1

Disclosure of Results2007

08.Nov.2007

www.duratex.com.br

2

Capital Markets

Business Segments

Housing Sector

Panel Making Sector

Capital Expenditures Plan

Performance

Competitive Advantages

3

Others30%

Foreign Inv.53%

Itaúsa8%

Pension Funds

9%

PN

Others22%

Foreign Inv.31%

Itaúsa42%

Pension Funds

5%ON + PN

Capital Markets

Shareholding Structure:Shareholding Structure:Total outstanding shares: 129,7M

• PN: 76,1M,• ON: 53,6M.

Shareholder structure (as of Sep / 2007):

4

Corporate GovernanceCorporate Governance

> News:> News:

Distribution of an extraordinary dividend (R$50 million);

Creation of a Securities Trading Committee;

Adoption of a Securities Trading Policy;

Adhesion to the ABRASCA Manual;

Creation of the Environment, Social and Cultural Sustainability

Committee;

Establishment of an Environment Policy;

Establishment of a Code of Ethics and Conduct.

Capital Markets

5

Capital Markets

15,3

52,6

50,0

155,2

76,9

46,358,1

25,7

2003 2004 2005 2006 2007

42,8 52,6

+ 102

%

*

Accrual Dividends Accrual Dividends (R$ million)(R$ million)

> Pay> Pay--out ratio:out ratio:**

Extraordinary Dividend First semester annualized

Accrual dividend / Interest on Capital* * Net Income 2007e: 9 months annualized

40,0% 46,5% 33,8% 34,0% 48,2%

6

Corporate GovernanceCorporate Governance

> Ongoing actions:> Ongoing actions:

80% Tag- Along rights to the PN stockholders;

30% differentiated Dividend Policy;

Bovespa Corporate Governance Level I;

Election of an independent Board member.

Capital Markets

7

Increased stock liquidity;Daily average trading volume:

• in 2006: R$ 7,6 million,• in 2007: R$ 25,9 million (jan to oct / 2007).

Included in important stock indexes: and

Capital Markets

0,00

10,00

20,00

30,00

40,00

50,00

60,00

70,00

dez-05 fev-06 abr-06 jun-06 ago-06 out-06 dez-06 fev-07 abr-07 jun-07 ago-07 out-0705.000

10.00015.000

20.00025.000

30.00035.000

40.000

+ 240%

Stock appreciation during the period: +292%(dec / 2005 - Oct / 2007)

Stock Performance:Stock Performance:

Quotation (R$) Traded volume (15 day moving average in R$M)dec-05 feb-06 apr-06 jun-06 aug-06 oct-06 dec-06 feb-07 apr-07 jun-07 aug-07 oct-07

8

Duratex coverage:• until Sep / 2006: 5 institutions:

> Itaú, Credit Suisse, Santander, UBS Pactual and Socopa.• in Sep / 2007: 11 institutions:

> The before mentioned plus: Merrill Lynch, Deutsche Bank,Unibanco, Fator, Brascan and Link Corretora.

Capital Markets

Duratex Coverage::

9

Capital Markets

Business Segments

Housing Sector

Panel Making Sector

Capital Expenditures Plan

Performance

Competitive Advantages

10

Metal FittingsVitreous ChinaAccessories

Business Segments

DECA DIVISIONDECA DIVISION

Leadership within the Metals segment having a Leadership within the Metals segment having a prominent position in Vitreous China.prominent position in Vitreous China.

Possesses the broader product line attending the Possesses the broader product line attending the different market segments.different market segments.

11

HardboardMDPMDF/HDF/SDFLaminate Flooring

Leadership within the Brazilian Leadership within the Brazilian panel making industry having the panel making industry having the

most diverse product line.most diverse product line.

WOOD DIVISIONWOOD DIVISION

Business Segments

12

Timberland total area: 110.000 ha;Self-sufficiency in wood supply;ISO14.001 and FSC certified;Genetic improvement:

• replication of the most productive trees;Strengthening of the corporative image along with a possible economic gain:

• development of a project to quantify the amount of CO2 extracted from the environment,

• joining the CCX (Chicago Climate Exchange) project in progress.

Business Segments

13

Business Segments

DurafloraDuraflora (100% Duratex)(100% Duratex)

Average distance between the timberland and plants:• Duratex = 55 Km,• Competitors = 140 Km.

Average freight cost per m3:• Duratex = US$ 4,80,• Competitors = US$ 9,50,• Pulp and Paper = US$ 13,30.

Average timberland productivity (in m³ / ha / year):• Duratex = 42• Competitors = 38• Chile = 20• USA = 12• Europe = 5

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V i t r e o u s

C h i n a

1 1 %

M D F2 8 %

M D P1 3 %

H a r d b o a r d

2 0 %

M e t a l

F i t t i n g s

2 2 %

L a m i n a t e

F l o o r i n g

6 %

19%

35%

46%

Segments Attended

Business Segments

Revenues Breakdown (2007):

Housing(direct)

Housing(indirect)

Others

R$1,2 billion

15

Home Center

18%

Wholesale9%

Others2%

Retail55%

Technical Sales

4%

Retail27%

Others4%

Furniture Industry

58%

91%

3%

6%

77%

9%

14%

Revenues within the Domestic MktRevenues within the Domestic Mkt..(Jan(Jan--Sep/2007)Sep/2007)

DECA

WOOD

Business Segments

Housing16%

Housing7%

16

Capital Markets

Business Segments

Housing Sector

Panel Making Sector

Capital Expenditures Plan

Performance

Competitive Advantages

17

Housing

Segregation of the building under construction’s assets from the constructors’ balance sheet;Deed of trust;Easining of the credit access andincrease of it:

• FGTS to real estate up to R$350 K.

Improvement of the legal framework

+ Launchings

+ Credit

+ Term

Macro Scenario:

About 20 IPO’s since 2005: Primary issuing worth approximately R$ 13,0 billion.

Companies from the sector positioned to grow

18

2,1%

5,7%

1,3%4,5%

-2,6% -2,5%

-8,6%

7,9%11,25%

13,25%

18,50%

17,25%17,50%

22,00%19,00%

15,75%

2000 2001 2002 2003 2004 2005 2006 2007*

5,46,7 7,2

1991 2000 2005 Source: Fundação João Pinheiro

Interest rate and Civil Construction GDP

Housing deficit (in millions of residencies)

Housing

Macro Scenario:

SELIC rate

C. Constr. GDP

* 2007 estimated:• SELIC: mkt. consensus• C. Constr. GDP: IPEA

19

BRAZIL

Housing

Total Real Estate Financing / GDP:

20

Source: ABECIP

2,2 3,0 4,6

9,5

15,0

2003 2004 2005 2006 2007

22.550 24.915 25.689 28.600

10,9 bi9,8 bi7,8 bi

6,8 bi

2004 2005 2006may/06 to

apr/07

Release of new units

Housing financing via savings account (in R$ billion)

Housing

Launchings

VGV

Macro Scenario:

Source: EMBRAESPSão Paulo city

2112 months 5 months 3 months

Housing

Average Construction Cycle

Project Incorporation

Sale Flagstone erection

Hydraulic and Electric

infrastructureThick finishing

Keys handover

Accessories/Furniture/

Remodeling Finishing

(Ceramicware and Metals)

22

Housing

C (economic)

Description:• Constructor: MRV• Value: R$ 66.558• Area: 42 m2• Total # of units: 296• Deca Products: R$579,00

Description:• Constructor: Ecolife• Value: R$ 198.200• Area: 78 m2• Total # of units: 198• Deca Products: R$1.655,00

Description:• Constructor: Tecnisa• Value: R$ 449.049• Area: 130 m2• Total # units: 52• Deca Products: R$7.936,00

Description:• Constructor: Cyrela • Value: R$ 3.242.400• Area: 607 m2• Total # of units: 48• Deca Products: R$41.822,00

Diversified Product Mix> Type of real estate:> Type of real estate:

B A AA (premium)

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Greater growth potentialStrategy to grow the product lines aimed to this market segment;• example: Max Line released on August, 2007;• complete line for bathrooms,kitchen and laundry;• revenues of the Max Line surpassed the commercial area initial

expectative in more than 5 times.

Economic Segment:

Housing

24

Capital Markets

Business Segments

Housing Sector

Panel Making Sector

Capital Expenditures Plan

Performance

Competitive Advantages

25

Industry:• 14,9 thousand companies in Brazil,• characteristics: small and medium sized family owned companies,• regional range,• absorbs about 60% of the fabricated panels;Main furniture centers (7):• Bento Gonçalves (RS),• São Bento do Sul (SC),• Arapongas (PR),• Grande São Paulo (SP),• Noroeste do Estado de SP (SP),• Ubá (MG),• Linhares (ES).

Panel Making Segment

Brazilian Scenario Brazilian Scenario (Furniture Makers)(Furniture Makers)

MG

SP

PR

SC

RS

Furniture centers

ES

DF

26

811 924

1.3261.641

1.871 1.846 2.0052.215 2.271

2.772

3.3603.680

2.027

389

3.546

0

1.000

2.000

3.000

4.000

2000 2001 2002 2003 2004 2005 2006 2007* 2008 2009 2010 2011

* 2007: annualized ** MDF growth between 2000 and 2007e = 27% pyGDP growth between 2000 and 2007e = 3,2%pyMDF / GDP = 8,4 xMDF estimated demand between 2007 and 2011 = 3,75 x GDP (4%) =15% py

Supply Demand

Source: ABIPA / SECEX / DURATEX

Estimated 15%py** growth rate

CAGR + 27%

Panel Making Segment

MDF: Domestic Market DemandMDF: Domestic Market Demand(in (in ‘‘000 m000 m33))

27

Capital Markets

Business Segments

Housing Sector

Panel Making Sector

Capital Expenditures Plan

Performance

Competitive Advantages

28

MDF: 800.000 m3 capacitygrowth over existing capacity: + 125%;

Low Pressure Coating Line: 8.500.000 m2 / year capacitygrowth over existing capacity: + 35%;;

Land: 18.500 hectares in the region.

Wood Division: R$630 million Wood Division: R$630 million ((AgudosAgudos / SP)/ SP)

DecaDeca Division: R$200 million Division: R$200 million ((SãoSão Paulo andPaulo and JundiaJundiaíí/SP)/SP)

Metal Fittings: + 400.000 items / month,growth over existing capacity: + 33%;;

Vitreous China: + 140.000 items / month, growth over existing capacity: + 44%.

CAPEX

Plan for the 2007 – 2009 Period:

Corporative: ERP system worth R$12,7 millionCorporative: ERP system worth R$12,7 million

Software supplier: SAP,Hardware: IBM Risk,Implementation consultancy: CPM Braxis.

29

Capital Markets

Business Segments

Housing Sector

Panel Making Sector

Capital Expenditures Plan

Performance

Competitive Advantages

30

Nominal industrial capacity and utilization rate

85%

99%

97%

83%

96%Vitreous China

Metal Fittings

MDF/HDF/SDF

MDP

Hardboard

3.800 K items/year3.800 K

items/year

500.000 m3/year500.000 m3/year

360.000 m3/year360.000 m3/year

14.400 K items/year14.400 K

items/year

640.000 m3/year640.000 m3/year

JAN JAN –– SEP / 2007SEP / 2007

Performance

31

Net Income Net Income (R$ million)(R$ million)

Net Revenues Net Revenues (R$ million)(R$ million)

161241

2006 2007

1.2111.078

2006 2007

333414

30,8% 34,2%

2006 2007

(January (January -- September)September)

1.3421.545

18,3%22,5%

2006 2007

Performance

EBITDA EBITDA (R$ million)(R$ million) & Margin & Margin (%)(%)

Equity Equity (R$ million)(R$ million) & ROE & ROE (%)(%)

+12%

+24%

+50%

32

332,6

113,4

(18,9)(31,8)

414,219,0

EBITDAsep/06

Revenues(volume)

Revenues (price/mix)

VariableCost

FixedExpense

EBITDAsep/07

EBITDA formation EBITDA formation (in R$ million)(in R$ million)

Performance

33

Performance

Quarterly AnalysisQuarterly Analysis (in R$(in R$ millionmillion))

3Q2007 2Q2007 3Q2006 Y-o-Y Q-o-QShipped Volumes

Wood (in m3) 330.488 343.030 333.326 -0,9% -3,7%Deca (in '000 items) 4.014 3.859 3.654 9,9% 4,0%

Net Revenues 429,0 425,2 399,8 7,3% 0,9%Wood 285,2 281,1 270,6 5,4% 1,5%Deca 143,8 144,1 129,2 11,3% -0,2%

Gross Margin 43,5% 46,0% 45,4%

EBITDA 145,8 147,6 130,8 11,5% -1,2%

EBITDA Margin 34,0% 34,7% 32,7%

Net Income 89,2 77,6 70,2 27,1% 14,9%

ROE (annualized quarter) 25,2% 22,9% 22,6%

34

8970

3344

2004 2005 2006 2007

3 3 2 3 1 8

4 0 0 4 2 92004 2005 2006 2007

1 0 2 8 6

1 3 1 1 4 6

30,7% 27,0%32,7% 34,0%

2004 2005 2006 2007

1.545

994 1.035

1.34218,8%

13,4%22,6% 25,2%

2004 2005 2006 2007

33rdrd QuartersQuarters

Performance

Net Income Net Income (R$ million)(R$ million)

Net Revenues Net Revenues (R$ million)(R$ million) EBITDA EBITDA (R$ million)(R$ million) & Margin & Margin (%)(%)

Equity Equity (R$ million)(R$ million) & ROE & ROE (%)(%)

35

137226

307

2005 2006 2007*

1.2711.489 1.621

2005 2006 2007*

540363

458

28,5% 30,7% 33,3%

2005 2006 2007*

1.051

1.3961.54513,4%

18,5% 20,9%

2005 2006 2007

Annual Annual (*2007: Sep / 2006 (*2007: Sep / 2006 -- Sep / 2007)Sep / 2007)

CAGR: +13%

CAGR: +22%

CAGR: +50%

Performance

Net Income Net Income (R$ million)(R$ million)

Net Revenues Net Revenues (R$ million)(R$ million) EBITDA EBITDA (R$ million)(R$ million) & Margin & Margin (%)(%)

Equity Equity (R$ million)(R$ million) & ROE & ROE (%)(%)

36

8 5 5 9

1 0 4 1 1 037,0%

28,0%

38,5% 38,4%

2004 2005 2006 20072 5 6 2 6 7

3 5 4 4 1 0

35,3%37,8%

31,6%31,6%

2004 2005 2006 2007*

Wood

Annual (*2007: Sep / 2006 - Sep / 2007)3rd Quarters

EBITDA EBITDA (R$(R$ millionmillion)) and Marginand Margin (%)(%)

Performance

37

3 62 72 61 7

16,8%20,7%

25,3%24,6%

2004 2005 2006 2007

9 6

1 0 4

1 3 2

6 5

17,1% 21,4% 24,6%23,3%

2004 2005 2006 2007*

*LTM (sep/06 - sep/07)

EBITDA EBITDA (in R$(in R$ millionmillion)) and Marginand Margin (%)(%)

Performance

Annual (*2007: Sep / 2006 - Sep / 2007)3rd Quarters

38

Capital Markets

Business Segments

Housing Sector

Panel Making Sector

Capital Expenditures Plan

Performance

Competitive Advantages

39

Competitive Advantages

Management

Market compound Competitive positioning

Low cost producer +

broad product line fit to the different market segments;leadership within premium markets;partnership with clients;countrywide presence;broad technical assistance network.

proximity to the consuming markets;leading brands;capital structure fit to grow:

• net debt = R$13,9 million;positive track record;access to capital markets.

low turnover;committed with Company growth (variable compensation);Corporate Governanceimprovement.

economies of scale;coating lines (better selling mix);self sufficient in wood supply;timberland at the shortest average logging distance.

Business Sustainability with Creation of Value

40

Disclosure of Results2007

08.Nov.2007

www.duratex.com.br