LIGHT S.A. Corporate Taxpayers ID (CNPJ/MF) 03.378.521/0001-75 Company Registry (NIRE) 33.300.263.

16-1 Publicly-Held Company MATERIAL FACT LIGHT S.A., in compliance with CVM Instruction 358, of January 3, 2002, hereby informs its shareholders and the market in general that: As disclosed by the Company on August 8, 2013 through Material Fact, Light Energia S.A. (Light Energia), the Companys wholly-owned subsidiary, approved on that date the execution of an Investment Agreement with RR Participaes S.A. (RR), Cemig Gerao e Transmisso S.A., (Cemig GT), Renova Energia S.A. (Renova) and Chipley SP Participaes S.A. (Chipley), aiming to regulate the entry of Cemig GT in Renovas controlling block, as well as the partial or full acquisition by Chipley of the capital stock of Brasil PCH S.A. (Brasil PCH), pursuant to the Brasil PCHs Stock Purchase Agreement, executed between Cemig GT and Petrleo Brasileiro S.A. Petrobras on June 14, 2013 and assigned by Cemig GT to Chipley. Brasil PCHs acquisition was subject to the preemptive and tag along rights of the other shareholders of Brasil PCH. In accordance with the Material Facts disclosed by Renova and Companhia Energtica de Minas Gerais Cemig, shareholders of Chipley, having ended the term for exercising the preemptive and tag along rights related to the transaction for the acquisition of 49% of all shares of Brasil PCH held by Petrleo Brasileiro S.A. (Petrobras), no shareholder exercised his preemptive right and only the shareholder Jobelpa S.A. (Jobelpa), holder of 2% of the shares of Brasil PCH, exercised his tag along right. Consequently, Chipley will acquire an interest of 51% in Brasil PCH. The price for the acquisition of 51% of Brasil PCH is R$676,530,600, on the reference date of December 31, 2012, and will be restated based on the CDI variation plus 2% p.a. until the date of effective payment. For this aim to be attained, the capital of Renova will be increased, with the assignment by Light Energia and RR to Cemig GT of the preemptive right related to the subscription to new common

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shares issued by Renova, and a new shareholders agreement will be entered into between RR, Light Energia and Cemig GT. The share issue prince on the reference date of December 31, 2012 will be R$16.2266 per share, which would be equivalent to R$48.6798 per unit, totaling R$1,414,732,900 to be subscribed and paid up by Cemig GT. The amounts will be restated based on the CDI variation as from December 31, 2012.

Funds raised from the capital increase and not used for the acquisition of 51% of Brasil PCH will strengthen Renovas cash and may be used in Renovas wind farm projects already contracted and/or other opportunities for growth in renewable energy assets. After the transaction, Light Energia will hold equity interest between 11.7% and 15.9% in Renovas total capital stock (which currently accounts for 21.99%) and between 14.2% and 20.7% common shares (which currently accounts for 32.3%), depending on the exercise of preemptive rights of the other shareholders of Renova, thus maintaining all its shares linked to the controlling block.

Pursuant to the Investment Agreement, the entry in the capital of Renova may be carried out directly through Cemig GT or through an Equity Investment Fund in which Cemig GT has a stake. Brasil PCH has the ownership of 13 small hydroelectric power plants located in the states of Minas Gerais, Rio de Janeiro, Esprito Santo and Gois, all of them operational, with total installed capacity of 291 MW and assured energy of 194 average-MW, contracted until 2028 and 2029 through Proinfa. The Company further informs that the acquisition of Brasil PCH and the capital increase in Renova are subject to a series of conditions precedent and trading conditions, among which the approval by the Brazilian Antitrust Authority and the National Electric Power Agency. The Company will keep its shareholders and the market duly and timely informed on the conclusion of this transaction. Rio de Janeiro, October 28, 2013.

Joo Batista Zolini Carneiro Chief Financial and Investor Relations Officer

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