Edgar Filing: ENERGY CO OF MINAS GERAIS

COMPANHIA ENERGÉTICA DE MINAS GERAIS – CEMIG

Date: April 6, 2016

/s/ Fabiano Maia Pereira

Fabiano Maia Pereira

Chief Officer for Finance and Investor Relations

6-K

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 6-K

Report of foreign private issuer pursuant to rule 13a-16 or 15d-16 of the securities exchange act of 1934

For the month of April 2016

Commission File Number 1-15224

ENERGY COMPANY OF MINAS GERAIS

(Translation of Registrant’s Name Into English)

Avenida Barbacena, 1200

30190-131 Belo Horizonte, Minas Gerais, Brazil

(Address of Principal Executive Offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F x Form 40-F ¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper

as permitted by Regulation S-T Rule 101(b)(1): ¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper

as permitted by Regulation S-T Rule 101(b)(7): ¨

Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

Yes ¨ No x

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): N/A

Index


Item		Description of Item
1.		Summary of Minutes of the 571st Meeting of the Board of Directors Held on July 3, 2013
2.		Summary of Minutes of the 594th Meeting of the Board of Directors Held on April 30, 2014
3.		Market Notice Dated February 3, 2016: Reply to BM&FBovespa Official Letter 285/2016–SAE, of February 2, 2016
4.		Summary of Principal Decisions of the 653rd Meeting of the Board of Directors Held February 19, 2016
5.		Material Announcement Dated March 1, 2016: Exchange of AGC Energia debentures for shares in Cemig
6.		Material Announcement Dated March 3, 2016: Material Stock Transaction – BNDESPAR
7.		Summary of Principal Decisions of the 654th Meeting of the Board of Directors Held on March 11, 2016
8.		Summary of Principal Decisions of the 655th Meeting of the Board of Directors Held on March 11, 2016
9.		Material Announcement Dated March 16, 2016: Mr. Carlos Henrique Waack’s resignation as CEO of Renova Energia S.A.
10.		Summary of Principal Decisions of the 656th Meeting of the Board of Directors Held on March 28, 2016
11.		Summary of Principal Decisions of the 657th Meeting of the Board of Directors Held on March 28, 2016
12.		Notice to Shareholders Dated March 29, 2016: Article 133 of Law 6,404 of December 15, 1976
13.		Earnings Release – 2015
14.		2015 Results – Presentation
15.		Market Announcement Dated March 28, 2016: Creation of joint Directorate for Compliance and Corporate Risk Management
16.		Convocation and Proposal of the Ordinary and Extraordinary General Meetings of Stockholders to be Held April 29, 2016
17.		Summary of Minutes of the 656th Meeting of the Board of Directors Held on March 28, 2016
18.		Material Announcement Dated April 2, 2016: Renova Energia S.A.: The ESPRA Agreement rescinded. Intention to exercise the option to sell Terraform Global’s shares held by Renova Energia S.A.

FORWARD-LOOKING STATEMENTS

This report contains statements about expected future events and financial results that are forward-looking and subject to risks and uncertainties. Actual results could differ materially from those predicted in such forward-looking statements. Factors which may cause actual results to differ materially from those discussed herein include those risk factors set forth in our most recent Annual Report on Form 20-F filed with the Securities and Exchange Commission. CEMIG undertakes no obligation to revise these forward-looking statements to reflect events or circumstances after the date hereof, and claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

1. SUMMARY OF MINUTES OF THE 571ST MEETING OF THE BOARD OF DIRECTORS HELD ON JULY 3, 2013

LOGO

COMPANHIA ENERGÉTICA DE MINAS GERAIS – CEMIG

LISTED COMPANY – CNPJ 17.155.730/0001-64 – NIRE 31300040127

BOARD OF DIRECTORS

SUMMARY OF MINUTES

OF THE

571^ST MEETING

Date, time and place:

July 3, 2013 at 9 a.m. at the company’s head office.

Meeting Committee:

Chair: Dorothea Fonseca Furquim Werneck;

Secretary: Alexandre de Queiroz Rodrigues

Summary of proceedings:

I	Conflict of interest: The Chair asked the Board Members present whether any of them had conflict of interest in relation to the matter on the agenda of this meeting, and all stated there was no such conflict of interest, except following members who stated that they had conflict of interest:


Paulo Roberto Reckziegel Guedes,	Saulo Alves Pereira Junior,	Bruno Magalhães Menicucci,
Newton Brandão Ferraz Ramos,	Tarcísio Augusto Carneiro, and	Marina Rosenthal Rocha

These members withdrew from the meeting room at the time of discussion and voting on the matter, returning after the vote on it had been taken, to proceed with the meeting.

II	The Board approved:

Payment of subscription of shares in Acesa, referred to in subclause ‘c’ of item III below, in the amount of up to R$ 170 million, within 3 years.

The minutes of this meeting.

III

The Board authorized:

Signature, jointly with Andrade Gutierrez Concessões S.A. (‘AGC’), Equatorial Energia S.A. (‘Equatorial’) and CPFL Energia S.A. (‘CPFL’), of the Term of Adhesion to the Memorandum of Understanding signed between CPFL and Equatorial.

Signature, jointly with:

– AGC and the signatories of the Investment Commitment Undertaking (i.e., Equatorial and CPFL), as investors; Jorge Queiroz de Morais Junior, as vendor; and JQMJ Participações S.A, BBPM Participações S.A., Denerge Desenvolvimento Energético S.A., Rede Energia S.A. and Empresa de Eletricidade Vale Paranapanema S.A., as consenting parties,

– of the Term of Adhesion to the Share Sale Commitment Undertaking for participation in companies of the Rede Group (Grupo Rede), by a company to be constituted by Cemig, AGC and Equatorial.

Av. Barbacena 1200

Santo Agostinho

30190-131 Belo Horizonte, MG

Brazil

Tel.: +55 31 3506-5024

Fax +55 31 3506-5025

This text is a translation, provided for information only. The original text in Portuguese is the legally valid version.

LOGO

Constitution by Cemig, jointly with AGC and Equatorial, of the company that will be the vehicle for the acquisition referred to in subclause ‘b’ of this item, to be named ACESA, of which the total and voting stock will be owned as follows:

Equatorial 50%; Cemig 25%; AGC 25%.

Signature, by Cemig, with AGC and Equatorial, of a Stockholders’ Agreement in relation to ACESA.

Supplementation to the budget for expenses of the Chief Business Development Officer’s Department, in the period of 2013 and 2014, to provide from the payments to advisors and consultants specified in the Investment Commitment Undertaking and in the Term of Adhesion referred to above.

The Board ratified signature of the Memorandum of Agreement with AGC and Equatorial to govern, establish and/or provide details of the terms and conditions for a valuation to be the basis of the acquisition referred to in subclause ‘b’ of Item III above and will agree the manner in which the participation of Cemig and AGC in the potential acquisition of companies of the Rede Group will take place.

V	Comment: The Chair made comments on a subject of interest to the Company.

The following were present:


Board members:	Dorothea Fonseca Furquim Werneck, Djalma Bastos de Morais, Arcângelo Eustáquio Torres Queiroz, Guy Maria Villela Paschoal, João Camilo Penna, Paulo Roberto Reckziegel Guedes, Saulo Alves Pereira Junior, Tadeu Barreto Guimarães, Wando Pereira Borges,	Adriano Magalhães Chaves, Bruno Magalhães Menicucci, Luiz Augusto de Barros, Newton Brandão Ferraz Ramos, Tarcísio Augusto Carneiro, Christiano Miguel Moysés, Franklin Moreira Gonçalves, Marco Antonio Rodrigues da Cunha, Marina Rosenthal Rocha, Paulo Sérgio Machado Ribeiro;
Chief Officer:	Fernando Henrique Schüffner Neto;
Secretary:	Alexandre de Queiroz Rodrigues.

(Signed) Alexandre de Queiroz Rodrigues

Registered at:

Commercial Board of the State of Minas Gerais

I certify registry on: February 16, 2016

Under the number: 5701198

Filing Receipt number: 16/163.964-0

Marinely de Paula Bomfim

General Secretary

Av. Barbacena 1200

Santo Agostinho

30190-131 Belo Horizonte, MG

Brazil

Tel.: +55 31 3506-5024

Fax +55 31 3506-5025

This text is a translation, provided for information only. The original text in Portuguese is the legally valid version.

2. SUMMARY OF MINUTES OF THE 594TH MEETING OF THE BOARD OF DIRECTORS HELD ON APRIL 30, 2014

LOGO

COMPANHIA ENERGÉTICA DE MINAS GERAIS – CEMIG

LISTED COMPANY – CNPJ 17.155.730/0001-64 – NIRE 31300040127

BOARD OF DIRECTORS

SUMMARY OF MINUTES

OF THE

594^TH MEETING

Date, time and place:

April 30, 2014 at 8.30 a.m. at the company’s head office,

Av. Barbacena 1200, 21^st floor, Belo Horizonte, Minas Gerais, Brazil.

Summary of proceedings:

Meeting Committee: Due to vacancy of the position of Chair of this Board, as a result of the resignation, on April 7, 2014, of the board member Dorothea Fonseca Furquim Werneck, as per a letter in the Company’s possession, the Deputy Chair, Mr. Djalma Bastos de Morais, assumed the post of Chair, and invited Mr. Alexandre de Queiroz Rodrigues to be Secretary of the meeting.

II	Conflict of interest: The board members listed below said they had no conflict of interest in the matters on the agenda of this meeting.

III

The Board approved the minutes of this meeting.

The Board authorized acquisition, by Cemig GT, of 49.9% of the voting and total stock of Retiro Baixo Energética S.A., an unlisted special-purpose corporation, which has as its only asset the Retiro Baixo Hydroelectric Plant, jointly with Orteng Equipamentos e Sistemas Ltda. and Arcadis Logos Energia.

V	Comment: The Chair made comments on a subject of interest to the Company.

The following were present:

Board members:

Djalma Bastos de Morais,

Arcângelo Eustáquio Torres Queiroz,

Guy Maria Villela Paschoal,

João Camilo Penna,

Joaquim Francisco de Castro Neto,

Saulo Alves Pereira Junior,

Wando Pereira Borges,

Bruno Magalhães Menicucci,

Luiz Augusto de Barros,

Marina Rosenthal Rocha,

Newton Brandão Ferraz Ramos,

Tarcísio Augusto Carneiro,

Adriano Magalhães Chaves,

José Augusto Gomes Campos;

Secretary:

Alexandre de Queiroz Rodrigues.

(Signed) Alexandre de Queiroz Rodrigues

Av. Barbacena 1200

Santo Agostinho

30190-131 Belo Horizonte, MG

Brazil

Tel.: +55 31 3506-5024

Fax +55 31 3506-5025

This text is a translation, provided for information only. The original text in Portuguese is the legally valid version.

3. MARKET NOTICE DATED FEBRUARY 3, 2016: REPLY TO BM&FBOVESPA OFFICIAL LETTER 285/2016–SAE, OF FEBRUARY 2, 2016

LOGO

COMPANHIA ENERGÉTICA DE MINAS GERAIS – CEMIG

LISTED COMPANY – CNPJ 17.155.730/0001-64 – NIRE 31300040127

MARKET NOTICE

Reply to BM&FBovespa Official Letter 285/2016–SAE, of February 2, 2016

Question asked by BM&FBovespa

“ COMPANHIA ENERGÉTICA DE MINAS GERAIS – CEMIG

Mr. Fabiano Maia Pereira

Investor Relations Director

Subject: Atypical trading in shares

Dear Sir,

In view of the most recent variations in the prices of your company’s shares, the number of trades and volume traded, as set out below, we request you to inform us, by February 3, 2016, whether there is any fact you are aware of that could be the reason for this.

We note the obligation stated in the sole sub-paragraph of Article 4 of CVM Instruction 358/02, to question managers and controlling stockholders of the Company to ascertain whether they had knowledge of information that should be disclosed to the market.


ON shares
Prices (R$ per share)
Date	Opening		Minimum		Maximum		Average		Last		Change %		No. of trades		Quantity		Volume
19/01/2016		4.72		4.47		4.82		4.62		4.47		–4.69		296		84,000		388,152.00
20/01/2016		4.48		4.39		4.59		4.53		4.53		1.34		267		78,200		354,114.00
21/01/2016		4.52		4.50		4.74		4.59		4.51		–0.44		94		36,600		168,133.00
22/01/2016		4.66		4.66		4.80		4.74		4.72		4.66		114		80,900		383,319.00
26/01/2016		4.85		4.60		4.85		4.71		4.76		0.85		187		86,300		406,189.00
27/01/2016		4.78		4.76		5.22		5.00		5.15		8.19		205		88,500		442,464.00
28/01/2016		5.27		5.06		5.51		5.34		5.38		4.47		381		299,000		1,597,442.00
29/01/2016		5.48		5.48		6.01		5.80		5.80		7.81		1,197		400,700		2,323,637.00
01/02/2016		5.97		5.66		6.70		6.35		6.70		15.52		810		201,900		1,281,571.00
02/02/2016*		6.80		5.39		6.86		6.03		5.46		–18.50		494		224,800		1,356,312.00

*	Updated to 5.04 p.m.

Av. Barbacena 1200

Santo Agostinho

30190-131 Belo Horizonte, MG

Brazil

Tel.: +55 31 3506-5024

Fax +55 31 3506-5025

This text is a translation, provided for information only. The original text in Portuguese is the legally valid version.

LOGO


PN shares
Prices (R$ per share)
Date	Opening		Minimum		Maximum		Average		Last		Change %		No. of trades		Quantity		Volume
19/01/2016		4.57		4.28		4.60		4.49		4.29		–4.67		15,646		7,495,100		33,657,323.00
20/01/2016		4.25		4.10		4.35		4.25		4.35		1.40		19,127		7,806,400		33,168,684.00
21/01/2016		4.35		4.28		4.49		4.39		4.37		0.46		8,351		3,488,400		15,310,830.00
22/01/2016		4.50		4.37		4.51		4.45		4.47		2.29		11,023		3,764,600		16,743,219.00
26/01/2016		4.49		4.28		4.60		4.44		4.45		–0.45		14,118		4,761,900		21,119,273.00
27/01/2016		4.41		4.41		4.98		4.81		4.91		10.34		11,670		4,936,400		23,743,818.00
28/01/2016		4.86		4.78		5.34		5.10		5.34		8.76		11,158		6,132,600		31,270,477.00
29/01/2016		5.39		5.37		6.02		5.82		5.91		10.67		18,080		9,150,400		53,211,442.00
01/02/2016		5.84		5.76		6.70		6.45		6.65		12.52		16,394		8,800,500		56,774,586.00
02/02/2016*		6.45		5.25		6.48		5.69		5.30		–20.30		21,797		12,039,000		68,520,753.00

*	Updated to 5.05 p.m.

The file to be sent should contain the question that is asked above, preceding your company’s reply.

We remind you that this request is made under the Cooperation Working Agreement made between the CVM and BM&FBOVESPA on December 13, 2011, and that non-compliance with it may make your company subject to imposition of an incentive fine by the Company Relations Management Unit (SEP) of the CVM, subject to CVM Instruction 452/07.

Yours,

Nelson Barroso Ortega

Company Monitoring Management Unit”

Reply by CEMIG

Dear Mr. Nelson Barroso Ortega,

On the question of the most recent variations in the prices of our shares, and the increase in the number of trades and the quantity traded, we inform you that we have no knowledge of any fact or event resulting from our activities or business that would justify the events and which has not been duly publicized.

In compliance with Article 4 of CVM Instruction 358/02, the Company’s managers and controlling stockholders have been questioned to ascertain whether they had knowledge of information that should have been disclosed to the market. We have not yet received the replies.

Cemig reiterates its commitment to opportune and timely disclosure of all and any fact which is of interest to its stockholders.

Belo Horizonte, February 3, 2016.

Fabiano Maia Pereira

Chief Finance and Investor Relations Officer

Av. Barbacena 1200

Santo Agostinho

30190-131 Belo Horizonte, MG

Brazil

Tel.: +55 31 3506-5024

Fax +55 31 3506-5025

This text is a translation, provided for information only. The original text in Portuguese is the legally valid version.

4. SUMMARY OF PRINCIPAL DECISIONS OF THE 653RD MEETING OF THE BOARD OF DIRECTORS HELD FEBRUARY 19, 2016

LOGO

COMPANHIA ENERGÉTICA DE MINAS GERAIS – CEMIG

LISTED COMPANY – CNPJ 17.155.730/0001-64 – NIRE 31300040127

BOARD OF DIRECTORS

Meeting of February 19, 2016

SUMMARY OF PRINCIPAL DECISIONS

At its 653^rd meeting, held on February 19, 2016, the Board of Directors of Cemig (Companhia Energética de Minas Gerais) decided the following:

1.	Guarantee in contracting of loans by Cemig D.

2.	Communication to the Executive Board of decision on signature of terms of indemnity and quittance with Axxiom Soluções Tecnológicas S.A.

3.	Signature of amendment to contract, between the federal government and Centroeste, with Cemig and Furnas as consenting parties.

4.	Filing of a legal action.

5.	Cost of capital.

6.	Contracting of advertising agencies.

Av. Barbacena 1200

Santo Agostinho

30190-131 Belo Horizonte, MG

Brazil

Tel.: +55 31 3506-5024

Fax +55 31 3506-5025

This text is a translation, provided for information only. The original text in Portuguese is the legally valid version.

5. MATERIAL ANNOUNCEMENT DATED MARCH 1, 2016: EXCHANGE OF AGC ENERGIA DEBENTURES FOR SHARES IN CEMIG

LOGO

COMPANHIA ENERGÉTICA DE MINAS GERAIS – CEMIG

LISTED COMPANY – CNPJ 17.155.730/0001-64 – NIRE 31300040127

MATERIAL ANNOUNCEMENT

Exchange of AGC Energia debentures for shares in Cemig

With reference to the information already given in the Market Announcement published on December 1, 2015, Cemig (Companhia Energética de Minas Gerais), a listed company with securities traded on the stock exchanges of São Paulo, New York and Madrid, in compliance with CVM Instruction 358 of January 3, 2002, hereby reports to the Brazilian Securities Commission (CVM), the São Paulo Stock Exchange (BM&FBovespa S.A.) and the market in general as follows:

Cemig has today received correspondence from the stockholder AGC Energia S.A. (‘AGC Energia’) reporting that BNDES Participações S.A. – BNDESPar (‘BNDESPar’) has requested exchange of the totality of the debentures issued under the Deed of AGC Energia’s First Private Issue of Non-convertible Permanent Asset-guaranteed Exchangeable Shareholders’ Debentures, in a single series, dated February 28, 2011 and amended January 17, 2012, for 54,342,992 common shares and 16,718,797 preferred shares in Cemig, owned by AGC Energia, and asking Cemig that all payments to stockholders arising from the shares being exchanged, declared after February 25, 2016 and not paid by February 29, 2016 should be paid directly to BNDESPar.

Cemig will keep its stockholders and the market duly informed on all new information on this subject.

Belo Horizonte, March 1, 2016.

Fabiano Maia Pereira

Diretor de Finanças e Relações com Investidores

Av. Barbacena 1200

Santo Agostinho

30190-131 Belo Horizonte, MG

Brazil

Tel.: +55 31 3506-5024

Fax +55 31 3506-5025

This text is a translation, provided for information only. The original text in Portuguese is the legally valid version.

6. MATERIAL ANNOUNCEMENT DATED MARCH 3, 2016: MATERIAL STOCK TRANSACTION – BNDESPAR

LOGO

COMPANHIA ENERGÉTICA DE MINAS GERAIS – CEMIG

LISTED COMPANY – CNPJ 17.155.730/0001-64 – NIRE 31300040127

MATERIAL ANNOUNCEMENT

MATERIAL STOCK TRANSACTION – BNDESPAR

In accordance with CVM Instruction 358 of January 3, 2002, as amended, Cemig (Companhia Energética de Minas Gerais), a listed company with securities traded on the stock exchanges of São Paulo, New York and Madrid, hereby informs the Brazilian Securities Commission (CVM), the São Paulo Stock Exchange (BM&F Bovespa S.A.) and the market in general, as follows:

Cemig has received correspondence from BNDES Participações S.A. – BNDESPar (‘BNDESPar’) with the following content:

“1.

In accordance with Article 12 of CVM Instruction 358/02 (“the CVM Instruction”) as amended, and CVM Official Circular CVM/SEP/N°002/2015, BNDES Participações S.A. –BNDESPar, a wholly-owned subsidiary of the Brazilian Development Bank (Banco Nacional de Desenvolvimento Econômico e Social – BNDES), registered in the CNPJ/MF under Nº 00.383.281/0001-09; with head office in Brasília, Federal District, at Centro Empresarial Parque Cidade, Setor Comercial Sul – SCS, Quadra 9, Torre C, 12th Floor, and offices in Rio de Janeiro, RJ, at Avenida República do Chile 100, hereby informs you as follows:

On March 3, 2016, BNDESPar exchanged the totality of its holding of debentures issued under the Deed of the First Private Issue by AGC Energia of Non-convertible Permanent Asset-guaranteed Exchangeable Shareholders’ Debentures, in a Single Series, dated February 28, 2011 and amended January 17, 2012, for 54,342,992 common shares and 16,718,797 preferred shares in Companhia Energética de Minas Gerais (“Cemig”), owned by AGC Energia.

After the exchange, the equity interest held by BNDESPar in Cemig — which on March 2, 2016 totaled 0% of the common shares and 1.13% of the preferred shares — increased to 12.9% of the common shares and 3.13% of the preferred shares. Under Article 12, §1º, of CVM Instruction 358/02, this characterizes a material transaction in the stock of Cemig.

3.	On March 2, 2016 BNDESPar held an equity interest of 0.75% in the total capital of Cemig. This total equity interest has now increased to *6.4%*.

4.	We request you to transmit this information to the market, in accordance with the CVM Instruction.

Cemig will keep stockholders and the market duly informed of all new information on this subject.

Belo Horizonte, March 3, 2016.

Fabiano Maia Pereira

Chief Finance and Investor Relations Officer

Av. Barbacena 1200

Santo Agostinho

30190-131 Belo Horizonte, MG

Brazil

Tel.: +55 31 3506-5024

Fax +55 31 3506-5025

This text is a translation, provided for information only. The original text in Portuguese is the legally valid version.

7. SUMMARY OF PRINCIPAL DECISIONS OF THE 654TH MEETING OF THE BOARD OF DIRECTORS HELD ON MARCH 11, 2016

LOGO

COMPANHIA ENERGÉTICA DE MINAS GERAIS – CEMIG

LISTED COMPANY – CNPJ 17.155.730/0001-64 – NIRE 31300040127

BOARD OF DIRECTORS

First meeting of March 11, 2016

SUMMARY OF PRINCIPAL DECISIONS

At its 654^th meeting, held on March 11, 2016, the Board of Directors of Cemig (Companhia Energética de Minas Gerais) decided the following:

•

Alteration of the value of a loan to Cemig D from the Federal Savings Bank (Caixa Econômica Federal), with guarantee by Cemig.

Av. Barbacena 1200

Santo Agostinho

30190-131 Belo Horizonte, MG

Brazil

Tel.: +55 31 3506-5024

Fax +55 31 3506-5025

This text is a translation, provided for information only. The original text in Portuguese is the legally valid version.

8. SUMMARY OF PRINCIPAL DECISIONS OF THE 655TH MEETING OF THE BOARD OF DIRECTORS HELD ON MARCH 11, 2016

LOGO

COMPANHIA ENERGÉTICA DE MINAS GERAIS – CEMIG

LISTED COMPANY – CNPJ 17.155.730/0001-64 – NIRE 31300040127

BOARD OF DIRECTORS

Second meeting of March 11, 2016

SUMMARY OF PRINCIPAL DECISIONS

At its 655^th meeting, held on March 11, 2016, the Board of Directors of Cemig (Companhia Energética de Minas Gerais) decided the following:

•

Change in the composition of the Executive Board:

Mr. Luiz Fernando Rolla no longer to be Chief Officer for Institutional Relations and Communication; and election of Mr. Luís Fernando Paroli Santos to this office, to serve the rest of the present period of office, that is to say until the first meeting of the Board of Directors after the Annual General Meeting of 2018.

Av. Barbacena 1200

Santo Agostinho

30190-131 Belo Horizonte, MG

Brazil

Tel.: +55 31 3506-5024

Fax +55 31 3506-5025

This text is a translation, provided for information only. The original text in Portuguese is the legally valid version.

9. MATERIAL ANNOUNCEMENT DATED MARCH 16, 2016: MR. CARLOS HENRIQUE WAACK’S RESIGNATION AS CEO OF RENOVA ENERGIA S.A.

LOGO

COMPANHIA ENERGÉTICA DE MINAS GERAIS – CEMIG

LISTED COMPANY – CNPJ 17.155.730/0001-64 – NIRE 31300040127

MATERIAL ANNOUNCEMENT

Cemig (Companhia Energética de Minas Gerais), a listed company with securities traded on the stock exchanges of São Paulo, New York and Madrid, in compliance with CVM Instruction 358 of January 3, 2002, hereby reports to the Brazilian Securities Commission (CVM), the São Paulo Stock Exchange (BM&FBovespa S.A.) and the market in general as follows:

On March 15, 2016 Cemig’s affiliated company Renova Energia S.A. (‘Renova’) published a Material Announcement with the following content:

“ Material Fact

In accordance with CVM Instruction 358/2002 as amended, Renova Energia S.A. (RNEW11) (“Renova” or “the Company”) hereby informs its stockholders and the market that the Board of Directors was informed on this date, of the resignation of Mr. Carlos Henrique Waack from the position of CEO.

On the same date, the Board of Directors elected Cristiano Corrêa de Barros to the position of CEO, who will provisionally cumulate the duties of his current position of CFO, Business Development and Investor Relations Officer.”

Belo Horizonte, March 16, 2016

Fabiano Maia Pereira

Chief Finance and Investor Relations Officer

Av. Barbacena 1200

Santo Agostinho

30190-131 Belo Horizonte, MG

Brazil

Tel.: +55 31 3506-5024

Fax +55 31 3506-5025

This text is a translation, provided for information only. The original text in Portuguese is the legally valid version.

10. SUMMARY OF PRINCIPAL DECISIONS OF THE 656TH MEETING OF THE BOARD OF DIRECTORS HELD ON MARCH 28, 2016

LOGO

COMPANHIA ENERGÉTICA DE MINAS GERAIS – CEMIG

LISTED COMPANY – CNPJ 17.155.730/0001-64 – NIRE 31300040127

BOARD OF DIRECTORS

First meeting of March 28, 2016

SUMMARY OF PRINCIPAL DECISIONS

At its 656^th meeting, held on March 28, 2016, the Board of Directors of Cemig (Companhia Energética de Minas Gerais) decided the following:

•

Grant of a guarantee for issue of Promissory Notes by Guanhães Energia S.A.

Av. Barbacena 1200

Santo Agostinho

30190-131 Belo Horizonte, MG

Brazil

Tel.: +55 31 3506-5024

Fax +55 31 3506-5025

This text is a translation, provided for information only. The original text in Portuguese is the legally valid version.

11. SUMMARY OF PRINCIPAL DECISIONS OF THE 657TH MEETING OF THE BOARD OF DIRECTORS HELD ON MARCH 28, 2016

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COMPANHIA ENERGÉTICA DE MINAS GERAIS – CEMIG

LISTED COMPANY – CNPJ 17.155.730/0001-64 – NIRE 31300040127

BOARD OF DIRECTORS

Second meeting of March 28, 2016

SUMMARY OF PRINCIPAL DECISIONS

At its 657^th meeting, held on March 28, 2016, the Board of Directors of Cemig (Companhia Energética de Minas Gerais) decided the following:

1.	Technical feasibility study.

2.	Report of Management and Financial Statements for the year 2015.

3.	Allocation of the net profit for 2015.

4.	Operational provisions in 2015.

5.	Orientation of votes in the Annual General Meetings of Cemig D and Cemig GT.

6.	Legal guarantee insurance, and corresponding counter-guarantee contract.

7.	Sale of equity interest in Transchile.

8.	Increase in the share capital of Light SESA; and orientation of vote, in a meeting of the Board of Directors of Light S.A.

9.	Reduction of share capital, and orientation of vote in Extraordinary General Meeting of Stockholders, of Horizontes Energia S.A.

10.	Amendment to private instrument of constitution of the exploration consortium.

11.	Budget for April 2016.

12.	Calling of Ordinary and Extraordinary General Meetings of Stockholders, to be held concurrently on April 29, 2016 at 11 a.m.

Av. Barbacena 1200

Santo Agostinho

30190-131 Belo Horizonte, MG

Brazil

Tel.: +55 31 3506-5024

Fax +55 31 3506-5025

This text is a translation, provided for information only. The original text in Portuguese is the legally valid version.

12. NOTICE TO SHAREHOLDERS DATED MARCH 29, 2016: ARTICLE 133 OF LAW 6,404 OF DECEMBER 15, 1976

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COMPANHIA ENERGÉTICA DE MINAS GERAIS – CEMIG

BRAZILIAN LISTED COMPANY – CNPJ 17.155.730/0001-64

NOTICE TO SHAREHOLDERS

We advise our shareholders that the documents referred to in article 133 of Law # 6,404 of December 15, 1976, relating to the year 2015, are available for consultation at the head offices of this Corporation located at Av. Barbacena, 1,200, Belo Horizonte.

Belo Horizonte, March 29, 2016

Fabiano Maia Pereira

Chief Finance and Investor Relations Officer

Av. Barbacena 1200

Santo Agostinho

30190-131 Belo Horizonte, MG

Brazil

Tel.: +55 31 3506-5024

Fax +55 31 3506-5025

This text is a translation, provided for information only. The original text in Portuguese is the legally valid version.

13. EARNINGS RELEASE – 2015

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2015 RESULTS

CEMIG REPORTS

2015 NET INCOME OF

R$ 2.492 BILLION

Highlights

¡ Cash flow, as measured by Ebitda: R$ 4.9 billion in 2015

¡ 2015 Net revenue R$ 21.2 billion

¡ R$ 1.7 billion contribution from CVA/Other financial tariff components in 2015

¡ Gain on Aliança stockholding transaction R$ 729 million in 2015

¡ R$ 1.2 billion provision for loss on investments in the year

Indicators (GWh)

2015

2014

Change %

Electricity sold, GWh (excluding CCEE)

56,904

63,470

–10.35


Indicators – R$ ’000	2015			2014			Change %
Sales on the CCEE		2,425			2,348			3.28
Net debt		11,732			11,610			1.05
Gross revenue		32,842			25,165			30.51
Net revenue		21,292			19,540			8.97
Ebitda (IFRS)		4,954			6,381			–22.36
Net income		2,492			3,137			–20.56
Profit per share		1.98			2.49			–20.48
Ebitda margin		23.27	%		32.66	%		–9.39 p.a.

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Conference call

Publication of 2015 results

Video webcast and conference call

March 30, 2016 – Wednesday – at 11 am (Brasília time)

This transmission on Cemig’s results will have simultaneous translation into English and can be seen in real time by Video Webcast, at http://ri.cemig.com.br or heard by conference call on:

+ 55 (11) 2188-0155 (1^st option) or

+ 55 (11) 2188-0188 (2^nd option)

Password: CEMIG

Playback of Video Webcast:

Site:

http://ri.cemig.com.br

Click on the banner and download.

Available for 90 days

Conference call – Playback:

Telephone: (+55-11) 2188-0400

Password:

CEMIG Português

Available from March 30 to April 13, 2016

Cemig Investor Relations

http://ri.cemig.com.br/

ri@cemig.com.br

Tel.:(+55-31) 3506-5024

Fax:(+55-31) 3506-5025

Cemig’s Executive Investor Relations Team

¡	Chief Finance and Investor Relations Officer

Fabiano Maia Pereira

¡	General Manager, Investor Relations

Antônio Carlos Vélez Braga

¡	Manager, Investor Market

Robson Laranjo

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Contents


CONFERENCE CALL			29
CEMIG INVESTOR RELATIONS			29
CEMIG’S EXECUTIVE INVESTOR RELATIONS TEAM			29
CONTENTS			30
DISCLAIMER			31
CEMIG STOCK PRICE PERFORMANCE			32
CEMIG: LONG TERM RATINGS			33
ADOPTION OF IFRS			33
CEMIG’S CONSOLIDATED ELECTRICITY MARKET			35
THE ELECTRICITY MARKET OF CEMIG D			37
THE ELECTRICITY MARKET OF CEMIG GT			39
PHYSICAL TOTALS OF TRANSPORT AND DISTRIBUTION – MWH			40
QUALITY INDICATORS – SAIDI AND SAIFI			40
CONSOLIDATED OPERATIONAL REVENUE			41
TAXES AND CHARGES APPLIED TO REVENUE			43
OPERATIONAL COSTS AND EXPENSES			44
FINANCIAL REVENUE (EXPENSES)			49
EBITDA			50
DEBT			51
THE CEMIG GROUP’S PORTFOLIO OF GENERATION ASSETS			53
FINANCIAL STATEMENTS SEPARATED BY COMPANY AND BY OPERATIONAL SEGMENT			54
GENERATING PLANTS			56
GENERATION PLANTS: CONCESSION CONTRACT EXPIRY PERIODS			57
EXCHANGE OF SHAREHOLDERS’ DEBENTURES OWNED BY AGC ENERGIA FOR SHARES IN CEMIG			58
GENERATION: ANNUAL PERMITTED REVENUE (RAP)			60
APPENDICES			61

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Disclaimer

Certain statements and estimates in this material may represent expectations about future events or results, which are subject to risks and uncertainties that may be known or unknown. There is no guarantee that the events or results will take place as referred to in these expectations.

These expectations are based on the present assumptions and analyses from the point of view of our management, in accordance with their experience and other factors such as the macroeconomic environment, market conditions in the electricity sector, and expected future results, many of which are not under Cemig’s control.

Important factors that could lead to significant differences between actual results and the projections about future events or results include Cemig’s business strategy, Brazilian and international economic conditions, technology, Cemig’s financial strategy, changes in the electricity sector, hydrological conditions, conditions in the financial and energy markets, uncertainty on our results from future operations, plans and objectives, and other factors. Due to these and other factors, Cemig’s results may differ significantly from those indicated in or implied by such statements.

The information and opinions herein should not be understood as a recommendation to potential investors, and no investment decision should be based on the veracity, currentness or completeness of this information or these opinions. None of Cemig’s professionals nor any of their related parties or representatives shall have any liability for any losses that may result from use of the content of this material.

To evaluate the risks and uncertainties as they relate to Cemig, and to obtain additional information about factors that could give rise to different results from those estimated by Cemig, please consult the section on Risk Factors included in the Reference Form filed with the Brazilian Securities Commission – CVM – and in the 20-F form filed with the U.S. Securities and Exchange Commission – SEC.

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Cemig stock price performance


Security	Ticker	Currency		Close of 2015		Close of 2014		Change in the period %
Cemig PN	CMIG4		R$		5.97		12.40		-51.86	%
Cemig ON	CMIG3		R$		6.28		13.04		-51.84	%
ADR PN	CIG		US$		1.46		4.60		-68.38	%
ADR ON	CIG.C		US$		1.74		5.11		-65.96	%
Ibovespa	Ibovespa		-		43,349		50,007		-13.31	%
IEEX	IEEX		-		24,803		27,161		-8.68	%

Source: Economática.

Trading volume in Cemig’s preferred shares (CMIG4) totaled R$ 10.93 billion in full-year 2015, a daily average of R$ 44.46 million. At this level, Cemig continues to be one of the most liquid companies in the Brazilian electricity sector, and one of the most traded in the Brazilian capital markets.

On the New York Stock Exchange, the volume traded in ADRs for Cemig’s preferred shares (CIG) in full-year 2015 was US$ 3.11 billion. We see this as reflecting recognition by the investor market of Cemig as a global investment option.

The São Paulo stock exchange Ibovespa index was down 13.31% in 2015, closing the year at 43,349 points. The negative result directly reflects Brazil’s current adverse economic phase.

Cemig’s shares underperformed the Ibovespa. Over the year the price of Cemig’s common shares (Cemig ON) declined 51.84%, and the preferred stock (Cemig PN) was down 51.86%. A major factor adversely affecting Cemig’s stock price was the conclusion, with a judgment against Cemig, of the legal action on the Jaguara Hydroelectric Plant in the Higher Appeal Court (STJ), even though the case has now been taken to the Federal Supreme Court on an appeal. Other factors affecting the stock price in the year included: designation by the Mining and Energy Ministry (published September 15), of Cemig GT as responsible for operation of the São Simão hydroelectric plant under the quota regime; the fall in electricity consumption; the water supply crisis affecting the country; and the country’s macroeconomic situation.

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Cemig: long term ratings

This table shows credit risk ratings and outlook for Cemig’s companies as provided by the principal rating agencies:

Brazilian ratings:

Agency

Cemig

Cemig D

Cemig GT

Rating

Outlook

Rating

Outlook

Rating

Outlook

Fitch

AA–(bra)

Negative

AA–(bra)

Negative

AA–(bra)

Negative

S&P

brA

Negative

brA

Negative

brA

Negative

Moody’s

A2.br

Negative

A2.br

Negative

A2.br

Negative

Global ratings:

Agency

Cemig

Cemig D

Cemig GT

Rating

Outlook

Rating

Outlook

Rating

Outlook

S&P

BB–

Negative

BB–

Negative

BB–

Negative

Moody’s

Ba3

Negative

Ba3

Negative

Ba3

Negative

(Fitch

gives only Brazilian – not global – ratings.)

On February 25, 2016, Moody’s downgraded its Brazilian ratings for Cemig, its wholly-owned subsidiaries Cemig D and Cemig GT, and their debenture issues from Aa2.br to A2.br; and their global ratings from Ba1 to Ba3, changing the outlook to negative.

Adoption of IFRS

The results presented below are prepared in accordance with the new Brazilian accounting rules, which embody a process of harmonization between Brazilian accounting rules and IFRS (International Financial Reporting Standards).

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PROFIT AND LOSS ACCOUNTS


Consolidated – R$ ’000	2015			2014			Change %
REVENUE		21,292,211			19,539,578			8.97

OPERATIONAL COSTS
Personnel		(1,435,001	)		(1,252,458	)		14.57
Employees’ and managers’ profit shares		(137,364	)		(249,369	)		-44.92
Post-retirement liabilities		(156,009	)		(211,916	)		-26.38
Materials		(69,522	)		(98,660	)		-29.53
Raw materials and inputs for production of electricity		(83,723	)		(282,447	)		-70.36
Outsourced services		(899,470	)		(953,033	)		-5.62
Electricity purchased for resale		(9,541,940	)		(7,428,381	)		28.45
Depreciation and amortization		(834,830	)		(800,918	)		4.23
Operational provisions		(1,401,455	)		(580,720	)		141.33
Charges for use of national grid		(998,756	)		(744,431	)		34.16
Gas bought for resale		(1,050,925	)		(254,488	)		312.96
Infrastructure construction costs		(1,251,836	)		(941,795	)		32.92
Other operational expenses, net		(457,159	)		(651,993	)		-29.88

TOTAL COST		(18,317,990	)		(14,450,609	)		26.76

Equity gain (loss) in subsidiaries		415,865			210,484			97.58
Fair value gain (loss) on stockholding transaction		729,442			—			—
Gain (loss) on combination of businesses		—			280,945			—

Operational profit before Financial revenue (expenses) and taxes		4,119,528			5,580,398			-26.18

Financial revenues		1,469,277			592,684			147.90
Financial expenses		(2,204,344	)		(1,693,672	)		30.15

Pretax profit		3,384,461			4,479,410			-24.44

Current and deferred income tax and Social Contribution tax		(892,583	)		(1,342,507	)		-33.51

NET INCOME FOR THE PERIOD		2,491,878			3,136,903			-20.56

Interest of the controlling stockholders		2,491,375			3,136,639
Interest of non-controlling stockholder		503			264

		2,491,878			3,136,903			-20.56

NET INCOME FOR THE PERIOD		2,491,878			3,136,903			-20.56


Fair value gain (loss) on stockholding transaction		(573,182	)		—
Transmission indemillionity revenue		—			(235,421	)
Employment-law provision – 2012 annual salary increase		—			84,091
Equity method less – Madeira Energia		—			167,022
Gain (loss) on combination of businesses – Gasmig		—			(185,424	)

ADJUSTED NET INCOME FOR THE PERIOD		1,918,696			3,125,205			-38,61

*	AFAC = Advance against future capital increase.

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Cemig’s consolidated electricity market

The Cemig Group sells electricity through its distribution company, Cemig Distribuição (‘Cemig D’), its generation and transmission company Cemig Geração e Transmissão (‘Cemig Generation and Transmission’, or ‘Cemig GT’), and the wholly-owned subsidiaries Horizontes Energia, Termelétrica Ipatinga (up to January 2015), Sá Carvalho, Termelétrica de Barreiro, Cemig PCH, Rosal Energia and Cemig Capim Branco Energia (up to March 2015).

Total sales reported for Cemig’s consolidated electricity market comprises sales to:

(I)	captive consumers in Cemig’s concession area in the State of Minas Gerais;

(II)	Free Consumers in both the State of Minas Gerais and other States of Brazil, in the Free Market (Ambiente de Contratação Livre, or ACL);

(III)

other agents of the electricity sector – traders, generators and independent power producers, also in the ACL;

(IV)	Distributors, in the Regulated Market (Ambiente de Contratação Regulada, or ACR); and

(V)	the Wholesale Trading Chamber (Câmara de Comercialização de Energia Elétrica, or CCEE)

( – eliminating transactions between companies of the Cemig Group).

In 2015 this Cemig group sold a total volume of 56,903,594 MWh, which was 10.3% less than in 2014.

Overall, electricity consumption in 2015 was affected by adverse Brazilian political and economic circumstances; and, in the captive market, by the successive increases in electricity rates charged to consumers, associated with application of the ‘Tariff Flag’ system – resulting in significant increases in consumers’ electricity invoices.

Sales to distributors, traders, other generating companies and independent power producers totaled 10,831,194 MWh – or 23.4% less than in 2014.

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In December 2015 the Cemig Group invoiced 8,079,771 customers – a growth of 0.9% in the customer base in the year since December 2014. Of these, 8,079,719 were final consumers (including Cemig’s own consumption); and 52 were other agents of the Brazilian electricity sector.

This chart shows the breakdown of sales to final consumers of the Cemig Group in the quarter, by consumer category:

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Total consumption of electricity (GWh)

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The volume of electricity sold to final consumers of Cemig in 2015 was 10.35% lower than in 2014.

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Consolidated	MWh				Change, %		Average price 2015 R$		Average price 2014 R$
Consolidated	2015		2014		Change, %		Average price 2015 R$		Average price 2014 R$
Residential		9,829,992		10,013,757		–1.84		742.38		517.60
Industrial		22,968,931		26,025,584		–11.74		251.67		184.18
Commercial, Services and Others		6,433,728		6,395,473		0.60		614.94		435.57
Rural		3,379,734		3,390,096		–0.31		416.18		267.97
Public authorities		892,368		891,454		0.10		613.77		427.55
Public lighting		1,325,525		1,298,047		2.12		401.81		275.72
Public service		1,204,461		1,272,365		–5.34		448.66		289.33

Subtotal		46,036,754 4,739		49,286,776		–6.60		435.80		299.83

Own consumption		37,661		37,590		0.19		—		—
Wholesale supply to agents in Free and Regulated Markets ( * )		10,831,194		14,146,109		–23.43		197.90		159.16

Total		56,903,594		63,470,475		–10.35		395.87		271.50

(*)	Includes Regulated Market Electricity Sale Contracts (CCEARs) and ‘bilateral contracts’ with other agents.

The electricity market of Cemig D

Electricity billed to captive clients and electricity transported for Free Clients and distributors with access to Cemig D’s networks totaled 42,124 GWh in 2015, or 5.3% less than in 2014.

There are two components of this reduction: Consumption by the captive market 2.1% lower in the year; and use of the network by Free Clients 10.2% lower by volume.

Overall, consumption of electricity in 2015 was affected by adverse Brazilian political and economic circumstances; and, in the captive market, by the successive increases in electricity rates charged to consumers, associated with application of the ‘Tariff Flag’ system, resulting in significant increases in consumers’ electricity invoices.

In December 2015 Cemig billed 8,079,645 consumers, or 0.9% more than in December 2014. Of this total, 422 are Free Consumers using Cemig D’s distribution network.

Comments on the various consumer categories:

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Residential

Residential consumption was 17.27% of the total volume of electricity transacted by Cemig, and totaled 9,830 GWh, or 1.84% less than in 2014.

Average monthly consumption per consumer in 2015 was 126.5 KWh/month, or 3.6% less than the average in 2014 (131.2 KWh/month) – this is the first year-on-year reduction in this variable since 2008.

Industrial

Electricity used by captive industrial clients was 7.84% lower in total volume than in 2014, and the total of electricity transported for Free Clients was 10.0% lower.

The main Brazilian and international macroeconomic factors that could have influenced consumption by the industrial sector are:

In Brazil: Retraction of domestic demand, accumulation of inventories, idle manufacturing capacity, loss of competitiveness, reduction of the number of employees and/or reduction of the use of labor (e.g. forced vacations, shorter work shifts), lack of entrepreneur confidence, low levels of public and private investment, uncertainties in the Brazilian political and economic situation, high cost of corporate credit due to high interest rates, and banks being more selective in granting loans.

International: Lower exports due to lower external demand.

In manufacturing there was a reduction in consumption across all sectors – led by: steel (–2.0%), non-metallic minerals (–7.7%), chemicals (–9.6%), ferroalloys (–44.6%), non-ferrous metals (–10.8%), auto industry (–16.1%), and textiles (–11.9%).

The year-on-year comparison is affected by two factors in 2014: (i) a group of Free Clients migrated to the national grid; and (ii) some Free Clients stopped using the Cemig D network.

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The electricity market of Cemig GT

One factor in Cemig GT’s total sales volume in 2015 was termination of concession of plants. Following this change, payment for the output from these plants was redirected to the Physical Guarantee Quota regime, and to settlement on the spot market.

Cemig GT’s market comprises sales of power as follows:

(I)

sales in the Free Market, to Free Clients, in Minas Gerais or other States;

(II)

sales in the Free Market to other agents in the electricity sector – traders, generators and independent power producers;

(III)

sales to electricity distributors (in the Regulated Market); and

(IV)

sales in the CCEE (Electricity Trading Chamber).

The total supply billed by Cemig GT in 2015 was 29,966 GWh, or 15.6% less than in 2014.

Free Clients consumed 18,832 GWh in 2015, 11.8% less than in 2014, reflecting:

termination of contracts with clients at the end of 2014 that were not renewed with Cemig GT; and

reduction of consumption by clients due to weak demand in the Brazilian economy, with lower domestic demand for goods and services, also affected by the speed of recovery of the international market.

Cemig GT added 28 new free market clients in 2015, mainly outside Minas Gerais.

Trading of electricity to other agents in the electricity sector in the Free Market totaled 6,443 GWh in 2015, 24.5% less than in 2014; and the total sold in the Regulated Market was 4,690 GWh, 16.9% less than in 2014.

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Physical totals of transport and distribution – MWh

Description

MWh

Change, %

2015

2014

Total energy carried

48,067,296

49,899,186

–3.67

Electricity transported for distributors

361,487

355,204

7.84

Electricity transported for free clients

15,315,122

16,736,754

–8.47

Own load

Consumption by captive market

26,453,478

27,010,669

–2.06

Losses in distribution network

5,933,209

5,816,560

2.01

QUALITY INDICATORS – SAIDI AND SAIFI

Cemig is continuously taking action to improve operational management, organization of the logistics of its emergency services, and its permanent regime of preventive inspection and maintenance of substations, lines and distribution networks. It also invests in training of its staff for improvement of qualifications, state-of-the-art technologies, and standardization of work processes, aiming to uphold the quality of electricity supply, and as a result maintain the satisfaction of clients and consumers.

The charts below show Cemig’s indicators for duration and frequency of outages – SAIDI (System Average Interruption Duration Index, in hours), and SAIFI (System Average Interruption Frequency Index, in number of outages), since January 2014. These results reflect the investments made by the company in preventive maintenance, such as cleaning of power line pathways, tree pruning, replacement of cross-arms, maintenance of structures, replacement of poles, transformers and cables, and other work such as network shielding, and overhaul and interconnection of circuits. Another important initiative is the change of technological level, with systematic investment in automation of the electricity system, which will enable automatic remote re-establishment of supply after outages.

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Consolidated operational revenue

Revenue from supply of electricity:

Total revenue from supply of electricity to final consumers in 2015 was R$ 22.526 billion, or 30.72% more than the total revenue of R$ 17.232 billion in 2014.

Final consumers

Total revenue from electricity sold to final consumers, excluding Cemig’s own consumption, was R$ 20.319 billion in 2015 – or 36.17% more than the total of R$ 14.922 billion in 2014.

The main factors affecting revenue were:

The Annual Tariff Adjustment for Cemig D, with average effect of 14.76% on consumer tariffs, effective from April 8, 2014 (full effect in 2015).

The Extraordinary Tariff Adjustment for Cemig D, which resulted in an average impact on consumers’ tariffs of 28.76%, applicable from March 2, 2015.

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¡	The Annual Tariff Adjustment effective from April 8, 2015, with average effect on consumer tariffs of 7.07%.

Creation, in 2015, of the ‘Tariff Flag’ mechanism – at the following rates per 100 kWh consumed: (i) as from January 2015, R$ 1.50 per 100kWh for the Yellow Flag tariff, and R$ 3.00 for the Red Flag tariff; (ii) as from March 2015, R$ 2.50 per 100kWh for the Yellow Flag tariff and R$ 5.50 for the Red Flag tariff; and finally (iii) from September 2015, R$ 2.50 for the Yellow Flag tariff and R$ 4.50 for the Red Flag tariff. In practice, the Red Flag rates were in effect for the whole of 2015.

¡	Total volume of electricity sold in 2015 was 10.35% lower than in 2014.


	R$					Change %		Average price 2015 R$		Average price 2014 R$		Change %
	2015			2014		Change %		Average price 2015 R$		Average price 2014 R$		Change %
Residential		7,297,557			5,183,149		40.79		742.38		517.60		43.43
Industrial		5,780,660			4,793,414		20.60		251.67		184.18		36.64
Commercial, Services and Others		3,956,344			2,785,659		42.03		614.94		435.57		41.18
Rural		1,406,590			908,436		54.84		416.18		267.97		55.31
Public authorities		547,707			381,144		43.70		613.77		427.55		43.55
Public lighting		532,603			357,892		48.82		401.81		275.72		45.73
Public service		540,338			368,136		46.79		448.66		289.33		55.07

Subtotal		20,061,849			14,777,830		35.76		435.80		299.83		45.35
Supply not yet invoiced, net		256,753			144,162		78.10		—		—		—
Wholesale supply to other concession holders (*)		2,358,466			2,251,431		4.75		217.75		159.16		24.34
Wholesale supply not yet invoiced, net		(150,793	)		58,682		—		—		—		—

Total		22,526,275			17,232,105		30.72		395.87		271.50		45.81

(*)	Includes Regulated Market Electricity Sale Contracts (CCEARs) and ‘bilateral contracts’ with other agents.

Revenue from Use of Distribution Systems (the TUSD charge)

The revenue of Cemig D (Distribution) from the TUSD in 2015 was R$ 1.465 billion, or 71.35% higher than in 2014 (R$ 855 million). This reflects the impact of the tariff adjustments in 2015 – an increase of 96.21% for Free Consumers. The 2015 increases were mainly due to passing through of the CDE (Energy Development Account) amounts to the tariffs paid by consumers. The effect of the increase in tariffs was partially offset by the effect of lower activity in the industrial sector – which consumed 11.74% less electricity, year-on-year, in the period.

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Revenue from transactions in the Wholesale Trading Chamber (CCEE)

Revenue from transactions in electricity on the CCEE was R$ 2.425 billion in 2015, compared to R$ 2.348 billion in 2014 – an increase of 3.28%. The components of this figure were: Higher total volume sold, at 7,157,641 MWh in 2015 – compared to 3,354,224 MWh in 2014; and the Spot Price (Preço de Liquidação de Diferenças – PLD) in the wholesale market 58.31% lower (at R$ 287.20/MWh in 2015, vs. R$ 688.89/MWh in 2014).

CVA and Other financial components in the tariff adjustment calculation

Due to the alteration in the concession contracts of the distributors, Cemig started to recognize certain balances of non-controllable costs to be passed through to Cemig D’s next tariff adjustment – these represented an operational revenue of R$ 1.704 billion in 2015, compared to R$ 1.107 billion in 2014.

Revenue from supply of gas

Cemig reports revenue from supply of gas totaling R$ 1.667 billion in 2015, compared to R$ 422 million in 2014 – an increase of 295.02%. The variation basically reflects the fact that figures for Gasmig began to be consolidated into Cemig’s results in October 2014.

Taxes and charges applied to Revenue

The sector charges that are effectively deductions from reported revenue were 105.28% higher in 2015, at R$ 11.549 billion – compared to R$ 5.626 billion in 2014. The increase mainly reflects the higher charges under the Energy Development Account (CDE), and also the Tariff Flag charges.

The Energy Development Account – CDE

Payments to the Energy Development Account (CDE) are decided by an Aneel Resolution. The expenses included are: concession indemillionities, tariff subsidies, the subsidy for balanced tariff reduction, the low-income consumer subsidy, the coal consumption subsidy, and the Fuels Consumption Account (CCC).

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Charges for the CDE in 2015 were R$ 2.870 billion, compared to R$ 211 million in 2014. This is the result of the new budget for the CDE in 2015, in which Aneel increased the annual amount to be paid by Cemig D, which is passed through to the consumer in the Sector Charges component of tariffs.

Consumer charges – the ‘Tariff Flag’ system

In 2015, with the Tariff Flag mechanism coming into force, Cemig had an account under Consumer Charges related to the Tariff Flag payments, totaling R$ 1.067 billion.

The ‘Flag Account’ (Conta Bandeira) was created on February 5, 2015, to manage the funds collected from captive customers of utilities holding electricity distribution concessions and permissions – these funds are paid, on account of the CDE, directly to the Flag Account. The Wholesale Trading Chamber (CCEE) passes the proceeds through to distribution agents, based on the difference between the realized amounts of costs of thermal generation and the exposure to spot prices, and the amount covered by the tariff.

The other deductions from revenue are taxes, calculated as a percentage of amounts invoiced. Thus their variations are, substantially, proportional to the changes in revenue.

Operational costs and expenses

Operational costs and expenses, excluding Financial revenue (expenses), totaled R$ 18.318 billion in 2015, compared to R$ 14.451 billion in 2014 – an increase of 26.76%.

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The following paragraphs comment on the main variations:

Electricity purchased for resale

The expense on electricity bought for resale in 2015 was R$ 9.542 billion, or 28.46% more than in 2014 (R$ 7.428 billion). Over the course of 2015, this cost has been more than 50% of the Company’s total costs. The main factors in the higher figure are:

Cemig D:

Expense on electricity acquired in auctions 20.74% higher, at R$ 4.098 billion, in 2015, compared to R$ 3.394 billion in 2014 – arising mainly from availability contracts, due to the expenditure on fuel for generation by the thermal plants.

Expense on electricity from Itaipu Binacional was 108.92% higher. This amount is indexed to the US dollar, and was R$ 1.734 billion in 2015, compared to R$ 830 million in 2014. This reflects both an increase in the tariff – which was US$ 26.05/kW-month in 2014, and rose to US$ 38.07/kW-month as from January 2015 – and also the increase in the dollar exchange rate against the Real from 2014 to 2015. The average exchange rate used for the dollar in invoices in 2015 was R$ 3.38, compared to R$ 2.35 in 2014 – an increase of 43.83%.

Purchases of supply in the short-term market were 24.67% lower – at R$ 849 million in 2015, compared to R$ 1.127 billion in 2014, due to the lower cost of electricity in the wholesale market in 2015.

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Cemig GT:

The expense on electricity bought for resale in 2015 was R$ 2.601 billion, or 53.72% more than in 2014 (R$ 1.692 billion). The difference mainly reflects electricity bought for resale 48.10% higher in 2015 (at 15,273,685 MWh), than in 2014 (10,313,226 MWh) – reflecting lower generation capacity, with the termination of the concessions of some plants.

Operational provisions

Operational provisions in 2014 totaled R$ 1.401 billion, compared to R$ 581 million in 2014, an increase of 141.14%. This change mainly reflected a provision of R$ 1.079 billion made in 2015 for losses relating to the put options for the equity interests in Parati and a provision of R$ 119 million for SAAG – Santo Antonio Investment.

Put options for Units in FIP Melbourne

Option contracts for sale of Units (‘put options’) were signed between Cemig GT and the pension plan entities that participate in the investment structure of SAAG, which those entities may exercise in the 84^th month from June 2014. The exercise price of the put options will correspond to the amount invested by each pension plan company in the Investment Structure, updated pro rata temporis by the IPCA inflation index (Índice National de Preços ao Consumidor Amplo, published by the Brazilian Geography and Statistics Institute – IBGE), plus 7% per year, less such dividends and Interest on Equity as have been paid by SAAG to the pension plan entities.

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To decide the method to be used for measuring the fair value of the put options, since Madeira Energia is an unlisted company, the Company adopted the discounted cash flow method to measure the fair value of those options. The fair value of this option has been calculated on the basis of the estimated exercise price on the day of exercise of the option, less the fair value of the shares that are the subject of the put option, also estimated for the date of exercise, brought to present value at the interim reporting date, at the effective rate of 8% p.a. (discounting inflation effects). Based on the studies made, the amount of R$ 148 million is recorded in Cemig GT as the best estimate of the loss on these options.

FIP Redentor

Cemig has granted to Fundo de Participações Redentor, which is a stockholder of Parati, an option to sell the totality of the shares which that fund holds in Parati, exercisable in May 2016. The price of the option is calculated using the sum of the value of the injections of capital by the fund into Parati, plus the running expenses of the fund, less any Interest on Equity, and dividends, distributed by Parati. The exercise price is subject to monetary updating by the CDI (Interbank CD) Rate plus financial remuneration at 0.9% per year.

For the purposes of determining the method to be used to measure the fair value of this option, the Company observed the daily trading volume of the shares of Light, and also the fact that such option, if exercised by the Fund, will require the sale to the Company, in a single transaction, of shares in Light in a quantity higher than the daily exchange trading averages. Thus, the Company has adopted the discounted cash flow method for measurement of the fair values of the option. The fair value of this option has been calculated on the basis of the estimated exercise price on the day of exercise of the option, less the fair value of the underlying shares, also estimated for the date of exercise, brought to present value at the interim reporting date, at the effective rate of 7.5% p.a. (discounting inflation effects).

Based on the studies carried out, a liability in the amount of R$ 1.245 billion has been recorded in the financial statements, for the best estimate of the loss on this option.

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Personnel

Personnel expenses were R$ 1.435 billion in 2015, compared to R$ 1.252 billion in 2014, an increase of 14.62%. This arises mainly from the following items:

¡ Salary

increases, under the Collective Agreement, of 6.34%, coming into effect in November 2014 (full effect in 2015).

¡ Salary

increases of 3% from March 2015, as a result of the collective negotiation decided by the courts on application from organizations representing the employees.

¡ Salary

adjustments applied at the 10.33%, from November 2015, under the Collective Agreement.

Cemig: number of employees

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Gas bought for resale

The expense that Cemig reports for Gas bought for resale was R$ 1.051 billion in 2015, vs. R$ 254 million in 2014. Cemig started consolidating the results of Gasmig in October 2014, after Cemig acquired the 40% interest in Gasmig held by Petrobras.

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Raw materials and inputs for production of electricity

The expense on raw material and inputs for production of electricity in 2015 was R$ 84 million, compared to R$ 282 million in 2014 – a reduction of 70.21%. This reflects the temporary stoppage of the Igarapé thermal plant in 2015, due to the need for maintenance and installation of new equipment, and the federal government’s decision to stop generation by thermal plants that have the highest Variable Unit Cost (CVU).

Financial revenue (expenses)

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Cemig reports net financial expenses of R$ 735million in 2015, compared to net financial expenses of R$ 1.101 billion in 2014. The main factors are:

Recognition, as from 2015, of the foreign exchange variation and monetary updating on the balances of the CVA and the Other financial components elements of tariff adjustments, representing and increase in financial revenue of R$ 68 million in 2015.

A higher gain on updating of financial assets of the Remuneration Base of Assets (Base Regulatória de Remuneração, or BRR): R$ 606 million in 2015, vs. R$ 58 million in 2014. In November 2015 Aneel ordered an alteration of the indexor of the BRR, from the IGP-M inflation index to the IPCA inflation index. This change generated an updating adjustment backdated to January 2013. The effect of this change in financial revenue recorded in December 2015 was R$ 143 million. This difference also arises from the higher variation in the present indexor of the BRR – the IPCA index – which was 10.67% in 2015, compared to variation of 3.69% in the IGP-M index in 2014. Additionally, in June 2014 there was a reversal in the monetary updating of the BRR, totaling R$ 110 million, due to the final, definitive, homologation of the value of the BRR of Cemig D.

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Recognition, starting in 2015, of monetary updating on deposits linked to legal actions, representing a gain in financial revenue of R$ 212 million in 2015.

Higher expenses of exchange rate variations on loans and financings, and on Itaipu Binacional, which totaled R$ 172 million in 2015, vs. R$ 26 million in 2014. This mainly reflects the effects on Cemig D of the higher variation of the US dollar in 2015 (47.01% in full-year 2015, compared to 13.39% in 2014);

Charges for loans and financings 48.44% higher, at R$ 1.382 billion in 2015, compared to R$ 931 million in 2014. This mainly reflects higher debt indexed to the CDI Rate; and also the higher CDI rate itself, in 2015 – representing 13.23% in the year, compared to 10.81% in 2014.

Expense on monetary updating of loans and financings 42.80% higher, at R$ 387 million in 2015, compared to R$ 271 million in 2014. This is mainly the effect of higher variation in the IPCA inflation index in the period (10.67% in 2015, compared to 6.41% in 2014).

Ebitda

Cemig’s consolidated Ebitda in 2015 was 22.36% lower than in 2014. This mainly reflects operational costs and expenses (excluding depreciation and amortization) 28.08% higher in 2015 – an outstanding element of this expense being provisions totaling R$ 1.198 billion for losses on investments.


Ebitda – R$ ’000	2015		2014		Change, %
Profit (loss)		2,491,878		3,136,903		-20.56
+ Income tax and Social Contribution tax		892,583		1,342,507		-33.51
+ Net financial revenue (expenses)		735,067		1,100,988		-33.24
+ Depreciation and amortization		834,830		800,918		4.23

= Ebitda		4,954,358		6,381,316		-22.36

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DEBT

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The Company’s consolidated total debt on December 31, 2015 was R$ 15.167 billion, 12.27% more than at December 31, 2014.

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THE CEMIG GROUP’S PORTFOLIO OF GENERATION ASSETS


Cemig – generation portfolio, in MW*
Stage	Hydro plants		Small Hydro Plants		Wind power		Solar		Thermal plants		Total
In operation		7,195		257		158		31		144		7,785
Under construction / contracted		1,699		29		658		45		–		2,431

Total		8,894		286		816		76		144		10,216

*	The amounts refer only to direct or indirect equity interests held by Cemig on December 31, 2015.

4Q15 HIGHLIGHTS:

Santo Antônio Hydroelectric Plant

Rotor 35 of the Santo Antônio Hydroelectric plant started operation in December. The original physical offtake guarantee level of 2,218 MW average was reached in September 2014.

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FINANCIAL STATEMENTS SEPARATED BY COMPANY AND BY OPERATIONAL SEGMENT


FINANCIAL STATEMENTS SEPARATED BY COMPANY: DECEMBER 31, 2015
R$ ’000	Holding Company			CEMIG GT			CEMIG D			GASMIG			CEMIG TELECOM			SÁ CARVALHO			ROSAL			Other subsidiaries			Eliminations / transfers			Total, subsidiaries			TAESA			LIGHT			MADEIRA			ALIANÇA GERAÇÃO			Other jointly- controlled subsidiaries			Eliminations/ transfers			Subsidiaries and jointly- controlled subsidiaries
ASSETS		16,342,013			15,369,754			16,191,234			2,054,460			317,346			152,827			129,487			264,987			(9,942,144	)		40,879,964			4,728,754			5,052,431			2,496,533			1,044,606			4,575,766			(7,871,106	)		50,906,948

Cash and cash equivalents		256,484			283,703			318,834			33,746			5,015			1,254			1,082			24,514			—			924,632			130,575			196,844			29,996			31,394			126,019			—			1,439,460
Accounts receivable		—			1,008,021			2,785,980			88,774			16,172			5,774			3,617			5,568			(15,738	)		3,898,168			100,346			787,420			30,093			70,590			52,748			(14,715	)		4,924,650
Securities – cash investments		129,665			1,916,804			288,759			71,381			17,655			6,126			4,902			75,020			—			2,510,312			1,588			—			—			—			54,446			—			2,566,346
Taxes		995,131			142,328			1,227,384			59,741			17,255			136			449			685			—			2,443,109			309,497			410,182			67,323			2,568			13,523			—			3,246,202
Other assets		1,532,377			853,410			1,671,470			471,741			4,957			4,905			1,277			30,770			(983,817	)		3,587,090			154,536			842,237			151,648			27,017			383,640			(204,864	)		4,941,304
Investments, PP&E, Intangible and Financial assets of concession		13,428,356			11,165,488			9,898,807			1,329,077			256,292			134,632			118,160			128,430			(8,942,589	)		27,516,653			4,032,212			2,815,748			2,217,473			913,037			3,945,390			(7,651,527	)		33,788,986
LIABILITIES AND STOCKHOLDERS’ EQUITY		16,342,013			15,369,754			16,191,234			2,054,460			317,346			152,827			129,487			264,987			(9,942,144	)		40,879,964			4,728,754			5,052,431			2,496,533			1,044,606			4,575,766			(7,871,106	)		50,906,948

Suppliers and supplies		8,765			331,823			1,307,893			244,551			11,405			7,670			4,210			5,318			(20,482	)		1,901,153			22,102			472,122			144,636			16,528			171,518			(106,904	)		2,621,155
Loans, financings and debentures		—			7,739,072			7,020,042			368,398			39,023			—			—			2			—			15,166,537			1,860,409			2,468,539			1,451,202			—			1,215,707			—			22,162,394
Interest on Equity, and dividends		1,318,022			728,832			185,105			45,667			—			2,464			—			90			(961,927	)		1,318,253			5,012			43,966			—			—			21,779			(70,757	)		1,318,253
Post-retirement liabilities		303,191			721,470			2,228,710			—			—			—			—			—			—			3,253,371			—			10,436			—			—			—			—			3,263,807
Taxes		53,123			759,122			1,742,350			306,265			10,381			38,975			2,782			10,115			—			2,923,113			837,599			486,479			37,982			17,414			73,965			—			4,376,552
Other liabilities		1,663,777			394,928			1,011,285			167,028			87,531			792			674			9,580			(17,171	)		3,318,424			107,285			374,205			137,604			140,148			79,535			8,473			4,165,674
STOCKHOLDERS’ EQUITY		12,995,135			4,694,507			2,695,848			922,551			169,006			102,926			121,821			239,883			(8,942,564	)		12,999,113			1,896,347			1,196,684			725,109			870,516			3,013,262			(7,701,918	)		12,999,113

Attributed to controlling stockholders		12,995,135			4,694,507			2,695,848			918,573			169,006			102,926			121,821			239,883			(8,942,564	)		12,995,135			1,896,347			1,196,684			725,109			870,516			3,013,262			(7,701,918	)		12,995,135
Interest of non-controlling stockholder		—			—			—			3,978			—			—			—			—			—			3,978			—			—			—			—			—			—			3,978
PROFIT AND LOSS ACCOUNT
Net operational revenue		292			7,377,198			12,386,671			1,394,725			122,569			58,197			51,800			169,056			(268,297	)		21,292,211			855,669			3,459,848			254,173			408,846			697,693			(231,129	)		26,737,311
Operational costs and expenses		(1,157,525	)		(4,133,629	)		(11,779,022	)		(1,235,867	)		(111,828	)		(41,877	)		(28,121	)		(59,477	)		229,356			(18,317,990	)		(121,383	)		(3,209,417	)		(216,366	)		(257,816	)		(511,512	)		1,118			(22,633,366	)

Electricity purchased for resale		—			(2,601,484	)		(6,992,822	)		—			—			(30,970	)		(13,551	)		(23,395	)		120,282			(9,541,940	)		—			(2,326,933	)		(50,617	)		(158,895	)		(53,562	)		148,842			(11,983,105	)
Charges for use of national grid		—			(293,484	)		(813,313	)		—			—			—			(3,065	)		(1,179	)		112,285			(998,756	)		—			—			(53,100	)		(15,388	)		(271,035	)		59,542			(1,278,737	)
Gas bought for resale											(1,050,925	)		—			—			—			—			—			(1,050,925	)		—			—			—			—			—			—			(1,050,925	)
Construction cost		—			(146,030	)		(1,043,806	)		(62,000	)		—			—			—			—			—			(1,251,836	)		(17,060	)		(304,413	)		—			—			(3,817	)		—			(1,577,126	)
Personnel		(31,895	)		(334,845	)		(999,655	)		(43,092	)		(15,431	)		(1,362	)		(1,221	)		(7,500	)		—			(1,435,001	)		(44,205	)		(110,654	)		(7,564	)		(10,064	)		(35,057	)		—			(1,642,545	)
Employee profit shares		(4,816	)		(35,383	)		(94,815	)		—			(2,062	)		(139	)		(149	)		—			—			(137,364	)		(5,888	)		—			—			(1,467	)		(97	)		—			(144,816	)
Post-retirement liabilities		(3,867	)		(30,939	)		(121,203	)		—			—			—			—			—			—			(156,009	)		—			—			—			—			—			—			(156,009	)
Materials		(262	)		(99,312	)		(50,651	)		(1,830	)		(129	)		(368	)		(404	)		(314	)		25			(153,245	)		(20,764	)		(5,904	)		(1,631	)		(863	)		(2,961	)		—			(185,368	)
Outsourced services		(10,991	)		(159,432	)		(697,484	)		(15,035	)		(25,491	)		(3,239	)		(5,112	)		(13,673	)		30,987			(899,470	)		(22,309	)		(155,676	)		(10,546	)		(22,133	)		(56,794	)		4,076			(1,162,852	)
Depreciation and amortization		(1,601	)		(252,897	)		(443,766	)		(54,177	)		(48,968	)		(5,526	)		(4,391	)		(10,243	)		(13,261	)		(834,830	)		(1,296	)		(149,282	)		(48,076	)		(51,255	)		(75,112	)		(195,164	)		(1,355,015	)
Operational provisions		(1,084,757	)		(106,443	)		(209,072	)		—			(1,181	)		—			(1	)		(1	)		—			(1,401,455	)		484			(92,148	)		(36,771	)		—			(1,124	)		—			(1,531,014	)
Other expenses, net		(19,336	)		(73,380	)		(312,434	)		(8,808	)		(18,566	)		(273	)		(227	)		(3,173	)		(20,962	)		(457,159	)		(10,345	)		(64,407	)		(8,061	)		2,249			(11,953	)		(16,178	)		(565,854	)

Operational profit before Equity gains (losses) and Financial revenue (expenses)		(1,157,233	)		3,243,569			607,649			158,858			10,741			16,320			23,679			109,579			(38,941	)		2,974,221			734,286			250,431			37,807			151,030			186,181			(230,011	)		4,103,945
Equity gain (loss) in subsidiaries		3,296,744			38,125						—			(27,769	)		—			—			1,343			(2,892,578	)		415,865			6,884			(39,698	)		(79,312	)		(455	)		(16,471	)		(348,258	)		(61,445	)
Gain on stockholding reorganization					729,442						—			—			—			—			—			—			729,442			—			—			—			—			16,375			—			745,817
Financial revenue		65,180			204,741			1,148,437			23,082			4,054			2,966			4,545			16,272			—			1,469,277			333,487			446,993			94,983			13,711			26,705			—			2,385,156
Financial expenses		(36,024	)		(990,235	)		(1,129,969	)		(41,531	)		(5,794	)		(172	)		(85	)		(534	)		—			(2,204,344	)		(577,332	)		(612,626	)		(113,173	)		(21,877	)		(107,287	)		—			(3,636,639	)

Profit before income and Social Contribution tax		2,168,667			3,225,642			626,117			140,409			(18,768	)		19,114			28,139			126,660			(2,931,519	)		3,384,461			497,325			45,100			(59,695	)		142,409			105,503			(578,269	)		3,536,834
Income tax and Social Contribution tax		322,708			(887,979	)		(255,908	)		(23,339	)		(16,096	)		(5,392	)		(3,431	)		(23,146	)		—			(892,583	)		(104,542	)		(29,214	)		61,498			(13,788	)		(66,327	)		—			(1,044,956	)

Profit (loss)		2,491,375			2,337,663			370,209			117,070			(34,864	)		13,722			24,708			103,514			(2,931,519	)		2,491,878			392,783			15,886			1,803			128,621			39,176			(578,269	)		2,491,878

Interest of the controlling stockholders		2,491,375			2,337,663			370,209			116,567			(34,864	)		13,722			24,708			103,514			(2,931,519	)		2,491,375			392,783			15,886			1,803			128,621			39,176			(578,269	)		2,491,375
Interest of non-controlling stockholder		—			—			—			503			—			—			—			—			—			503			—			—			—			—			—			—			503

		2,491,375			2,337,663			370,209			117,070			(34,864	)		13,722			24,708			103,514			(2,931,519	)		2,491,878			392,783			15,886			1,803			128,621			39,176			(578,269	)		2,491,878

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INFORMATION BY MARKET SEGMENT AT DECEMBER 31, 2015
R$ ’000	ELECTRICITY									TELECOMS			GAS			OTHERS			Eliminations			TOTAL
R$ ’000	GENERATION			TRANSMISSION			DISTRIBUTION			TELECOMS			GAS			OTHERS			Eliminations			TOTAL
ASSETS OF THE SEGMENT		13,404,398			4,880,161			17,738,194			317,346			2,529,757			2,997,172			(987,064	)		40,879,964
ADDITIONS TO THE SEGMENT		577,330			146,030			1,043,806			42,488			62,000			—			—			1,871,654
INVESTMENTS IN JOINTLY-CONTROLLED SUBSIDIARIES		5,773,838			2,423,084			1,546,960			—			—			23,840			—			9,767,722
NET REVENUE		7,046,513			518,671			12,386,671			122,569			1,394,725			91,358			(268,296	)		21,292,211
COSTS
Electricity purchased for resale		(2,669,371	)		—			(6,992,822	)		—			—			(29	)		120,282			(9,541,940	)
Charges for use of national grid		(297,423	)		(305	)		(813,313	)		—			—			—			112,285			(998,756	)
Gas bought for resale		—			—			—			—			(1,050,925	)		—			—			(1,050,925	)

Total operational costs		(2,966,794	)		(305	)		(7,806,135	)		—			(1,050,925	)		(29	)		232,567			(11,591,621	)
OPERATIONAL COSTS AND EXPENSES
Personnel		(224,197	)		(113,230	)		(999,655	)		(15,431	)		(43,092	)		(39,396	)		—			(1,435,001	)
Employees’ and managers’ profit shares		(23,552	)		(12,119	)		(94,815	)		(2,062	)		—			(4,816	)		—			(137,364	)
Post-retirement liabilities		(21,274	)		(9,664	)		(121,204	)		—			—			(3,867	)		—			(156,009	)
Materials		(95,381	)		(4,969	)		(50,651	)		(129	)		(1,830	)		(310	)		25			(153,245	)
Outsourced services		(142,931	)		(36,844	)		(697,484	)		(25,491	)		(15,035	)		(12,672	)		30,987			(899,470	)
Depreciation and amortization		(273,053	)		—			(443,766	)		(48,968	)		(54,177	)		(14,866	)		—			(834,830	)
Operational provisions (reversals)		(108,728	)		2,283			(209,072	)		(1,181	)		—			(1,084,757	)		—			(1,401,455	)
Construction costs		—			(146,030	)		(1,043,806	)		—			(62,000	)		—			—			(1,251,836	)
Other operational expenses, net		(60,692	)		(15,983	)		(312,434	)		(18,566	)		(8,808	)		(45,393	)		4,717			(457,159	)

Total cost of operation		(949,808	)		(336,556	)		(3,972,887	)		(111,828	)		(184,942	)		(1,206,077	)		35,729			(6,726,369	)
OPERATIONAL COSTS AND EXPENSES		(3,916,602	)		(336,861	)		(11,779,022	)		(111,828	)		(1,235,867	)		(1,206,106	)		268,296			(18,317,990	)
OPERATIONAL PROFIT BEFORE EQUITY GAIN (LOSS) IN SUBSID. AND FINANCIAL REV (EXP.)		3,129,911			181,810			607,649			10,741			158,858			(1,114,748	)		—			2,974,221
Equity gain (loss) in subsidiaries		39,468			410,052			(6,408	)		(27,769	)		—			522			—			415,865
Gain on stockholding reorganization		729,442						—			—			—			—			—			729,442
Financial revenues		199,200			21,892			1,148,437			4,054			23,082			72,612			—			1,469,277
Financial expenses		(984,018	)		(6,875	)		(1,129,969	)		(5,794	)		(41,531	)		(36,157	)		—			(2,204,344	)

PRETAX PROFIT		3,114,003			606,879			619,709			(18,768	)		140,409			(1,077,771	)		—			3,384,461
Income tax and Social Contribution tax		(835,791	)		(71,104	)		(255,908	)		(16,096	)		(23,339	)		309,655			—			(892,583	)

PROFIT AND LOSS ACCOUNT		2,278,212			535,775			363,801			(34,864	)		117,070			(768,116	)		—			2,491,878

Interest of the controlling stockholders		2,278,212			535,775			363,801			(34,864	)		116,567			(768,116	)		—			2,491,375
Interest of non-controlling stockholder		—			—			—			—			503			—			—			503

		2,278,212			535,775			363,801			(34,864	)		117,070			(768,116	)		—			2,491,878

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Generating plants


Plant	Type	Company	Cemig’s Interest			Installed Capacit (MW)		Assured Energy (average MW)		Installed Capacit (MW)*		Assured Energy (average MW)*		Year Concession or Authorization Expires
São Simão	Hydroelectric	CEMIG GT		100.0	%		1,710.00		1,281.00		1,710.00		1,281.00	1/11/2015
Emborcação	Hydroelectric	CEMIG GT		100.0	%		1,192.00		497.00		1,192.00		497.00	7/23/2025
Nova Ponte	Hydroelectric	CEMIG GT		100.0	%		510.00		276.00		510.00		276.00	7/23/2025
Jaguara	Hydroelectric	CEMIG GT		100.0	%		424.00		336.00		424.00		336.00	8/28/2013
Miranda	Hydroelectric	CEMIG GT		100.0	%		408.00		202.00		408.00		202.00	12/23/2016
Irapé	Hydroelectric	CEMIG GT		100.0	%		399.00		210.70		399.00		210.70	2/28/2035
Três Marias	Hydroelectric	CEMIG GT		100.0	%		396.00		239.00		396.00		239.00	1/4/2046
Volta Grande	Hydroelectric	CEMIG GT		100.0	%		380.00		229.00		380.00		229.00	2/23/2017
lgarapé	Thermal	CEMIG GT		100.0	%		131.00		71.30		131.00		71.30	8/13/2024
Salto Grande	Hydroelectric	CEMIG GT		100.0	%		102.00		75.00		102.00		75.00	1/4/2046
ltutinga	Hydroelectric	CEMIG GT		100.0	%		52.00		28.00		52.00		28.00	1/4/2046
Camargos	Hydroelectric	CEMIG GT		100.0	%		46.00		21.00		46.00		21.00	1/4/2046
Piau	SHP	CEMIG GT		100.0	%		18.01		13.53		18.01		13.53	1/4/2046
Gafanhoto	SHP	CEMIG GT		100.0	%		14.00		6.68		14.00		6.68	1/4/2046
Peti	SHP	CEMIG GT		100.0	%		9.40		6.18		9.40		6.18	1/4/2046
Rio de Pedras	SHP	CEMIG GT		100.0	%		9.28		2.15		9.28		2.15	9/19/2024
Poço Fundo	SHP	CEMIG GT		100.0	%		9.16		5.79		9.16		5.79	8/19/2025
Tronqueiras	SHP	CEMIG GT		100.0	%		8.50		3.39		8.50		3.39	1/4/2046
Joasal	SHP	CEMIG GT		100.0	%		8.40		5.20		8.40		8.40	1/4/2046
Martins	SHP	CEMIG GT		100.0	%		7.70		1.84		7.70		1.84	1/4/2046
Cajuru	SHP	CEMIG GT		100.0	%		7.20		2.69		7.20		2.69	1/4/2046
Ervália	SHP	CEMIG GT		100.0	%		6.97		3.03		6.97		3.03	1/4/2046
São Bernado	SHP	CEMIG GT		100.0	%		6.82		3.42		6.82		3.42	8/19/2025
Neblina	SHP	CEMIG GT		100.0	%		6.47		4.66		6.47		4.66	1/4/2046
Cel. Domiciano	SHP	CEMIG GT		100.0	%		5.04		3.59		5.04		3.59	1/4/2046
Paraúna	SHP	CEMIG GT		100.0	%		4.28		1.90		4.28		1.90	–
Pandeiros	SHP	CEMIG GT		100.0	%		4.20		0.47		4.20		0.47	9/22/2021
Paciência	SHP	CEMIG GT		100.0	%		4.08		2.36		4.08		2.36	1/4/2046
Marmelos	SHP	CEMIG GT		100.0	%		4.00		2.74		4.00		2.74	1/4/2046
Dona Rita	SHP	CEMIG GT		100.0	%		2.40		1.03		2.40		1.03	1/4/2046
Salto de Moraes	SHP	CEMIG GT		100.0	%		2.39		0.60		2.39		0.60	7/1/2020
Sumidouro	SHP	CEMIG GT		100.0	%		2.12		0.53		2.12		0.53	–
Anil	SHP	CEMIG GT		100.0	%		2.08		1.10		2.08		1.10	–
Xicão	SHP	CEMIG GT		100.0	%		1.81		0.61		1.81		0.61	8/19/2025
Luiz Dias	SHP	CEMIG GT		100.0	%		1.62		0.61		1.62		0.61	8/19/2025
Sinceridade	SHP	CEMIG GT		100.0	%		1.42		0.35		1.42		0.35	1/4/2046
Central Mineirão	Solar	CEMIG GT		100.0	%		1.42		–		1.42		–	–
Poquim	SHP	CEMIG GT		100.0	%		1.41		0.39		1.41		0.39	7/8/2015
Santa Marta	SHP	CEMIG GT		100.0	%		1.00		0.58		1.00		0.58	7/8/2015
Pissarrão	SHP	CEMIG GT		100.0	%		0.80		0.55		0.80		0.55	–
Jacutinga	SHP	CEMIG GT		100.0	%		0.72		0.57		0.72		0.57	–
Santa Luzia	SHP	CEMIG GT		100.0	%		0.70		0.23		0.70		0.23	2/25/2026
Lages*	SHP	CEMIG GT		100.0	%		0.68		–		0.68		–	–
Bom Jesus do Galho	SHP	CEMIG GT		100.0	%		0.36		0.13		0.36		0.13	–
Pai Joaquim	SHP	CEMIG PCH		100.0	%		23.00		4.26		23.00		4.26	4/1/2032
Salto Voltão	SHP	Horizontes Energia		100.0	%		8.20		6.63		8.20		6.63	10/4/2030
Salto do Paraopeba	SHP	Horizontes Energia		100.0	%		2.46		–		2.46		–	10/4/2030
Salto do Passo Velho	SHP	Horizontes Energia		100.0	%		1.80		1.06		1.80		1.06	10/4/2030
Machado Mineiro	SHP	Horizontes Energia		100.0	%		1.72		1.03		1.72		1.03	7/8/2025
Rosal	Hydroelectric	Rosal Energia		100.0	%		55.00		30.00		55.00		30.00	5/8/2032
Sá Carvalho	Hydroelectric	Sá Carvalho		100.0	%		78.00		58.00		78.00		58.00	12/1/2024
Barreiro	Thermal	Usina Termelétrica Barreiro		100.0	%		12.90		11.37		12.90		11.37	4/30/2023
Queimado	Hydroelectric	CEMIG GT		82.5	%		105.00		58.00		86.63		47.85	1/2/2033
Praias de Parajuru	Wind Farm	CEMIG GT		49.0	%		28.80		8.39		14.11		4.11	9/24/2032
Praia do Morgado	Wind Farm	CEMIG GT		49.0	%		28.80		13.20		14.11		6.47	12/26/2031
Paracambi	SHP	CEMIG GT		49.0	%		25.00		19.53		12.25		9.57	2/16/2031
Volta do Rio	Wind Farm	CEMIG GT		49.0	%		42.00		18.41		20.58		9.02	12/26/2031
Santo Antônio	Hydroelectric	Santo Antônio Energia		17.7	%		2,714.72		2,218.00		480.06		392.22	6/12/2046
Aimorés	Hydroelectric	ALIANÇA		45.0	%		330.00		172.00		148.50		77.40	12/20/2035
Amador Aguiar I (Capim Bra	Hydroelectric	ALIANÇA		39.3	%		240.00		155.00		94.36		60.94	8/29/2036
Amador Aguiar II (Capim Br	Hydroelectric	ALIANÇA		39.3	%		210.00		131.00		82.56		51.50	8/29/2036
lgarapava	Hydroelectric	ALIANÇA		23.7	%		210.00		136.00		49.75		32.22	12/30/2028
Funil	Hydroelectric	ALIANÇA		45.0	%		180.00		89.00		81.00		40.05	12/20/2035
Candonga	Hydroelectric	ALIANÇA		22.5	%		140.00		64.50		31.50		14.51	5/25/2035
Porto Estrela	Hydroelectric	ALIANÇA		30.0	%		112.00		55.80		33.60		16.74	7/10/2032
Baguari	Hydroelectric	BAGUARI ENERGIA		34.0	%		140.00		80.20		47.60		27.27	8/15/2041
Cachoeirão	SHP	Hidrelétrica Cachoeirão		49.0	%		27.00		16.37		13.23		8.02	7/25/2030
Pipoca	SHP	Hidrelétrica Pipoca		49.0	%		20.00		11.90		9.80		5.83	9/10/2031
Retiro Baixo	Hydroelectric	Retiro Baixo Energética		25.0	%		82.00		38.50		20.46		9.61	8/25/2041
	Hydroelectric	Lightger		49.0	%		855.14		637.00		419.02		312.13
	SHP	Lightger		25.0	%		25.00		19.53		6.25		4.88
	SHP	Brasil PCH		31.2	%		291.00		188.85		90.67		20.31
	Wind Farm	Renova Energia		35.2	%		680.50		325.91		239.21		114.56
	SHP	Renova Energia		35.2	%		41.80		18.74		14.69		6.59

*The	installed capacit and the assured energy are already on cemig’s share

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Generation plants: Concession contract expiry periods

In November 2015 Cemig was the winner of Lot D in the first auction of concessions held by Aneel with a new structure: placement of concessions for hydroelectric plants under a regime of allocation of generating capacity and physical offtake guarantees.

Number of generation plants: 18 (eighteen).

Total installed generation capacity: 699.57 MW.

Percentage of the guaranteed physical power offtake allocated to the Regulated Market: 100% (one hundred per cent), from January 1 to December 31, 2016; and 70% (seventy per cent), on and after January 1, 2017.

Payment: R$ 2.216 billion in Concession Grant Fee (Bonificação pela Outorga), of which R$ 1.4 billion (65%) was paid on January 5, 2016 and R$ 770 million is to be paid within 180 days.

Revenue received by Cemig GT for provision of the service: R$ 498.6 million/year.

Under that contract, as from this termination the assets of each plant that had not been fully depreciated are to be returned to the concession-granting power, and the company is to be indemillionified for them, on terms specified in the contract. The accounting balances corresponding to these assets, including the Deemed Cost, were transferred from Fixed assets to Financial assets on the date of termination of the concession in July 2015, and total R$ 546 million.

As specified in Aneel Normative Resolution 615/2014, the Valuation Opinions proposing the amounts of the indemillionity of the assets were delivered to Aneel on December 31, 2015. The company is in the process of preparation of these Opinions. Based on the discussions and valuations currently in progress, management believes that there is no indication that the amounts to be indemillionified by the Grantor Power will be lower than those recognized in its interim financial statements at December 31, 2015

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Power Plant	Installed Capacit (MW)		Assured Energy (average MW)
Três Marias		396,0		239,0
Salto Grande		102,0		75,0
Itutinga		52,0		28,0
Camargos		46,0		21,0
Piau		18,0		13,5
Gafanhoto		14,0		6,7
Peti		9,4		6,2
Tronqueiras		8,5		3,4
Joasal		8,4		5,2
Martins		7,7		1,8
Cajuru		7,2		3,7
Ervália		7,0		3,0
Neblina		6,5		4,7
Coronel Domiciano		5,0		3,6
Paciência		4,1		2,4
Marmelos		4,0		2,7
Dona Rita		2,4		1,0
Sinceridade		1,4		0,4

Total		699,6		421,3

Exchange of Shareholders’ Debentures owned by AGC Energia for shares in Cemig

On March 3, 2016, BNDES Participações (‘BNDESPar’) exchanged the totality of its holding of debentures issued under the Deed of the First Private Issue by AGC Energia of Non-convertible Permanent Asset-guaranteed Exchangeable Shareholders’ Debentures, in a Single Series, dated February 28, 2011 and amended January 17, 2012, for 54,342,992 common shares and 16,718,797 preferred shares in Cemig, owned by AGC Energia.

After the exchange, the equity interest held by BNDESPAR in Cemig — which on March 2, 2016 totaled 0% of the common shares and 1.13% of the preferred shares — increased to 12.9% and 3.13%, respectively. This characterizes a material transaction in the stock of Cemig in the terms of Article 12, §1º, of CVM Instruction 358/02. On March 2, 2016 BNDESPAR held an equity interest of 0.75% in the total capital of Cemig. This percentage has risen to 6.4%.

http://cemig.infoinvest.com.br/enu/13329/c-13329-enu.html?idioma=enu

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After this exchange, the stockholders’ agreement between Cemig and AGC Energia remains unchanged.

http://cemig.infoinvest.com.br/ptb/8867/AcordodeAcionistas_por.pdf

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Generation: Annual Permitted Revenue (RAP)


Resolução Homologatoria ANEEL - nº 1.313*
Receita Anual Permitida - RAP	RAP			% Cemig			Cemig Consolidado		Cemig GT
Cemig GT		234.340.198			100,0	%		234.340.198		234.340.198
Cemig Itajuba		36.345.194			100,0	%		36.345.194		36.345.194
Centroeste		15.420.427			51,0	%		7.864.418
Transirapé		26.287.112			24,5	%		6.440.342
Transleste		36.163.304			25,0	%		9.040.826
Transudeste		22.414.358			24,0	%		5.379.446
Taesa		43,36	%
ETEO		155.851.060			43,4	%		67.576.823
ETAU		38.433.513			22,8	%		8.762.945
NOVATRANS		460.994.392			43,4	%		199.886.586
TSN		449.086.299			43,4	%		194.723.252
GTESA		8.238.429			43,4	%		3.572.172
PATESA		18.930.852			43,4	%		8.208.394
Munirah		32.335.023			43,4	%		14.020.425
Brasnorte		22.865.011			16,8	%		3.833.291
São Gotardo		4.594.930			43,4	%		1.992.356
Abengoa
NTE		135.672.013			43,4	%		58.827.214
STE		72.452.041			43,4	%		31.415.113
ATEI		132.046.398			43,4	%		57.255.152
ATEII		204.000.305			43,4	%		88.454.275
ATEIII		102.659.854			43,4	%		44.513.183
TBE
EATE		381.289.719			21,7	%		82.634.235
STC		36.934.709			17,3	%		6.403.873
Lumitrans		23.591.101			17,3	%		4.090.187
ENTE		199.517.005			21,7	%		43.245.595
ERTE		44.785.760			21,7	%		9.706.942
ETEP		86.906.931			21,7	%		18.835.509
ECTE		84.200.833			8,3	%		6.970.657
EBTE		40.614.511			32,3	%		13.118.164
ESDE		11.542.416			21,7	%		2.501.610
ETSE		19.741.437			8,3	%		1.634.316
Light		7.924.732			32,6	%		2.581.878
Transchile**		21.396.000			49,0	%		10.484.040

RAP TOTAL CEMIG								1.284.658.610		270.685.392

*	Receitas anuais permititidas com vigência entre 1º de julho de 2015 e 30 de junho de 2016.

**	A receita de transmissão da Transchile é dada em Dólar Norte Americano e é corrigida, anualmente, de acordo com o Decreto Nº 163 (http://www.cne.cl/images/stories/normativas/otros%20niveles/electricidad/DOC65_-_decreto163obrasurgentes.pdf).

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Appendices

Electricity losses – 4Q15

Control of electricity losses is one of Cemig D’s strategic objectives, and the Company has a structure dedicated to this – its Distribution Losses Measurement and Control Management Unit. Compliance with the objective is monitored monthly through the Total Distribution Losses Index (Índice de Perdas Totais da Distribuição, or IPTD): the result at December 31, 2015 was 11.52% – compared to a regulatory target of 10.48% by the end of 2017. In the decision on the regulatory target, taken during the 3^rd Tariff Review Cycle, the regulator, Aneel, made significant changes in the method of calculation of technical losses, imposing extremely challenging limits for Cemig D. Total losses are composed of technical losses plus non-technical losses. The indicators for measurement are the PPTD (Distribution Technical Losses Percentage –percentual de perdas técnicas da distribuição), and the PPNT (Distribution Non-technical Losses Percentage – or percentual de perdas não técnicas da distribuição). The projected result for the PPTD on December 31, 2015 was 9.46%, for a regulatory target of 7.84 %, and the projected result for the PPNT was 3.06%, for a regulatory target of 2.64%.

Aneel measures non-technical losses with reference to the low-voltage market. Taking this into account, the result for the PPNT in relation to the low voltage market as invoiced at December 31, 2015 was 7.85%, for a regulatory target of 7.63% (2.88% above the limit set by the Regulator).

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Cemig D Tables (R$ million)


CEMIG D Market
	(GWh)						GW
Quarter	Captive Consumers		TUSD ENERGY1		T.E.D2		TUSD PICK3
3Q13		6,486		5,017		11,503		29
4Q13		6,615		4,975		11,591		29
1Q14		6,744		4,464		11,208		29
2Q14		6,646		4,485		11,132		29
3Q14		6,686		4,298		10,984		27
4Q14		6,935		4,201		11,136		29
1Q15		6,780		4,034		10,814		30
2Q15		6,371		3,896		10,268		28
3Q15		6,471		3,803		10,274		29
4Q15		6,850		3,937		10,787		28

1.	Ref ers to the quantity of electricity f or calculation of the regulatory charges charged to f ree consumer clients (“Portion A”)

2.	Total electricity distributed

3.	Sum of the demand on w hich the TUSD is invoiced, according to demand contracted (“Portion B”).


Operating Revenues	4Q15			4Q14			Change %			2015			2014			Change %
Sales to end consumers		4,498			3,050			47			16,515			11,443			44
TUSD		296			254			17			1,500			893			68
Transactions in the CCEE		—			—			—			50			—			—
CVA and Other financial components in tariff adjustment		397			1,107			(64	)		1,704			1,107			54
Construction revenue		353			315			12			1,044			861			21
Others		301			256			18			1,194			1,039			15
Subtotal		5,846			4,982			17			22,007			15,344			43
Deductions		(2,753	)		(1,168	)		136			(9,620	)		(4,103	)		134

Net Revenues		3,093			3,814			(19	)		12,387			11,241			10

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Operating Expenses	4Q15			4Q14		Change %			2015		2014		Change %
Personnel/Administrators/Councillors		316			252		25			1,000		886		13
Employee Participation		(48	)		47		—			95		184		(48	)
Forluz – Post-Retirement Employee Benefits		(4	)		38		—			121		153		(21	)
Materials		13			43		(69	)		51		80		(37	)
Contracted Services		199			256		(22	)		697		737		(5	)
Purchased Energy		1,619			1,730		(6	)		6,993		5,748		22
Depreciation and Amortization		108			110		(1	)		444		428		4
Operating Provisions		31			191		(84	)		209		300		(30	)
Charges for Use of Basic Transmission Network		183			159		16			813		573		42
Cost from Operation		353			315		12			1,044		861		21
Other Expenses		10			31		(68	)		312		299		4

Total		2,781			3,173		(12	)		11,779		10,249		15


Statement of Results	4Q15			4Q14			Change %			2015			2014			Change %
Net Revenue		3,093			3,814			(19	)		12,387			11,241			10
Operating Expenses		2,781			3,173			(12	)		11,779			10,249			15
EBIT		312			641			(51	)		608			992			(39	)
EBITDA		421			751			(44	)		1,051			1,420			(26	)
Financial Result		191			(70	)		—			18			(393	)		—
Provision for Income Taxes, Social Cont & Deferred Income		(199	)		(148	)		34			(256	)		(169	)		51

Net Income		305			424			(28	)		370			430			(14	)

Cemig GT Tables (R$ million)


Operating Revenues	4Q15			4Q14			Change %			2015			2014			Change %
Sales to end consumers		943			634			49			3,716			3,394			9
Supply		426			851			(50	)		2,199			2,225			(1	)
Transactions in the CCEE		535			61			775			2,356			2,281			3
Revenues from Trans. Network		97			410			(76	)		339			629			(46	)
Construction revenue		57			32			77			146			80			82
Transmission indemnity revenue		40			357			(89	)		101			420			(76	)
Others		12			11			8			26			26			(2	)
Subtotal		2,111			2,357			(10	)		8,883			9,055			(2	)
Deductions		(386	)		(243	)		58			(1,506	)		(1,341	)		12

Net Revenues		1,725			2,114			(18	)		7,377			7,715			(4	)


Operating Expenses	4Q15			4Q14		Change %			2015		2014		Change %
Personnel/Administrators/Councillors		97			82		18			335		304		10
Employee Participation		(17	)		12		—			35		55		(36	)
Forluz – Post-Retirement Employee Benefits		(7	)		12		—			31		48		(36	)
Materials		3			5		(48	)		16		16		(5	)
Raw Materials and Supplies Energy Production		2			79		(97	)		84		282		(70	)
Contracted Services		63			63		1			159		172		(7	)
Depreciation and Amortization		51			78		(35	)		253		297		(15	)
Operating Reserves		50			53		(5	)		106		84		26
Charges for Use of Basic Transmission Network		76			73		4			293		273		7
Purchased Energy		621			415		50			2,601		1,692		54
Construction Cost		57			32		77			146		80		82
Other Expenses		19			209		(91	)		73		283		(74	)

Total		1,015			1,113		(9	)		4,134		3,588		15

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Statement of Results	4Q15			4Q14			Change%			2015			2014			Change%
Net Revenue		1,725			2,114			(18	)		7,377			7,715			(4	)
Operating Expenses		(1,015	)		(1,113	)		(9	)		(4,134	)		(3,588	)		15
EBIT		710			1,001			(29	)		3,244			4,127			(21	)
Equity equivalence results		48			(61	)		—			38			(388	)		—
Fair value gain (loss) on stockholding transaction		—			—			—			729			—			—
EBITDA		808			1,018			(21	)		4,264			4,035			6
Financial Result		(167	)		(224	)		(25	)		(785	)		(534	)		47
Provision for Income Taxes, Social Cont & Deferred Income Tax		(104	)		(170	)		(38	)		(888	)		(1,115	)		(20	)

Net Income		486			546			(11	)		2,338			2,089			12

Cemig Tables (R$ million)


Energy Sales (Consolidated)(GWh)	4Q15		4Q14		Change%			2015		2014		Change%
Residential		2,517		2,556		(2	)		9,830		10,014		(2	)
Industrial		5,685		6,701		(15	)		22,969		26,026		(12	)
Commercial		1,691		1,678		1			6,434		6,395		1
Rural		907		854		6			3,380		3,390		—
Others		879		885		(1	)		3,422		3,462		(1	)
Subtotal		11,679		12,674		(8	)		46,035		49,287		(7	)
Own Consumption		10		10		—			38		38		—
Supply		1,880		4,007		(53	)		10,831		14,146		(23	)

TOTAL		13,568		16,691		(19	)		56,904		63,470		(10	)


Energy Sales	4Q15		4Q14		D%			2015		2014		D%
Residential		1,994		1,379		45			7,298		5,183		41
Industrial		1,500		1,027		46			5,781		4,793		21
Commercial		1,085		765		42			3,956		2,786		42
Rural		399		240		66			1,407		908		55
Others		446		298		50			1,621		1,107		46
Electricity sold to final consumers		5,424		3,709		46			20,062		14,778		36
Unbilled Supply, Net		65		103		(37	)		106		203		(48	)
Supply		439		784		(44	)		2,358		2,251		5

TOTAL		5,928		4,596		29			22,526		17,232		31


Operating Revenues	4Q15			4Q14			D%			2015			2014			D%
Sales to end consumers		5,464			3,723			47			20,319			14,922			36
TUSD		288			225			28			1,465			855			71
Supply		464			872			(47	)		2,208			2,310			(4	)
Transactions in the CCEE		539			70			665			2,425			2,348			3
CVA and Other financial components in tariff adjustment		397			1,107			(64	)		1,704			1,107			54
Revenues from Trans. Network		76			395			(81	)		261			557			(53	)
Construction revenue		472			348			36			1,252			942			33
Gas supply		401			422			(5	)		1,667			422			295
Transmission Indemnity Revenue		40			357			(89	)		101			420			(76	)
Others		367			325			13			1,441			1,282			12
Subtotal		8,508			7,844			8			32,842			25,165			31
Deductions		(3,242	)		(1,513	)		114			(11,549	)		(5,626	)		105

Net Revenues		5,267			6,331			(17	)		21,292			19,540			9

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Operating Expenses	4Q15			4Q14		D%			2015		2014		D%
Personnel/Administrators/Councillors		448			354		27			1,435		1,252		15
Employee Participation		(70	)		56		—			137		249		(45	)
Forluz – Post-Retirement Employee Benefits		(17	)		53		—			156		212		(26	)
Materials		17			49		(66	)		70		99		(30	)
Raw materials and inputs for production of electricity		2			79		(97	)		84		282		(70	)
Contracted Services		282			339		(17	)		899		953		(6	)
Purchased Energy		2,274			2,146		6			9,542		7,428		28
Depreciation and Amortization		206			213		(3	)		835		801		4
Operating Provisions		977			433		126			1,401		581		141
Charges for Use of Basic Transmission Network		231			208		11			999		744		34
Gas bought for resale		261			254		3			1,051		254		313
Cost from Operation		472			348		36			1,252		942		33
Other Expenses		49			269		(82	)		457		652		(30	)

TOTAL		5,133			4,803		7			18,318		14,451		27


Financial Result Breakdown	4Q15			4Q14			D%			2015			2014			D%
Financial revenues		629			171			269			1,469			593			148
Revenue from cash investments		91			62			47			251			298			(16	)
Arrears penalty payments on electricity bills		72			41			76			230			166			38
Exchange rate		21			1			1,537			76			15			405
Monetary updating		233			36			547			248			53			367
Monetary updating - CVA		(72	)		—			—			68			—			—
Taxes applied to Financial Revenue		(66	)		(38	)		75			(84	)		(38	)		125
Monetary updating of the Financial Asset of the Concession		323			58			455			606			58			941
Other		28			10			190			75			39			90
Financial expenses		(559	)		(700	)		(20	)		(2,204	)		(1,694	)		30
Costs of loans and financings		(384	)		(300	)		28			(1,386	)		(931	)		49
Exchange rate		(8	)		(16	)		(48	)		(172	)		(26	)		553
Monetary updating – loans and financings		(108	)		(81	)		34			(387	)		(271	)		43
Monetary updating – paid concessions		(2	)		(9	)		—			(11	)		(17	)		(35	)
Charges and monetary updating on Post-employment obligations		(31	)		(24	)		31			(129	)		(99	)		30
Other		(25	)		(270	)		(91	)		(120	)		(349	)		(66	)

Financial revenue (expenses)		71			(529	)		(113	)		(735	)		(1,101	)		(33	)


Statement of Results	4Q15			4Q14			D%			2015			2014			D%
Net Revenue		5,267			6,331			(17	)		21,292			19,540			9
Operating Expenses		5,133			4,803			7			18,318			14,451			27
EBIT		134			1,528			(91	)		2,974			5,089			(42	)
Equity gain in subsidiaries		156			177			(12	)		416			210			98
Gain on stockholding reorganization		—			—			—			729			—			—
Gain on change of accounting status in subsidiary		—			281			—			—			281			—
Depreciation and Amortization		206			213			(3	)		835			801			4
EBITDA		496			2,200			(77	)		4,954			6,382			(22	)
Financial Result		71			(529	)		—			(735	)		(1,101	)		(33	)
Tax		(55	)		(340	)		(84	)		(893	)		(1,343	)		(34	)

Net Income		306			1,117			(73	)		2,492			3,137			(21	)

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Cash Flow Statement	2015			2014			Change%
Cash at beginning of period		887			2,202			(60	)
Cash generated by operations		3,007			3,734			(19	)
Net profit		2,492			3,137			(21	)
Current and deferred income tax and Social Contribution tax		893			1,343			(34	)
Depreciation and amortization		835			801			4
Gain on the Aliança stockholding reorganization		(729	)		—			—
Passthrough from CDE		(1,704	)		(1,107	)		54
Equity gain (loss) in subsidiaries		(416	)		(210	)		98
Provisions (reversals) for operational losses		1,401			581			141
Dividends received from equity holdings		487			683			(29	)
Other adjustments		(252	)		(1,493	)		(83	)
Financing activities		247			(750	)		(133	)
Financings obtained and capital increase		5,739			4,562			26
Interest on Equity, and dividends		(796	)		(3,918	)		(80	)
Payments of loans and financings		(4,696	)		(1,394	)		237