LEVERAGE ON GROWTHA. PirelliBU AGRO

2

STEADY GROWING REFERENCE MARKET: LATAM

Source: OECD - FAO Agricultural Outloook, FAOSTAT Agricultural Outloook (Tons 2009)

Brazilian agricultural production

Brazilian worldwide ranking by crop type

Key trends

Growing mechanization in farming, moving from medium range to high performance tractorsRadialization on the rise Increased OE Investments and production output

Mln pieces, Conventional + Radial

+4.0%+4.0%

1.41.6 1.7

Agro tyre market

Beans 1

Coffee 1

Maize 3

Orange 1

Soybean 2

Sugar Cane 1

2005=100

100

122

142

2010 2013 2015 2005 2010 2015

+3.6%+3.6%

3

Russia Ukraine

Oats 1

Potatoes 3 4

Rye 1 5

Sunflower 1 2

Wheat 4 8

CIS worldwide ranking by crop type

+2.1%+2.1%

1.21.3

1.4

Russia Ukraine

CIS agricultural production

Mln pieces, Radial 2005=100

2010 2013 2015

130 128

100 100118 113

2005 2010 2015

Agro tyre market

2005 2010 2015

+2.7%+2.7%+2.5%+2.5%

Russia and CISRadialization is taking-off Increasing mechanizationOE Investments in Russia (570 $/mln)

EuropeMove towards high-end product in the West Shift to radial tyre in the East

Source: OECD - FAO Agricultural Outloook, FAOSTAT Agricultural Outloook (Tons 2009)

Key trends

STEADY GROWING REFERENCE MARKET: EUROPE + CIS

Russia

Europe

+8.4%

+1.5%

4

BUILDING A DISTINCTIVE POSITIONINGFOR PIRELLI BY 2015

*

Common platform for radial across markets for: Technology Process Specifications

Optimized time-to-market

Local-for-local commercial focus

Flexible worldwide product rerouting

Efficient product development

Optimized manufacturing cost base

Cost competitiveness Pirelli’s competitive pillars Agile industrial footprint

Production capacity located in RDE

1

2

5

PIRELLI AGRO: GROWTH AND INVESTMENT STRATEGY

*

Brazil

Russia Greenfield

+ 20% capacity increase by 2013

+ 30% by 2015

radial plant by 2013 to serve CIS & European Mkt

+100% capacity by 2015

2011-15 investments for growth

2015 target positioning

Latam: Leader in OE and replacement markets for radial & conventional tyres

CIS: Reference partner for radial OEM and wide coverage of replacement market

Europe: Selective presence in OE and replacement markets

CAPEX 2011-2015: 70€/Mln plus Russia Greenfield

6

AGRO BU ECONOMIC TARGETS

SOUNDDOUBLE-DIGIT

OPERATING MARGIN

€/Mln

Revenue growth

120180

190

220

2009A 2010E 2011E 2013E

8%8%

CAGR

7

DISCLAIMER

8

This presentation contains statements that constitute forward-looking statements based on Pirelli & C SpA’s current expectations and projections about future events and does not constitute an offer or solicitation for the sale, purchase or acquisition of securities of any of the companies mentioned and is directed to professionals of the financial community. These statements appear in a number of places in this presentation and include statements regarding the intent, belief or current expectations of the customer base, estimates regarding future growth in the different business lines and the global business, market share, financial results and other aspects of the activities and situation relating to the Company. Such forward looking statements are not guarantees of future performance and involve risks and uncertainties, and actual results may differ materially from those expressed in or implied by these forward looking statements as a result of various factors, many of which are beyond the ability of Pirelli & C SpA to control or estimate precisely. Consequently it is recommended that they be viewed as indicative only. Analysts are cautioned not to place undue reliance on those forward looking statements, which speak only as of the date of this presentation. Pirelli & C. SpA undertakes no obligation to release publicly the results of any revisions to these forward looking statements which may be made to reflect events and circumstances after the date of this presentation, including, without limitation, changes in Pirelli & C. SpA business or acquisition strategy or to reflect the occurrence of unanticipated events. The Manager mandated to draft corporate accounting documents of Pirelli & C. SpA. Francesco Tanzi, attests – as per art.154-bis. comma 2 of the Testo Unico della Finanza (D.Lgs. 58/1998) – that all the accounting information contained in this presentation correspond to the documented results, books and accounting of the Company.