Equatorial Energia S.A.

Public-Held Company CNPJ/MF nº 03.220.438/0001-73

MATERIAL FACT

Rio de Janeiro, October 30, 2016 - Equatorial Energia S.A. ("Company") ("BM&FBOVESPA: EQTL3") informs the Market that, at the 2nd Phase of the Transmission Auction #013/2015 held on October 28, 2016, won the following lots:

Lot

State

Capex Forecast R$ '000

Maximum Annual Revenue R$ '000

Bid Annual Revenue R$ '000

Discount

Start

8

Bahia

444.834

92.657

77.832

16,00%

Feb/22

9

Bahia

466.115

98.038

70.588

28,00%

Feb/22

12

Bahia / Piauí

547.501

114.332

102.900

10,00%

Feb/22

14

Minas Gerais / Bahia

1.060.089

223.057

185.598

16,79%

Feb/22

15

Minas Gerais / Bahia

433.199

91.108

85.642

6,00%

Feb/22

16

Minas Gerais

504.598

106.179

106.179

0,00%

Feb/22

23

Pará

426.985

89.785

89.784

0,00%

Feb/22

TOTAL

3.883.321

815.156

718.523

It is important to highlight that "Capex Forecast" and the "Start" in the above table are the ones calculated at the Auction Notice or at the Technical Note #25/2016-SEL-SCT/ANEEL and do not reflect the final assumptions considered by the Company.

All the projects are applicable to SUDENE fiscal incentive, totally or partially.

The entrance of the Company in the transmission segment was an opportunity to diversify its scope within the Brazilian electric energy sector with adequate returns, controlled risk and cash flow predictability. We believe that the management capacity we currently employ in the distribution segment will be vital during the construction and, later, the operation period.

EDUARDO HAIAMA

Chief Financial and Investor Relations Officer EQUATORIAL ENERGIA S.A.

Equatorial Energia SA published this content on 30 October 2016 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 30 October 2016 20:07:06 UTC.

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