Companhia Brasileira De Distribuicao · BMFBOVESPA:PCAR3
Companhia Brasileira De Distribuicao — Brazilian Distribution Co Companhia Brasileira DE Distr CBD — Shareholder Meeting (December 2012)
43 slides from Companhia Brasileira De Distribuicao's shareholder meeting presentation, Dec 20, 2012
Slide 1: Annual Public Meeting
ANNUAL PUBLIC MEETING
Slide 2: About Grupo Pão de Açúcar
ABOUT GRUPO PAO DE ACUCAR rus” > KEY FIGURES 2012 Guidance > R$ 52.7 BI Sales in 2011 > #1 RETAILER in Brazil > OPERATIONAL > 1.8K points of sales, located in 19 States and the Federal District > MULTI-FORMAT distribution > 635 MILLION tickets per year > 2.9 MILLION m? of sales area [TereoPaicdexr
Slide 3: GPA Stores and Formats
GPA STORES AND FORMATS a fe) i} ir < 1c} ELECTRONICS / HOME APPLIANCE (Cann “Stores as of 3Q12.
Slide 4: Regional Presence (Stores)
REGIONAL PRESENCE (STORES*) North-East Super: 30 Hyper: 4 Hyper: 18 Electro: 2 Electro: 41 Total: 3 Cash & Carry: 6 DP: 5.0% Total: 95 GDP: 13.5% North Middle-West South-East Super: 14 Super: 319 Hyper: 13, Hyper: 103 Electro: 81 Electro: 738 Cash & Car y Cash & Carry: Total: 111 Proximity: 77 Total
Slide 5: 2012 Highlights
2012 HIGHLIGHTS + New green stores in Goiania and Recife; + First Virtual Facade of Pao de Acicar Delivery; PdowAcucar + Store at Rio+20. + More family; + Stronger brand awareness: Top of Mind 2012; + More fashion: Extra Hyper’s new concept on garment area; + More accessible: new Extra Delivery for
Slide 6: 2012 Highlights
2012 HIGHLIGHTS eux + Jointly would be the largest GPA supplier (by revenue and a volume); Private + Qualita: 6" largest Brazilian retail brand, 3'4 in food. Label M+ Layout and services adjusted for specific target publics; + New operation with larger stores: more efficiency. + Area structuring to
Slide 7: 2012 Highlights
2012 HIGHLIGHTS + Top of Mind for 7th consecutive year; FEZXEIESS - strong growth in North and Northeast regions: 20+ opened stores. + Successful brand positioning. Store layout and assortment yontofrio| ° f adjustment for niche differentiation. + Diamond rating for service excellence (Ebit); + Part
Slide 8: 2012 Highlights
2012 HIGHLIGHTS + Implementation of waste management model in 268 stores, 7 DCs and 39 Drugstores; ~__« Sustainability workshop in Rio +20 in exclusive room; Susteinability . 45 million reusable bags sold. Over 1,700 trackable products (70% of tracked volume), with over 500 suppliers; 10 years of pr
Slide 9: 2012 Highlights
2012 HIGHLIGHTS Customers ® 600+ million tickets. 258,000+ customers and employees surveyed; 350,000+ customer assisted by Casa do Cliente; 1.6 million people engaged through social network. + +61 sponsored athletes in 2012 (20 in 2011) though extension of Sports BM&Fbovespa’s partnership; + 74,000
Slide 10: GPA Consolidated Results 3Q12
GPA CONSOLIDATED RESULTS 3012 us” [WerpoPmctercuen RS million, 3012 x 3Q11 13,666 +8.7% Same-store-sales growth vs 3Q11 585 +7.1% RS million, 3Q12 x 3Q11 801 +11.1% EBITD’ EBITDA margin 6.6% Company’s RS million, 3Q12 x 3Q11 210 +64.6% Net Income Net margin 1.7% [Gores resar
Slide 11: GPA Consolidated Indebtedness and Leverage
GPA CONSOLIDATED INDEBTEDNESS AND LEVERAGE us” Net debt) (R$ billion) 4.93 4.90 Net debt /EBITDA® 1.52x 1.46x Capex 3Q12 9M12 (R$ million) 405 1,038 Consolidated Net Financial Expenses (R$ mi) 3.0% sas oS 272 san san 2+ wot net sales [crpttaderecar Se. hp
Slide 12: 3Q12 Businesses Results
3Q12 BUSINESSES RESULTS us” GPA Food Be Ba R§ million, 3012 x 3017 7,484 +9.5% Same-store-sales growth vs 3Q11 585 +6.8% |crossProft | Gross margin, 30/2 x 3Q11 || 26.0% +8.0% 1] ‘A margin 3Q12 x 3Q11 -40 bps Operating Expenses % of net sales, 3012 x 3Q17 18.6% +7.3% A% of net sales 3Q12 x 3011 -30
Slide 13: 3Q12 Businesses Results
3Q12 BUSINESSES RESULTS RS million, 3012 x 301 Same-store-sales growth vs 3Q11 Cis cui % of net sales, 3012 x 30 21.2% ‘A % of net sales 3Q12 x 3Q11 310 bps EBITDA R$ million, 3012 x 3¢ 305 +15 EBITDA margin 5.7% | Net Financial Expenses PEGE USEC % of net sales, 3012 x 30: | 2.9% B ‘A % of net sale
Slide 14: GPA Consolidated Results 9M12
GPA CONSOLIDATED RESULTS 9M12 rus” eons de Acucar Exclu LE: Real E ee Project RS million, 9M12 x 9M¢1 40,837 +8.8% |) 40,739 +8.5% Same-store-sales growth vs 9Q11 555 +7.4% 555 +7.4% RS million, 9M12 x 9M11 2,346 +20.7% 2,244 +15.49 EBITDA EBITDA margin 6.5% 6.2% Net Income R$ million, 9112 x 9M11 6
Slide 15: 2012 Guidances
2012 GUIDANCES GPA Food GPA Non-food Above 25.7 7.3% to 7.8% 5.2% to 6.5% 6.4% to 7.2% 2012 margin Net fin. expenses as % of net soles 2.3% Below 3.3% Below 2.8% Operational Capex' Jn billion Expansion sronth vs Dec! New stores Cite ee eneeenta een
Slide 16: Brazilian Scenario
BRAZILIAN SCENARIO ECONOMIC SCENARIO. GDP Growth \ Social RISE bes — ¢ Greater CREDIT Offer ry 2014: Sth largest consumer market of the world RETAIL MOMENTUM IN BRAZIL 2020: expense of Brazilian RISE of the Purchasing Power homes: RS 5,000 bn : 2 Focus on MIDDLE CLASS Population Informality REDUCTIO
Slide 17: Company Changes as the Environment Moves
COMPANY CHANGES AS THE ENVIRONMENT MOVES wed the biggest growth in the last 7 enting 5.4% of Brazilian population, GPA: limited offering GPA: multiformat business for both Food (only Food, 556 stores) and Electro, 1,828 stores [erpateodedcacar 8 rnin to cet as tin
Slide 18: Agenda
AGENDA OM mercado extra 1?) [(GrpaPiobehecr Banner positioning Marcelo Bazzali, marketing officer 18 years in retail (10 at GPA, also worked for Mappin and Ponto Frio). Worked 17 years in sales and operations areas. Currently in marketing, was acknowledged in 2012 as one of the 10 Marketing Executiv
Slide 19: Brands Positioning
Brands Positioning + Retail Marketing 2012 =
Slide 20: Slide 20
Slide 21: Pão de Açúcar is "my supermarket"
Pao de Acucar is ‘my supermarket" Modern practical knows me and my needs and it is a place that | trust It meets my expectations on several occasions and shopping needs, always with excellent quality and variety oF day-by-day to gourmet products and differentiated services that facilitate my life, b
Slide 22: My purchasing experience
My purchasing experience becomes pleasant because | always Find a rice, orgorized practical ahd cozy environment, besides exclusive benefits and discounts in the loyalty program "Mais"
Slide 23: Pão de Açúcar always encourages initiatives towards a healthier lifestyle
Po de Acucar always encour: initiatives towards a healthier lifestyle and conscious consumption
Slide 24: Extra
extra
Slide 25: Extra is the banner that fulfills the diverse needs of my family
(extra “EXTRA IS THE BANNER THAT FULFILLS THE DIVERSE NEEDS OF MY FAMILY IN DIFFERENT SHOPPING OCCASIONS.”
Slide 26: Extra formats
fextra aa mercado extra’ “EXTRA IS ALWAYS PRESENT IN DIFFERENT FORMATS, SUCH AS HYPERMARKETS, SUPERMARKETS, NEIGHBORHOOD STORES, DRUGSTORES, GAS STATIONS AND posto E-COMMERCE, BESIDES PRODUCTS AND extra SERVICES, ALL AT THE BEST PRICE TO MAKE MY FAMILY’S LIFE BETTER” Grogara extfa
Slide 27: Slide 27
Slide 28: I love the way that Extra communicates with my family
“| LOVE THE WAY THAT EXTRA COMMUNICATES WITH MY FAMILY. IT'S A NICE INTERFACE, WARM, TYPICALLY BRAZILIAN. FURTHERMORE, EXTRA IS PART OF OUR COMMUNITY AND ENCOURAGES US TO PARTICIPATE IN VARIOUS SOCIAL ACTIVITIES.”
Slide 29: Mercado Extra
mercado extra
Slide 30: A Brazilian Market
CHE) mercado A Brazilian Market In the last twenty years, due to the changes in the macroeconomic scenario, consumers started to give more value to their convenience related to time saving, whether to find everything in one place, the proximity (to their home, work or on the way between work and hom
Slide 31: Evolution and Upgrading
Evolution and Upgrading How was the Extra Facil accepted? Comparison between the results of consumer surveys - Extra FAcil + The model met consumer expectations, but its resemblance to the Hyper did not favored the - + The visual identity should be differentiated from the others to facilitate unders
Slide 32: Mercado Extra
CLD mercado extra”
Slide 33: Previous Model vs Current Model
CHE) mercado | extracel EBD mercado Previous Model (Focus: groceries and self-sevice) ‘Sales Area: from 150 to 200m? ‘Bakery: baken product (self-service) (Gold Cus: ready-to-go (from industry) ‘Butchery: vacuum packed Groceries: day-by-day products Eutits/Venetables: day-by-day products Low differe
Slide 34: Bakery and Cold Cuts
Bakery and Cold Cuts GD) mercadoextrary
Slide 35: Fruits and Vegetables
Fruits and Vegetables GED mercado extra
Slide 36: Butchery
Butchery EBD) ercado extra}
Slide 37: Minimercado Extra - Key Attributes
mini) mercado - Key Attributes IT’S PRACTICAL IT’S NEXT DOOR I'S EXTRA +A small and well organized space + Expansion process focused on + Well-known brand, next to the which offers easy access to the capillarity ‘consumer. That transmits trust, product mix, especially quality. perishables. + The bra
Slide 38: Assumptions of the model
mini) mercado a Assumptions of the model + Simple and standardized to be easily replicable * Comfortable for customers and store employees + Focus on perishables
Slide 39: Minimercado Extra Positioning
Minimercado Extra Positioning Minimercado Extra is like a neighbor, always close, right on my way, which works like my pantry, a one-stop-shop, where | find variety and quality products for me and my family everyday life, including options of perishable food, good prices and promotions. Itis very co
Slide 40: Cantídio Sampaio Store, Taipas
Cantidio Sampaio Store, Taipas
Slide 41: Inside the Store
Inside the Store
Slide 42: Consolidation and Growth
Consolidation and Growth al Conclusion of 66 stores conversion > + 44new stores opened in 2012 a ¥ 80 stores in 4012 tiie + Totaling 105 stores in 2012 om i «<>
Slide 43: Signatures
SIGNATURES Pursuant to the requirement of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO Date: Dec ember 20 , 2012 By: /s/ Enéas César Pestana Neto Name: En