BANCO DO BRASIL 4 Quarter 2011 - BB · BANCO DO BRASIL 4th Quarter 2011. Disclaimer This...

BANCO DO BRASIL4th Quarter

2011

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.

(1) Accumulated 12 months. Source: IBGE

(3) 12 months. Source: CAGED

(2) End of period. Source: Central Bank

(4) 12 months average. Source: IBGE

Economic Environment

3

Economic environment x Banking Industry

4

(2) Loan as reference for interest rate

R$ billion

Brazilian Banking Industry

5(1) Preliminary data

Distribution

Agribusiness Finance

InvestorRelations

Structuring of Solutions

Construction of Solutions

HumanResources

Controlling Credit

Risk Management

Accounting

Internal Controls

Legal

Marketing andComunication

Business and Operations

Support

Individuals

ChannelManagement

Micro and Small Ventures

Private Bank Operation of Solutions

Government AffairsCommercial

Adm. and Financial Unit for

Legal Procedures

Security Management

Reestructuring Of Operational

Assets

TecnologiaStrategy andOrganization

ExecutiveSecretary

Relations with Employees and

SponsoredEntities

Capital Markets and

Investments

São Paulo Distribution

Governance ofRelated

Companies

Cards

Loans and Financing

PensionManagement

Insurance, Pension Plans

and Capitalization

Organizational Chart

Acquisitionsand StrategicPartnerships

SustainableDevelopment

Divisions

Vice-Presidents

CEO/President

Autonomus Managing Unit

Units

VIPINWholesale,InternationalBusiness andPrivate Bank

VIVARRetail Service, Distribution and Operations

VIPAGAgribusiness and Small Ventures

VIFINFinancial Mngt., and Investor Relations

VITECTechnology

VIPESHuman Resources and Sustainable Development

VICRIInternal Controls and Risk Management

VIGOVGovernmentVINEG

Retail Services

Internal Audit

Board of Directors

General Shareholders MeetingBoard of Auditors

Audit Commitee

CEO/PresidentBoard of Officers

International Business

and Affairs

6

Shareholding Breakdown

Free Float - %

Free Float* – 30.4%

Ownership Structure

7(*) Considering Bonus C subscription

Timeline

Mar-08

Oct-09

Oct-08

Sep -09

Oct-09

Nov-09

Nov-09

Jun-10

Mar-11

Apr-10

Acquisition of BESC

Mortgage lending

Nossa Caixa taking over

Banco Votorantim partnership

Level I ADR Program

Launching of ELO

Financial Holding Company status

Insurance restructuring

Banco Patagonia taking over

May-11

Acquisition of EuroBank - EUA

Retail Transformation Program – BB 2.0

Shares Public Offering

Post Office Bid – Banco Postal

Apr-11

Apr-11

2008

2009

2010

2011

8

Leaderships¹

%

9

(1) Assets and Deposits: as of September/11; Loan Portfolio in Brazil and Asset Management: as of December/11;

(2) Does not include Banco Votorantim

(Market Share)

10

Distribution NetworkRegional Market Share

33.3%35.2%

30.0%

20.7%

26.0%

Total = 25.1%

Total Distribution Network

(1) Included PAA, PAB, PAE, QSQ, PAP , SAA and banking correspondent (2) Since Jan/12

Branchs 5,263

Other Service´s point1 27,235

Postal Bank² 6,337

Shared Network 24,534

Total 63,369

Profitability

11

Capital Structure

12

BIS Ratio - %

CAGR = 27.9%

(1) Source: Central Bank. (2) Market Share as of September/2011

Assets

13

²

Market Share(%)¹

R$ billion

R$ billion

CAGR (%) = 25.1

26.7

4.9

21.6

28.2

32.8

(1) Includes BV and BNC since 2009

Funding¹

14

R$ billion

CAGR (%) = 30.4

32.4

14.6

42.1

33.8

(1) Included BV, BNC, provided guarantees and private securities since 2009 (2) Domestic Loan Portfolio / BI Loan Portfolio

Loan Portfolio¹

15

Market Share(%)²

R$ billion

(1) Included BV, BNC, provided guarantees and private securities since 2009 (*) Since 2008

CAGR (%) = 42.1

322.0*

2.7

36.5

24.3

79.3

44.1

Loans to Individuals¹

16

R$ billion

(1) Included BV, BNC, provided guarantees and private securities since 2009

CAGR (%) = 33.8

28.9

36.6

Loans to Companies¹

17

R$ billion

CAGR (%) = 14.6

28.7

9.2

Loans to Agribusiness¹

18(1) Included BV, BNC, provided guarantees and private securities since 2009

(1) Without one-off items(2) Average loan portfolio and 12 months expenses(3) Net of credit recovery

Credit Risk

19

R$ billion

Net Interest Income

20

NIM

21

%

(2) Insurance Net Income / BB´s Recurring Net Income

∆ = 15.6%

∆ = 20.7%

∆ = 5.0%

∆ = 16.7%

Business diversification increases revenues

22

(1) Includes Banco Votorantim

R$ billion

(1) Administrative Expenses / Operational Revenues, excempt from one-off items; accumulated 12 months

Cost to Income Ratio¹

23

(2) Including ATM from partnerships

(1) Includes Banking Correspondents

Structure

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