2. Agenda
2Q12 Events and Highlights Page 3
Capital Increase Page 4
2Q12 Financial Highlights Page 5
Product and Revenue Diversification Page 6
Loan Portfolio Page 7
Loan Portfolio Profile Page 8
Loan Portfolio Quality Page 9
Hedging Desk Page 10
PINE Investimentos Page 11
Funding Page 12
Asset & Liability Management Page 13
Capital Adequacy Ratio (BIS) Page 14
Guidance for 2012 Page 15
Investor Relations | 2Q12| 2/16
3. 2Q12 Events and Highlights
Capital increase of approximately R$155.0 million. The increase will take place starting with the
execution, on this date, of a subscription agreement with DEG in the amount of R$30.0 million coupled
with an investment of R$93.7 million by the controlling shareholder and R$7.2 million by PINE’s
management. In addition, the French agency Proparco approved the principle of an investment
amounting up to €10 million. These transactions will increase the BIS Ratio to 17.5%, an improvement of
approximately 160 bps. All transactions are subject to regulatory approvals and other precedent
conditions as announced in the Material Fact released today.
In April, PINE carried out its first offering of financial bills known as Letras Financeiras, issuing R$313.2
million in two-year notes.
Highly liquid balance sheet with a strong cash position of R$1.4 billion, which corresponds to 38% of time
deposits.
Positive liquid gap between the credit and funding portfolios of 3 months: 13 months for credit and 16
months for funding. PINE has maintained this positive gap for over 2 years.
Positive contributions from all business lines in the quarter: 58.4% from Corporate Credit, 19.8% from the
Hedging Desk, 11.5% from the Treasury, and PINE Investimentos contributed 10.3%, demonstrating
recurrence in its results.
Ranked amongst the 15 largest banks in the Cetip derivatives ranking and 1st in terms of OTC commodities
NDF for clients
9th largest bank in Brazil offering credit to large corporates, 15th in credit to companies, and 5th in wealth
generated per employee, according to the “Melhores e Maiores” ranking compiled by Exame magazine
Investor Relations | 2Q12| 3/16
4. Capital Increase
PINE is honored with DEG’s trust and partnership in the announcement of another transaction and
welcomes Proparco.
The second equity investment by DEG in a Brazilian financial institution, both on PINE, and the first by Proparco in a
Latin America financial institution.
In addition to the subscription made by DEG, of R$30.0 million, and by Proparco, of R$25.0 million, the capital increase
also includes the participation of the controlling shareholder and the senior management, in a total of R$100.8 million.
Summary
Total of ~R$155 million
Premium on Shares: 15% over the average price of the last 60 days
Total Shares: 6,558,123 common shares and 4,352,590 preferred shares
BIS Ratio: to 17.5%, 14.5% for Tier I and 3.0% for Tier II
The aforementioned transactions further strengthen the capital structure of PINE, as well as the relationships with DEG
and Proparco, and will allow the Bank to continue to expand its activities in a sustainable manner.
After approval by the Brazilian Central Bank, the ownership structure will have the following composition:
With Capital increase Common Preferred Total %
Controlling Shareholder 58,444,889 15,595,863 74,040,752 67.5%
Management - 5,591,947 5,591,947 5.1%
Free Float - 30,005,788 30,005,788 27.3%
DEG - 5,005,068 5,005,068 4.6%
Proparco - 1,750,700 1,750,700 1.6%
Individuals - 3,382,393 3,382,393 3.1%
Local Institutional Investors - 11,054,997 11,054,997 10.1%
Foreign Investors - 8,812,630 8,812,630 8.0%
Treasury - 125,000 125,000 0.1%
Total 58,444,889 51,318,598 109,763,487 100%
Investor Relations | 2Q12| 4/16
5. 2Q12 Financial Highlights
The main performance indicators continued to show positive development in the period…
R$ Millions
Loan Portfolio¹
18.6%
6,305 7,478
Shareholders’ Equity
17.9%
893 1,053
Jun -11 -12
Jun Jun
Jun -11 -12
Total Funding
17.5%
5,902 6,933
Jun -11 Jun -12
Net Income
27.8%
36 46
2Q11 2Q12
ROAE
140 bps
17.3% 18.7%
2Q11 2Q12
Credit Coverage
130 bps
2.7% 4.0%
Jun-11 Jun-12
¹ Includes debentures, CRIs, eurobonds and hedge fund shares
Investor Relations | 2Q12| 5/16
6. Product and Revenue Diversification
...with contributions from all business lines, fruits of the strategy of complete service to clients.
Clients with more than one Product Penetration Ratio – Clients with more than one Product
Revenue Mix
2.6
2.8
2.9
Jun-10 Jun-11 Jun -12
Corporate
Credit
63.5%
More than 1 product 1 product
60%
40%
Jun-10 Jun-11 Jun-12
PINE
Investimentos
5.5%
Treasury
3.3%
Hedging Desk
27.7%
44% 38%
56% 62%
1H11
Corporate
Credit
58.4%
Investimentos
Treasury
11.5%
PINE
10.3%
Hedging Desk
19.8%
1H12
Investor Relations | 2Q12| 6/16
7. Loan Portfolio1
The portfolio continued to grow, +2.4% QoQ and +18.6% YoY…
5,773 5,823
547 622
1,022 1,117
6,314
782
1,372
846 881 912
71 122
6,732 6,935
765
782
7,300 7,478
1,021 1,154
1,534 1,687 1,684 1,599
881 883 883 821
251 297 342 572
4,828
722
842
472
5,292
569
827
644
2,792 3,251 3,358 3,132 3,126 3,300 3,286 3,370 3,332
Jun-10 Sept -10 Dec-10 Mar-11 Jun-11 Sept-11 Dec-11 Mar-12 Jun-12
¹ Includes debentures, CRIs, eurobonds and hedge fund shares
Trade finance
Guarantes
R$ millions
Onlending BNDES
Private Securities
Working Capital
Investor Relations | 2Q12| 7/16
8. Loan Portfolio Profile
... in a diversified manner...
Loan Portfolio by Industry Segments Geographic Distribution
Southeast
73%
Midwest
Northeast
11 %
South
8%
7%
North
1%
Sugar and Ethanol;
19%
Construction
10%
Electric and
Renewable Energy;
9%
Agriculture; 9%
Others; 9%
Infrastructure; 7%
Meatpacking; 2%
Financial
Institutions; 2%
Chemicals; 3%
Food Industry; 3%
Metal and Mining; 3%
Beverages and
Tobacco; 4%
Vehicles and Parts;
4%
Specialized Services;
4%
Transportation and
Logistics; 5%
Telecom
2%
Foreign Trade; 5%
Investor Relations | 2Q12| 8/16
13. Asset & Liability Management
... presenting a positive gap of 3 months between the credit and funding portfolios.
Matching of Transactions
CREDIT FUNDING
BNDES BNDES
Trade Finance Trade Finance
Deposits
Working Capital, Private
Securities1 And Cash Financial Bills
Offshore Funding 1 Includes debentures, CRIs, eurobonds, and hedge fund shares
Loan / Total Funding
82% 80%
76%
81%
Jun-11 Sept-11 Dec-11 Mar-12 Jun-12
ALM Deposits vs. Total Funding
76%
5,902 6,421 6,933
39% 41% 45%
61% 59% 55%
Jun-11 Mar-12 Jun-12
R$ Millions
Others
Total
Deposits
R$ Millions
-
3,124
1,921
1,642
Credit Funding
402
1,590
2,344
1,775
1,056
33 94
135
No maturity Up to 3
months
(includes
Cash)
From 3 to 12
months
From 1 to 3
years
From 3 to 5
years
More than 5
years
Investor Relations | 2Q12| 13/16
14. Capital Adequacy Ratio (BIS)
BIS ratio reached 15.9%.
18.5% 18.4%
3.9% 3.6%
17.4% 17.1%
16.6% 16.4% 15.9% 17.5%
3.6% 3.7% 3.4%
19.6%
4.5%
18.5%
4.2%
Tier II Tier I
Minimum Capital Requirement (11%)
3.1% 3.3% 3.0%
14.6% 14.8% 13.8% 13.4% 13.2% 15.1% 14.3% 13.3% 12.6% 14.5%
Jun -10 Sept-10 Dec -10 Mar -11 Jun -11 Sept-11 Dec -11 Mar-12 Jun -12
R$ million BIS Ratio (%)
Tier I 1,055 12.6%
Tier II 277 3.3%
Total 1,331 15.9%
With
Capital
Increase
Investor Relations | 2Q12| 14/16
15. Guidance for 2012
PINE is ready to continue growing with its clients, and reaffirms its guidance for 2012.
Guidance
Expanded Corporate Credit Portfolio 17% - 22%
Personnel and Administrative Expenses 8% - 12%
NIM 5.5% - 7.5%
ROAE 17% - 20%
Investor Relations | 2Q12| 15/16
16. Investor Relations
Noberto N. Pinheiro Júnior
CEO
Susana Waldeck Norberto Zaiet Junior
CFO / IRO COO
Raquel Varela
Head of Investor Relations
Alejandra Hidalgo
Investor Relations Manager
Fone: +55-11-3372-5343
www.pine.com.br/ir
ir@pine.com.br
This presentation contains forward-looking statements relating to the prospects of the business, estimates for operating and financial results, and those related to growth prospects of PINE. These are
merely projections and, as such, are based exclusively on the expectations of PINE’s management concerning the future of the business and its continued access to capital to fund the Company’s business
plan. Such forward-looking statements depend, substantially, on changes in market conditions, government regulations, competitive pressures, the performance of the Brazilian economy and the industry,
among other factors and risks disclosed in PINE’s filed disclosure documents and are, therefore, subject to change without prior notice.
Investor Relations | 2Q12| 16/16
