New York – November 17 th, 2003

HIGHLIGHTS 9M Gross SalesUS$ 4.0 billion Net SalesUS$ 3.4 billion EBITDAUS$ 692 million Net IncomeUS$ 272 million Output (crude steel)9.2 million tons Total AssetsUS$ 5.0 billion Shareholders EquityUS$ 1.7 billion Employees19 thousand  102 years of tradition focused on the production of steel in market mills and in the distribution of steel products. 02

GEOGRAPHICAL DISTRIBUTION (2) Rolling mill, 38% owned JV (1) Flat steel mill, 50% owned JV 03 SOUTH AMERICA 2 mills and 1 strategic shareholding (Sipar) 3 fabrication shops BRAZIL 10 mills 9 fabrication shops 5 downstream operations and special sections 73 sales points (Comercial Gerdau). 5 service centers for flat steel (Comercial Gerdau). NORTH AMERICA 10 mills and 1 strategic shareholding (Gallatin Steel) 14 fabrication shops 12 downstream operations and special sections Gerdau AmeriSteel Corp. Sipar (2) Laisa Gerdau S.A. Açominas Aza Gallatin Steel (1)

MAIN PRODUCTS BILLETS REBARS MERCHANTS FABRICATED STEEL 04

MAIN PRODUCTS WIRESNAILS WIRE-RODSTRUCTURAL 05

In 1,000 tons CAPACITY & PRODUCTS 06 Billets, merchant bars, rebars, wire rod, drawn products, welded meshes, nails, downstream products, fabricated steel products and specialty steel. PRODUCTS CRUDE STEEL ROLLED PRODUCTS Billets, merchant bars, rebars, slabs, blooms, profiles and structurals. Billets, merchant bars, rebars, wire rod, welded meshes and fabricated steel products Billets, merchant bars, rebars, wire rod, drawn products, welded meshes, nails, downstream products, fabricated steel products and specialty steel.

OUTPUT EVOLUTION 07 AVERAGE GROWTH RATE Crude Steel 10.2% year Rolled Products 9.2% year  14 th largest world steel producer according to the IISI.  Largest long steel producer in the Americas. Crude SteelRolled Products 12 million 9 million Aza Chile 1992 MRM Canada 1995 Part. Açominas 1997 AmeriSteel USA 1999 Cearense Guaíra 1982 Laisa Uruguay 1981 Hime 1985 Barão de Cocais 1988 Courtice Canada 1989 Usiba 1989 Piratini 1992 Pains 1994 Sipsa Argentina 1997 Açominas (control) 2002 Co-Steel * * 9 months annualized Part. Sipar Argentina 1998

COMPETITIVE EDGE  Focus on long steel products manufacturing and distribution  Market mill approach  Up-to-date technology  Competitive production cost  Diversified production processes  Multiple raw materials sourcing  Vertical and horizontal integration  Relevant market share in every country where the company has operations  Financial soundness and access to international capital markets  Tested experience in turning around distressed operations 08

Adjusted Net Income Dividend paid  Payout of 30% of the Adjusted Net Income.  Since March 2003, dividend payments are being made on a quarterly basis. US$ million METALÚRGICA GERDAU S.A * %32.0%32.8%35.6%34.9% 32.0%33.1%32.6%52.5%33.9% 11.7 %3.6 %6.1 %6.8 %7.1%16.4 %6.0 %7.9 %17.0 %12.4 % GERDAU S.A. US$ million * Higher amount due to a one-time supplementary dividend payment. DIVIDEND POLICY PAYOUT YIELD 09

CAPITAL MARKETS  Public company since 1947 (Metalúrgica Gerdau at the former Porto Alegre Stock Exchange)  Gerdau S.A. went public in 1980  Listed companies: Metalúrgica Gerdau S.A.: ……….Bovespa Gerdau S.A.: …………………………Bovespa Nyse Latibex Gerdau AmeriSteel Corp.: ………Toronto 10

Other investors 34% Foreign Inst. Investors 17% Brazilian Inst. Investors 24% Gerdau Controlling Group 25% METALÚRGICA GERDAU S.A. Other investors 16% Foreign Inst. Investors 21% Brazilian Inst. Investors 11% Gerdau Companies 52% GERDAU S.A. SHAREHOLDERS STRUCTURE September

Source: Economática – Period: Jan 2 nd, 2001 to Oct 31 st, 2003 (Base 100) STOCK PRICE PERFORMANCE 12 USA (NYSE) BRAZIL (Bovespa) Met. Gerdau S.A - GOAU4 Gerdau S.A. – GGBR4 Ibovespa Gerdau S.A – GGB Dow Jones

LIQUIDITY 13 Avg / Daily Dollar trading volume – GGBR4 (Bovespa) Avg / Daily Dollar trading volume – GGB (NYSE) Avg / Daily number of transactions – GGBR4 (Bovespa) Jan 02 Apr 02Jun 02 Oct 02 Jan 03 Apr 03 Jun 03 Oct 03

Source: Economática - October 31 st, 2003 Profitability in US$ APPRECIATION CHART 14 USA (NYSE) 1 YEAR3 YEARS GGBR4 +123% Ibov +125% GGBR4 +505% Ibov +7% Ibov -19% GGBR4 +129% 5 YEARS BRAZIL (Bovespa) GGB +84% Dow +0,3% Dow +17% Dow -11% GGB +109% GGB +340% 1 YEAR3 YEARS 5 YEARS

COMPLEMENTARY INFORMATION a)Sources: Economática, Yahoo Finance, Bloomberg and company websites b)Belgo and CSN data in lots of thousand shares c)FX:06/30/2003: US$ 1.00 = R$ /30/2003: US$ 1.00 = R$ /31/2003: US$ 1.00 = R$ d)EV = Enterprise Value = Market Capital + Net Debt COMPARATIVE DATA 15 NOTES: 1)Gerdau, Nucor and Steel Dynamics: on 09/30/03 Belgo, CSN and Usiminas: on 06/30/03 2)Gerdau: 9M annualized; Nucor and Steel Dynamics: TTM (Trailing Twelve Months) Belgo, CSN and Usiminas: 6M annualized 3)Gerdau, Nucor and Steel Dynamics: 9M03; Belgo, CSN and Usiminas: 6M03

OUTLOOK 16  Demand pick up in Brazil;  Based interest in a declining trend in Brazil;  International prices trend: stable to upward;  Brazil’s economic and political stability results in a better country risk;  Social security system reform underway;  North American operations pursuing better results;  US economy recovering, but slowly;  South American operations in very good shape and improving.