2nd Annual Light and Investor Meeting

March, 3rd, 2009

Aviso Importante
This presentation may include declarations that represent forward-looking statements according to Brazilian regulations and international movable values. These declarations are based on certain assumptions and analyses made by the Company in accordance with its experience, the economic environment, market conditions and future events expected, many of which are out of the Companys control. Important factors that can lead to significant differences between the real results and the future declarations of expectations on events or business-oriented results include the Companys strategy, the Brazilian and international economic conditions, technology, financial strategy, developments of the public service industry, hydrological conditions, conditions of the financial market, uncertainty regarding the results of its future operations, plain, goals, expectations and intentions, among others. Because of these factors, the Companys actual results may significantly differ from those indicated or implicit in the declarations of expectations on events or future results. The information and opinions herein do not have to be understood as recommendation to potential investors, and no investment decision must be based on the veracity, the updated or completeness of this information or opinions. None of the Companys assessors or parts related to them or its representatives will have any responsibility for any losses that can elapse from the use or the contents of this presentation. This material includes declarations on future events submitted to risks and uncertainties, which are based on current expectations and projections on future events and trends that can affect the Companys businesses. These declarations include projections of economic growth and demand and supply of energy, in addition to information on competitive position, regulatory environment, potential growth opportunities and other subjects. Various factors can adversely affect the estimates and assumptions on which these declarations are based on.

Corporate Structure
52.1%]

25.0%

25.0%

25.0%

25.0%

33.6%

6.5%

7.8%

100.0%

! "#

Total shares: 203,933,778 Market Value: R$ 5,2 billions (as of February 27, 2009)

Great Place to Work

Peoples Values from Light

Focus on Results Merit Courage and Perseverance Solidary and ethical behavior Joy

Mission

To be a major Brazilian Company committed to sustainability, respected and admired for the excellence of the services rendered to its clients and the community, for creating value for its shareholders and for being a good place to work.

Strong Participation in Distribution and Generation Segment

4th largest energy distribution company in Brazil 6th largest private company in hidro- generation in Brazil
Installed Capacity 855MW

LIGHT

3.9 million clients (attending over 10 million people) Energy sales (2008) 23,698 GWh 70% of the consumption of Rio de Janeiro state (Brazils 2nd GDP)

5 power plants and 2 pumping station Assured energy: 537MW average

Planned Management
Strategic Guideline OperationalStrategy

Swot Matrix Strategic Ambition Reference scenario

Global Targets

Budget
By Executive Officers

Management Commitment

Strategic Planning

Tranformation Plan

Adding Value Plan

Sustainability

Main actions developed in 2008

Social
Energy efficiency Pilot Project in risk communities Efficiency Community Diversity Policy and admission of 53 PPD' s First prize in supply Quality Security work management

SOCIAL INVESTMENTS

Investments in communities (R$ thousand) N of communities served

Sustainability

Main actions developed in 2008

Environment
Emissions inventory of greenhouse gases SGA certifications Transformers with insulating oil plant Certified origin or recycled paper

ENVIRONMENTAL INVESTMENTS

Environmental Investments (R$ thousand) N of additional certifications ISO 14.000

Customers Perception
Light is ranked in 2nd place in the Electric Sector as a company that most respects its customers.

AES Eletropaulo

Light

Cemig

Celpe

CEE

Others

Source: revista do consumidor moderno dez/08

Strategy

Return to shareholders
Growth in Generation Business

Operational Efficiency

Losses Reduction

Trading Energy

Sustainability

Shares Performance
Light x Ibovespa x IEE
R$/share 08/10/06 02/26/09

08/10/06 = 100 until 02/26/09

12.88 25.05

2008 Results

    '

  &     

Energy Distribution Growth

     

Electric Energy Consumption (GWh)

!  " 

#

$  %       

Net Revenue

EVOLUTION NET REVENUE (R$ Million)

CAGR = +4.3%

Collection Rate Evolution

Collection Rate (12-month moving average)

Collection by Segment

 

0

) 2 





3 4



Losses Evolution
Energy Losses Evolution (12 months)

Pass-through previous review: 15.97%

( ( ( @  ( A (   

Pass-through in the actual tariff: 19.15%

"    

9

"    

7  "  %  



%  

6 5 6

NON TECHNICAL LOSSES PROFILE $ & ' % & (

Costs and Expenses

Costs and Expenses Distribution (2008)

Manageable Costs Evolution Distribution (R$ Million)

9

0

$

B C

0



4

 4

Financial Results
EBITDA

EBITDA (R$ Million)* and EBITDA margin

EBTIDA by segment* 2008

*Does not consider eliminations

EBITDA
1

EBITDA margin

Pro forma, does not consider Profit Sharing Program (PLR) costs

EBITDA 2008 - R$ Million

EBTIDA EBTIDA Margin
E & H G' E 5 H H H I6 '6 H & 6 6

Distribution Generation Trading Consolidated

FGE F GE

&

H G '

5 E HG5

Financial Results

Net Income (R$ millions)

Dividends and Dividend Yield*

9.7% 8.3% 8.2%

4.1%

9 2 (

$  (

9 2 (

) 

A   PQ

A

Dividend Yield

Dividends paid

Dividends proposed

**Baseado no preo de fechamento do dia anterior ao anncio

Indebtedness

Net Debt (R$ Million) and Net Debt / EBTIDA

RST

&

Net Debt

Net Debt / EBITDA

(1) Net Debt = Total Debt (excluding liabilities with Lights Pension Fund-Braslight) - Cash

(2) EBITDA Pro Forma, does not consider Profit Sharing Program (PLR) costs

* Principal only
E

Maturity: 4.9 years

Debt Cost Evolution

& E E 9 E     

Indebtedness
Amortization* dec/08 (R$ millions)

E     5

E '

P  7 E '

E '6

8` 3 ) H & 56   

U 1V (W I '6 X 3 4 8  

*Considering Hedge

1 "   8  

Y 5 56  ( 1 

Tariff Review 2008

vs Tariff Review 2003
Gross RAB (R$ MN)
24%

NET RAB (R$ MN)

23%

REFERENCE COMPANY (R$ MN)

22%

REGULATORY EBITDA (R$ MN)

13%

Tariff Review 2008

vs Tariff Review 2003
REGULATORIES LOSSES (% grid load)

MARKET GROWTH AND X (Xe) FACTOR

3.18 p.p.

DELINQUENCY (%)
X(Xe) Factor

Market Growth

0.4 p.p.

Strategic Planning 2009-2012

Planned Management
Strategic Guideline OperationalStrategy

Swot Matrix Strategic Ambition Reference scenario

Global Targets

Budget
By Executive Officers

Management Commitment

Strategic Planning

Adding Value Plan

Strategic Ambition

Be a sustainable organization, differentiated in terms of governance, operational excellence, assets management, Stock liquidity and returns for shareholders. Administrative governance in the attainment of results, increase the value of people, customer satisfaction and for development of the concession area. Grow within the current business and / or new business and create a sustainable basis for the results.

Valorization Plan: 2x2

Program 1 Business Control and Permanent Realignment of priorities (Planning x OPEX x CAPEX) Program 2 Safe Development with Risk Manageable and Business Intelligence Program 3 Contingencies and Provisions Manageable

Results
Program 4 - Success in Energy Recovery Program 5 Regional Development, New Markets and Technologies Program 6 Patrimony and New Business Development Program 7 Electric System Upgrade

Market

Product

Program 8 Generation Expansion Program 9 Efficiency in operational and corporate management corporate

Sustainability
Program 10 Results and Merit Culture Program 11 Institutional Image Consolidation (Sector Leadership, Communication, Sponsorship, Society and Network Program 12 Better Governance (Council, Executive, Organizational Model, Business Units and Transparency)

Overall Objectives (2009-2012)

Results
Maximize the cash flow Ensuring high levels of collection Improve the planning process: management and controlling of CAPEX Reduction of acquisition, materials and services costs. Adopt risk management (including regulatories) processes

Market
Reduce losses through the deployment of new technologies and improvement of processes Articulate with public authorities and private initiative action of the prosecution against fraud industry Contribute to development the concession area

Revenue diversification and EBITDA growth Improve the legal and administrative and reduce contingencies Proceed development of tools and processes to success in the 2013 tariff review

Make use of the property of Light as a source of income (sale of real estate)

Overall Objectives (2009-2012)

Product
Improving the electrical system, with the integrating the entire area wire Expand the generation capacity with the implementation of ongoing projects and the new projects development with competitive costs Optimal structure of funding for the future projects in generation Systematic improvements to increase efficiency through cost reduction initiatives, operational improvements and processes review Achieve levels of operational efficiency and technique compatible with the best distributors in Brazil

Sustainability
Implement culture oriented to results and merit Consolidate institutional image: innovative leadership of the sector and commitment with the society Order the institutional actions with public authorities and society in general Promote best governance practice with in corporate

Ensure compliance legislation Continuous services

environmental of customers

improvement

Be one of the best companies to work

Losses Reduction

CONVENTIONAL PROCESS

NEW TECHNOLOGIES

New Choice System Better efficiency in the regularization Payment according performance Better management control

Metering Control Center Individual Electronic Meters Centralized Electronic Meters Network shielding

Electronic Measurement System

Individual
Urbanized areas that dont present illegal connections to the network The stealing of energy is done inside the metering system Clients with an average consumption over 300 kWh per month Losses level higher than 14% or 80 kWh per client

Centralized
Areas with a high level of illegal connections to the network Losses level higher than 38% or 90 kWh per client Out of risk areas

Network shielding project

ACTUAL NETWORK REDE ATUAL

To act in areas in which conventional strategy doesnt work. Areas with a high return to losses rate. To select areas presenting high levels of non-technical losses

7 5 4 12

REDE BLINDADA SHIELDED NETWORK

75 4 12

Generation Business
Re-pricing of existing energy

GENERATION Assured Energy: 537MW average

9  b    



 



4

 

4

'

Lights generation business

Strategy in generation growth

+ 50%



1c

1c

 

)  @



) 

3 @

 

A

* It corresponds to 51% Lights stake in each project

SHP Paracambi Obtaining the Installation License permitting the start of the works



8  

Market

Assumptions Energy incorporation (losses reduction) Industrial e public authorities history organic growth Temperature: use the historical average since 1994

MARKET (GWh)

CAGR=2.3%

2006-08: Does not consider consumption CSN and Valesul

Collection

Assumptions

Collection

Larger volume of cuts and selection (cost x benefit) Network Shielding Good relationship with the public authorities Black list/extra judicial charging/securities protest Integration with law department to preliminary injuction cassation

+0.4 p.p.

Investments

Assumptions Total Investments (20092012): R$ 3,071 MN BNDES Financing: 50% of CAPEX and 70% of news generation projects Main Projects Fight losses News projects in generation Energy distribution and transmission

INVESTMENTS (R$ MN) CAGR=10.5%

E B

2P  4

PMSO

Assumptions Matrix Management expenses Efficiency gain Continuing negotiations contracts

PMSO (R$ MN)

CAGR=2.1%

Inflation Expectations for the period: 4.57% p.y (2009-12) Source: Focus Bulletin 10-03-2008 Bacen * Registered value for ILP in 2008

PDD

Assumptions Matrix of Installments review Dunning Actions to maintain high levels of collection

PDD / GROSS REVENUE (BILLED SALES)

- 1.2 p.p.

Non-recurring effects

EBITDA

Assumptions Market growth Losses reduction Operational efficiency gain Provisions reduction

EBITDA (R$ MN)

CAGR=8.3%

Indebtedness

Assumptions CAPEX Increase Generation growth Keeping in multiple of Debt/EBITDA: Operational cash generation increase

NET DEBT (R$ MN)

Net Debt

Net Debt / EBITDA