Significant Events Subsequent to the End of the Year

During “Sustainability Day” on January 23, 2012, Pirelli signed the agreement with the Ministry of Environment and Protection of Territory and the Sea to reduce the climate impact of activities related to production and use of its tyres. The agreement envisages a commitment to reduce specific emissions of CO2 by 15% and specific water uptake by over 50% by 2015.

The agreement proves the commitment made by Pirelli, which uses its own technologies to develop production systems and products that can guarantee quality and safety for consumers and a reduction in environmental impact. These elements allow Pirelli constantly to improve its efficiency, with major economic benefits, and to exploit an additional competitive advantage on international markets, especially those where these characteristics are imposed by law and appreciated by consumers. The agreement is one of the various actions taken by Pirelli to limit environmental impact. In 2011, these actions led the Group to reduce its energy consumption by 6% versus 2010, accompanied by a 20% reduction in specific water uptake. In aggregate, the measures taken by Pirelli since 2009 have allowed it to reduce its water consumption by 2 million cubic metres every year, with 5% less CO2 emissions than in 2009.

On January 31, 2012 the Extraordinary General Meeting of Savings Shareholders of Pirelli & C. S.p.A. assembled on the third call and chose Professor Giuseppe Niccolini as their joint representative for the 2012, 2013 and 2014 financial years. Giuseppe Niccolini replaces Mr Giovanni Pecorella, whose term had expired.

On February 29, 2012 Pirelli & C. S.p.A. and Russian Technologies finalised the transaction for transfer of the Voronezh tyre plant by the Sibur petrochemical group to the joint venture between Pirelli and Russian Technologies.

This transaction follows the transfer by Sibur of the Kirov tyre plant last December.

The Voronezh plant will concentrate its activity on high-end tyres, with annual output of 2 million units in 2012, set to rise to 4 million units in 2014, while production at Kirov, already at 6.5 million units per year, will remain unchanged, with more than 60% of the total output being converted to the Pirelli brand.

On March 1, 2012 the PirelliBoard of Directors co-opted Giuseppe Vita, in replacement of Enrico Tommaso Cucchiani, who resigned as Director on December 16, 2011, and Manuela Soffientini, who replaced Francesco Profumo, who resigned as Director on November 16, 2011.