Performance of Terna share

2010 was marked by a difficult macroeconomic context and a high level of volatility on the main equity markets. In the United States and in Europe, the weak economic upturn and the high unemployment rates have led governments to adopt new plans to boost the economy and central banks have kept interest rates at all-time lows. Additionally, the continuation of the sovereign debt crisis affecting some European countries has also created further uncertainty amongst investors.

In this situation, the defensive nature of the Terna share has allowed it to record a positive performance of 5.3%, going well against the trend of negative performances recorded by the Italian Blue Chips (FTSE-MIB -13.2%) and the average posted for shares of the European sector (DJ Stoxx Utilities -8.8%). We would point out that Terna was the only European utility to have reached a record high in 2010, notably on 19 November of € 3.3925/share. During the year, the share volumes traded on the market amounted to 12.7 million shares, a rise on 2009 (10.9 million).

In terms of Total Shareholder Return (TSR), namely the return inclusive of both the share trend and dividends paid during the period, Terna has guaranteed its shareholders a return of 12.2%, whilst the returns of the Italian Blue Chips index and sector were both negative (FTSEMIB -9.8% and DJ Stoxx Utilities -3.5%).In the first few months of 2011(2), the share gained 6.5%, whilst the sector index grew by 1.4% and the Italian market by 8.4%. From its listing (23 June 2004) until end 2010, Terna has over-performed both on the Italian market and on the sector, with appreciation of 85.9% (vs. FTSE-MIB 27.7% and DJ Stoxx Utilities +28.1%), booking a Total Return of 171.8% (vs. FTSEMIB -7% and DJ Stoxx Utilities +73.7%).

PERFORMANCE OF TERNA SHARES AND THE FTSE MIB AND DJ STOXX 600 UTILITIES INDEXES

PERFORMANCE OF TERNA SHARES AND THE FTSE MIB AND DJ STOXX 600 UTILITIES INDEXES