Investment in Italy

Investment in Italy1.Country overviewItaly, with a population of nearly 60 million inhabitants, is divided into 20 regions. Five ofthese regions (Valle d’Aosta, Trentino-Alto Adige, Friuli-Venezia Giulia, Sicily and Sardinia)have special autonomous status that enables them to enact certain local legislation.The country is further subdivided into 110 provinces and more than 8,000 municipalities.Rome, located in the Lazio region, is the largest Italian city (more than 2.7 million inhabitants).Milan in Lombardy (1.3 million inhabitants), Naples in Campania (one million inhabitants),Turin in Piedmont (0.9 million inhabitants) and Palermo in Sicily (0.7 million inhabitants) arethe other largest Italian cities.The key business regions are located in the north of the country (Lombardy, Piedmont andVeneto).The majority of the Italian population (66 percent) falls within the age group 15-64. Thepercentage of people older than 65 is rising and currently stands at 20 percent while theremaining 14 percent of the population falls within the age group 0-14.8© 2012 KPMG S.p.A., KPMG Advisory S.p.A., KPMG Fides Servizi di Amministrazione S.p.A., KPMG Audit S.p.A., Italian limited liability share capital companies, and Studio Associato Consulenza legale e tributaria, anItalian professional partnership, are member firms of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.