Edison Spa
Statement of Income at December 31, 2005
(in euros)   FY 2005 FY 2004
A) Production value    
  1) Sales and service revenues 4,065,155,159 3,302,566,339
  2) Changes in invent. of work in progress, semifinished goods and finished goods 20,570,652 41,022,002
  3) Changes in contract work in process (7,357,498) 7,183,833
  4) Increase in Company-produced additions to fixed assets 6,499,492 16,243,842
  5) Other revenues and income    
    - Operating grants 1,154,258 1,354,735
    - Miscellaneous 142,426,137 79,200,902
    Total other revenues and income 143,580,396 80,555,637
Total production value (A) 4,228,448,201 3,447,571,653
 
B) Cost of production    
  6) Raw materials, auxiliaries, supplies and merchandise 2,762,182,146 2,004,846,371
  7) Outside services 512,206,661 469,409,021
  8) Use of property not owned 38,338,726 46,293,712
  9) Personnel:    
    a) Wages and salaries 91,410,769 84,037,343
    b) Social security contributions 28,869,390 26,131,874
    c) Provision for employee severance indemnities 6,830,920 6,218,786
    e) Other personnel costs 1,139,651 1,135,513
    Total personnel costs 128,250,730 117,523,516
         
  10) Depreciation, amortization and writedowns:    
    a) Amortization of intangibles 207,111,306 205,766,727
    b) Depreciation of property, plant and equipment 194,285,375 189,080,786
    c) Writedowns of fixed assets 6,928,745 171,089
    d) Writedowns of loans included in current assets 4,552,714 8,135,368
    Total depreciation, amortization and writedowns 412,878,140 403,153,970
         
  11) Change in invent. of raw materials, auxiliaries, supplies and merchandise 20,769,583 1,562,071
  12) Provisions for risks 50,610,426 20,538,119
  14) Miscellaneous operating costs 92,110,138 68,658,389
Total cost of production (B) 4,017,346,550 3,131,985,169
 
Net production value (A-B) 211,101,651 315,586,484
         
Edison Spa
Statement of Income at December 31, 2005 (continued)
(in euros)     FY 2005 FY 2004
C) Financial income and expense    
  15) Income from equity investments:    
    - Subsidiaries 213,531,082 358,103,833
    - Affiliated companies 6,931,698 6,730,219
    - Other companies 7,590,990 9,476,014
  Total 228,053,770 374,310,066
           
  16) Other financial income:    
    a) Loans included in financial fixed assets    
      - Subsidiaries 899,352 1,700,232
      - Affiliated companies 25 2,557,275
      - Other companies 1,407,519 30,891
    c) Securities included in current assets other than equity investments 73,457 86,399
    d) Other financial income from:    
      - Subsidiaries 15,734,835 13,870,095
      - Affiliated companies 3,013,735 86,400
      - Controlling companies 701 -
      - Other companies 88,322,705 114,926,200
    Total 109,452,329 133,257,492
  17) Interest and other financial expense paid to:    
  - Subsidiaries 21,172,098 13,988,395
  - Affiliated companies 7,191 18,097
  - Controlling companies 112,008 55,095
  - Other companies 253,314,939 328,034,363
  Total 274,606,236 342,095,950
  17-bis) Currency translation gains (losses) (8,775) (1,801,141)
Total financial income and expense (15+16-17±17-bis) (C) 62,891,087 163,670,467
D) Value adjustments on financial assets    
  18) Upward adjustments of:    
    a) securities included in current assets other than equity investments 2,071,565 9,739,829
    Total 2,071,565 9,739,829
           
  19) Writedowns of:    
  a) equity investments 29,695,744 226,151,259
  b) financial fixed assets other than equity investments 8,054,822 -
  c) securities included in current assets other than equity investments 2,247,325 6,700
  Total 39,997,891 226,157,959
 
Total value adjustments (18-19) (D) (37,926,326) (216,418,130)
 
E) Extraordinary income and expense    
  20) Extraordinary income:    
    - Gains on disposals 89,330,144 54,291,445
    - Other extraordinary income 224,730,684 280,349,016
    Total 314,060,828 334,640,461
           
  21) Extraordinary expense:    
    - Losses on disposals 10,669,922 1,798,985
    - Taxes attributable to prior fiscal years 740,863 3,852,189
    - Other extraordinary expense 221,039,361 272,989,532
  Total 232,450,146 278,640,706
Total extraordinary items (20-21) (E) 81,610,682 55,999,755
Income before taxes (A-B+-C+-D+-E) 317,677,093 318,838,576
  22) Current, deferred and prepaid income taxes (33,376,434) 6,962,163
  Net income 351,053,527 311,876,413