Rio de Janeiro, August 6,
2010
Consumption remains high in
the second quarter
IR Contacts
Total consumption increased 5.2%, Net Revenue
10.0% and EBITDA 44.6% in 2Q10
João Batista Zolini Carneiro
CFO and IR Officer
 Total energy consumption in 2Q10 was 5.2% higher
Renato Rocha
Planning and IR Superintendent
free and captive markets both grew substantially by 22.2%
Gustavo Werneck
IR Manager
Phone: +55 (21) 2211-2650/
2660
Fax: +55 (21) 2211-2787
www.light.com.br
E-mail: ri@light.com.br
than in the same last year period, totaling 5,498 GWh. The
and 2.9%, respectively. In 1H10, total growth amounted to
7.4%;
 Consolidated
net
revenue
in
the
quarter
totaled
R$1,400.7 million, 10.0% above 2Q09, mainly due to the
5.2% increase in total energy consumption between the
periods. In 1H10, net revenue totaled R$2,995.0 million,
10.5% above 1H09;1
 Consolidated EBITDA in the quarter was R$319.1 million,
44.6% higher than in 2Q09, primarily reflecting the healthy
Conference Call
Date: 08/10/2010
Time: 11:00 AM (Brazil)
10:00 AM (US ET)
Phone Numbers:
Brazil:
+55 (11) 4688-6361
USA:
+1 (888) 700 0802
market performance during the period and the reversal of a
regulatory provision of R$ 53.4 million. The 2Q10 EBITDA
margin was 22.8%, compared to 17.3% in 2Q09. EBITDA in
1H10 reached R$631.4 million, 10.8% more than 1H09;
 Net income in the quarter totaled R$98.3 million, 19.1%
below the R$121.4 million recorded in 2Q09. First-half net
income came to R$218.8 million.
 The Company closed 2Q10 with a net debt of R$1,805.2
million, 18.5% and 9.6% above the figures at the end of
Other Countries:
+1 (786) 924 6977
March 2010 and June 2009, respectively. Despite of the
Simultaneous translation
into English
 Collections in the last 12 months reached 98.1% of billed
debt increase, net debt/EBITDA ratio stood at 1.4x.
consumption, 0.4 p.p. below and 0.7 p.p. above the rates
posted in March 2010 and June 2009, respectively.
Webcast: www.light.com.br
(Portuguese and English)
Operational Highlights (GWh)
Grid Load*
Billed Energy - Captive Market
Consumption in the concession area1
Transported Energy - TUSD1
Sold Energy - Generation
Commercializated Energy (Esco)
Financial Highlights (R$ MM)
Net Revenue
EBITDA
EBITDA Margin
Net Income
Net Debt**
2Q10
8,194
4,755
5,498
1,522
1,428
219
1,401
319
22.8%
98
1,805
2Q09
Var. %
7,537
8.7%
4,619
2.9%
5,228
5.2%
1,144
33.0%
1,168
22.3%
107 104.1%
1,273
221
17.3%
121
1,647
10.0%
44.6%
-19.1%
9.6%
1H10
17,832
10,185
11,585
2,999
3,114
433
2,995
631
21.1%
219
1,805
1H09
Var. %
16,356
9.0%
9,621
5.9%
10,786
7.4%
2,323
29.1%
2,430
28.1%
208 107.9%
2,711
570
21.0%
290
1,647
10.5%
10.8%
-24.5%
9.6%
* Captive market + losses + network use
** Financial Debt - Cash
To preserve comparability with the market approved by Aneel in the tariff adjustment process, the
billed energy of free consumers Valesul, CSN and CSA was excluded, in view of these customers’
planned migration to the core network. Energy consumption by these clients totaled 450 GWh in
2Q10 and 395 GWh in 2Q09.
1
Release Segmentation
Light S.A. is a holding company that controls wholly-owned subsidiaries pertaining
to three business segments: electricity distribution (Light SESA), electricity
generation (Light Energia) and electricity commercialization/services (Light Esco
and Lightcom). In order to improve the transparency of its results and to provide
investors with a better basis for evaluation, Light also presents its results by
business segment.

Operating Performance
Distribution
Total energy consumption in Light
SESA’s
concession
customers
+
area
Electric Energy Consumption (GWh)
Total Market (Captive + Free)
(captive
transport
of
5,2%
free
customers2) came to 5,498 GWh in
2Q10,
a
5.2%
both
markets,
743
609
22,2%
year-on-year
increase, driven by the performance
of
5,498
5,228
especially
4,755
4,619
the
2,9%
substantial increase in free market
2Q09
consumption.
Captive
Free
2Q10
In the first half, total energy consumption was 11,585 GWh, 7.4% higher than in
the same 2009 period, mainly fueled by the free market and residential segment,
which grew 9.5%, 3.6 p.p. higher than residential segment growth in the Southeast
region. According to the Energy Research Corporation (EPE), total consumption in
Electric Energy Consumption (GWh)
2st Quarter
2.9%
4,619
4,755
7.0%
1.9%
1,862
1,992
-7.8%
459
Residential
1.6%
1,477
1,505
822
423
Industrial
Commercial
2Q09
835
Others
Total
2Q10
To preserve comparability with the market approved by Aneel in the tariff adjustment process, the
billed energy of free customers Valesul, CSN and CSA were excluded, in view of these customers’
planned migration to the core network. Energy consumption by these clients totaled 450 GWh in 2Q10
and 395 GWh in 2Q09.
2
the Southeast and Brazil as a whole increased by 10.7% and 9.9%, respectively,
over 1H09.
If the consumption of the free clients CSN, Valesul and CSA is taken into account,
total billed consumption came to 5,948 GWh² in 2Q10 and 12,456 GWh in 1H10.
Captive Market
In 2Q10, billed consumption in the captive market grew by 2.9% over 2Q09,
especially due to the excellent performance of the residential segment, which
soared by 7.0%.
The average temperature in the second quarter of 2010 was 0.7ºC below the
average for the same 2009 period, therefore, the upturn in consumption cannot be
explained exclusively by the average temperature. The increase in residential
consumption is explained by the improvement in economic conditions in Light’s
concession area, a reflection of higher income, the expansion in client base and
easier access to home appliances.
Residential consumption accounted for 41.9% of the captive market in 2Q10. The
number of billed residential clients grew by 1.9% to 3.72 million in June 2010, with
an average monthly consumption of 178.6 kWh, compared to 170.0 kWh in the
same last year period.
The commercial segment, which consumed 1,505 GWh, represented 31.7% of
captive market consumption, 1.9% above 2Q09. The performance of this segment
was affected by migrations to the free market that took place between the two
periods; when excluded, commercial consumption would have grown by 4.6%. Only
in 2Q10, one client with average monthly consumption of 6 GWh in the period
migrated to the free market.
Industrial clients, who represent 8.9% of the captive market, consumed 423 GWh,
7.8% below 2Q09, also mainly due to interim migrations to the free market.
Excluding these, growth would be 7.3%, underlining the industrial segment’s
recovery. Two clients with average monthly consumption of 10 GWh in the period
migrated to the free market.
The other categories, which accounted for 17.6% of the captive market, grew 1.6%
from 2Q09. The rural, government and public service categories, which represented
0.3%, 7.6% and 5.8% of the captive market, respectively, recorded positive
performances.
In 1H10, the captive market’s billed consumption totaled 10,185 GWh, 5.9% higher
than in 1H09, mainly due to the substantial increase in residential consumption,
which grew by 9.5%. In contrast with other previous periods, the upturn in
consumption cannot be explained exclusively by the average temperature, which
was virtually identical to the first six months of last year. Consequently, the
increase shows the economic growth of Light’s concession area and the rebound in
the economic development of Rio de Janeiro.
Network Usage
3
Billed
Electric Energy Transportation - GWh
Free Customers + Concessionaires
customers3
33.0%
45.4%
609
1,144
535
totaled
upturn in billed energy transported to free
the activities of major industrial consumers
Concessionaires
2Q09
concessionaires
free
over-year basis. The substantial 22.2%
and
Free
to
clients can be explained by the recovery in
778
743
and
transported
1,522 GWh in 2Q10, 33.0% up on a year-
1,522
22.2%
energy
2Q10
Total
the
clients
migrations
to
migrations
the
had
free
been
of
captive-market
market.
If
these
excluded,
billed
energy transported to free clients would have increased by 4.3%. In addition to the
free market, the flow of energy to concessionaires bordering Light’s area grew by
45.4% between the periods due to dispatch by the National Electric System
Operator (ONS). In 1H10, network usage totaled 2,999 GWh, 29.1% up year-onyear.
Energy Flow
DISTRIBUTION ENERGETIC BALANCE - GWh
Position: January - June 2010
PROINFA
Residential
4,407.9
232.2
CCEAR
Light Energia
163.6
ITAIPU
(CCEE)
2,675.8
Billed
Energy
10,184.7
Own load
Light
13,906.2
Commercial
3,207.0
Required E.
(CCEE)
14,091.1
AUCTIONS
(CCEE)
7,336.0
NORTE FLU
(CCEE)
3,150.1
Losses +
Non Billed
Energy
3,721.6
Basic netw.
losses
Adjustment
Industrial
872.4
Others
1,697.4
272.0
(87.2)
OTHERS(*)
(CCEE)
533.4
(*) Others = Purchase in Spot - Sale in Spot.
To preserve comparability with the market approved by Aneel in the tariff adjustment process, the
billed energy of free customers Valesul, CSN and CSA were excluded, in view of these customers’
planned migration to the core network. Energy consumption by these clients totaled 450 GWh in 2Q10
and 395 GWh in 2Q09.
3
Energy Losses
losses
the grid load, in the 12 months
ended
21.23%
21.50%
21.82%
21.98%
21.59%
14.93%
15.22%
15.40%
15.56%
15.23%
7,513
amounted to 7,513 GWh, or 21.59% of
7,504
energy
7,269
total
7,005
SESA’s
6,929
Light
Light Losses Evolution
12 months
Jun-09
sep/09
dec/09
Mar-10
Jun-10
June 30, 2010, 0.39 p.p. below the
end-of-March ratio.
GWh Losses
% Losses / Grid Load (Own + Trans)
Non-technical losses % Grid Load
As of November of 2009, non-technical
losses began to be disclosed for billed
energy in the low-voltage market in compliance with the change mandated by
ANEEL in its definitive tariff adjustment approved last October. This change is more
concessionaire’s
Non tecnical losses / Low Voltage market
12 months
operations since it is precisely in the
low-voltage
market
where
non-
41.8%
this
methodology,
non-technical
losses, which in the 12 months through
June
2010
4,874
technical losses are found. Following
totaled
5,300
Energy Balance (GWh)
= Grid Load
- Energy transported to utilities
- Energy transported to free customers*
= Own Load
- Captive market consumption
Low Voltage Market
Medium Voltage Market
- Losses + Non Billed Energy
Jun-09
42.3%
42.0%
of
GWh,
sep/09
dec/09
Mar-10
Jun-10
"Non tecnical Losses % Low Voltage Mkt"
2Q10
8,194
778
1,259
6,157
4,755
3,067
1,687
1,402
the
2Q09
7,537
535
931
6,071
4,619
2,899
1,720
1,452
Var.%
8.7%
45.4%
35.3%
1.4%
2.9%
5.8%
-1.9%
-3.4%
1H01
17,832
1,599
2,327
13,906
10,185
6,656
3,529
3,722
1H09
16,356
1,158
1,980
13,218
9,621
6,148
3,473
3,597
Recovered Energy GW
low-voltage
market (15.23% of the grid load), fell by 0.7
75.7
0.6%
76.1
p.p. from losses in 1Q10.
Conventional
energy
recovery
processes,
such as the negotiation of amounts owed by
customers, where fraud has been detected,
resulted in the recovery of 76.1 GWh in
1H09
1H10
1H10, in line with the same last year period.
Fraud regularization programs yielded a total
of 39,766 normalized clients in 1H10, 8.4%
below 1H09.
Conventional
Normalized Costumers
43,398
energy
recovery
42.0%
"Non Tecnincal Losses (GW)"
*Including CSN, Valesul and CSA
representing
42.7%
42.5%
5,300
the
5,313
with
5,149
line
4,958
in
-8.4%
39,766
initiatives
were stepped up this quarter, marking the
1H09
1H10
Var.%
9.0%
38.0%
17.5%
5.2%
5.9%
8.3%
1.6%
3.5%
beginning of efforts to catch up following the delays in the loss prevention program
caused by outages during the summer. In addition to conventional actions, there
was further progress in regards to new technologies through the reinstallation of
electronic meters certified by Inmetro. At the close of June, nearly 12,000 meters
with billing through remote electronic metering had been reinstalled. In terms of
network protection, nearly 57,000 clients were covered in 1H10, in line with our
target of reaching 87,000 by year-end.
Collection
The 2Q10 collection rate exceeded
100% of the billed total, reaching
Colletion rate
R$ MM
Billing
Collection
Collection Tax
2Q10
2,109
2,141
101.5%
2Q09
1,986
2,054
103.4%
1H10
4,414
4,347
98.5%
1H09
4,162
4,037
97.0%
101.5%, 1.9 p.p. below 2Q09, due
to the greater
concentration
Collection Rate per Segment
of
collections in 2Q09 as a result of
the economic crisis, which caused a
delay
in
bill
payments
at
112.2%
111.7%
102.1%
the
101.8%
101.3%
98.9%
beginning of 2009, especially in the
retail
segment.
Major
and
Retail
Large Customers
government clients continued to
record
high
collection
rates,
2Q09
Public Sector
2Q10
Collection rate
12 months moving average
of
above 100%.
98.5%
98.1%
The collection rate for the past 12
97.4%
97.2%
97.3%
Jun-09
Sep-10
Dec-10
months was 98.1% of total billed
consumption, 0.7 p.p. above June
2009 and 0.4 p.p. below March
2010.
In 2Q10, Provisions for Past Due
Accounts
(PPD)
totaled
R$75.3
million, representing 3.8% of gross
Mar-10
Jun-10
billed energy. As a result, and
according
to
provisioning
related
to
the
criteria,
past
due
sector’s
provisions
bills
PDD/Gross Revenue (Billed Sales)
3.8%
3.5%
of
2.9%
residential clients are constituted
90 days after the due date, this
result can be explained by the
following factors: (i) the reduction
2Q09
1Q10
2Q10
in the number of disconnections due to the focus of the Company’s technicians on
operating quality as a result of the summer outage problems; (ii) substantial billed
energy in the previous quarter, which impacted the provisioning of higher bills in
2Q10; (iii) higher billed energy growth in the retail segment, which has a lower
collection rate.
R$ Million
PDD
Provisions for Past Due Accounts
2Q10
2Q09
Var
1H10
1H09
75.3
66.5 13.1% 138.8 126.4
Var
9.8%
Operating Quality
Ensuring high levels of quality in the supply of electricity is an essential part of
establishing a good relationship between the distribution company and its clients.
The problems it faced last summer led Light to further intensify its distribution
improvement investment plan. In 1H10, the Company invested R$69.2 million in an
effort to improve the quality of its electricity supply business and to increase the
capacity of its distribution network, that is 40.3% more than the R$49.3 million
invested in the same last year period. Among these improvements, it is particularly
worth mentioning the replacement of 112.5 km of conventional cable with space
cable (medium and low-voltage compact network), compared to 46.8 km in 2Q09.
At the end of June, the equivalent length of interruption indicator (DEC), expressed
in hours, registered 11.63 hours for the last 12 months, while the equivalent
frequency of interruption indicator (FEC), expressed in occurrences, stood at 6.24
times.
The first half of the year was characterized by adverse weather conditions,
including 1,075 mm of rainfall, 80% more than in the same last year period, and
higher-than-normal summer temperatures, which resulted in strong load growth.
Most of the service interruptions occurred in areas served by underground
networks, which are more complex and therefore take longer to repair, thereby
increasing the DEC.
ELC / EFC - 12 Months
ELC
9,13
6,97
6,03
6,24
EFC
Jun/10*
jun/09
jun/08
ELC – Equivalent Length of Interruption per Consumption Unit (hs)
EFC – Equivalent Frequency of Interruption per Consumption Unit (n.)
* Excludes the effects of the occurrence on the National Interconnected System on 11/10/09
11,35
11,63
Generation
Energy sold on the captive (ACR) and free (ACL) markets totaled 1,007.2 GWh and
103.1 GWh, respectively, in 2Q10, below 0.6% and 14.3%, respectively, from the
same 2009 period due to the seasonality of contracts in effect since 2010. The
843.6% increase in the energy volume sold in the spot market in 2Q10 was
primarily caused by two factors: (i) the increase in hydroelectric generation within
the National Interconnected System, which generated more secondary energy for
settlement in the CCEE; and (ii) the booking procedures of the CCEE, which failed
to deduct the energy consumed by pumps in 2Q10, totaling 182.1 GWh, which will
be reversed in the coming periods, although no specific date has been fixed as yet.
First-half sales totaled 3,113.7 GWh, 28.1% up on a year-over-year basis, driven
by spot market sales, as explained above.
LIGHT ENERGIA (GWh)
2Q10
2Q09
Regulated Contracting Environment Sales
1,007.2
1,013.6
1H10
1H09
-0.6%
Free Contracting Environment Sales
103.1
Spot Sales (CCEE)
Total
318.1
1,428.4
%
2,051.7
2,053.2
%
120.3
-14.3%
188.6
206.3
-8.6%
33.7
843.6%
873.4
170.8
411.3%
1,167.7
22.3%
3,113.7
-0.1%
2,430.3 28.1%
Commercialization and Services
In 2Q10, Light Esco and Lightcom sold 219.0 GWh directly, increasing 104.1% on
year-over-year basis. This increase is a result of the commercialization company’s
increased availability to resale energy compared to the same 2009 period, as well
as the expansion of the sales contract portfolio, including, for example, Owens
Illinois, BR Metals and MD Papéis. Commercialization activity involved a total of 73
clients.
In addition to direct sales, Light Esco also continued to provide consulting services
and represent free customers before the CCEE. These activities involved 9 clients
and operations totaling 700.8 GWh in 2Q10, including consulting services on behalf
of two plants suffering commercial start-up delays since January 2010.
Esco’s 13 ongoing service contracts included three new projects this quarter: (i) the
upgrading of the cooling tower for the Santos Dumont Business Center, a client that
had previously undertaken another project with Light Esco; (ii) the retrofit of the
cooling system for a business center in the south side of Rio de Janeiro city; and
(iii) the construction of an aerial network and interconnection with a medium
voltage substation for a small hydropower plant which is being built in the interior
of Rio de Janeiro state.
In 1H10, Light Esco traded 1,849.5 GWh, 159.0% up on 1H09.
Volume (GWh)
Trading
Broker
Total
2Q10
219.0
700.8
919.8
2Q09
107.3
262.0
369.3
Var.%
104.1%
167.5%
149.1%
1H10
432.8
1,416.7
1,849.5
1H09
208.2
505.8
714.0
Var.%
107.9%
180.1%
159.0%
Financial Performance
Net Revenue
Consolidated
In 2Q10, consolidated net operating revenue totaled R$1,400.7 million, up 10.0%
from 2Q09, mainly impacted by the performance of the distribution and
commercialization segments, which increased by 8.8% and 91.0% on a year-overyear basis, respectively.
Net Revenue (R$ MM)
Distribution
Billed consumption
Non billed energy
Network use (TUSD)
Short-Term (Spot)
Others
Subtotal (a)
2Q10
1,211.5
(47.8)
124.9
10.1
10.9
1,309.7
2Q09
1,144.3
(47.4)
85.5
7.7
13.5
1,203.5
Var. %
5.9%
0.8%
46.1%
32.2%
-18.8%
8.8%
1H10
2,588.4
(51.3)
246.9
10.1
21.5
2,815.7
1H09
2,387.3
(20.3)
172.6
7.7
26.0
2,573.3
Var. %
8.4%
152.8%
43.1%
32.2%
-17.3%
9.4%
Generation
Generation Sale(ACR+ACL)
Short-Term1
Others
Subtotal (b)
67.7
3.9
1.4
73.1
66.8
5.3
1.3
73.4
1.4%
-25.8%
5.8%
-0.5%
135.1
9.8
2.7
147.6
131.9
10.5
2.7
145.1
2.4%
-6.9%
2.7%
1.7%
Commercialization
Energy Sales
Others
Subtotal (c)
22.8
13.6
36.4
16.6
2.5
19.1
37.5%
450.8%
91.0%
44.7
24.5
69.2
30.1
6.9
37.0
48.5%
257.2%
87.2%
10.0%
2,995.0
Others and Eliminations (d)
Total (a+b+c+d)
(18.4)
1,400.7
(1) Balance of the settlement on the CCEE
(22.7)
1,273.3
(37.6)
(44.5)
2,710.9
10.5%
Distribution
Net revenue from distribution was R$1,309.7 million in 2Q10, 8.8% above 2Q09,
mainly due to the significant growth in energy consumption in the free and captive
markets, which grew by 22.2% and 2.9%, respectively. In the captive market, the
residential segment led the growth rate with an increase of 7.0% and accounted for
46% of total captive market revenue.
It is also worth noting that 2Q09 net
revenue
included
Parcel
A
Electric Energy Consumption (GWh) - Captive
2Q10
(RTE)
billing, which ended in June 2009,
Others
18%
totaling R$56.3 million. It is important
835
to point out that the end of Parcel A
billing does not affect the result since
the
effect
was
offset
by
the
1,992
1,505
423
Commercial
32%
Industrial
9%
Residential
41%
amortization of non-manageable costs. In addition, in 2Q10, there was a negative
impact of R$8.3 million from the signing of the concession contract amendment in
February 2010, which changed the way in which the sector charges are passed
through to electricity rates. Excluding non-recurring effects in both quarters, net
revenue in 2Q10 was 14.9% above 1Q09. In 1H10, net revenue from distribution
amounted to R$2,815.7 million, up 9.4% from 1H09, mainly due to the substantial
increase in captive and free market consumption.
Generation
Net revenue from generation totaled R$73.1 million in 2Q10, in line with the R$73.4
million recorded in 2Q09. The reduction in the energy sales in the captive and free
markets, due to contract seasonality, was fully offset by the increase in the sale
energy prices. Short-term market revenue fell by 25.8% from 2Q09, mainly due to
an adjustment made by CCEE in the amount of R$2.1 million related to revenue
booked in 1Q10. If this amount had been excluded, revenue from the short-term
market
would
have
increased
by
Net Revenue by Class- Captive
R$ MM - 2Q10
14.1% as a result of the larger volume
sold this quarter. The average spot
Others
14%
market price in 2Q10 was R$40.68,
168
compared to R$42.10 in 2Q09.
In 1H10, net revenue amounted to
R$147.6 million, up 1.7% from 1H09,
mainly due to the adjustments to the
captive market energy sale contracts.
Commercialization and Services
562
385
Commercial
32%
97
Industrial
8%
Residential
46%
Net revenue from commercialization and services totaled R$36.4 million in 2Q10,
91.0% above 2Q09, mainly due to the 37.5% upturn in electricity trading revenue,
in turn caused by the 104.1% increase in sales volume and the larger number of
projects in the service portfolio, especially Petrobras’ CENPES project.
First-half net revenue amounted to R$69.2 million, 87.2% more than in 1H09,
resulting from: (i) the 48.5% increase in electricity trading revenue, due to the
107.9% upturn in the volume of energy sold; and (ii) the growth of contract
brokerage and the provision of services, such as substations, water-cooling
systems, the construction of aerial transmission grids, etc.
Costs and Expenses
Consolidated
Consolidated Operating Costs and Expenses
In 2Q10, operating costs and expenses grew by 2.8%, driven mainly by costs and
expenses incurred by the distribution and commercialization businesses, which
increased by 3.0% and 70.3%, respectively, from 2Q09.
Operating Costs and
Expenses (R$ MM)
Distribution
Generation
Commercialization
Others and Eliminations
Consolidated
2Q10
1,125.6
25.2
26.8
(17.1)
1,160.5
2Q09
(%)
1,092.6
3.0%
31.6 -20.3%
15.7
70.3%
(11.1) 53.9%
1,128.8
2.8%
1H10
2,436.2
59.0
57.7
(34.1)
2,518.8
1H09
2,219.7
64.7
30.9
(22.1)
2,293.1
(%)
9.8%
-8.8%
86.8%
54.6%
9.8%
Distribution
In 2Q10, distribution costs and expenses grew by 3.0% on a year-over-year basis,
as shown in the table below, mainly due to the 6.9% increase in non-manageable
costs and expenses, despite the 8.5% reduction of manageable costs and
expenses.
Costs and Expenses (R$ MM)
Non-Manageable Costs and Expenses
Energy Purchase costs
Purchased Energy
Formation Energy CVA
Costs with charges
Charges
Formation Charges CVA
Amortization CVA
Others (Mandatory Costs)
Manageable Costs and Expenses
PMSO
Personnel
Material
Outsourced Services
Others
Provisions
Depreciation
Total Costs and Expenses
2Q10
(872.4)
(634.7)
(626.2)
(8.5)
(159.0)
(171.8)
12.7
(75.2)
(3.5)
(253.2)
(144.7)
(50.8)
(5.7)
(74.5)
(13.8)
(36.0)
(72.4)
(1,125.6)
2Q09
(816.0)
(647.2)
(722.2)
74.9
(124.0)
(125.2)
1.2
(39.3)
(5.5)
(276.6)
(121.7)
(46.2)
(3.0)
(61.9)
(10.6)
(85.0)
(69.9)
(1,092.6)
(%)
6.9%
-1.9%
-13.3%
28.2%
37.2%
989.6%
91.2%
-35.7%
-8.5%
18.9%
10.0%
87.7%
20.4%
29.9%
-57.6%
3.7%
3.0%
1H10
(1,887.0)
(1,396.2)
(1,292.3)
(104.0)
(325.6)
(352.3)
26.8
(158.3)
(6.9)
(549.3)
(277.3)
(95.2)
(10.7)
(147.2)
(24.2)
(129.3)
(142.7)
(2,436.3)
2H09
(1,690.8)
(1,327.7)
(1,457.7)
130.0
(271.4)
(286.2)
14.9
(80.6)
(11.1)
(528.9)
(238.4)
(93.4)
(6.9)
(115.2)
(22.9)
(150.6)
(140.0)
(2,219.7)
Var. %
11.6%
5.2%
-11.4%
20.0%
23.1%
80.0%
96.5%
-38.0%
3.9%
16.3%
1.9%
55.3%
27.8%
5.7%
-14.1%
1.9%
9.8%
Non-manageable Costs and Expenses
In 2Q10, non-manageable costs and expenses totaled R$872.4 million, 6.9% above
the same last year period, mainly due to the increase in costs for charges and
transmission.
Energy purchase costs decreased by 1.9% from 2Q09, mainly due to the reduction
in the average cost of purchased energy combined with stable purchased energy
volume,
despite
Purchased Energy - R$ MM
2nd Quarter
consumption
growth in the concession area.
1%
primarily
exchange
rate
due
to
devaluation
626.2
22%
Energy purchase costs declined by
13.3%,
722.2
22%
33%
32%
the
of
12.4%, which reduced the Realdenominated tariffs of Itaipu and
43%
46%
2Q09
2Q10
AUCTIONS
0%
NORTE FLU
ITAIPU
SPOT
UTE Norte Fluminense (Norte Flu).
Costs for charges and transmission grew by 28.2% from 2Q09, mainly driven by
charges, particularly the System Service Charges (ESS), as a result of the higher
dispatch of thermoelectric plants this quarter, and network usage charges, which
increased
by
R$13.4
million.
A
Purchased Energy - GWh
2nd Quarter
significant part of this increase had
already been included in the 2009
tariff adjustment, and another part
is included in the formation of the
CVA, which was negative by R$2.3
million due to the February 2010
concession
contract
amendment,
2%
-
6,507
6,505
22%
21%
24%
24%
52%
53%
2Q09
2Q10
AUCTIONS
NORTE FLU
ITAIPU
SPOT
2%
-
PROINFA
which altered the way in which sector charges are passed through to electricity
tariffs.
The average purchased energy cost, excluding spot market purchases, amounted to
R$98.73/MWh in 2Q10, down 10.41% from R$110.20/MWh recorded in 2Q09.
In 1H10, non-manageable costs and expenses totaled R$1,887.0 million, up 11.6%
on a year-over-year basis. Purchased energy costs increased by 5.2%, reflecting
higher purchased energy volume this year, while charges increased by 20.0%.
Manageable Costs and Expenses
In 2Q10, manageable operating costs and expenses (personnel, materials,
outsourced services, provisions, depreciation and others) totaled R$253.2 million,
down 8.5% from 2Q09, due to the 57.6% reduction in provisions, impacted by nonrecurring events totaling nearly R$44.3 million.
Costs and expenses from staff, equipment, services and others (PMSO) amounted
to R$144.7 million in 2Q10, up 18.9% from R$121.7 million recorded in 2Q09. This
increase was primarily due to the non-recurring impact of electricity outages,
especially due to the storms in April, which pushed up costs and expenses from
outsourced services (emergency services and call center) by R$4.7 million, and
inspections and repairs in underground chambers by R$1.0 million, in addition to
other costs and expenses from the rent of generators totaling R$2.7 million. The
increase in personnel costs and expenses was primarily a reflection of the 5.3% pay
rise following the collective bargaining agreement in the quarter.
Provisions (for past due accounts, contingencies and others) declined by R$49.0
million, mainly as a result of the reversal of provisions totaling R$53.4 million due
to the dismissal of the Aneel’s administrative suit concerning the classification of
consumers under the subsidize social tariff between 2002 and 2006. That amount
was partially compensated by two regulatory fines, following the first Aneel’s
technical/operational inspection in May 2009, which resulted in a fine of R$5.0
million, and the second from the violation of the DEC and FEC quality indicators in
2009, totaling R$4.1 million. The constitution of R$75.3 million in provisions for
past due accounts in 2Q10 represented 3.8% of gross billed energy, compared to
R$66.5 million, or 3.5% of gross revenue, in the same last year period.
Manageable costs and expenses totaled R$549.3 million in the first half, 3.9% more
on a year-over-year basis.
Generation
In 2Q10 Light Energy’s costs and expenses amounted to R$25.2 million, down
20.3% from 2Q09, mainly due to the 65.9% decline in costs with CUSD/CUST
(distribution/transmission system usage), due to the elimination of charges for the
use of the core network as of July 2009.
Costs and expenses in 2Q10 were broken down as follows: CUSD/CUST (14.7%),
personnel (17.7%), materials and outsourced services (14.6%), and depreciation
and others (53.0%). PMSO per MWh in the quarter came to R$12.09/MWh,
compared to R$12.55/MWh in 2Q09.
In 1H10 Light Energy’s costs and expenses totaled R$59.0 million, 8.8% below
1H09, mainly due to the 69.3% reduction in CUSD/CUST.
Operating Costs and Expenses - R$ MM
Personnel
Material and Outsourced Services
Purchased Energy (CUSD)
Depreciation
Others (includes provisions)
Total
2Q10
(4.5)
(3.7)
(3.7)
(6.2)
(7.2)
(25.2)
2Q09
Var. %
(4.9)
-8.9%
(3.2)
14.5%
(10.8)
-65.9%
(6.1)
1.9%
(6.6)
8.4%
(31.6) -20.3%
1H10
(9.1)
(7.5)
(7.2)
(12.2)
(23.1)
(59.0)
1H09
Var. %
(8.8)
3.1%
(6.6) 12.2%
(23.3) -69.3%
(12.2)
0.2%
(13.7) 68.6%
(64.7) -8.8%
Commercialization and Services
In 2Q10 commercialization costs and expenses totaled R$26.8 million, 70.3% more
than in the same last year period, mainly driven by the cost of purchased energy,
which grew by 43.2% on a year-over-year basis due to the strong growth in the
volume of resold energy. The result was further impacted by the increase in costs
with materials and outsourced services related to ongoing projects, especially the
construction of the CENPES substation and network as well as the upgrades to the
Rede Globo, Iguatemi Mall and Castello Branco Building water-cooling systems.
In 1H10, costs and expenses totaled R$57.7 million, an 86.8% increase over last
year primarily due to higher costs from purchased energy, materials and
outsourced services, in turn reflecting the expansion of trading and service
provision activities.
Operating Costs and Expenses - R$ MM
Personnel
Material and Outsourced Services
Purchased Energy
Depreciation
Others (includes provisions)
Total
2Q10
(0.7)
(6.5)
(18.8)
(0.2)
(0.5)
(26.8)
2Q09
Var. %
(0.4)
96.0%
(2.0) 233.4%
(13.1)
43.2%
(0.2)
0.0%
(0.1) 477.8%
(15.7)
70.3%
1H10
(1.4)
(17.0)
(38.3)
(0.3)
(0.7)
(57.7)
1H09
(0.9)
(4.3)
(25.2)
(0.3)
(0.2)
(30.9)
Var. %
60.8%
294.1%
52.0%
0.0%
289.9%
86.8%
EBITDA
Consolidated
Consolidated EBITDA- R$ MM
Distribution
Generation
Commercialization
Others and eliminations
Total
Margem EBITDA (%)
2Q10
256.5
54.1
9.8
(1.3)
319.1
22.8%
2Q09
180.8
47.9
3.5
(11.6)
220.6
17.3%
Var.%
41.9%
12.9%
180.0%
-88.7%
44.6%
-
1H10
522.2
100.9
11.8
(3.5)
631.4
21.1%
1H09
493.6
92.6
6.4
(22.5)
570.1
21.0%
Var.%
5.8%
8.9%
84.8%
-84.6%
10.8%
-
Consolidated EBITDA totaled R$319.1 million
in 2Q10, up 44.6% from 2Q09, primarily
fueled by the excellent performance of the
distribution company due to the year-over-
EBITDA per segment*
2Q10
Distribution
80%
year increase in free and captive market
consumption, in addition to the 2009effects
resulting from the tariff adjustment process in
Commercialization
3.1%
the distributor.
The EBITDA margin was 22.8%, 5.5 p.p.
Generation
17%
*Does not consider eliminations
higher than in 2Q09.
First-half EBITDA amounted to R$631.4 million, up 10.8% from 1H09, with an
EBITDA - 2Q10/2Q09 - R$ Million
44.6%
66
(16)
Net Revenue
Manageable Costs
(PMSO)
48
319
Provisions
EBITDA - 2Q10
221
EBITDA - 2Q09
EBITDA margin of 21.1%.
Distribution
The distribution company’s EBITDA totaled R$256.5 million in 2Q10, 41.9% above
the same last year period due to the increase in electricity consumption, which
grew by 2.9% on the captive market and 22.2% on the free market, and the effect
of the last tariff adjustment, noted in 2009, with the reduction in regulatory
EBITDA. The EBITDA margin was 19.6%, 4.6 p.p. above 2Q09.
In the first half, the distribution company’s EBITDA amounted to R$522.2 million,
5.8% more than in the first six months of 2009, also mainly driven by healthy
electricity consumption in 1H10. The EBITDA margin was 18.5%, 0.7 p.p. below
1H09.
Generation
Light Energia’s EBITDA increased by 12.9% over 2Q09 to R$54.1 million in 2Q10,
mainly due to the 20.3% reduction in operating costs and expenses, impacted by
elimination of the charge for the use of the core network as of July 2009. The
EBITDA margin was 74.0%, 8.8 p.p. above 2Q09.
First-half EBITDA stood at R$100.9 million, 8.9% above 1H09, mainly reflecting the
combined effects of the 1.7% increase in net revenue, due to contractual
adjustments, and the 8.8% reduction in costs, driven by the elimination of the
charge for the use of the core network. The EBITDA Margin in 1H10 was 68.3%, 4.5
p.p. above 1H09.
Commercialization and Services
Commercialization and services EBITDA totaled R$9.8 million in 2Q10, 180.0%
above 2Q09, mainly due to energy sales volume growth from trading and
brokerage activities and the increase in service activities. The EBITDA margin was
26.9% in 2Q10.
First-half EBITDA amounted to R$11.8 million, up 84.8% from 1H09, with an
EBITDA margin of 17.1%.
Financial Result - R$ MM
Financial Revenues
Income - financial investments
Monetary and Exchange variation
Swap Operations
Others Financial Revenues
Financial Expenses
Interest over loans and financing
Monetary and Exchange variation
Braslight (private pension fund)
Swap Operations
Others Financial Expenses
Total
2Q10
51.7
12.3
15.3
(0.0)
24.2
(84.3)
(59.0)
(21.2)
(28.9)
(0.2)
25.0
(32.6)
2Q09
39.3
10.5
9.1
(7.2)
26.9
(50.8)
(47.2)
3.8
(11.3)
(2.6)
6.4
(11.5)
(%)
31.8%
17.8%
68.7%
-10.3%
66.0%
25.2%
156.0%
-92.6%
291.0%
182.3%
1H10
96.2
28.7
18.1
0.0
49.3
(226.6)
(115.9)
(42.8)
(67.6)
0.1
(0.3)
(130.4)
1H09
85.5
27.9
20.9
(8.3)
45.0
(121.8)
(99.1)
(10.1)
(20.5)
(2.6)
10.4
(36.3)
(%)
12.4%
3.1%
-13.6%
9.6%
86.0%
16.9%
324.4%
230.0%
259.4%
Consolidated Financial Result
The 2Q10 financial result was a negative R$32.6 million, versus a negative R$11.5
million in 2Q09. This result can be explained by the 66.0% increase in financial
expenses, partially offset by the 31.8% increase in financial revenues.
Financial revenues totaled R$51.7 million, 31.8% above the same last year period,
primarily due to the restatement of tax credits generated by the withdrawal of the
LIR and LOI process, which positively impacted the “other financial revenues” line
by R$9.6 million.
Financial expenses totaled R$84.3 million, 66.0% more than 2Q09, mainly due to:
(i) the increased monetary restatement related to the Braslight4 deficit in the
amount of R$17.6 million, stemming from the difference in the indexing agents
between the periods: 1.53% in 2Q10, versus -0.62% in 2Q09; (ii) the reversal of
non-recoverable costs in the amount of R$11.5 million referring to the 4th
debenture issue; (iii) fines for the violation of continuity indicators totaling R$4.2
million. In addition, the adhesion of the LIR and LOI process to the REFIS tax
repayment program was canceled, which had a positive impact of R$34.4 million on
the restatement of interest and fines in the “other financial expenses” line.
The 1H10 financial result was a negative R$130.4 million, versus a negative R$36.3
million in 1H09. In addition to the factors mentioned above, this increase was due
to the increased monetary restatement related to the Braslight 4 deficit in the
amount of R$40.7 million, and the payment of R$13.9 million in IOF (financial
operations tax) in connection with the winding up of the offshore company LIR in
1Q10. Financial revenue in 1H10 came to R$96.2 million, up 12.4% from 1H09, and
financial expenses amounted to R$226.6 million, up 86.0% on a year-over-year
basis.
Until May 2009 these were adjusted according to the IGP-DI variation (with a one month lag) and
actuarial interest of 6% p.a. Since June 2009, they have been adjusted according to the variation in the
IPCA (with a one month lag), which replaced the IGP-DI.
4
Indebtedness
R$ MM
Brazilian Currency
Debenture 4th Issue
Debenture 5th Issue
Debenture 6th Issue
BNDES FINEM (CAPEX)
CCB Bradesco
Working Capital - ABN Amro
Financial operations "Swap"
Others
Foreing Currency
National Treasury
Import Financing
Short Term
601.7
0.0
86.7
299.9
94.3
30.0
82.7
5.6
2.3
15.1
14.4
0.7
%
23.7%
0.0%
3.4%
11.8%
3.7%
1.2%
3.3%
0.2%
0.1%
0.6%
0.6%
0.0%
Long Term
1,835.8
0.1
835.5
616.8
24.3%
1,918.1
Gross Debt
Cash
Net Debt (a)
Braslight (b)
Net Regulatory Asset (c)
Adjusted Net Debt (a+b-c)
93.6
20.5
546.1
450.0
0.0
4.0
82.3
82.3
878.2
(106.5)
%
Total
72.4% 2,437.4
0.0%
0.1
33.0%
922.3
299.9
21.5%
640.4
17.8%
480.0
82.7
0.0%
5.7
0.2%
6.3
3.2%
97.4
3.2%
96.7
0.7
%
96.2%
0.0%
36.4%
11.8%
25.3%
18.9%
3.3%
0.2%
0.2%
3.8%
3.8%
0.0%
75.7% 2,534.8
729.7
1,805.2
971.7
(86.0)
2,862.9
100.0%
The Company closed 2Q10 with gross debt of R$2,534.8 million, 3.9% more than at
the end of the previous quarter, mainly as a result of the new R$121.2 million
BNDES loan for 2009-2010 CAPEX disbursed in June 2010. In a year-over-year
basis, the gross debt increased by 14.3%, or R$317.8 million, reflecting the
period’s
funding
operations,
especially: (i) the sixth debenture
issue,
whose
R$300.0
BNDES
total
million;
loans
impact
and
totaling
(ii)
Net Debt (ex-Braslight)
(R$ million)
was
new
1,647.4
1,523.8
Jun-09
Mar-10
R$286.1
1,805.2
million.
Jun-10
Net debt amounted to R$1,805.2 million, 18.5% more than the previous three
months, mainly due to the reduction in the cash position caused by the payment of
R$432.3 million in dividends in April 2010. On June 30, 2010, the net debt/EBITDA
ratio was 1.4x.
The Company’s debt has an
Indebtedness
(Brazilian Currency x Foreign)
average term to maturity of
3.3 years. The average cost of
Real-denominated
debt
5.1%
4.3%
3.8%
94.9%
95.7%
96.2%
Mar-10
Jun-10
was
10.9% p.a., 1.1 p.p. more
than that at the close of March
2010, while the average cost
of foreign-currency debt (US$
+5.3% p.a.) remained flat. At
Jun-09
Brazilian Currency
Foreign Currency
the end of June, only 3.8% of total debt was denominated in foreign currency and,
considering the FX hedge horizon, only 2.3% of this total was exposed to foreign
currency risk, 0.2 p.p. below March 2010. Light’s hedge policy consists of protecting
cash flow falling due within the next 24 months (principal and interest) through the
use of non-cash swap instruments with premier financial institutions.
Net Income
Light posted net income of R$98.3 million in 2Q10, 19.1% below 2Q09, mainly due
to: (i) EBITDA growth as a result of the strong performance of the captive and free
markets; (ii) the recognition in 2Q10 of provisions for taxes related to the LIR and
LOI process, which were removed from the REFIS program, and the recognition of
tax credits totaling R$118.4 million in 2Q09; (iii) other operating revenues totaling
R$10.8 million referring to the sale of land; and (iv) higher financial expenses.
First-half net income amounted to R$218.8 million, versus R$289.7 million in 1H09.
Net Income - 2Q10
R$ Million
(21.0)
98.5
121.4
(110.7)
98.3
10.0
2Q09
EBITDA
Financial
Result
Taxes
Others
2Q10
Capital Expenditures
The Company invested R$249.0
CAPEX (R$ MM)
million in 1H10, R$98.4 million of
which
in
of
203.9
and
transmission
17.4
(new
connections,
the
distribution
networks
development
1.9
11.8
172.8
22.1%
249.0
0.7
43.1
11.7
193.5
capacity increases and repairs);
R$37.4
million
improvements
and
in
quality
2Q09
preventive
maintenance efforts; and R$50.0
Distribution
Administration
2Q10
Generation
Commercial.
million in network protection, electronic meters and fraud regularization. Generation
investments totaled R$43.1 million, R$34.1 million of which refers to the new
generation projects and R$25.9 million of this to the Paracambi SHP project
In 2010 Light intends to invest R$706 million to be allocated as follows: R$513
million to distribution, R$117 million to generation (R$84 million of which to new
projects) and R$76 million to administration and other businesses.
Generation Capacity Expansion Projects
2Q10 was marked by the following events related to projects for expanding Light’s
generating capacity:
•
Construction of the Paracambi SHP, which began in November of 2009, is
well under way, with the signing of a BNDES financing contract expected in the
second half of the year.
•
Construction of New Feeder 1, part of the Lajes SHP water channeling
system, is under way and scheduled for completion in November 2010.
•
The basic engineering project of the Itaocara hydroelectric project is
currently being analyzed by ANEEL, and the environmental studies are awaiting
approval
from
IBAMA,
so
that
the
Company
can
move
ahead
with
the
environmental licensing process, which includes the holding of public hearings and
the subsequent issue of preliminary and installation licenses, conditions that must
be met before the project can be implemented;
•
The two wind energy projects acquired at the beginning of the year, located
in Aracati (CE) and with total installed capacity of 31 MW, were registered with the
EPE to take part in the Reserve and Alternative Sources energy auctions to be held
on August 25 and 26.
•
In addition to these projects, the Company is considering participating in
several other generation undertakings, aiming to increase its installed generating
capacity.
Cash Flow
R$ MM
Cash in the Beginning of the Period (1)
Net Income
Provision for Delinquency
Depreciation and Amortization
Net Interests and Monetary Variations
Braslight
Atualization / provisions reversal
Others
Net Income Cash Basis
Working Capital
Regulatories (CVA e Bubble)
Contingencies
Taxes
Others
Cash from Operating Activities (2)
Dividends Payment
Finance Obtained
Debt Service and Amortization
Financing Activities (3)
Share Participations
Concession Investments
Assets Alienation
Investment Activities (4)
Cash in the End of the Period (1+2+3+4)
Cash Generation (2+3+4)
2Q10
915.4
98.3
75.3
78.8
52.7
28.8
(37.4)
40.2
336.6
8.4
50.0
(27.2)
32.6
(46.9)
353.5
(432.3)
131.9
(99.6)
(400.1)
(152.0)
12.9
(139.2)
729.7
(185.7)
2Q09
736.3
121.4
66.5
76.1
45.9
11.3
18.4
(54.8)
284.8
37.2
68.7
(34.9)
28.9
(25.7)
359.0
(407.9)
101.3
(91.4)
(398.0)
(128.9)
1.2
(127.7)
569.6
(166.6)
1H10
828.4
218.8
138.8
155.2
105.5
61.1
(7.7)
20.8
692.5
(144.0)
148.6
(59.0)
4.9
24.8
667.8
(432.3)
881.9
(939.6)
(490.1)
6.4
(296.3)
13.6
(276.4)
729.7
(98.7)
The Company closed 2Q10 with a cash position of R$729.7 million, up R$160.1
million from the same last year period. In the quarter, cash flow was negative by
R$185.7 million, mainly due to the payment of R$432.3 million in dividends in April.
Cash flow before the dividend payments was R$246.6 million, R$241.2 million more
than that generated in the same last year quarter.
In terms of financing activities, the result was in line with the same last year
quarter. The net result between funding and amortizations was R$22.4 million
above 2Q09, and was offset by the R$24.5 increase in dividend payments.
Cash allocated to investing activities increased by R$11.5 million on a year-overyear basis, primarily due to the greater volume of investments planned for 2010.
Corporate Governance and the Capital Markets
On June 30, 2010, the capital stock of Light S.A. comprised 203,934,060 common
shares with no par value.
Controlling Shareholders
52,13%
CEMIG
Companhia
Energética de MG
AGC
Andrade Gutierrez
Concessões
LEPSA
LUCE
Empreendimentos
Participações S.A.
RME
Rio Minas Energia
13,03%
13,03%
0,53%
25,53%
Free Float
47,87%
BNDESPAR
EDFI
MINORITÁRIOS
24,91 %
22,96 %
LIGHT S.A
(Holding)
100%
LIGHT
Serviços de
Eletricidade
S.A
100%
100%
100%
100%
LIGHT
Energia S.A.
LIGHT
ESCO
Prestação de
Serviços S.A.
LIGHTGER
S.A.
ITAOCARA
Energia Ltda
100%
100%
LIGHTCOM LIGHTHIDRO
Comercializ.
Ltda
de Energia S.A.
100%
INSTITUTO
LIGHT
51%
AXXIOM
Soluções
Tecnológicas S.A.
The following chart represents Light’s shareholding structure on the same date:
On April 1, 2010, Light S.A. paid dividends of R$432.3 million relative to the fiscal
year 2009, equivalent to R$2.12 per share. The resolution on the payment of
dividends was made at the Annual and Extraordinary Shareholders’ Meeting (AGOE)
held from March 22 to March 24, 2010.
The Company’s Board of Directors meeting held on April 9, 2010: (i) ratified the
names of the executive officers of Light S.A. and Light SESA, appointed by the
AGOE; (ii) elected Mr. Sérgio Alair Barroso as Chairman and Mr. Aldo Floris as ViceChairman of the Board of Directors of Light S.A. and Light S.E.S.A.
On June 11, 2010, Light S.A. executed a Private Instrument of Onerous Assignment
BOVESPA (spot market) - LIGT3
Daily Average
Number of shares traded (Thousand)
Number of Transactions
Traded Volume (R$ Million)
Quotation per shares: (Closing)*
Share Valuing (Quarter)
IEE Valuing (Quarter)
Ibovespa Valuing (Quarter)
*Ajusted by earnings
2Q10
689.08
1,521
$15.0
$21.02
-12.7%
-0.6%
-13.4%
1Q10
857.17
1,785
$21.8
$24.07
0.5%
-0.4%
2.6%
2Q09
286.26
691
$6.9
$24.37
21.5%
22.1%
25.8%
of Shares and Other Covenants, through which it acquired a total of three million,
six hundred and seventy-two thousand (3,672,000) common shares issued by
Axxiom Soluções Tecnológicas S.A. (“Axxiom”), a corporation headquartered in the
city of Nova Lima, in the state of Minas Gerais, whose corporate purpose is to
provide technology solutions and systems for the operational management of public
utility concessionaires, including electric power companies. The shares acquired by
the Company correspond to fifty-one percent (51%) of Axxiom’s capital stock. The
acquisition price was three million, nine hundred and seventy-five thousand, six
hundred and thirty-six reais (R$3,975,636.00).
Light x Ibovespa x IEE
Base jan/09 = 100 until 07/30/2010
200
180
160
2009
IEE
59%
IBOV 83%
LIGT3 34%
2010
IEE
IBOV
LIGT3
2%
-2%
-8%
80% Ibovespa
63% IEE
140
23% Light
120
100
80
60
R$/share
02/01/09
30/07/10
19,25
22,00
De
c0
Ja 8
n0
Fe 9
bM 09
ar
-0
Ap 9
rM 09
ay
-0
Ju 9
n0
Ju 9
lAu 09
g0
Se 9
p0
O 9
ct
-0
No 9
vDe 0 9
c0
Ja 9
nFe 1 0
b1
M 0
ar
-1
Ap 0
rM 10
ay
-1
Ju 0
n1
Ju 0
l-1
0
40
Recent Events:

On July 7, 2010, the risk rating agency Moody’s Investors Service reaffirmed
Light S.A.’s Ba1 local currency corporate rating and Aa2 Brazilian National Scale
corporate rating, both with a stable outlook. It also maintained the Ba1 local
currency rating and the Aa2.br Brazilian National Scale rating for the 6th
offering of unsecured debentures with a two-year term, issued on the local
market on June 1, 2009 by the subsidiary Light SESA.

On July 22, 2010, the risk rating agency Standard & Poor’s reaffirmed the
br.A+ Brazilian National Scale rating, with a stable outlook, for Light SESA, as
well as for the latter's 5th and 6th debenture issues.
Disclosure Program
Schedule
Teleconference
08/10/2010, Tuesday, at 11:00 a.m. (Brazilian Time) and at 10:00 a.m. (NY
Time), with simultaneous translation to English
Access conditions:
Webcast: link on site www.light.com.br (portuguese and english)
Conference Call - Dial number:
Brazil: (55) 11 - 4688-6361
USA: +1 (888) 700 0802
Other countries: +1 (786) 924 6977
Access code: Light
APIMEC SP
08/18/2010, Wednesday, 8:30 a.m at Renaissance Hotel
APIMEC Porto Alegre
09/09/2010, Thursday, 6:00 p.m at Sheraton Hotel
Disclaimer
The information on the Company’s operations and its Management’s expectations regarding its future
performance has not been revised by independent auditors.
Forward-looking statements are subject to risks and uncertainties. These statements are based on the
beliefs and assumptions of our Management and on information currently available to the Company.
Statements about future events include information about our intentions, beliefs or current expectations,
as well as those of the Company's Board of Directors and Officers. Reservations related to statements
and information about the future also include information about operating results, likely or presumed, as
well as statements that are preceded by, followed by, or including words such as "believes," "might,"
"will," "continues," "expects," "estimates," "intends," "anticipates," or similar expressions. Statements
and information about the future are not a guarantee of performance. They involve risks, uncertainties
and assumptions because they refer to future events, thus depending on circumstances that may or may
not occur.
Future results and creation of value to shareholders might significantly differ from those
expressed or suggested by forward-looking statements. Many of the factors that will determine these
results and values are beyond LIGHT S.A.'s control or forecast capacity.
APPENDIX I
LIGHT SESA
Operating Revenue
Deductions from the operating revenue
Net operating revenue
Operating expense
Operating result
EBITDA
Equity equivalence
Financial Result
Other Operating Incomes
Other Operating Expenses
Result before taxes and interest
Net Income
EBITDA Margin
2Q10
2,124.0
(814.4)
1,309.7
(1,125.6)
184.1
256.5
(23.4)
10.8
171.5
68.2
19.6%
2Q09
%
1,981.2
7.2%
(777.7)
4.7%
1,203.5
8.8%
(1,092.6)
3.0%
110.9
65.9%
180.8
41.9%
(16.4)
42.1%
1.6
(4.3) -100.0%
91.8
87.0%
99.4
-31.4%
15.0%
-
1H10
4,507.3
(1,691.6)
2,815.7
(2,436.2)
379.5
522.2
(111.1)
10.8
(0.2)
279.0
169.6
18.5%
LIGHT ENERGIA
Operating Revenue
Deductions from the operating revenue
Net operating revenue
Operating expense
Operating result
EBITDA
Equity equivalence
Financial Result
Other Operating Incomes
Other Operating Expenses
Result before taxes and interest
Net Income
EBITDA Margin
2Q10
83.3
(10.2)
73.1
(25.2)
47.9
54.1
(9.9)
38.0
24.3
74.0%
2Q09
83.1
(9.7)
73.4
(31.6)
41.8
47.9
4.7
0.4
46.9
31.4
65.2%
%
0.2%
5.8%
-0.5%
-20.3%
14.4%
12.9%
-19.1%
-22.5%
-
1S10
169.3
(21.7)
147.6
(59.0)
88.7
100.9
(20.7)
67.9
44.0
68.3%
1S09
%
165.5
2.3%
(20.4)
6.3%
145.1
1.7%
(64.7)
-8.8%
80.5
10.2%
92.6
8.9%
(1.4) 1379.7%
0.4
79.4
-14.5%
52.4
-16.1%
63.8%
-
COMMERCIALIZATION
Operating Revenue
Deductions from the operating revenue
Net operating revenue
Operating expense
Operating result
EBITDA
Equity equivalence
Financial Result
Other Operating Incomes
Other Operating Expenses
Result before taxes and interest
Net Income
EBITDA Margin
2Q10
44.4
(8.0)
36.4
(26.8)
9.6
9.8
0.1
9.7
5.9
26.9%
2Q09
23.3
(4.3)
19.1
(15.7)
3.3
3.5
0.2
3.5
2.3
18.3%
%
90.1%
86.1%
91.0%
70.3%
188.2%
180.0%
-34.5%
177.6%
159.5%
-
1S10
82.8
(13.6)
69.2
(57.7)
11.5
11.8
0.5
12.1
7.6
17.1%
1S09
45.9
(8.9)
37.0
(30.9)
6.1
6.4
0.4
6.5
4.1
17.3%
Statement of Income by Activity - R$ million
1H09
4,223.7
(1,650.4)
2,573.3
(2,219.7)
353.6
493.6
(36.1)
7.7
(5.1)
320.0
254.8
19.2%
%
6.7%
2.5%
9.4%
9.8%
7.3%
5.8%
207.6%
41.3%
-95.2%
-12.8%
-33.5%
-
%
80.3%
51.5%
87.2%
86.8%
89.1%
84.8%
39.0%
86.1%
83.0%
-
APPENDIX II
Statement of Consolidated Income
Consolidated - R$ MM
OPERATING REVENUE
DEDUCTIONS FROM THE REVENUE
NET OPERATING REVENUE
OPERATING EXPENSE
Personnel
Material
Outsourced Services
Purchased Energy
Depreciation
Provisions
Others
2Q10
2,233.3
(832.5)
2Q09
2,064.9
(791.6)
%
8.2%
5.2%
1H10
4,721.8
1H09
4,390.6
%
7.5%
(1,726.8)
(1,679.7)
2.8%
1,400.7
1,273.3
10.0%
2,995.0
2,710.9
10.5%
(1,160.5)
(56.8)
(8.1)
(82.5)
(873.1)
(78.8)
(37.1)
(24.0)
(1,128.8)
(62.7)
(6.5)
(63.9)
(811.9)
(76.1)
(85.0)
(22.8)
2.8%
-9.3%
25.0%
29.1%
7.5%
3.6%
-56.3%
5.4%
(2,518.8)
(107.8)
(16.9)
(166.4)
(1,888.1)
(155.2)
(138.7)
(45.7)
(2,293.1)
(124.8)
(10.9)
(122.7)
(1,683.8)
(152.4)
(150.6)
(47.9)
9.8%
-13.6%
54.5%
35.6%
12.1%
1.8%
-7.9%
-4.6%
OPERATING RESULT(¹)
240.3
144.5
66.3%
476.3
417.7
14.0%
EBITDA (²)
319.1
220.6
44.6%
631.4
570.1
10.8%
FINANCIAL RESULT
Financial Income
Financial Expenses
(32.6)
51.7
(84.3)
(11.5)
39.3
(50.8)
182.3%
31.8%
66.0%
(130.4)
96.2
(226.6)
1.9
(4.3)
467.8%
-
10.84
(0.24)
Other Operating Incomes
Other Operating Expenses
10.8
-
(36.3) 259.4%
85.5
12.4%
(121.8)
86.0%
8.0
(5.1)
35.1%
-95.2%
RESULT BEFORE TAXES AND INTEREST
218.6
130.6
67.4%
356.5
384.3
SOCIAL CONTRIBUTIONS & INCOME TAX
DEFERRED INCOME TAX
PLR
(67.0)
(45.9)
(7.3)
(74.0)
71.7
(6.9)
-9.4%
6.9%
(116.5)
(11.4)
(9.8)
(107.6)
27.1
(14.1)
8.3%
-30.5%
218.8
289.7
-24.5%
NET INCOME
98.3
121.4
-19.1%
-7.2%
(¹) Operation Result, Administration vision = Operating Result, accounting norms (Item 1.9.7 of Notice CVM – 01/2007) + financials
(net financial expenses + equity pick-up).
(²) EBITDA = Operating Result, Administration vision + depreciation and amortization. Not reviewable by the external audit.
(*) The consolidated financial statements include the Light S.A. and its subsidiaries and affiliates. These financial statements were
eliminated from equity consolidated companies, the balances of receivables and payables, revenues and expenses between the
companies.
APPENDIX III
Consolidated Balance Sheet
Consolidated Balance Sheet - R$ MM
ASSETS
Circulating
Cash & Cash Equivalents
Credits
Inventories
Others
Non Circulating
Realizable in the Long Term
Miscellaneous Credits
Others
Investments
Net Fixed Assets
Intangible
Total Assets
LIABILITIES
Circulating
Loans and Financing
Debentures
Suppliers
Taxes, Fees and Contributions
Dividends to pay
Provisions
Others
06/30/2010 03/31/2010
2,923.6
3,334.7
729.7
915.4
1,980.0
2,131.7
20.2
26.0
193.7
261.6
6,105.5
1,342.0
1,046.2
295.8
6,104.1
1,411.1
1,152.8
258.3
22.7
4,460.1
280.7
19.3
4,394.0
279.7
9,029.0
9,438.8
06/30/2010 03/31/2010
1,947.4
2,103.0
230.1
209.9
386.7
94.3
493.8
549.9
207.6
147.5
0.0
432.3
164.7
177.2
464.5
491.9
Non Circulating
Long-Term Liabilities
Loans and Financing
Debentures
Provisions
Debt with Related Parties
Others
3,988.0
3,988.0
1,082.4
835.6
637.9
0.1
1,432.1
4,340.4
4,340.4
985.7
1,149.4
692.3
0.0
1,513.0
Shareholders' Equity
Realized Joint Stock
Capital Reserve
Legal Reserve
Profits Retention
Accumulated Profit/Loss of Exercise
3,093.6
2,225.8
0.0
134.0
515.0
218.8
2,995.4
2,225.8
0.0
134.0
515.0
120.6
Total Liabilities
9,029.0
9,438.8
APPENDIX IV
Regulatory Assets and Liabilities
REGULATORY ASSETS R$ MM
Customers, Concessionaires and Permissionaires
Tariff Readjustment - TUSD (included in the tariff)
Prepaid Expenses
CVA
Other Regulatories
Total
Short Term
Long Term
06/30/2010 03/31/2010 06/30/2010 03/31/2010
2.5
1.1
2.5
1.1
85.5
167.5
78.7
44.6
68.5
134.1
78.7
44.6
17.0
33.4
88.1
168.5
78.7
44.6
REGULATORY LIABILITIES R$ MM
Suppliers
(54.2)
Free Energy - Net
(54.2)
Regulatory Liabilities
(13.4)
Part A
(6.2)
CVA
(1.2)
Other Regulatories
(6.0)
Provision for Regulatory Liabilities - TUSD
Provision for Regulatory Liabilities - Energy Overcontracting (d)
Provision for Regulatory Liabilities - Neutrality of Part A (e)
Total
(67.6)
TOTAL
20.5
(54.2)
(54.2)
(25.9)
(12.1)
(2.2)
(11.6)
(80.1)
88.5
(185.2)
(55.6)
(5.8)
(95.2)
(28.6)
(185.2)
(106.5)
(149.6)
(34.5)
(97.4)
(17.7)
(149.6)
(105.0)
Light in Figures
OPERATING INDICATORS
Nº of Consumers (thousand)
Nº of Employees
Average provision tariff - R$/MWh
Average provision tariff - R$/MWh (w/out taxes)
Average energy purchase cost¹ - R$/MWh
Installed generation capacity (MW)
Assured Energy (MW)
Net Generation (GWh)
Load Factor
¹Includes purchase on spot
2Q10
4,028
3,730
408.2
277.6
98.7
855
537
1,301
64.2%
2Q09
3,956
3,734
411.9
282.9
110.2
855
537
1,309
65.7%
Var. %
1.8%
-0.1%
-0.9%
-1.9%
-10.4%
-0.6%
-
Light S.A.
Report of independent auditors on special
review of the Quarterly Information (ITR)
June 30, 2010
(A translation of the original report in Portuguese, as filed with the
Brazilian Securities and Exchange Commission (CVM) containing
quarterly information prepared in accordance with the regulations
issued by CVM)
Review Report of Independent Auditors
(A translation of the original report in Portuguese, as filed with the Brazilian Securities and
Exchange Commission (CVM) containing quarterly information prepared in accordance with
the regulations issued by CVM)
To the
Board of Directors and Shareholder’s of
Light S.A.
Rio de Janeiro - RJ
1. We have reviewed the accounting information included in the Quarterly Information - ITR of Light S.A. (“The Company”) and in the consolidated Quarterly Information of the
Company and its subsidiaries for the quarter ended June 30, 2010, comprising the balance
sheet, the statements of income, of changes in shareholders’ equity and of cash flows, the
explanatory notes and the management report which are the responsibility of its
management.
2. Our review was performed in accordance with the review standards established by the
IBRACON - Brazilian Institute of Independent Auditors and the Federal Council of
Accountancy - CFC, which comprised, mainly: (a) inquiries and discussions with the
persons responsible for the Accounting, Financial and Operational areas of the Company
and its subsidiaries, as to the main criteria adopted in the preparation of the Quarterly
Information; and (b) reviewing information and subsequent events that have or may have
material effects on the financial situation and operations of the Company and its
subsidiaries.
3. Based on our review, we are not aware of any material changes that should be made to the
accounting information contained in the Quarterly Information aforementioned for it to be
in accordance with the accounting practices adopted in Brazil and the standards issued by
the Brazilian Securities and Exchange Commission - CVM, applicable to the preparation of
the Quarterly Information.
4. As mentioned in Note 2, CVM has approved, throughout 2009, several accounting
pronouncements, interpretations and orientations issued by the Accounting Pronouncements
Committee (CPC), which are effective for 2010, and change the accounting practices
adopted in Brazil. As permitted by Deliberation CVM nº 603/09, Company’s Management
opted to present its Quarterly Information using the accounting practices adopted in Brazil
as of December 31, 2009, and therefore not applying those Standards in force for 2010. As
required by Deliberation CVM nº 603/09, the Company has disclosed in note 2 this fact,
the description of the main changes which may impact its financial statements for the year
ending, and the reasons which did not allow to present estimate of possible effects on the
30
shareholders’ equity and statement of income, as required by the aforementioned
Deliberation.
5. The financial statements of Fundação de Seguridade Social Braslight for the three-month
period ended March 31, 2010, were examined by other independent auditors whose opinion,
dated May 6, 2010, includes an emphasis paragraph regarding the balance of R$138,593
thousand related to tax credits arising from the Entity’s tax court case which was successful
in obtaining a final and non-appealable decision, which, according to the Management’s
forecast, will allow them to utilize these credits to offset taxes payable in future years. The
future realization of the credits is subject to the completion of the offset process with the
Federal Tax Authority (Secretaria da Receita Federal), which the Entity suspended in
September 2005. If the Entity does not complete the offset process, they may eventually
record a provision for this asset. This asset, which guarantees the Entity’s actuarial reserves,
was deducted from calculation of the subsidiaries’ actuarial deficit, as required by
Resolution 371/00 of the Brazilian Securities and Exchange Commission - CVM.
Consequently, in the event that a provision is recorded for this amount, Company’s liability
will be proportionally adjusted.
Rio de Janeiro, August 4, 2010
KPMG Auditores Independentes
CRC SP-014428/O-6 F-RJ
Vânia Andrade de Souza
Accountant CRC RJ-057497-O-2
31
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
LIGHT S.A.
BALANCE SHEET AS OF JUNE 30, 2010
( In thousands of reais )
ASSETS
Notes
CURRENT
Cash and Cash Equivalents
Consumers, concessionaires and permissionaires
Recoverable Taxes
Inventories
Receivables from swap transactions
Services
Prepaid Expenses
Other receivables
4
5
6
27
7
8
NON-CURRENT
LONG-TERM ASSETS
Consumers, concessionaires and permissionaires
Recoverable Taxes
Receivables from swap transactions
Escrow deposits
Prepaid expenses
Other receivables
Investments
Property, Plant and Equipment
Intangible assets
5
6
27
7
8
9
10
11
Parent Company
6/30/2010
3/31/2010
Consolidated
6/30/2010
3/31/2010
3,787
885
63
2,078
6,813
434,435
851
119
1,558
436,963
729,673
1,255,284
530,051
20,174
194,683
90,563
103,132
2,923,560
915,418
1,413,767
550,355
25,977
118
167,431
171,249
90,356
3,334,671
3,088,835
2,993,020
6,105,490
6,104,067
180
180
180
180
282,850
763,278
45
208,280
79,683
7,865
1,342,001
282,571
870,227
203,875
45,753
8,667
1,411,093
3,087,914
741
3,095,648
2,992,171
669
3,429,983
22,710
4,460,058
280,721
9,029,050
19,257
4,393,971
279,746
9,438,738
32
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
LIGHT S.A.
BALANCE SHEET AS OF JUNE 30, 2010
( In thousands of reais )
LIABILITIES
Notes
CURRENT
Suppliers
Payroll
Taxes
Loans, Financing and Financial Charges
Debentures and Financial Charges
Dividends Payable
Estimated Liabilities
Sector charges – Consumer Contributions
Pension plan and other employee benefits
Other Liabilities
12
6
13
14
15
18
17
NON-CURRENT
Parent Company
6/30/2010
3/31/2010
Consolidated
6/30/2010
3/31/2010
129
25
10
103
1,745
2,012
248
141
130
432,340
202
1,561
434,622
493,791
1,613
207,649
230,072
386,713
44,532
120,142
93,590
369,266
1,947,368
549,879
3,219
147,533
209,857
94,327
432,340
53,458
123,781
94,588
394,048
2,103,030
-
-
3,988,046
4,340,347
-
-
1,082,442
835,612
174,013
637,855
60
878,159
379,905
3,988,046
985,684
1,149,358
301,199
692,336
871,410
340,360
4,340,347
2,225,822
648,989
133,999
514,990
218,825
3,093,636
2,225,822
648,989
133,999
514,990
120,550
2,995,361
2,225,822
648,989
133,999
514,990
218,825
3,093,636
2,225,822
648,989
133,999
514,990
120,550
2,995,361
3,095,648
3,429,983
9,029,050
9,438,738
LONG-TERM LIABILITIES
Loans, Financing and Financial Charges
Debentures and Financial Charges
Taxes
Provision for contingencies
Debts with related parties
Pension plan and other employee benefits
Other Liabilities
SHAREHOLDERS' EQUITY
Capital stock
Profits Reserve
Legal Reserve
Profit Retention
Capital Reserve
Recognized granted options
Treasury Shares
Retained earnings (accrued losses)
13
14
6
16
18
17
20
20
33
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
LIGHT S.A.
INCOME STATEMENT FOR THE YEARS ENDED JUNE 30, 2010 AND 2009
(in thousands of reais)
Notes
OPERATING REVENUE
Electric Power Supply
Electric Power Supply
Other Revenues
Deductions from operating revenue
ICMS
Consumer Charges
PIS/COFINS
Other
21
21
22
23
NET OPERATING REVENUE
Parent Company
4/1/2010 to 6/30/2010
Parent Company
1/1/2010 to 6/30/2010
Parent Company
4/1/2009 to 6/30/2009
Parent Company
1/1/2009 to 6/30/2009
Consolidated
4/1/2010 to 6/30/2010
Consolidated
1/1/2010 to 6/30/2010
Consolidated
4/1/2009 to 6/30/2009
Consolidated
1/1/2009 to 6/30/2009
-
-
-
-
1,919,916
108,343
204,993
2,233,252
4,118,218
205,030
398,577
4,721,825
1,832,084
94,746
138,086
2,064,916
3,933,474
178,897
278,180
4,390,551
-
-
-
-
(566,673)
(131,084)
(134,070)
(694)
(1,177,719)
(270,302)
(276,611)
(2,169)
(508,127)
(186,252)
(96,833)
(406)
(1,075,675)
(377,482)
(224,874)
(1,670)
-
-
-
-
(832,521)
(1,726,801)
(791,618)
(1,679,701)
-
-
-
-
1,400,731
2,995,024
1,273,298
2,710,850
-
-
-
-
(873,082)
(1,888,117)
(811,854)
(1,683,847)
-
-
-
-
(873,082)
(1,888,117)
(811,854)
(1,683,847)
-
-
-
-
(35,826)
(6,626)
(35,932)
(69,569)
(2,471)
(67,949)
(13,855)
(72,471)
(137,001)
(6,579)
(46,045)
(5,299)
(27,984)
(67,177)
(4,274)
(78,634)
(8,966)
(53,439)
(134,587)
(8,973)
-
-
-
-
(150,424)
(297,855)
(150,779)
(284,599)
-
-
-
-
377,225
809,052
310,665
742,404
(1,317)
(1,317)
(3,491)
(3,491)
(11,623)
(11,623)
(22,466)
(22,466)
(98,339)
(38,617)
(136,956)
(185,012)
(147,766)
(332,778)
(86,630)
(79,539)
(166,169)
(164,063)
(160,633)
(324,696)
99,438
221,982
133,012
311,336
-
-
-
-
183
(2)
181
370
370
268
(218)
50
1,103
(241)
862
51,736
(84,286)
(32,550)
96,166
(226,562)
(130,396)
39,259
(50,789)
(11,530)
85,528
(121,810)
(36,282)
ELECTRIC POWER COST
Electric Power Purchased for Resale
OPERATING COST
Personnel
Material
Outsourced services
Depreciation and amortization
Other
25
24
24
24
24
24
GROSS OPERATING PROFIT
OPERATING EXPENSES
Selling
General and Administrative
24
24
EQUITY IN THE EARNINGS OF SUBSIDIARIES
FINANCIAL REVENUES (EXPENSES)
Revenues
Expenses
26
26
OTHER OPERATING REVENUES (EXPENSES)
Revenues
Expenses
INCOME BEFORE TAXES
AND INTEREST
Current income tax and social contributions
Deferred income tax and social contributions
INCOME BEFORE INTEREST
Interest
NET INCOME FOR THE PERIOD
Earnings per share – R$
No. of shares, Ex-Treasury
6
6
-
-
-
-
10,839
-
10,839
(244)
1,909
(4,293)
8,023
(5,126)
98,302
218,861
121,439
289,732
218,558
356,473
130,582
384,323
-
-
-
(67,038)
(45,907)
(116,454)
(11,410)
(73,953)
71,674
(107,578)
27,054
98,302
218,861
121,439
289,732
105,613
228,609
128,303
303,799
(27)
(36)
(2)
(7)
(7,338)
(9,784)
(6,866)
(14,074)
98,275
218,825
121,437
289,725
98,275
218,825
121,437
289,725
0.48190
1.07302
0.59547
1.42068
0.48190
1.07302
0.59547
1.42068
203,934,060
203,934,060
203,934,060
203,934,060
203,934,060
203,934,060
203,934,060
203,934,060
34
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
Brazilian Corporation Law
LIGHT S.A.
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
LIGHT - S.A.
DEMONSTRAÇÃO DAS MUTAÇÕES DO PATRIMÔNIO LÍQUIDO TRIMESTRE FINDO EM 30 DE JUNHO DE 2010
( Em milhares de reais )
CAPITAL
SOCIAL
2,225,822
SALDOS EM 31/03/10
Aumento do Capital Social
Dividendos pagos - reserva de lucros
Opções Outorgadas exercidas
Transf.de Opções não Exercidas
Lucro líquido do período
SALDOS EM 30/06/10
2,225,822
RESERVAS
DE
CAPITAL
-
RESERVAS DE LUCRO
RETENÇÃO
DE
LUCROS
514,990
RESERVA
LEGAL
133,999
133,999
LUCROS
(PREJUÍZOS)
ACUMULADOS
120,550
514,990
TOTAL
2,995,361
98,275
98,275
218,825
3,093,636
LIGHT - S.A.
DEMONSTRAÇÃO DAS MUTAÇÕES DO PATRIMÔNIO LÍQUIDO SEMESTRE FINDO EM 30 DE JUNHO DE 2010
( Em milhares de reais )
SALDOS EM 31/12/09
Aumento do Capital Social
Dividendos pagos - reserva de lucros
Opções Outorgadas exercidas
Transf.de Opções não Exercidas
Lucro líquido do período
SALDOS EM 30/06/10
CAPITAL
SOCIAL
2,225,822
2,225,822
RESERVAS
DE
CAPITAL
28,045
(12,243)
(15,802)
-
RESERVAS DE LUCRO
RETENÇÃO
RESERVA
DE
LEGAL
LUCROS
133,999
499,188
133,999
LUCROS
(PREJUÍZOS)
ACUMULADOS
-
15,802
-
218,825
514,990
218,825
TOTAL
2,887,054
(12,243)
218,825
3,093,636
35
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
LIGHT - S.A.
DEMONSTRAÇÃO DOS FLUXOS DE CAIXA PERÍODOS FINDOS EM 30 DE JUNHO DE 2010 E DE 2009
( Em milhares de reais )
Controladora
01/04/2010 a 30/06/2010
01/01/2010 a 30/06/2010
Consolidado
01/04/2009 a 30/06/2009
01/01/2009 a 30/06/2009
01/04/2010 a 30/06/2010
01/01/2010 a 30/06/2010
01/04/2009 a 30/06/2009
01/01/2009 a 30/06/2009
Das operações
Lucro líquido do período
98,275
218,825
121,437
289,725
98,275
218,825
121,437
289,725
138,793
22,807
(8,057)
155,154
66,543
9,992
(5,619)
76,078
45,852
2,384
(71,674)
11,296
18,393
10,068
126,708
32,470
(11,419)
152,420
88,702
(2,788)
(27,054)
20,488
23,539
20,045
Despesas (receitas) que não afetam o caixa:
Provisão para devedores duvidosos
-
-
-
-
75,258
Atualização de ativos e passivos regulatórios e contingentes
-
-
-
-
5,727
Ajuste a valor presente de recebíveis
-
-
-
-
(3,436)
Depreciação e amortização
Resultado de Equivalência Patrimonial
-
(99,438)
-
(221,982)
-
78,787
-
(133,012)
-
(311,336)
-
105,493
(10,605)
11,410
61,122
(7,656)
-
Juros e variações monetárias - líquidas
-
-
-
-
52,749
Resultado na baixa de bens do imobilizado
-
-
-
-
(10,839)
Imposto de renda e contribuições social diferidos
-
-
-
-
45,907
Encargos e variação monetária de obrigações pós-emprego
-
-
-
28,826
Provisões no exigível - contingências
-
-
-
-
(37,436)
Opções outorgadas
-
-
10,068
-
20,043
-
2,804
(1,507)
(1,568)
336,622
692,485
284,750
712,365
-
-
85,894
70,310
(27,252)
5,803
(1,016)
(10,843)
182,617
(62,781)
(5,805)
(1,996)
118,345
(468)
(9,089)
(147)
(8,751)
123,615
(11,988)
14,379
(87,675)
116,118
(19,880)
(1,421)
(10,167)
196,952
(14,375)
67,236
Outras
(1,163)
(3,157)
-
-
5,199
-
(471)
(Aumento) Redução de ativos
Consumidores e revendedores
-
-
(34)
(111)
Serviços prestados
-
-
-
Estoques
-
-
-
Tributos a compensar
Despesas pagas antecipadamente (outros)
Dividendos Recebidos
(376)
-
56
112
44
88
29,146
461,486
407,868
407,868
Ativos regulatórios (CVA e Bolhas)
-
-
Depósitos vinculados a litígios
-
(28)
Outros
(27)
(520)
28,648
-
-
(30)
(30)
-
47,772
(4,405)
(12,719)
-
130,031
(7,760)
(19,295)
(500)
46
31
460,959
407,901
407,581
164,387
204,168
225,896
246,788
(6,219)
(97)
(213)
(48,137)
(22,253)
(6,229)
(177,723)
14,404
4,152
(51,235)
(45,804)
103,924
(38,152)
(42,842)
(14,177)
29,341
(34,746)
(350)
(22,867)
(23,177)
(4,630)
(27,229)
10,033
(6,542)
(58,904)
(89,828)
(23,193)
(37,709)
(46,531)
(21,644)
Aumento (Redução) de passivos
Fornecedores
(119)
-
-
283
1,330
172
141
(21,404)
(34,684)
(10,531)
(37,690)
8,645
(6,443)
(22,772)
(23,075)
453
(171)
(5,027)
246
86
(147,501)
(228,901)
(151,600)
(301,547)
452,775
406,640
406,099
353,508
667,752
359,046
657,606
-
-
Tributos e Contribuições Sociais
(215)
(120)
(95)
(43)
37
32
Contas de compensação - CVA
-
-
-
-
Taxas regulamentares
-
-
-
-
Fornecedores de energia
Salários e contribuições sociais
Contingências
Obrigações pós-emprego
Outros
Caixa gerado pelas operações
-
27,314
-
-
-
134
126
-
-
Atividades de investimento
Adiantamentos
-
-
1,533
1,533
Alienações de bens
-
-
-
-
Aplicações no imobilizado
-
-
-
-
(45,359)
-
-
51,749
-
(33,646)
-
Aquisição de ações
Recebimento ref. ações
Aumento de capital
Contribuições do consumidor
Participações Societárias
Caixa aplicado nas atividades de investimento
(21,646)
-
-
(3,976)
(3,976)
(25,622)
(31,232)
(432,340)
-
-
12,876
(152,330)
-
-
-
-
-
-
4,271
13,562
(297,904)
(45,359)
51,749
5,553
-
-
1,230
(130,221)
1,331
6,927
(242,665)
3,180
(36,388)
(3,976)
(3,976)
1,533
(34,855)
(139,159)
(276,375)
(127,660)
(232,558)
(407,868)
(407,868)
-
-
-
Atividades de financiamento
(432,340)
(432,340)
131,879
(99,633)
881,879
(939,615)
(407,868)
101,266
(91,420)
(407,868)
123,940
(161,609)
Caixa aplicado nas atividades de financiamento
(432,340)
(432,340)
(407,868)
(407,868)
(400,094)
(490,076)
(398,022)
(445,537)
Variação líquida do caixa
(430,648)
(10,797)
305
(36,624)
(185,745)
(98,699)
(166,636)
(20,489)
434,435
3,787
14,584
3,327
3,632
305
40,256
3,632
(36,624)
915,418
729,673
828,372
729,673
736,273
569,637
590,126
569,637
(185,745)
(98,699)
(166,636)
(20,489)
Dividendos Pagos
Empréstimos e financiamentos obtidos
Amortização de empréstimos e financiamentos
(432,340)
-
-
-
-
-
Demonstração da variação líquida de caixa
No inicio do período
No final do período
Variação no caixa
(430,648)
3,787
(10,797)
36
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
TABLE OF CONTENTS
1.
2.
OPERATIONS
PRESENTATION OF THE QUARTERLY INFORMATION
3.
REGULATORY ASSETS AND LIABILITIES
4.
5.
CASH AND CASH EQUIVALENTS
CONSUMERS, CONCESSIONAIRES, PERMISSIONAIRES AND CLIENTS
6.
7.
TAXES
PREPAID EXPENSES
8.
9.
OTHER RECEIVABLES
INVESTMENTS
10. PROPERTY, PLANT AND EQUIPMENT
11. INTANGIBLE ASSETS
12. SUPPLIERS
13. LOANS, FINANCING AND FINANCIAL CHARGES
14. DEBENTURES AND FINANCIAL CHARGES
15. REGULATORY CHARGES – CONSUMER CONTRIBUTIONS
16. PROVISION FOR CONTINGENCIES
17. OTHER PAYABLES
18. PENSION PLAN AND OTHER EMPLOYEE BENEFITS
19. RELATED-PARTY TRANSACTIONS
20. SHAREHOLDERS’ EQUITY
21. ELECTRIC POWER SUPPLY
22. OTHER REVENUE
23. CONSUMER CHARGES (OPERATING REVENUE DEDUCTIONS)
24. OPERATING COSTS AND EXPENSES
25. ELECTRIC POWER PURCHASED FOR RESALE
26. FINANCIAL INCOME
27. FINANCIAL INSTRUMENTS
28. INSURANCE
29. STATEMENT OF OPERATIONS BY COMPANY
30. LONG-TERM INCENTIVE PLAN
37
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
NOTES TO THE QUARTERLY INFORMATION
ON JUNE 30, 2010
(Amounts in thousands of Brazilian reais)
1. OPERATIONS
Light S.A.’s corporate purpose is to hold equity interests in other companies, as partner
or shareholder, and is involved in the direct or indirect exploitation, as applicable, of
electric power services, including electric power generation, transmission, sale and
distribution systems, as well as other related services.
Light S.A. is a parent company of the following companies:
Light Serviços de Eletricidade S.A. (Light Sesa) - Publicly-held corporation engaged in
the distribution of electric power;
Light Energia S.A. - (Light Energia) – Closely-held corporation whose main activity is
to study, plan, construct, operate and exploit systems of electric power generation,
transmission and sales, and related services.
Light Esco Prestação de Serviços S.A. - (Light Esco) – Privately-held corporation whose
main activity is the purchase, sale, import and export of energy and advisory services in
general in the energy market.
Lightcom Comercializadora de Energia S.A. (Lightcom) – Privately-held corporation
whose purpose is the purchase, sale, import and export of energy and advisory services
in general in the energy free and regulated markets.
Itaocara Energia Ltda. - (Itaocara Energia) – Company in the pre-operating stage,
primarily engaged in the execution of project, construction, installation, operation and
exploration of electric power generation plants.
Lightger S.A. (Light Ger) and Lighthidro Ltda.
(Light Hidro) – Both companies are
in the pre-operating stage and participate in auctions for concession, authorization and
permission for new plants. On December 24, 2008, Light Ger obtained the installation
license that authorizes the start of implementation works of Paracambi small
hydroelectric power plant (PCH).
Instituto Light para o Desenvolvimento Urbano e Social (Light Institute) – Non-profit
private limited company, engaged in participating in social and cultural projects, with
interest in the cities’ economic and social development, affirming the Company’s ability
to be socially responsible.
Axxiom Soluções Tecnológicas S.A. (Axxiom) – Privately-held corporation, whose
purpose is to offer technology solutions and systems for operating management of
38
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
public utilities companies, including electric power, gas, water and sewage, in addition
to other public utilities. It is jointly controlled by Light S.A (51%) and Companhia
Energética de Minas Gerais - CEMIG (49%), and the aforementioned interest was
acquired by Light S.A. in June 2010.
Grupo Light’s concessions and authorizations:
Concessions / Authorizations
Generation, transmission and distribution
PCH Paracambi
Itaocara Hydroelectric Power Plant
Date of Concession /
Authorization
Jul/1996
Feb/2001
Mar/2001
Maturity Date
Jun/2026
Feb/2031
Mar/2036
2. PRESENTATION OF THE QUARTERLY INFORMATION
The individual and consolidated quarterly information including the notes thereto, is
presented in thousands of reais and other currencies, except when otherwise indicated.
This quarterly information was prepared in accordance with the accounting practices
adopted in Brazil, which comprises the Brazilian corporation laws, pronouncements,
guidance and interpretations issued by the Brazilian Committee on Accounting
Pronouncements (CPC), rules issued by the Brazilian Securities and Exchange
Commission (CVM), and standards established by the Brazilian Electricity Regulatory
Agency (ANEEL) according to the Accounting Guide for the Electric Power Public
Utility.
This quarterly financial information - ITR was prepared according to the principles,
practices and criteria in conformity with those adopted in the preparation of the annual
financial statements as of December 31, 2009 and the quarterly information as of March
30, 2010. Thus, this quarterly financial information should be read together with said
annual financial statements.
Given that the Company is comprised primarily of interests in other corporations, the
notes to the quarterly financial information primarily reflect the accounting practices and
breakdown of its subsidiaries accounts.
The consolidated quarterly financial information was prepared pursuant to CVM Rule
247 of March 27, 1996, which provides for, among other subjects, on the procedures to
prepare and disclose the consolidated financial statements.
Application of the Technical Pronouncements Issued in 2009
CVM approved in 2009 several pronouncements, interpretations and technical guidance
issued by CPC to be effective as of 2010, which changed the accounting practices
39
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
LIGHT S.A.
June 30, 2010
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
adopted in Brazil. As authorized by CVM Resolution 603/09 and amendments issued by
CVM Resolution 626/10, the Company decided to present its quarterly financial
information using the accounting standards adopted in Brazil until December 31, 2009:
The Company is assessing the possible effects of applying the technical
pronouncements already issued and preliminary concluded that the main effects will
derive from the application of the following standards:
Technical Interpretation ICPC 01– Concession Agreements, which sets forth the general
principles on the recognition and measurement of the liabilities and the respective rights
of the concession agreements. According to ICPC 01, the compensation received or
receivable by the concessionaire shall be recorded by its fair value, which corresponds
to the rights of a financial asset and/or intangible asset. Currently, it is not possible to
estimate the effects of applying this standard (ICPC 01), as the concepts introduced
have been still analyzed for the purposes of application, but certain significant
adjustments resulting from the reclassification of fixed assets as intangible and/or
financial asset, recognition of construction revenues and treatment for concessionrelated liabilities are expected.
CPC 15 – Business Combinations – establishes the general principles regarding the
recognition of goodwill on the expectation of future profitability or negative goodwill
from advantageous purchases. In the case of negative goodwill from advantageous
purchases, the amount obtained should be recorded in net income for the year on the
date when it is determined. In the first half of the year, the Company acquired a direct
interest in Axxiom Soluções Tecnológicas S.A. and indirect interest in Central Eólica
Fontainha and Central Eólica São Judas Tadeu, for which preliminary studies show
realization of the assets. The Company, however, is evaluating the possible effects
caused by this pronouncement on these new investments.
CPC 24 – Subsequent event and ICPC 08 – Accounting for the dividends payment
proposal. The Management is required to propose the profit sharing at year-end. This
profit sharing may be modified by shareholders. Therefore, pursuant to CPC 24, the
undeclared proposed dividends above the mandatory minimum dividends and interest
on equity will be maintained under shareholders’ equity and liabilities at year-end will
not be recognized. If the Company had adopted this pronouncement, the shareholders’
equity would increase R$288,693 at the year ended December 31, 2009.
CPC 43 – It defines the first-time adoption criteria of CPCs 15 to 40 and specifies that
exceptions to the international standards are restricted to the maintenance of equity
pick-up in the individual financial statements with investments appraised by the equity
accounting method and maintenance of the deferred assets until December 31, 2008
until its full amortization. Currently, regulatory assets and liabilities are recorded in
Brazil, and when the regulatory authority sets forth criteria to allocate revenues or
expenses to subsequent periods, a regulatory asset or liability is recognized. Currently,
these regulatory assets and liabilities show differences between BR GAAP and IFRS.
40
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
Currently, IASB is preparing an interpretation that may change the accounting treatment
of regulatory assets and liabilities according to IFRS. The Management is awaiting the
results of this new IASB interpretation to assess its effects on the BR GAAP financial
statements.
3. REGULATORY ASSETS AND LIABILITIES
Consolidated
Current
3/31/2010
Assets
Consumers, concessionaries and permissionaires (Note 5)
Tariff Readjustment - TUSD
Non-current
12/31/2009
-
258,121
206,631
51,490
44,562
44,562
-
36,121
36,121
-
168,533
264,632
44,562
36,121
Liabilities
Suppliers (Note 12)
Free energy – refund to generation companies (a)
(54,185)
(54,185)
(54,185)
(54,185)
-
-
Other payables (Note 17)
Portion "A" - (a)
CVA - (c)
Other regulatories - (c)
Provision for regulatory liabilities - energy overcontracting (d)
(25,867)
(12,090)
(2,171)
(11,606)
-
(39,780)
(18,612)
(3,273)
(17,895)
-
(149,568)
(34,464)
(115,104)
(55,876)
(14,793)
(41,083)
TOTAL LIABILITIES
(80,052)
(93,965)
(149,568)
(55,876)
88,481
170,667
(105,006)
(19,755)
NET OVERALL TOTAL
6,511
6,511
167,471
134,063
33,408
12/31/2009
-
Prepaid expenses (Note 7)
1230143011
CVA - (c) até 1230143091 (longo prazo
Other regulatories - (c)
1130143011 até 1130143091 (curto prazo
TOTAL ASSETS
1,062
1,062
3/31/2010
a) Portion “A”:
Due to the maturity of term for the RTE billing (Loss of Revenue), the Variation in
Portion “A” items (from January 1, 2001 to October 25, 2001) was recovered from
March 2008, as approved by ANEEL Directive Release 267/04.
Pursuant to ANEEL’s rules, the additional tariff should remain effective until the end of
the month when the ratified amount would be fully amortized, duly adjusted by the
Central Bank overnight (Selic) rate. In the case of Light Sesa, this amortization occurred
by mid June 2009. Amounts billed after the amortization of ratified Portion “A” amount
were recorded in 2009’s tariff adjustment, totaling R$23,003 and refunded to
consumers. The balance is recorded in “Other Debts”, under current liabilities.
b) Free Energy - Refund to Generation Companies
In compliance with ANEEL Order 4,722 of December 18, 2009, Distribution
Concessionaires calculated the amounts due to the Generation Concessionaires,
according to the calculation established at Resolution 387 of January 12,2010. The
amount calculated, by estimate, was recorded in liabilities, under Suppliers (see Note
12), against the financial result, amounting to R$54,185 on June 30, 2010 (R$54,185 on
March 31, 2010).
41
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
c) Memorandum account for Portion “A” Variations (“CVA”)
CVA records the variations during the period, the annual tariff adjustment restated based
on the Central Bank overnight rate (“SELIC”) for: purchase of energy; transportation of
electric power from Itaipu; the Fuel Usage Quota (“CCC”); the Economic Development
Account (“CDE”); System service charges (“ESS”); the tariff for the use of transmission
facilities of the basic electric network; and compensation for the use of water resources
(“CFURH”) and Incentive Program to Electric Power Alternative Sources (PROINFA).
The amounts recorded under current (assets and liabilities) refer to amounts already
approved by ANEEL in November 2009, when the tariff adjustment was conducted. The
amounts recorded under non-current represent an estimate of the formation of CVA to
be approved in the next tariff adjustment (November 2010).
Breakdown of CVA
Consolidated
Assets
Current
6/30/2010
Breakdown - CVA
Fuel Consumption Account - CCC
Economic Development Account - CDE
Reserve Energy Charges - EER
System Service Charges- ESS
PROINFA
Transportation of electric power from Itaipu
Transportation of electric power to basic electric network
TOTAL - CVA
3/31/2010
52,821
3,662
8,169
328
3,546
68,526
Non-current
6/30/2010
3/31/2010
102,786
7,126
16,393
639
7,119
134,063
35,488
321
11,843
16,300
6,643
405
7,715
78,715
28,173
294
1,489
4,620
297
9,689
44,562
Consolidated
Liabilities
Current
6/30/2010
Breakdown - CVA
Fuel Consumption Account - CCC
Energy Development Account - CDE
Cost of electricity acquisition
TOTAL - CVA
(913)
(293)
(1,206)
3/31/2010
(1,703)
(468)
(2,171)
Non-current
6/30/2010
3/31/2010
(55,597)
(55,597)
(34,464)
(34,464)
d) Other regulatory assets/liabilities
Finance costs transferred in the annual tariff adjustment of subsidiary Light Sesa in
accordance with Normative Resolution 905 of November 4, 2009, as per chart below:
42
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
Assets
Consolidated
6/30/2010
3/31/2010
Other Regulatory Assets
Financial adjustment - final review
Furnas connection
Involuntary exposure
Guarantees at auction (CCEAR)
2008 review - financial items
TOTAL
1,159
(7)
15,245
68
554
17,019
2,377
61
29,666
131
1,173
33,408
Liabilities
Consolidated
6/30/2010
3/31/2010
Other Regulatory Liabilities
Financial adjustment TUSD generation companies
Boundary adjustment
CVA under process
Onlending of energy overcontracting (art.38 of Decree 5,163/04)
TOTAL
(3,333)
(439)
(124)
(2,064)
(5,960)
(6,550)
(800)
(240)
(4,016)
(11,606)
Values approved on
11/04/2009 (*)
4,579
143
56,442
249
2,276
63,689
Values approved on
11/04/2009 (*)
(12,519)
(1,504)
(456)
(7,641)
(22,120)
(*) As per ANEEL's Ratifying Resolution
e) The Article 38 of Decree 5163 of July 30, 2004, sets forth that when electric power
acquisition costs are transferred to end consumers bills, ANEEL shall consider up to
103% of the total amount of electric power contracted in relation to the distribution
agent’s annual supply volume. This means that electric power distribution companies
may include in the calculation of its consumers bills up to 3% of energy contracted
above expectations in order to supply its market, i.e., costs of up to 3% related to
overcontracting may be transferred to end consumers bills.
f) Portion “A” Neutrality By means of Technical Note no. 022/2010, as of January 28,
2010 and Order no. 245, as of February 2, 2010, ANEEL approved a standard
addendum to the concession agreements of electric power distribution services, in
order to guarantee the neutrality of the Portion “A” sector charges. This change in
calculation will be valid as of the annual tariff adjustment of 2010, aiming to
eliminate the tax effect caused by the current adjustment method provided for at the
Concession Agreement, thus guaranteeing the neutrality of the aforementioned
charges. Monthly differences calculated between the amounts of each item charged in
the period and the respective amounts contemplated in the previous adjustment or
tariff revision will be duly remunerated based on the same index used to calculate the
balance of the Memorandum Account for Portion “A” Variations – CVA. In February
2010, Light signed the above mentioned addendum, and the neutrality of charges
became effective.
43
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
Brazilian Corporation Law
LIGHT S.A.
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
4. CASH AND CASH EQUIVALENTS
Parent Company
6/30/2010
3/31/2010
Financial investments
Cash available
Total
3,545
242
3,787
Consolidated
6/30/2010
3/31/2010
2,050
432,385
434,435
Parent Company
6/30/2010
3/31/2010
Temporary cash investments:
CDB
Total
Fee
CDI
Maturity
Daily
3,545
3,545
5. RECEIVABLES
FROM
CONSUMERS,
PERMISSIONAIRIES AND CLIENTS
714,596
15,077
729,673
471,998
443,420
915,418
Consolidated
6/30/2010
3/31/2010
2,050
2,050
714,596
714,596
471,998
471,998
CONCESSIONAIRES,
Consolidated
6/30/2010
3/31/2010
CURRENT
Billed sales
Unbilled sales
Debt payment by installments (b)
Other receivables
Sales within the scope of CCEE
Supply and charges related to the use of electric network
Tariff recoverable credits (note 3)
(-) Allowance for doubtful accounts (a)
NON-CURRENT
Debt payment by installments (b)
Other receivables
1,758,620
231,212
156,800
653
2,147,285
1,798,927
282,360
163,246
2,244,533
11,409
49,219
2,541
63,169
5,412
43,400
1,062
49,874
(955,170)
1,255,284
(880,640)
1,413,767
281,883
967
282,850
282,571
282,571
a) In the second quarter of 2010 bad debts of R$728 were written-off (R$746 in the first
quarter of 2010).
b) The accounts receivable include the installment agreements present value, including
options of early payment of installments, which if they are exercised ensure payment
discounts to clients. During 2010, total discounts that may be granted is
approximately R$36,501 and the discount, if this option is exercised shall be recorded
in the income statement, under financial expenses.
44
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
Brazilian Corporation Law
LIGHT S.A.
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
Overdue and falling due balances related to electric power billed sales and debt payment
by installments are distributed as follows:
6/30/2010
Maturing
balance
Residential
Industrial
Commercial
Rural
Public sector
Public lighting
Public utility
Billed sales and renegotiated debts (current and non-current)
124,441
23,290
108,276
527
35,142
12,968
262,715
567,359
Overdue up to
90 days
Overdue over
90 days
160,904
14,814
41,010
354
19,821
2,186
1,106
240,195
860,814
150,736
221,177
690
115,288
32,238
8,806
1,389,749
Total
1,146,159
188,840
370,463
1,571
170,251
47,392
272,627
2,197,303
3/31/2010
Maturing
balance
Residential
Industrial
Commercial
Rural
Public sector
Public lighting
Public utility
Billed sales and renegotiated debts (current and non-current)
157,295
22,767
127,838
502
39,193
11,938
261,692
621,225
Overdue up to
90 days
Overdue over
90 days
186,388
14,979
48,065
332
32,799
3,106
770
286,439
799,001
170,362
211,254
660
113,065
33,020
9,718
1,337,080
Total
1,142,684
208,108
387,157
1,494
185,057
48,064
272,180
2,244,744
6. TAXES
6/30/2010
Parent Company
Assets
Liabilities
3/31/2010
6/30/2010
3/31/2010
CURRENT
Tax credits – IRPJ and CSLL (a)
IRRF (Withholding Income Tax) recoverable
IRRF (Withholding Income Tax) payable
Deferred IRPJ and CSLL (b)
ICMS recoverable (d)
ICMS payable
Installment Payment - Law 11,941/09 (c)
PIS/COFINS recoverable (e)
PIS/COFINS payable
Prepaid IRPJ/CSLL
Provision for IRPJ/CSLL
Other
TOTAL
885
885
851
851
-
NON-CURRENT
Deferred IRPJ and CSLL (b)
Installment Payment - Law 11,941/09 (c)
ICMS recoverable (d)
TOTAL
-
-
-
10
10
Consolidated
Assets
6/30/2010
3/31/2010
Liabilities
6/30/2010
3/31/2010
130
130
79,199
225,537
121,613
5,700
65,817
32,185
530,051
126,418
11,522
233,143
111,748
11,231
24,522
31,771
550,355
362
11,716
20,244
48,772
116,914
9,641
207,649
736
3,485
28,571
55,897
49,418
9,426
147,533
-
705,370
57,908
763,278
814,644
55,583
870,227
174,013
174,013
301,199
301,199
a) The balance refers to tax credits recoverable arising from negative balance
withholdings of cash investments and government agencies in the amount of R$5,737
and prepaid Income Tax and Social Contribution credits for 2008 and 2009
amounting to R$73,462. The variation of the amounts for the quarter arises from the
45
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
LIGHT S.A.
June 30, 2010
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
adjustment based on the Selic rate in the amount of R$18,341, including new credits
in the amount of R$94,096, net of offsets in the year, amounting to R$159,656.
b) The deferred tax assets include amounts expected to be recoverable within 10 years,
as set forth in CVM Rule 371/02, and in the assumption of not being barred by credit,
and it is based on a feasibility study approved by the Board of Directors, which
shows the balance recovery within 4 years
The deferred assets is broken down as follows:
Consolidated
6/30/2010
3/31/2010
ASSETS AND LIABILITIES - CURRENT AND NON-CURRENT
Tax loss carryforwards
Allowance for doubtful accounts
Provision for profit sharing
Provision for labor contingencies
Provision for tax contingencies
Provision for civil contingencies
Impacts resulting from the adoption of Law 11,638/07
Other provisions
Total - Light SESA
326,527
322,055
5,393
55,134
65,598
85,473
15,434
54,633
930,247
447,233
296,467
9,674
55,769
65,176
86,777
17,166
68,829
1,047,091
Tax loss carryforwards - Light Energia and Light Esco S.A.
Total - Consolidated
660
930,907
696
1,047,787
c) New REFIS (Tax Recovery Program) - (Law 11,941/09) – Light has been making
monthly minimum payments of one hundred reais as provided for by laws, plus
payment of installments deriving from migration of PAES (Special Installment
Payment Program) - Social Security (REFIS II), in the consolidated monthly amount
of R$1,752.
Given the request to partially discontinue the writ of mandamus 2003.51.01.005514-8,
concerning the taxation thesis (Cash Basis x Accrual Basis) of the companies LIR and
LOI was neither accepted by the National Treasury Office nor by the Court, the
Company decided to totally abandon the aforementioned petition. Therefore, the
Company recalculated the income obtained abroad by the equity pick-up taxation from
2002 to 2007 (REFIS period), by the accrual accounting method, using the tax losses
accumulated in the period to pay IR/CS on this income, resulting in the full settlement
thereof. Consequently, the change in the REFIS balance in the quarter is explained by
excluding the amount previously included in REFIS, referring to the debit of the profit
abroad thesis in the restated amount of R$133,761, in addition to the amount paid to
PAES – Social Security mentioned previously.
d) The amount of the state VAT (“ICMS”) recovery on June 30, 2010 includes
R$17,118 (R$25,671 on March 31, 2010) of credits deriving from the renegotiations
of the CEDAE debt in July and December 2006.
46
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
Brazilian Corporation Law
LIGHT S.A.
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
e) Recoverable PIS (Social Contribution Tax on Gross Revenue for Social Integration
Program) and COFINS (Social Contribution Tax on Gross Revenue for Social
Security Financing) balance refers to contributions retained by public authorities and
services rendering.
Reconciliation of effective and nominal rates of the provision for income and social
contribution taxes:
Consolidated
6/30/2010
6/30/2009
356,473
384,323
(9,784)
(14,074)
346,689
370,249
34%
34%
(117,874)
(125,885)
(13,939)
(4,256)
31,956
(62,051)
60
36
(1,121)
(7,347)
118,462
(27,616)
670
517
(127,864)
(80,524)
Earnings before Income and Social Contribution Taxes (LAIR)
Profit sharing
Adjusted income basis for taxation
Combined income and social contribution tax rate
Income and social contribution taxes at statutory rates
Income and social contribution tax effect on permanent additions and exclusions
Income and social contribution tax effect on equity in the earnings of subsidiaries
Difference between calculation bases - income and social contribution tax
Deferred tax credits not recognized CVM 371/02 - Light S.A.
Reversal of provision for IRPJ and CSLL - Deferred
Effects of abandonment of LIR and LOI process- Law 11,941/2009
Tax incentives
Income and social contribution tax in income
Current IRPJ and CSLL on income
Deferred IRPJ and CSLL on income
(116,454)
(11,410)
(127,864)
(107,578)
27,054
(80,524)
7. PREPAID EXPENSES
Parent Company
6/30/2010
3/31/2010
CURRENT
CVA (Note 3)
Financial components – IRT (Note 3)
Other
Total
NONCURRENT
CVA (Note 3)
Other
Total
63
63
-
Consolidated
6/30/2010
3/31/2010
119
119
68,526
17,019
5,018
90,563
134,063
33,408
3,778
171,249
-
78,715
968
79,683
44,562
1,191
45,753
47
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
Brazilian Corporation Law
LIGHT S.A.
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
8. OTHER RECEIVABLES
Parent Company
6/30/2010
3/31/2010
CURRENT
Advances to suppliers and employees
Property rental
Public lighting fee
Expenditures to refund
Subsidy to low-income segment
Other
Total
NON-CURRENT
Assets and rights for disposal
Other
Total
9.
37
2,041
2,078
14
1,544
1,558
-
-
Consolidated
6/30/2010
3/31/2010
16,562
389
40,069
9,064
24,646
12,402
103,132
21,981
402
27,501
14,441
15,423
10,608
90,356
7,226
639
7,865
7,229
1,438
8,667
INVESTMENTS
Parent Company
6/30/2010
3/31/2010
Consolidated
6/30/2010
3/31/2010
Accounted for under the equity method:
Light SESA
Light Energia S.A.
Light Esco Prestação de Serviços S.A.
Lightger S.A. (a)
LightCom
Itaocara Energia (a)
Axxiom Soluções Tecnológicas S.A.
Lighthidro Ltda (a)
Subtotal
2,695,552
273,159
35,406
59,138
1,542
19,092
1,941
50
3,085,880
2,656,512
248,815
29,526
40,734
779
15,586
50
2,992,002
-
-
Accounted for at cost
Leased assets
Other
Subtotal
Total
2,034
2,034
3,087,914
169
169
2,992,171
3,796
11,297
7,617
22,710
22,710
3,796
11,297
4,164
19,257
19,257
On May 6, 2010, the Board of Directors of Light S.A. approved the acquisition of
3,672,000 registered common shares of Axxiom Soluções Tecnológicas S.A.,
representing 51% of the Company’s total and voting capital, for R$3,975, recording
goodwill of R$2,034. This goodwill is based on expected future profitability arising
from a projected cash flow study conducted at the moment of the acquisition.
INFORMATION ON SUBSIDIARIES
Light SESA
03/30/2010
Ownership interest (%)
Paid-up capital
Shareholders' equity
Dividends paid
Additional dividends paid
Income for the year
100
2,082,365
2,695,552
29,146
169,568
Light SESA
03/31/2010
Ownership interest (%)
Paid-up capital
Shareholders' equity
Proposed dividends
Dividends paid
Additional dividends paid
Net income for the year
100
2,082,365
2,656,512
(402,149)
(29,146)
101,381
Light Energia
100
77,440
273,159
43,957
Light Energia
100
77,422
248,815
(26,833)
19,614
Light Esco
100
7,584
35,406
7,581
Light Esco
100
7,584
29,526
(3,358)
1,701
LightCom
100
1,000
1,542
542
LightCom
100
1,000
779
(221)
Light Ger
100
52,937
59,138
327
Light Ger
100
34,791
40,734
69
Light Hidro
100
50
50
Light Hidro
100
50
50
-
Instituto Light
100
300
Instituto Light
100
300
-
Itaocara Energia
100
20,794
19,092
7
Axxiom
51
3,672
1,941
-
Itaocara Energia
100
17,294
15,586
-
48
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
CHANGES IN INVESTMENTS IN SUBSIDIARIES
Light SESA
Balances on 3/31/2010
Capital increase
Acquisition of interest
Additional dividends paid
Equity accounting
Balances on 6/30/2010
2,656,512
(29,146)
68,186
2,695,552
Light Energia
Light Esco
248,815
24,344
273,159
29,526
5,880
35,406
LightCom
Light Ger
779
763
1,542
40,734
18,146
258
59,138
Light Hidro
Itaocara Energia Instituto Light
50
50
15,586
3,499
7
19,092
-
Axxiom
Total
1,941
1,941
2,992,002
21,645
1,941
(29,146)
99,438
3,085,880
The amount of R$29,146 recorded as additional dividend from subsidiary Light Sesa on
April 12, 2010 was used to increase the capital in subsidiaries Lightger S.A. and Itaocara
Energia Ltda.
10. PROPERTY, PLANT AND EQUIPMENT
PROPERTY, PLANT AND EQUIPMENT
ACTIVITY
Historical cost
Generation
Transmission
Distribution
Administration
Sales
In service
953,003
17,299
6,312,565
250,491
28,773
7,562,131
Generation
Distribution
Administration
Sales
In progress
163,817
652,166
94,152
2,282
912,417
Total property, plant and equipment
Special obligations linked to concession (a)
Total property, plant and equipment, net
8,474,548
(198,938)
8,275,610
Consolidated
6/30/2010
Accumulated
depreciation
Net value
(462,068)
(8,427)
(3,175,865)
(163,105)
(16,721)
(3,826,186)
(3,826,186)
10,634
(3,815,552)
3/31/2010
Net value
490,935
8,872
3,136,700
87,386
12,052
3,735,945
497,697
8,954
3,182,296
87,509
12,569
3,789,025
163,817
652,166
94,152
2,282
912,417
137,261
561,560
87,978
2,180
788,979
4,648,362
4,578,004
(188,304)
4,460,058
(184,033)
4,393,971
a) The balance of special obligations derives from the consumer’s financial income,
appropriation of the Federal Government, federal, state and municipal funds to
finance the work necessary to meet the electric power demand.
Consumer contribution
Consumer contribution depreciation
Donations/subsidies for investments
Depreciation of donations/subsidies for investments
Research and Development
Depreciation of research and development
Total
Consolidated
6/30/2010
3/31/2010
143,284
137,262
(7,214)
(6,049)
37,721
37,721
(2,492)
(2,095)
17,933
17,933
(928)
(739)
188,304
184,033
49
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
Construction in progress includes inventories of materials for projects totaling
R$53,540 as of June 30, 2010 (R$43,667 on March 31, 2010) and a provision for
inventory loss of R$5,749 (R$5,749 on March 31, 2010).
11. INTANGIBLE ASSETS
Consolidated
6/30/2010
Accumulated
Net
Amortization
Value
Historical
Cost
Intangible assets
Distribution
Generation
Administration
Sales
In service
183,413
5,799
81,514
163,737
434,463
Distribution
Generation
Administration
Sales
In progress
13,413
122,309
62,294
510
198,526
Total intangible assets, net
632,989
(160,986)
(5,669)
(61,172)
(124,441)
(352,268)
(352,268)
3/31/2010
Net
Value
22,427
130
20,342
39,296
82,195
22,943
132
20,856
45,162
89,093
13,413
122,309
62,294
510
198,526
13,413
118,939
57,791
510
190,653
280,721
279,746
Grupo Light classifies Software as intangible assets, amortized at a rate of 20% p.a., and
Right-of-Ways are not depreciated since they represent the right to use certain areas of
land, usually associated with a Transmission and Distribution Line.
Generation intangible assets, in progress, includes the amount of R$122,231 (R$118,860
on March 31, 2010) referring to the onerous concession of Use of Public Asset of
Itaocara Energia Ltda., as per Note 17.
12. SUPPLIERS
Parent Company
6/30/2010
3/31/2010
CURRENT
Sales within the scope of CCEE
Electric network usage charges
System service charges
Free energy – refund to generation companies (Note 3)
Electric power auctions
Itaipu binational
UTE Norte Fluminense
Supplies and services
Total
129
129
248
248
Consolidated
6/30/2010
3/31/2010
23,110
48,490
2,281
54,185
120,565
90,636
65,443
404,710
89,081
493,791
26,632
48,645
2,551
54,185
145,369
89,556
67,387
434,325
115,554
549,879
50
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
Brazilian Corporation Law
LIGHT S.A.
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
13. LOANS, FINANCING AND FINANCIAL CHARGES
Consolidated
6/30/2010
Reference date 6/30/2010
Principal
Date of
Signature
Charges
Principal Amortization
Currency/ Index
Current
Non-Current
Current
Interest Rate p.a.
Non-Current
PR
Payment
Beginning
End
US$
US$
US$
US$
US$
US$
US$
US$
6%
U$ Treasury
Libor + 13/16
U$ Treasury
8%
Libor + 7/8
6%
Libor + 0,65%
1
1
1
1
8
4
7
1
Lump sum
Lump sum
Lump sum
Lump sum
Half-yearly
Half-yearly
Half-yearly
Half-yearly
2024
2024
2024
2024
2004
2004
1999
2003
2024
2024
2024
2024
2014
2012
2013
2010
UFIR
CDI
TJLP
TJLP
TJLP
5%
CDI + 0,85%
TJLP + 4,3%
TJLP + 2,58%
TJLP + 1% + 2,58%
4.50%
CDI + 0,95%
TJLP + 2,5%
16.77%
between 2 and 120
6
51
72
72
101
1
58
24
Monthly and quarterly
Yearly
Monthly
Monthly
Monthly
Monthly
Yearly
Monthly
Monthly
2012
2009
2011
2011
2011
2009
2009
2010
2013 a 2017
2017
2014
2017
2017
2019
2010
2014
2012
Financing Entity
TN - Par Bond
TN - Collateral - Par Bond
TN - Discount Bond
TN - Collateral - Discount Bond
TN - C. Bond
TN - Debit. Conv.
TN - Bib
KFW III , IV, and V - Tranche A/B/C
Foreign currency
Eletrobrás
CCB Bradesco
BNDES - FINEM
BNDES - FINEM direct
BNDES - FINEM + 1
BNDES - FINEM direct PSI
Working capital - ABN Amro
BNDES - PROESCO
Banco Real
RGR
Sundry banking warranties
Domestic Currency
4/29/1996
4/29/1996
4/29/1996
4/29/1996
4/29/1996
4/29/1996
4/26/1996
11/3/2000
Sundry
10/18/2007
11/5/2007
11/30/2009
11/30/2009
11/30/2009
8/27/2008
12/12/2008
5/25/2010
SWAP
Overall total
5,960
6,676
216
700
13,552
781
82,616
3,181
3,181
1,131
80,000
456
425
171,771
185,323
70,113
(36,305)
48,923
(25,533)
17,879
6,675
542
82,294
2,315
450,000
268,501
110,924
110,924
55,757
1,707
1,000,128
1,082,422
906
169
407
48
14
1,544
1
30,042
1,437
1,140
1,268
335
2,729
7
246
354
37,559
5,646
44,749
20
20
CDI
TJLP
Consolidated
3/31/2010
Date of
Signature
Current
Financing Entity
TN - Par Bond
TN - Collateral - Par Bond
TN - Discount Bond
TN - Collateral - Discount Bond
TN - C. Bond
TN - Debit. Conv.
TN - Bib
BNDES - Imports
KFW III , IV, and V - Tranche A/B/C
Foreign currency
Eletrobrás
CCB Bradesco
BNDES - FINEM
BNDES - FINEM direct
BNDES - FINEM + 1
BNDES - FINEM direct PSI
Working capital - ABN Amro
BNDES - PROESCO
RGR
Sundry banking warranties
Domestic Currency
SWAP
Overall Total
4/29/1996
4/29/1996
4/29/1996
4/29/1996
4/29/1996
4/29/1996
4/26/1996
3/27/1998
11/3/2000
Sundry
10/18/2007
11/5/2007
11/30/2009
11/30/2009
11/30/2009
8/27/2008
12/12/2008
Reference date 3/31/2010
Principal
Charges
Non-Current
5,892
6,599
214
114
1,473
14,292
996
82,616
80,000
350
163,962
178,254
69,316
(35,892)
48,366
(25,243)
20,622
9,899
536
87,604
2,455
450,000
289,155
59,344
59,344
35,029
1,368
896,695
984,299
Current
1,970
488
997
170
2
4
3,631
1
18,635
1,624
1,034
1,150
325
720
6
246
271
24,012
3,960
31,603
Currency/ Index
Non-Current
1,385
1,385
Principal Amortization
Interest Rate p.a.
Payment
Beginning
End
US$
US$
US$
US$
US$
US$
US$
UMBNDES
US$
6%
U$ Treasury
Libor + 13/16
U$ Treasury
8%
Libor + 7/8
6%
Cesta BNDES + 4%
Libor + 0,65%
1
1
1
1
9
5
8
1
2
Lump sum
Lump sum
Lump sum
Lump sum
Half-yearly
Half-yearly
Half-yearly
Monthly
Half-yearly
2024
2024
2024
2024
2004
2004
1999
2000
2003
2024
2024
2024
2024
2014
2012
2013
2010
2010
UFIR
CDI
TJLP
TJLP
TJLP
5%
CDI + 0,85%
TJLP + 4,3%
TJLP + 2,58%
TJLP + 1% + 2,58%
4.50%
CDI + 0,95%
TJLP + 2,5%
between 2 and 120
6
54
72
72
101
1
61
Monthly and quarterly
Yearly
Monthly
Monthly
Monthly
Monthly
Yearly
Monthly
2012
2009
2011
2011
2011
2009
2009
2013 a 2017
2017
2014
2017
2017
2019
2010
2014
CDI
TJLP
PR
TN = National Treasury
PR = Remaining Installments
On November 6, 2009, Light Sesa and Light Energia received the consent from ANEEL
to obtain a loan from the Brazilian Development Bank (BNDES) amounting to
R$510,871 and R$30,490 respectively.
These credits are part of the FINEM credit lines to be invested in the expansion and
modernization of the Electric System. The agreements with BNDES were signed on
November 30, 2009 and the first portion was released on December 28, 2009. On June
28, 2010 the second portion was released to Light Sesa in the amount of R$121,190 and
on April 22, 2010 to Light Energia (R$10,156).
In addition to the collaterals indicated above, loans are guaranteed by receivables in the
approximate amount of R$45,656.
51
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FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
The principal of long-term loans and financing matures as follows (excluding financial
charges):
Consolidated
Local Currency
2010
2011
Total (current)
6/30/2010
Foreign Currency
Total
Local Currency
3/31/2010
Foreign Currency
Total
122,459
49,312
171,771
7,126
6,426
13,552
129,585
55,738
185,323
143,079
20,883
163,962
14,185
107
14,292
157,264
20,990
178,254
2011
2012
2013
2014
2015
2016
after 2016
Total (non-current)
64,224
203,448
203,435
182,543
120,151
120,020
106,307
1,000,128
6,426
9,514
6,176
2,980
57,198
82,294
70,650
212,962
209,611
185,523
120,151
120,020
163,505
1,082,422
78,565
182,496
182,483
161,592
99,252
99,174
93,133
896,695
12,598
9,406
6,106
2,946
56,548
87,604
91,163
191,902
188,589
164,538
99,252
99,174
149,681
984,299
Total (current and non-current)
1,171,899
95,846
1,267,745
1,060,657
101,896
1,162,553
In percentage terms, the variation of major foreign currencies and economic ratios in the
period, which are used to adjust loans, financing and debentures, was as follows in the
six-month periods:
USD
EUR
UMBNDES
IGP-M
CDI
SELIC
6/30/2010
1.15
(8.44)
0.90
2.83
2.22
2.22
6/30/2009
(15.70)
(10.99)
(16.31)
(0.32)
2.38
2.39
Covenants
The funding of CCB Bradesco, the loans with ABN Amro and with BNDES FINEM,
classified as current and non-current, requires that the Company maintain certain debt
ratios and interest coverage. In the period ended June 30, 2010, the Company and its
subsidiaries are in compliance with all required debt covenants.
52
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
14. DEBENTURES AND FINANCIAL CHARGES
Financing Entity
Date of
Signature
th
6/30/2005
Debentures 5 Issue
th
Debentures 6th Issue
Domestic Currency
Debentures 4 Issue
Consolidated
6/30/2010
Principal
Charges
Current
Noncurrent
Current
Noncurrent
19
76
1/22/2007
68,221
6/1/2009
297,348
365,588
Currency /
Index
Interest Rate p.a.
RI
Reference date 6/30/2010
Principal Amortization
Payment
Beginning
End
Monthly
2009
2015
15
Quarterly
2008
2014
1
Lump Sum
2011
2011
RI
Reference date 3/31/2010
Principal Amortization
Payment
Beginning
-
-
TJLP
TJLP + 4%
60
835,536
18,528
-
CDI
CDI + 1,50%
835,612
2,597
21,125
-
CDI
115% of CDI
Currency /
Index
Interest Rate p.a.
TJLP + 4%
63
PR - Remaining installments
Consolidated
Financing Entity
th
Date of
Signature
3/31/2010
Principal
Current
Noncurrent
Debentures 4 Issue
6/30/2005
19
81
Debentures 5th Issue
1/22/2007
68,221
Debentures 6th Issue
Domestic Currency
6/1/2009
68,240
Charges
Current
Noncurrent
-
-
TJLP
852,591
16,664
-
CDI
CDI + 1,50%
296,686
1,149,358
9,423
26,087
-
CDI
115% do CDI
End
Monthly
2009
2015
16
Quarterly
2008
2014
1
Lump Sum
2011
2011
PR - Remaining installments
Total principal amount is represented net of debentures issue costs, as provided for in
CVM Resolution 556/08. These costs are detailed in the table below.
Issue
Debentures 4th issue
Debentures 5th issue
Debentures 6th issue
TOTAL
Amount Incurred
7,446
6,205
2,638
16,289
6/30/2010
Unearned Amount
22
6,243
2,653
8,918
Total Cost
7,468
12,448
5,291
25,207
Issue
Debentures 4th issue
Debentures 5th issue
Debentures 6th issue
TOTAL
Amount Incurred
7,445
5,760
1,977
15,182
3/31/2010
Unearned Amount
23
6,688
3,314
10,025
Total Cost
7,468
12,448
5,291
25,207
The portions related to the principal of debentures have the following maturities
(excluding financial charges):
53
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
LIGHT S.A.
June 30, 2010
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
Domestic Currency
6/30/2010
3/31/2010
2010
2011
Total (Current)
34,121
331,467
365,588
51,181
17,059
68,240
2011
2012
2013
2014
2015
Total (Non-current)
34,120
198,241
268,241
335,002
8
835,612
347,866
198,241
268,241
335,002
8
1,149,358
1,201,200
1,217,598
Total
Covenants
Classified in the current and non-current, the 5th and 6th Issue of Debentures require the
maintenance of indebtedness indexes and coverage of interest rates. In the period ended
June 30, 2010, the Company and its subsidiaries complied with all the covenants
required.
54
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
Brazilian Corporation Law
LIGHT S.A.
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
15. REGULATORY CHARGES – CONSUMER CONTRIBUTIONS
Consolidated
6/30/2010
3/31/2010
CURRENT
Fuel usage account quota – CCC
Energy development account quota – CDE
Reversal global reserve quota – RGR
Incentive Program to Electric Power Alternative Sources – PROINFA
Charges for capacity and emergency acquisition
15,683
17,182
5,182
8,926
73,169
120,142
19,323
17,182
5,182
8,926
73,168
123,781
16. PROVISION FOR CONTINGENCIES
Light S.A. and its subsidiaries are party in tax, labor and civil lawsuits and regulatory
proceedings in several courts. Management periodically assesses the risks of
contingencies related to these proceedings, and based on the legal counsel’s opinion it
records a provision when unfavorable decisions are probable and whose amounts are
quantifiable. In addition, the Company does not record assets related to lawsuits with a
less-than-probable chance of success, as they are considered uncertain.
Provisions for contingencies are as follows:
Consolidated
Labor
Civil
Tax
Other
Total
Current
6/30/2010
3/31/2010
-
Noncurrent
6/30/2010
3/31/2010
162,160
164,027
251,394
255,228
178,190
177,451
46,111
95,630
637,855
692,336
Write-offs
Payments
Reversals
(1,620)
(247)
(12,492)
(6,479)
(8,669)
(53,381)
(22,781)
(60,107)
Balance on
6/30/2010
162,160
251,394
178,190
46,111
637,855
Liabilities
Labor
Civil
Tax
Other
Total
Balance on
3/31/2010
164,027
255,228
177,451
95,630
692,336
Additions
11,943
10,727
22,670
Restatement
3,194
739
1,804
5,737
Judicial Deposits
7,831
24,771
36,513
1,655
70,770
16.1 Labor Contingencies
There are approximately 3,591 labor-related legal proceedings in progress (3,642 on
March 31, 2010) in which the Company and subsidiaries are the defendants. These labor
proceedings mainly involve the following matters: overtime; hazardous work wage
premium; equal pay; pain and suffering; subsidiary/joint liability of employees from
outsourced companies; difference of 40% fine of FGTS (Government Severance
Indemnity Fund for Employees) derived from the adjustment due to understated
inflation and overtime.
55
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
LIGHT S.A.
June 30, 2010
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
16.2 Civil Contingencies
The Company and its subsidiaries are defendants in approximately 40,190 civil legal
proceedings (39,799 on March 31, 2010), of which 16,683 are in the state and federal
courts referring to Civil Proceedings (15,600 on March 31, 2010), among which those
claims that can be accurately assessed amounting to R$812,060 (R$730,758 on March
31, 2010) and 23,507 are in Special Civil Courts (24,199 on March 31, 2010), with total
claims amounting to R$350,482 (R$349,956 on March 31, 2009).
Civil Contingencies
Accrued Value (probable loss)
6/30/2010
3/31/2010
a) Civil proceedings
b) Special civil court
c) "Cruzado" Plan
119,214
30,115
102,065
127,954
27,261
100,013
Total
251,394
255,228
a) The Provision for civil proceedings comprises lawsuits in which Light Sesa is the
defendant and it is probable the claim will result in a loss in the opinion of the
respective attorneys. The claims mainly involve alleged moral and property damage
as well as consumers challenging the amounts paid.
The Company is also party to civil proceedings that Management believes that risk of
loss are less than probable, based on the opinion of its legal counsels. Therefore, no
provision was established. The amount, currently assessed, represented by these
claims is R$543,791 (R$458,457 on March 31, 2010).
b) Lawsuits in the Special Civil Court are mostly related to matters regarding consumer
relations, such as improper collection, undue power cut, power cut due to
delinquency, network problems, various irregularities, bill complaints, meter
complaints and problems with ownership transfer. There is a limit of 40 minimum
monthly wages for claims under procedural progress at the Special Civil Court.
Accruals are based on the moving average of the last 12 months of condemnation
amount.
c) There are civil actions in which some industrial consumers have challenged, in court,
the increases in electric power tariff rates approved in 1986 by the National
Department of Water and Electric Power (“Cruzado Plan”). The provision includes a
civil action in the public interest, under phase of calculation of the award.
56
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
16.3 Tax Contingencies
The provisions established for tax contingencies are as follows:
Tax Contingencies
Accrued Value (probable loss)
6/30/2010
a) PIS/COFINS – RGR and CCC
b) INSS – tax deficiency notice
c) INSS – quarterly
d) ICMS
e) CIDE
f) Other
Total
8,561
40,062
21,992
98,367
4,881
4,327
178,190
3/31/2010
8,561
39,672
21,736
98,367
4,834
4,281
177,451
The Company and its subsidiaries are parties to tax, regulatory and legal proceedings in
which Management, based on the opinion of its legal counsels, believes the risks of loss
are less than probable, and for which no provision was recorded. Currently, the
quantifiable amount of these proceedings is R$949,100 (R$1,229,600 on March 31,
2010).
The tax proceedings, deemed as possible loss, had effects in the quarter:
(i) ICMS (Aluvale). These are tax foreclosures related to the ICMS deferral in the
supply of electric power for the consumer ALUVALE, an electro-intensive industrial
consumer. Light Sesa included debts referring to these tax foreclosures included in the
Tax payment program of Law 11,941. The payment was made in a single installment, in
cash, by the actual taxpayer of this ICMS, Companhia Vale S.A., as ALUVALE’s
acquiring company.
(ii) Reversal of social contribution tax loss carryforward with COFINS – Reversal
executed by Light Sesa, which used the social contribution tax loss carryforward
calculated in 1998 to settle COFINS debts. Light’s appeal was denied, which is why the
Company filed a Voluntary Appeal. On June 30, 2010 it totaled R$27,900 (R$27,600 on
March 31, 2010).
(iii) ISS Nilópolis – Tax foreclosure to discuss the collection of ISS by the City of
Nilópolis concerning services associated with the electric power supply activity. The tax
foreclosure motions filed by Light Sesa were held valid. The total amount on June 30,
2010 was R$8,000 (R$7,900 on March 31, 2010).
(iv) ITR – Lajes and Tocos Reservoirs – Collection of ITR on Light Sesa’s granting area
in the city of Rio Claro. Regarding Light Sesa’s Voluntary Appeal, the court decided to
cancel the notice of violation. This decision became final and unappealable and the
57
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
LIGHT S.A.
June 30, 2010
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
notice of violation was definitively cancelled. The total amount on June 30, 2010 was
R$10,700.
(v) Transfer of PIS/COFINS – Up to June 30, 2010, Light Sesa received 137 lawsuits
(92 on March 31, 2010) from commercial clients questioning the transfer of PIS and
COFINS into the electricity bill, claiming the return of the amounts unduly paid.
According to its lawyers’ analysis, losses were deemed possible, which is why the
Company did not establish a provision.
16.4 Other Contingencies
a) Administrative Regulatory Contingencies
The Company has regulatory contingencies incurred or to be incurred in 1Q10, derived
from administrative challenges against ANEEL:
a.1) Tax Deficiency Notice ANEEL 007/2010-SFE – The notice was drawn up on
February 17, 2010, including a fine of R$9,544 as a result of the inspection conducted
by the Agency in December 2009 in order to identify and assess the causes of
interruptions in the Concessionaire’s underground distribution system. Light Sesa filed
its defense on March 5, 2010 requesting the cancelation of non-conformities, and
subsidiarily a reduction of fines. Alternatively to the imposition of fines, Light Sesa
pleaded to convert the fine into the Conduct Adjustment Agreement (TAC). Currently,
we await ANEEL’s final decision on the appeal lodged and the pleading for TAC. The
Company set up a provision for the total fine amount.
a.2) Tax Deficiency Notice ANEEL 071/2010-SFF – The notice was drawn up on
March 17, 2010, including a fine in the amount of R$448 under the allegation that nonconformities were verified in the economic, financial and accounting inspection
conducted in the Concessionaire. Light Sesa lodged an appeal on April 1, 2010,
requesting to convert fines into warning and currently awaits ANEEL’s decision
thereon. ANEEL Order no. 1665/2010 as of June 10, 2010 reduced the penalty to
R$419. The Company is awaiting ANEEL’s final opinion on the appeal filed. The
Company set up a provision for the total fine amount.
a.3) ANEEL Tax Deficiency Note no. 013/2010-SFG – The notice was drawn up on
May 4, 2010, including a fine of R$1,120, since ANEEL saw flaws in the black-start
process of the generating units of SHP Fontes Nova, Nilo Peçanha and Pereira Passos, in
the adjustment of SIN after the troubles of November 10, 2009. Light Energia lodged an
appeal on May 19, 2010 requiring lower penalties. SFG maintained its decision and is
awaiting the decision of ANEEL’s Board of Executive Officers. The Company set up a
provision for the total fine amount.
a.4) Tax Deficiency Note no. 061/2010-SFE – The notice was drawn up on May 19,
2010, including a fine of R$5,049 under the allegation of non-compliance with technical
58
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
LIGHT S.A.
June 30, 2010
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
and commercial oversight by ANEEL in May 2009. Light Sesa lodged an appeal on
June 3, 2010 requiring the cancellation of the penalties and its further reduction. The
Company is currently awaiting ANEEL’s opinion on this matter and set up a provision
for the total fine amount.
a.5) ANEEL Tax Deficiency Note no. 082/2010-SFE – The notice was drawn up on
June 18, 2010, including a fine of R$16,052 under the allegation that Light Sesa had
infringed DEC (Equivalent Duration of Interruption per Client) and FEC (Equivalent
Frequency of Interruption per Client) continuity indexes of 65 groups in 2009, and
included the November 10, 2009 Furnas Blackout to calculate the indexes. Light Sesa
filed an appeal on July 8, 2010 requiring the reduction of the fine so that the November
10, 2009 interruption is not taken into consideration for purposes of calculating DEC
and FEC. Light Sesa set up a provision of R$4,110, according to the opinion of its legal
advisors, who believe that ANEEL may reduce the fine, considering Light Sesa’s
defense on the elimination of the hours the service was interrupted in Furnas
transmission lines, since it is a fortuitous event/force majeure or third-party fact, in both
cases, excluding Light Sesa’s responsibility.
b) Environmental Contingencies
In February 2010, a settlement between subsidiary Light Energia and the municipality of
Barra do Piraí and the Public Prosecutor Office was ratified at court, resulting from the
public civil action, in which the plaintiff requested the remediation and recovery of
several environmental damages caused by the construction of the Santa Cecília and
Santana plants, as an integral part of the transposition system of waters from the Rio
Paraíba do Sul basin to the Rio Guandú basin, feeding the Fontes, Nilo Peçanha and
Pereira Passos plants.
The settlement amount was R$14,200 (to be paid by installments until June 2010),
considering that Light Energia had a provision of R$6,000, the difference was accrued in
1Q10. The Company paid the last installment of the agreement on June 1, 2010 and now
does not have any obligations to settle. After the compliance with liabilities assumed
municipality (dredging in Piraí river), both lawsuits will be shelved.
59
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
Brazilian Corporation Law
LIGHT S.A.
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
17. OTHER PAYABLES
Parent Company
6/30/2010
3/31/2010
Consolidated
6/30/2010
3/31/2010
CURRENT
Advance from clients
CVA (Note 3)
Compensation for use of water resources
Energy Research Company – EPE
National Scientific and Technological Development Fund – FNDCT
Energy Efficiency Program – PEE
Research and Development Program – P&D
Portion "A" (Note 3)
Public lighting fee
Other tariff charges (Note 3)
Other
Total
1,745
1,745
1,561
1,561
15,421
1,206
3,902
942
1,884
168,329
83,438
6,213
51,005
5,960
30,966
369,266
21,118
2,171
4,649
1,094
2,189
160,304
79,594
12,090
53,998
11,606
45,235
394,048
NONCURRENT
CVA (Note 3)
Provision for regulatory liabilities - energy overcontracting (Note 3)
Reversal reserve
Use of Public Asset - UBP
Other
Total
-
-
55,597
129,617
69,933
122,231
2,527
379,905
34,464
115,104
69,933
118,860
1,999
340,360
18. PENSION PLAN AND OTHER EMPLOYEE BENEFITS
Light Group’s companies sponsor Fundação de Seguridade Social – BRASLIGHT, a
nonprofit closed pension entity, whose purpose is to provide retirement benefits to the
Company’s employees and pension benefits to their dependents.
BRASLIGHT was incorporated in April 1974 and has three plans - A, B and C –
established in 1975, 1984 and 1998, respectively, with about 96% of the active
participants of the other plans having migrated to Plan C.
BRASLIGHT and Light group’s companies created a new Social Security Benefit Plan
called Plan D, which became effective on March 22, 2010, approved by the National
Superintendence of Supplementary Private Pension (PREVIC).
60
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
Transactions occurred in the quarter in net actuarial liabilities were the following:
Total
Consolidated
Pension plan on 3/31/2010
Amortizations in the period
Restatements in the period
Transfer from non-current to current
Pension plan on 6/30/2010
Current
Noncurrent
965,998
94,588
871,410
(23,168)
28,919
-
(23,168)
3,081
19,089
25,838
(19,089)
971,749
93,590
878,159
19. RELATED-PARTY TRANSACTIONS
The Company’s main shareholders are:

Controlling Group Companhia Energética de Minas Gerais – CEMIG, Andrade
Gutierrez Concessões, Luce Empreendimentos e Participações S.A. and Rio
Minas Energia Participações S.A (RME) – company controlled by Equatorial
Energia (see Note 20).

BNDESPAR
Interest in operating subsidiaries are outlined in the Note 1.
Below, a summary of related-party transactions occurred in the years ended 2009 and
2010:
61
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FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
Brazilian Corporation Law
LIGHT S.A.
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
C o ntra c ts with the s a m e gro up
1
2
3
4
5
6
7
R e la tio ns hip with Light S .A.
A s s e ts
6 / 3 0 / 2 0 10
3 / 3 1/ 2 0 10
(Agre e m e nt o bje c tive s a nd c ha ra c te ris tic s )
Ite m
S tra te gic a gre e m e nt
P urc ha s e a gre e m e nt o f e le c tric po we r be twe e n Light
S ES A a nd C EM IG
S tra te gic a gre e m e nt
P urc ha s e a gre e m e nt o f e le c tric po we r be twe e n Light
S ES A a nd C EM IG
S tra te gic a gre e m e nt
S a le a gre e m e nt o f e le c tric po we r be twe e n Light Ene rgia
a nd C EM IG
S tra te gic a gre e m e nt
C o lle c tio n o f dis tributio n s ys te m us a ge c ha rge s be twe e n
Light S ES A a nd C EM IG
S tra te gic a gre e m e nt
C o m m itm e nt to the ba s ic e le c tric ne two rk us a ge c ha rge s
be twe e n Light S ES A a nd C EM IG
S tra te gic a gre e m e nt
C o m m itm e nt to the ba s ic e le c tric ne two rk us a ge c ha rge s
be twe e n Light Ene rgia a nd C EM IG
S tra te gic a gre e m e nt
Ele c tric po we r s a le c o m m itm e nt be twe e n Light Ene rgia
a nd C EM AR *
Lo a ns
F INEM
C EM IG (pa rty o f the
c o ntro lling gro up)
C EM IG (pa rty o f the
c o ntro lling gro up)
C EM IG (pa rty o f the
c o ntro lling gro up)
C EM IG (pa rty o f the
c o ntro lling gro up)
C EM IG (pa rty o f the
c o ntro lling gro up)
C EM IG (pa rty o f the
c o ntro lling gro up)
C o ns o lida te d
Lia b ilit ie s
R e v e nue
6 / 3 0 / 2 0 10
3 / 3 1/ 2 0 10
6 / 3 0 / 2 0 10
6/30/2009
E xp e n s e s
6 / 3 0 / 2 0 10
6/30/2009
-
-
5,977
8,597
-
-
38,335
52,859
-
-
115
164
-
-
651
-
2,170
2,326
-
-
10,187
10,865
-
-
384
190
-
-
1,148
1,021
-
-
-
-
2,170
2,208
-
-
9,912
6,791
13
13
-
-
59
57
-
-
1,018
952
-
-
4,393
4,321
-
-
373,395
-
-
9,011
-
Equa to ria l (pa rty o f the
c o ntro lling gro up)
B NDES
-
8
352,554
Lo a ns
Line o f c re dit
B NDES
9
-
-
-
114
-
234
-
-
-
-
-
-
-
-
-
796
-
-
2,170
1,724
-
-
13
32
-
-
95
100
-
-
9,564
37
-
-
115,245
60,378
-
-
1,429
-
-
-
115,373
60,494
-
-
1,465
-
-
-
57,223
35,354
-
-
406
-
-
-
971,749
965,998
-
-
28,919
Lo a ns
De be nture s 1s t is s ue - no n-c o nve rtible
B NDES
10
Lo a ns
B NDES
11
P ró Es c o a nd Ene rgy Effic ie nc y P ro je c t
Lo a ns
De be nture s 4 t h is s ue - c o nve rtible
B NDES
12
Lo a ns
Line o f c re dit - dire c t
B NDES
13
Lo a ns
Line o f c re dit - dire c t + 1%
B NDES
14
Lo a ns
Line o f c re dit - dire c t P S I
B NDES
15
P e ns io n P la n
16
F unda ç ã o de S e gurida de S o c ia l (S o c ia l S e c urity
F o unda tio n) - B R AS LIGHT
B R AS LIGHT (pa rty o f the
c o ntro lling gro up)
11,296
* Equatorial Energia S.A.’s subsidiary.
62
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FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
Below, a summary of agreements executed with related parties:
C o ntra c ts with the s a m e gro up
R e la tio ns hip with Light S A.
Origina l Am o unt
Ite m
(Agre e m e nt o bje c tive s a nd c ha ra c te ris tic s )
M a turity da te
o r te rm
C o nditio ns fo r
te rm ina tio n o r
e nd
R e m a ining
ba la nc e
6.30.2010
Agre e m e nt C o nditio ns
Da te
C EM IG (pa rty o f the
c o ntro lling gro up)
614,049
J a n/2006
De c /2038
30% o f
re m a ining
ba la nc e
485,994
1
S tra te gic a gre e m e nt
P urc ha s e a gre e m e nt o f e le c tric po we r be twe e n Light
S ES A a nd C EM IG
P ric e e s ta blis he d in the
re gula te d m a rke t
S tra te gic a gre e m e nt
P urc ha s e a gre e m e nt o f e le c tric po we r be twe e n Light
S ES A a nd C EM IG
C EM IG (pa rty o f the
c o ntro lling gro up)
37,600
J a n/2010
De c /2039
30% o f
re m a ining
ba la nc e
36,951
2
P ric e e s ta blis he d in the
re gula te d m a rke t
C EM IG (pa rty o f the
c o ntro lling gro up)
156,239
J a n/2005
De c /2013
N/A
65,599
P ric e e s ta blis he d in the
re gula te d m a rke t
3
4
5
6
7
S tra te gic a gre e m e nt
S a le a gre e m e nt o f e le c tric po we r be twe e n Light Ene rgia
a nd C EM IG
S tra te gic a gre e m e nt
C o lle c tio n o f dis tributio n s ys te m us a ge c ha rge s be twe e n
Light S ES A a nd C EM IG
S tra te gic a gre e m e nt
C o m m itm e nt to the ba s ic e le c tric ne two rk us a ge c ha rge s
be twe e n Light S ES A a nd C EM IG
S tra te gic a gre e m e nt
C o m m itm e nt to the ba s ic e le c tric ne two rk us a ge c ha rge s
be twe e n Light Ene rgia a nd C EM IG
S tra te gic a gre e m e nt
Ele c tric po we r s a le c o m m itm e nt be twe e n Light Ene rgia
a nd C EM AR *
C EM IG (pa rty o f the
c o ntro lling gro up)
-
No v/2003
Unde te rm ine d
N/A
384
P ric e e s ta blis he d in the
re gula te d m a rke t
C EM IG (pa rty o f the
c o ntro lling gro up)
-
De c /2002
Unde te rm ine d
N/A
2,170
P ric e e s ta blis he d in the
re gula te d m a rke t
C EM IG (pa rty o f the
c o ntro lling gro up)
-
De c /2002
Unde te rm ine d
N/A
13
P ric e e s ta blis he d in the
re gula te d m a rke t
61,214
J a n/2005
De c /2013
N/A
26,284
P ric e e s ta blis he d in the
re gula te d m a rke t
B NDES
739,148
No v/2007
S e p/2014
N/A
352,554
B NDES
14,147
M a r/1999
Apr/2010
N/A
-
B NDES
105,000
J a n/1998
J a n/2010
N/A
-
B NDES
596
De c /2008
Oc t/2014
N/A
2,170
B NDES
767,252
J un/2005
J un/2015
N/A
95
B NDES
114,510
De c /2009
Apr/2017
N/A
115,245
TJ LP + 2.58% p.a .
B NDES
114,510
De c /2009
Apr/2017
N/A
115,373
TJ LP + 1% + 2.58% p.a .
B NDES
57,125
De c /2009
S e p/2019
N/A
57,223
535,052
J un/2001
J un/2026
N/A
971,749
Equa to ria l (pa rty o f the
c o ntro lling gro up)
Lo a ns
F INEM
TJ LP + 4.3% p.a .
8
Lo a ns
Line o f c re dit
B NDES B a s ke t +
4% p.a .
9
Lo a ns
De be nture s 1s t is s ue - no n-c o nve rtible
TJ LP + 4% p.a .
10
Lo a ns
11
TJ LP + 2.5% p.a .
P ró Es c o a nd Ene rgy Effic ie nc y P ro je c t
Lo a ns
De be nture s 4 t h is s ue - c o nve rtible
TJ LP + 4% p.a .
12
Lo a ns
Line o f c re dit - dire c t
13
Lo a ns
Line o f c re dit - dire c t + 1%
14
Lo a ns
Line o f c re dit - dire c t P S I
4.5% p.a .
15
P e ns io n P la n
16
F unda ç ã o de S e gurida de S o c ia l (S o c ia l S e c urity
F o unda tio n) - B R AS LIGHT
B R AS LIGHT (pa rty o f the
c o ntro lling gro up)
IP C A+ 6% p.a .
* Equatorial Energia S.A.’s subsidiary.
Related-party transactions have been executed under usual market conditions.
20. SHAREHOLDERS’ EQUITY
a) Capital Stock
There are 203,934,060 non-par and book-entry common shares of Light S.A.
(203,934,060 on March 31, 2010) as of June 30, 2010 recorded as Capital Stock in the
total amount of R$2,225,822 (R$2,225,822 on March 31, 2010), as follows:
63
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
Brazilian Corporation Law
LIGHT S.A.
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
6/30/2010
Number of Shares
106,304,597
26,576,150
1,081,649
52,070,649
26,576,149
SHAREHOLDERS
Controlling Group
RME Rio Minas Energia Participações S.A.
Andrade Gutierrez Concessões S.A.
Companhia Energética de Minas Gerais S.A.
Luce Empreendimentos e Participações S.A.
Other
BNDES Participações S.A. - BNDESPAR
Public
97,629,463
46,823,482
50,805,981
Overall total
3/31/2010
Number of Shares
106,304,597
26,576,150
1,081,649
52,070,649
26,576,149
% Interest
52.12
13.03
0.53
25.53
13.03
203,934,060
% Interest
52.12
13.03
0.53
25.53
13.03
47.88
22.96
24.92
97,629,463
48,494,482
49,134,981
47.88
23.78
24.10
100.00
203,934,060
100.00
Light S.A. is authorized to increase its capital up to the limit of R$203,965,072 through
resolution of the Board of Directors, regardless of amendments to the bylaws. However,
this increase is to occur exclusively upon the exercise of the warrants issued, strictly
pursuant to the conditions of the warrants (Bylaws, Article 5, paragraph 2).
21. ELECTRIC POWER SUPPLY
04.01 to 06.30
Residential
Industrial
Commerce, services and other
Rural
Public sector
Public lighting
Public utility
Own consumption
Billed sales
ICMS (State VAT)
Unbilled sales
TOTAL SUPPLY (3)
Electric power auction
Short-term energy
TOTAL SUPPLY
OVERALL TOTAL
Number of billed sales (1) (2)
2010
2009
3,719,905
11,565
273,030
11,145
10,219
779
1,314
361
4,028,318
4,028,318
4,028,318
3,651,775
12,002
269,417
11,016
10,159
432
1,309
328
3,956,438
3,956,438
3,956,438
Consolidated
GWh (1)
2010
R$
2010
2009
4,755
1,860
459
1,477
12
352
171
271
17
4,619
4,619
665,809
84,702
462,540
2,285
113,219
26,030
55,705
1,410,290
560,773
(51,147)
1,919,916
610,268
106,182
466,013
2,264
111,313
25,707
55,388
1,377,135
504,911
(49,962)
1,832,084
1,110
141
1,251
1,134
353
1,487
93,169
15,174
108,343
80,931
13,815
94,746
6,006
6,106
2,028,259
1,926,830
1,992
423
1,505
12
362
170
274
17
4,755
2009
(1) Not revised by the independent auditors
(2) Number of billed sales in June 2010, with and without consumption
(3) Light SESA
64
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
Brazilian Corporation Law
LIGHT S.A.
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
01.01 to 06.30
Residential
Industrial
Commerce, services and other
Rural
Public sector
Public lighting
Public utility
Own consumption
Billed sales
ICMS (State VAT)
Unbilled sales
TOTAL SUPPLY (3)
Electric power auction
Short-term energy
TOTAL SUPPLY
OVERALL TOTAL
Number of billed sales (1) (2)
2010
2009
3,719,905
11,565
273,030
11,145
10,219
779
1,314
361
4,028,318
4,028,318
4,028,318
3,651,775
12,002
269,417
11,016
10,159
432
1,309
328
3,956,438
3,956,438
3,956,438
Consolidated
GWh (1)
2010
R$
2009
2010
2009
4,408
872
3,207
26
752
337
549
34
10,185
10,185
4,024
892
3,059
25
712
339
536
34
9,621
9,621
1,468,502
175,043
965,497
4,815
229,751
51,287
110,228
3,005,123
1,168,052
(54,957)
4,118,218
1,328,805
208,486
961,038
4,809
223,146
51,116
108,224
2,885,624
1,068,876
(21,026)
3,933,474
2,240
609
2,849
2,259
482
2,741
182,934
22,096
205,030
159,295
19,602
178,897
13,034
12,362
4,323,248
4,112,371
(1) Not revised by the independent auditors
(2) Number of billed sales in June 2010, with and without consumption
(3) Light SESA
22. OTHER INCOME
04.01 to 06.30
Leases, rentals and other
Income from network usage
Income from services rendered
Taxed service
Consolidated
2010
2009
11,125
10,209
178,526
120,986
14,830
6,196
512
695
204,993
138,086
01.01 to 06.30
Leases, rentals and other
Income from network usage
Income from services rendered
Taxed service
Consolidated
2010
2009
21,898
19,843
348,301
241,902
27,399
15,081
979
1,354
398,577
278,180
65
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
23. CONSUMER CHARGES (Operating Revenue Deductions)
04.01 to 06.30
CCC - Cash
CCC - CVA
CCC - CVA Amortization
CDE - Cash
CDE - CVA
CDE - CVA Amortization
Taxes Charged from Consumers - RGR
EPE - Energy Research Company
FNDCT - National Development Fund
PEE - Energy Efficiency Plan
P&D - Research and Development
Consolidated
2010
2009
(51,672)
(30,118)
7,314
(19,310)
(1,003)
(61,693)
(51,546)
(51,519)
(3,576)
366
175
9,852
(16,088)
(21,166)
(1,446)
(1,340)
(2,893)
(2,679)
(6,503)
(5,966)
(3,846)
(2,679)
(131,084)
(186,252)
01.01 to 06.30
CCC - Cash
CCC - CVA
CCC - CVA Amortization
CDE - Cash
CDE - CVA
CDE - CVA Amortization
Taxes Charged from Consumers - RGR
EPE - Energy Research Company
FNDCT - National Development Fund
PEE - Energy Efficiency Plan
P&D - Research and Development
Consolidated
2010
(105,446)
16,628
(3,591)
(103,092)
(9,274)
387
(33,940)
(3,091)
(6,179)
(13,977)
(8,727)
(270,302)
2009
(67,324)
(30,989)
(127,945)
(103,038)
705
20,484
(42,396)
(2,841)
(5,686)
(12,766)
(5,686)
(377,482)
24. OPERATING COSTS AND EXPENSES
Consolidated
Operating Expenses
Cost of Service
04.01 to 06.30
Nature of the expense
Personnel and management
Material
Outsourced services
Electricity purchased for resale (Note 25)
Depreciation and amortization
Allowance for doubtful accounts
Provision for contingencies
Other
Total
Electric Power
(873,082)
(873,082)
Operation
(35,826)
(6,626)
(35,932)
(69,569)
(2,471)
(150,424)
Selling
(3,774)
(528)
(18,374)
(260)
(75,258)
(145)
(98,339)
Electric Power
(1,888,117)
(1,888,117)
Other Operating
Revenues (Expenses)
(17,240)
(930)
(28,201)
(8,958)
38,120
(21,408)
(38,617)
10,839
10,839
2010
(56,840)
(8,084)
(82,507)
(873,082)
(78,787)
(75,258)
38,120
(13,185)
(1,149,623)
2009
(62,663)
(6,465)
(63,903)
(811,854)
(76,078)
(66,543)
(18,494)
(25,186)
(1,131,186)
Consolidated
Operating Expenses
Cost of Service
01.01 to 06.30
Nature of the expense
Personnel and management
Material
Outsourced services
Electricity purchased for resale (Note 25)
Depreciation and amortization
Allowance for doubtful accounts
Provision for contingencies
Other
Total
General and Adm
Operation
(67,949)
(13,855)
(72,471)
(137,001)
(6,579)
(297,855)
Selling
(7,158)
(1,104)
(37,059)
(512)
(138,793)
(386)
(185,012)
General and Adm
(32,697)
(1,944)
(56,879)
(17,641)
131
(38,736)
(147,766)
Other Operating
Revenues (Expenses)
10,595
10,595
2010
(107,804)
(16,903)
(166,409)
(1,888,117)
(155,154)
(138,793)
131
(35,106)
(2,508,155)
2009
(124,756)
(10,938)
(122,708)
(1,683,847)
(152,420)
(126,708)
(23,881)
(44,987)
(2,290,245)
66
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
25. ELECTRIC POWER PURCHASED FOR RESALE
Consolidated
GWh(1)
04.01 to 06.30
2010
CVA (Recoverable Cost Variation)
Connection charges
Spot market energy
Network usage charges
Itaipu
UTE Norte Fluminense
Other contracts and electric power auctions
National Electric System Operator (O.N.S.)
R$
2010
(70,923)
(4,546)
3,718
(105,094)
(137,982)
(198,510)
(354,850)
(4,895)
(873,082)
2009
36,794
(4,822)
13,113
(95,659)
(160,790)
(239,394)
(356,869)
(4,227)
(811,854)
R$
2010
(235,430)
(9,195)
(8,080)
(210,305)
(278,677)
(394,815)
(742,021)
(9,594)
(1,888,117)
2009
64,318
(9,574)
(53,237)
(194,951)
(343,130)
(476,191)
(664,037)
(7,045)
(1,683,847)
2009
-
1,404
1,583
3,519
6,506
9
1,345
1,583
3,567
6,504
(1) Not revised by the independent auditors
Consolidated
(1)
01.01 to 06.30
GWh
2010
CVA (Recoverable Cost Variation)
Connection charges
Spot market energy
Network usage charges
Itaipu
UTE Norte Fluminense
Other contracts and electric power auctions
National Electric System Operator (O.N.S.)
765
2,676
3,150
7,732
14,323
2009
568
2,791
3,150
7,292
13,801
(1) Not revised by the independent auditors
67
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
26. FINANCIAL INCOME
04.01 to 06.30
REVENUES
Interest and variation on debts paid by installments
Restatement of tax credits
Charges on CVA accounts and Portion "A"
Income from temporary cash investments
Swap operations
Other
EXPENSES
Adjustment at present value of receivables
Restatement of tax liabilities
Restatement of provision for contingencies
Banking expenses
Charges and monetary variations with BNDES financing
Charges and monetary variations on actuarial liability of Brasilight
Interest and charges on loans and financing – foreign currency
Interest and charges on loans and financing – domestic currency
Charges on regulatory liabilities
th
Reversal Income Tax credit Debenture 4 Issue
Interest and fines on taxes
Regulatory fines
Installment payment - other fines and interest rates Law 11,941/09
Monetary variation – local currency
Exchange variation – foreign currency
Swap operations
Other
NET FINANCIAL INCOME
5
175
3
183
-
Consolidated
2010
22,066
15,281
12,312
(23)
2,100
51,736
29,180
8,285
772
10,450
(7,196)
(2,232)
39,259
(217)
-
3,436
(9)
(5,737)
(559)
(12,284)
(28,919)
(1,692)
(45,072)
(2,828)
5,619
(7,312)
(8,722)
(2,360)
(384)
(11,296)
(3,317)
(43,470)
(2,043)
-
(1)
(218)
(11,523)
10,377
(4,152)
18,945
(12)
(1,057)
(189)
(3,011)
(84,286)
(6)
21,895
(2,560)
3,167
(50,789)
50
(32,550)
(11,530)
(2)
(2)
EXPENSES
Adjustment at present value of receivables
Adjustment Braslight surplus
Restatement of tax liabilities
Restatement of provision for contingencies
Banking expenses
Charges and monetary variations with BNDES financing
Charges and monetary variations on actuarial liability of Brasilight
Interest and charges on loans and financing – foreign currency
Interest and charges on loans and financing – domestic currency
Charges on regulatory liabilities
th
Reversal Income Tax credit Debenture 4 Issue
Interest and fines on taxes
Regulatory fines
Installment payment - other fines and interest rates Law 11,941/09
Monetary variation – local currency
Exchange variation – foreign currency
Swap operations
Other
Parent Company
2010
2009
20
343
7
370
370
2009
261
7
268
181
01.01 to 06.30
REVENUES
Interest and variation on debts paid by installments
Restatement of tax credits
Charges on CVA accounts and Portion "A"
Income from temporary cash investments
Swap operations
Other
NET FINANCIAL INCOME
Parent Company
2010
2009
Consolidated
2010
1,088
15
1,103
2009
41,955
18,073
28,723
32
7,383
96,166
46,089
14,926
6,001
27,858
(8,286)
(1,060)
85,528
8,057
(6,388)
(34)
(22,817)
(15,338)
(24,734)
(61,215)
(3,972)
(87,180)
(5,223)
11,419
(15,589)
(30,190)
(2,411)
(708)
(20,488)
(7,752)
(90,662)
(7,133)
-
(24)
(241)
(11,523)
9,718
(6,895)
12,447
(10)
(3,238)
81
(8,298)
(226,562)
(7)
42,808
(2,560)
1,463
(121,810)
862
(130,396)
(36,282)
(217)
-
68
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
27. FINANCIAL INSTRUMENTS
Below, we compared book and market values of financial instruments’ assets and
liabilities:
Consolidated
6/30/2010
3/31/2010
Book value
Market Value
Book value
Market Value
ASSETS
Temporary cash investments (Note 4)
Accounts receivable (Note 5)
Swaps
LIABILITIES
Suppliers (Note 12)
Loans and financing (Note 13)
Debentures (Note 14)
Swaps (Note 13)
714,596
1,532,326
45
2,246,967
714,596
1,532,326
45
2,246,967
471,998
1,696,338
118
2,168,454
471,998
1,696,338
118
2,168,454
493,791
1,267,745
1,201,200
5,666
2,968,402
493,791
1,272,061
1,201,200
5,666
2,972,718
549,879
1,162,553
1,217,598
5,345
2,935,375
549,879
1,169,467
1,217,598
5,345
2,942,289
a) Policy for utilization of derivatives
The policy for utilization of derivative instruments approved by the Board of Directors
determines the debt service protection (principal plus interest and commissions)
denominated in foreign currency to mature within 24 months, forbidding any utilization
for speculative purposes, whether in derivatives or any other risk assets.
In line with provisions of this policy, the Company and its subsidiaries do not have
futures contracts, options, swaptions, swaps with regret option, flexible options,
derivatives embedded in other products, structure operations with derivatives and
“exotic derivatives”. In addition, it is evidenced through the chart above that the single
derivative instrument used by the Company and its subsidiaries is the non-cash currency
swap (US$ versus CDI), whose Contractual Notional Value corresponds to the amount
of foreign currency-denominated debt service to expire within 24 months, in line with
the policy for the utilization of aforementioned derivatives.
b) Risk management and objectives achieved
The management of derivative instruments is conducted by means of operating
strategies, aiming liquidity, profitability and safety. The control policy consists of
permanently inspecting the policy compliance in the utilization of derivatives, as well as
to monitor the rates contracted against those used in the market.
69
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
c) Classification and measurement of financial instruments:
Concerning the calculation of market value, below a few considerations:
 Receivables - consumers, concessionaires and permissionaires (clients) are
classified as loans and receivables and are recorded by their original values, less
provision for losses and present value adjustment, where applicable.
 Suppliers are measured by the “amortized cost method” and therefore, recognized
by their original value. According to OCPC 03 guidelines, these financial
instruments are recorded as “financial liabilities not measured at the fair value”.
 Loans and financing: are measured by the “amortized cost method. Market values
were calculated at interest rates applicable to instruments with similar nature,
maturities and risks, or based on market quotations of these securities. The market
values for BNDES financing are identical to accounting balances, since there are no
similar instruments, with comparable maturities and interest rates. In case of
debentures, book and market values are identical, as there is no liquid trading
market for these debentures as an accurate benchmark in the market calculation.
These financial instruments are classified as “financial liabilities not measured at
the fair value”.
 Swap operations: are measured by the “market value”. A the determination of
market value used available information in the market and usual pricing
methodology: the face value (notional) evaluation for long position (in U.S. dollars)
until maturity date and discounted at present value of clean coupon rates, published
in bulletins of Securities, Commodities and Futures Exchange – BM&F Bovespa.
It is worth mentioning that estimated market values of financial assets and liabilities
were determined by means of information available on the market and appropriate
valuation methodologies. Nevertheless, meaningful judgment was required when
interpreting market data to produce the most appropriate market value estimate. As a
result, estimates used and presented below do not necessarily indicate the amounts that
may be realized in current exchange market.
d) Risk Factors
During the normal course of its businesses, the Company and its subsidiaries are
exposed to the market risks related to currency variations and interest rates, as evidenced
in the chart below:
70
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
Debt breakdown (excluding financial charges):
Consolidated
6/30/2010
USD
Currency basket BNDES
Foreign currency (current and noncurrent)
CDI
TJLP
Other
Local currency (current and noncurrent)
Overall total (current and noncurrent)
R$
95,846
95,846
1,731,105
581,585
60,409
2,373,099
2,468,945
%
3.9
3.9
70.1
23.6
2.4
96.1
100.0
3/31/2010
R$
101,782
114
101,896
1,747,498
492,277
38,480
2,278,255
2,380,151
%
4.3
4.3
73.4
20.7
1.6
95.7
100.0
On June 30, 2010, according to the chart above, the foreign currency-denominated debt
is R$95,846, or 3.88% of total debt.
Financial derivative instruments were contracted for the amount of foreign currencydenominated debt service to expire within 24 months, in the swap modality, whose
notional value on June 30, 2010 stood at US$21,879, according to the policy for
utilization of derivative instruments approved by the Board of Directors. Thus, if we
deduct this amount from total foreign currency-denominated debt, the foreign exchange
exposure represents 2.29% of total debt.
Below we provide a few considerations and analyses on risk factors impacting on
business of Grupo Light companies:
 Currency risk
Considering that a portion of Light Sesa’s loans and financing is denominated in foreign
currency, the company uses derivative financial instruments (swap operations) to hedge
service associated with these debts (principal plus interest and commissions) to expire
within 24 months. Derivative operations resulted in a R$189 loss in 2Q10 (a loss of
R$9,756 in 2Q09). The net amount of swap operations as of June 30, 2010, considering
the fair amount, is a negative R$5,621 (negative by R$116 on June 30, 2009), as shown
below:
71
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
Brazilian Corporation Law
LIGHT S.A.
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
Institution
Light's
Receivable
Light's
Payable
Citibank
US$+2.80%
100% CDI
2/10/09
9/10/10
Notional
Value
Contracted
(US$
thousand)
74
-
(50)
(50)
Citibank
US$+2.80%
100% CDI
2/10/09
10/11/10
5,511
-
(3,743)
(3,743)
(254)
Starting Date Maturity Date
Fair Value
Jun/10
(R$) Assets
Fair Value
Jun/10
(R$) Liabilities
Fair Value
Jun/10
(R$) Balance
Citibank
US$+2.80%
100% CDI
2/10/09
12/27/10
376
-
(254)
Banco Itau
US$+2.20%
100% CDI
6/18/09
3/10/11
69
-
(20)
(20)
Citibank
US$+2.33%
100% CDI
6/18/09
4/12/11
5,436
-
(1,578)
(1,578)
Banco Itau
US$+2.30%
100% CDI
9/10/09
9/12/11
67
-
(8)
(8)
Banco Itau
US$+2.79%
100% CDI
10/9/09
10/11/11
5,272
-
(13)
(13)
Citibank
US$+3.20%
100% CDI
3/10/10
3/12/12
64
-
-
-
Banco Itau
US$+2.82%
100% CDI
4/12/10
4/11/12
5,010
45
-
Totals
21,879
45
(5,666)
45
(5,621)
The amount recorded was already measured by its fair value on June 30, 2010. All
operations with derivative financial instruments are registered in clearing houses for the
custody and financial settlement of securities and there is no margin deposited in
guarantee. Operations have no initial cost.
Below, the sensitivity analysis for foreign exchange and interest rates fluctuations,
showing eventual impacts on financial result of the Company and its subsidiaries.
The methodology used in the “Probable Scenario” was to consider that both foreign
exchange and interest rates will maintain the same level verified on June 30, 2010 until
the end of 2010, maintaining steady liabilities, derivatives and temporary cash
investments verified on June 30, 2010. It is worth highlighting that, as this refers to a
sensitivity analysis of the impact on the 2010 financial result, the realized amounts of
financial expense and/or revenue until 2Q10 were considered, and charges projection for
the next six months over debt balance on June 30, 2010. It is worth mentioning that the
behavior of debt and derivatives balances will observe their respective contracts, and the
balance of temporary cash investments will fluctuate according to the need or available
funds of the Company and its subsidiaries.
72
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FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
Operation
FINANCIAL LIABILITIES
Par Bond
Discount Bond
C. Bond
Debit. Conv.
Bib
BNDES - Financ. Imports
KfW
DERIVATIVES
Swaps
Risk
USD
USD
USD
USD
USD
Basket
USD
USD
Reference for financial assets and liabilities
Financial
R$/US$ exchange rate (end of the period)
Scenario (I): Probable
R$
Scenario (II)
Scenario (III)
(116,765)
(40,428)
(26,308)
(29,633)
(17,530)
(943)
(366)
(1,557)
(141,441)
(49,232)
(32,289)
(35,751)
(20,903)
(1,136)
(366)
(1,764)
(166,393)
(58,149)
(38,355)
(41,906)
(24,301)
(1,329)
(366)
(1,987)
(2,283)
7,801
17,884
+25%
+50%
2.2519
2.7023
1.8015
Exchange Rate Appreciation Risk
Operation
FINANCIAL LIABILITIES
Par Bond
Discount Bond
C. Bond
Debit. Conv.
Bib
BNDES - Financ. Imports
KfW
DERIVATIVES
Swaps
Risk
USD
USD
USD
USD
USD
Basket
USD
USD
Reference for financial assets and liabilities
Financial
R$/US$ exchange rate (end of the period)
Scenario (I): Probable
R$
Scenario (IV)
Scenario (V)
(116,765)
(40,428)
(26,308)
(29,633)
(17,530)
(943)
(366)
(1,557)
(91,537)
(31,397)
(20,157)
(23,439)
(14,109)
(750)
(366)
(1,319)
(66,585)
(22,480)
(14,091)
(17,284)
(10,711)
(557)
(366)
(1,096)
(2,283)
(12,366)
(22,449)
-25%
-50%
1.3511
0.9008
1.8015
With the chart above, it is possible to identify that despite partial hedge against foreign
currency-denominated debt (only limited to debt service to expire within 24 months), as
R$/US$ quote increases, liabilities financial expense also increases but financial
revenues of derivatives also partially offset this negative impact and vice-versa. Thus,
cash is hedged thanks to the derivatives policy of the Company and its subsidiaries.
 Interest rate risk
This risk derives from impact of interest rates fluctuation not only over financial
expense associated with loans and financing of subsidiaries, but also over financial
revenues deriving from temporary cash investments. The policy for utilization of
derivatives approved by the Board of Directors does not comprise the contracting of
instruments against such risk. Nevertheless, the Company and its subsidiaries
73
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
continuously monitor interest rates so that to evaluate eventual need of contracting
derivatives to hedge against interest rates volatility risk.
See below the sensitivity analysis of interest rate risk, evidencing the effects on
scenarios variation results:
Operation
Risk
FINANCIAL ASSETS
Temporary cash investments
CDI
FINANCIAL LIABILITIES
Scenario (I):
Probable
R$
Scenario (II)
Scenario (III)
61,949
66,278
70,534
(244,350)
(272,977)
(301,668)
Debentures 5th issue
CCB Bradesco
CCB Bco ABN Amro Banking S/A
Debentures 4th issue
FINEM BNDES 2006-2008
FINEM BNDES 2009-2010
FINEM BNDES 2009-2010 TJLP+1
PROESCO
Debentures 6th issue
CDI
CDI
CDI
TJLP
TJLP
TJLP
TJLP
TJLP
CDI
(99,262)
(46,475)
(5,282)
(14)
(41,635)
(9,206)
(9,973)
(178)
(32,325)
(110,859)
(52,191)
(5,614)
(15)
(45,533)
(10,466)
(11,240)
(199)
(36,860)
(122,455)
(57,907)
(5,946)
(16)
(49,431)
(11,727)
(12,507)
(219)
(41,460)
DERIVATIVES
Swaps
CDI
(2,283)
(2,848)
(3,408)
Reference for FINANCIAL ASSETS
CDI (% YTD)
9.52%
+25%
10.79%
+50%
12.05%
Reference for FINANCIAL LIABILITIES
CDI (% YTD)
TJLP (% YTD)
9.52%
6.09%
+25%
10.79%
6.47%
+50%
12.05%
6.85%
74
A free translation of the original in Portuguese)
FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
Risk of Interest Rate Increase
Risk
FINANCIAL ASSETS
Temporary cash investments
CDI
61,949
57,545
53,063
CDI
CDI
CDI
TJLP
TJLP
TJLP
TJLP
TJLP
CDI
(244,350)
(99,262)
(46,475)
(5,282)
(14)
(41,635)
(9,206)
(9,973)
(178)
(32,325)
(215,786)
(87,668)
(40,760)
(4,949)
(12)
(37,737)
(7,945)
(8,706)
(157)
(27,852)
(187,285)
(76,071)
(35,044)
(4,617)
(11)
(33,838)
(6,685)
(7,439)
(137)
(23,443)
CDI
(2,283)
(1,710)
(1,131)
Reference for FINANCIAL ASSETS
CDI (% YTD)
9.52%
-25%
8.23%
-50%
6.93%
Reference for FINANCIAL LIABILITIES
CDI (% YTD)
TJLP (% YTD)
9.52%
6.09%
-25%
8.23%
5.70%
-50%
6.93%
5.31%
FINANCIAL LIABILITIES
Debentures 5th issue
CCB Bradesco
CCB Bco ABN Amro Banking S/A
Debentures 4th issue
FINEM BNDES 2006-2008
FINEM BNDES 2009-2010
FINEM BNDES 2009-2010 TJLP+1
PROESCO
Debentures 6th issue
DERIVATIVES
Swaps
Scenario (I):
Probable
R$
Scenario (II)
Operation
Scenario (III)
 Credit risk
It refers to the Company and its subsidiaries eventually suffering losses deriving from
default of counterparties or financial institutions depositary of funds or temporary cash
investments. To mitigate these risks, the Company and its subsidiaries adopt the
analysis of financial and equity position of its counterparties as practice, as well as the
definition of credit limits and permanent monitoring of outstanding positions.
Concerning financial institutions, the Company and its subsidiaries only carry out
operations with low-risk financial institutions classified by rating agencies.
28. INSURANCE
On June 30, 2010, Light Group had insurance covering its main assets.
The assumptions of risks adopted, given their nature, are not included in the scope of a
special review, accordingly, they were not audited by independent auditors.
Insurance coverage as of June 30, 2010 is considered sufficient by Management, as
summarized below:
75
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FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
Effective Term
From
To
RISKS
Directors & Officers (D&O)
Civil and general liabilities
Operating risks*
8/10/2009
9/25/2009
10/31/2009
Amount
Insured
Premium
8/10/2010 US$20.000
9/25/2010
R$20,000
10/31/2010 R$ 3,572,187
US$ 81
R$452
R$1,632
* Maximum Limit of Indemnification (MLI) = R$300,000
29. STATEMENT OF INCOME BY COMPANY
01.01 to 06.30
OPERATING REVENUE
Billed sales
Unbilled sales
Supply - Electric Power
Other
REVENUES DEDUCTION
Billed sales - ICMS (State VAT)
Consumer charges
PIS (Tax on Revenues)
COFINS (Tax on Revenues)
COFINS - CVA - Amortization
Other
NET OPERATING REVENUE
Light SESA
Light Energia
Light SA
Light ESCO
Lightcom
Other
Removals
Consolidated 2010
4,507,310
169,307
-
75,362
38,602
-
4,173,175
-
-
-
-
-
(54,957)
-
-
-
-
-
(68,756)
4,721,825
10,841
166,273
-
49,431
38,602
-
(60,117)
205,030
378,251
3,034
-
25,931
-
-
(8,639)
398,577
(1,691,593)
(21,658)
-
(7,398)
(6,152)
-
-
(1,726,801)
(1,168,052)
-
-
(3,643)
(6,024)
-
-
(1,177,719)
(263,080)
(7,222)
-
-
-
-
-
(270,302)
(47,182)
(2,574)
-
(516)
(22)
-
-
(50,294)
(211,981)
(11,856)
-
(2,374)
(106)
-
-
(226,317)
-
-
-
-
-
-
-
-
(1,298)
(6)
-
(865)
-
-
-
(2,169)
2,815,717
147,649
-
67,964
32,450
-
(68,756)
2,995,024
4,173,175
(54,957)
(2,425,602)
(58,973)
(3,491)
(57,113)
(31,732)
-
68,756
(2,508,155)
Personnel
(95,201)
(9,118)
(2,089)
(1,396)
-
-
-
(107,804)
Material
(10,683)
(347)
(6)
(5,757)
(110)
-
-
(16,903)
(147,160)
(7,104)
(1,037)
(10,805)
(303)
-
-
(166,409)
OPERATING EXPENSES AND COSTS
Outsourced services
(1,880,034)
(7,150)
-
(38,319)
(31,190)
-
68,576
(1,888,117)
Depreciation
(142,670)
(12,178)
-
(306)
-
-
-
(155,154)
Provisions
(129,337)
(9,325)
-
-
-
-
-
(138,662)
(20,517)
(13,751)
(359)
(530)
(129)
-
180
(35,106)
-
-
221,982
-
-
-
(221,982)
-
(111,131)
(20,745)
370
538
86
486
-
(130,396)
110,500
3,432
370
590
109
497
(19,332)
96,166
(221,631)
(24,177)
-
(52)
(23)
(11)
19,332
(226,562)
486
(221,982)
Energy purchased
Other
Equity in the earnings of subsidiaries
FINANCIAL INCOME
Financial revenue
Financial expenses
67,931
218,861
Social contribution
(23,867)
(6,184)
-
(978)
(72)
(42)
-
(31,143)
Income tax
(76,633)
(17,098)
-
(2,690)
(190)
(110)
-
(96,721)
178,484
44,649
218,861
7,721
542
334
(221,982)
(8,916)
(692)
(36)
(140)
-
-
-
(9,784)
169,568
43,957
218,825
7,581
542
334
(221,982)
218,825
INCOME BEFORE TAXES
INCOME AFTER TAXES
Employees profit sharing
NET INCOME
278,984
11,389
804
356,473
228,609
30. LONG-TERM INCENTIVE PLAN
On June 30,2010 the subsidiary Light Sesa set up a provision of R$1,059 referring to
the vesting period of the long-term “phantom options” incentive plan, incurred in the
second quarter of 2010 against personnel expenses, in the total provision amount of
R$2,118 in 2010.
76
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BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
BOARD OF DIRECTORS
MEMBERS
ALTERNATES
Aldo Floris
Lauro Alberto de Luca
Ana Marta Horta Veloso
João Procópio Loures Vale
Djalma Bastos de Morais
João Batista Zolini Carneiro
João Márcio Lignani Siqueira
Fernando Henrique Schuffner Neto
Firmino Ferreira Sampaio Neto
Carlos Augusto Leone Piani
Luiz Carlos Costeira Urquiza
Paulo Roberto Reckziegel Guedes
Carlos Roberto Teixeira Junger
Ricardo Simonsen
Sérgio Alair Barroso
Luiz Fernando Rolla
Maria Silvia Bastos Marques
Almir José dos Santos
Carlos Alberto da Cruz
Carmen Lúcia Claussen Kanter
Elvio Lima Gaspar
Joaquim Dias de Castro
FISCAL COUNCIL
MEMBERS
ALTERNATES
Ari Barcelos da Silva
Eduardo Gomes Santos
Isabel da Silva Ramos Kemmelmeier
Ronald Gastão Andrade Reis
Eduardo Grande Bittencourt
Ricardo Genton Peixoto
Maurício Wanderley Estanislau da Costa
Márcio Cunha Cavour Pereira de Almeida
Aristóteles Luiz Menezes Vasconcellos
Drummond
Aliomar Silva Lima
77
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FEDERAL PUBLIC SERVICE
BRAZILIAN SECURITIES AND EXCHANGE COMMISSION (CVM)
QUARTERLY INFORMATION (ITR)
COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANIES
01987-9
June 30, 2010
LIGHT S.A.
Brazilian Corporation Law
03.378.521/0001-75
06.01 – NOTES TO THE FINANCIAL STATEMENTS
BOARD OF EXECUTIVE OFFICERS
Jerson Kelman
Chief Executive Officer
João Batista Zolini Carneiro
Chief Financial and Investor Relations Officer
Evandro Leite Vasconcelos
Officer
Paulo Carvalho Filho
Officer
Ana Silvia Corso Matte
Officer
José Humberto Castro
Officer
Paulo Roberto Ribeiro Pinto
Officer
CONTROLLERSHIP AND PLANNING SUPERINTENDENCE
Luciana Maximino Maia
Accountant – Accounting Manager
CPF 144.021.098-50
CRC-RJ 091476/O-0
78