1Q11 EARNINGS PRESENTATIONMay 5, 2011

DISCLAIMER

The Company makes forward looking statements that are subject to risks anduncertainties. These statements are based on the beliefs and assumptions of our management as wellas on information currently available to us. Forward-looking statements include information regarding ourcurrent intent, beliefs or expectations, in addition to those of the members of the Board of Directors andExecutive Officers of the Company.

Forward-looking statements also include information regarding our possible or assumed future operatingresults, as well as statements preceded or followed by, or that include, the words ''believes”, ''may”,''will”, ''continues”, ''expects”, ''anticipates”, ''intends”, ''plans”, ''estimates”, or similarexpressions.

Forward-looking statements are not guarantees of performance. They involve risks, uncertainties andassumptions, for they relate to future events, thus depending on circumstances that may or may notoccur. Our future results and the creation of value to shareholder s may differ significantly from thoseexpressed in or suggested by these forward-looking statements. Many factors determining theseresults and values are beyond Cielo’s ability to control or predict.

2

HIGHLIGHTS

Transaction financial volume totaled R$ 70.2 billion, +19.5%

Operating revenue + net prepayment of receivables totaled R$ 1.082 billion,

+6.1%

Net income margin at 39.3%, +0.6 p.p.Adjusted EBITDA margin at 63.2%, +0.8 p.p.

Partnerships to capture brands Mais!, Bônus CBA, Cabal Vale, Verocheque, Banescard, Sodexo and Sapore

1Q11 X 1Q10

1Q11 X 4Q10

Adjusted EBITDA totaled R$ 684.3 million, -4.1%Net income totaled R$ 424.7 million, -3.5%

Credit volume totaled R$ 44.3 billion, +18.0%Debit volume totaled R$ 25.9 billion, +22.0%

Capital stock increase through 20% stock dividend followed by 3-to-1 reverse stock split approved at GSM

held on 4/293

Other

MACROECONOMIC SCENARIO | BRAZIL

5.7

3.24.0

6.15.1

-0.2

7.5

4.0

2004 2005 2006 2007 2008 2009 2010 2011(E)

GDP (%)

Source: IBGE(E) Estimate. Focus Report (Central Bank)

8.2

0

2

4

6

8

10

12

14

16

18Retail Trade Sales (%)

Source: IBGE

5

6

7

8

9

10

11

12Unemployment (%)

Source: IBGE

4

44% 45% 46% 43% 44% 40% 41%56%

55%54%

57%56%

60% 59%

0.0

5.0

10.0

15.0

20.0

25.0

30.0

35.0

40.0

45.0

0

200

400

600

800

1,000

1,200

1,400

1,600

2005 2006 2007 2008 2009 2010 mar/11

Credit/GDPCredit (R$

million)Credit Evolution

Individuals Legal Entities Credit/GDP

607733

936

1,227

1,414

1,704

Source: BCB

1,752

FinancialIndicators

1Q11 1Q101Q11 X 1Q10

4Q10 1Q11 X 4Q10

Financial Volume (R$ million)

70,203.7 58,771.1 19.5% 74,079.9 -5.2%

Transactions (million)

1,058.7 927.6 14.1% 1,108.3 -4.5%

Net Revenue (R$ million)

1,082.1 1,020.1 6.1% 1,147.9 -5.7%

Cost of Services(R$ million)

(311.5) (251.7) 23.8% (354.6) -12.2%

Cost of Services ex Subsidiaries and

additional fees (R$ million)*

(255.0) (244.4) 4.3% (299.1) -14.8%

Operating Expenses (R$ million)

(139.9) (99.2) 41.0% (130.4) 7.3%

Adjusted EBITDA (R$ million)

684.3 713.6 -4.1% 715.9 -4,4%

Net Income (R$ million)

424.7 440.2 -3.5% 443.3 -4.2%

Blended Net MDR (bps) 105 125 (20) 110 (5)

Credit Net MDR (bps) 122 148 (26) 132 (10)

Debit Net MDR (bps) 76 84 (8) 77 (1)

CIELO | FINANCIAL INDICATORS

5

CIELO | OPERATING PERFORMANCE

6

1,142 1,4031,720 2,003

2,323

540 611

836987

1,2321,424

1,716

388 447

2006 2007 2008 2009 2010 1Q10 1Q11

Cielo - Number of Transactions (million)

Credit Debit

CAGR: 19.5%

14.1%

1,9782,389

2,952

3,427

928 1,058

4,039

71,197 87,966 110,897

134,792 162,933

37,558 44.318

39,552 48,534

64,655

79,166

98,742

21,213 25,885

2006 2007 2008 2009 2010 1Q10 1Q11

Cielo - Financial Volume (R$ million)

Credit cards Debit cards

110,749

136,500

175,552

213,958

58,77170,203

CAGR: 24.0%

19.5%

261,675

679

824

996

1,133 1,140 1,129 1,085

2006 2007 2008 2009 2010 1Q10 1Q11

Cielo - Number of Active Merchants (thousand)

Active Merchants ( transactions in the last 60 days)

CIELO | REVENUE

7

3.3% 4.6% 3.9% 3.4% 3.9% 3.0% 6.1%4.5% 7.5% 5.9%9.8%

27.6% 27.8% 27.9% 26.4% 24.3% 26.1%22.5%

14.7% 15.0% 16.0% 15.8% 16.3% 15.7% 16.4%

54.4% 52.6% 51.6% 49.9% 48.1% 49.3% 45.2%

2006 2007 2008 2009 2010 1Q10 1Q11

Revenue - Activity (%)

Other revenues Prepayment of Receivables POS Rental Debit cards Credit cards

1,945.1

2,402.2

2,892.9

3,627.8

4,354.4

1,020.1 1,082.1

2006 2007 2008 2009 2010 1Q10 1Q11

Net Revenue (R$ million)

6.1%

CAGR 22.3%

1,175.91,409.3

1,666.92,012.0

2,317.8

556.2 538.9

317.1401.3

517.9

637.9

785.4

177.2 196.2

2006 2007 2008 2009 2010 1Q10 1Q11

Commissions Revenue (R$ million)

Credit Debit

596.0

745.9

903.1

1,067.1 1,169.9

294.3 268.4

2006 2007 2008 2009 2010 1Q10 1Q11

Equipment Rental Revenue (R$ million)

-8.9%

CAGR: 18.4% CAGR 20.1%

10.7%

- -3.1%

1,493.01,810.7

2,184.8

2,649.9

3,103.3

767.6 815.8

CIELO | PREPAYMENT OF RECEIVABLES

8

73.3

97.1

113.3119.4 120.8

1Q10 2Q10 3Q10 4Q10 1Q11

Revenue of Prepayment of Receivables ex Adjustments (R$ million)

64.8%

2,193.3

2,460.42,669.6

3,016.73,236.9

5.8% 6.3%6.4%

6.7%7.3%

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

8.0%

9.0%

10.0%

-

500.0

1,000.0

1,500.0

2,000.0

2,500.0

3,000.0

3,500.0

1Q10 2Q10 3Q10 4Q10 1Q11

Prepayment of Receivables

Financial prepayment volume

% Prepayment over Credit Financial Volume

66.169.7 72.0

66.162.9

1Q10 2Q10 3Q10 4Q10 1Q11

Average Term (days)

CIELO | COSTS AND EXPENSES

4,3%

Unit Cost 1Q11 1Q10 4Q10 1Q11x1Q10 1Q11x4Q10

Reported Unit Cost (0.294) (0.271) (0.320) 8.4% -8.1%

Unit Cost Ex- Subsidiaries (Orizon and M4U) (0.262) (0.263) (0.291) -0.6% -10.1%

Unit Cost Ex- Subsidiaries and Additional Brand Fee* (0.241) (0.263) (0.270) -8.6% -10.8%

*Considering 1Q10 as comparison

9

690.2771.0

851.1936.3

1,180.8

251.7 311.5

2006 2007 2008 2009 2010 1Q10 1Q11

Total Costs of Services (R$ million)

CAGR 14.4%

351.5 353.9

427.4401.1

441.0

99.2

139.9

2006 2007 2008 2009 2010 1Q10 1Q11

Operating Expenses (R$ million)CAGR 5.8%

41.0%

311.5 255.0 244.4

34.2 22.4

1Q11 Reported Costs related to subsidiaries

(Orizon and M4U)

Additional brands fee

1Q11 Adjusted 1Q10 Adjusted

Costs (R$ million)

23.8%

CIELO | FINANCIAL PERFORMANCE

10

1,038.8

1,409.5

1,764.3

2,450.7

2,924.3

53%

59%

61%

68%67%

50.00%

55.00%

60.00%

65.00%

70.00%

0.0

500.0

1,000.0

1,500.0

2,000.0

2,500.0

3,000.0

2006 2007 2008 2009 2010

Adjusted EBITDA

713.6 684.3

70%

63%

45.00%

50.00%

55.00%

60.00%

65.00%

70.00%

0.0

100.0

200.0

300.0

400.0

500.0

600.0

700.0

800.0

1Q10 1Q11

Adjusted EBITDA Margin

Adjusted EBITDA (R$ million) Net Income (R$ million)

440.2 425.3

43%

39%

25.00%

30.00%

35.00%

40.00%

45.00%

50.00%

55.00%

60.00%

0.0

50.0

100.0

150.0

200.0

250.0

300.0

350.0

400.0

450.0

500.0

1T10 1T11

Net Income Margin

657.9

883.9

1,115.3

1,536.7

1,829.3

34%37%

39%

42%42%

25.00%

30.00%

35.00%

40.00%

45.00%

50.00%

55.00%

60.00%

0.0

200.0

400.0

600.0

800.0

1,000.0

1,200.0

1,400.0

1,600.0

1,800.0

2,000.0

2006 2007 2008 2009 2010

Net Income

Cielo´s dividend policy assures, based on the corporate bylaws, the distribution of a minimum annual dividend of 50% of net income twice a year, at the end of March and September, for the second half of the previous year and the first half of the current year.

CIELO | DIVIDENDS

11

787.7 837.2

90% 90%

90%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

0

0.2

0.4

0.6

0.8

1

1.2

1.4

1.6

1H10 2H10 2010

% PayoutR$ billion

Total Earnings Distributed

1,624.9

0.58 0.61

1.19

0.00

0.20

0.40

0.60

0.80

1.00

1.20

1.40

1H10 2H10 2010

Total Earnings Distributed (R$/share)

CIELO | GROWTH POTENTIAL

Extend card usage of the traditional POS equipment to emerging technologies -e.g. Visa Mobile Pay and joint venture with Oi

Emerging Payment Transactions:

Increase the penetration, activation and usage of cards at the point-of-sale - e.g. Debit Activation, B2B transactions, etc

Traditional Card Transactions:

Alternative Transaction Services:

Cielo will continue to create new products and drive merchant acceptance by fostering card usage and non-payment transactions

Healthcare Transportation Loyalty

eCommerce Mobile Payments

Credit Debit Prepaid Commercial

1

2

3

Leverage processing infrastructure and customer base to process other types of transactions - e.g. Orizon

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1

2

3

Investor Relations

ri@cielo.com.br

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1Q11 EARNINGS PRESENTATIONMay 5, 2011