Snam — Interim / Quarterly Report 2015

Jul 29, 2015

2015 Interim Review

Milan, July 29th , 2015

snam.it

Outline

Highlights and operational performance

1H 2015 Consolidated Results

Highlights and operational performance

Carlo Malacarne

Chief Executive Officer

1H 2015 Highlights

Italian Gas Market in 1H 2015

Gas consumption

Gas injected into the network

Source:National Transport Network Balance

1H2015 Consolidated Results

Antonio Paccioretti

Chief Financial Officer

Income Statement

[ € m ] n	1 H 2 0 1 4	1 H 2 0 1 5	C ha ng e
Re ve nu es	1, 7 8 2	1, 8 3 7	5 5 +
Op ing t era ex p en se s	3 5 4 -	4 0 3 -	4 9 -
E B I T D A	1, 4 2 8	1, 4 3 4	6 +
De ia ion & a isa ion t rt t p rec mo	3 8 4 -	4 2 2 -	3 8 -
E B I T	1, 0 4 4	1, 0 1 2	3 2 -
( ) Ne int inc t t ere s om e ex p en se s	2 0 4 -	1 8 6 -	1 8 +
Ne inc fro ia t tes om e m as so c	4 9	6 9	2 0 +
E B T	8 8 9	8 9 5	6 +
Inc tax om e es	3 2 8 -	2 8 3 -	4 5 +
O N E T P R F I T	5 6 1	6 1 2	5 1 +

Revenues

[ € m ] n	1 H 2 0 1 4	1 H 2 0 1 5	C ha ng e
Re la te d r g u ev en ue s	1, 7 4 8	1, 7 9 6	4 8 +
Tra t ns p or	9 3 9	9 4 7	8 +
D is i bu ion tr t	4 8 9	5 2 8	3 9 +
S tor ag e	2 4 3	2 3 6	7 -
L N G	1 0	1 1	1 +
Pa hro h r -t ss ug ev en ue s	6 7	7 4	7 +
O t he r r ev en ue s	3 4	4 1	7 +
T O T A L R E V E N U E S	1, 7 8 2	1, 8 3 7	5 5 +

Operating Expenses

[ € m ] n	1 H 2 0 1 4	1 H 2 0 1 5	C ha ng e
Re la te d a t iv i t ies g u c	3 4 1	3 6 7	2 6 +
Co f ntr l la b le ixe d c ts o os	2 2 5	2 4 8	2 3 +
Va ia b le ts r co s	7	1 1	4 +
O he t ts r c os	4 2	3 4	8 -
Pa hro h c -t ts ss ug os	6 7	4 7	7 +
No la te d a t iv i t ies n r eg c u	1 3	3 6	2 3 +
T O T A L C O S T S	3 5 4	4 0 3	4 9 +

EBIT Analysis

Net Profit Analysis

Main Financial Actions and Results

Main actions

Bond issuances •8.2y fixed rate bond: 250 €mn

Institutional lenders financing:

• •New EIB financing for 200 €mn
• • Cancellation of relatively expensive EIB financing for 300 €mn
• Repricing and renegotiation of 3.2 €bln M/L Term committed credit lines (3y and 5y)
• Treasury management optimization
• Fitch rating assignment (BBB+)

Existing debt as at 30 June 2015 (€ bln) Bond Maturity Profile (€ bln) as at 30 June 2015

Bilateral banking facilities

Institutional lenders financing

Cash Flow from Operation and Net Investments

Balance Sheet

[ € m ] n	De 1 2 3 c, 0 1 4	Ju 0 2 3 n, 0 1 5	C ha ng e
Ne inv d c i l t te ta es ap	2 0, 8 2 4	2 0, 8 8 9	6 5 +
F ixe d c i ta l ap	2 1, 8 1 3	2 1, 9 0 7	1 5 7 +
Ta i b le f ixe d a ts ng ss e	1 5, 3 3 5	1 5, 5 2 0	1 8 5 +
f Inta i b le ixe d a ts ng ss e	5, 0 7 6	5, 1 8 0	1 0 4 +
Eq ity- d a d o he inv te t tm ts ac co un n r es en u	1, 4 0 2	1, 2 0 7	1 3 2 -
Ne t w k ing i ta l or ca p	-8 6 4	9 5 8 -	9 4 -
Re iva b les ce	2, 1 9 0	1, 9 0 0	2 9 0 -
L ia b i l it ies	3, 0 4 5 -	2, 8 8 5 -	1 9 6 +
Pr is ion fo loy be f i ts ov s r e mp ee ne	-1 4 1	1 3 9 -	2 +
As he l d fo le d d ire ly la d l ia b i l i ies ts t te t se r s a an c re	1 6	1 6	-
f Ne t ina ia l de b t nc	1 3, 6 5 2	1 3, 9 3 6	2 8 4 +
S ha ho l de ' e i ty re rs q u	7, 1 7 2	6, 9 5 3	2 1 9 -

Q & A S e s s i o n

A n n e x e s

Operational Data

		1 H 2 0 1 4	1 H 2 0 1 5	∆ %
T t r a n s p o r	G ( ) i j d i h k b t t t t a s n e c e n o e n e w o r c m	3 2. 8	3 2. 8	- -
	G i l i k ( k i i ) t t a s p p e n e n e o r m n o p e r a o n w	3 2, 3 0 3	3 2, 3 5 4	0. 2 +
S t o r a g e	S i ( b ) t t o r a g e c a p a c y c m	1 5. 9	1 5. 9	- -
	( *) •M d l i t o a o n u	1 1. 4	1 1. 4	- -
	S i • t t r a e g c	4. 5	4. 5	- -
	G d h h ( b ) t t t a s m o e r o g s o r a g e s s e m c m v u y	9. 1 5	1 1. 9 6	2 8 5. +
	•I j i t n e c o n	4. 7 5	4. 7 6	0. 2 +
	•W i h d l t r a a w	4. 6 7	2 0 7.	1. 3 5 +
D i t i b t i s r o n u	G d i i b d ( b ) t t a s s r e c m u	3. 5 2	4. 4 3	2 5. 8 +
	G A i M i d l i i ( i l l i ) t t t t # c v e a s e e r n g a r e e v e r y p o n s m o n	9 1 5.	6. 2 5	1 0. 3 +

Disclaimer

Snam's Chief Financial Officer, Antonio Paccioretti, in his position as manager responsible for the preparation of financial reports, certifies pursuant to paragraph 2, article 154-bis of the Legislative Decree n. 58/1998, that data and information disclosures herewith set forth correspond to the company's evidence and accounting books and entries.

This presentation contains forward-looking statements regarding future events and the future results of Snam that are based on current expectations, estimates, forecasts, and projections about the industries in which Snam perates and the beliefs and assumptions of the management of Snam.

In particular, among other statements, certain statements with regard to management objectives, trends in results of operations, margins, costs, return on equity, risk management are forward-looking in nature.

Words such as 'expects', 'anticipates', 'targets', 'goals', 'projects', 'intends', 'plans', 'believes', 'seeks', 'estimates', variations of such words, and similar expressions are intended to identify such forward-looking statements.

These forward-looking statements are only predictions and are subject to risks, uncertainties, and assumptions that are difficult to predict because they relate to events and depend on circumstances that will occur in the future.

Therefore, Snam's actual results may differ materially and adversely from those expressed or implied in any forward-looking statements. Factors that might cause or contribute to such differences include, but are not limited to, economic conditions globally, political, economic and regulatory developments in Italy and internationally.

Any forward-looking statements made by or on behalf of Snam speak only as of the date they are made. Snam does not undertake to update forward-looking statements to reflect any changes in Snam's expectations with regard thereto or any changes in events, conditions or circumstances on which any such statement is based.

The reader should, however, consult any further disclosures Snam may make in documents it files with the Italian Securities and Exchange Commission and with the Italian Stock Exchange.

2015 Interim Review

Milan, July 29th , 2015

snam.it