Enel

Earnings Release • Mar 22, 2016

Informazione Regolamentata n. 0116-20-2016		Data/Ora Ricezione 22 Marzo 2016 18:08:27	MTA
Societa'	:	ENEL
Identificativo Informazione Regolamentata	:	71290
Nome utilizzatore	:	ENELN02 - Bonomo
Tipologia	:	IRAG 01
Data/Ora Ricezione	:	22 Marzo 2016 18:08:27
Data/Ora Inizio Diffusione presunta	:	22 Marzo 2016 18:23:28
Oggetto	:	PROGRESS AGAINST ALL FIVE KEY PILLARS OF STRATEGIC PLAN	2015 FINANCIAL TARGETS ACHIEVED;
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2015 FINANCIAL TARGETS ACHIEVED KEY PILLARS OF STRATEGIC ACHIEVED; PROGRESS AGAINST ALL FIVE PLAN ;

Main consolidated financial highlights

• Revenues 75,658 million euros (75,791 million euros in 2014, -0.2%)
• − Slight reduction due to a decline in fuel sales electricity sales, partly offset by higher revenues from gas and
• EBITDA 15,297 million euros (15,757 million euros in 2014, -2.9%)
• − Driven by overall negative trend of exchange rates variations, early retirement agreements in Italy and Spain, lower generation margin from conventional sources
• − These factors were partially offset by the the new Slovak legislation on the effects of the efficiency plan, regulatory changes and disposal of nuclear fuel
• Ordinary EBITDA 15,040 million euros (15,502 million euros in 2014, -3.0%)
• EBIT 7,685 million euros (3,087 million euros in 2014 2014, +148.9%)
• − Significant increase driven by lower depreciation, amortisation and impairment losses
• Group net income 2,196 million euros (517 million euros in 2014 2014, +324.8%)
• − Due to significant EBIT improvement and lower net financial charges by higher income taxes charges, which were partially offset
• Group net ordinary income notwithstanding the negative effect of the Italian fiscal reform on deferred taxes 2,887 million euros (2,994 million euros in 2014, -3.6%), taxes (182 million euros)
• Net financial debt 37,545 million euros (37,383 million euros in 2014, +0.4%) +0.4%) in line with 2014
• Proposed 2015 dividend at 0.16 euro/share

2015 results and Group strategic plan targets

• Results in line with guidance , despite challenging macro-economic scenario economic
• − Major contribution from efficiencies achieved, mainly in Italy and Spain
• − Installed renewable capacity continues to grow
• − Slight improvement in results in Latin America esults
• In 2015, significant progress was made towards achieving the targets set for each of the five pillars

of the strategic plan

• 1. Cash cost reduction of around 3%, with efficiencies totalling around 450 million euros
• − Early retirement agreements reached in Italy and Spain, with related provisions of 1.5 billion euros
• 2. Growth EBITDA of 400 million euros − 70% of growth EBITDA for 2017 already achieved
• 3. Full integration of Enel Green Power into the Enel Group under completion; corporate restructuring in Latin America under way
• 4. Approximately 3.7 billion euros of − Equal to more than 60% of the 6 billion euro asset rotation target that was set asset sale agreements reached qual set for 2015-2019
• 5. Implicit dividend payout equal to 55%¹ , compared with 50% set by dividend payout policy
• Financial targets for 2016 confirmed

Francesco Starace, Enel CEO we achieved financial results in line with guidance. These results show the significant progress made against each of the five key pillars of our strategic plan despite the challenging macroeconomic environment, underscoring the resilience of Enel's business model. enables us to respond quickly to challenges and opportunities, objectives. The progress made in operating efficiency, simplifying the Group structure and actively managing our asset portfolio have already delivering an appropriate return on investment foundation for further progress in for 2016." and General Manager, remarked: "I am pleased to confirm that in 2015 The flexibility allowing us to achieve delivered significant results in terms of investment for shareholders. Our 2015 results the years to come. We are therefore able to confirm our financial targets embedded in our plan achieve our strategic of industrial growth and in provide us with a solid

¹ Including new issued shares following Enel Green Power integration

Rome, March 22nd, 2016 – The Board of Directors of Enel S.p.A. ("Enel"), chaired by Patrizia today approved the results for 2015. Grieco,

Consolidated financial results for 2015

REVENUES

• In 2015, revenues were 75,658 million euros, broadly in line with 2014.
• − The slight contraction of 133 million euros ( in sales of electricity, partly offset by greater revenues from the sale of fuels and gas. (-0.2%) compared with 2014 is attributable to a decline
• − The negative impact of exchange rate variations in other local cu Colombia and Russia, against the euro was equal to about 773 million euros. currencies, notably in Brazil,
• 2015 revenues include some some extraordinary items, including:
• − The gain of 141 million euros on the disposal of SE Hydropower.
• − Negative goodwill and contem Group following the acquisition of contemporaneous fair value adjustment of the stake already held by the 3Sun for a total of 116 million euros.
• 2014 revenues included, in turn, , turn, the following extraordinary items:
• − The gain on the disposal of LaGeo (123 million euros).
• − The adjustment of the sales price (82 million euros) of 2013. Artic Russia, which was sold at the end of 0.2%) rrencies, poraneous , following the
• − The fair value adjustment (50 million euros) of the net assets of loss of control of the company at the start of SE Hydropower 2014.

Revenues (millions of euros)	2015	2014	Change
Italy	39,644	38,389	3.3%
Iberian Peninsula	20,105	20,952	-4.0%
Latin America	10,627	9,648	10.1%
Eastern Europe	4,831	5,299	-8.8%
Renewable Energy	3,011	2,921	3.1%
Other, eliminations & adjustments	(2,560)	(1,418)	-80.5%
TOTAL	75,658	75,791	-0.2%

The following table reports revenues by segment:

More specifically:

IN ITALY: revenues in 2015 were 39,644 million euros, an increase of 1,255 million euros compared with 2014 (+3.3%) that was mainly the result of:

• Higher fuel sales on domestic and international wholesale markets intermediation business and the consequent rise in the volume of electricity sold; , mainly due to an increase in
• An increase in rate revenues from electricity changes introduced with Resolution no. 654/2015 of the Authority for Electricity, Gas and the Water System ("AEEGSI", from the Italian acronym), including items regarding 2012 distribution, largely attributable to the regulatory 2012- -2014;
• A decrease in revenues from wholesale electricity sales falling average sales prices; s on the Power Exchange, associated with
• Lower revenues from trading on international electricity markets , where the significant decline in

average sales prices more than offset the effect of a an increase in quantities traded;

• A decrease in revenues on end on the regulated market and an increase in those on the free market. end-user markets for electricity, the balance of a decline in revenues

IN THE IBERIAN PENINSULA: revenues in 2015 declined by 8 847 million euros, reflecting:

• A decrease in revenue on end and gas sold; end-user markets, essentially due to the decline in amounts of electricity
• An increase in revenues from the sale and fair value adjustment of environmental certificates;
• An increase in electricity transported , together with a rise in revenues from connection fees.

IN LATIN AMERICA: revenues in 2015 increased by 979 million euros. The rise was primarily attributable to:

• An increase in revenues in Argentina 32/2015), accompanied by the effects of the increase in the quantity of electricity sold by both generation and distribution companies; , essentially attributable to regulatory changes (Resolución no.
• Higher revenues in Chile, due to favourable developments in exchange rates between the local currency and the euro, an increase in rates in the regulated market and the full consolidation of Inversiones Gas Atacama following the acquisition (on April 22 full control over the company; nd, 2014) of an additional n 47 gulatory 50%, giving
• An increase in revenues in Peru effects; , mainly due to an increase in electricity sold and exchange rate
• Higher revenues in Colombia sold in an environment of rising prices, the effect of which more than offset unfavourable exchange rate developments; , largely attributable to an increase in the electricity generated and
• Lower revenues in Brazil, mainly attributable to the depreciation of the local currency against the euro and the broad decline in demand demand.

IN EASTERN EUROPE: revenues compared with the previous year. This variation reflected: amounted to 4,831 million euros, down 468 million euros ( (-8.8%)

• A decrease in revenues in Russia and the decline in average electricity prices in the country; , primarily due to the depreciation of the rouble against the euro
• Lower revenues in Slovakia and sold, partly reflecting the termination of the contract for the operation of the Gab hydropower plant, in an environment of falling average prices; , attributable to the contraction in the volume of electricity generated číkovo
• A decrease in revenues in Romania the liberalisation of the market, the effect of which was only partly offset by the increase in the v of electricity transported and a rise in new connections; er , mainly reflecting the contraction in the electricity sold due to volume
• Higher revenues in Belgium as a result of an increase in the volume of electricity generated.

IN THE RENEWABLE ENERGY DIVISION: million euros (+3.1%) compared with the previous year. This variation is the result of: revenues in 2015 were 3,011 million euros, an increase of 90

• Higher revenues in North America US dollar against the euro and an increase in the electricity generated; llion , primarily due to the positive impact of the appreciation of the
• An increase in revenues in Latin America and Costa Rica; , largely due to an increase in generation in Chile, Mexico
• Lower revenues in Europe and North Africa electricity sales in Italy in reflection of the decline in hydropower generation and the change in the scope of consolidation as a result of the disposal of Enel Green Power France in December 2014. These factors were only partly offset by the positive effects of the acquisition of control of 3Sun in March 2015. , mainly due to a reduction in revenues from the ctors 4

EBITDA

• In 2015, EBITDA was 15,297 million euros considering that the effects of the aforementioned extraordinary items accounted for in the two periods under comparison are substantially equivalent, the change , down 2.9% compared with 2014. More specifically, change reflected:

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• − Exchange rate losses depreciation of certain currencies (including the Russian rouble, the Colombian peso and the Brazilian real) and the appreciation of others (mainly the Chilean peso, the US dollar and the Peruvian sol) against the euro; of about 107 million euros, which are the net balance of the
• − The formalisation of a number of ag early retirement of personnel in Italy and Spain provision for the electricity discount previously granted to retired Italian employees; agreements in the fourth quarter of 2015 for the , only partly offset by the reversal of the reements
• − A decrease in the margin on electricity from conventional generation .

These effects were partly offset by:

• − Efficiency gains;
• − A number of regulatory changes on results; (mainly in Italy and Argentina) that had a positive impact
• − The new legislation reverse the provision for charges for the disposal of depleted nuclear fuel, which was done following a study conducted by independent experts. introduced in July 2015 in Slovakia that made it possible to partially

EBITDA (millions of euros)	2015	2014	Change
Italy	6,098	6,343	-3.9%
Iberian Peninsula	3,111	3,203	-2.9%
Latin America	3,167	3,092	2.4%
Eastern Europe	1,308	1,210	8.1%
Renewable Energy	1,826	1,938	-5.8%
Other, eliminations & adjustments	(213)	(29)	-
TOTAL	15,297	15,757	-2.9%

The following table reports EBITDA by segment:

ORDINARY EBITDA

Given that EBITDA for 2015 and for 2014 includes the same extraordinary items referred to under revenues, ordinary EBITDA was detailed in the following table: 15,040 million euros, a decrease of 3.0% compared with 2014, as

Ordinary EBITDA (millions of euros )	2015	2014	Change
Italy	5,957	6,293	-5.3%
Iberian Peninsula	3,111	3,203	-2.9%
Latin America	3,167	3,092	2.4%
Eastern Europe	1,308	1,210	8.1%
Renewable Energy	1,710	1,815	-5.8%
Other, eliminations & adjustments	(213)	(111)	-91.9%
TOTAL	15,040	15,502	-3.0%

More specifically:

IN ITALY: ordinary EBITDA in 2015 was 5,957 million euros, a 336 million euro decrease ( compared with 2014. This drop is mainly attributable to: (-5.3%)

• A reduction in the generation margin lower water availability in an environment of falling wholesale prices; , reflecting a less favourable generation mix as a result of
• A lower energy efficiency certificates reimbursement mechanism for the purchase of the ("EECs") margin mainly due to the change in cost these certificates;
• The negative impact of the new agreement with the trade unions for personnel under Article 4 of the employees who had been receiving the ene were partially offset by the reversal of the associated provision; for early retirement incentives "Fornero Act" and the entitlement to a lump energy discount following revocation of that benefit lump-sum benefit to retired rgy benefit; both
• An increase in the margin on electricity transport impact of the regulatory change intro by the reduction in distribution rates; , primarily reflecting the aforementioned net introduced with AEEGSI Resolution no. 654/2015, only partly offset
• An increase in the margin on end end-user markets, mainly attributable to the free market;
• Lower operating expenses.

IN THE IBERIAN PENINSULA: compared with 2014, reflecting: ordinary EBITDA was 3,111 million euros, a 92 million euro decrease duced user DA user -peninsular area in 2014;

• A decrease in ordinary EBITDA on end-user markets, largely due to lower electricity sales margins;
• The introduction of a voluntary early retirement scheme;
• An improvement in the generation margin , largely attributable to the higher average sales prices;
• The positive impact of a number of regulatory changes fees and the prior-year impact of lower grants paid for generation in , including those concerning water use year in the extra-
• An increase in the margin on environmental certificates.

IN LATIN AMERICA: ordinary EBITDA was 3,167 million euros, a 75 million euro increase (+2.4%) compared with 2014, reflecting:

• Higher ordinary EBITDA in Argentina no. 32/2015, the impact of which was only partly offset by the increase in operating expenses; , reflecting the introduction of the aforementioned Resolución
• An increase in ordinary EBITDA in Chile the appreciation of the local currency with respect to the euro; , related to generation and distribution activities, as wel well as
• Higher ordinary EBITDA in Peru electricity sold; , mainly due to exchange rate variations and the greater volume of
• A reduction in ordinary EBITDA in Colombia , where the positive impact o of the increase in output

and amount distributed was more than offset by exchange losses;

• Lower ordinary EBITDA in Brazil demand in the country and the drought, which has led to an increase in negative effects on companies that distribute and sell electricity. , reflecting, as well as exchange rate variations, the decline in in electricity prices, with

IN EASTERN EUROPE: ordinary EBITDA was 1,308 million euros, a with 2014. This rise mainly reflected: 98 million euro increase compared

• An increase in ordinary EB the provision for nuclear waste disposal charges, only partly offset by a decline in electricity sales prices; EBITDA in Slovakia, mainly due to the aforementioned partial reversal of
• Lower ordinary EBITDA in Russia as exchange rate losses; , mainly due to the contraction of the gene generation margin, as well
• A decrease in ordinary EBITDA in Romania , almost entirely due to electricity sales activities.

IN THE RENEWABLE ENERGY DIVISION: decrease of 105 million euros (-5.8%) compared with 2014. The decrease is attributable to: ordinary EBITDA in 2015 was 1,710 million euros, a

• Lower ordinary EBITDA in Europe electricity and the increase in costs agreements in Italy; 5.8%) , mainly due to the decrease in revenues from the sale of related to the formalisation of a number of early retirement
• An increase in ordinary EBITDA in Latin America revenues and the reduction in operating costs relat Panama. The increase in revenues was partly off in installed capacity in Brazil, Chile and Mexico; reflecting the aforementioned increase in related to the purchase of electricity in Brazil and offset by higher operating costs due to the expansion
• Higher ordinary EBITDA in North America , mainly reflecting exchange rate variations.

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EBIT

EBIT in 2015 was 7,685 million euros euros). The rise (+148.9%) is attributable to: , a 4,598 million euro increase compared with 2014 (3,087 million set assets. In

• Lower depreciation and amortisation;
• A reduction in impairment losses 2015 Enel posted impairment losses of about 1,787 million euros compared with 6,427 million euros in 2014. on property, plant and equipment as well as intangible assets
• − In 2014 impairment losses mainly regarded conventional generation plants in Russia, Slovakia, Italy and Spain, as well as renewables plants in Greece concession rights in Chile el Greece, as we Chile. , well as some water
• − In 2015 impairment losses regarded Russian conventional generation plants, Romanian renewables plants following changes in market and regulatory conditions as well as Slovakian conventional generation plants in fair value based on the transaction. Impairment losses also regarded Upstream Gas sector assets, following a number of difficulties encountered in continuing projects under development and changes in prices order to align their carrying amounts with their on the global fuel market.

These effects were only partly offset by the aforementioned EBITDA contraction.

The following table reports EBIT by segment:

EBIT (millions of euros)	2015	2014	Change
Italy	4,005	1,918	108.8%
Iberian Peninsula	1,397	1,240	12.7%
Latin America	2,241	1,549	44.7%
Eastern Europe	(499)	(2,676)	81.4%
Renewable Energy	879	1,124	-21.8%
Other, eliminations & adjustments	(338)	(68)	-397.1%
TOTAL	7,685	3,087	148.9%

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GROUP NET INCOME

In 2015, net income of the Enel Group was previous year (+324.8%). 2,196 million euros, compared with 517 million euros in the

• The aforementioned EBIT increase was accompanied by a decline in net financial charges (mainly associated with a reduction in interest on debt and a number of non effects more than offset the greater impact of income taxes, which were affected by the effect of the higher income before taxes (1,473 million euros) and nonthe following effects on deferred taxes: -recurring items), whose
• − The negative impacy of Italy's Tax Reform in 2015 to the reduction of the IRES (corporate income tax) rate to 24% from 27.5% as from January 1 st, 2017 (182 million euros) mainly attributable
• − The positive effect rec restructuring of shareholdings in Spain and Latin America; recognised in 2014 in the amount of 1,392 million euros following the ognised of changes to fiscal
• − The negative effects recognised regimes in Spain, Peru, Chile and Colombia (the so-called "Robin Hood Tax") in Italy in 2014 (a total of 220 million euros) as well as the elimination of the IRES surtax
• These factors were accompanied by the increase in the impact of non due to the disposal of 21.92% of called non-controlling interests, mainly Endesa in the fourth quarter of 2014. controlling (-3.6%)

GROUP NET ORDINARY INCOME on 2014, mainly due to the drop in EBITDA and the previously mentioned negative non of the reform on direct taxation in Italy in 2015 was 2,887 million euros, a 107 million euro decline ( . non-recurring impact

FINANCIAL POSITION

The financial position shows net capital employed euros (mainly related to Slovenské elektrárne), of (88,528 million euros as of December 31 , including net assets held for sale of 1,490 million 89,296 million euros as of December 31 st, 2014); st, 2015

The above amount is funded by:

• − Equity pertaining to shareholders of the parent company and non 51,751 million euros (51,145 million euros as of December 31st, 2014); non-controlling interests of
• − Net financial debt (37,383 million euros as of December 31 ancial of 37,545 million euros, essentially in line with the previous year st, 2014);

As of December 31st, 2015, the debt/equity ratio was 0.73, in line with 2014.

CAPITAL EXPENDITURE

• In 2015, capital expenditure property, plant and equipment), up 412 million euros on 2014. was 7,113 million euros (of which 6,353 million euros related to
• The above figure does not include investments regarding units classified as "held for sale", equal in 2015 to 649 million euros.

CapEx (millions of euros)	2015	2014	Change
Italy	1,562	1,460	7.0%
Iberian Peninsula	985	993	-0.8%
Latin America	1,819	1,609	13.1%
Eastern Europe	229	936	-75.5%
Renewable Energy	2,466	1,658	48.7%
Other, eliminations & adjustments	52	45	15.6%
TOTAL	7,113	6,701	6.1%

The following table reports capital expenditure by segment:

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Parent company 2015 results

In its capacity as an industrial holding company, parent company Enel defines strategic targets for the Group and coordinates the activities of its subsidiaries. The activities that Enel performs as part of its management and coordination function for the activities (coordination of governance processes), global business line activities (coordination of Group businesses in the various geographies in which it operates) and global service activities (coordination information technology and purchasing activities). other Group companies comprise holding company (coordination of

Within the Group, Enel also directly manages central treasury operations, ensuring access to the money and capital markets, and handles insurance risk coverage.

(millions of euros)	2015	2014	Change
Revenues	245	246	-0.4%
EBITDA	(155)	(80)	-93.8%
EBIT	(482)	(623)	22.6%
Net financial expense and income from equity investments	1,292	899	43.7%
Net income for the year	1,011	558	81.2%
st Net financial debt at December 31	13,425	12,611	6.5%

Main financial results of the parent company in 2015:

• Revenues were 245 million euros services rendered to subsidiaries within the scope of the coordination function. , virtually unchanged on 2014, and were mainly attributable to parent company's management and
• EBITDA was a negative 155 million euros attributable to the increase in costs for personnel, services and leases and rentals associated with the new Group organisation. , a 75 million euro decline on 2014. The drop was
• EBIT was a negative 482 million euros depreciation, amortisation and impairment losses of 327 million euros, versus 543 million euros in 2014). The change was largely attributabl investments during 2015. , a 141 million euro increase compared with 2014 (including attributable to a decrease in impairment losses recognised on equity
• Net financial charges and income from equity investments (899 million euros in 2014), including net financial charges of 732 million eur 2014) and income from investments in subsidiaries, associates and other entities of 2,024 million euros (1,818 million euros in 2014). The contraction in net financial charges compared with 2014, equal to 187 million euros, mainly as a result of the repayment of a number of bonds during the year and the net positive change in derivatives transactions (98 million euros). The increase of 206 million euros in income f subsidiaries, associates and other entities reflects the increase in dividends distributed by Group companies, notably Enel Iberoamérica. were a positive 1,292 million euros reflects a decrease in interest on financial debt (82 million euros) e euros (919 million euros in from
• Net income was 1,011 million euros , compared with 558 million euros in 2014.
• Net financial debt as of December on December 31st, 2014, as a result of the decline in the net short euros) and a decrease in net long 31st, 2015, totalled 13,425 million euros short-term creditor position (3,555 million long-term financial debt (2,741 million euros). , up 814 million euros term , a decrease of 256
• Shareholders' equity as of December 31 million euros compared with December 31 for 2014 (1,316 million euros), authorised by the Shareholders' Me was partially offset by the comprehensive income posted for 2015 (1,060 million euros). st, 2015 was 24,880 million euros st, 2014. The change reflects the distribution of dividends Meeting on eting on May 28th, 2015, which

	2015	2014	Change
Electricity sales (TWh)	260.1	261.0	-0.3%
Gas sales (billions of m3 )	8.9	7.8	13.7%
Electricity generated (TWh)	284.0	283.1	0.3%
Electricity distributed (TWh)	417.4	411.1	1.5%
Employees (no.)	67,914	68,961	-1.5%

2015 OPERATIONAL HIGHLIGHTS

ELECTRICITY AND GAS SALES

• Electricity sold in 2015 amounted to 260.1 TWh, mainly as a result of: a 0.9 TWh decrease (-0.3%) 0.3%) compared with 2014,
• − Lower sales in the Iberian Peninsula (-1 TWh) and Eastern Europe (-0.6 TWh);
• − Higher volume of electricity sold in Italy and Latin America (+0.7 TWh).
• 8.9 billion cubic metres ("bcm") of Italy (0.6 bcm) and Spain (0.5 bcm). natural gas, a 1.1 bcm increase on 2014 that took place mainly in

POWER GENERATED

• Net electricity generated by Enel in 2015 amounted to compared with 2014 (+0.3%), attributable to greater generation outside of Italy (+4.2 TWh). More specifically, the increase reflected: 284.0 TWh, an increase of 0.9 TWh
• − Greater output from thermal sources ,
• − A decline in renewables generation hydropower generation that was due to lower water availability ( an increase in generation from other renewable resources, mainly due to the expansion of installed capacity; , which was mainly affected by a drop in conventi (-8.4 TWh), partly offset by conventional 8.4 hich
• − An increase in net generation outside of Italy from the plants in the Iberian Peninsula (+3.4 TWh) and in Latin America (+2.4 TWh, mostly from renewables), partly related to an increase in demand in the Spanish mainland system (+1.8%) and in Latin America. , which was attributable to greater output

Generation mix of Enel Group plants in 2015: eration

Thermal Renewables Nuclear

The Enel Group confirms its long expected that electricity generated from renewable sources will contribute nearly half of the Group estimated total capacity of 83 GW Development Goals (SDGs) endorsed by Enel alongside acce the contribution to the socio operates. long-term objective for achieving carbon neutrality in 2019. Climate action is one of the four UN Sustainable access to energy, access to socio-economic development of communities in the by 2050. It is , to education, and the countries where Enel

ELECTRICITY DISTRIBUTED

Electricity transported on the Enel distribution network in 2015 amounted to 417.4 TWh TWh in Italy and 190.8 TWh in the the Group's other countries. TWh, of which 226.6

• The volume of electricity distributed in Italy increased by 3.6 TWh essentially in line with developments in electricity demand on the national grid. (+1.6%) compared with 2014,
• Electricity distributed outside of Italy increased by 2.7 TWh due to an increase in volume of electricity transported in the Iberian Peninsula (+1.8 TWh), Romania (+0.5 TWh) and Latin America (+0.4 TWh). In the latter area, attributable to the country's recession. ectricity (+1.4%) compared with 2014, mainly only Brazil posted a decline ( (-0.6 TWh),

EMPLOYEES

• As of December 31st, 2015, Enel Group 2014). The 1,047 decrease is attributable to: employees numbered 67,914 (68,961 as of December 31 st ,
• − The net balance of ne new hires and terminations (-1,316) in 2015;
• − The change in the scope of consolidation (+269), which is essentially related to the acquisition of control of 3Sun and the Indian company BLP Energy, as well as the disposal of the ENEOP group and the other Port Portuguese companies operating in the renewables sector. uguese

STRATEGIC PLAN: PROGRESS ON KEY PILLARS

• In March 2015, Enel presented a Group strategic plan efficiency, industrial growth, active portfolio management and shareholder remuneration. based on the key pillars of operational

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• In November 2015 Enel updated the plan above mentioned four pillars , accelerating value creation in the areas covered by the and adding a fifth: Group simplification.
• During 2015, significant progress was made pillars: on achieving the targets set for each of the five key
• 1. Operational efficiency worth about 450 million euros. In addition, in the fourth quarter of 2015 a number of agreements were formalised for the early retirement of personnel in Italy and Spain, which involved provisions of 1.5 billion euros. the target reduction of cash costs of 3% was achieved, with efficiencies out of 400 million euros was achieved and, based on
• 2. Industrial growth the EBITDA growth target investment commitments already made, 70% of EBITDA growth for 2017 has already been addressed.
• 3. Group simplification finalised and at the start of last February the split of the Chilean operations of Enersis, Endesa Chile and Chilectra from those in other Latin American countries was completed after the extraordinary shareholders' meetings of the involved companies approved the restructuring. the full integration of Enel Green Power within the Group is being art – thanks to the disposal of Slovenské elektrárne announced in
• 4. Active portfolio management December, asset sale agreements reached approximately 3.7 billion euros, equal to more than 60% of the asset rotation target of 6 billion euros set for 2015 2015-2019.
• 5. Shareholder remuneration with an implicit pay-out of 55% announced in March 2015 and confirmed – the proposed dividend for 2015 is equal to 0.16 euros per share, out ( 2 ), compared with the 50% outlined in the dividend policy the following November.

The progress achieved for each of the strategic plan's key pillars enable Enel to targets for 2016 set out in the plan, despite the challenging macroeconomic environment. confirm the financial

²Including new shares issued following Enel Green Power integration.

OUTLOOK

The strategic plan, with an updated version presented in November 2015, is focused on:

• Long-term industrial growth term , especially in renewables and networks.
• An ambitious efficiency programme all global business lines. through the reduction of maintenance and operating costs in

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• The simplification of the Enel separation of the two subsidiaries Endesa and Enersis and the companies included in their respective scopes. Group's corporate structure, which began in 2014 with the
• Active portfolio management Group. with a view to creating value through the strategic repositioning of the
• Increasing attention on shareholder remuneration distributed through 2019 in order to align the Enel Group more closely with the sector , thanks to a gradual rise in dividends average.

In 2016, it is expected that:

• The full integration of Enel Green Power will be completed.
• The corporate restructuring in Chile will be completed the generation and distribution activities in Chile from countries. . The restructuring is aimed at separating those carried out in the other Latin American
• The smart meter installation Fiber's strategic plan. campaign will be launched, as will the development of Enel Open

Based on the key pillars outlined above, the following table sets out the financ 2016-2019 strategic plan is founded. 2019 financial targets on which the

		2016	2017 2017	CAGR 15-19
Recurring EBITDA	Billions of euros	~14.7	~15.5	~4%
Net ordinary income	Billions of euros	~3.1	~3.4	~10%
Minimum dividend	euro/share	0.18		~17%
Pay-out	%	55	60	~7%
FFO/Net financial debt	%	23	26	~6%

NEW STRATEGIC VISION: OPEN POWER

OPEN POWER is the new long of the Group which: long-term vision reflected in Enel's strategic plan, based on the open open nature

• Will involve all of the Group's investments and the relationship with stakeholders. industrial processes and commercial initiatives , guiding
• Will bring an increased openness towards stakeholders communities in which the Group operates in terms of sustainabil technological development at a time when the Enel Group is opening its infrastructure to a variety of other uses. through the dialogue with the sustainability and, hence, innovation and ity

• Will mark openness within the Group and finally, openness as the capacity to listen to, seize the opportunities and meet the needs of the outside world. , making the most of the talents and diversity among people; penness

Consistent with this innovative approach, on January 26 global brand that represents openness to change, th, 2016 Enel presented the listening and innovation. new Group logo, a

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SHAREHOLDERS' MEETING AND DIVIDEND

The Board of Directors has convened single call with the aim of: the Ordinary Shareholders' Meeting for May 26 th, 2016, in a

• 1. Approving the separate financial statements and examine for 2015. the consolidated financial statements
• 2. Approving the payment of a dividend of 0.16 euros per share , of which:
• 0.08 euros per share as distribution of net income for 2015;
• 0.08 euros per share as a partial distribution of the available reserve "retained earnings".
  • − The maximum total account of the fact that the above mentioned dividend will also be paid to the shares, bearing full dividend rights, that will be issued in the capital increase of up to a nominal 770.6 million euros resolved by the Extraordinary Shareholders' Mee the partial non-proportional spin completed by the end of the first quarter of 2016. dividend is therefore equal to about 1,628 million euros Meeting of January 11 proportional spin-off of Enel Green Power to Enel, which is expected to be , taking ting th, 2016, as part of off dividend st, 2016 as the
  • − The Board has proposed June 20 record date (i.e. date of entitlement for the dividend payment) and June 22 payment date. th, 2016 as the ex-dividend date, June 21 nd, 2016 as the
• 3. Electing a new Board of Statutory Auditors has come to an end Auditors, as the term of the current Board . of Statutory
• 4. Adopting a new long-term incentive plan offering a monetary incentive to the plan beneficiaries subject to achievement of the following performance objectives: (i) performance of Enel shares in the reference period (2016 – Continental Europe index; and (ii) return on average capital employed ("ROACE"); the Incentive Plan weights TSR at 60% and ROACE at 40%. term (the "Incentive Plan"), with a three Total Shareholders Return ("TSR"), measured with reference to the (2016-2018) against that of the Euro Stoxx Utilities R three-year vesting period and 2018) and/or its subsidiaries
• − The beneficiaries of the Incentive Plan are the CEO/General Manager and the key management personnel of Enel, as well as other managers pursuant to Article 2359 of the Italian Civil Code selected implemented. of Enel at the time the Incentive Plan is
• − In view of the characteristics of the Incentive Plan's structure, and the performance objectives selected and their respective weighting, the plan is designed to reinforce the alignment of the interests of ma value for shareholders over the medium and long term. management with the priority objective of creating sustainable
• − For a more detailed description of the Incentive Plan, please consult the information document prepared in accordance with Article 114 be made available to the public as provided for by law. 114-bis of the Unified Financial Act nagement Act, which will

5. Approving a non-binding resolution policy for the remuneration binding on the section of the report on remuneration that outlines of Directors, the General Manager and key management personnel. Enel's

Documentation on the items on the agenda of the Shareholders' Meeting, as required under applicable law, will be made available to the public as provided for by law.

*****

BOND ISSUES AND MATURING BONDS

• The main bond issues carried out in 2015 by Enel Group companies include the non exchange offer organised by Enel Finance International in January 2015. The transaction involved the repurchase of bonds in the total amount of 1,429 million euros and th 1.966% fixed-rate bond with a nominal value of 1,462 million euros, maturing in January 2025. the concomitant issue of a senior rate non-binding
• During the period between January 1 companies with a total carrying amount which the main issues are: st, 2016 and June 30th, 2017, bond issues by Enel Group of 6,358 million euros are scheduled to reach maturity, of e rate rate maturing in February
• − 1,000 million euros in respect of a floating 2016; floating-rate bond, issued by Enel, maturing in February
• − 2,000 million euros in respect of a fixed 2016; fixed-rate bond, issued by Enel, ma
• − 1,500 million euros in respect of a fixed fixed-rate bond, issued by Enel, maturing in June 2016;
• − 1,082 million euros in respect of a fixed maturing in September 2016; fixed-rate bond, issued by Enel Finance International, in rate rate
• − 250 million US dollars (equivalent to about 225 million euros as of December 31 respect of a fixed-rate bond, issued by Enersis, maturing in December 2016. llars rate ***** st, 2015) in

RECENT KEY EVENTS

November 13th, 2015: the subsidiary Enel Produzione Macquarie Group for the sale of the entire stake held by Enel Produzione in Hydro Dolomiti Enel ("HDE"), equal to 49% of HDE's share capital, for about 335 million euros 29th, 2016. signed an agreement with a company of the euros. The disposal was closed on February

November 17th, 2015: the Boards of Directors of Enel and its subsidiary Enel Green Power ("EGP") approved a project for the partial non of renewables activities within the Enel Group and the delisting of EGP shares from the Italian and Spanish equity markets. The transaction was approved by the Extraordinary Shareholders' Meetings of the two companies held on January 11 the right of withdrawal and the right of sale granted to EGP shareholders who did not approve the spin were validly exercised by the statutory deadline for 16,406,123 EGP shares, at the unit settlement value of 1.780 euros per share, for an aggregate amount of around 29.2 million euros. That value was well below the threshold of 300 million euros, set as a condition precedent for the completion of the transaction. The EGP shares under withdrawal or sale were then offered on right basis to the shareholders of EGP from February 19 applicable law. he non-proportional spin-off of EGP into Enel, leading to the full integration th, 2016. On February 18th, 2016, Enel and EGP announced that an option and pre th, 2016 to March 21st, 2016, in accordance with . off spin-off pre-emption

November 26th, 2015: EGP announced that its subsidiary Enel Green Power España had closed the sale of all its wind assets in Portugal, with a net installed capacity of 642 MW to First State Wind Energy

Investments, for a total of 900 million euros. With the sale, EGP exited th market. the Portuguese renewables

December 9th, 2015: EGP announced that it had completed and connected to the grid the 200 MW Goodwell wind farm located in Texas County, Oklahoma. The Goodwell plant is expected to generate some 860 GWh annually. The construction of the plant required US dollars. . a total investment of nearly 310 million

December 18th, 2015: Enel announced that its subsidiary Slovakia, a subsidiary of EPH, for the sale of the stake h ("SE"), equal to 66% of SE's share capital. The sale will be executed by way of a transfer of Enel Produzione's entire stake in SE to a newly established company ("HoldCo"), and the subsequent sale to EP Slovakia of 100% of HoldCo. The sale of HoldCo to EP Slovakia will be implemented in two phases. The total consideration payable over the two phases, equal to 750 million euros, is subject to an adjustment mechanism, with any adjustment to be calculated by inde completion of the second phase on the basis of various parameters. The closing of the transaction is also subject to clearance from the European Union's antitrust authorities. Enel Produzione had signed a contract with EP held by Enel Produzione in Slovenské elektrárne kia independent experts and applied upon e eld pendent lders' offs st

December 18th, 2015: the extraordinary shareho Endesa Chile and Chilectra approved the first stage of the overall corporate restructuring aimed to separate electricity generation and distribution operations in Chile from those in other Latin American countries. This stage envisaged the partial demerger of each of those companies in order to separate their activities in Chile from those elsewhere in Latin America. These spin 2016. shareholders' meetings of the Chilean subsidiaries Enersis, spin-offs took effect on February 1 ,

December 21st, 2015: Enel announced that its subsidiary Enel Produzione and the Slovakian Ministry for the Economy had signed a Memorandum of Understanding concerning the 66% stake held by Enel Produzione in Slovenské elektrárne's share capital. The Memorandum the above mentioned interest. is part of the p planned disposal of

December 22nd, 2015: EGP announced that it had started work on the Sierra Gorda wind farm in the Chilean region of Antofagasta. With an installed capacity of more than 295 GWh of power per year, once completed. The project will require an investment of about 215 million US dollars. 112 MW, the plant will be able to generate e equally-held joint venture in the

December 22nd, 2015: EGP announced it had agreed to create an equally photovoltaic sector in Italy with F2i portfolio of 207 MW of installed capacity and has set itself the goal of becoming the leader of the Italian photovoltaic market. F2i– Fondo italiano per le infrastrutture. The joint venture begins with a held ork east be able

December 28th, 2015: EGP announced that it had begun w plant in the State of Bahia, in the north capacity of 254 MW and is EGP's largest solar facility currently under construction. The plant will be to generate more than 550 GWh per year and its construction will require an investment of about 400 million US dollars. work on the construction of the Ituverava solar north-east of Brazil. When completed, the plant will have an installed

January 20th, 2016: EGP announced that it had begun work on the construction of the Delfina located in the state of Bahia, in the north capacity of 180 MW and will be able to generate over 800 GWh per year. The construction of the plant will require an investment of about north-east of Brazil. Once completed, Delfina will have an installed 400 million US dollars. Delfina wind farm, east

January 20th, 2016: Enel, Bank of China Ltd., a leader in China's banking industry as well as the most internationalised and diversified bank in China, and China Export & Credit Insurance Corporation ("Sinosure") signed a non-binding framework agreement to promote the development by Enel Group companies, and EGP in particular, of projects on a global scale with the participation of Chinese companies as contractors and/or suppliers of engineering, purchasing and construction services services.

January 21st, 2016: Enel management provided the financial community with a preliminary assessment of the effects on the Enel Group of the new regulatory framework for electricity distribution and metering in Italy for the 2016-2023 period, outlined in Water System ("AEEGSI" from its Italian acronym) nos. 654/2015, 583/2015 and 646/2015. ng 2023 the resolutions of the Authority for Electricity, Gas and the

January 21st, 2016: Enel announced the repurchase of its own bonds with a total nominal value of about 750 million euros, as part of its strategy to optimise its liability structure through active management of maturities and funding costs.

January 26th, 2016: The Enel Chairman, Patrizia Grieco, and CEO, Francesco Starace, presented the Group's new global corporate identity in Madrid. The new brand is part of Enel's strategy as an innovative, sustainable and cutting openness at the centre of its strategic and operational approach. porate cutting-edge Group, active throughout the entire energy supply chain, placing edge 20-year electricity supply

February 18th, 2016: EGP announced that it had obtained the right to enter into 20 contracts in Peru with three projects (wind, photovoltaic and hydropower) for a total of 326 MW. These are the first projects that EGP has been awarded and wi invest about 400 million US dollars in the construction of the plants, which are expected to enter service by 2018. will develop in that country. The company plans to ll energy

March 10th, 2016: EGP announced it had been awarded, in a consortium with the Moroccan ene company Nareva Holding and the German wind turbine manufacturer Siemens Wind Power, preferred bidder status in an auction organised by Moroccan utility ONEE (Office National de l'Electricité et de l'Eau Potable) for the development, design, financing, power projects in Morocco for a total of 850 MW of installed capacity. The construction of the plants, which are expected to enter service between 2017 and 2020, will require a total investment of about billion euros. construction, operation and maintenance of five wind 1

More details on these events are available in the associated press releases, which are published on the Enel website at the following address: https://www.enel.com/en https://www.enel.com/en-gb/Pages/media/press/index.aspx***** gb/Pages/media/press/index.aspx*****

NOTES

At 9:30 a.m. CET tomorrow, March 23 2015 and progress in the 2016 Journalists are also invited to listen in on the call. Documentation relating available on Enel's website (www.enel.com) in the Investor Relations section from the beginning of the call. rd, 2016, a conference call will be held to present the results for 2016-2019 strategic plan to financial analysts and institutional investors. to the conference call will be

The consolidated income statement, statement of comprehensive income, balance sheet and cash flow statement for the Enel Group and the corresponding statements for the parent company Enel are attached below. These statements and the related notes have been submitted to the Board of Statutory Auditors and the external auditors for their evaluation. A descriptive summary performance indicators used in this press release is also attached. 2019 of the alternative

*****

Pursuant to art. 154-bis, paragraph 2, of the Unified Financial Act, the executive in charge of preparing the corporate accounting documents at Enel, Alberto De P contained in this press release correspond bis, Paoli, declares that the accounting information corresponds to document results, books and accounting records aoli, records.

ACCOUNTING STANDARDS AND CHANGES IN SCOPE OF CONSOLIDATION WITH AN IMPACT ON FIGURES FOR 2015

Unless otherwise specified, the balance sheet figures as of December 31 liabilities held for sale, which regard Slovenské elektrárne, Hydro Dolomiti Enel, Compostilla and other residual assets that on the basis of the status of negotia requirements of IFRS 5 for such classification. In 2015, the disposals of SE Hydropower and SF Energy, which had been so classified as held for sale as of December 31 st, 2015, exclude assets and negotiations for their sale to third parties meet the st, 2014, were completed. tions

Following the adoption of the new organisational structure of the Enel Group on July 31 performance figures in this press release are presented by operating segment (as defined in the new structure) on the basis of the approach used by management to monitor the pe the two periods being compared. Taking account of the provisions of IFRS 8 regarding the management approach, the new organisation modified the structure of reporting, as well as the representation and analysis of Group financial position, as from the start of 2015. More specifically, performance by operating segment reported in this press release were determined by designating the Regions and Countries perspective as the primary reporting segment (i.e., Italy, Iberian Peninsula, L Eastern Europe), with the exception of the Renewable Energy Division, which, in view of its centralised management by the Enel Green Power sub divisions. Similarly, the figures for 2014 Leaving aside certain movements of minor companies, the main changes were as follows: (i) the previous Sales, Generation and Energy Management, and Infrastructure and Networks Divisions, which almost entirely in Italy, are now reported under the Country "Italy"; (ii) the Iberia and Latin America Division, which had already undergone restructuring in 2014, is now divided into the Regions "Iberian Peninsula" and "Latin America". Finally, "Eastern Europe" Region. ption performance of the Group in sub-holding company, has greater autonomy than the other have been reclassified to take account of the new organisation. the previous International Division now corresponds to the st, 2014, rformance Latin America and holding which operated

KEY PERFORMANCE INDICATORS

This press release uses a number of "alternative performance indicators" not envisaged in the IFRS accounting standards in order to position. In accordance with recommendation CESR/05 criteria used to calculate these indicators are described below. facilitate the assessment of the Group's performance and financial CESR/05-178b published on November 3 IFRS-EU 178b rd, 2005, the

*****

• − EBITDA: an indicator of Enel's amortisation and impairm r Enel's operating performance, calculated as "EBIT" pl ment losses"; s plus "Depreciation,
• − Ordinary EBITDA: an extraordinary transacti indicator of Enel's operating performance ex transactions, defined as EBITDA generated from ordinary busi excluding the effects of ry business operations.
• − Net financial debt: an borrowings" and "Short- "Cash and cash equivalen an indicator of Enel's financial structure, determined -term borrowings and the current portion of long sh equivalents", current and non-current financial assets (fi determined by "Long-term long-term borrowings" less (financial receivables and

securities other than equity inves current assets"; investments) included in "Other current asse r assets" and in "Other non-

• − Net capital employed and "Net assets held for items previously consider d: calculated as the sum of "Current assets", or sale", less "Current liabilities" and "Non-current ered in the definition of "Net financial debt"; ts", "Non-current assets" current liabilities", excluding
• − Net assets held for sale: "Liabilities held for sale"; calculated as the algebraic sum of "Assets "Assets held for sale" and
• − Group net ordinary income: business operations. defined as that part of "Group net income" generated from ordinary

All Enel press releases are also available in smartphone App at Apple Store. and tablet versions. You can download the Enel Corporate

Consolidated Income Statement

Millions of euro

		2015		2014
			of which with related parties		of which with related parties
Revenues
Revenues from sales and services		73,076	5,583	73,328	5,751
Other revenues and income		2,582	314	2,463	367
	[Subtotal]	75,658		75,791
Costs
Purchases of energy, gas and fuel		37,644	7,089	36,928	7,595
Services and other materials		16,457	2,431	17,179	2,440
Personnel		5,313		4,864
Depreciation, amortization and impairment losses		7,612		12,670
Other operating expenses		2,654	54	2,362	53
Capitalized costs		(1,539)		(1,524)
	[Subtotal]	68,141		72,479
Net income/(expenses) from commodity contracts measured at fair value		168	(24)	(225)	46
Operating income		7,685		3,087
Financial income from derivatives		2,455		2,078
Other financial income		1,563	15	1,248	23
Financial expense from derivatives		1,505		916
Other financial expense		4,969	29	5,540	28
Share of income/(expense) from equity investments accounted for using the equity method		52		(35)
Income before taxes		5,281		(78)
Income taxes		1,909		(850)
Net income from continuing operations		3,372		772
Net income from discontinued operations		-		-
Net income for the year (shareholders of the Parent Company and non non controlling interests)		3,372		772
Attributable to shareholders of the Parent Company Company		2,196		517
Attributable to non-controlling interests		1,176		255
Earnings per share (euro) attributable to ordinary shareholders of the Parent Company		0.23		0.05
Diluted earnings per share (euro) attributable to ordinary shareholders shareholders of the Parent Company		0.23		0.05
Earnings from continuing operations per share (euro) attributable to ordinary shareholders of the Parent Company		0.23		0.05
Diluted earnings from continuing operations per share (euro) attributable to ordinary shareholders of the Parent Company		0.23		0,05

Statement of Consolidated Comprehensive Income

Millions of euro

	2015	2014
Net income for the year	3,372	772
Other comprehensive income recyclable to profit or loss:
Effective portion of change in the fair value of cash flow hedges hedges	359	(347)
Income recognized in equity by companies accounted for using the equity method method	29	(13)
Change in the fair value of financial assets available for sale	25	(23)
Exchange rate differences	(1,743)	(717)
Other comprehensive income not recyclable to profit or loss:
Remeasurements in net liabilities (assets) for employees benefits	184	(307)
Income/(Loss) recognized directly in equity	(1,146)	(1,407)
Comprehensive income for the year	2,226	(635)
Attributable to:
- shareholders of the Parent Company	2,191	(205)
- non-controlling interests	35	(430)

Consolidated Balance Sheet

Millions of euro

ASSETS		at Dec. 31, 2015		at Dec. 31, 2014
			of which with related parties		of which with related parties
Non-current assets
Property, plant and equipment		73,307		73,089
Investment property		144		143
Intangible assets		15,235		16,612
Goodwill		13,824		14,027
Deferred tax assets		7,386		7,067
Equity investments accounted for using the equity method		607		872
Derivatives		2,343		1,335
Other non-current financial assets (1)		3,274		3,645
Other non-current assets		877		885
	[Total]	116,997		117,675
Current assets
Inventories		2,904		3,334
Trade receivables		12,797	937	12,022	1,220
Income Tax receivables		636		1,547
Derivatives		5,073		5,500
Other current financial assets (2)		2,381	2	3,984
Other current assets		2,898	135	2,706	142
Cash and cash equivalents		10,639		13,088
	[Total]	37,328		42,181
Assets classified as held for sale		6,854		6,778
TOTAL ASSETS		161,179		166,634

(1) Of which long-term financial receivables and other securities at December 31, 2015 for 2,173 millions of euro (2,522 millions of euro at De 2014) and 162 millions of euro (179 millions of euro at December 31, 2014). term term short-term financial receivables and other securities at December 31, 2015 for 769 millions of December 31,

(2) Of which current portion of long-term financial receivables, short euro (1,566 millions of euro at December 31, 2014), 1,471 millions of euro (2,294 millions of euro at December 31, 2014) millions of euro at December 31, 2014). term and 1 millions of euro (0

Millions of euro

LIABILITIES AND SHAREHOLDERS' EQUITY EQUITY		at Dec. 31, 2015		at Dec. 31, 2014
			of which with related parties		of which with related parties
Equity attributable to the shareholders of the Parent Company
Share capital		9,403		9,403
Other reserves		3,352		3,362
Retained earnings (losses carried forward)		19,621		18,741
	[Total]	32,376		31,506
Non-controlling interests		19,375		19,639
Total shareholders' equity		51,751		51,145
Non-current liabilities
Long-term loans		44,872		48,655
Post-employment and other employee benefits employment benefits		2,284		3,687
Provisions for risks and charges		5,192		4,051
Deferred tax liabilities		8,977		9,220
Derivatives		1,518		2,441	24
Other non-current liabilities		1,549	4	1,464	2
	[Total]	64,392		69,518
Current liabilities
Short-term loans		2,155		3,252
Current portion of long-term loans		5,733		5,125
Provisions for risks and charges		1,630		1,187
Trade payables		11,775	2,911	13,419	3,159
Income tax payable		585		253
Derivatives		5,509		5,441
Other current financial liabilities		1,063		1,177
Other current liabilities		11,222	14	10,827	3
	[Total]	39,672		40,681
Liabilities included in disposal groups classified as held for sale		5,364		5,290
Total liabilities		109,428		115,489
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY EQUITY		161,179		166,634

Consolidated Statement of Cash Flows

Millions of euro

	2015		2014
		of which with related parties		of which with related parties
Income before taxes for the year	5,281		(78)
Adjustments for:
Amortization and impairment losses of intangible assets assets	770		1,709
Depreciation and impairment losses of property, plant and equipment equipment	6,002		10,212
Financial (income)/expense	2,246		2,580
Interest income and other financial income collected collected	1,715	15	1,300	23
Interest expense and other financial expense paid paid	(4,326)	(29)	(4,030)	28
(Gains)/Losses on disposals and other non-monetary items monetary items	(412)		(720)
Income taxes paid	(1,516)		(1,396)
Accruals to provisions	1,448		911
Exchange rate adjustments of foreign currency assets and liabilities (including cash and cash equivalents)	856		1,285
Changes in net working capital:	(2,492)		15,899
- Inventories	274		(62)
- Trade receivables	(2,329)	283	(1,440)	58
- Trade payables	(581)	(248)	1,315	(549)
- Provisions	(1,243)		(1,740)
- Other assets/liabilities	1,387	(6)	212	39
Cash flows from operating activities (a)	9,572		10,058
Investments in property, plant and equipment	(7,000)		(6,021)
Investments in intangible assets	(762)		(680)
Investments in entities (or business units) less cash and cash equivalents acquired acquired	(78)		(73)
Disposals of entities (or business units) less cash and cash equivalents sold sold	1,350		312
(Increase)/Decrease in other investing activities activities	69		325
Cash flows from investing/disinvesting activities (b)	(6,421)		(6,137)
Financial debt (new long-term borrowing)	1,474		4,582
Financial debt (repayments and other net changes)	(5,015)		(2,400)
Collection of proceeds from sale of equity holdings without loss of control control	456		1,977
Incidental expenses related to proceeds from sale of equity holdings without loss of control control	-		(50)
Dividends and interim dividends paid	(2,297)		(2,573)
Cash flows from financing activities (c)	(5,382)		1,536
Impact of exchange rate fluctuations on cash and cash equivalents (d) (d)	(234)		(102)
Increase/(Decrease) in cash and cash equivalents (a+b+c+d) (a+b+c+d)	(2,465)		5,355
(1) Cash and cash equivalents at beginning of the period	13,255		7,900
(2) Cash and cash equivalents at the end of the period	10,790		13,255

(1) Of which cash and cash equivalents equal to January 1, 2015 (€17 million at January 1, 2014) and cash and cash equivalents pertaining to assets held for sale in the amount of €27 millio million at January 1, 2014). €13,088 million at January 1, 2015 (€7,873 million at January 1, 2014), short €17 €10,639 million at December 31, 2015 (€13,088 million at December 31, 2014), short short-term securities equal to €140 million at million at January 1, 2015 (10

(2) Of which cash and cash equivalents equal to December 31, 2015 (€140 million at December 31, 2014) and cash and cash equivalents pertaining to assets held for sale in the 31, 2015 (€27 million at December 31, 2014). €140 €27 €13,088 short-term securities equal to €1 million at the amount of €150 million at December

Enel SpA - Income Statement

Millions of euros

		2015		2014
Revenues			of which with related parties		of which with related parties
Revenues from services		237	238	245	245
Other revenues		8	6	1
	(Sub Total)	245		246
Costs
Purchases of consumables		1		2
Services, leases and rentals		199	73	185	58
Personnel		176		120
Depreciation, amortization and impairment losses losses		327		543
Other operating expenses		24		19
	(Sub Total)	727		869
Operating income		(482)		(623)
Income from equity investments		2,024	2,024	1,818	1,818
Financial income from derivative instruments instruments		3,358	500	2,190	460
Other financial income		177	161	222	194
Financial expense from derivative instruments instruments		3,024	2,248	1,954	1,169
Other financial expense		1,243	1	1,377	3
	(Sub Total)	1,292		899
Income before taxes		810		276
Income taxes		(201)		(282)
NET INCOME FOR THE YEAR		1,011		558

Enel SpA - Statement of comprehensive income for the year

Millions of euros

	2015	2014
Net income for the year	1,011	558
Other comprehensive income recyclable to profit or loss:
Effective portion of change in the fair value of cash flow hedges	55	(73)
Other comprehensive income recyclable to profit or loss	55	(73)
Other comprehensive income not recyclable to profit or loss:
Remeasurements in net liabilities (assets) for employees benefits benefits	(6)	7
Other comprehensive income not recyclable to profit or loss	(6)	7
Income/(Loss) recognized directly in equity	49	(66)
COMPREHENSIVE INCOME FOR THE YEAR YEAR	1,060	492

Enel SpA - Balance Sheet

Millions of euros

ASSETS		at Dec. 31,2015		at Dec. 31,2014
			of which with related parties		of which with related parties
Non-current assets
Property, plant and equipment		7		8
Intangible assets		14		11
Deferred tax assets		373		383
Equity investments		38,984		38,754
Derivatives		2,591	317	1,979	819
Other non-current financial assets (1)		107	71	146	117
Other non-current assets		409	164	467	177
	(Total)	42,485		41,748
Current assets
Trade receivables		283	278	132	127
Income tax receivables		319		625
Derivatives		299	26	280	50
Other current financial assets (2)		3,403	3,130	5,040	4,223
Other current assets		460	422	244	208
Cash and cash equivalents		5,925		6,972
	(Total)	10,689		13,293
TOTAL ASSETS		53,174		55,041

(1) Of which long-term financial receivables for term € 77 million at December 31, 2015 ( € 121 million at December 31, 2014).

(2) Of which short-term financial receivables for term € 3,052 million at December 31, 2015 (€ 4,693 million at December 31, 2014).

Millions of euros

LIABILITIES AND SHAREHOLDERS' EQUITY		at Dec. 31,2015	at Dec. 31,2014
			of which with related parties		of which with related parties
Shareholders' equity
Share capital		9,403		9,403
Other reserves		9,163		9,114
Retained earnings (losses carried forward) forward)		5,303		6,061
Net income for the year		1,011		558
TOTAL SHAREHOLDERS' EQUITY	(Total)	24,880		25,136
Non-current liabilities
Long-term loans		14,503		17,288
Post-employment and other employee benefits benefits		291		302
Provisions for risks and charges		53		16
Deferred tax liabilities		291		252
Derivatives		2,717	1,365	2,484	469
Other non current liabilities		243	243	287	287
	(Sub Total)	18,098		20,629
Current liabilities
Short-term loans		4,914	3,243	4,746	4.319
Current portion of long-term loans		3,062		2,363
Trade payables		164	59	139	55
Derivatives		367	276	359	234
Other current financial liabilities		643	84	694	54
Other current liabilities		1,046	354	975	396
	(Sub Total)	10,196		9,276
TOTAL LIABILITIES		28,294		29,905
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	EQUITY	53.174		55,041

Enel SpA - Statement of Cash Flows

Millions of euros

	2015		2014
		of which with related parties		of which with related parties
Income before taxes	810		276
Adjustments for:
Depreciation and amortization of property, plant and equipment and intangible assets	12		12
Exchange rate gains and losses	275		287
Provisions	50		24
Dividends from subsidiaries, associates and other companies	(2,024)	(2,024)	(1,818)	(1,818)
Financial (income)/expense	452	1,589	624	524
(Gains)/losses and other non-monetary items monetary	315		535
Cash flow from operating activities before changes in net current assets	(110)		(60)
Increase/(decrease) in provisions	(29)		(55)
(Increase)/decrease in trade receivables	(151)	(151)	84	82
(Increase)/decrease in financial and non-financial financial assets/liabilities	402	(415)	54	(233)
Increase/(decrease) in trade payables	25	5	(73)	(28)
Interest income and other financial income collected	1,779	828	774	470
Interest expense and other financial expense paid	(2,529)	(764)	(1,369)	(148)
Dividends from subsidiaries, associates and other companies	2,024	2,024	1,818	1,818
Income taxes paid (consolidated taxation mechanism)	(349)		(247)
Cash flow from operating activities (a)	1,062		926
Investments in property, plant and equipment and intangible assets	(15)	(14)	(11)	(10)
Equity investiments	(547)	(547)	-
Disposals of equity investments	2	2	-
Cash flows from investing/disinvesting activities (b)	(560)		(11)
Long-term financial debt (new borrowing)	-		1,602
Long-term financial debt (repayments)	(2,394)		(1,103)
Net change in long-term financial payables/(receivables) term	(347)	45	(974)
Net change in short-term financial payables/(receivables) term	2,508	(16)	4,632	2,682
Dividends paid	(1,316)		(1,223)
Cash flows from financing activities (c)	(1,549)		2,934
Increase/(decrease) in cash and cash equivalents (a+b+c)	(1,047)		3,849
Cash and cash equivalents at beginning of the year	6,972		3,123
Cash and cash equivalents at the end of the year	5,925		6,972