20

03

20

04

20

05

20

06

20

07

20

08

20

09

20

10

20

11

20

12

e

20

13

e

20

14

e

20

15

e

20

16

e

20

17

e

20

18

e

20

19

e

20

20

e

-20% -10% 0% 10% 20%

0 - 9

10 - 19

20 - 29

30 - 39

40 - 49

50 - 59

60 - 69

70 - 79

80+

Europe 2010 Brazil 2030

-20% -10% 0% 10% 20%

0 - 910 - 1920 - 2930 - 3940 - 4950 - 5960 - 6970 - 79

80+

Europe 2010 Brazil 2010

1 1

333

90

95

109 81 709

•

•

•

•

•

•

•

•

•

•

•

•

•

•

•

•

MAPPING

PLUG-IN

CONTINUOUS IMPROVEMENT

1

2

3

Admission to Termination

Calculation and Collection

Calculating Results

Administrative-Financial

Administrative Support

IT Support

PA

S

Ce

nte

r S

ha

red

Serv

ices -

SS

C

•

•

•

•

•

•

•

•

•

•

•

•

•

•

•

•

•

•

•

••

•

•

Dermocosmetics space to displays

premium products

Gondola point: Clusterizing stores by customer

profile to maximize potential of products

exposure

Check-out display: High turnover products to

encourage impulse purchase

Category management: Intelligence organization

depending on consumption drive

EVOLUTION OF FARMAIS STORE BASE

FARMAIS EXPANSION

•

•

•

RESULTS

132

210

118

248

249

96 29

15 2

2011 Aquisição Cresc. orgânico Fechamento Cresc. orgânico Fechamento 2012

132

210

118

248

249

96 29

15 2

2011 Aquisição Cresc. orgânico Fechamento Cresc. orgânico Fechamento 2012

1

132

210

118

248

249

67 29

132

2011 Acquisition Organic growth Closing 9M12 Organic growth Closing 2012

378

681708

132

210

118

248

249

67 29

132

2011 Acquisition Organic growth Closing 9M12 Organic growth Closing 2012

378

681708

132

210

118

248

249

67 29

132

2011 Acquisition Organic growth Closing 9M12 Organic growth Closing 2012

378

681708

132

210

118

248

249

67 29

132

2011 Acquisition Organic growth Closing 9M12 Organic growth Closing 2012

378

681708

132

210

118

248

249

67 29

132

2011 Acquisition Organic growth Closing 9M12 Organic growth Closing 2012

378

681708

378

708

²

Cash position and indebtedness (R$'000) 1Q12 4Q12 1Q13

(+) Loans and financing 344,487 177,049 169,079

Short term 241,251 83,229 44,864

Long term 103,236 93,820 124,215

(+) Debentures - 253,642 258,937

Short term - 5,237 10,427

Long term - 248,405 248,510

(+) Accounts payable for investment acquisition 347,212 345,333 264,430

Short term 34,833 99,711 82,833

Long term 312,379 245,622 181,597

(=) Total Indebtedness 691,699 776,024 692,446

Short term (%) 39.9% 24.2% 19.9%

Long term (%) 60.1% 75.8% 80.1%

(-) Cash and cash equivalents (122,901) (368,751) (183,870)

(=) Net Debt 568,798 407,273 508,576

Net debt/Adjusted EBITDA (LTM) 3.4 X 2.1 X 2.7 X

Working capial 4Q11 1Q12 4Q12 1Q13

Accounts receivable 21 22 23 24

Inventories 114 86 95 106

Suppliers 62 63 58 55

Working capital in days 72 45 60 75

Jun

-11

Jul-

11

Au

g-1

1

Sep

-11

Oct

-11

No

v-1

1

Dec

-11

Jan

-12

Feb

-12

Mar

-12

Ap

r-1

2

May

-12

Jun

-12

Jul-

12

Au

g-1

2

Sep

-12

Oct

-12

No

v-1

2

Dec

-12

Jan

-13

Feb

-13

Mar

-13

Ap

r-1

3

May

-13

Jun

-11

Jul-

11

Au

g-1

1

Sep

-11

Oct

-11

No

v-1

1

Dec

-11

Jan

-12

Feb

-12

Mar

-12

Ap

r-1

2

May

-12

Jun

-12

Jul-

12

Au

g-1

2

Oct

-12

No

v-1

2

Dec

-12

Jan

-13

Feb

-13

Mar

-13

Ap

r-1

3

May

-13

2013 2014

Brasil Pharma 12,9x 10,0x

2013 2014

Brasil Pharma 0,9x 0,7x

2013 2014

Brasil Pharma 22,8x 16,8x

EV/EBITDA

EV/Sales

P/E

•

•

•

•

•

•

•

•

•

•

•

5.8 6.2 6.0 6.3 6.5 5.8 5.8 8.5 9.3

13.9

19.2

11.8 15.2

11.8

6.7 8.3 10.6 9.0 9.5 11.4 7.1

7.0

9.9 11.0 10.4 12.0

34.0

11.7 12.4 12.3

26.7 30.7

45.6

25.7

33.3

19.0 14.3

17.5 21.9

19.1 18.0 19.2

11.8 12.3

0

10000

20000

30000

40000

50000

60000

0

1000

2000

3000

4000

5000

6000

7000

6.2

8.9 7.8

10.4 10.3 9.2

7.9 9.2

10.8

15.1

18.5 18.9

22.8 21.3

18.1

14.6 14.0 15.6 14.8

11.8

8.8 7.5

21

11.4

16.2 14.2

19.2 18.9 16.6

14.1 16.2

18.6

24.6

30.4 29.8

37.5

34.8

29.9

24 22.9

26.3

23.8

21.1 18.8

0

10000

20000

30000

40000

50000

19

87

19

88

19

89

19

90

19

91

19

92

19

93

19

94

19

95

19

96

19

97

19

98

19

99

20

00

20

01

20

02

20

03

20

04

20

05

20

06

20

07

0

500

1000

1500

2000

2500

3000

3500

4000

4500

5,8 6,2 6,0 6,3 6,5 5,8 5,88,5 9,3

13,9

19,2

11,8

15,2

11,8

6,78,3

10,69,0 9,5

11,4

7,1

7,0

9,9 11,0 10,412,0

34,0

11,7 12,4 12,3

26,7

30,7

45,6

25,7

33,3

19,0

14,3

17,5

21,919,1

18,019,2

11,8 12,3

0,0

10000,0

20000,0

30000,0

40000,0

50000,0

60000,0

1987

1988

1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

market cap EV/EBITDA P/E

0,0

1000,0

2000,0

3000,0

4000,0

5000,0

6000,0

7000,0

CVS CAREMARK

EBITDA