Rio de Janeiro, January 27, 2016 - Light S.A. (BMF&BOVESPA: LIGT3) discloses a preview of its operating information regarding the distribution, generation and commercialization segments for the fourth quarter of 2016 (4Q16).

The information provided in this report are preliminary and subject to change.

1. Distribution

Operating Highlights

Operating Highlights

4Q16

4Q15

Var. %

Nº of Consumers (thousand)

4,420

4,302

2.7%

Nº of Employees

3,852

4,055

-5.0%

Average provision tariff - R$/MWh

679

655

3.6%

Average provision tariff - R$/MWh (w/out taxes)

474

455

4.2%

Average bilateral contracts cost¹ - R$/MWh

169.6

184.5

-8.1%

Average energy purchase cost with Spot2 - R$/MWh

169.6

199.3

-14.9%

¹Does not include purchase in the spot market and hydrological risk ²Includes hydrological risk

Market

In this quarter, there was a 0.6% increase in the Total Billed Market over the same period of the previous year, mainly influenced by the increase of 9.1% in the Residential segment, despite of the decrease of 0.9°C in the quarter´s average temperature. This increase in the Residential segment was due to the significant revenue from Recovered Energy ("REN"), as a result of the new strategy to combat losses. Disregarding this effect of REN, there would be a drop of 7.1% in this segment when compared to the same quarter last year.

In 4T16, 382.9 GWh were recovered compared to 90.3GWh in 4Q15 (683 GWh in 2016 vs 256 GWh in 2015).

The decrease in the other segments is basically due to the drop in the average temperature and the downturn of the economy.

Collections

The collection rate reached 92.1% in 4Q16 (-1.1 p.p. vs 4Q15) and 96.3% in 2016 (+1.6 p.p. vs 2015).

The drop in the collection rates was concentrated in the retail segment and reflects the increase in REN's revenues. This increase in REN's revenues worsens the global collection index, since the payments are made in installments, on the other hand the revenues and overall collection tends to increase. Disregarding the effect of REN, the collection rate of the Retail segment would be 98.2% in the quarter and 99.2% in the year. Light´s total collection rate would be 99.0% in the quarter and 99.1%in the year.

Light SA published this content on 27 January 2017 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 27 January 2017 21:20:02 UTC.

Original documenthttp://ri.light.com.br/enu/6079/Previa_OPERACIONAL_4T16_Light SA_ENG.pdf

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