Edison strengthens its financial profile

Public disclosure required by Consob Resolution No. 11971 of May 14, 1999, as amended. Seven-year credit lines totaling 1.5 billion euros are secured on extremely advantageous terms

Milan, March 29, 2006 - As part of a series of activities carried out to further enhance the Company’s financial profile, Edison agreed today to sign a 1.5-billion-euro loan agreement with a pool of international banks (Banca Intesa, BNP Paribas, Citigroup, Société Générale, S.Paolo IMI and UBM – Unicredit Banca Mobiliare) that will enable it to restructure its overall bank debt exposure on more advantageous terms. The loan agreement will be executed some time before the end of April 2006.

The credit lines have a duration of seven years (maturity in 2013), which significantly lengthens the average life of the overall exposure; a variable interest rate based on the Euribor plus a very competitive spread; no financial covenant requirement.

This transaction will enable Edison to refinance its current exposure to the banking system ahead of schedule. These credit lines will cover the Company’s funding needs for the coming years and will shift the maturity of its bank exposure to 2013.

The terms offered to Edison, which are among the best available on the capital markets today, are a further indication of the reliability and credibility that the Group enjoys at the international level, thanks to the successful growth strategy it has pursued over the past five years.

Edison’s securities are rated BBB+ by the Standard&Poor’s international rating agency and BAA2 by Moody’s. According to a ranking published by Fortune, Edison is also the most admired Italian company in the world.