16.7 100 34 49.4 ROs + LEC+ TAB Jun. 2006 Earlsburn 37.5 100 34 111.7 ROs + LEC+ TAB Dec. 2007 Ben Aketil 23.0 100 34 68.5 ROs + LEC+ TAB Jan. 2008 Ben Aketil Extension 4.6 100 34 13.7 ROs + LEC+ TAB Jan. 2011 Kilbraur 47.5 100 34 141.5 ROs + LEC Feb. 2009 Kilbraur Extension 20.0 100 34 59.6 ROs + LEC Sep. 2011 Millennium 40.0 100 34 119.1 ROs + LEC Feb. 2009 Millennium Extension I 10.0 100 34 29.8 ROs + LEC Mar. 2009 Millennium Extension II 15.0 100 34 44.7 ROs + LEC May 2011 Nutberry 15.0 100 34 44.7 ROs + LEC Jun. 2013 West Browncastle 30.0 100 34 89.4 ROs + LEC+ TAB Jun. 2014 Spaldington 12.5 100 34 37.2 ROs + LEC+ TAB Jan. 2015 Kingsburn 20.0 100 34 59.6 ROs + LEC+ TAB Jan. 2016 Source: Banca Akros estimates

In our estimates we considered an useful asset life of 25 years. In the first 20 years the production has benefitted from the green certificate incentive, while in the last 5 years the production has been sold at market prices.

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The load factors and thus the production we took into account are the average load factors we consider for the residual asset life for each farm. We have assumed this value is flat for the entire useful asset life. In our projections we updated the market price for a 1.5% flat CPI, starting from GBP 50/MWh in 2013. We did the same for NFFO and ROs incentive tariffs, starting respectively from GBP 70/MWh and GBP 42/MWh in 2013. In order to estimate the divisional revenues, we considered the PPA (Power Purchase Agreement) contracts, according to which Falck Renewables sells its production in the UK. On average, the PPA contracts imply a 10% discount vs. the theoretical value calculated by multiplying the production by the market price and the incentives. Once we calculated the divisional revenues, we applied an EBITDA margin in the range of 70% in order to calculate the gross margin. We kept the EBITDA margin flat until farms benefit from the incentive tariffs and then we reduced the margin to around 55%. We then deducted the precise D&A (construction costs divided by asset life) to reach the divisional EBIT. In order to convert the GBP figures we applied a GBP/EUR 0.9 exchange rate. This is quite conservative, considering that a EUR/GBP 0.85 exchange rate would generate, based on our estimates, roughly 5% of additional EBITDA p.a.

P&L 2013E 2014E 2015E 2016E 2017E CPI 1.5% 1.5% 1.5% 1.5% 1.5% Market price (GBP/MWh) 50.0 50.8 51.5 52.3 53.1 NFFO (GBP/MWh) 70.0 71.1 72.1 73.2 74.3 ROs (GBP/MWh) 42.0 42.6 43.3 43.9 44.6 LECs (GBP/MWh) 4.5 4.5 4.5 4.5 4.5 Revenues related to mkt price (GBPm) 41.7 45.7 50.7 54.5 55.3 Revenues related to incentives (GBPm) 37.2 40.9 45.3 48.8 49.4 Revenues gross of PPA (GBPm) 78.9 86.6 96.0 103.3 104.8 Revenues net of PPA (GBPm) 71.0 78.0 86.4 93.0 94.3 Revenues (EURm) 78.9 86.6 96.0 103.3 104.8 EBITDA (EURm) 55.2 60.6 67.2 72.3 73.3 EBITDA margin 70.0% 70.0% 70.0% 70.0% 70.0% D&A (EURm) 18.0 20.5 21.6 23.2 23.2 EBIT (EURm) 37.2 40.1 45.6 49.1 50.1 EBIT margin 47.1% 46.3% 47.5% 47.5% 47.8% Source: Banca Akros estimates

Wind Spain. As at the end of 2012, Falck Renewables had around 49MW of installed capacity in the wind sector in Spain.

Installed Stake Load Production Site Incentive COD capacity (MW) (%) Factor (%) (GWh) La Muela 25.7(*) 26 25 56.4 2007 Royal Decree - FiT Feb. 2003 Cabezo San Roque 23.3 100 25 50.9 2007 Royal Decree - FiT Jan. 2004 (*) Falck Renewables pro-quota installed capacity Source: Banca Akros estimates

In our estimates we considered an useful asset life of 25 years. The 2007 Royal Decree Feed-in Tariff is valid for the entire asset life. The load factors and thus the production we took into account are the average load factors we consider for the residual asset life for each farm. We assumed this value is flat for the entire useful asset life. In our projections we took the all-in tariff flat at EUR 92.5/MWh.

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Once we calculated the divisional revenues, we applied an EBITDA margin in the range of 64% in order to calculate the gross margin. We kept the EBITDA margin flat for the entire asset life. We then deducted the precise D&A (construction costs divided by asset life) to reach the divisional EBIT.

P&L (EURm) 2013E 2014E 2015E 2016E 2017E Market price (EUR/MWh) 50.0 50.0 50.0 50.0 50.0 FiT- Regio Decree 2007 (net of market price)-EUR/MWh 42.5 42.5 42.5 42.5 42.5 Revenues related to mkt price 5.4 5.4 5.4 5.4 5.4 Revenues related to incentives 4.6 4.6 4.6 4.6 4.6 Revenues 9.9 9.9 9.9 9.9 9.9 EBITDA 6.4 6.4 6.4 6.4 6.4 EBITDA margin 64.0% 64.0% 64.0% 64.0% 64.0% D&A 2.1 2.1 2.1 2.1 2.1 EBIT 4.2 4.2 4.2 4.2 4.2 EBIT margin 42.4% 42.4% 42.4% 42.4% 42.4% Source: Banca Akros estimates

Wind France. As at the end of 2012, Falck Renewables had around 42MW of installed capacity in the wind sector in France.

Installed Stake Load Production Site Incentive COD capacity (MW) (%) Factor (%) (GWh) Le Fouy 10 100 23 20.1 Arrêté 2008 - FiT Apr. 2009 Les Cretes 10 100 23 20.1 Arrêté 2008 – FiT Apr. 2009 Esquennois 12 100 23 24.2 Arrêté 2008 – FiT Jul. 2009 TY-RU 10 100 26 22.8 Arrêté 2008 - FiT Oct. 2012 Source: Banca Akros estimates

In our estimates we considered an useful asset life of 25 years. The Arrêté 2008 feed-in tariff is valid for the entire asset life. The load factors and thus the production we took into account are the average load factors we consider for the residual asset life for each farm. We assumed this value is flat for the entire useful asset life. In our projections we updated the feed-in tariff (broken down by market price plus the deducted incentive) for a 1.5% flat CPI, starting from EUR 91/MWh in 2013. Once we calculated the divisional revenues, we applied an EBITDA margin in the range of 70% in order to calculate the gross margin. We kept the EBITDA margin flat for the entire asset life. We then deducted the precise D&A (construction costs divided by asset life) to reach the divisional EBIT.

P&L (EURm) 2013E 2014E 2015E 2016E 2017E Market price (EUR/MW) 50 50.8 51.5 52.3 53.1 Arrêté 2008 - FiT (net of market price) EUR/MWh 41 41.6 42.2 42.9 43.5 Revenues related to mkt price 4.4 4.4 4.5 4.6 4.6 Revenues related to incentives 3.6 3.6 3.7 3.7 3.8 Revenues 7.9 8.1 8.2 8.3 8.4 EBITDA 5.6 5.6 5.7 5.8 5.9 EBITDA margin 70.0% 70.0% 70.0% 70.0% 70.0% D&A 2.9 2.9 2.9 2.9 2.9 EBIT 2.6 2.7 2.8 2.9 3.0 EBIT margin 33.3% 33.8% 34.4% 34.9% 35.4% Source: Banca Akros estimates

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Solar. As at the end of 2012, Falck Renewables had around 16MW of installed capacity in the solar sector. The plants are located in Italy.

Installed Stake Load Production Site Incentive COD capacity (MW) (%) Factor (%) (GWh) Rende 1.0 100 17 1.5 I Conto Energia Jul. 2007 Trezzo 0.1 100 10 0.1 I Conto Energia Oct. 2007 Calce 1.0 100 23 2.0 I Conto Energia Jul. 2009 Notarpanaro 1.0 100 15 1.3 I Conto Energia May 2010 Spinasanta 6.0 100 18 9.4 III Conto Energia Apr. 2011 Sugherotorto 3.3 100 18 5.2 III Conto Energia Apr. 2011 Cardonita 3.7 100 18 5.8 III Conto Energia Apr. 2011 Source: Banca Akros estimates

In our estimates we considered an useful asset life of 20 years. The Conto Energia incentives last the entire asset life. The load factors and thus the production we took into account are the average load factors we consider for the residual asset life for each plant. We assumed this value is flat for the entire useful asset life. In our projections we kept the selling prices flat: EUR 65/MWh as the market price, EUR 460/MWh as “Conto Energia” incentive, EUR 358/MWh as “Terzo Conto Energia” incentive. Once we calculated the divisional revenues, split between incentive revenues and market price revenues, we applied an EBITDA margin in the range of 85% in order to calculate the gross margin. We kept the EBITDA margin flat over the 20-year asset life. We then deducted the precise D&A (construction costs divided by asset life) to reach the divisional EBIT.

P&L (EURm) 2013E 2014E 2015E 2016E 2017E Market price (EUR/MWh) 65.0 65.0 65.0 65.0 65.0 Conto Energia (EUR/MWh) 460.0 460.0 460.0 460.0 460.0 Terzo Conto Energia (EUR/MWh) 358.0 358.0 358.0 358.0 358.0 Revenues related to mkt price 1.6 1.6 1.6 1.6 1.6 Revenues related to incentives 9.5 9.5 9.5 9.5 9.5 Revenues 11.2 11.2 11.2 11.2 11.2 EBITDA 9.5 9.5 9.5 9.5 9.5 EBITDA margin 85.0% 85.0% 85.0% 85.0% 85.0% D&A 3.3 3.3 3.3 3.3 3.3 EBIT 6.2 6.2 6.2 6.2 6.2 EBIT margin 55.5% 55.5% 55.5% 55.5% 55.5% Source: Banca Akros estimates

WTE. As at the end of 2012, Falck Renewables had around 31MW of installed capacity in the WTE sector. The plants are located in Italy.

Load Gross Disposal Load Volumes Stake IC Site Factor Production Capacity Factor disposed off Incentive COD (%) (MW) (%) (GWh) (tons/year) (%) (tons/year) Trezzo Sep. 85 20 91 162.1 170,000 100 170,000 CIP6/92 Sull'Adda 2003 Granarolo Sep. 49 10.8(*) 90 85.0 98,000 100 98,000 CIP6/92 Dell'Emilia 2004 Source: Banca Akros estimates (*) Falck Renewables pro-quota installed capacity

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Electricity production. In our estimates we considered an useful asset life of 20 years (the end of the concessions: Trezzo - December 2023; Granarolo – December 2025). In the first 15 years the production benefits from the CIP6/92 incentive, while in the last 5 years the production is sold at market prices. The load factors and thus the production we took into account are the average load factors we consider for the residual asset life for each plant. We assumed this value is flat for the entire useful asset life. In our projections we kept the selling prices flat: EUR 65/MWh as the market price and EUR 95/MWh as the incentive tariff. It is worth noting that in November 2012, the Economic Development Minister issued a Ministerial Decree aimed at reducing the combustible avoided cost component on the back of lower assumed costs and specific standard consumptions. This DM is retroactive to 1st January 2010. On this basis, the theoretical CIP6/92 value would be around EUR 115/MWh (vs. the previous EUR 125/MWh). At the end of 2012, AEEG issued an opinion on the right value for the CIP6/92 incentive tariff. According to this document, the value should be EUR 95/MWh. This is not a binding judgement, but we cautiously included this value in our projections (the sensitivity is around EUR 6m p.a.). This conservative approach has been recently confirmed but a new decree draft in which the Italian Government is linking the CIP6/92 value to the gas spot prices, thus reaching around the EUR 95/MWh we are using in our estimates. It is also worth noting that, according to the decree draft, this level is due to be reached progressively. Disposal activity. The load factors and thus the production we took into account are the average load factors we consider for the residual asset life for each plant. We assumed this value is flat for the entire useful asset life. In our projections we considered an increase in the disposal tariffs over 2013-2018 in connection with economic cycle recovery (from EUR 70/tons in 2013 to EUR 90/tons in 2018). In fact, the current tariffs are rather depressed if we compare them with the past (tariffs range in the past was around EUR 90/100 per ton). From 2019 onward we updated the tariffs for a 1.5% flat CPI. Heat production. Since we are talking about co-generative plants, the Granarolo WTE also produces heat that is sold to third parties. This activity produces around EUR 2m of revenues per annum. Once we calculated the divisional revenues, split between incentive revenues and market price revenues, we applied an EBITDA margin in order to calculate the gross margin. We used different EBITDA margins for Trezzo and Granarolo in order to take into account the CIP6/92 tariff dynamic. In fact, for the Trezzo WTE plant, CIP6/92 incentive ends for 15MW and 3MW respectively in 2014 and 2017. Once we calculated the EBITDA, as detailed below, we deducted the precise D&A (construction costs divided by asset life) to reach the divisional EBIT.

P&L (EURm) 2013E 2014E 2015E 2016E 2017E Electricity market price EUR/MWh 65.0 65.0 65.0 65.0 65.0 CIP/92 EUR/MWh 95.0 95.0 95.0 95.0 95.0 Waste disposal tariff (EUR/ton) 70.0 70.0 75.0 80.0 85.0 Revenues related to mkt price 14.6 14.6 14.6 14.6 14.6 Revenues related to incentives 6.7 2.9 2.9 2.9 2.3 Revenues related to heat production 2.0 2.0 2.0 2.0 2.0 Revenues related to waste disposals 18.8 18.8 20.1 21.4 22.8 Revenues 42.1 38.3 39.6 41.0 41.6 EBITDA 14.5 12.3 12.8 13.2 12.2 EBITDA margin 34.5% 32.2% 32.2% 32.1% 29.4% D&A 8.8 7.8 7.8 7.8 7.8 EBIT 5.7 4.5 5.0 5.4 4.4 EBIT margin 13.6% 11.8% 12.5% 13.1% 10.6% Source: Banca Akros estimates

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More in detail, for each WTE plant we project:

P&L (EURm) – Trezzo 2013E 2014E 2015E 2016E 2017E Revenues 26.0 22.2 23.1 23.9 24.1 EBITDA 7.3 5.1 5.3 5.5 4.3 EBITDA margin 28.0% 23.0% 23.0% 23.0% 18.0%

P&L (EURm) - Granarolo 2013E 2014E 2015E 2016E 2017E Revenues 16.0 16.0 16.5 17.0 17.5 EBITDA 7.2 7.2 7.4 7.7 7.9 EBITDA margin 45.0% 45.0% 45.0% 45.0% 45.0% Source: Banca Akros estimates

Biomass. As at the end of 2012, Falck Renewables had around 14MW of installed capacity in the Biomass sector. The plant is located in Italy.

Installed Stake Load Production Site Incentive COD capacity (MW) (%) Factor (%) (GWh) Green Certificate Rende 14 100 85 104.2 Jan. 2011 (1.8x coefficient) Source: Banca Akros estimates

In our estimates we considered an useful asset life of 20 years. In the first 15 years the production benefits from the green certificate incentive, while in the last 5 years the production is sold at market prices. The load factor and thus the production we took into account is the average load factor we consider for the residual asset life of the plant. We assumed this value is flat for the entire useful asset life. In our projections we updated the market price for a 1.5% flat CPI, starting from EUR 65/MWh in 2013. Green certificate value for the biomass plant is calculated in accordance with Law Decree 28/2011 3rd March 2011 (using the 1.8x multiplying coefficient): 1.8 * (EUR 180MW - the electricity price of the previous year) * 78% Once we calculated the divisional revenues, split between incentive revenues and market price revenues, we applied a 17% EBITDA margin in order to calculate the gross margin. We kept the EBITDA margin flat over the entire asset life. We then deducted the precise D&A (construction costs divided by asset life) to reach the divisional EBIT.

P&L (EURm) 2013E 2014E 2015E 2016E 2017E CPI 1.5% 1.5% 1.5% 1.5% 1.5% Market price (EUR/MW) 65.0 66.0 67.0 68.0 69.0 Green Certificates Adj. (EUR/MWh) 146.7 161.5 160.1 158.7 157.3 Revenues related to mkt price 6.8 6.9 7.0 7.1 7.2 Revenues related to incentives 15.3 16.8 16.7 16.5 16.4 Revenues 22.1 23.7 23.7 23.6 23.6 EBITDA 3.8 4.0 4.0 4.0 4.0 EBITDA margin 17.0% 17.0% 17.0% 17.0% 17.0% D&A 1.4 1.4 1.4 1.4 1.4 EBIT 2.4 2.6 2.6 2.6 2.6 EBIT margin 10.7% 11.1% 11.1% 11.1% 11.1% Source: Banca Akros estimates Falck Renewables is also active in the waste management and in the O&M service sectors.

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Waste management. Falck Renewables owns two waste management facilities (100%): ESE and ESA, located in Gorle, close to Bergamo (for more detail see the company description).

Street sweep disposal Waste disposal Facility Load factor (%) Acquisition date capacity (tons/year) capacity (tons/year) ESE&ESA 49,000 81,000 100 Jun. 2010 Source: Banca Akros estimates

ESE&ESA concessions end in 2018, but we have assumed they will be renewed for another 3 years, in line with the best practice. We thus consider that the concessions will expire in 2021. In our estimates we have considered that the disposal capacity is fully utilised every year, as has been happening so far. We took into account two different tariffs for street cleaning/sweeping and for waste disposal. In our projections we updated these prices for a 1.5% flat CPI, starting from respectively EUR 60 and EUR 80/ton in 2013. In our estimates we also considered EUR 1m of revenues per annum related to the ancillary services ESE&ESA carry on. Once we calculated the divisional revenues, we applied a 13% EBITDA margin in order to calculate the gross margin. We kept the EBITDA margin flat until the end of the concession. We then deducted the precise D&A (construction costs divided by asset life) to reach the divisional EBIT.

P&L (EURm) 2013E 2014E 2015E 2016E 2017E CPI 1.5% 1.5% 1.5% 1.5% 1.5% Street cleaning/sweeping tariff (EUR/ton) 60.0 60.9 61.8 62.7 63.7 Waste treatment tariff (EUR/ton) 80.0 81.2 82.4 83.7 84.9 Revenues related to street cleaning 2.9 3.0 3.0 3.1 3.1 Revenues related to waste treatment 6.5 6.6 6.7 6.8 6.9 Revenues related to ancillary services 1.0 1.0 1.0 1.0 1.0 Revenues 10.4 10.6 10.7 10.9 11.0 EBITDA 1.4 1.4 1.4 1.4 1.4 EBITDA margin 13.0% 13.0% 13.0% 13.0% 13.0% D&A 0.3 0.3 0.3 0.3 0.3 EBIT 1.0 1.0 1.1 1.1 1.1 EBIT margin 9.8% 9.8% 9.8% 9.9% 9.9% Source: Banca Akros estimates

O&M service. Falck Renewables operates the O&M service for the Fusina WTE plant in the industrial area of Porto Marghera (Venice). The plant is owned by Ecoprogetto (Veritas Group). The O&M contract ends in December 2014. It generates revenues of around EUR 3m per annum. We applied a 10% EBITDA margin in order to calculate the gross margin and, given that there are no D&As, EBIT is equal to EBITDA.

P&L (EURm) 2013E 2014E 2015E 2016E 2017E Revenues 3.0 3.0 - - - EBITDA 0.3 0.3 - - - EBITDA margin 10.0% 10.0% - - - D&A 0.0 0.0 - - - EBIT 0.3 0.3 - - - EBIT margin 10.0% 10.0% - - - Source: Banca Akros estimates

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Falck Renewables P&L. PROFIT & LOSS (EUR m) 2013E 2014E 2015E 2016E 2017E Wind UK 78.9 86.6 96.0 103.3 104.8 Wind Italy 97.3 97.5 97.6 97.7 97.9 Wind France 7.9 8.1 8.2 8.3 8.4 Wind Spain 9.9 9.9 9.9 9.9 9.9 Solar Italy 11.2 11.2 11.2 11.2 11.2 WTE Italy 42.1 38.3 39.6 41.0 41.6 Biomass Italy 23.6 23.6 23.5 23.5 23.4 Waste Management Italy + O&M + Services 13.4 18.6 30.7 35.9 46.0 Total sales 284.4 293.7 316.7 330.8 343.2 Cost of goods sold (124.0) (125.3) (126.4) (128.9) (130.4) Other operating costs (9.2) (9.5) (10.2) (10.7) (11.1) Added value 151.2 158.9 180.1 191.1 201.7 Labour costs (14.4) (14.7) (15.0) (15.3) (15.6) Wind 143.0 148.7 155.4 160.7 161.9 Solar 9.5 9.5 9.5 9.5 9.5 WTE 14.5 12.3 12.8 13.2 12.2 Biomass 4.0 4.0 4.0 4.0 4.0 Waste Management 1.4 1.4 1.4 1.4 1.4 O&M 0.3 0.3 0.0 0.0 0.0 Services & Development Expenses -18.0 -14.0 0.0 5.0 15.0 Holding costs -18.0 -18.0 -18.0 -18.0 -18.0 EBITDA 136.7 144.2 165.0 175.8 186.1 Depreciation & amortization (75.5) (73.1) (69.3) (67.0) (63.2) EBIT 61.2 71.1 95.8 108.8 122.9 Net financial income (charges) (53.4) (50.0) (46.3) (41.9) (36.5) Pre-tax profit 7.8 21.1 49.5 66.9 86.4 Taxes (3.6) (9.7) (21.8) (29.4) (38.0) Tax rate (*) 46.0% 46.0% 44.0% 44.0% 44.0% Minorities (1.5) (9.0) (14.5) (19.6) (25.3) Net profit 2.7 2.4 13.2 17.9 23.1 (*) we have estimated a higher tax rate for 2013 and 2014 than the following years given that the development expenses are not deductible from a fiscal point of view. Source: Banca Akros estimates

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2013-2017 Business Plan

Falck Renewables has recently unveiled its 2013-2017 business plan. The current economic scenario, characterised by the decrease in demand, resulting in pressure on energy prices due to lower consumption, the grid management issues caused by increasing intermittent input, the sovereign debt crisis and the consequent negative outlook on incentives and the banks’ reduced willingness to finance industrial investments, led the company to rethink its business model and growth strategy. More in detail, Falck Renewables has identified in its portfolio the following issues that need to be readdressed: excessive focus on wind technology (around 92% of its installed capacity and 81% of its production in 2012); high exposure to wind unpredictability; the progressive decrease in wind quality of new sites (i.e. lower load factors).

By leveraging on the management’s technical and development expertise acquired in the area of renewable energy, the company’s strategic objective is to create partnerships through the sale of minority stakes in existing operational plants and to continue to develop new initiatives. The partner will be offered shares in the project companies and will be provided with performance management and business operation systems. By balancing the installed capacity, the current portfolio will shift in favour of programmable plants through integrating existing intermittent plants with other renewable sources, thus ensuring greater programmability as well as optimization of the existing infrastructure: the company will start up innovative plants for which it owns proprietary patents. Furthermore, the know-how in creating value and optimizing performance, acquired over the years, will be offered as integrated services to its own plants, to those co-owned with the partner and to the external market. Additional investments in non-programmable energy (particularly in the wind segment) will be concentrated in areas with attractive renewable resources (for example, UK) and in countries with expanding renewable energy portfolios, and will be made primarily through the partner(s) financial contribution: this will provide not only a more balanced risk/return profile, but also sustainable growth for the company in this particular international and financial environment. A precondition to carry out this activity is the sale to a partner, who is interested in co-developing new initiatives, of a non-controlling stake - up to 49% - initially for the assets located in the UK. The sale is due to be completed by early 2014.

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In our estimates we considered an EV for Wind UK assets of around EUR 560m as detailed in the valuation paragraph. We then deducted the 2012 debt portion related to these assets (in accordance with company guidance) to reach the theoretical equity value. We applied a 20% discount in order to estimate the potential cash-in for Falck Renewables. The discount we applied is mainly due to the size of the deal, to the pipeline (farms under construction and authorised) and to the general revision of the incentive mechanism currently underway in the UK. On these bases we obtained that the sale proceeds may be around EUR 135m. We assumed that around 60% of this amount, roughly EUR 81m, is due to be banked in 2013 while the remaining 40% in 2014 (around EUR 54m). The sale of these assets has an impact not only in terms of debt (as detailed later on), but also in terms of minorities. In our estimates we are factoring in higher minorities for around EUR 13m p.a. (based on the current installed capacity – around EUR 18/20m if we also include the farms under construction and those authorised).

EURm

At EUR 135m, Falck Renewables’ wind assets in the UK are worth around EUR 1.41m per MW of installed capacity. This is quite conservative, considering that the all-in cost for a wind farm is around EUR 1.85m per MW. It is also worth noting that if we apply the implicit value of the deal we are considering (i.e. around EUR 1.61m per MW not considering the 20% discount given that we are going to use this figure to value 2012 installed capacity only), we would obtain a theoretical value for Falck Renewables’ equity of EUR 331m or around EUR 1.14 per share. We remind readers that this valuation is very conservative given that: Falck Renewables’ installed capacity is not 100% wind, and, thus, we are underestimating WTE (cost around EUR 5.5m per MW vs. EUR 1.61m per MW we are using to evaluate the company’s installed capacity), Solar (EUR 2.0m) and Biomass (EUR 3.5m) installed capacity and we are not considering waste management and O&M service activities; we are using EUR 1.61m per MW, while the cost for a wind farm is around EUR 1.85m; we are not allocating any value to Falck Renewables’ pipeline.

The 2013-2017 business plan is based on the following guidelines: construction of the wind power plants for which authorization has already been obtained; sale of non-controlling interests (up to 49%) of the companies that own plants to a partner (business plan assumptions are based on the sale of non-controlling interests of UK wind plants), the proceeds are due to be used for: 1. co-investments with the new partner in part of the resources obtained for the development /construction of new plants; 2. total or partial repayment of the mid-term credit line obtained by Falck Renewables SpA in January 2011 (corporate debt), resulting in an improvement in the Net Financial Position;

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development of the new Services business, in the form of greenfield development, based on an extensive pipeline of projects for roughly 1,500MW, and performance and portfolio management, with the objective to transform the Services segment into a real business unit, and as such into a source of revenue and margins capable of selling its activities both to group companies and third parties. In greater detail, in the Wind Sector, the group will complete the plants currently under construction (Nutberry: 15MW COD June 2013; and West Browncastle: 30MW COD June 2014) and authorized (Spaldington: 12.5MW COD January 2015 and Kingsburn: 20MW COD January 2016), bringing wind power capacity to a total of 770 MW by the end of 2017. Investments for the period are expected to be approximately EUR 145m. In its business plan, Falck Renewables is factoring in the extension of Italian wind capacity by around 35MW (Minervino Murge, San Sostene and Buddusò farms) and around EUR 15m of capex (included in the company’s capex plan). In our estimates we took a more cautious stance, factoring in only the UK plants under development. For this reason we reached a total wind installed capacity of around 735MW in 2017. As mentioned above, the business plan includes the possible sale of non-controlling stakes (up to 49%) of the companies that own the UK wind power plants for total installed power of 273 MW (calculated on a 100% basis), enabling Falck Renewables to continue to: develop the pipeline in the different technologies (wind and others) through co- investments with the partner, and ensure the best balance of programmable and non-programmable sources. The expected EBITDA for the Wind Sector is around EUR 170m by 2017, with a roughly 7% 2013-2017 CAGR (company guidance points to an EBITDA of around EUR 130m in 2013). In light of our more cautious stance as regards installed capacity, we are factoring in around EUR 162m of EBITDA in 2017. In order to rebalance and reduce the company’s business volatility, most of the investments, both direct and in co-investment with the partner(s), will be made in the programmable source segment, in particular in Waste to Energy, anaerobic digestion and waste biomass. Falck Renewables has developed a robust investment plan with total cumulative capex of circa EUR 250m over the business plan period. This plan also includes the chance to acquire existing assets/facilities, with the goal to achieve around 81MW of installed capacity by 2017 (45MW as at the end of 2012). In our estimates we took a more cautious stance, not considering any new plants over the business plan period. For this reason we have a flat installed capacity in 2017 vs. 2012. The expected EBITDA from the Programmable Source Business is roughly EUR 40m, with a 2013-2017 CAGR of around 19% (company guidance points to an EBITDA of around EUR 20m in 2013). In our estimates we factored in an EBITDA of around EUR 18m in 2017. The Services Segment will play an increasing role in the company's outlook, and the expected EBITDA for 2017 is around EUR 25m (negative contribution expected in 2013). No capex is required according to company guidance. The main business focus will be on: greenfield development: leveraging on the abundant pipeline, the goal is to reduce development costs through internalisation of activities. More in detail, most of the activities will be carried out in-house; this will strengthen the internal structure. The group will be responsible for the entire process until authorisation is obtained for the development of projects both in the wind and in the programmable source segments; the projects may then be transferred to group companies or third parties. This activity will initially help to achieve greater efficiency and cost reductions, and will later become sources of income;

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performance and asset management: here again most of the activities will be performed in-house, with the dual objective of reducing costs and improving performance. This area may also be further strengthened through acquisitions or partnerships, with the goal of accelerating penetration in this market and becoming a standard setter in the industry; development of dispatching & unbalancing activities will continue with the objective to optimise the management of the existing plant portfolio and mitigate the associated market risks. In this sector, some initiatives have already started for the O&M internalisation of 15MW PV plants by the end of October 2013. Capex programme. According to company guidance, investments should be around EUR 420m over the business plan period. The total estimated installed capacity should be circa 865MW at the end of 2017. In our estimates circa 794MW will be for the reasons detailed above.

2013-2017 business plan: capex and installed capacity

Source: Company Data

In its business plan, Falck Renewables has also provided a detailed guidance on 2013 EBITDA. More in detail, EBITDA may be impacted by the introduction of regulatory changes and higher costs related to the implementation of the new business model and, therefore, EBITDA is estimated at around EUR 145m if the current operating structure is maintained, including regulatory and tariff changes in Italy. If the development plan and the sale of the assets are fully accepted, this value could decrease to roughly EUR 136m due to higher related costs. However, this will allow the group to fully implement the business plan which, in 2017, is expected to allow the company to reach an EBITDA of EUR 225m as a result of the effects of the new strategy.

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2013-2017 business plan: EBITDA evolution

Source: Company Data

No additional investments are expected over the business plan period in the solar energy business. Following the strategic repositioning and considering a pay-out ratio of around 30%, the net financial position, excluding the fair value of rate risk hedging instruments, is expected to range from EUR 640 to EUR 660m at the end of 2017. In order to be coherent with our P&L assumptions, we have factored in lower capex over the business plan period, i.e. only EUR 245m over 2013-2017 vs. the EUR 420m in the company’s business plan. The difference manly refers to the WTE & Biomass sector, on which we expect capex of around EUR 85m vs. Falck Renewables guidance of EUR 250m. On this basis, we reach roughly EUR 520m of NFP at the end of 2017 vs. EUR 640/660m in the company’s business plan.

2013-2017 business plan: cash generation and net financial position

Source: Company Data

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The Sicilian dispute

Events from 2002-2011. Following the Italian Prime Minister’s declaration of a state of emergency in the waste management sector in Sicily, in the Decree dated 22 January 1999 Falck Renewables joined a group, in August 2002, to submit a bid for the construction and management of three integrated WTE plants in Sicily. These plants were to be located in Casteltermini (province of Agrigento - the “Platani Project”), Augusta (province of Syracuse - the “Tifeo Project”) and Bellolampo (province of Palermo - the “Palermo Project”). In May 2003 these project companies executed a 20-year Convention with the President of the Sicily Region, to utilise the residual fraction of municipal waste, net of recycling, generated in the municipalities of the Sicily Region. This provides a brief outline of how Falck Renewables came to operate in Sicily from 2003 through the three Project Companies: Pea – Palermo Project (23.27% stake), Platani (86.77%) and Tifeo (96.35%). In the period between late 2004 and early 2006, the companies received all the authorisations relating to the construction and operation of the WTE plants, and work commenced officially in July 2006. In February 2007, the companies were notified of a Joint Ministry Decree suspending the authorisations following which work was suspended (appeals to the Regional Administrative Court – TAR - in Lazio and the ruling issued by the Council of State resulted in cancellation of the suspension decree). Furthermore, the 2007 Finance Act introduced significant changes to existing legislation creating uncertainty regarding the continued application of the CIP/6 incentives. The above events prevented the execution of the project financing contracts essential to the construction of the plants. In a letter dated 21 March 2008, the Sicilian Regional Department for Waste and Water (ARRA) notified the companies that the European Court of Justice had previously passed judgment on 18 July 2007 (case C-382/05) whereby it found that the Italian Republic had failed to fulfil its publicity obligations regarding tenders as the Court regarded the Conventions as “public service” contracts rather than “service concessions”. The above-mentioned letter said that in order to comply with this judgment a new call for tenders would be made in order to award the service. ARRA invited the project companies to continue carrying out the work despite this situation. The requirement to implement the measures established in the judgment passed by the European Court of Justice gave rise to a long and complex negotiation process between the parties in order to identify the appropriate methods and conditions required to reach a mutual solution to the Conventions. These negotiations lasted almost a year and were finalised on 28 April 2009 with the execution of an agreement (the Agreement) between ARRA and each of the involved companies and the respective shareholders. More precisely, it was established that: (i) in the event that no bids were submitted in relation to the new tender, the project companies would be required to take part in a “negotiated procedure”, on condition that these procedures were “carried out based on tariffs and operating conditions in line with those stipulated in the New Call for Tenders, provided that the financial viability of the current project was preserved”; (ii) in any event the project companies and their shareholders would assign ownership of the Sicily Projects, the authorisations, sites and work carried out by the project companies and the shareholders against compensation for costs incurred to be certified by an independent advisor. Calls for tenders were issued the following day (no bids were submitted) and on 23 July 2009 ARRA called for a “negotiated procedure” applying the same terms as those of the call for tenders using open procedures, also inviting the project companies.

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The companies notified ARRA that they were available to attend a meeting but, however, at the same time brought to the attention of ARRA the fact that the basis for the negotiated procedure did not allow the financial terms of the Conventions to be met as required by the Agreement: this was supported by an independent expert’s opinion (professor Mario Massari of Bocconi University in Milan). No bids were submitted in relation to the negotiated procedure and on 11 September 2009 ARRA, without replying to the numerous requests to arrange a meeting, unilaterally terminated both the Conventions of June 2003 and the Agreements of April 2009, claiming that the project companies had breached their obligations. In October 2009 ARRA requested the insurers Zurich SpA to enforce the guarantees issued by the latter as security for the performance of the project companies’ obligations established under the Convention. On 15 October 2009 the project companies served summons against ARRA and Zurich before the Civil Court in Milan asking the court to (i) ascertain and declare that the execution of the guarantees was illegal; (ii) ascertain and declare that the project companies had not defaulted on the obligations under the Convention and the Agreement; (iii) ascertain and declare ARRA’s breach of its obligations under the Agreement; and (iv) order ARRA to comply with the Agreements, pay all costs incurred as certified by the independent advisor and compensate the project companies for all damages already suffered and that would be suffered by them in future. Moreover, the project companies filed an appeal against ARRA before the TAR in Palermo asking the court to reject the act that resulted in termination of the Agreement and the Conventions, and to order ARRA to compensate the operators for all damage already suffered and that would be suffered in future. On 18 January 2010 the Civil Court in Milan admitted the urgent appeal filed by the project companies pursuant to art. 700 of the code of civil procedure (c.p.c.), prohibiting ARRA from enforcing the guarantees. With regard to the subject matter of the ruling, the judge, albeit as a summary judgment, established that the breach by the project companies assumed by ARRA as the basis for its decision to terminate the Conventions and the Agreements was prima facie contradicted by ARRA in its declaration restated in the Agreements. The Sicily Region’s Department for Energy and Public Utilities (replacing ARRA ex lege from 31 December 2009 – “the Department”) did not appeal against the interim orders issued by the Civil Court in Milan. On 16 February 2010 the Department joined the proceedings brought by the project companies before the Civil Court in Milan, seeking the rejection of the measures sought by the project companies (and their shareholders), and asked the court to order the companies to compensate the Regional Administration for the damage that it had allegedly suffered as a result of the alleged breach of the Conventions (quantified as follows: Tifeo, Euro 36,656,997.65; Platani, Euro 12,898,471.19; Pea, Euro 60,685,999.31; this means a total potential cash-out for Falck Renewables of around EUR 63.7m). The project companies filed a first defence brief under article 183, paragraph 6 on 8 April 2010. A second brief was filed on 8 May 2010, whereby, after informing the court of the approval by the Council of the Sicily Region of Law 9 of 8 April 2010 (the “New Regional Law”) relating to the reorganisation of the waste management system in Sicily, the project companies redefined their claims, at the same time requesting the intervention of a technical expert in relation to, among other things: 1) the differences in technical and/or financial requirements between the original invitations to tender and those of 29 April 2009 with quantification of the financial consequences of the differences; 2) compliance with the financial viability requirement of the original projects under the Conventions; 3) the amount of the companies’ return (representing their loss of profit) in the event ARRA had fulfilled its obligations under the Agreement; 4) the amount of compensation owed to the project companies under the Conventions.

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Given the Department’s final and irrevocable decision to no longer proceed with the Sicily WTE Projects in accordance with the Conventions, confirmed by the introduction of the New Regional Law and the proceedings initiated on 18 May 2010 pursuant to article 7 of Law 241/1990 (see paragraph below), the project companies were forced to modify, before the Court in Milan, pursuant to article 1453, second paragraph of the Italian Civil Code, their petition for specific performance of contract presented in the original summons to a claim for termination of the Agreement due to the actions and default of the Department. The project companies therefore sought compensation for damage suffered in respect of both pecuniary loss (quantified as follows: Tifeo, EUR 55,745,013; Platani, EUR 37,676,745; Pea, EUR 49,555,742 – of which the Company share is EUR 11,531,621.16) and loss of profit (quantified as follows: Tifeo, EUR 94,100,000; Platani, EUR 47,800,000; Pea, EUR 88,800,000 – of which the Company share is Euro 20,663,760; this means a total potential cash-in for Falck Renewables of around EUR 267.5m, split as follows: pecuniary loss circa EUR 105.0m and loss of profit roughly EUR 162.5m). Pecuniary losses correspond to the costs incurred on the projects while loss of profit represents the financial return that the project companies would have earned in the event ARRA had fulfilled the obligations under the Agreement. The boards of directors of Tifeo and Platani on 3 August 2010 and the shareholders of Pea on 23 September approved the voluntary liquidation of the companies, which was not considered to impact on the above court proceedings. As already notified to the public on 12 May 2010, all of the documentation in respect of the invitation to tender in 2002 was provided to the Italian Finance Police in relation to an investigation involving undisclosed parties. On 14 July 2011, the project companies were notified of Decree 548 of 22 September 2010 (the “Decree”) pursuant to which, inter alia, the said 2002 bids were declared non- responsive and all subsequent acts and measures adopted to implement the said procedures were cancelled in self-defence. This is in light of, among other things, the i) alleged “intersezione soggettiva” between a number of the associated companies, ii) the alleged absence of any geographical overlap in the responses to the tender and iii) the outcome in 2005 regarding the infiltration of organised crime in the groups that participated in the bid, and iv) the rulings issued by the European Court of Justice on 18 July 2007. An objection against the Decree was served on 3 October 2011, through notification of an appeal “for additional grounds” in the proceedings pending before the TAR in Palermo. The nature of the challenges raised stem from the arguments already put forward by the project companies in the statements presented on 17 June 2010 in response to the notice of proceedings pursuant to articles 7 and ff. of Law 241/1990 initiated by the Sicily Region on 18 May 2010. The latter culminated in the issue of the Decree more than one year after presentation of the above counterclaims, in order to contest each aspect of the entire notified Decree, on the grounds of speciousness, contradiction with previous acts, including the suspension decree challenged in the originating application of November 2009, and illogicality, further breach of the legitimate award given to the project companies, serious flaws in the statements and finally misdirection.

Events that took place in 2012. In the ruling made on 20 July 2012, the Court of Milan suspended the civil proceedings pursuant to article 295 of the c.p.c. until sentencing has been made in respect of the administrative proceedings filed by the Falck Renewables group with the TAR in Palermo. In particular, under the above ruling the Court of Milan deemed it necessary “to suspend proceedings pursuant to article 295 of the c.p.c. to avoid, given the overlap between the case before the Ordinary and Administrative Judges regarding the same merits of illegitimacy of the Decree, conflict in sentencing with regard to

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the claim for damages filed by the plaintiffs”. An objection against these rulings was brought before the Joint Divisions of the Italian Supreme Court by Falck Renewables on 23 September 2012 with recourse to rule on the applicable jurisdiction pursuant to articles 41 and 42 of the c.p.c (the First Recourse) whereby it requested that the Supreme Court (i) withdraw and in any event amend the suspension rulings issued by the Court in Milan and (ii) declare the exclusive jurisdiction of the ordinary courts. With regard to the settlement of damages, an award for loss of profit under the administrative proceedings is considered unlikely given recent case law on this subject, which considers the only damages payable to be pecuniary losses. Following the ruling suspending the Civil Proceedings, challenged in the First Recourse, there will be delays in reaching a temporary enforceable ruling under the civil action.

Events that took place after 31 December 2012. With regard to the market announcement of 12 May 2010 informing that documentation relating to the public tender in 2002 for the Sicily Projects had been seized by the Italian Finance Police as part of an investigation involving undisclosed parties, the company management was called by the Finance Police, by order of the Palermo public prosecutor, to provide preliminary information. Following this request, on the proposal of the Chief Executive Officer, Chief Financial Officer and the Corporate Accounting Documents Officer, on 28 February 2013 the board of directors decided to postpone approval of the 2012 Annual Report in order to investigate the matter, which took place prior to the appointment of the current management team, commencing with the public tender process in 2002 to award the Conventions for the integrated systems of waste treatment and electricity production in Sicily, which culminated in (i) civil proceedings with the Sicily Region, suspended pending ruling by the Supreme Court, (ii) administrative proceedings before the Palermo TAR and (iii) the above-mentioned magistrates’ investigation into the above tender for the construction of integrated waste management systems in Sicily. The investigation was carried out with the help of an independent specialist (Advisor) who prepared a report outlining the findings (Report) to the relevant corporate bodies and the legal advisors involved in the Sicily litigation. On the basis of the analyses performed, the legal advisors agree that the information contained in the tender documentation and in the Sicily Projects in general (from 1999- 2009), which were reviewed as part of the internal investigation carried out by the Advisor (as documented in the Report) further the complexity and uncertainty surrounding the dispute between Tifeo, Platani and Pea on the one side and the Sicily Region on the other. Recent events have altered the risk profile of the companies involved in the litigation; thus the risk profile no longer supports the conclusions drawn in the opinions issued on 25 February 2010, 22 July 2010, 20 February 2012 and 26 July 2012, and more generally does not allow a reliable estimate of the outcome and duration of the dispute. Falck Renewables adjusted the consolidated financial statements to book an impairment loss of EUR 29,297K against the total goodwill of the Tifeo and Platani projects and EUR 444K on land owned by Tifeo. These losses are in addition to the “charge to the sundry risks provision for the write-down of non-current assets” already made in the past, which amounts to EUR 70,946K in the consolidated financial statements and comprises write-downs of: EUR 65,192K on non-current assets under construction; a write-down of EUR 5,198K on land and a write-down of EUR 556K on non-current guarantee deposits. Assets under construction and guarantee deposits were written off in full while land was written down to EUR 1,772K representing the recoverable amount. The impact on consolidated operating profit of the above write-downs and impairment losses totalled EUR 100,687K.

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With regard to Palermo Energia Ambiente ScpA (in liquidation), the existing sundry risks provision was increased by EUR 3,222K, trade and financial receivables due to the group were written down by EUR 360K and other minor write-downs totalled EUR 140K. The total impact of the above negative adjustments on consolidated profit for the year is EUR 104,409K. Following these adjustments, Falck no longer has any residual value in its balance related to the Sicilian WTE plants/projects. The United Sections of Italy’s Supreme Court, the 28 May 2013, notified that they have granted the appeals filed by Falck Renewables on 23 September 2012 against the orders whereby the Court of Milan had suspended the proceedings pending the resolution of the trials before the Regional Administrative Court of Sicily. In further detail, Italy’s Supreme Court established that the trials are to continue before the Court of Milan. Legal proceedings against the Sicily Region will continue in order to uphold the group’s rights and motives (and secure settlement of both pecuniary damages and loss of profits) and provide defence against the claims made by the Department.

Italian green certificates: regulatory framework

In Italy, the green certificates system was introduced by the Bersani Decree on March 16th, 1999. Green certificates support electricity generated by using renewable energy sources, excluding solar. Under Law 244/07, electricity generated by RES plants commissioned or repowered from 1 April 1999 to 31 December 2007 is eligible for green certificates for the first 12 years of operation, whereas electricity generated by plants after 1st January 2008 benefits from green certificates for the first 15 years of operation. Green certificates are issued by the “Gestore dei Servizi Energetici” (GSE). The GSE plays a central role in the promotion, support and development of renewable energy sources in Italy. In fact, the Gestore dei Servizi Energetici, among others, is called to certify the “green” plants and to monitor producers’ and importers’ compliance with the related obligations. GSE’s sole shareholder is the Italian Ministry of Economy and Finance. One green certificate is worth 1MWh of electricity. For plants commissioned after 31st December 2007, the GSE issues green certificates for 15 years, by multiplying the net electricity set for the project by the coefficients differentiated by source as shown below:

Multiplying Source Factor Wind (plants with a capacity of more than 200KW) 1.00 Off-shore Wind 1.50 Geothermal 0.90 Waves and Tides 1.80 Hydro (other than that indicated in the previous point) 1.00 Biodegradable waste and biomass (other than that indicated in the following point) 1.30 Biomass and biogases obtained from agriculture, animal husbandry and forestry on a short supply-line basis 1.80 Landfill gas, sewage treatment plant gas and biogases (other than that indicated in the previous point) 0.80 Source: GSE

Moreover, art. 11 of Legislative Decree 79/99 stipulated that, beginning in 2002, producers and importers of electricity from non-renewable sources are required to inject a given quota of “renewable” electricity into the power system every year. This quota was 2%.

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From 2004 to 2006, the minimum quota for “renewable” electricity to be injected into the power grid was increased by 0.35% per year. For the 2007-2012 period, this quota was increased by 0.75% per year (it was 7.55% in 2012). Producers and importers may also fulfil their renewable quota obligations by purchasing green certificates that have been issued in respect of “renewable” electricity generated by other parties. Green certificates can be traded both on GME’s regulated market and in bi-laterals registration platforms.

Gestore Mercati Energetici (GME) organises and manages the green certificates market by providing: liquidity: GSE will offer its own green certificates in GME’s regulated market; transparency: the prices set in the market are public; security: GME operates in the market as a central counterparty and guarantees the payment of transactions. The price of a green certificate is determined by free trading among players. The GSE sells and buys green certificates at a price (reference price, which is also the maximum price for green certificates on the free trading markets) that is fixed by law and that was given (now it has been adjusted by a discount factor as detailed below) by the difference between EUR 180/MWh and the annual average electricity sale price for the previous year (this average is calculated by the AEEG, according to the criteria stated on “Delibera ARG/elt 24/08” of 26th February 2008). To enact European Directive 2009/28/CE, the Italian Government approved Law Decree 28/2011 on 3rd March 2011. This Law Decree amended the green certificates’ price mechanism. More in detail: a) starting from 1st January 2016, production arising from “renewable” plants is no longer entitled to receive green certificates. The latter will be replaced by a feed-in fixed tariff for the remaining incentive period; b) starting from 1st January 2013, “green” plants that enter into operation are not entitled to benefit from green certificate incentive tariffs. The Decree entails a fixed feed-in tariff, due to be set with a new Law Decree. The feed-in tariff is calculated as a fixed price for small plants (<5MW) and by using an auction process for larger plants (the final price will be the cheapest one). The fixed price lasts the conventional average useful plant life; c) a transition period was foreseen for “green” plants that came on stream in 2011-2012. These plants benefit from the green certificates (the price is set on the basis of new criteria as detailed below) until the end of 2015. The Italian Government must set a new incentive from 2016 onward that should guarantee an adequate return to ensure the appropriate remuneration for the investments made. According to our estimates, the IRR for a wind farm (by assuming 1.75EUR/MW of capex all-in, 70% leverage; 34% tax rate, 5% cost of debt, 20% load factor, 20 years useful asset life) is around 9.6% with a remuneration of EUR 157/MWh (i.e. a green certificate price of EUR 80/MWh - or 78% of the difference between EUR 180/MWh and the PUN price recorded in 2012 – plus the 2012 PUN price, i.e. EUR 77/MWh). It is not clear what an “appropriate” remuneration would be, but even assuming a 20% lower value for green certificates (i.e. EUR 64/MWh), according to our estimates, the IRR of the above mentioned wind farm would be a healthy 8.3%. d) the GSE is due to acquire and sell green certificates at a 22% discount vs. the price set according to the formula introduced by the 2008 Budget Law (art. 2; paragraph 148) for the plants that enter into operation over 2011-2012 and for the plants in operation before 2011:

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(EUR 180MW - the electricity price of the previous year as set by AEEG) * 78% For 2013 this price has been set at EUR 80.34/MWh (to be added to the pool price), given by the difference between EUR 180/MWh and EUR 77.0/MWh (annual average electricity price in 2012) multiplied by 78%; e) the given quota of “renewable” electricity that producers and importers of electricity from non-renewable sources are required to inject into the power system every year is due to decrease gradually over 2013-2015. In 2015 this quota will be zero:

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2.00% 2.00% 2.35% 2.70% 3.05% 3.80% 4.55% 5.30% 6.05% 6.80% 7.55% 5.03% 2.52% 0.00%

Photovoltaic Incentives (Conto Energia)

The Italian legal framework supports photovoltaic solar generation under a feed-in premium scheme which, in turn, provides for a bonus to be paid on top of the market electricity price. The scheme is regulated by the Interministerial Decree of 5th July 2012 (“Quinto Conto Energia”), which was issued in order to continue the incentive mechanism for photovoltaic solar generation known as “Conto Energia” that started with the previous Ministerial Decrees: MD 28/07/2005 and MD 06/02/2006 (Conto Energia), MD 19/02/2007 (Nuovo Conto Energia), MD 06/05/2010 (Terzo Conto Energia) and 05/05/2011 (Quarto Conto Energia). The “Quinto Conto Energia” consists of an incentive program that pays premium prices for the electricity generated using photovoltaic technologies starting from 27th August 2012 (for the plants that entered into operation before that date the “Quarto Conto Energia” is valid). The “Quinto Conto Energia” sets a total cumulative annual cost for the incentives of EUR 6.7bn (this threshold was reached the 6th of June 2013, and thus, given the 30 days foreseen by the decree for the termination of the incentive, the “Quarto Conto Energia” will end on July the 6th). The cumulative annual cost is the sum of multiplying the installed capacity of every incentivised plan (not only the ones admitted to the “Quinto Conto Energia”) by the recognised incentives for the annual production (if available), or by the annual estimated productivity of the plant (calculated by the GSE based on certain parameters).

The photovoltaic tariff levels depend on: where the plant is installed (in a building or not), the nominal capacity of the plant (the higher the capacity, the lower the premium tariffs).

The “Quinto Conto Energia” aims to provide full coverage of capital expenditure, operational costs and adequate margins for investors in photovoltaic generation in Italy.

The main important features of the “Quinto Conto Energia” are the following: the incentive tariffs are paid by GSE for 20 years; the nominal value of the premium tariffs remains unchanged during this 20-year period; the incentive tariffs are paid based on the level of electricity actually generated (whether or not it is sold to the grid); photovoltaic plants owned by the same entity (or even only referable to the same entity) and located in the same area or in nearby areas shall be deemed as a sole plant having a nominal power equal to the sum of the single PV plants.

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The “Quinto Conto Energia” replaces the incentive scheme introduced by the previous decree (the “Quarto Conto Energia” was originally intended to provide support to the PV plants between 2011 and 2013), because of the unexpected ramp-up of the connection requests to access the different “Conto Energia” and the consequent approaching of the “Quarto Conto Energia” total cumulative annual cost limit of EUR 6-7bn. In order to reduce the “Conto Energia” cost, which is borne by consumers through an extra-charge in the electricity bill, just to give an example, the “Quinto Conto Energia” entails a total remuneration of EUR 0.175/KWh (for plants with a capacity between 20 and 200KW), which compares with a remuneration of EUR 0.286/KWh included in the “Quarto Conto Energia”.

CIP 6/92

This incentive system, still effective for a number of operating plants, offers a direct incentive to producers of renewable and similar types of energy (e.g. waste-to-energy), whereby under a specific agreement the producers sold energy to the GSE at a fixed price without participating in the feed-in tariff market mechanism. In particular, CIP 6/92 fixed the selling prices under which GSE purchased electricity, in accordance with the “avoided costs” criteria (of investment, exercise and combustibles) and offering incentives in relation to the higher costs incurred by generating electricity from renewable sources. Benefit terms have been fixed for 12-15 years, although the incentive element that increments avoided costs is guaranteed up to a maximum of 8 years. In November 2012, the Economic Development Minister issued a Ministerial Decree aimed at reducing the combustible avoided cost component on the back of lower assumed costs and specific standard consumptions. This DM is retroactive to 1st of January 2010. It is also worth noting that the Italian Government has recently issued a new decree draft in which it is linking the CIP6/92 value to the gas spot prices, thus further reducing the CIP6/92 value, reaching around the EUR 95/MWh we are using in our estimates. It is also worth noting that, according to the decree draft, this level is due to be reached progressively.

United Kingdom: regulatory framework in the wind sector

In line with Directive 2009/28/EC, the UK Government’s target is to achieve 15% of its energy consumption from renewable sources by 2020. The incentive scheme for the production of electricity from renewable sources entails 2 regimes: a) NFFO Order; b) Renewables Obligation Order.

NFFO (England, Wales and Scotland). In England and Wales the legacy regime for the sale of electricity generated from renewable sources is regulated under the Electricity (Non- Fossil Fuel Sources) Orders of 1994, 1997 and 1998 (“NFFOEW Orders”). In Scotland it is regulated under the Electricity (Non-Fossil Fuel Sources) Orders of 1994, 1997 and 1999 (“NFFOS Orders”).There are also separate regulations for Northern Ireland. Although the underlying legislation has been repealed, there is a saving in respect of existing projects, which continue to operate under the regulation until the expiry of the existing NFFO contracts (fixed price long term sales contracts) with NFPA. For these plants the incentive mechanism is the feed-in tariff. The Cefn Croes plant continues to operate under the NFFOEW Orders. Renewables Obligation Orders. The current regime to promote and support the generation of electricity from renewable sources in England, Wales and Scotland is through separate Renewables Obligation Orders (“ROs”). The Renewables Obligation Order 2006

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(England and Wales) and the Renewables Obligation (Scotland) Order 2007, respectively impose obligations on electricity suppliers to demonstrate that not less than a stipulated percentage of electricity produced was generated from renewable sources. The Office of Gas and Electricity Markets, OFGEM, issues Renewable Obligations Certificates (“ROCs”) and Scottish Renewable Obligations Certificates (“SROCs”) on behalf of the Gas and Electricity Markets Authority (“GEMA”). The ROs require electricity suppliers to source an increasing portion of their electricity from renewable sources (including onshore and offshore wind farms). Since 2009, the renewable energy level is measured in number of ROCs/MWh of electricity distributed. Over April 2012-March 2013, the minimum level each supplier has to meet is 0.158 ROCs/MWh. Compliance with the RO scheme is regulated through a certification system using ROCs and SROCs. Renewable energy generators receive ROCs or SROCs for each MWh of electricity generated. On-shore wind farms due to come in operation since April 2013 are entitled to benefit from 0.9 ROCs/MWh. ROCs and SROCs are tradable, are priced in the market and traded at a premium compared to the market price of a similar quantity of energy (feed-in premium mechanism). Smaller wind farms (all of the group’s wind farms except for Kilbraur and Millennium) are also entitled to other benefits. More in detail, they are typically connected to the low voltage regional electricity distribution network rather than to the high voltage transmission network operated by the National Grid. Using the distribution network rather than the high voltage transmission network avoids the charges imposed by the National Grid. This is known as “Triad Avoidance Benefit”. The Finance Act 2000 introduced the Climate Change Levy (“CCL”), which is a flat rate currently at GBP 5.24/MWh, charged on the supply of electricity to non-domestic customers. Eligible renewable generators are entitled to climate change levy exemption certificates (“LECs”). In order to meet the obligations of the Finance Act 2000, suppliers may either purchase LECs from a generator of qualifying renewable energy which can then be submitted to OFGEM or pay the tax directly to OFGEM. Unlike ROCs (and SROCs), LECs are not fully tradable and the supplier must show they relate to a quantity of renewable electricity actually supplied to a specific industrial consumer. There is also underway a general revision of the incentive mechanism in the UK. More in detail, the revision should entail the introduction of: a) Feed-in tariff with Contract for Difference (FiT-CfD) for the new plants that would benefit, in accordance with the current scheme, from ROCs or SROCs. This mechanism entails a fixed-unitary revenue (incentive plus market price) calculated on the basis of a variable incentive component based on the market price. This incentive would have a variable duration on the basis of the technology used; b) Capacity mechanism aimed at ensuring an adequate programmable plant capacity; c) Emission Performance Standard (EPS) aimed at reducing the CO2 emissions related to new plants from traditional sources; d) Carbon Price Floor aimed at increasing the cost related to CO2 emissions.

No major changes are expected in the Feed-in Premium currently on stream for plants with a capacity below 5 MW. The reform is due to be effective starting from January 2014 and should be valid only for the new plants. The revision should also entail a transition period (2014-2017) in which producers are allowed to choose between ROCs (or SROCs) and the new scheme (FiT-CfD).

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Spain: regulatory framework

Wind Sector. Under Directive 2001/77/EC, Spain has established that renewable energy sources must cover 29% of gross electricity consumption by 2020. The main regulations in Spain comprise the 2004 and 2007 Royal Decrees. New regulations were approved in July 2010, even though they do not affect the wind farms falling under the 2004 Royal Decree. The 2004 Royal Decree entailed that generated electricity could be sold at a price comprising a fixed element (or premium) and a variable element depending on the energy prices in the Spanish electricity market. The 2004 Royal Decree was superseded by the 2007 Royal Decree. The 2007 Royal Decree maintains the feed-in tariff regime and introduces a new pool price regime, which is subject to a floor and a cap to ensure wind farm owners are not under or over remunerated. The group’s wind farms benefited from the pool price regime established in the 2004 Royal Decree until 31 December 2012. From that date, farms are remunerated in accordance with the new pool price regime established under the 2007 Royal Decree . In addition to the pricing regimes, electricity generated from renewable sources is afforded priority access to the transmission and distribution grid system, ensuring all power produced is purchased. In 2010, the Spanish Government introduced two extraordinary measures for the electricity generation market for the 2011-2013 period: all power producers have to pay a EUR 0.5 tax for each MWh sold; the incentive for solar and wind plants is recognised only for a certain maximum number of hours per year. The electricity produced in excess of this quota is sold at a market price. The limit has been fixed at 2,589 hours per year for wind but it is valid only if the average production per year of the whole wind system in Spain reaches 2,350 hours. This limit was not applied in 2012. Royal Decree 1/2012 issued on 27 January 2012 temporarily suspends all economic incentives for the production of electricity from renewal sources in respect of projects not authorised at the date of issue of the decree as Spain has already exceeded the level of installed capacity set out in the plan issued by the Spanish Government. This suspension will remain in force until a solution to the system’s tariff deficit is found and a new renewable source remuneration model is established. Pool price regime. Most of Spain’s wind power is sold under the pool price regime. The group’s wind farms apply this regime. Remuneration under the 2004 Royal Decree is calculated as the sum of the negotiated market price plus premium, plus/minus a bonus related to reactive power, plus incentives, minus deviations. The negotiated market price is calculated either (i) by reference to the settlement of demand and supply and other procedures carried out by OMEL (the market operator) or (ii) by reference to the price negotiated between the parties when the sale is made though bilateral agreements or forward market trading (“venta a plazo”). The premium is 40% of the average tariff or the reference tariff, while the incentive is 10% of the average reference tariff. Pursuant to the 2007 Royal Decree, remuneration is calculated as the sum of the negotiated market price plus a premium of EUR cents 2.9291 KWh. The market price plus the premium cannot be greater than EUR cents 8.4944 KWh nor less than EUR cents 7.1275 KWh. Moreover, the remuneration also includes a reactive power bonus (calculated as a percentage of EUR cents 7.8441 KWh) related to the operator’s ability to control

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reactive power. The premium is reviewed annually, taking into consideration the Consumer Price Index (published monthly and at the end of every year by the Instituto Nacional de Estadisctica) minus 0.25% until 2012 and minus 0.50% thereafter. The “Real Decreto Ley 2/2013”, containing urgent measures for the electricity sector, reviewed the 2007 Royal Decree tariff scheme. More in detail, the new Decree cancelled the renewable premium entailed by the “variable regime tariff”, which was the one adopted by Falck Renewables for its farms in 2012. With this option, power producers have to sell their own production on the free market, and then cash-in the additional premium (Feed in Premium mechanism - FiP). The new Decree entails that the plants under the FiP system may migrate to the fixed tariff system included in the 2007 Royal Decree (Feed in Tariff – FiT). The latter does not allow producers to sell electricity on the free market but it recognises a fixed all-in remuneration, as an alternative to the market price plus the premium. The plants that choose the FiP system are not allowed to change remuneration mechanism in the future. Falck renewables plants moved from FiP to FiT fixed tariff system at the beginning of 2013. The RDL 2/2013 also entails a revision of the update index for fixed tariffs. It is also worth noting that the Spanish Government has introduced a new tax starting from January this year. The burden is calculated by applying a 7% rate to the revenues related to the energy sold.

France: regulatory framework in wind sector

Law 2000-198 of 10 February 2000 regarding the upgrade and development of public services and electricity (and ensuing amendments under the Laws of 3 January 2003 and 15 July 2003 – the French Electricity Law) and Decree 2001-410 of 10 May 2001, require Electricité de France (“EDF”) and local distributors to purchase electricity generated by producers of energy from renewable sources under a 15-year purchase agreement. Subsequent to the amendment of July 2005, the purchase obligation applies to wind farms located within the perimeter of a wind farm development area (zone de development de l’éolien or ZDE). The conditions applicable to the purchase of electricity generated by renewable energy plants are set out in the Arrêté of 17 November 2008. The Arrêté specifies a fixed tariff regime (EUR cents 8.2 KWh subject to indexation) for the first 10 years of generation, while the tariff for the last five years of the purchase contract is linked to the volume of energy produced in the first 10-year period. Low wind sites (less than 2,400 hours of generation per year) continue to benefit from the same tariff for the full 15-year period, whereas middle and high-wind speed sites will see a decrease in the purchase tariff in the final five years of the contract. The tariff applicable to a specific wind farm is determined using a coefficient (“k index”) dependent on the year in which EDF received the full application to enter into the electricity purchase agreement. The k index is reviewed annually in line with a specific formula defined in the Arrêté. The tariff, subject to an annual index, is guaranteed for the 15 years following the start of operations. The group’s plants are located in low wind speed areas. In 2012, an appeal was presented to the French State Council against the incentives for wind farms included in the 17 November 2008 Arrêté. According to the appeal, the incentives are state-aid and thus they would have required the European Commission’s approval. The appeal is currently subject to the European Union Justice Court valuation. In the event the European Union Justice Court recognises that the incentives are state-aid, a new incentive system is due to be introduced.

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Falck Renewables profile

Falck Renewables operates in the production of energy from renewable sources through wind farms and waste-to-energy, biomass and photovoltaic plants. The specialisation in the renewable energy sector has allowed the company to gain experience and acquire know- how in the operation and maintenance (O&M) of proprietary and third party-owned renewable energy power plants. The company essentially operates in Italy, the United Kingdom and France. Falck Renewables also holds investments in three associated companies that operate two wind farms in Spain. Falck Renewables group’s current structure is the outcome of the consolidation project that took place in Q4 2010, whereby all of the renewable energy businesses of Falck SpA were transferred to Falck Renewables SpA, more specifically: (i) the wind sector business of Falck Renewables Wind Ltd formerly Falck Renewables Plc (previously controlled by Falck SpA through Falck Energy SpA) and its subsidiaries; and (ii) the WTE, biomass and photovoltaic businesses of Falck Renewables SpA (already controlled prior to conclusion of the consolidation project by Actelios SpA) and its subsidiaries. Falck Renewables operates in the following two sectors: • the wind sector, revenue derives mainly from the sale of Green Certificates, ROCs and electricity generated by the Group’s wind farms; • the WTE, biomass and photovoltaic sector, where revenue mainly derives from the sale of Green Certificates and electrical and thermal energy and the operation and maintenance of third party renewable energy power plants.

Installed Capacity by technology as at the end of 2012 Production by technology as at the end of 2012

WTE Biomass Biomass WTE Solar 4% 2% Wind 6% 12% Wind 2% 92% 81% Solar 1%

Installed Capacity by country as at the end of 2012 Production by country as at the end of 2012

Spain Spain France France 7% UK 5% 6% 4% UK 38% Italy Italy 40% 49% 51%

Source: Company data

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Falck Renewables also owns two facilities for waste disposal. ESE and ESA are located in Gorle, close to Bergamo. ESA has an extended supply chain in the centre and north of Italy. On the contrary, ESE receives waste mainly from the surrounding areas of the Bergamo province where there is a high concentration of companies . ESA, using an innovative sorting system, recovers around 66% of incoming waste materials (mainly waste from street cleaning/sweeping) producing EC-certified inert materials like sand and gravel. ESE owns a fleet of trucks to collect hazardous and non-hazardous municipal and industrial waste materials. Non-hazardous waste undergoes sorting, screening, selection, grinding and volumetric reduction. A high percentage of plastic, wood, glass, paper and ferrous materials is recovered by the process. The remaining material is sent to the Trezzo WTE plant or to landfills. Falck Renewables also operates the O&M service for the Fusina WTE plant in the industrial area of Porto Marghera. The plant is owned by Ecoprogetto (Veritas Group). Falck Renewables’ geographical diversification allows the company to reduce risks related to the regulations and authorisation processes in each country and provides for a greater flexibility as regards the optimum investment allocations.

Shareholders’ structure. Falck Renewables is 60% controlled by the Falck family through the holding company Falck SpA. The second main shareholders is Mr. Heller, Falck Renewables Wind Limited CEO, a Falck Renewables subsidiary, and Falck Renewables BoD member. In accordance with the shareholders’ pact, Mr. Heller has subscribed to around 4.4% of Falck Renewables' shares; he can’t sell 1.7% of his shares in accordance with the agreement. The pact is due to expire on the last date between January 2014 and the day in which Mr. Heller reimburses his debt vs. the company (related to the shares owned). In any case the shareholders’ pact expires in January 2016. Mr. Colombo, former Falck Renewables CEO, has no limitations on his shares.

Shareholders structure

Free Float 32.00%

Achille Colombo 2.01%

Jacob William Heller Falck SpA 5.99% 60.00%

Source: Company data

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Falck Renewable: Summary tables PROFIT & LOSS (EURm) 12/2010 12/2011 12/2012 12/2013e 12/2014e 12/2015e Sales 101 250 277 284 294 317 Cost of Sales & Operating Costs -61.2 -109 -119 -148 -150 -152 Non Recurrent Expenses/Income 0.0 0.0 0.0 0.0 0.0 0.0 EBITDA 39.5 142 158 137 144 165 EBITDA (adj.)* 39.5 142 158 137 144 165 Depreciation -19.9 -62.5 -108 -75.5 -73.1 -69.3 EBITA 19.7 79.2 49.5 61.2 71.1 95.8 EBITA (adj)* 19.7 79.2 49.5 61.2 71.1 95.8 Amortisations and Write Downs 0.0 0.0 -70.9 0.0 0.0 0.0 EBIT 19.7 79.2 -21.4 61.2 71.1 95.8 EBIT (adj.)* 19.7 79.2 -21.4 61.2 71.1 95.8 Net Financial Interest -4.0 -42.7 -47.1 -53.4 -50.0 -46.3 Other Financials 0.4 0.6 0.6 0.5 0.5 0.5 Associates 0.0 0.1 0.1 -0.5 -0.5 -0.5 Other Non Recurrent Items 0.0 0.0 0.0 0.0 0.0 0.0 Earnings Before Tax (EBT) 16.0 37.3 -67.9 7.8 21.1 49.5 Tax -11.3 -17.4 -17.6 -3.6 -9.7 -21.8 Tax rate 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% Discontinued Operations 0.0 0.0 0.0 0.0 0.0 0.0 Minorities -2.1 -1.0 -6.3 -1.5 -9.0 -14.5 Net Profit (reported) 2.5 18.9 -91.7 2.7 2.4 13.2 Net Profit (adj.) 2.5 18.9 -91.7 2.7 2.4 13.2 CASH FLOW (EURm) 12/2010 12/2011 12/2012 12/2013e 12/2014e 12/2015e Cash Flow from Operations before change in NWC 24.1 81.8 93.3 79.2 84.0 96.5 Change in Net Working Capital 0.0 23.0 -2.0 1.0 -5.2 -7.3 Cash Flow from Operations 24.1 105 91.3 80.3 78.8 89.2 Capex -89.0 -178 -58.9 -120 -70.0 -35.0 Net Financial Investments 0.0 0.0 0.0 80.8 53.9 0.0 Free Cash Flow -64.9 -73.2 32.5 41.1 62.7 54.2 Dividends 0.0 0.0 0.0 0.0 -0.8 -0.7 Other (incl. Capital Increase & share buy backs) -664 -25.1 8.7 1.2 -1.1 -0.6 Change in Net Debt -729 -98.3 41.1 42.3 60.7 52.8 NOPLAT 19.7 79.2 -21.4 61.2 71.1 95.8 BALANCE SHEET & OTHER ITEMS (EURm) 12/2010 12/2011 12/2012 12/2013e 12/2014e 12/2015e Net Tangible Assets 947 1,099 1,035 999 942 907 Net Intangible Assets (incl.Goodwill) 136 248 186 186 186 186 Net Financial Assets & Other 1.2 1.1 0.0 0.0 0.0 0.0 Total Fixed Assets 1,085 1,347 1,221 1,185 1,128 1,094 Inventories 3.7 4.3 3.3 3.2 3.3 3.5 Trade receivables 72.6 103 115 114 118 122 Other current assets 59.0 83.2 79.5 79.0 81.3 84.5 Cash (-) -92.8 -96.9 -139 -144 -153 -160 Total Current Assets 228 287 337 341 355 371 Total Assets 1,313 1,634 1,558 1,526 1,483 1,464 Shareholders Equity 328 445 344 347 348 361 Minority 7.3 6.9 -0.3 0.8 7.1 17.2 Total Equity 335 452 344 347 355 378 Long term interest bearing debt 648 856 908 873 824 782 Provisions 3.0 3.8 4.0 4.5 4.6 4.7 Other long term liabilities 6.0 33.8 43.4 44.5 46.0 49.6 Total Long Term Liabilities 657 894 955 922 875 836 Short term interest bearing debt 173 67.0 74.1 71.2 67.2 63.8 Trade payables 107 62.1 56.7 56.4 58.0 60.3 Other current liabilities 40.5 43.2 39.6 39.8 38.6 37.1 Total Current Liabilities 320 172 170 167 164 161 Total Liabilities and Shareholders' Equity 1,313 1,518 1,469 1,437 1,394 1,376 Net Capital Employed 1,073 1,432 1,323 1,285 1,234 1,207 Net Working Capital -30.4 44.7 61.5 61.2 62.9 65.4 GROWTH & MARGINS 12/2010 12/2011 12/2012 12/2013e 12/2014e 12/2015e Sales growth n.m. 148.5% 10.7% 2.6% 3.3% 7.8% EBITDA (adj.)* growth n.m. 258.5% 11.4% -13.4% 5.5% 14.5% EBITA (adj.)* growth n.m. 303.1% -37.5% 23.6% 16.1% 34.7% EBIT (adj)*growth n.m. 303.1% n.m. n.m. 16.1% 34.7%

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Falck Renewable: Summary tables GROWTH & MARGINS 12/2010 12/2011 12/2012 12/2013e 12/2014e 12/2015e Net Profit growth n.m. 654.8% n.m. n.m. -12.4% 452.8% EPS adj. growth n.m. -93.8% n.m. n.m. -12.4% 452.8% DPS adj. growth n.m. -12.4% 452.8% EBITDA (adj)* margin 39.3% 56.6% 57.0% 48.1% 49.1% 52.1% EBITA (adj)* margin 19.5% 31.7% 17.9% 21.5% 24.2% 30.2% EBIT (adj)* margin 19.5% 31.7% n.m. 21.5% 24.2% 30.2%

RATIOS 12/2010 12/2011 12/2012 12/2013e 12/2014e 12/2015e Net Debt/Equity 2.2 1.8 2.5 2.3 2.1 1.8 Net Debt/EBITDA 18.4 5.8 5.3 5.9 5.1 4.2 Interest cover (EBITDA/Fin.interest) 9.9 3.3 3.4 2.6 2.9 3.6 Capex/D&A 447.8% 284.8% 32.8% 158.9% 95.8% 50.5% Capex/Sales 88.4% 71.1% 21.2% 42.2% 23.8% 11.1% NWC/Sales -30.2% 17.9% 22.2% 21.5% 21.4% 20.7% ROE (average) 1.5% 4.9% -23.3% 0.8% 0.7% 3.7% ROCE (adj.) 1.9% 5.7% -1.7% 4.9% 6.0% 8.3% WACC 7.9% 7.9% 7.9% 7.9% 7.9% 0.0% ROCE (adj.)/WACC 0.2 0.7 -0.2 0.6 0.8 n.m.

PER SHARE DATA (EUR)*** 12/2010 12/2011 12/2012 12/2013e 12/2014e 12/2015e Average diluted number of shares 161.9 291.4 291.4 291.4 291.4 291.4 EPS (reported) 1.88 0.12 -0.27 0.01 0.01 0.05 EPS (adj.) 1.88 0.12 -0.27 0.01 0.01 0.05 BVPS 2.03 1.53 1.18 1.19 1.20 1.24 DPS 0.00 0.00 0.00 0.00 0.00 0.01

VALUATION 12/2010 12/2011 12/2012 12/2013e 12/2014e 12/2015e EV/Sales 9.9 4.3 4.1 3.7 3.4 3.0 EV/EBITDA 25.3 7.6 7.1 7.6 6.8 5.7 EV/EBITDA (adj.)* 25.3 7.6 7.1 7.6 6.8 5.7 EV/EBITA 50.9 13.6 22.7 17.0 13.8 9.8 EV/EBITA (adj.)* 50.9 13.6 22.7 17.0 13.8 9.8 EV/EBIT 50.9 13.6 n.m. 17.0 13.8 9.8 EV/EBIT (adj.)* 50.9 13.6 n.m. 17.0 13.8 9.8 P/E (adj.) 0.9 7.3 n.m. n.m. n.m. 18.2 P/BV 0.8 0.6 0.8 0.7 0.7 0.7 Total Yield Ratio 0.0% 0.0% 0.0% 0.3% 0.3% EV/CE 0.9 0.8 0.9 0.8 0.8 0.8 OpFCF yield -23.9% -29.6% 11.4% -16.5% 3.7% 22.5% OpFCF/EV -6.5% -6.8% 2.9% -3.8% 0.9% 5.8% Payout ratio 0.0% 0.0% 0.0% 30.0% 30.0% 30.0% Dividend yield (gross) 0.0% 0.0% 0.0% 0.3% 0.3% 1.6%

EV AND MKT CAP (EURm) 12/2010 12/2011 12/2012 12/2013e 12/2014e 12/2015e Price** (EUR) 1.67 0.85 0.97 0.83 0.83 0.83 Outstanding number of shares for main stock 161.9 291.4 291.4 291.4 291.4 291.4 Total Market Cap 271 248 284 240 240 240 Net Debt 728 826 843 800 739 685 o/w Cash & Marketable Securities (-) -93 -97 -139 -144 -153 -160 o/w Gross Debt (+) 821 923 982 945 891 846 Other EV components 1 1 0 1 5 12 Enterprise Value (EV adj.) 1,000 1,075 1,126 1,041 984 938 Source: Company, Banca Akros estimates.

Notes * Where EBITDA (adj.) or EBITA (adj)= EBITDA (or EBITA) -/+ Non Recurrent Expenses/Income and where EBIT (adj)= EBIT-/+ Non Recurrent Expenses/Income - PPA amortisation **Price (in local currency): Fiscal year end price for Historical Years and Current Price for current and forecasted years Sector: Utilities/Utilities Company Description: Gas Plus, due to the growth began after the liberalization process in the Italian energy market in the early 2000, represents one of the most important player, among the new ones, as integrated operator (it covers the entire chain of natural gas management process)£pv£ in particular it is focused on exploration and production (E&P), on gas supply and sales both to wholesale (S&S) and to the final customer (Retail) and on municipal gas distribution (Network). In each segment, the company has gained a solid know-how that has guaranteed strong presence over the market in the latest years.

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European Coverage of the Members of ESN

Aerospace & Defense M em(*) Banesto BBO Tubacex BBO Holcim Ltd CIC Bois Sauvage BDG Aviation Latecoere CIC Bank Of Cyprus IBG Upm-Kymmene POH Imerys CIC Bolsas Y M ercados Espanoles Sa BBO Bae Systems Plc CIC Bankinter BBO Biotechnology M em(*) Impregilo BAK Capman POH Dassault Aviation CIC Bbva BBO 4Sc Ag EQB Italcementi BAK Cir BAK Eads CIC Bcp CBI Bioalliance Pharma CIC Lafarge CIC Comdirect EQB Finmeccanica BAK Bes CBI Epigenomics Ag EQB Lemminkäinen POH Corp. Financiera Alba BBO Lisi CIC Bnp Paribas CIC M etabolic Explorer CIC M aire Tecnimont BAK Dab Bank EQB M tu EQB Boursorama CIC Neovacs CIC M ota Engil CBI Deutsche Boerse EQB Rheinmetall EQB Bper BAK Transgene CIC Obrascon Huarte Lain BBO Deutsche Forfait EQB Rolls Royce CIC Bpi CBI Wilex EQB Ramirent POH Financiere De Tubize BDG Safran CIC Commerzbank EQB Zeltia BBO Royal Bam Group SNS Gbl BDG Thales CIC Credem BAK C hemicals M em(*) Sacyr Vallehermoso BBO Gimv BDG Zodiac CIC Credit Agricole Sa CIC Air Liquide CIC Saint Gobain CIC Grenkeleasing Ag EQB A irlines M em(*) Creval BAK Akzo Nobel SNS Sonae Industria CBI Hellenic Exchanges IBG Air France Klm CIC Deutsche Bank EQB Basf EQB Srv POH Hypoport Ag EQB Finnair POH Dexia BDG Dsm SNS Thermador Groupe CIC Kbc Ancora BDG Lufthansa EQB Efg Eurobank Ergasias IBG Floridienne BDG Titan Cement IBG Luxempart BDG Automobiles & Parts M em(*) Garanti Bank IBG Fuchs Petrolub EQB Trevi BAK M lp EQB Autoliv CIC Halkbank IBG Henkel EQB Uponor POH Luxempart BDG Bmw EQB Ing Group SNS Holland Colours SNS Uzin Utz EQB M lp EQB Brembo BAK Intesa Sanpaolo BAK K+S Ag EQB Vbh Holding EQB Continental EQB Kbc Group BDG Kemira POH Vicat CIC Daimler Ag EQB M ediobanca BAK Lanxess EQB Vinci CIC Elringklinger EQB National Bank Of Greece IBG Linde EQB Yit POH Faurecia CIC Natixis CIC Nanogate Ag EQB Electronic & Electrical M em(*) Fiat BAK Nordea POH Recticel BDG Agfa-Gevaert BDG Landi Renzo BAK Piraeus Bank IBG Solvay BDG Alstom CIC Leoni EQB Postbank EQB Symrise Ag EQB Areva CIC M ichelin CIC Societe Generale CIC Tessenderlo BDG Augusta Technologie EQB Nokian Tyres POH Ubi Banca BAK Tikkurila POH Barco BDG Piaggio BAK Unicredit BAK Umicore BDG Euromicron Ag EQB Pirelli & C. BAK Yapi Kredi Bank IBG Wacker Chemie EQB Evs BDG Plastic Omnium CIC Basic Resources M em(*) Construction & M aterials M em(*) Gemalto CIC Plastivaloire CIC Acerinox BBO Acs BBO Ingenico CIC Porsche EQB Altri CBI Astaldi BAK Kontron EQB Psa Peugeot Citroen CIC Arcelormittal BBO Ballast Nedam SNS Lacie CIC Renault CIC Crown Van Gelder SNS Bilfinger Se EQB Legrand CIC Sogefi BAK Ence BBO Boskalis Westminster SNS M obotix Ag EQB Stern Groep SNS Europac BBO Buzzi Unicem BAK Neways Electronics SNS Valeo CIC Inapa CBI Cfe BDG Nexans CIC Volkswagen EQB M etka IBG Ciments Français CIC Pkc Group POH B anks M em(*) M etsä Board POH Cramo POH Rexel CIC Aareal Bank EQB M ytilineos IBG Deceuninck BDG Schneider Electric Sa CIC Akbank IBG Nyrstar BDG Eiffage CIC Vacon POH Aktia POH Outokumpu POH Ellaktor IBG Vaisala POH Alpha Bank IBG Portucel CBI Fcc BBO Financial Services M em(*) Banca Carige BAK Rautaruukki POH Ferrovial BBO Ackermans & Van Haaren BDG Banca M ps BAK Salzgitter EQB Gek Terna IBG Azimut BAK Banco Popolare BAK Semapa CBI Grontmij SNS Banca Generali BAK Banco Popular BBO Stora Enso POH Grupo San Jose BBO Banca Ifis BAK Banco Sabadell BBO Talvivaara M ining Co Plc POH Heijmans SNS Bb Biotech EQB Banco Santander BBO Thyssenkrupp EQB Hochtief EQB Binckbank SNS

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Food & Beverage M em(*) M arr BAK Biotest EQB Agta Record CIC Brisa CBI Acomo SNS Rallye CIC Cegedim CIC Aixtron EQB Caf BBO Anheuser-Busch Inbev BDG Sligro SNS Celesio EQB Ansaldo Sts BAK Deutsche Post EQB Atria POH Sonae CBI Diasorin BAK Bauer Ag EQB Dockwise SNS Baron De Ley BBO General Industrials M em(*) Drägerwerk EQB Biesse BAK Fraport EQB Baywa EQB Aalberts SNS Faes Farma BBO Cargotec Corp POH Gemina BAK Berentzen EQB Accell Group SNS Fresenius EQB Cfao CIC Hes Beheer SNS Bonduelle CIC Advanced Vision Technology EQB Fresenius M edical Care EQB Danieli BAK Hhla EQB Campari BAK Ahlstrom POH Gerresheimer Ag EQB Datalogic BAK Logwin EQB Campofrio BBO Analytik Jena EQB Grifols Sa BBO Delclima BAK Norbert Dentressangle CIC Coca Cola Hellenic IBG Arcadis SNS Korian CIC Duro Felguera BBO Postnl SNS Csm SNS Aspo POH Laboratorios Rovi BBO Emak BAK Sias BAK Danone CIC Azkoyen BBO M edica CIC Exel Composites POH Tnt Express SNS De M aster Blenders 1753 SNS Bekaert BDG M ediq SNS Exel Industries CIC Insurance M em(*) Ebro Foods BBO Evolis CIC M erck EQB Faiveley CIC Aegon SNS Enervit BAK Frigoglass IBG Natraceutical Sa BBO Fiat Industrial BAK Ageas BDG Fleury M ichon CIC Huhtamäki POH Novartis CIC Gea Group EQB Allianz EQB Forfarmers SNS Kendrion SNS Oriola-Kd POH Gesco EQB Axa CIC Heineken SNS M artifer Sgps Sa CBI Orion POH Gildemeister EQB Delta Lloyd SNS Hkscan POH M ifa EQB Orpea CIC Haulotte Group CIC Fondiaria Sai BAK Ktg Agrar EQB Nedap SNS Recordati BAK Heidelberger Druck EQB Generali BAK Lanson-Bcc CIC Neopost CIC Rhoen-Klinikum EQB Ima BAK Hannover Re EQB Laurent Perrier CIC Pöyry POH Roche CIC Interpump BAK M apfre Sa BBO Ldc CIC Prelios BAK Sanofi CIC Khd Humboldt Wedag InternationalEQB M ediolanum BAK Lotus Bakeries BDG Resilux BDG Sorin BAK Kone POH M ilano Assicurazioni BAK Natra BBO Saf-Holland EQB Stallergènes CIC Konecranes POH M unich Re EQB Naturex CIC Saft CIC Ucb BDG Krones Ag EQB Sampo POH Nestle SNS Skw Stahl EQB Hotels, Travel & Tourism M em(*) Kuka EQB Talanx Group EQB Nutreco SNS Tessi CIC Accor CIC M an EQB Unipol BAK Olvi POH Tkh Group SNS Autogrill BAK M anitou CIC Zurich Financial Services BAK Parmalat BAK Vidrala BBO Beneteau CIC M ax Automation Ag EQB M edia M em(*) Pernod-Ricard CIC Wendel CIC Compagnie Des Alpes CIC M etso POH Ad Pepper EQB Pinguin BDG General Retailers M em(*) Groupe Partouche CIC Outotec POH Alma M edia POH Raisio POH Beter Bed Holding SNS I Grandi Viaggi BAK Pfeiffer Vacuum EQB Antena 3Tv BBO Remy Cointreau CIC D'Ieteren BDG Ibersol CBI Ponsse POH Brill SNS Sipef BDG Douglas Holding EQB Intralot IBG Prima Industrie BAK Cofina CBI Ter Beke BDG Fielmann EQB Lottomatica BAK Prysmian BAK Editoriale L'Espresso BAK Unilever SNS Folli Follie Group IBG M elia Hotels International BBO Reesink SNS Gl Events CIC Vilmorin CIC Fourlis Holdings IBG Nh Hoteles BBO Sabaf BAK Havas CIC Viscofan BBO Inditex BBO Opap IBG Schuler Ag EQB Hi-M edia CIC Vranken Pommery M onopole CIC Jacquet M etal Service CIC Sodexo CIC Singulus Technologies EQB Impresa CBI Wessanen SNS Jumbo IBG Sonae Capital CBI Smt Scharf Ag EQB Ipsos CIC Food & Drug Retailers M em(*) M acintosh SNS Trigano CIC Ten Cate SNS Jcdecaux CIC Ahold SNS Rapala POH Tui EQB Trilogiq CIC Kinepolis BDG Bim IBG Stockmann POH Household Goods M em(*) Vossloh EQB Lagardere CIC Carrefour CIC H ealthcare M em(*) De Longhi BAK Wärtsilä POH Lbi International Nv SNS Casino Guichard-Perrachon CIC Ab-Biotics BBO Elica BAK Zardoya Otis BBO M 6-M etropole Television CIC Colruyt BDG Almirall BBO Indesit BAK Ind T rans & M o to rways M em(*) M ediaset BAK Delhaize BDG Amplifon BAK Seb Sa CIC Abertis BBO M ediaset Espana BBO Dia BBO Arseus BDG U10 CIC Adp CIC M eetic CIC Jeronimo M artins CBI Bayer EQB Industrial Engineering M em(*) Atlantia BAK Nextradiotv CIC Kesko POH Biomerieux CIC Accsys Technologies SNS Bollore CIC Cic BBO

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Nrj Group CIC M arimekko POH Besi SNS Unit4 SNS E.On EQB Pages Jaunes CIC M edion EQB M elexis BDG Wincor Nixdorf EQB Edp CBI Prisa BBO Ppr CIC Okmetic POH Support Services M em(*) Edp Renováveis CBI Publicis CIC Puma EQB Roodmicrotec SNS Batenburg SNS Elia BDG Rcs M ediagroup BAK Safilo BAK Stmicroelectronics BAK Brunel SNS Enagas BBO Reed Elsevier N.V. SNS Salvatore Ferragamo BAK Suess M icrotec EQB Bureau Veritas S.A. CIC Endesa BBO Roularta BDG Sarantis IBG S/W & Computer Serv's M em(*) Dpa SNS Enel BAK Rtl Group BDG Tod'S BAK Affecto POH Edenred CIC Fluxys BDG Sanoma POH Van De Velde BDG Akka Technologies CIC Ei Towers BAK Fortum POH Spir Communication CIC Zucchi BAK Alten CIC Fiera M ilano BAK Gas Natural Fenosa BBO Talentum POH Real Estate M em(*) Altran CIC Imtech SNS Gdf Suez CIC Telegraaf M edia Groep SNS Aedifica BDG Amadeus BBO Lassila & Tikanoja POH Hera BAK Teleperformance CIC Ascencio BDG Atos CIC Prosegur BBO Iberdrola BBO Tf1 CIC Atenor BDG Basware POH Randstad SNS Iren BAK Ti M edia BAK Banimmo BDG Beta Systems Software EQB Tmc Group SNS Public Power Corp IBG Ubisoft CIC Befimmo BDG Bull CIC Usg People SNS Red Electrica De Espana BBO Vivendi CIC Beni Stabili BAK Capgemini CIC Telecom Equipment M em(*) Ren CBI Wolters Kluwer SNS Citycon POH Cegid CIC Alcatel-Lucent CIC Rwe EQB Oil & Gas Producers M em(*) Cofinimmo BDG Cenit EQB Ericsson POH Sechilienne Sidec CIC Eni BAK Corio BDG Comptel POH Gigaset EQB Snam BAK Galp Energia CBI Deutsche Euroshop EQB Ctac SNS Nokia POH Suez Environnement CIC Gas Plus BAK Home Invest Belgium BDG Dassault Systemes CIC Teleste POH Terna BAK Hellenic Petroleum IBG Igd BAK Digia POH Telecommunications M em(*) Veolia Environnement CIC M aurel Et Prom CIC Intervest Offices & Warehouses BDG Docdata SNS Acotel BAK M otor Oil IBG Intervest Retail BDG Engineering BAK Belgacom BDG Neste Oil POH Ivg Immobilien Ag EQB Esi Group CIC Bouygues CIC Petrobras CBI Leasinvest Real Estate BDG Exact Holding Nv SNS Deutsche Telekom EQB Repsol BBO M ontea BDG F-Secure POH Elisa POH Total CIC Realia BBO Gameloft CIC Eutelsat Communications Sa CIC Tupras IBG Retail Estates BDG Gft Technologies EQB France Telecom CIC Oil Services M em(*) Sponda POH Groupe Open CIC Freenet EQB Bourbon CIC Technopolis POH Guillemot Corporation CIC Gowex BBO Cgg CIC Unibail-Rodamco BDG I.R.I.S. BDG Iliad CIC Fugro SNS Vastned Retail BDG I:Fao Ag EQB Jazztel BBO Saipem BAK Vib Vermoegen EQB Ict Automatisering SNS M obistar BDG Technip CIC Wdp BDG Indra Sistemas BBO Ote IBG Tecnicas Reunidas BBO R enewable Energy M em(*) Itelligence EQB Portugal Telecom CBI Tenaris BAK Abengoa BBO Neurones CIC Ses CIC Vallourec CIC Biopetrol Industries EQB Novabase Sgps CBI Sonaecom CBI Vopak SNS Daldrup & Soehne EQB Ordina SNS Telecom Italia BAK Personal Goods M em(*) Deutsche Biogas EQB Psi EQB Telefonica BBO Adidas EQB Enel Green Power BAK Qurius SNS Telenet Group BDG Adler M odemaerkte EQB Gamesa BBO Realdolmen BDG Teliasonera POH Amer Sports POH Phoenix Solar EQB Reply BAK Tiscali BAK Basic Net BAK Sma Solar Technology EQB Rib Software EQB Turkcell IBG Beiersdorf EQB Solar-Fabrik EQB Seven Principles Ag EQB United Internet EQB Geox BAK Solarworld EQB Sii CIC Vodafone BAK Gerry Weber EQB Solutronic EQB Sopra Group CIC Zon M ultimedia CBI

Hugo Boss EQB Sunways EQB Steria CIC Utilities M em(*) Loewe EQB Semiconductors M em(*) Tieto POH A2A BAK

Luxottica BAK Asm International SNS Tomtom SNS Acciona BBO M arcolin BAK Asml SNS Transics BDG Acea BAK LEGEND: BAK: Banca Akros; BDG: Bank Degroof; BBO: Bankia Bolsa; CIC: CM CIC Securities; CBI: Caixa-Banca de Investimento; EQB: Equinet bank; IBG: Investment Bank of Greece, POH: Pohjola Bank; SNS: SNS Securities as of 2nd April 2013

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Falck Renewables

List of ESN Analysts (**)

Ari Agopyan CIC +33 1 45 96 85 80 [email protected] Sergio Ruiz M artin BBO +34 91 436 7866 [email protected] Christian Auzanneau CIC +33 4 78 92 01 85 [email protected] Dario M ichi BAK +39 02 4344 4237 [email protected] Olivier Bails, CFA CIC +33 1 45 96 78 72 [email protected] M arietta M iemietz CFA EQB +49-69-58997-439 [email protected]£cr£ Helena Barbosa CBI +351 21 389 6831 [email protected] Júlia M onteiro CGD +55 2131 383 128 [email protected] Javier Bernat BBO +34 91 436 7816 [email protected] José M ota Freitas, CFA CBI +351 22 607 09 31 [email protected] Dimitris Birbos IBG +30 210 81 73 392 [email protected] Louis Nicolopoulos IBG +30 210 81 73 377 [email protected] Jean-Pascal Brivady CIC +33 4 78 92 02 25 [email protected] Alex Pardellas CGD +55 2131 383 154 [email protected] David Cabeza Jareño BBO +34 91 4367818 [email protected] Henri Parkkinen POH +358 10 252 4409 [email protected] Giada Cabrino, CIIA BAK +39 02 4344 4092 [email protected] Adrian Pehl, CFA EQB +49 69 58997 438 [email protected] Niclas Catani POH +358 10 252 8780 [email protected] Victor Peiro Pérez BBO +34 91 436 7812 [email protected] Jean-M arie Caucheteux BDG +32 2 287 99 20 [email protected] Francis Prêtre CIC +33 4 78 92 02 30 [email protected] M arco Cavalleri BAK +39 02 4344 4022 [email protected] Francesco Previtera BAK +39 02 4344 4033 [email protected] Pierre Chedeville CIC +33 1 45 96 78 71 [email protected] Elaine Rabelo CGD +55 1130 748 027 [email protected] Emmanuel Chevalier CIC +33 1 45 96 77 42 [email protected] Jari Raisanen POH +358 10 252 4504 [email protected] Florent Couvreur CIC +33 1 45 96 77 60 [email protected] Hannu Rauhala POH +358 10 252 4392 [email protected] Edwin de Jong SNS +312 0 5508569 [email protected] M atias Rautionmaa POH +358 10 252 4408 [email protected] Nadeshda Demidova EQB +49 69 58997 434 [email protected] Eric Ravary CIC +33 1 45 96 79 53 [email protected] M artijn den Drijver SNS +312 0 5508636 [email protected] Iñigo Recio Pascual BBO +34 91 436 7814 [email protected] Christian Devismes CIC +33 1 45 96 77 63 [email protected] Philipp Rigters EQB +49 69 58997 413 [email protected] Andrea Devita, CFA, BAK +39 02 4344 4031 [email protected] M aria Rivas Rodriguez BBO +34 91 436 7815 [email protected] Hans D'Haese BDG +32 (0) 2 287 9223 [email protected] André Rodrigues CBI +351 21 389 68 39 [email protected] Dries Dury BDG +32 2 287 91 76 [email protected] Jean-Luc Romain CIC +33 1 45 96 77 36 [email protected] Ingbert Faust, CEFA EQB +49 69 58997 410 [email protected] Jochen Rothenbacher, CEFA EQB +49 69 58997 415 [email protected] Rafael Fernández de Heredia BBO +34 91 436 78 08 [email protected] Vassilis Roumantzis IBG +30 2108173394 [email protected] Stefan Freudenreich, CFA EQB +49 69 58997 437 [email protected] Sonia Ruiz De Garibay BBO +34 91 436 7841 [email protected] Gabriele Gambarova BAK +39 02 43 444 289 [email protected] Antti Saari POH +358 10 252 4359 [email protected] Claudio Giacomiello, CFA BAK +39 02 4344 4269 [email protected] Paola Saglietti BAK +39 02 4344 4287 [email protected] Ana Isabel González García CIIA BBO +34 91 436 78 09 [email protected] Francesco Sala BAK +39 02 4344 4240 [email protected] Arsène Guekam CIC +33 1 45 96 78 76 [email protected] Lemer Salah SNS '+312 0 5508516 [email protected] Bernard Hanssens BDG +32 (0) 2 287 9689 [email protected] M ichael Schaefer EQB +49 69 58997 419 [email protected] Philipp Häßler, CFA EQB +49 69 58997 414 [email protected] Holger Schmidt, CEFA EQB +49 69 58 99 74 32 [email protected] Carlos Jesus CBI +351 21 389 6812 [email protected] Tim Schuldt, CFA EQB +49 69 5899 7433 [email protected] Lillian Katelani IBG +30-210-8173-389 [email protected] Pekka Spolander POH +358 10 252 4351 [email protected] Vicente Koki CGD +55 1130 744 522 [email protected] Gert Steens SNS +312 0 5508639 [email protected] Jean-M ichel Köster CIC +33 1 45 96 77 17 [email protected] Kimmo Stenvall POH +358 10 252 4561 [email protected] M arc Leemans, CFA BDG +32 (0) 2 287 9361 [email protected] Natalia Svyrou-Svyriadi IBG +30 210 81 73 384 [email protected] Jean-Christophe Lefèvre-M oulenq CIC +33 1 45 96 91 04 [email protected] Annick Thévenon CIC +33 1 45 96 77 38 [email protected] Dov Levy CIC +33 1 45 96 78 74 [email protected] Luigi Tramontana BAK +39 02 4344 4239 [email protected] Sébastien Liagre CIC +33 1 45 96 90 34 [email protected] Johan van den Hooven SNS +312 0 5508518 [email protected] Harald Liberge-Dondoux CIC +33 1 45 96 98 12 [email protected] Guido Varatojo dos Santos CBI +351213896822 [email protected] Konrad Lieder EQB +49 69 5899 7436 [email protected] Richard Withagen SNS +312 0 5508572 [email protected] Konstantinos M anolopoulos IBG +30 210 817 3388 [email protected]

(**) excluding: strategists, macroeconomists, heads of research not covering specific stocks, credit analysts, technical analysts

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Falck Renewables

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ESN Recommendation System The ESN Recommendation System is Absolute. It means that each stock is rated on the basis of a total return, measured by the upside potential (including dividends and capital reimbursement) over a 12 month time horizon. The ESN spectrum of recommendations (or ratings) for each stock comprises 5 categories: Buy, Accumulate (or Add), Hold, Reduce and Sell (in short: B, A, H, R, S). Furthermore, in specific cases and for a limited period of time, the analysts are allowed to rate the stocks as Rating Suspended (RS) or Not Rated (NR), as explained below. Meaning of each recommendation or rating:

Buy: the stock is expected to generate total return of over 20% during the next 12 months time horizon Accumulate: the stock is expected to generate total return of 10% to 20% during the next 12 months time horizon Hold: the stock is expected to generate total return of 0% to 10% during the next 12 months time horizon. Reduce: the stock is expected to generate total return of 0% to -10% during the next 12 months time horizon Sell: the stock is expected to generate total return under -10% during the next 12 months time horizon Rating Suspended: the rating is suspended due to a capital operation (take- over bid, SPO, …) where the issuer of the document (a partner of ESN) or a related party of the issuer is or could be involved or to a change of analyst covering the stock Not Rated: there is no rating for a company being floated (IPO) by the issuer of the document (a partner of ESN) or a related party of the issuer

Banca Akros Ratings Breakdown

History of ESN Recommendation System Since 18 October 2004, the Members of ESN are using an Absolute Recommendation System (before was a Relative Rec. System) to rate any single stock under coverage. Since 4 August 2008, the ESN Rec. System has been amended as follow. Time horizon changed to 12 months (it was 6 months) Recommendations Total Return Range changed as below:

TODAY SELL REDUCE HOLD ACCUMULATE BUY -10% 0% 10% 20% BEFORE SELL REDUCE HOLD ACCUMULATE BUY -15% 0% 5% 15%

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Falck Renewables

Il presente documento è stato redatto da Dario Michi (socio AIAF), che svolge funzioni di analista presso Banca Akros SpA ("Banca Akros"), soggetto responsabile della produzione del documento stesso. Banca Akros è una banca autorizzata anche alla prestazione di servizi di investimento appartenente al Gruppo Bipiemme Banca Popolare di Milano (il “Gruppo”), ed è soggetta all’attività di direzione e coordinamento di Banca Popolare di Milano (la “Capogruppo”). La banca è iscritta all’albo delle Banche al n. 5328 ed è soggetta alla regolamentazione e alla vigilanza di Banca d’Italia e Consob. La banca ha prodotto il presente documento solo per i propri clienti professionali ai sensi della Direttiva 2004/39/CE e dell’Allegato 3 del Regolamento Intermediari Consob. Esso è distribuito dal giorno 19 giugno 2013. Banca Akros, ai sensi degli artt. 69 quater e quinquies del Regolamento Consob in materia di Emittenti (“comunicazione al pubblico di interessi e di conflitti di interessi”), dichiara di avere un proprio specifico interesse riguardo all’emittente, agli strumenti finanziari e alle operazioni oggetto del documento, in quanto specialista del titolo Falck Renewables, quotato sul segmento Star. L’analista Dario Michi (socio AIAF), che ha redatto il presente documento, ha maturato una significativa esperienza presso Banca Akros e altri intermediari. L'analista e i suoi familiari non detengono Strumenti Finanziari emessi dall’Emittente, né svolgono ruoli di amministrazione, direzione o consulenza per l’Emittente, né l’analista riceve bonus, stipendi o altre forme di retribuzione correlate, direttamente o indirettamente, al successo di operazioni di investment banking. Banca Akros, nell’ultimo anno, non ha pubblicato sulla società oggetto di analisi in quanto trattasi di inizio di copertura. La Banca rende disponibili ulteriori informazioni, ai sensi delle disposizioni Consob di attuazione dell’art. 114, comma 8 del D.Lgs 58/98 (TUF) ed in particolare ai sensi dell’art. 69 quinquies, comma 2, del Regolamento Emittenti, presso il proprio sito internet (si veda http://www.bancaakros.it/media/6903/3-mktabuse-daf-sitointernet-conflitti-aggiornato.pdf). Le informazioni e le opinioni contenute in questo documento si basano su fonti ritenute attendibili. La provenienza di dette informazioni e il fatto che si tratti di informazioni già rese note al pubblico è stata oggetto di ogni ragionevole verifica da parte di Banca Akros. Banca Akros tuttavia, nonostante le suddette verifiche, non può garantire in alcun modo né potrà in nessun caso essere ritenuta responsabile qualora le informazioni alla stessa fornite, riprodotte nel presente documento, ovvero sulla base delle quali è stato redatto il presente documento, si rivelino non accurate, complete, veritiere ovvero corrette. Il documento è fornito a solo scopo informativo; esso non costituisce proposta contrattuale, offerta o sollecitazione all’acquisto e/o alla vendita di strumenti finanziari o, in genere, all’investimento, né costituisce consulenza in materia di investimenti. Banca Akros non fornisce alcuna garanzia di raggiungimento di qualunque previsione e/o stima contenuto nel documento stesso. Inoltre Banca Akros non assume alcuna responsabilità in merito a qualsivoglia conseguenza e/o danno derivante dall’utilizzo del presente documento e/o delle informazioni in esso contenute. Le informazioni o le opinioni ivi contenute possono variare senza alcun conseguente obbligo di comunicazione in capo a Banca Akros, fermi restando eventuali obblighi di legge o regolamentari. E’ vietata la riproduzione e/o la ridistribuzione, in tutto o in parte, direttamente o indirettamente, del presente documento, non espressamente autorizzata.

Recommendation history for FALCK RENEWABLES

Date Recommendation Target price Price at change date 19-Jun-13 Buy 1.50 0.83

Source: Factset & ESN, price data adjusted for stock splits. This chart shows Banca Akros continuing coverage of this stock; the current analyst may or may not have covered it over the entire period. Current analyst: Dario Michi

1.15

1.10

1.05

1.00

0.95

0.90

0.85

0.80

0.75

0.70 Jun 12 Jul 12 Aug 12 Sep 12 Oct 12 Nov 12 Dec 12 Jan 13 Feb 13 Mar 13 Apr 13 May 13 Jun 13 Jul 13

Price history Target price history Buy Accumulate Hold Reduce Sell Not rated

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