CORPORATE PRESENTATION

Caxias do Sul September, 2012

DISCLAIMER

This presentation contains future information. Such information is not simply historical facts, but reflects the desires and the expectations of the Companys leadership. The

words anticipates, desires, hopes, forecasts, intends, plans, predicts, projects, wishes and similar ones, intend to identify affirmations that necessarily involve known and unknown risks. Known risks include uncertainties that are not limited to the impact of the competitiveness of the prices and services, market acceptance of services, the Companys service transitions and its competitors, the approval of regulations, currency, fluctuation in the exchange rate, changes in the mix of services offered, and other risks described in the reports of the Company. This presentantion is updated until the present date. However, Marcopolo is not obligated to update it with new information and/or future events.

OUTLINE
Marcopolo as a Leading Player Volare Business Bus Market Overview Operating & Financial Highlights Corporate Governance Sustainability Marcopolo Corporation Product Line

MARCOPOLOS PROFILE

Founded in 1949, Marcopolo has more than 63 years in the business

OVERVIEW

Four factories in Brazil and eight abroad Over 20,000 employees in Brazil and abroad 33.1% Return On Equity in 2Q12

HIGHLIGHTS

20.5% Return on Invested Capital in 2Q12 Market Value Added oriented Company State-of-the-art technology

PRODUCTS

Integrated production of nearly all parts used in manufacturing process

Complete product line: coaches, transit buses, midi, micro & minibuses

UNDERSTANDING OUR PRODUCT

BUS BODY CHASSI

(chassi manufacturers)

VOLARE - COMPLETE VEHICLES

STRATEGIC POSITIONING
MARCOPOLOS TOTAL PRODUCTION

2011
2012g
RUSSIA (Commercial JV)

= 31,526
= 32,500

Variation = + 3.1%

CHINA (components) MEXICO 2011 = 1,234 2012g = 1,500

EGYPT 2011 = 213 2012g = 300

INDIA 2011 = 6,308 2012g = 8,400

COLOMBIA 2011 = 1,049 2012g = 900

BRAZIL 2011 = 21,189 2012g = 20,000 ARGENTINA 2011 = 1,293 2012g = 700

SOUTH AFRICA 2011 = 240 2012g = 200

AUSTRALIA 2012g = 500

6
g = year-end 2012 expectation according to the guidance reviewed and published on August 6th, 2012. All figures are related to Marcopolos stake in each business.

MARCOPOLOS PRODUCTION
(Units)

Consolidated Production 2011

+14.3%

31,526 27,580

32,500

21,811 17,807
38% 36%

19,384
37%

39% 39%

38%

64%

62%

63%

61%

61%

62%

2007

2008

2009
Domestic Market

2010
External Market

2011

2012 E

*E = expected

MARCOPOLOS NET SALES

(R$ MM)

Total Consolidated Net Sales - 2011

+13.6%

2,964.5
2,532.2

3,368.9
27%

3,800.0

2,101.1
39%

2,023.8
32%

30%

41%
59% 61%

68%

70%

73%

2007

2008

2009
Domestic Market

2010
External Market

2011

2012 E

*E = expected

OUTLINE
Marcopolo as a Leading Player Volare Business Bus Market Overview Operating & Financial Highlights Corporate Governance Sustainability Marcopolo Corporation Product Line

ABOUT VOLARE

Founded in 1957 Volare Production started in 1998 Production Capacity: 7,500 units/year 2011 Production: 4,870 units

2011 Net Revenue: R$ 624.9 million

New facility in Brazil with annual capacity of 1,000 units/year is expected to go online in the second half of 2013.
10

GLOBAL POSITIONING
Exports from Brazil

Facility in Caxias do Sul

11

VOLARES PRODUCTION
(Units)
6000 5,070 5000

4,870

4000 3,048 2,988 3,159 2,879 2,855

3,896 3,623

3000

2000

1,727

1000

0 2003 2004 2005 2006 2007 2008 2009 2010 2011 1H12
12

MARKET SEGMENTATION

60% 50% 40% 30% 20% 10% 0% Escolarbus Tourism / Chartering 7% 7% 8% 36% 45%

51%

39% 34% 26%

10%

8% 9%

7% 6% 6%

City 2010

Government's Sales 2011

School Bus Driver

13

2009

OUTLINE
Marcopolo as a Leading Player Volare Business Bus Market Overview Operating & Financial Highlights Corporate Governance Sustainability Marcopolo Corporation Product Line

BRAZILIAN BUS BODY PRODUCTION

(Units)

+7.8%

35,410

35,989

32,027
27,952 25,645

33,395

26,983
25,280 21,787 21,381 46.9%

32.8% 29.8%

35.4%

34.1%

31.6%

16,544
28.9%

17.7%

15.3% 11.7% 10.2%

2002

2003

2004

2005

2006

2007

2008
Exports

2009

2010

2011

1H12

Brazilian Production

15
SOURCE: Fabus does not include Volares production.

BRAZILIAN BUS FLEET

Total Fleet & Average Age

486.6 401.0 13.9 424.1 14.1 452.0 14.7 14.5

320.2 13.1

335.2 14.3

353.6 13.6

375.7

13.8

2004

2005

2006

2007

2008

2009

2010

2011

Total Fleet (thousand units)

Average Fleet Age (years)

SOURCE: Fenabrave and Denatran.

16

MARKET SHARE IN BRAZIL (%)

50%

49.8%
47.0%
40%

45.9%

46.3% 44.7%
42.8%

45.7%

45.3%
MP/Ciferal

43.0% 39.2%

41.7%

Busscar

30%
Caio/ Induscar

Comil

20%
Neobus

10%

Mascarello

Other

(*)

0%
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 1H12

(*) Irizar, Metalbus.

17
SOURCE: Fabus/Simefre.

OUTLOOK
Events in Brazil
2012 Municipal Elections/Euro 5 Engine 2013 FIFA Confederations Cup 2014 FIFA World Cup / Federal and State level elections 2016 Olympic and Paralympic Games / Municipal Elections

Growth Drivers / Opportunities

GDP Growth

Investments in BRTs and public transit systems: 2,500 up to 3,000 units estimated demand
Growth of the school bus program for rural areas Long term financing for buses: extension of the FINAME/PSI credit line until December, 2013 Global Sourcing School Bus program for urban areas Brasil Maior Government Plan: Reintegro and pay roll tax cuts
18

OUTLOOK
Targets/Goals
#1 or #2 in every country in which we have factories Premium prices

Lowest production cost

Threats
Strong exchange rate appreciation

Regional airlines
Trains/subways Cars/motorcycles

19

OUTLINE
Marcopolo as a Leading Player Volare Business Bus Market Overview Operating & Financial Highlights Corporate Governance Sustainability Marcopolo Corporation Product Line

TOTAL PRODUCTION (units) & MARKET SHARE (%)

Marcopolos Total Production
+14.3% 31,526 27,580 39% 40% 38% +9.2% +8.1% 7,376 43% 57% 7,976 53% 47% 14,258 42% 15,563 48% 32,500

EM

DM

61%

60%

62%

58%

52%

2010

2011

2012 E

2Q11

2Q12

1H11

1H12

*E = expected

Marcopolos Market Share in Brazil

-0.6pp
46.3
45.7

+0.9pp
45.6

-0.1pp
45.4
45.3

44.7

21
2010 2011 2Q11 2Q12 1H11 1H12

FINANCIAL HIGHLIGHTS
(R$ Milllion)
+13.6% 3,368.9 2,964.5 3,800.0

Total Net Revenues

27%

EM

30%

+17.5% 1,531.5 918.6 41% 59% 70% 66% 30% 1,799.2 34%

+19.3%

DM

70%

73%

770.2 30% 70%

2010

2011

2012 E

2Q11

2Q12

1H11

1H12

*E = expected

+17.5%

Gross Profit and Margin

741.7

631.3

+12.0%
320.4 358.7

+9.1%
157.8 172.1

22
21.3% 2010 22.0% 2011 20.5% 2Q11 18.7% 2Q12

20.9%
1H11

19.9% 1H12

FINANCIAL HIGHLIGHTS
(R$ Milllion)
+16.5%
464.1

EBITDA and Margin

398.3

+3.8%
195.7 203.2

-5.1%
97.3 13.4% 13.8% 12.6%

92.3
10.0% 12.8% 11.3%

2010

2011

2Q11

2Q12

1H11

1H12

+16.3%
344.0
295.8

Net Profit and Margin

-8.6%
152.1 139.0

-20.6%
76.3 10.0% 60.6 6.6% 9.9% 7.7%

10.2%

9.9%

23

2010

2011

2Q11

2Q12

1H11

1H12

FINANCIAL HIGHLIGHTS
(R$ Milllion)
Net Equity & ROE
+21.6%
1,162.1

+21.6%
1,000.9

1,216.7

955.9

40.0%

36.0%

34.7%

33.1%

2010

2011

1H11

1H12

+0.1pp
23.3 23.4

ROIC

(%)
-1.3pp
21.8 20.5

24
2010 2011 1H11 1H12

FINANCIAL HIGHLIGHTS
(R$ Milllion)
Investments
220.0

+320.6%
190.1

-8.3%
81.5

74.7 45.2

2010

2011

2012 E

1H11

1H12

*E = expected

Net Indebtedness
+29.5% -8.8% 508.4 463.9 526.4 681.6

2010

2011

0.1x
1H11

0.3x
1H12

Net Debt (Industrial Segment)/LMT EBITDA

25

= Financial Segment

= Industrial Segment

OUTLINE
Marcopolo as a Leading Player Volare Business Bus Market Overview Operating & Financial Highlights Corporate Governance Sustainability Marcopolo Corporation Product Line

ORGANIZATION CHART
SHAREHOLDERS

FISCAL COUNCIL

BOARD OF ADMINISTRATION COMITEE OF: EXECUTIVE COMITEE INTERNAL AUDIT HR AND ETHICS STRATEGY AND INNOVATION AUDIT ANS RISK

EXTERNAL AUDIT IR DIRECTOR

27

CEO

CORPORATE GOVERNANCE
Marcopolo adopts corporate governance best practices, following the principles of transparency, accountability, social responsibility and equitable treatment of shareholders. Independent Board Members (5 out of 7) Fiscal Council Support Committees: Human Resouces & Ethics; Audit & Risks; Strategy & Innovation; and Executive Independent External Audit Tag Along (100% Common and 80% Preferred shares) BM&FBovespa Corporate Governance Level 2 since 2002 Financial Statements in IFRS Code of Conduct Disclosure and Negotiation Policy Participation in the BMF&Bovespa IBrX, IGC, SMLL, INDX, IDIV and ITAG indexes Heirs Succession Plan
28

SHAREHOLDING DISTRIBUTION
Common Shares

6.1%

3.7%

9.1%

15.2% 65.9%

29

As of August

31st,

2012.

SHAREHOLDING DISTRIBUTION
Preferred Shares

16.2% 5.6%

1.1%

0.9% 52.6%

23.6%

30

As of August

31st,

2012.

CORPORATE STRUTURE

448.450.042

Total Shares

277,637,170 PN Shares 170,812,872 ON Shares Free Float: 74.2%

(outstanding shares)

Market cap on August 31st, 2012

R$ 5.1 billion

31

STOCK PERFORMANCE
Marcopolo PN x Ibovespa - Base 100
POMO4: +75.9%

IBOV: +3.4%

R$ 10.75

R$ 6.11

58,406 pts

56,495 pts

8/28/2011

11/28/2011

2/28/2012

5/28/2012

8/28/2012

32

SHARE LIQUIDITY & VALUATION

Marcopolo PN - POMO4

30,0

6000

25,0

5000

Average Daily Volume (R$ Million)

20,0

4000

15,0

3000

10,0

2000

5,0

1000

Aug-11 Sep-11 Oct-11 Nov-11 Dec-11 Jan-12 Feb-12 Mar-12 Apr-12 May-12 Jun-12 Jul-12 Aug-12
Average Daily Volume (R$ MM) Market Cap (R$ MM)

Market Cap (R$ Million)

33

SHAREHOLDER REMUNERATION
AVERAGE PAY OUT: 48%
53%
51%

53%

51%

344.0 48%

42%

295.8
39%

146.5
120.5

150.0 134.4
136.5

166.1

80.2 42.4
50.4

75.0

71.8 52.1

2005

2006

2007

2008 Dividends

2009

2010* Pay Out (in%)

2011*
34

Net Profit (Company)

* 2011 and 2010 Net Profit according to IFRS standards.

OUTLINE
Marcopolo as a Leading Player Volare Business Bus Market Overview Operating & Financial Highlights Corporate Governance Sustainability Marcopolo Corporation Product Line

CO2 EMISSION COMPARISON

Source: www.transportdirect.info. ABRATI e ANAC.

WHICH WAY IS SUSTAINABLE?

37

OUTLINE
Marcopolo as a Leading Player Volare Business Bus Market Overview Operating & Financial Highlights Corporate Governance Sustainability Marcopolo Corporation Product Line

BUS BUSINESS UNITS

Ana Rech - Caxias do Sul-RS - Brazil

Superpolo Cota - Colombia

Planalto - Caxias do Sul-RS - Brazil

Polomex - Monterrey - Mexico

Tata MP Motors LMTD - Dharward - India

Volgren Melbourne - Australia

Neobus - Caxias do Sul-RS - Brazil

MASA - Johannesburg South Africa

Tata MP Motors LMTD - Lucknow - India

GB Polo - Suez - Egipty

39

Ciferal - Duque de Caxias -RJ - Brazil

Metalpar - Loma Hermosa - Argentina

OUTLINE
Marcopolo as a Leading Player Volare Business Bus Market Overview Operating & Financial Highlights Corporate Governance Sustainability Marcopolo Corporation Product Line

PRODUCT FAMILY

41

INVESTOR RELATIONS CONTACTS

Carlos Zignani
Investor Relations Director
carlos.zignani@marcopolo.com.br Tel: +55 (54) 2101.4115

Thiago A. Deiro
Investor Relations Manager
thiago.deiro@marcopolo.com.br Tel: +55 (54) 2101.4660

www.marcopolo.com.br/ir ri@marcopolo.com.br