1. Localiza Rent a Car S.A.
4Q07 / 2007 Results presentation
(R$ million - USGAAP)
1

2. 4Q07 highlights
Average rented fleet Net revenue
34,226
414.1
30.6%
14.0%
26,211 363.2
15,246
R$ million
Quantity
25.9%
12,106 220.3
3.5%
212.9
18,980
34.6%
14,105 28.9% 193.8
150.3
4Q06 4Q07
4Q06 4Q07
Rentals and franchising Used car sales
Car rental Fleet rental
EBITDA Net income
115.2
55.9
48.3%
77.7 %
77.5
R$ million
R$ million
31.5
4Q06 4Q07
4Q06 4Q07
2

3. 2007 highlight
Average rented fleet Net revenue
1,531.7
30,232
23.5% 33.7%
24,477 1,145.4
R$ million
Quantity
14,295
22.9% 853.2
11,635 %
4 4 .5
590.3
15,937
24.1% 678.5
12,842 555.1 %
2 2 .2
2006 2007
2006 2007
Car rental Fleet rental Rentals and franchising Used car sales
EBITDA Net income
190.2
403.5 %
37.6
29.6% 138.2
311.3
R$ million
R$ million
2006 2007
2006 2007
3

4. Geographical expansion
Car rental division
Number of owned agencies
178
+33
145
+28
117
+34
83
%
+114.5
2004 2005 2006 2007
The geographical expansion strategy and the focus on local markets ...
4

5. Markets: airports and off-airports
Car rental division
Car rental revenue breakdown
100%
100% 100% 100%
Revenue growth – Car rental
38%
2006 2007 4Q07 41%
46%
47%
Airports 16.0% 13.8% 18.3%
62%
59%
53% 54%
Off-airport 46.7% 27.8% 37.0%
2004 2005 2006 2007
Off-airport Airport
... has reduced the share of the airport market in car rental revenues.
5

6. Consistent EBITDA margins
EBITDA breakdown - 2007
Revenue breakdown - 2007
Franchising
Fleet rental 0%
15% Car rental
Fleet rental
49%
39%
Car rental Used car sales
29% 56% Franchising
Used car sales
1%
11%
Margin per division 2004 2005 2006 2007 4Q06 4Q07
44.5% 46.5%
Car rental 40.1% 45.3% 42.0% 38.4%
46.1% 45.0%
Franchising 15.4% 36.6% 36.4% 31.6%
68.7% 68.8%
Fleet rental 63.4% 62.3% 69.1% 69.2%
52.6% 53.4%
Rentals and franchising (consolidated) 48.6% 51.0% 51.2% 48.5%
5.4% 5.3%
Used car sales 12.1% 13.2% 4.5% 2.3%
59.5% 59.4%
TotalEBITDA / rentals and franchising revenues 59.6% 64.8% 56.1% 51.7%
6

7. Investment in fleet and utilization
Quantity Net investment (*)
(R$ million)
207.7
7,957
340.0
10,346
7,342 241.8 1,060.9
6,467 38,050 930.3
190.1
33,520 853.2
30,093
690.0
26,105
23,174 590.3
22,182
493.1
18,763 448.2
15,715
303.0
2004 2005 2006 2007
2004 2005 2006 2007
(*) Includes accessories
Purchased Sold
Utilization rate
5.2 p.p.
70.7%
65.5%
60.6% 58.8%
In 2007, the average rented fleet grew
23.5% while the average operating fleet
+10.1 p.p. grew 18.1%
2004 2005 2006 2007
7

8. Indebtedness and leverage
Debt amortization schedule
Net debt
R$ 214.8 million 1st debentures issuance
108.5% CDI
404.3
350.9 2st debentures issuance
CDI + 0.44% p.a.
189.5
67.0 66.7 66.7
0.9 0.9
2008 2009 2010 2011 2012 2013 2014
Debt Cash and cash equivalents
EOP BALANCES 2004 2005 2006 2007
Net debt / fleet 46% 60% 36% 51%
Net debt / (equity +Net debt) 49% / 51% 58% / 42% 41% / 59% 56% / 44%
Net debt / EBITDA (USGAAP) 1.3x 1.9x 1.4x 1.9x
Net debt / EBITDA (BRGAAP) 1.1x 1.5x 1.0x 1.4x
Net debt / Market cap 35% 30% 10% 20%
281 539 443 768
Net debt (R$ million)
Cost of capital and debt amortization schedules suitable to our capital-intensive business
8

9. Free cash flow
4 0 0 1 2 ,
0 %
340.4
9.8p.p.
199.6
222.0
2 0 0 6 0
, %
%
.6
3.7p.p. 68
118.4
32.5
30.1 0.9p.p. 0.6p.p.
0 0 0
, %
2004 2005 2006 2007
FCF before grow th Real increase in the new car prices
2007
Free cash flow 2004 2005 2006
EBITDA after taxes 156.6 245.2 268.6 340.1
Working capital variation - (increase) decrease (15.7) (49.9) 217.4 (37.8)
Cash provided before capex 140.9 195.3 486.0 302.3
Capex of vehicle - renovation (349.3) (496.0) (643.3) (839.0)
Cost of used car sales 248.7 361.2 530.4 760.0
Net capex – for renovation (100.6) (134.8) (112.9) (79.0)
Capex – Property and equipment, net (10.2) (28.0) (32.7) (23.7)
Free cash flow before growth 30.1 32.5 340.4 199.6
Capex of vehicle – growth (143.8) (194.0) (287.0) (221.9)
Free cash flow (113.7) (161.5) 53.4 (22.3)
Change in the vehicle suppliers’ account (21.9) (25.5) 222.0 (51.0)
The cash generated after the investment to renew 30,093 cars totaled R$199.6 million.
9

10. EVA
1 5 0 4 0 %
1 0 0
24.8%
24.6% 114.3 21.3%
2 0 %
18.7%
16.9% 15.7%
76.2
5 0
11.2%
11.0%
55.5
39.2
- 0 %
2004 2005 2006 2007
EVA WACC ROIC
2007 Variation
2004 2005 2006
ROIC 24.6% 24.8% 18.7% 21.3% 2.6p.p.
WACC - nominal 16.9% 15.7% 11.0% 11.2% 0.2p.p.
Cost of debt 11.6% 13.6% 10.9% 8.4% (2.5)p.p.
Cost of equity 20.0% 16.2% 11.0% 11.5% 0.5p.p.
Spread (ROIC-WACC) – p.p. 7.7 9.1 7.7 10.1 2.4
Capital investment – R$ thousand (1) 507,362 606,327 986,232 1,137,460 151,228
39,198 55,530 76,201 114,334 38,133
EVA – R$ thousand
16,332 20,671 38,133 84.5%
EVA increase calculation – R$ thousand
(1) For EVA® calculus, it was used the average capital of the period.
This increase in ROIC was due to higher operating income margin, calculated based on rental revenue.
10

11. 4.57
2005
+ 13
2%
2006
10.58
(R$ million)
+28
%
Average daily trading volume
2007
13.54
2007
2006
2005
Since IPO
Performance
Price
23
-M
0
5
10
15
20
25
7- ay
21 Jun
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19 Jul
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30 Aug
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28 ep
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13 ep
-
27 Oc
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11 Oc
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2005
28 ov
-
-12%
12 No
-v
+124%
+149%
+393%
RENT3
26 De
-D c
10 ec
-
24 Jan
-J
a
8- n
22 Fe
-b
Volume RENT3
10 Feb
-M
24 a
-M r
7- ar
25 Ap
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10 p
-r
24 Ma
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RENT3
22 Jun
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17 Aug
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31 Aug
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15 ug
-
29 Sep
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16 ep
-
IBOVESPA
IBOV
+44%
+33%
+38%
30 Oc
-t
2006
+164%
14 Oc
-t
30 No
-v
14 No
-D v
2- ec
16 Jan
-
31 Jan
-
14 Ja
-F n
e
2- b
RENT3 X IBOVESPA Performance
16 Ma
RENT3 was the 68th most traded share in Bovespa in 2007
-M r
30 ar
-
16 Ma
-r
30 Apr
-
15 Ap
-r
29 Ma
-M y
13 ay
-
27 Jun
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12 un
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26 Jul
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9- Ju
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23 Aug
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6- g
21 Sep
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5- p
2007
22 Oc
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6- ct
N
22 ov
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6- ov
20 De
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164%
ec
393%
0
20
40
60
80
100
120
e-R$ thousand
Volum
RENT3: Performance
Since IPO until 12/28/2007
11

12. Revenue x GDP evolution
Average GDP: 4.4%
Average GDP: 1.9%
.3%
+30
+16.5%
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
GDP growth has contributed significantly for the increase in business volume.
12

13. Localiza is a company with vocation for growth …
2008 Consulting Objectives Conclusion
Booz Allen Hamilton Adequacy of the structure FEB/08
for growth
Stern & Stewart Compensation / EVA APR/08
INDG – Managerial Improvement of the processes JUL/08
Development Institute
Accenture Adequacy of IT for growth 2008
… and it continues with focus on being the consolidator
of the fragmented car rental industry in Brazil.
13

14. Thank you!
14