PRESS RELEASE

WASTE MANAGEMENT: ANTITRUST AUTHORITY ORDERS MESSINAMBIENTE TO PROVIDE ATO 3 OF THE MESSINA MUNICIPALITY WITH CRITICAL INFORMATION FOR SERVICE CONTRACT TENDERS

Urgent measure adopted as investigation is launched into abuse of dominant position

Messinambiente corporation has been ordered to provide ATO ME 3, a Municipal/Provincial subsidiary, with all of the information required for the proper tendering of sanitation services for the Municipality of Messina. This fast-track Antitrust Authority decision is accompanied by the launch of an investigation into the actions of Messainambiente to determine whether its actions, as the contractor since 1999 by Agreement with the Municipality, represent an abuse of dominant position.
With the expiration of the contract coming up next December 31st (as prescribed by law), the Ambito Territoriale Ottimale ATO ME 3 corporation notified the Antitrust Authority of Messinambiente's efforts to obstruct the November 2010 call for tenders for contracts worth roughly 24 million euros per year for the next contract period, from 01st January 2011 to 31st December 2015. Messinambiente first refused to provide the information requested about the professional roles within the environmental department of the Municipality of Messina, including the qualifications, levels, seniority, types of contracts and functions performed by its corporate employees. The data that were later communicated, after the tender had already been announced, were incomplete and difficult to use.
According to the Antitrust Authority, Messinambiente's conduct could very well prevent its competitors from submitting competitive proposals altogether. Lacking the requested information, interested businesses would
be incapable of submitting offers in time for the current contract's new expiration date (30th December 2010), with the obvious consequence that the current contractor - Messinambiente - would be the only business capable of participating in the tender. Having established the existence of serious and urgent conditions, as prescribed by law, the Antitrust Authority has ordered the corporation to hand over the relevant information.

Rome - December 3rd, 2010