Stock markets registered broadly negative trends in December, with falls of 0.4% for the US S&P500, 2.3% for European DJ Stoxx50, 5.0% for the Italian FTSE MIB and 2.5% for the DJ EuroStoxx Utilities sector index. Stock markets, particularly those in Europe, have been adversely affected by concerns about political instability in Greece, as well as by the weak economic situation in Eurozone countries.

1. 0.2%
13.3%
2.9%
11.4%
‐0.4%
‐2.3%
‐2.5%
‐5.0%
-10% -5% 0% 5% 10% 15% 20%
December 2014
Performance of the main stock indices
Source: Snam on the Bloomberg data
The financial markets pag. 1
The utility sector pag. 2
DJ Stoxx 50
S&P 500
DJ Euro Stoxx Utilities
FTSE MIB
Snam shares and its peers pag. 3
Jan - Dec ‘14
December ‘14
The oil markets
Oil prices closed the month of December in
further significant decline, down 19.5% for
the U.S. benchmark WTI (closing at $53.3/
barrel) and down 19.2% for Brent (closing at
$55.8/barrel). The situation regarding market
fundamentals remains unchanged, which
negatively impacted the oil market for all of
2014. The year saw the largest decline on a
yearly basis since 2008, primarily as a result
of excess supply, in a context of weak de-
mand due to the sharp increase in the pro-
duction of US shale oil and the lack of OPEC
production cuts. On annual basis, the WTI
crude oil benchmark closed with a drop of
45.9%, while Brent saw a decline of 49.7%.
Snam S.p.A. Investor Relations
Negative performance for stock
markets, impacted by worsening
political tensions in Greece.
Snam stock closed down Oil prices closed in significant
decline
The financial markets
Stock markets registered broadly negative
trends in December, with falls of 0.4% for the
US S&P500, 2.3% for European DJ Stoxx50,
5.0% for the Italian FTSE MIB and 2.5% for
the DJ EuroStoxx Utilities sector index.
Stock markets, particularly those in Europe,
have been adversely affected by concerns
about political instability in Greece, as well
as by the weak economic situation in Euro-
zone countries.
From a macroeconomic perspective, positive
indications came from the United States
(with reference to November’s data, on a
monthly basis) from retail sales (+0.7%) and
the labour market, following the creation of
321.000 new jobs. The consumer confidence
index was also on the rise (93.8 points in
December, the highest since January 2007,
from 88.8 the previous month). The Eurozo-
ne continues to see weak trends in industrial
production (+0.1% in October, on a monthly
basis, at an aggregate level) as well as on
the PMI indices (the composite index was at
50.6 points in December, from 50.1 the pre-
vious month).
Looking at 2014 as a whole, the performan-
ce was positive on all stock markets, in parti-
cular for the US S&P 500 (+11.4%) and the
DJEurostoxx Utilities sector index (+13.3%),
while increases were more muted for the
European DJStoxx50 (+2.9%) and the Italian
FTSE MIB (+0.2%).
In the United States, stock markets were
mainly driven by positive macroeconomic
data and employment, in support of the
strengthening economic recovery. With the
economic stagnation in Europe, markets
were primarily driven by the ECB's expansio-
nary monetary policy, which carried out a
series of reductions in the benchmark rate to
reach the current 0.05% (in early Septem-
ber), a new historical low.

2. With regard to sectors, December recorded
mixed results. The best performance was
seen by the leisure sector, which was boo-
sted by the drop in fuel prices for air tran-
sport, the upward revision of low cost airline
Ryanair's end of the year profit objectives,
and increased consumption during the
Christmas holidays. Negative results were
instead seen in the banking sector, which
suffered a disappointing lower-than-
expected TLTRO auction (120 billion reque-
sted by European banks to the ECB rather
than the 100-250 billion expected), as well
as in the Oil & Gas sector, which continued
to be pushed down by weak crude oil prices.
Negative performance was also registered
by the utility sector, particularly for power
generation companies (-4%) which were
negatively impacted by several companies,
including RWE (-12%), which was hit by the
announcement of the 2015 dividend reduc-
tion as well as by some difficulty in selling
assets in Russia, and Fortum, which is parti-
cularly exposed to the Russian market.
In 2014, sectors registered largely positive
trends, most notably the real estate sector,
which benefited in particular from the increa-
se in housing demand due to the reduction
in interest rates. In contrast was the perfor-
mance of the Oil & Gas sector, which in the
second half of the year suffered from the
sharp drop in crude oil prices, and of the raw
materials sector, which was hit by the
slowdown of the Chinese economy, the
world's largest consumer of basic resources.
Like the real estate sector, the utilities sector
registered strong growth, boosted by the
reduction in interest rates, which reached
historic lows in 2014.
The utility sector in the
Stock Market
Source: Snam on the Bloomberg data
Main sector performance, January- December 2014
Main sector performance, January- December 2014
Source: Snam on the Bloomberg data
DJ Uti l i ty; -2,5%
DJ Insur ance; 0,1%
DJ T el ecom; -2,8%
DJ Heal th Car e; -2,4%
DJ M edi a; 1,4%
DJ Real Estate; 0,3%
DJ T r avel &Lei sur e; 3,7%
DJ Chemi cal s; -1,3%
DJ Food&Bev; -1,7%
DJ Const&M ater ; 0,4%
DJ Inds Good; 0,2%
DJ Oi l &Gas; -3,5%
DJ Per s&Househol ds; -1,5%
DJ Autopar ts; -0,1%
DJ T ech; 3,0%
DJ Fi nanci al Ser vi ces; 1,1%
DJ Retai l ; 2,5%
DJ Banks; -4,1%
DJ Basi c Resour ces; -1,8%
-10% -5% 0% 5% 10%
The power generation companies (-4%) were negatively impacted by several companies, including RWE
(-12%), which was hit by the announcement of the 2015 dividend reduction as well as by some difficulty in
selling assets in Russia, and Fortum, which is particularly exposed to the Russian market.
Financial Markets Review December 2014 Snam S.p.A. Investor Relations
DJ Uti l i ty; 13,3%
DJ Insur ance; 9,8%
DJ T el ecom; 7,5%
DJ Heal th Car e; 18,2%
DJ M edi a; 7,3%
DJ Real Estate; 20,0%
DJ T r avel &Lei sur e; 18,3%
DJ Chemi cal s; 3,8%
DJ Food&Bev; 11,2%
DJ Const&M ater ; 4,7%
DJ Inds Good; -1,9%
DJ Oi l &Gas; -15,1%
DJ Per s&Househol ds; 9,2%
DJ Autopar ts; 4,0%
DJ T ech; 7,5%
DJ Fi nanci al Ser vi ces; 9,8%
DJ Retai l ; -4,1%
DJ Banks; -2,8%
DJ Basi c Resour ces; -6,2%
-20% -15% -10% -5% 0% 5% 10% 15% 20% 25% 30% 35% 40%

3. In 2014, the utility sector registered an in-
crease of 13.3%, boosted in particular by
regulated companies which experienced
large gains from interest rates that continued
to fall over the 12 months. In particular, the
best performances came from English com-
panies, which benefited from the sustained
growth of the United Kingdom’s economy,
and the conclusion of the regulatory review
of the water sector (United Utilities +36.4%,
Severn Trent +17.7%). Spanish companies
also contributed to the performance (REE
+50.9%; Enagas +37.9%), driven by the new
regulatory framework that came into force
earlier in the year which guarantees visibility
on the regulation parameters until 2020.
The Snam stock closed the last session of
the month of December at 4.11 euro per
share (official price), down 3.2% from the
previous month, but outperforming the Italian
market.
Snam's performance registered a significant
drop in the first half of the month, due to new
fears regarding the heightening political
tensions in Greece that dragged down all of
the main European markets.
The performance over the full year of 2014
was up by 1.9%, registering an increase
smaller than the utility sector’s performance,
but higher than the Italian stock market’s
performance.
After a stable first quarter, the stock benefi-
ted in Q2 from the positive response of the
financial community to the 2013 results and
the 2014-2017 strategic plan. Stock trends
were also boosted by the low level of interest
rates, especially considering the high gua-
ranteed return.
The second half of 2014 saw the stock lose
part of the margin previously gained; in Q3,
Snam’s stock was negatively affected by the
publication of lower-than-expected Italian
macroeconomic data and the resulting un-
certainty about the country’s economic reco-
very, whilst in the latter half of the year,
Snam’s share price was significantly impac-
ted by the Authority’s decision to revise the
rate of remuneration of gas storage, and by
volatility linked to uncertainties surrounding
the macroeconomic situation and crude oil
prices.
The Utility sector performance
January- December 2014, sector and subsector performance
Snam and its peers
Source: Snam on the Bloomberg data
5.8%
9.7%
22.1%
13.3%
-10% 0% 10% 20% 30%
Defensive Utilities
DJ Utility
Energy Utilities
Other Utilities
The Snam shares and its peers
in the Stock Markets
Financial Markets Review December 2014 Snam S.p.A. Investor Relations
1,2%
1.9%
4.1%
37.9%
50.9%
16.5%
17.7%
36.4%
13.3%
0.2%
2.9%
‐3.2%
‐2.6%
‐2.8%
‐0.6%
‐1.3%
‐1.8%
‐2.5%
‐5.0%
‐2.3%
-10% -5% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 55% 60%
FTSE MIB
Stoxx 50
DJ Utility
United Utilities
NG
Severn Trent
REE
Enagas
Snam
Terna
January-December 2014
December 2014
The average volume of shares traded
in 2014 totaled 10.2 million units (10.3
in 2013).
Snam SpA
Piazza Santa Barbara 7 - 20097 S. Donato Milanese (Mi) Italia
www.snam.it — investor.relations@snam.it
tel: +39 02 37037272- fax: +39 02 37037803