Half-yearly financial Report at June 30, 2013 - A2A

Half-yearly financial report at June 30, 2013Note on relatedparty transactions39) Note on related party transactionsThe definition of “related parties” is included in the international accounting standarddescribing the disclosures which must be made for related party transactions in financialstatements (revised IAS 24).98Transactions with Parent companies and their subsidiariesOn October 5, 2007, the Municipalities of Milan and Brescia signed a shareholders’ agreement toregulate the ownership structure and governance of A2A S.p.A.; this gave the Municipalities jointcontrol over the company by means of a dual system of administration and control.The merger took effect from January 1, 2008, and irrespective of the legal structure adopted,resulted in a joint venture under the joint control of the Municipality of Brescia and theMunicipality of Milan, which hold 27.5% each.Dealings between A2A Group companies and the Municipalities of Milan and Brescia are ofa commercial nature, involving the supply of electricity, gas, heat and water andmanagement of the public illumination and traffic light systems, management of waterpurification and sewage plants, public refuse collection and road sweeping, as well asvideo surveillance systems.Likewise, the A2A Group has commercial relations with the companies controlled by Milanand Brescia city councils, such as Metropolitana Milanese S.p.A., ATM S.p.A., BresciaMobilità S.p.A., Brescia Trasporti S.p.A. and Centrale del Latte di Brescia S.p.A., supplyingthem with electrical energy, gas, heat, sewerage and purification services at the samemarket tariffs appropriate to the terms of the supply, and providing services as requestedby these companies. It is emphasized that these companies are considered related partiesin the summary schedules prepared in accordance with Consob Resolution no. 17221 ofMarch 12, 2010.