Snam — Interim / Quarterly Report 2016

May 12, 2016

2016 1Q Consolidated Results

Milan, May 12th, 2016

snam.it

Antonio Paccioretti

Chief Financial Officer

1Q 2016 Highlights

Income Statement

[ € m n ]	20 15 1Q	20 16 1Q	Ch an ge
Re ven ues	92 9	85 2	- 7 7
Op ting era ex pe nse s	- 2 12	- 2 09	+3
EB ITD A	71 7	64 3	- 7 4
De cia tio n & isa tio ort pre am n	- 2 07	- 2 14	- 7
EB IT	51 0	42 9	- 8 1
Ne t in inc e ( es) ter est om exp ens	- 9 5	- 9 1	+4
Ne t in e f iate com rom as soc s	41	31	- 1 0
EB T	45 6	36 9	- 8 7
Inc e t om axe s	- 1 31	- 1 03	+2 8
NE T P RO FIT	32 5	26 6	- 5 9

Revenues

[ € m n ]	20 15 1Q	20 16 1Q	Ch an ge
Re lat ed gu re ve nu es	89 8	83 8	- 6 0
Tra ort nsp	47 0	43 8	-32
Dis trib utio n	26 0	24 7	-13
Sto rag e	12 3	11 6	-7
LN G	5	5
Pa thr h r ss- oug eve nue s	40	32	-8
Ot he r re ve nu es	31	14	- 1 7
TO TA L R EV EN UE S	92 9	85 2	- 7 7

Operating Expenses

[ € m n ]	20 15 1Q	20 16 1Q	Ch an ge
Re lat ed tiv itie gu ac s	18 9	20 5	+1 6
Co olla ble fix ed ntr ts cos	13 1	12 8	-3
Va ria ble sts co	4	10	+6
Ot her sts co	14	35	+2 1
Pa thr h c ost ss- oug s	40	32	-8
No ula ted tiv itie n r eg ac s	23	4	- 1 9
TO L C OS TS TA	21 2	20 9	- 3
[ € m n ]	20 15 1Q	20 16 1Q	Ch an ge
(1): Co st bre ak do by bu sin wn es s
Tra ort nsp	78	67	-1 1
LN G	3	3
Sto rag e	15	17	+2

EBIT Analysis

Net Profit Analysis

Snam debt structure

f Ke ig y ur es		f 3 1 2 0 1 6 ( € ) Ex is t in de b t a Ma h bn g s o rc			Bo d Ma tu i ty Pr f i le ( € bn ) f 3 1 Ma h 2 0 1 6 n r o as o rc
 F ix d /v ia b le t d b t: 6 % / 3 % 5 5 e a r ra e e ;  M / Te d b i L t tu ty 5 rm e m a r : c a. y e a r s;  Bo d ire d: n ex p 2 Y B d F R N € 1 5 0 i l l i J 1 6. • o n m o n a n -	18 16 14 12 10 8 6 4 2	1 3. 5	1 6. 1 1. 6 1. 8 9. 5 3. 2	2.0 1.5 1.0 0.5
	0	Ne t d ebt 1/0 3/2 at 3 as	Tot al c mit ted om fac 016 dit iliti and bo nds cre es	0.0	201 6	201 7	201 8	201 9	202 0	202 1	202 2	202 3	202 4
		Po l ba k ing fac i l o n B i lat l ba k ing era n fac i l it ies	De bt ita l m ket ca p ar it ies Ins itut ion l len de t a rs f ina ing nc
													9

Free Cash Flow

Balance Sheet

[ € m n ]	De 31 20 c, 15	Ma 31 20 r, 16	Ch an ge
Ne t in ste d c ita l ve ap	21 36 5 ,	21 40 9 ,	+4 4
Fix ed ita l ca p	22 12 1 ,	22 38 6 ,	+2 65
Ta ible fix ed ets ng ass	15 39 6 ,	15 64 3 ,	+2 47
Inta ible fix ed ets ng ass	27 5, 5	27 2 5,	-3
Fin ial eiv ab les he ld f ting tivi ties anc rec or op era ac	78	79	+1
Eq uity ed and her inv unt ot est nts -ac co me	1, 37 2	1, 39 2	+2 0
Ne ork ing ita l t w ca p	-60 7	-82 8	-22 1
Re iva ble ce s	2, 09 2	2, 07 5	-17
Lia bili ties	-2, 69 9	-2, 90 3	-20 4
Pro vis ion s f loy be fits or em p ee ne	-16 6	-16 6	-
As ts he ld for le a nd di tly lat ed lia bil itie se sa rec re s	17	17	-
Ne t fi ial de bt na nc	13 77 9 ,	13 54 3 ,	-23 6
Sh ho lde rs' uit are eq y	7, 58 6	7, 86 6	+2 80

Q & A S e s s i o n

A n n e x e s

Italian Gas Market in 1Q 2016

Gas consumption

Gas injected into the network

(*) Includes: NGV, Agriculture and Non-Energy Use

Source:National Transport Network Balance

14

Operational Data

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

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.

2016 1Q Consolidated Results

Milan, May 12th, 2016

snam.it