1 Banco do Brasil 2Q07 Results Banco do Brasil 2Q07 Results

2 Recurring Net Income grows Q Q06 1,248 4Q06 1,409 1Q072Q07 1H061H07 Recurring Net Income – R$ million 1, ,464 3,889 2,923 1,068 1,586 2,477 Net Income – R$ million Δ Recurring Net Income % Δ Recurring Net Income % ROE (Annualized) - % Recurring ROE (Annualized) - %...and ROE goes into a positive trend.

3 Net Income 1Q071,409 Higher Interest Income 355 Less Credit Risk Expenses 195 Other Administrative Expenses Growth 119 Provisions for Legal Risk Strengthening 152 Higher Taxes Expenses 195 Other Effects 29 Recurring Net Income 2Q071,464 Early Retirement Plan and Previ Effects 396 Net Income 2Q071,068 Net Interest Income and less provisions... R$ million...compensated higher expenses, taxes and legal risk. ( )

4 R$ billion Q063Q064Q061Q072Q07 1H061H07 Security Revenues Loan Revenues Other Interest RevenuesInterest Expense Net Interest Income Net Interest Income grows on the back of loan revenues.

5 (1) Net Interest Income over Earning Assets NIM Annualized¹ - %Average Selic Annualized - % AgribusinessesBusinessesIndividuals Annualized NIM by Loan Portfolio - % NIM kept stable Q063Q064Q061Q072Q Q063Q064Q061Q072Q07... despite the Selic easing cycle.

6 Related to Selic - %...helps to protect the NIM Q063Q064Q061Q072Q Funding Interest Rate Investment Interest Rate Floating RateFixed Rate Domestic Long Net Exposure - R$ billion Growth in the long fixed rate exposure...

7 R$ billion Strong growth in the Loan Portfolio... Businesses Agribusinesses Individuals Abroad Δ % over 2Q061Q (0.8) Q Q Q Q Q explains the Net Interest Income performance.

8 R$ billion Focus on Individuals Portfolio... Cars Loan Credit Card Overdraft Account Payroll LoanOthers Δ % over 2Q061Q (0.3) (0.5) Q063Q064Q061Q072Q highlighting cars and payroll loans.

9 BB Banking Industry BB Stable Credit Risk... Average Risk - % Required Provision / Past Due Loan + 90 days - % Q063Q064Q061Q072Q better than the industry...

10...allows provisions to recede... (1) Average Portfolio and Expenses of the past 12 months Provision Expenses - R$ million Provision Expenses / Loan Portfolio¹ - % Provision / Loan Portfolio - % Past Over Due Loans + 15 days / Loan Portfolio - % Past Over Due Loans + 60 days / Loan Portfolio - % 1,757 1,385 1,257 1,431 1,236 2Q063Q064Q061Q072Q Q063Q064Q061Q072Q07...with delinquency under control

11 Provisions...Provisions... 8,209 7,238 7,551 7,786 7, ,397 1,582 1, ,7578,635 9,133 9,441 8,414 Jun/06Sep/06Dec/06Mar/07Jun/07 Required ProvisionAdditional Provision Total Provision... denoting conservative approach. R$ million

12 Funding still growing.... R$ billion Saving DepositsDemand Deposits Time DepositsOthers Δ % over 2Q061Q (9.0) Jun/ Sep/ Dec/ Mar/ Jun/ highlighting saving and demand deposits.

13 Fees from products and customers... R$ million ProductsCustomersOthers Δ % over 2Q061Q (10.9)(9.8) Q06 2,246 1, Q06 2,252 1, Q06 2,287 1, Q07 2,377 1, Q07 2,437 1, still growing.

Q063Q064Q061Q072Q07 Assets under Management - R$ billion IndividualsCompanies Market Share - % Assets under Management surpass R$ 200 billion... Customers - million Δ= 8.2% Δ= 22.0% Q Q Q Q Q and the customer basis reach 25 million.

Q Q Q Q Q07 Value Added¹ - R$ million Insurance reaches a new level of performance... (1) Includes equity income, fee income, brokage and asset management income Δ= 0.5% Δ= 28.9%

16...so does credit card business. Value Added¹ - R$ million (1) Includes fee income, financing income, equity income and others 454 2Q Q Q Q Q07 Δ= 10.1% Δ= 23.1%

Q Q Q Q Q07 Great expansion in the credit card basis... Revenue¹ - R$ billion Credit Cards - million (1) Includes Credit Cards and Debit Cards Δ= 3.4% Δ= 29.9% million new cards in 12 months.

18 Costs under control... R$ million (1) Legal risk and extraordinary items are not included. Personnel Expenses¹Other Administrative Expenses¹ Δ % over 2Q061Q (6.9)(2.0) 1,839 1,383 2Q06 1,804 1,378 3Q06 1,846 1,516 4Q06 1,748 1,401 1Q07 1,713 1,519 2Q07 3,216 3,253 3,396 3,186 3,268...in line with the business pace.

19 Early Retirement Plan and Previ... Early Retirement Plan  Eligible Employees: those above 50 years old or able to receive INSS pension and over 15 year contribution to Previ  6.9 thousand people joined  Impacts in the 2Q07: R$ million, after taxes  Forecasted saving for 2008: R$ 158 million, after taxes Suspension of the Contributions to Previ  Suspension of the contributions to the Benefit Plan #1  Impacts in the 2Q07: R$ 50 million, after taxes  Forecasted saving for 2008: R$ 200 million, after taxes (subject of revaluation every 12 months)...bring future cost savings and...

20 EmployeesInterns BranchesOthers...reduction in the workforce. Points of Service - thousand Workforce - thousand Q Q Q Q Q063Q064Q061Q072Q Q06 9.9

21 Fee Income... Fee Income Personnel ExpensesCoverage Ratio¹ - % R$ billion 2Q063Q064Q061Q072Q07 (1) Year to Date Recurring Coverage Ratio¹ - % covers more than 130% of personnel expenses.

22 Administrative Expenses Operating IncomeEfficiency Ratio¹ - % R$ billion (1) Year to Date 2Q063Q064Q061Q072Q Recurring Efficiency Ratio¹ - %...to keep efficiency on the track. Expenses control allows

23 % BIS Ratio allows......a R$ 88 billion leverage margin. Tier IITier I Jun/ Sep/ Dec/ Mar/ Jun/

24 Investor Relations Unit SBS - Quadra 1 - Bloco C - Ed. Sede III - 5° floor Brasília (DF) Phone: 55 (61) Fax: 55 (61) Disclaimer Disclaimer - This presentation contains references and statements, planned synergies, increasing estimates, projections of results and future strategy for Banco do Brasil, it’s Associated and Affiliated Companies and Subsidiaries. Although these references and statements reflect the management’s belief, it also involves imprecision and high difficult risks to be foreseen, consequently, it may conduct to a different result than the one anticipated here. These expectations are highly depended on market conditions, on the Brazilian economic performance, on the sector and the international market. Banco do Brasil is not responsible for bringing up to date any estimate in this presentation. For further information access