4Q11 Results

March, 2012

2

Net revenue of R$ 1,886 million, 8% greater than 2010

2% decrease in costs and operational expenses1

Ebitda reached R$ 1,466 million, with margin of 78%

Net income of R$ 845 million, increased 15% comparing to 2010

Investment record - R$ 175 million - mainly in the modernization of Nova Avanhandava (347 MW),

Ibitinga (132 MW) and Caconde (80 MW) power plants

Energy generation 24% higher than physical guarantee

Financial

Operational

2011 Highlights

1 – Excluding the bi-annual maintenance expenses of locks occurred in 2010

2011 Highlights

3

Corporate

Governance AES Tietê was maintained, for the fifth consecutive year, as one of the 38 Companies

listed in BM&FBovespa Corporate Sustainability Index (ISE)

Awards Abrasca Value Creation Award – Sector Highlight 2011

Best Annual Report – Publicly-held companies, category b – Companies with

revenues under to R$ 2 billion

Subsequent

Events

Proposal for complementary dividends distribution and interest on equity, totaling R$ 283

million, composed by R$ 0.71 per common share and $ 0.78 per preferred share, to be

submitted for approval at the General Shareholders’ Meeting, to be held on April 16th

2012

− Pay-out of 109% in 2011

4

Dispatch of power plants in SIN1 - Thermal x Hydro

Southeast

/Center

West

South Northeast North

Reservoirs level in SIN1

Lower dispatch of thermal power plants and high

reservoir levels in SIN1

1- Interconnected National System

4Q09 4Q10 4Q11

Thermal Hydro

94%

6%

86%

14%

90%

10%

45%

72%

45%40%

61%57% 57%

53%

4Q10 4Q11

22

%

73

%

43

%

52

%

48

%

49

%

33

%

62

%

2010 2011

118%

130%

125%124%

Generation/Physical guarantee

2008 2009 2010 2011

1,512

1,665 1,599 1,582

Generation - Mwavg

1 – As of 12/31/2011

5

Reservoirs level of AES Tietê’s power plants1 Energy generation (MW average3)

High level of Company’s reservoirs and

operational availability

2 – Reservoirs volume

3 – Generated energy divided by the amount of period hours

A. Vermelha2 B. Bonita2 Promissão2 Caconde2

(11 km3) (3.6km3) (8.1km3) (0.6km 3)

Average: 38% 44%

6

Investments in 2011

Investment record in 2011, mainly due to the modernization

of Nova Avanhandava, Ibitinga and Caconde power plants

Investments (R$ million)

* Small Hydro Power Plants

2010 2011 2012 (e) 4Q10 4Q11

70

156174

2452

12

19

4

5

Investments New SHPP's*

82

175

28

57

85%

11%4%

Equipment and Modernization

New SHPPs*

IT projects

7

Termo São Paulo Project

Perspectives

• Features of Project

- 550 MW of installed capacity

- Combined cycle using natural gas

- Estimated investment of R$ 1.1 billion

- Natural gas consumption: 2.5 million m3/day

• Next events

• Updates

- Get the installation license

- Obtain gas supply in order to:

- Participate in next energy auctions; or

- Evaluate energy offering in the free market

- Environmental license obtained on October, 20th 2011

(valid for 5 years)

- Gas unavailability for A-5 in 2011 and A-3 Energy

Auction in 2012

2010 2011 4Q10 4Q11

11,108 11,108

2,530 3,063

1,980 1,942

426 407

1,340 1,519

204 330

301 554

86 207

14,729 15,122

3,246 4,008

8

1Q10 1Q11

52 108643 424 566 587

3,015 2,526

4,276 3,645

AES Eletropaulo Energy Reallocation Mechanism Spot Market Other Bilateral Contracts

Higher energy volume sold at spot market and other bilateral

contracts in 2011, with reduction in billed energy in ERM*

Billed Energy (GWh)

*ERM – Energy Reallocation Mechanism

*

+3%

+23%

2010 2011 4Q10 4Q11

1,6511,773

386508

66

54

2415

3759

1019

1,754 1,886

421

542

AES Eletropaulo Spot/MRE Other bilateral contracts

9

Readjustment of 8.65% on July/2011 on the contract with

AES Eletropaulo

Net revenue (R$ million)

+29%

+8%

1Q10 1Q11

7 1016 24

437 386

AES Eletropaulo Spot/Energy Reallocation Mechanism Other bilateral contracts

10

Manageable costs below inflation, lower expenses with

energy purchased for resale and provisions

contributed for the good performance

Costs and operational expenses¹ (R$ million)

1 – Do not include depreciation and amortization 2 – PMS = Personnel, Material and Outsourced Services

2010 Transmission and Connection

Financ. Comp. for Use of Water Res.

Personnel, Material and

Outsourced Services²

Energy Purchased for

Resale

Operational Provisions

and Other Operating Exp

2011

434

420

6 3 1

10

12

2010 2011 4Q10 4Q11

1,3201,466

286419

EBITDA

11

Ebitda (R$ million)

Ebitda margin reached 78% in 2011

75% 78%

68%77%

EBITDA Margin

(57)

(47)

(15)

(4)

12

Financial results favored by reversal of provisions

and lower financial expenses

Financial Result * (R$ million)

2010 2011

* Excluding non-recurring effect of R$ 42.6 million related to FURNAS in 2010, the financial results would be R$ 99,7 million

118% 108%

3% 3%

2010 2011 4Q10 4Q11

737845

167263

117%109%

11% 11%

13

Net income 15% higher in 2011 reflecting the good

performance of revenues 100% 110%

3,4% 2,5%

Pay-out Yield PN

1T10 1T11

220

193

1 1

1 – Pay-out referred to dividends to be paid of 4Q10 in relation to the net income adjusted by the IFRS

Net Income (R$ million)

Distribution of R$ 283 million in dividends and

interest on equity related to 4Q11:

- R$0.71 per common share

- R$0.78 per preferred share

• Annual Dividend Yield : 11%

371354151161Net income

Yield Preferred Shares

14

Cash flow reflects higher revenues from the bilateral contract

Final Cash Balance (R$ million) Operating Cash Flow (R$ million)

+2%

+39%

2010 2011

565 442

-22%

2010 2011 4Q10 4Q11

1,319 1,350

291 404

2010 2011

114% 115%

3.12.6

1 – Percentage of CDI

Average Term - Years

13.98% 12.06%

Effective rate

1Q10 1Q11

124.8% 113.9%

CDI

1.8

3.1

Average Term1

0.3 0.3

0

0,1

0,2

0,3

0,4

0,5

0,6

0,7

0,8

Net debt / EBITDA

2010 2011

0.4 0.5

Net debt

15

Stable Net Debt/EBITDA in 0.3 times

Net Debt (R$ billion) Average Cost and Average Term (Principal)

2010 2011

114% 115%

3.12.6

1 – Percentage of CDI

Average Term - Years

13.98% 12.06%

Effective rate

1Q10 1Q11

124.8% 113.9%

CDI

1.8

3.1

Average Term1

The statements contained in this document with regard to the

business prospects, projected operating and financial results,

and growth potential are merely forecasts based on the

expectations of the Company’s Management in relation to its

future performance.

Such estimates are highly dependent on market behavior and

on the conditions affecting Brazil’s macroeconomic

performance as well as the electric sector and international

market, and they are therefore subject to changes.

4Q11 Results