Rome, February 28, 2008 - Enels Board of Directors expressed full solidarity, trust and support for CEO Fulvio Conti, and reiterated its full support of his conduct.
Enel is fully cooperating with the ongoing investigation in connection with the sale of Wind and, following news articles that appeared during the past year, has undertaken appropriate reviews by the internal audit department.
Enel reminds investors that beginning in 2002 it had publicly announced its intention to refocus its operations on the energy business and international growth, and announced its intention to sell Wind at a market value not less than the valuation reached in the preceding repurchase of the minority interest owned by France Telecom.
At the beginning of 2005 the company received several indications of interest which developed into two competing offers which eventually resulted in the sale of Wind to Weather SpA, who had made the higher offer as also confirmed by external experts opinions obtained by the Board of Directors.
The sale of Wind was thus carried out on the basis of a comparison of competing offers in accordance with the principles of competition, transparency and non-discrimination among the offerors and in full compliance with laws.
With respect to the alleged corruption, Enel notes that the company did not grant any advisory mandates, with the exception of assistance requested from its financial and legal advisors, in particular Morgan Stanley, Merrill Lynch and the Italian law firm Chiomenti, which were paid customary fees which in this case were quite favourable to Enel.
In conclusion, Enel confirms that as customary it is available to the Judicial Authorities to provide any further information if so requested.
The CEO, Fulvio Conti, stated: I have nothing to hide and remain determined to prove that neither Enels nor I have any involvement in the matter under investigation. The Wind sale transaction occurred in a transparent manner and it was subjected to all internal and external corporate governance control systems and was appreciated by the financial markets. I am available to the Judicial Authorities to clarify any doubt they may have. I am confident in a rapid conclusion of the investigation that has been underway for about one year, also in the interest of Enel which is living a moment of strong international growth and the strengthening of its leadership in the market.
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