Regional context: Brasil Vs Latam

The GDP of the State of São Paulo is bigger than Argentina, Chile, Uruguay, Bolivia and Paraguay combined.

Argentina 370 billion

Bolivia 20 billion Paraguay 19 billion

Chile 203 billion

Uruguay 40 billion

Did you know?

Note: GDP in Billion USD Sources: Fundação Seade. Internal Revenue Service. International Monetary Fund.

GDP of São Paulo 657 GDP of arG, Ch, urG, Blv & PrG 652

2

Did you know?

the size of those 5 countries

São Paulo is less thanAnd the State of

5%State of São Paulo: 248,808 Km2

Argentina + Chile + Uruguay + Bolivia + Paraguay: 5,135,840 Km2

Sources: Governo do Estado de São Paulo. World Bank. 3

Did you know?Brasil’s estimated increase in GDP for 2010-2011 will be larger than the total 2011 GDP of all Central America & the Caribbean combined (that’s 21 countries!)

428 Billion

288 BillionTotal 2011 GDP of all Central America & the Caribbean 288 billions USD

Brasil’s GDP Central America’s & Caribbean’s GDP

2011 2,518 Billion

2010 2,090 Billion

Brasil’s GDP Increase in 2011

Sources: International Monetary Fund. 4

Did you know?Brasil’s estimated increase in GDP for 2010-2011 will be larger than the GDP increase of the rest of Latam.

BrasilGDP Increase in 2011

Rest of Latin America

GDP Increase in 2011

428 Billion

USD369 Billion

USD

Sources: International Monetary Fund. 5

Brasil is getting TOO HOT

$6.17 $4.0751%

$46,020 $21,895110%

$887 $49978%

$78.73 São Paulo

$65.04 NYC - Midtown

21%

Big Mac Honda CRV

Office Rental: USD per Square Foot

iPad 2

Note: All prices are in USD Sources: The Economist. Apple. Honda. Colliers International. 6

64% LATAM

Internet users

GDP Nominal %

43% BRAsIL

Credit cards

73% BRAsIL

E-commerce

30% LATAM

27% LATAM

70% Brasil

57% LATAM

36% BRAsIL72%

LATAM

Mobile phone users

28% BRAsIL

Population

65% LATAM

35% BRAsIL

Brasil LATAM

Sources: Internet Worlds Stats. International Monetary Fund. Euromonitor International. eMarketer. 7

Latam’s e-commerce

68 billion USD increase in 10 yearsUSA 2010 176 billion USD

China 201075 billion USD

Europe 2010112 billion USD

5Billion

28Billion

73Billion

2005 2010 2015 Sources: America Economia Business Unit. Euromonitor International. Fnbox projections. Boston Consulting Group. Forrester Research. eMarketer. 8

68 35%60%

75%170205

355

285

451

Sources: America Economia Business Unit. Euromonitor International. Fnbox projections.

Increase in mobile and internet adoption in Latam

2005

Internet users

Internet users

100

Mill

ions

of u

sers

200

300

400

500

+319%

+165%

Mobile users

Mobile users

2010 2015

12%

31%

60%

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Brasil Chile

Ease of Doing Business Ranking 2012 (World Bank)

126 39

Corruption Perception Index (Freedom House) 69 21

Global Competitiveness Report (World Economic Forum)

58 30

Global Enabling Trade Report (World Economic Forum)

87 18

Days required to register a firm 119 7

Time required to prepare, file and pay corporate income tax, the value added tax and social security contributions (in hours per year)

2600 316

Labor tax and contributions (%) 41% 4%

Effective Corporate Taxes on New Investment 35% 7%

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Brasil rest of BRICSCompared to Asia, Latam has various advantages if you want to replicate internet business models that proved successful in the US and Europe.

Google Market Share

1. 90% Brasil

2. 88% India

3. 26% Russia

4. 0% China

Facebook penetration

15% Brasil

4% Russia

3% India

0% China

Time difference to NYC

+3hrs Brasil, São Paulo

+9hrs Russia, Moscow

+10.5hrs India, Delhi

+13hrs China, Bejing

Twitter penetration

24% Brasil

8% India

0% Russia

0% China

Sources: Comscore. Experian Hitwise. iResearch. Socialbakers.

Flight time to NYC

9hrs Brasil, São Paulo

10.5hrs Russia, Moscow

13.5hrs China, Bejing

14hrs India, Delhi

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A D R I A N A L I M A

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Want to know more? Visit www.fnbox.com

Twitter @RodrigoTeijeiro

Fnbox is a Latin American technology company focused on creating worldwide

Internet businesses.