Light Groups Investments Program

BNDES approves R$ 549 million financing

Rio de Janeiro, October 16, 2007 Light S.A. (Bovespa: LIGT3) (Company), the controlling company of LIGHT GROUPs companies, informs to the market that a R$549.3 million financing, reserved for the investments program of the companies Light Servios de Eletricidade S.A. (Light SESA) and Light Energia has been approved by the Executive Board of the National Development Bank (BNDES), for the period from the second half of 2006 until 2008. The financing approved by BNDES corresponds to 48.6% of the investment program of the period, which amounts to R$1.13 billion and comprises investments destined to: Modernization and automation of the generation plants of Light Energia; Physical extension of the current distribution facilities of Light SESA, with investments in substations, power transformers and distribution lines; Investment in the quality and reliability of the distribution system, with the modernization and renovation of the existing distribution circuits; Investments in material, service and work force, with the objective of preventing theft and fraud in the measurement of energy consumption. In addition to the aforementioned financing, Light SESA has signed a mandate for the issuance of a Bank Credit Letter (CCB) with Bradesco, in the amount of R$450 million, from which about R$110 million will also be used in investment projects related to the activities of the Companys business. One of these projects is an experimental project of fighting losses, with an investment of about R$78million, for the acquisition and setting up of telemetry recognition, utilization of encapsulated measurers, centralized measurement system and a multiplex distribution network.

Light S.A. is also investing in the expansion of its energy generation plant, with the construction of two SHPs, in Paracambi and Lajes and one HPP, in Itaocara, which together will lead to a 28% addition, or 238 MWh, in the current power generation installed capacity. The estimated cost of these projects is of approximately R$630 million, and the operation is forecasted to start in 2010 for the SHPs and 2012 for the HPP. The financing of these projects is not included in the financing package approved by BNDES and will be structured according to the project finance format. Ronnie Vaz Moreira, the Companys Chief Financial Officer and Investor Relations Officer, said that the realization of investments focused on the perfection of the services rendered to the Companys consumers and on the growth of the Companys business segments, creating value to shareholders, is a priority to Light.

Ronnie Vaz Moreira Investor Relations Officer