Rises prevail on the major European Stock Markets during the week from July 19 through 23 due to recovery signs from macroeconomic data published in the US (Milan + 2.2%, London + 3% and Paris + 3.1%). More specifically, the banking sector showed a positive trend (+ 4.5% European reference Index) following the outcome of the Stress Test (only 7 out of 91 banks did not pass the test). Pirelli is definitely the best within the Ftse Mib since the beginning of 2010, with a relative performance of 29pp compared with teh Blue Chip Index of Milan. We remind you that on Monday, July 26, 2010, a reverse stock split transaction was approved with a ratio of one new ordinary or saving stock for eleven stocks to streamline both their financial management and make the Pirelli & C. stocks value more easily comparable with the other tyre business stocks listed. Taking into account such value adjustment, closing on Friday July 23, 2010 was of 5.42 euro (+ 2.9% weekly perfomance). The Consensus Target Price is of 5.84 euro and “Buy” is the prevailing recommendation. Negative data on the US Real Estate market sales caused a decrease of Real Estate stocks and a – 0.7% or 0.358 euro for Pirelli Re. The negative performance of Risanamento (-12.4%) involved in a criminal case based on the infringement of environmental protection laws.