BANCO DO BRASIL 1 st Quarter 2012
Disclaimer This presentation may include references and statements, planned synergies, increasing estimates, projections of results, and future strategy for Banco do Brasil, it s Associated and Affiliated Companies, and Subsidiaries. Although these references and statements reflect the management s belief, they also involve imprecision and high difficult risks to be foreseen. Consequently, they may conduct to a different result than those anticipated and discussed here. These expectations are highly dependent on market conditions, on Brazil s economic and banking system performances, as well as on international market one. Banco do Brasil is not responsible for bringing up to date any estimate in this presentation.
Economic Environment (1) 12 months accumulated. Source: IBGE (2) End of period. Source: Central Bank of Brazil (3) Net jobs created in the last 12 months. Source: CAGED Source: IBGE 3
Economic environment x Banking Industry 4
Brazilian Banking Industry R$ billion (2) Loan as reference for interest rate (1) Preliminary Data 5
General Shareholders Meeting Organizational Chart Audit Commitee Compensation Commitee Board of Directors Board of Auditors Internal Audit Board of Officers President VIPIN Wholesale, International Business and Private Bank VIVAR Retail Service, Distribution and Operations VIGOV Government VIPAG Agronegócios e Micro e Pequenas Empresas VINEG Retail Services VITEC Technology VIPES Human Resources and Sustainable Development VIFIN Financial Management and Investor Relations VICRI Internal Controls and Risk Management Commercial Individuals Government Affairs Agribusiness Cards Technology Human Resources Finance Risk Management Strategy and Organization International Business and Affairs Distribution SMEs Loans and Financing Structuring of Solutions Relations with employees and Sponsored Entities Controlling Credit Marketing and Communication Capital Markets and Investments São Paulo Distribution Insurance, Pension Plans and Capitalization Construction of Solutions Sustainable Development Accounting Reestructuring of Operational Assets Executive Secretary Private Bank Business and Operations Support Mortgage Operation of Solutions Investor Relations Internal Controls Channel Management Pension Management Governance of Related Companies Security Management Acquisitions and Strategic Partnerships Legal Adm. and Financial Unit for Legal Procedures 01 President 09 Vice-Presidents 27 Directorships 13 Units 01 Autonomus Managing 01 Internal Audit Unit 6
Ownership Structure Shareholding Breakdown Free Float 30.4% Free Float - % 7
Timeline 2011 2010 2009 2008 May-11 Apr-11 Apr-11 Mar-11 Jun-10 Apr-10 Nov-09 Nov-09 Oct-09 Sep -09 Oct-09 Oct-08 Mar-08 Post Office Bid Banco Postal Acquisition of EuroBank - EUA Banco Patagonia taking over Launching of ELO Shares Public Offering Financial Holding Company status Retail Transformation Program BB 2.0 Level I ADR Program Insurance restructuring Banco Votorantim partnership Nossa Caixa taking over Acquisition of BESC Mortgage lending 8
Leaderships¹ % (Market Share) (1) Assets and Deposits: as of December/11; Loan Portfolio in Brazil and Asset Management: as of March/12; (2) Does not include Banco Votorantim 9
Distribution Network Regional Market Share Total = 24.6% 29.5% 34.5% 28.3% 20.5% 25.5% Total Distribution Network Branches 5,266 Other Service s point 1 27,826 Postal Bank² 6,335 Shared Network 25,498 Total 64,925 (1) Considering PAA, PAB, PAE, QSQ, PAP, SAA and banking correspondents (2) Since Jan/12 10
Profitability 11
Capital Structure BIS Ratio - % 12
Assets ² Market Share (%)¹ CAGR = 22.4% (1) Source: Central Bank of Brazil. (2) Market Share as of December/2011 13
Funding¹ R$ billion CAGR (%) = 19.5-0.1 4.9 20.9 27.3 19.9 (1) Includes BV and BNC since 2009 14
Loan Portfolio¹ R$ billion Market Share (%)² CAGR (%) = 25.7 30.9 12.1 36.1 27.0 (1) Includes BV, BNC, provided guarantees and private securities since 2009 (2) Domestic Loan Portfolio / BI Loan Portfolio 15
Loans to Individuals¹ R$ billion CAGR (%) = 36.1 620.3 7.1 18.1 21.0 59.9 40.0 (1) Include BV, BNC, provided guarantees and private securities since 2009 16
Loans to Companies¹ R$ billion CAGR (%) = 27.0 24.0 28.6 (1) Include BV, BNC, provided guarantees and private securities since 2009 17
Loans to Agribussiness¹ R$ billion CAGR (%) = 9.5 14.9 7.1 (1) Include BV, BNC, provided guarantees and private securities since 2009 18
Credit Risk (1) Without one-off items (2) 12 months average loan portfolio and expenses (3) Net of credit recovery 19
Net Interest Income R$ billion 20
NIM % 21
Business diversification increases revenues = 23.0% = 20.9% (1) Includes Banco Votorantim = 22.8% = 0.8% (2) Insurance Net Income / BB s Recurring Net Income 22
Cost to Income Ratio¹ R$ billion (1) Administrative Expenses / Operational Revenues, excempt from one-off items; accumulated 12 months 23
Structure (1) Includes Banking Correspondents since 2010 (2) Does not include ATM from partnerships 24
Structure 25
Investor Relations Unit SBS - Quadra 1 - Bloco C - Ed. Sede III - 7 floor 70073-901 - Brasília (DF) Phone: +55 61 3102 1124 Fax: +55 61 3102 1435 bb.com.br ri@bb.com.br