Snam Rete Gas: The Board of Directors approves Stock Option and Stock Grant Plan.

The Board of Directors of Snam Rete Gas has today approved the Stock Option and Stock Grant Plan for the year 2003 and has resolved a share capital increase in service of the Stock Option Plan up to the maximum extent of 640,500 euro, with the issue of a maximum of 640,500 dividend bearing ordinary shares, par value of 1 euro each. Stock Options will be offered to the executives at the price of 3,246 euro, the average of official prices recorded in the month preceding the today's date on the Mercato Telematico Azionario. Underwriting rights may be exercised over the five-year period beginning three years after assignment of the options.

With regards to the stock grant plan, the Board of Directors set 128,100 as the maximum number of ordinary shares with a par value 1 euro each that may be assigned to the aforementioned executives. The number of shares to be offered at no charge three years after assignment, will be determined on the basis of T.S.R. (Total Shareholder Return) over the three years from 2003-2005 compared to that of a basket of Italian and European utility companies.

Stock Option and Stock Grant Plan approval takes place within the Incentive and Loyalty Plan for the three-year period 2002-2004 for the executives who have the most direct responsibility in terms of the company's strategic and economic results, in compliance with Shareholders' Meeting resolution of April 24th, 2002.