LABELING PROGRAM

Dear Customers and Partners.

Since January 2, 2014, Interministerial Ordinance Nº 104/13, from the Ministries of Mines and Energy, Science, Technology and Innovation and Development, Industry and Commerce, has been in force, determining the mandatory labeling of distribution transformers oil up to 300 kVA, certifying that the manufacturer and product are approved in accordance with the BRAZILIAN LABELING PROGRAM.

We hereby inform you that since January 2, 2014, oil-fired ITB distribution transformers, with a power of up to 300 kVA, are being manufactured and labeled in compliance with the requirements of the BRAZILIAN LABELING PROGRAM, as they have complied with all steps to obtain the authorization provided for in the program. As for the stocks of transformers in this category manufactured until 12/31/2013 and that do not comply with this regulation, Ordinance No. 104/13 of 03/22/2013, establishes the following deadlines for commercialization/installation without the INMETRO seal :

• Marketing by manufacturers and importers: until 06/30/2014.

• Sale by wholesalers and retailers: until 12/30/2014.

Therefore, when purchasing oil-fired distribution transformers up to 300 kVA, avoid inconvenience and damage, observe whether they comply with the new rules and the terms and conditions determined in the aforementioned ordinance. Transformers of this category manufactured from 01/01/2014 must have the INMETRO seal.

If you are interested, check the official INMETRO website (www.inmetro.gov.br) for an updated list of manufacturing companies authorized by the BRAZILIAN LABELING PROGRAM.

Yours sincerely.

Luiz Carlos Vitoretti

Commercial Manager.