Pampa & Edenor Joint Q4 17 Results Call March 13, 2017 10 AM - PowerPoint PPT Presentation

Pampa & Edenor Joint Q4 17 Results Call March 13, 2017 10 AM EST / 11 AM ART

Disclaimer The material that follows is a presentation of general background information about Pampa Energía SA as of the date of the presentation. It is information in summary form and does not purport to be complete. It is not intended to be relied upon as advice to potential investors. This presentation is strictly confidential and may not be disclosed to any other person. No representation or warranty, express or implied, is made concerning, and no reliance should be placed on, the accuracy, fairness, or completeness of the information presented herein. This presentation contains information and statements that are forward-looking within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended (the 'Securities Act') and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. Forward-looking statements are statements that are not historical facts. These statements are only predictions based on our current assumptions, expectations and projections about future events. Forward-looking statements may be identified by the words 'believe', 'expect', 'anticipate', 'target', or similar expressions. While Pampa' s management believes that the expectations reflected in such forward-looking statements are reasonable, investors are cautioned that forward-looking information and statements are subject to various risks and uncertainties, many of which are difficult to predict and are generally beyond the control of Pampa, which could cause actual results and developments to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. These risks and uncertainties include, but are not limited to, changing business, regulatory, political or other market conditions in Argentina and elsewhere, the completion of our new generation projects, the completion of our distribution and transmission subsidiaries' tariff revision process, the prospects for growth anticipated by our management, and the other risks and uncertainties discussed in our reports and other documents filed with the U.S. Securities and Exchange Commission. Further, Pampa undertakes no obligation to publicly update its forward-looking statements, whether as a result of new information, future events, or otherwise, nor makes any representation or warranty, expressed or implied, as to the accuracy or completeness of the information contained herein, and nothing contained herein is, or shall be relied upon as a promise or representation that any such forward looking statements will be achieved. Management is not making and you should not infer any representation about the likely existence of any particular future set of facts or circumstances. This presentation does not constitute an offer, or invitation, or solicitation of an offer, to subscribe for or purchase any securities. Neither this presentation nor anything contained herein shall form the basis of any contract or commitment whatsoever. Securities may not be offered or sold in the United States unless they are registered or exempt from registration under the Securities Act. Any offering of securities to be made in the United States will be made by means of a prospectus or offering prepared in connection with any such offering. Pampa Energía ● Q4 2017 Earnings Call 2

Today’s Agenda • Edenor, presented by Leandro Montero, CFO • Pampa, presented by Lida Wang, IRO  Q4 17 results by business segment • Power Generation • Oil & Gas Upstream • Refining & Distribution • Petrochemicals • Holding & Others  Cash and Debt Pampa Energía ● Q4 2017 Earnings Call 3

Relevant Events New Tariff Scheme • New Prices for Energy & Transportation • New Distribution Fee: - Dic’17 (1) : 18% tariff increase + 11.6% inflation adjustment (1st semester 2017) - Feb’18 (2) : 18% tariff increase + 10.9% inflation adjustment (2nd semester 2017) – 2.51% Stimulus factor (“E”) Controlling Company’s Merger Process • January 18, 2018: the merger of Central Térmica Loma de la Lata (“CTLL”) with IEASA and EASA was unanimously approved by CTLL’s shareholders’ meeting • September 22, 2017: the Board of Directors of Pampa Energía (PESA) approved the merger of CTLL (acquiring company of EASA) and other subsidiaries as the acquired or absorbed companies, into PESA, as the acquiring or absorbing company • After the registration of the full merging process, PESA will hold direct control on Edenor Moody’s Latin America’s rating upgrade • 2022 Corporate Bonds: - Local: from Baa2.ar to Aa3.ar; stable Outlook - Global: from B3 to B1; stable Outlook • Shares: Category 2 to Category 1 (1) Set forth by Resolution No 603/2017; (2) Set forth by Resolution No 33/2018 Edenor Investor Day 2017 E a r n i n g s R e l e a s e | 4 Q 2 0 1 7 4

Fourth Quarter Results (ARS billion & %) 8.000,0 6.8 (3.6) 7.000,0 6.000,0 4Q 2017 5.000,0 4.000,0 (2.4) 3.2 3.000,0 2.000,0 (0.1) 1.000,0 0.7 (0.4) (0.2) 0.02 - Revenue Energy Gross margin Operating Other op. Results due Net op. income Financial Income Tax Net income from sales purchases expenses expenses to Resolutions (loss) Results, net (loss) QoQ % +71% +177% +19% +1.2% -59% N/A -50% -49% -45% -97% 4.500,0 (1.3) 4.0 4.000,0 4Q 2016 3.500,0 3.000,0 2.7 (2.4) 2.500,0 2.000,0 1.1 1.3 (0.3) 1.500,0 (0.3) 1.000,0 0.6 (0.1) 500,0 - Revenue Energy Gross margin Operating Other op. Results due Net op. income Financial Income Tax Net income from sales purchases expenses expenses to Resolutions (loss) Results, net (loss) Edenor Investor Day 2017 E a r n i n g s R e l e a s e | 4 Q 2 0 1 7 5

Energy Sales Evolution Quarterly Energy Sales (in GWh) Customers Evolution (in thousands) Q4 2016 Q4 2017 5,139 5,064 3502000,0 Turnover b/ type of customer │ QoQ (in GWh) 2,950 3002000,0 2,866 Residential - 3.9% 2502000,0 Medium 2002000,0 - 3.7% Commercial 1502000,0 Wheeling + 0.4% System 1002000,0 + 1.7% Industrial 502000,0 Small + 0.2% 2000,0 Commercial Dec'16 Dec'17 + 0.8% Others 0 500 1000 1500 2000 2500 Q4 2016 Q4 2017 Edenor Investor Day 2017 E a r n i n g s R e l e a s e | 4 Q 2 0 1 7 6

Fourth Quarter Results (ARS billion & %) 8.000,0 6.8 (3.6) 7.000,0 6.000,0 4Q 2017 5.000,0 4.000,0 (2.4) 3.2 3.000,0 2.000,0 (0.1) 1.000,0 0.7 (0.4) (0.2) 0.02 - Revenue Energy Gross margin Operating Other op. Results due Net op. income Financial Income Tax Net income from sales purchases expenses expenses to Resolutions (loss) Results, net (loss) QoQ % +71% +177% +19% +1.2% -59% N/A -50% -49% -45% -97% 4.500,0 (1.3) 4.0 4.000,0 4Q 2016 3.500,0 3.000,0 2.7 (2.4) 2.500,0 2.000,0 1.1 1.3 (0.3) 1.500,0 (0.3) 1.000,0 0.6 (0.1) 500,0 - Revenue Energy Gross margin Operating Other op. Results due Net op. income Financial Income Tax Net income from sales purchases expenses expenses to Resolutions (loss) Results, net (loss) Edenor Investor Day 2017 E a r n i n g s R e l e a s e | 4 Q 2 0 1 7 7

Adjusted EBITDA (in ARS million) 1,465 In million of Pesos Q4 2016 Q4 2017 Net operating income before res. 32/15 154.5 646.2 (+) Depreciations 94.0 119.9 794 (+) Penalty interests 48.1 - EBITDA 296.7 766.1 (+) Resolution 32/15 and Recognition of Income from Remedies 1,125.9 - (+) Commercial Interests 42.9 27.5 Adjusted EBITDA 1,465.5 793.6 Q4 2016 Q4 2017 Edenor Investor Day 2017 E a r n i n g s R e l e a s e | 4 Q 2 0 1 7

Capital Expenditures (in ARS million & %) 1,292 31% Maintenance 694 36% 69% Expansion 64% Q4 2016 Q4 2017 Edenor Investor Day 2017 E a r n i n g s R e l e a s e | 4 Q 2 0 1 7 9

Energy Losses 18,9% 18,4% 18,2% 17,2% 16,2% 16,4% 16,2% 14,5% 1Q 2Q 3Q 4Q 2016 2017 Edenor Investor Day 2017 E a r n i n g s R e l e a s e | 4 Q 2 0 1 7 10

Indebtedness (in USD million) 295 286 209 ICBC Loan 191 191 50 176 Oct ‘17 176 2011 2012 2013 2014 2015 2016 Dec'17 Edenor Investor Day 2017 E a r n i n g s R e l e a s e | 4 Q 2 0 1 7

Q4 17 Consolidated Results Adjusted EBITDA 1 In million AR$ Segment Q4 16 Q4 17 5,180 Power Generation 574 1,419 845 +147% +26% 4,101 Electricity Distribution 1,464 794 (671) -46% 2,348 Oil & Gas* 2,297 2,348 51 +2% 2,297 Refining & Marketing* (79) 405 484 NA Petrochemicals 70 (38) (108) NA 794 Holding and Others (221) 248 469 NA 1,464 1,419 Eliminations (4) 5 9 NA 405 574 Total 4,101 5,180 1,079 +26% 70 248 (38) (221) * Includes discontinued operations, pending of closing (79) Assets sold to Vista & Trafigura Q4 16 Q4 17 Q4 16 Q4 17 (1) Consolidated adjusted EBITDA represents the consolidated results before net financial results, income tax and minimum notional income tax, depreciations and amortizations, non-recurring incomes and expenses and non-controlling interests, and includes other incomes not Pampa Energía ● Q4 2017 Earnings Call 13 accrued and other adjustments from the IFRS implementation, as well as affiliates EBITDA’s at ownership. For more information, please refer to section 3 of the Earnings Release.