Bic Banco - Annual Report 2008

2008 Annual Report

Index

Introduction 03Profile 04History 05Message from the President 0601. Corporate Governance 0902. Risk Management 2903. Economic Scenario and Performance 3904. Relationship with Clients 5305. Intangible Assets 5706. Sustainability 6707. Social and Cultural Actions 7308. Recognitions 7909. Exhibits 8210. Limited Assurance Report of the Independent Auditors 8811. Institutional Information 9012. Credits 91

BICBANCO 2008 Annual Report

Introduction

BICBANCO hereby publishes for its clients, shareholders, staff and society in general its 2008 Annual Report.

Continuing a new cycle of issuing annual reports, which began with the 2006 report, the bank has been expanding the narrative of the impact of its actions and its economic, social and environmental results. This is our commitment to excellence in our economic and operating performance.

This report presents the results for the year ended December 31, 2008, and follows the directives proposed by the Global Reporting Initiative (GRI). The aim of the GRI is to raise the narrative of sustainability reporting practices to a level of quality and transparency on a par with that of financial reporting and to present initiatives that are aligned with the principles of the Global Pact and the balance sheet proposed by the Brazilian Institute for Social and Economic Analyses (IBASE).

The information in this report, which complies with the IBASE model, is accompanied by the financial statements audited by KPMG Auditores Independentes. The methods of measurement and the nature of the business comparable with the 2007 report have been maintained. As a result of improvement, the report now incorporates audited GRI indicators covering the operations of BICBANCO S.A. (in Brazil and the Cayman Branch) and of its subsidiaries: Bic Leasing, Bic Cartões, Bic Informática and Bic Distribuidora de Valores.

In preparing this report, 12 people representing the internal public effectively participated in the evaluation process in regard to the relevance of the topics to be included in the document. Those chosen elected the topics of interest to each stakeholder, which were given preferential treatment. Based on this survey, the text was adapted to the principles of the GRI.

The topics covered were based on the 2007 report, which were added to those listed by the group of stakeholders chosen and approved by the senior management of the bank, namely: clients, suppliers, shareholders, government, society, market analysts, the media and the press, the internal public, the community, unions, the market, regulatory activities and the environment.There were no significant changes during the period covered in this report in regard to the bank’s size, structure or shareholder participation. With this publication, BICBANCO reiterates its commitment to the principles of transparency and equity.


Profile

In 2008, BICBANCO reached the mark of 70 years in the business. The institution, which initiated its operation in 1938, in Juazeiro do Norte, in the State of Ceará (CE), is today one of the major players on the Brazilian financial scenario. A multiple service bank with 39 service points, it is present in Brazil’s 28 major cities in 17 states and the Federal District, and since 2002 it has enjoyed a strong international presence through the branch in Grand Cayman. In 2007, the bank went public through an Initial Public Offering of Shares (IPO) at Corporate Governance Level 1 on the São Paulo Stock Exchange – BOVESPA.

The Bank has prospered over the years by remaining focused and investing strongly in its vocation of supporting production activities. As of December 31, 2008, corporate credit represented 94.4% of the portfolio, the highlight being working capital transactions guaranteed by receivables. In the Brazilian financial market, BICBANCO is ranked 5th among Brazilian-owned banks, is the 8th largest private bank (Brazilian and foreign-owned) and the 12th largest bank by (private and public) loan portfolio, according to the ranking of the Central Bank of Brazil as of December 31, 2008.

MissionTo develop financial activities which, at the same time and in an integrated manner, maximize shareholder return, ensure BICBANCO's consistent andsound growth while valuing the community of which it is a part.

VisionAs a corollary to fulfilling its mission, BICBANCO's ambition is for its staff to be recognized by the clients and the market as the best team of professionals in financial products and services intended for the Middle Market.

ValuesThe success in undertaking the mission depends on a set of factors and behavior that comprise BICBANCO’s beliefs, among which the following stand out:

The Bank has prospered over the years by remaining

focused and investing strongly in its vocation of supporting

manufacturing activities

• Respect for our Staff• Acceptance of internal rules• Performance Recognition• Encouraging teamwork

• Fostering transparency• Emphasis on the Integrity of our actions• Social Responsibility to the Community


History

1938 - 1947The founding of the Joazeiro Credit Cooperative in 1938 by José Bezerra de Menezes and a group of eminent personalities from the local economy led to the first business in the producer segment in the southern region of Ceará. In 1944, it became Banco do Juazeiro, creating opportunities for its cooperative producers.

1948 - 1957The business of the Bezerra de Menezes group expanded within the new Brazilian production model, with the growth of cotton exports. The Bezerra de Menezes family became the major shareholder of Banco do Juazeiro, with Maria Amélia Bezerra de Menezes as president, the first woman to occupy this position in a Brazilian bank.

1958 - 1967Expanding its operations also as a development agent for trade and industry in the Cariri region, Banco do Juazeiro strengthened its regional presence on account of the extensive political and administrative involvement of the brothers Humberto and Adauto Bezerra, in line with the advances arising from Brazilian bank reform.

1998 - 2007It inaugurated its head office on Avenida Paulista and internationalized by opening its first overseas branch in Grand Cayman, in 2002. In order to improve the institution’s corporate governance, in 2003 the financial holding company, Gemini Holding S.A., was created for the purpose of centralizing in a single legal entity the shares representing the shareholder control of the company. Simultaneously, Primus Holding S.A. was founded for the same purpose of bringing together in a single legal entity the shares representing the shareholder control of Bic Corretora de Câmbio e Valores S.A., with the former becoming an indirect shareholder of the bank.In 2004, the bank’s net income exceeded R$ 100 million, and it was elected Brazil’s best middle market bank by the Getulio Vargas Foundation (FGV). It was Brazil’s first mid-cap bank to undertake a subordinated debt transaction, and in 2007 its shares began trading on the Bovespa, at Corporate Governance Level 1.

1968 - 1977With Ivan Bezerra de Menezes as president, in 1972 Banco do Juazeiro merged with Banco do Cariri, and the name was changed to Banco Industrial do Cariri. Two years later, it incorporated Banco dos Proprietários, diversifying and expanding its range of products and services, while moving its corporate headquarters to the capital of the State of Ceará. Once again, the name was changed to Banco Industrial do Ceará.

1978 - 1987Under the presidency of Humberto Bezerra, the Bank opened its first branch in São Paulo. Given the nationwide extent of its business, the bank’s name was changed to Banco Industrial e Comercial S.A. Significant expansion of the branch network led to the bank being elected by “Exame” magazine the best performing commercial bank in the national financial system for two consecutive years.

1988 - 1997In 1989, it became one of Brazil's first multiple banks, and in 1992 it created its own brand: BICBANCO. During this decade, the bank stepped into the breach left by other banks, increasing its client base and expanding its middle market focus. Following the transfer of its head office to São Paulo in 1995, it set up the international area, with José Bezerra de Menezes, the 3rd generation of the controlling group, taking over the presidency.


Message from the PresidentThe year 2008 was an exceptional one, in the widest sense of the term, characterized on the one hand by extraordinary economic and financial growth, and on the other by depressed commodity prices and world recession. At the height of growth in production, on account of sharp rises in raw material prices in the first semester, the fear arose of a significant increase in inflation, bringing with it greater risk for price stability during this period. The expectation that the increasing risk to price stability would prevail led the Monetary Council to continually raise basic interest rates.

Beginning in mid-September, financial tension rose considerably, reverberating on an increasing scale throughout the real global economy. In the wake of sharp declines in commodity prices, which led to a reduction in inflationary pressure, there was considerable increase in uncertainty, which affected liquidity, asset prices and the results of companies in all sectors of industry. This implied risk to growth, and led to coordinated action by the central banks to reduce the interest rates under their influence, a fact which in Brazil began to occur in 2009. On the other hand, with the reduction in inflationary pressure, monetary authorities were able to significantly expand liquidity to banks.

In Brazil, decisions were taken to expand liquidity in the financial system in response to a monetary analysis, particularly in the second half of 2008. Growth in loans to the private sector moderated during the year, in line with restricted financing conditions and weak economic activity. Although Brazil’s annual economic growth showed itself to be relatively resistant, it deteriorated rapidly at the end of the year, in the light of the restrictions imposed by banks on taking risk, in addition to the sharp recession in world economic activity.

In regard to the results of our institution, the achievement was a relatively positive one, since it tested our management and business models. We continue to be a bank whose assets are predominantly of a short-term nature, and whose funding structure is coherent with the terms and the indexation parameters we employ. In addition, there is no concentration of revenue, as this comes from diversified products and clients. The same applies to funding. Net consolidated earnings in the twelve-month period of 2008 stood at R$ 320,5 million, representing growth of 76.2% when compared to 2007, notwithstanding the significant increase in special provisions, over and above the minimum requirements, to cover credit risk. As the financial crisis unfolded and with the rapid deterioration in the macroeconomic outlook, a considerable increase in free cash to cover greater liquidity risk was inevitable.


This occurred at the cost of a reduction in the tenors and volumes of loans, with a consequent impact on earnings in the last quarter of 2008.

The increase in our production and financial indicators represents considerable challenges for the earnings policy we have projected. Nevertheless, our principles take precedence over our budget. We are primarily committed to society and concerned about the environment. We have adopted integrity and respect for our neighbors and for internationally accepted standards into our business, and we have extended an assessment of the impacts we may indirectly cause to the environment. We believe that strategy and growth must be sustained through strong governance, so that initiatives can be pursued in an ethical and effective manner. This is what we have sought and adopted in our actions.

The current economic scenario has shown that the model of autonomous management of the funds we raise is increasingly restricted. Preparations are therefore under way, so that the results we have estimated for 2009 include funding instruments which enjoy freedom of allocation, such as those from investment funds and multilateral agency funds.

If, on the one hand, the reduction in the basic interest rate and margins imposes challenges on us, on the other, it will lead us to increase our market-share by virtue of the higher demand for credit. At any rate we expect to see a new level of earnings per share in the financial system.

Reflecting the world order, and given the need to strengthen the solidity of the financial system, the Central Bank of Brazil has adopted risk policies which are at the same time evolutive and remedial. At government level, it is essential to pursue liquidity mechanisms, while protection against the risks to production and employment for companies will also be particularly important for those industry sectors which suffered most from the negative demand shock, so as to have a positive impact on the financial system.

On behalf of the executive board of BICBANCO, I would like to thank our staff, shareholders and suppliers who have contributed to our results and achievements amidst adverse conditions. It gives me even greater satisfaction that we are working efficiently in an agreeable and open environment, according to the employees themselves in 2008, when as a result of the survey carried out by the University of São Paulo and the Exame magazine Guide, they elected the institution as one of the best companies to work for.

With confidence in our sustainable business strategies and team integration, I once again affirm our objective of continuous growth.

José Bezerra de Menezes (Binho)President


The business management model in force at BICBANCO is in line with the best standards of corporate excellence. The aim is to create value for our shareholders, based on sustainable development, transparency and financial discipline with strong operational risk control and internal controls. In this manner we are creating a fertile environment for the sustainability of the business, performance analysis, preservation of our reputation, estimates of investment and opening of new markets.

BICBANCO promotes sustainable development by supporting clients, shareholders, employees and society in generating and distributing wealth; creating jobs; granting loans committed to social and environmental aspects; and by taking actions that are programmed for identifying the socio-environmental risk involved in these financings.

We have adopted sound corporate governance practices which have been consolidated in recent years. The Bank is currently among the public companies listed on Corporate Governance Level 1 of the São Paulo Stock Exchange - BOVESPA.

01. Corporate GovernanceBICBANCO promotes

sustainable developmentby supporting clients,

shareholders, employees and society in creating and

distributing wealth

01. Corporate Governance


Principles of Corporate Governance

The Principles of Corporate Governance adopted by BICBANCO are:

• Equity – Involves fair and egalitarian treatment for all minority groups, whether shareholders or other interested parties (stakeholders).

• Accountability – Management is committed to its accountability to those who elected it and to taking responsibility for its acts.

• Corporate responsibility – The adoption of practices intended to ensure the perennial nature of the bank and of its business environment.

• Transparency – Sincerity of purpose and clarity of process are priorities in our relationship with shareholders, clients, staff and the market.

Commitment to best Corporate Governance practice

The bank’s business management model is in line with the best standards of corporate excellence. The institution’s main objective is to create value for the shareholders, based on sustainable development The emphasis is on transparency, financial discipline, control of operational risk and internal controls. The bank maintains a profit-sharing program intended for our employees and which strengthens our commitment to best corporate governance practices, so as to assure all our shareholders appropriate treatment. This is evidenced by its adherence to Level 1 of the BOVESPA.

BICBANCO is systematically dedicating itself to a social responsibility project conducted by its own teams. It analyses the possible socio-environment risk involved in financing transactions, takes measures that are programmed to more accurately identify such risks and prepares employees for this identification process.

The institution's objectiveis to create value for theshareholders based on

sustainable development



BOVESPA Level 1

Since going public on October 15, 2007, BICBANCO’s shares have traded at Corporate Governance Level 1 on the BOVESPA. This commitment assures the shareholders that we always follow sound practices. Among the commitments assumed, worthy of note are:

• Improved information concerning each business year;

• Holding public meetings with analysts and investors, at least once a year;

• Presentation of an annual calendar containing the schedule of corporate events, such as: shareholder meetings, disclosure of results, etc;

• Disclosure of the terms of agreements entered into between the bank and related parties;

• Disclosure, on a monthly basis, of negotiations involving securities and derivatives issued by the company on the part of the controlling shareholders;

• Maintenance in free float of a minimum portion of shares, representing 25% of the company’s capital stock;

• When undertaking public placement of shares, the adoption of mechanisms that favor capital dispersion.

More information of the site of the BM&FBOVESPA: www.bmfbovespa.com.br



Stakeholder Engagement

In order to define the identification and selection of stakeholders, meetings were held involving all managers of the bank on the theme: "What is the social role of a financial institution?".

The conclusions of these meetings led to establishing the role of the bank as the orderly distribution of funds in society, balancing this by means of good corporate governance. This implies looking after its interest groups, treating them with reciprocity, providing data, motivation and fundamental resources for them to grow, by creating the capital, intellectual, environmental and financial equity required for their sustainability. Within this scope, in this report BICBANCO has elaborated on themes it considers of public interest, principally to those it considers its major stakeholders:


•Market; •Community;•Clients; •the Environment;•Regulatory Authorities; •the Media and Press;•Internal Public; •Market analysts;•Shareholders; •Government and Society•Unions; •Suppliers.


Board of Directors (CA)

The Board of Directors is responsible for overall guidance of the bank’s business, which includes deciding on economic, financial and administrative policies, in addition to verifying compliance with its resolutions. Among other attributions, the Board of Directors is competent to elect and remove from office members of the executive board and to supervise the execution of their functions.

The members of the Board of Directors are elected at the general meeting for a unified two-year term of office, with reelection permitted. They are necessarily private individuals who hold at least one issued share, regardless of whether or not they are domiciled in Brazil. When the bank entered into the Level 1 Adhesion Agreement, taking office as member of the Board of Directors then became conditional on signing the Administrators Instrument of Consent, whereby new members of the Board of Directors are personally liable for submitting to and acting in conformity with this agreement and with Level 1 Regulations. Furthermore, pursuant to the By-laws, members of the Board of Directors will prioritize the use of arbitration for settling conflicts.

The members of the Board of Directors Pursuant to Company Law, the minority shareholders of public companies who hold shares representing at least 15% of the total voting stock, or holders of preferred shares with no voting rights, or with restricted voting rights representing at least 10% of the capital stock, or furthermore, holders of common shares and preferred shares, which together represent at least 10% of the capital stock, are entitled to elect, on a separate ballot, one member of the Board of Directors.

It is important to emphasize that the president of BICBANCO, although also a director, does not accumulate the function of Chairman of the Board of Directors, just like the other executive officers.

Board of Directors as of December 31, 2008Name Position on the

Board of DirectorsData Elected Term of

Office Ends

José Adauto Bezerra Chairman April 18, 2007 April 18, 2009

Francisco Humberto Bezerra Director April 18, 2007 April 18, 2009

José Bezerra de Menezes Director April 18, 2007 April 18, 2009



Support of the Committees

With sound corporate governance practices in mind, in February of 2008, BICBANCO created its money laundering prevention committee – Cayman Branch, thus completing a total of 13 special committees and their respective terms of reference that govern how they actually operate.

Executive Management Committee - CDEDefines the institution’s strategies. Is composed of the President and all statutory officers.

Operations CommitteeDeals with matters involving infrastructure, exposure and operating limits, evaluates estimated results, with the emphasis on monitoring financial margins, their deviations and maintenance.

Executive Credit CommitteeCarries out a daily evaluation of the portfolios of commercial, rural credit and consumer lending transactions proposed by the commercial departments, where the aim is the profitability and security of the deals.

Executive Treasury CommitteeSeeks weekly consensus on macroeconomic and political scenarios, in addition to their effects on market risk variables (interest rates, spreads, exchange rates and variable income), defines exposure to these, and monitors the financial schedule, setting the periods for “mismatches” between tenors and currencies, minimum reserves and policies on raising and investing funds.

Informatics Management CommitteeApproves and monitors projects and investments in technology, setting goals and establishing implementation strategies.

Internal Controls CommitteeMeets to define policy directives and maintenance of internals controls adopted by the institution.



Risk CommitteeMonitors Treasury’s market exposure limits; establishes the methodology for measuring client and counterparty operating limits, in addition to analyzing legal and image risks.

Money Laundering Prevention Committee Examines and identifies suspicions of atypical activities; decides on violations; establishes penalties and informs the competent authorities, while coordinating and proposing mechanisms of cooperation.

Money Laundering Prevention Committee - Cayman BranchDefines the policy and maintenance directives on the prevention of money laundering, analyzes suspicious events or indications that the bank is being used for money laundering, under the guidance of Circular 2.852/1998 of the Central Bank and the rules of the CIMA (Cayman Islands Monetary Authority), in addition to deciding on notification to the Central Bank and the CIMA regarding the fate of the accounts.

Information Security CommitteeAnalyzes the results of the security measures implemented, proposes corporate security and contingency actions, and approves the rules that comprise the Information Security Policy and rules on matters presented.

Ethics CommitteeDetermines the actions required for disclosing and disseminating ethical conduct standards; monitors compliance and implementation of the provisions of the Code of Ethics, in addition to analyzing, ascertaining and forwarding violations. It meets once a month.

Sustainability Committee - "BLUE" CommitteeIndicates strategies for policies, standards, investments, training and socio-environmental programs, so as to add value to all parties involved.

Credit Process Evaluation CommitteeDefines the credit policy directives, evaluates their maintenance ands establishes new operating standards and solutions which might improve the credit process at its different stages.



Organizational Structure

The organizational structure adopted by the institution is based on departmentalization by area, products and region, so as to optimize and to further administrative and operational development at all levels of the organization.

PresidencyResponsible for the overall administration of the Bank, operating so as to fulfill the approved strategic plan and seeing to it that investments made generate the returns established within defined standards. Represents the Bank before the Brazilian and international monetary authorities, regulatory bodies and the market in general.

General Vice PresidencyDevelops and plans the policies for managing the administration and investment of third-party funds.

International Vice PresidencyEstablishes the operational policies and strategies involving foreign currency-denominated asset and liability transactions, in addition to Cayman Branch.

Operations Vice PresidencyDiscloses the principles and sees to it that the operations of the different units comply with them, in accordance with the vision, mission and culture defined by the presidency and the deliberative committees.

Statutory Controllership ManagementDraws up accounting policies and procedures, in addition to management, fiscal and tax controls and information. Is responsible for managing the processing of the Treasury, formalization and foreign exchange transactions undertaken by the Bank.

Statutory Infrastructure and HR ManagementDevelops Human Resources policies and procedures, administrative and customer services, marketing and communication. Provides the Bank with the technology infrastructure required for managing the company and processing the products. Is responsible for managing the processing of transactions in the branches.



Committees

Corporate Governance

Investor Relations

Planning

Services and Products

Treasury/Funding

Special Transactions

Financings and Leasing

Regional Commercial

Credit

Third-Party Funds Management

Correspondent Banks

Foreign Exchange and Foreign

General

International

Operational

Vice-Presidencies

Infrastructure

Projects and Processes

Human Resources

Information Technology

Branch Coordination

Marketing and Communication

Accounts Payable and Expenses Control

Branch Administration

Controllership

Executive Boards

Administrative and Human Resources

Accounting

Tax and Fiscal Control

Corporate Control

Ombudsman’s Department

Studies, Accounting Rulesand Procedures

Formalization of Transactions

Cards Administration

Operational Support

Operational

Ethics

Information Security

Internal Controls

Risk

Informatics Officer

Committees

Prevention of Money laundering

Credit Process Evaluation

President and Chief Executive Officer

Legal Department

Credit Recovery

Internal AuditExecutive Management

Treasury Executive

Credit Executive

Business Support


SustainabilityBlue Movement


Shareholder Composition

The BICBANCO economic conglomerate is structured as follows:

100%

100%

100%

28.26% 28.55% 10.62% 0.27% 1.03% 31.27%

BIC Leasing BIC Cartões BIC Informática

Common

Preferred

34.70% 17.06%46.48% 0.34% -

18.75% 1.13% 0.18% 2.55%2.14%

TreasuryShares

RelatedParties

Gemini Holding

Primus Holding

BIC Corretora

Bezerra de Menezes Group

BIC Distribuidora

75.25%

1.42%

Shares in Free Float

Companies Controlled by BICBANCO

Gemini Holding S.A., Bic Corretora de Câmbio e Valores S.A. and Primus Holding S.A. With the aim of enhancing corporate governance practices, in 2003, Gemini Holding and Primus Holding were founded for the purpose of consolidating the equity participations of the Bezerra de Menezes Family.

BIC Corretora, founded in1985, has no operational activities, its presence only being related to its participation in the Bank.

As of December 31, 2008, Gemini Holding and BIC Corretora held 39.2% of the Bank’s capital stock.

Base: 12/31/2008



Shareholder Composition of Gemini Holding as of December 31, 2008Shareholder Common % Preferred % Total %

José Bezerra de Menezes

6,281,443 5.49 18,612,107 40.58 24,893,550 15.54

Francisco Humberto Bezerra

59,877,840 52.38 17,067,754 37.23 76,945,594 48.04

José Adauto Bezerra 17,304,343 15.14 3,012,210 6.57 20,316,553 12.68

José Adauto Bezerra Júnior

16,853,304 14.74 4,936,530 10.76 21,789,834 13.60

Moema Bezerra de Menezes Mota

3,449,540 3.02 504,949 1.10 3,954,489 2.47

Ângela Bezerra de M. Machado

3,449,540 3.02 504,949 1.10 3,954,489 2.47

Mônica Bezerra Araripe

3,449,540 3.02 504,949 1.10 3,954,489 2.47

Regina de Fátima Almeida Bezerra

3,449,540 3.02 504,949 1.10 3,954,489 2.47

Sérgio da S. Bezerra de Menezes

202,195 0.18 212,618 0.46 414,813 0.26

Total 114,317,285 100 45,861,015 100 160,178,300 100

Shareholder Composition of Bic Corretora as of December 31, 2008Shareholder Common % Preferred % Total %

Primus Holding S.A. 93,198,833 100 0 0 93,198,833 100

Total 93,198,833 100 0 0 93,198,833 100

Shareholder Composition of Primus Holding as of December 31, 2008Shareholder Common % Preferred % Total %


15,500,100 37.81 113 37.67 15,500,213 37.81


11,033,433 26.91 81 27.00 11,033,514 26.91

José Adauto Bezerra 14,466,767 35.28 106 35.33 14,466,873 35.28

Total 41,000,300 100 300 100 41,000,600 100



Companies Controlled by BICBANCO

Bic Arrendamento Mercantil S.A. (BIC leasing)Founded in 1992, this is publicly quoted company whose purpose is to undertake transactions involving leasing of goods and fixed assets, principally vehicles, machines and equipment manufactured in Brazil. It was authorized to operate as a leasing company on March 10, 1993, effectively coming into operation as from the second semester of that same year.

Shareholder Composition of Bic leasing as of December 31, 2008Shareholder Common % Preferred % Total %

Banco Industrial e Comercial S.A.

47,999,976 100 0 0 47,999,976 100


4 0 0 0 4 0

José Adauto Bezerra 4 0 0 0 4 0


4 0 0 0 4 0


4 0 0 0 4 0

José Newton Lopes de Freitas

4 0 0 0 4 0

Sérgio da S. Bezerra de Menezes

4 0 0 0 4 0

Total 48,000,000 100 0 0 48,000,000 100

BIC Administradora de Cartões de Crédito S/C Ltda. (BIC Cartões)Founded on September 30, 1997, the company remained operational until 2004, issuing and administrating clients' credit cards, an activity it has since ceased operating.

It currently issues pre-paid cards, leasing the bin it holds with Visa.

Shareholder Composition of Bic Cartões as of December 31, 2008Shareholder Common % Preferred % Total %


869,999 100 0 0 869,999 100


1 0 0 0 1 0

Total 870,000 100 0 0 870,000 100



Bic Informática S.A. (Bic Informática)Founded on March 3, 1994, it is a 100% subsidiary of the Bank, providing the latter with data processing and services and technical support for its activities.

Shareholder Composition of Bic Informática as of December 31, 2008Shareholder Common % Preferred % Total %


50,000 100 0 0 50,000 100

Total 50,000 100 0 0 50,000 100

Bic Distribuidora de Títulos e Valores Mobiliários (Bic Distribuidora)Founded in November of 1992 and authorized to function by the Central Bank in March 1993, BIC Distribuidora undertakes a limited number of securities trades for account and by order of the Bank.

Shareholder Composition of Bic Distribuidora as of December 31, 2008Shareholder Common % Preferred % Total %


7,500,000 100 0 0 7,500,000 100

Total 7,500,000 100 0 0 7,500,000 100



Remuneration to shareholders

In the 2008 financial year, R$ 126.4 million were distributed to shareholders, of which the gross amount of R$ 95.4 million by way of equity interest and R$ 31 million as dividends.

In 2008, the Bank began remunerating its shareholders on a quarterly basis.

BICBANCO has no formal dividends policy. Its shareholder remuneration practice is based on Brazilian Company Law and on the Bank’s by-laws, which stipulate a minimum dividend in an amount equal to or a percentage exceeding 25% of the adjusted annual net earnings. The Board of Directors approves the distribution of dividends and/or equity interest, based on the annual or half-year financial statements. The amount of any distributions will depend on several factors, such as: The operating result, financial position, the requirement for funds and the outlook and other factors which the Board of Directors and the shareholders deem to be relevant. The table below shows the history of the distribution of dividends and equity interest for the periods indicated:

Period Type of Income

Type of Event and Date

ShareholderPosition

PaymentDate

Total Amount

(R$ thou)

Amount per Share (R$)

Common /Preferred

1Q08 EquityInterest

MBD 05/07/08

05/08/08 05/19/08 23,860 0,085770330

2Q08 EquityInterest

MBD 06/30/08

06/30/08 07/10/08 23,860 0,085770330

3Q08 EquityInterest

MBD 09/11/08

09/30/08 10/10/08 23,860 0,087763157

4Q08 EquityInterest

MBD 12/29/08

12/30/08 02/10/09 23,860 0,089637995

2008 Interim dividends

MBD 09/11/08

09/30/08 10/10/08 31,000 0,114025895

2008 Dividends GSM 03/23/09

03/23/09 04/08/09 40,000 0,155155927

2008 Total 166,440 0,618123634

The Board of Directorsapproves the distribution

of dividends and/orequity interest, based on

the annual or half-yearfinancial statements



Treasury shares

As determined at the Special General Meeting held on November 10, 2008, the Management of BICBANCO was authorized to cancel nine million, two hundred and twenty-seven thousand, seven hundred (9,227,700) preferred shares which had been previously repurchased based on Board of Directors’ resolution dated June 30, 2008, and held in Treasury, without reducing the capital stock. The cancellation was registered as a reduction in profit reserves.

On December 9, 2008, at a Meeting of the Board of Directors, the Management of BICBANCO was authorized to repurchase the Bank’s own shares for subsequent cancellation, without reducing capital stock, up to the limit of 10.0% of the nominative preferred shares in free float, namely 8,491,018 shares.

The authorization granted at the Meeting of the Board of Directors aims to apply the available funds, arising from the capital reserve; BICBANCO acquired in the period from December 9, 2008 to December 12, 2008 a total of 2,775,300 nominative preferred shares, at the average weighted cost of R$ 2,32286 per share, representing R$ 6,5 million; maximum cost was R$ 2,98, and the minimum, R$ 2,02; market value of the shares as of December 31, R$ 4,02.

BICBANCO acquired in theperiod from December 9, 2008

to December 31, 2009, a total of 2,775,300

nominative preferred shares



Remuneration

In accordance with the by-laws, the shareholders of BICBANCO must fix, at the general meeting, the global remuneration of the Board of Directors and the Executive Board. It is incumbent on the Board of Directors to stipulate the individual amounts payable to its members and the members of the Executive Board.

Global remuneration for the 2008 business year was set at R$ 7,6 million. In the 2007 business year, the remuneration of Executive Board members totaled R$ 5,6 million. Furthermore, in business years when shareholders received mandatory minimum dividends, the members of the Board of Directors and the Executive Board were entitled to a share in the Bank’s profits, after deducting accumulated losses and the provision for Income Tax and Social Contribution on net earnings, with due regard for the fact that the total of this share may not exceed management’s annual remuneration or one tenth of the Bank’s profits, whichever is lower, pursuant to the provisions of article 152 of Brazilian Company Law.



Statutory Audit Board

In accordance with Brazilian Company Law, the Statutory Audit Board is a corporate body independent of the management and the independent auditors, which can function both on a permanent or non permanent basis, in which case it will only function during business years when it is requested to do so by shareholders at the general meeting. The Bank’s by-laws contemplate a non permanent Statutory Audit Board. When elected, it will comprise at least three and at the most, four full members, with an equal number of substitutes, in accordance with the provisions of the aforementioned law. Also pursuant to the by-laws, the members of this Board are subject to Arbitration Regulations. The Statutory Audit Board has not been installed, for which reason no members have been appointed.

Brazilian Company Law requires that members of the Statutory Audit Board receive remuneration of at least 10.0% of the annual average amount paid to the company’s officers. They cannot be members of the Board of Directors; members of the Executive Board, its employees; employees of companies controlled by the Bank or by a group company; spouses or up to third degree relatives of any member of the Board of Directors or the Administrative Board.

General Meetings

The General Meeting is normally held within the four months following the end of each business year and, on special occasions, whenever business interests so demand.

All shareholders of BICBANCO common or preferred shares can take part in the General Meeting. Section 6 of the By-laws of BICBANCO stipulates that preferred shares shall not be entitled to vote at the General Meeting, while shareholders of this class of shares are entitled to the advantages contemplated in the by-laws (Section 6, letters "a", "b" and "c"), and under Brazilian Company Law.

All documents for analysis or discussion at the General Meeting, whether ordinary or special, are always made available to the shareholders at the BMF&BOVESPA (www.bovespa.com.br), in addition to being held on file at the corporate headquarters of BICBANCO for consultation, as from publication date of the first notice of meeting.



At general meetings that are regularly called and installed, shareholders are authorized to decide on matters concerning the business purpose and to determine what they consider to be convenient to the interests of the Bank. At the Annual General Meeting it is exclusively incumbent on the shareholders to approve the financial statements, decide the fate of the net earnings and the payment of dividends referring to the immediately preceding business year and elect the directors, notwithstanding the fact that under Brazilian Company Law they can be elected at special general meetings.

Of the elected directors, the by-laws state that at least 20% of them must be independent directors. The members of the Statutory Audit Board, in the event this has been installed following a request by a sufficient number of shareholders, can be elected at any general meeting, which in turn is competent for removing any member of the Board of Directors from office at any time.

As a rule, Brazilian Company Law states that the general meeting will be installed, at the first call, in the presence of shareholders who hold at least 25.0% of the voting stock and at the second call, with any number of shareholders present. Where the shareholders have been called to resolve on changes to the by-laws, the quorum for installation at the first call will be at least two-thirds of voting shares and, at the second call, any number of shareholders.

In general, approval of subjects discussed at general meetings takes place by the affirmative vote of the majority of holders of common shares who are present or who are represented by attorneys-in-fact, while abstentions are not taken into account for the purposes of this calculation.

At general meetings thatare regularly called and installed,

shareholders are authorizedto decide on matters concerning

the business purpose and todetermine what they consider

to be convenient to theinterests of the Bank



The Brazilian Securities Exchange Commission – CVM can authorize a reduction in the abovementioned quorum in the case of publicly quoted companies with shares dispersed in the market and whose last three general meetings were held in the presence of shareholders representing less than half of the voting shares.

As a rule, the approval by shareholders who are present in person or through an attorney-in-fact at the general meeting and who represent at least the majority of voting shares, is required for approving any subject matter, while abstentions are not taken into account for the purpose of this calculation.

All general meetings are called by at least three publications in the Official Gazette of the State of São Paulo, in addition to any other widely circulating newspaper. The first notice of meeting shall be given at least 15 days prior to holding the general meeting, and the second notice of meeting, eight days in advance.

The CVM may, however, at the request of any shareholder after hearing BICBANCO and in certain circumstances, postpone the date of the general meeting, so that it is held within 30 days following the date of notice of meeting.

General meetings are held at the Bank's head office, on the 15th floor of Avenida Paulista, 1.048, in the capital city of São Paulo. Brazilian Company Law permits general meetings to be held outside the Bank's corporate headquarters provided that, in the city of São Paulo, the respective notification of meeting expressly and unequivocally indicates the location where the general meeting is to be held.



Risk Management aims to ensure the continuity of the business, while at the same time guaranteeing returns to shareholders. BICBANCO prioritizes responsible and sustainable management of its portfolios, and in the search for excellence it adopts stricter standards than those required by the regulatory bodies.

Risk management is paramount in the decision-making process and is a differentiating competitive factor that makes evaluating the risk-return ratio possible.

The risk management culture at BICBANCO is an important component in identifying risk exposure and in determining the level at which this will be tolerated when doing business. This choice varies with time, reflecting the business environment, the attitude of the competition, client needs and the expectations about results.

In anticipation of regulations, BICBANCO created the Risk Management area in 2003. The main purpose was to construct a methodology for managing risk and internal controls for all the Bank’s processes, adapting solutions to the existing standard of business based on best international practices. It maintains a Risk Committee which evaluates and monitors the information received by the control and risk areas, in addition to an Internal Controls Committee which looks after the controls associated with each of the risks involved.

Specifically in the case of market risk management, it also has a Treasury Committee. The Risk Management areas report directly to the Corporate Governance Officer.

02. Risk Management

Risk management isparamount in the

decision-making process and isa differentiating competitivefactor that makes evaluatingthe risk-return ratio possible

02. Risk Management


Market Risk

Limits and exposure to market risk ended the year relatively low when compared to the institution's shareholders' equity. As of December 31, 2008, the value at risk – VaR – in the case of the portfolio classified as the Trading Book, in accordance with transaction classification criteria based on the portfolio concepts defined in the Basle Agreement, considered to be the exposures affecting the institution's current results, stood at R$ 4,95 million, while value at risk of the institution's portfolios as a whole – global VaR – was R$ 29,5 million. The structure of the asset and liability terms enables safe cash flow administration, since no unfavorable gaps exist. Liquidity is monitored and analyzed using statistical and economic and financial models of the variables in assets and liabilities affecting the cash flow and level of domestic and foreign currency reserves.

The institution's policy is to avoid creating relevant foreign currency exposure requiring capital cover. In order to manage exposure and analyze the possible impacts in different scenarios, the bank monitors the detailed breakdown of assets and liabilities per index. At close of the business year on December 31, 2008, foreign exchange exposure for capital requirement purposes, in compliance with Central Bank Circular 2008, dated June 25, 2008, totaled R$ 51,3 million against R$ 8,4 million in 2007. Global mismatch, which offsets opposing (overbought and oversold) exposures in Brazil and abroad totaled R$ 5,1 million, representing a slight increase when compared to the position of R$ 3,6 million in December of 2007.

The Brazilian scenario had been freely expanding up to September of 2008. However, the last quarter was marked by the onset of the international crisis. One of the first spin-offs was the liquidity crisis in the Brazilian financial system caused by the suspension of international credit facilities, partly mitigated by the Central Bank's release of part of the mandatory deposits.

With most of its assets and liabilities subject to market risk, the Bank felt the effects of the crisis. However, the analysis system which the Bank had installed enabled the construction of portfolios that contemplated alternative scenarios, analyzing the impacts on the value of the positions in the different scenarios tested, so as to ensure continuity of the business.

In order to manageexposure and analyze

the possible impacts in different scenarios, the

bank monitors the detailed breakdown of assets and

liabilities per index

02. Risk Management


The Bank undertakes traditional derivative transactions so as to meet the requirements of its clients, in addition to executing its risk management policy as a means of minimizing the risks arising from its commercial and financial transactions. The derivatives in which it trades are acquired for two basic purposes:

• Hedge – for hedging the structural portfolio;

• Trading – as an instrument for taking own positions and for managing the risks of the derivatives negotiated with clients seeking to manage market risk, resulting basically from fluctuations in interest rates, foreign exchange rates and asset prices.

Most of the derivative contracts negotiated with clients in Brazil involve swaps and futures transactions, all of which are registered with the BM&FBOVESPA S.A. – BOLSA DE VALORES, MERCADORIAS E DE FUTUROS (BM&FBOVESPA), or with Central de Custódia e de Liquidação Financeira de Títulos, or CETIP, the custody and financial settlement clearing house. The DI and dollar futures contracts on the BM&FBOVESPA are mainly used as instruments for locking in the rates on financings offered to clients, with tenors and currencies mismatched with those of the funds raised for financing them. Abroad, NDF (Non Deliverable Forward) contract transactions are undertaken for the purpose of hedging the funds raised overseas.

The institution uses financial instruments for consolidated management of its positions and to meet the requirements of its clients, classifying its own positions as "Intended for Hedge" (market risk) and "Trading", both with limits and responsibilities. The strategy of hedging equity positions is in line with macroeconomic analyses, and is approved by the Treasury Committee. The models used in managing derivative-based risk are periodically reviewed, while decision-making takes into account the best risk/return ratio, by estimating possible losses based on the analysis of macroeconomic scenarios. At the end of the 2008 business year there were no relevant positions with clients that might lead to margin calls or mismatches.

The principal factors of the derivatives risk assumed as of December 31, 2008 involved foreign exchange rates, interest rates, dollar coupons and variable income, where the aim is maximize risk-return ratios, even in highly volatile situations. Control of portfolio risk management uses systems such as: VaR, Profitability and liquidity risk.

The Bank undertakestraditional derivative

transactions so as to meetthe requirements of its clients,

in addition to executing its risk management policy as a

means of minimizing the risks arising from its commercial and financial transactions

02. Risk Management


Exchange-quoted prices usually provide the best estimate of the fair value of the financial instruments. However, not all instruments enjoy liquidity or quotations, and it is necessary to adopt estimates of present value and other pricing techniques. The following criteria are adopted for obtaining these market values;

• Futures and Forwards: are quoted on the exchanges.

• Swaps: the cash flow is estimated for each party and discounted to present value, in accordance with the corresponding interest curves obtained based on BM&FBOVESPA and/or market prices of government securities for transactions in Brazil, and on international exchange-quoted prices for overseas transactions;

• Options: statistical models incorporating the price volatility behavior of the underlying asset, the interest rates, strike price and spot price of the merchandise.

The balances arising from these transactions are booked in memorandum and equity accounts, in accordance with specific Central Bank rules.

From an accounting standpoint, derivative instruments are classified on the date on which they are acquired, according to management’s

02. Risk Management


intention to use them as protection (hedge) instruments or not, pursuant to Central Bank Circulars 3.082/02 and 3.150/02. Transactions involving financial instruments undertaken at the request of clients, or which do not meet the hedge criteria, in most cases derivatives used for managing global risk exposure, are booked at market value, with realized and unrealized earnings and losses recognized directly in the statement of results.

Swap transactions are registered with the BM&FBOVESPA and the custody and financial settlement clearing house (CETIP), while adjustments referring to differences receivable or payable are booked in the respective asset or liability account, in consideration of revenue or expense. Futures market transactions are registered with the BM&FBOVESPA, while the daily adjustments appropriated/paid are booked as revenue or expense.

Credit risk

Once the liquidity crisis which assailed financial institutions beginning September of 2008 was over, BICBANCO expected the fallout from this wave to affect companies which had granted loans. The Bank remained alert to the capacity of borrowers to honor their obligations, in addition to establishing a credit policy based on internal and external factors involving the economic scenario in Brazil and abroad, which is also supported by analysis procedures developed through its own experience.

A factor which enabled the bank to adapt rapidly to the economic environment was that of credit approval using management tools that automatically provide information to the appropriate levels of responsibility, in line with the workflow established by the credit and formalization policy. This centralized decision-making process optimizes business opportunities, while also ensuring that the approval process is necessarily timely and flexible.

The institution possesses a portfolio evaluation instrument which makes it possible to measure the profitability of transactions as a function of the economic capital they consume, and the amount of the expected loss to the credit portfolio, in addition to enabling transactions to be priced as a function of the risk involved. Stress testing is used for measuring possible losses in scenarios where the risk area considers such losses likely, for a reliability interval of up to 99.99%.

The centralized decision-making process optimizes

business opportunities,while also ensuring that the

approval process is necessarily timely and flexible

02. Risk Management


Operating Risk

BICBANCO adopts the Simplified Alternative Standardized Approach while complementing the view of operating risk by means of a management model for economic evaluation based on business lines, quantifying the operating risks using statistical models that enable it to calculate expected losses and to allocate capital for unexpected losses (VaR with a reliability interval of 99.9%). Exposure to operating risk is reviewed at least every six months, including evaluating and adjusting the controls according to the strategies adopted by the Bank.

An effective internal control system reduces the probability of human error and irregularities in processes, products and systems. The Risk and Internal Controls Committees establish the acceptable level of tolerance to risk.

With the aim of evaluating its management structure, BICBANCO hired the consulting company PricewaterhouseCoopers who, after a wide-ranging study based on tests, verified that the Bank’s operating risk management structure is adequate, granting the Bank assurance for the operational risk management process in January of 2008. The analysis was carried out in accordance with NPO 1 (Assurance Rules and Procedures), established by the Institute of Independent Accountants of Brazil (IBRACON).

Operating risk management is periodically evaluated by internal audit, with due regard for the independent nature inherent to audit work, in regard to verification of the operating risk management structure and its extent within the institution, the verification of the level of conformity with evaluation methodologies and procedures and the measurement of operating risk.

Every six months, studies are undertaken of the institution's entire processes, so as to identify each risk associated with these processes. Also associated with these risks, an evaluation of the controls is carried out, awarding points that are reevaluated at least every six months by means of CSA – Control Self-Assessment. Currently, operating risks on all critical processes are identified, evaluated, monitored and controlled.

An effective internal control system reduces

the probability of humanerror and irregularities in processes, products

and systems

02. Risk Management


Business continuity plan

The Business Continuity Plan is also included within the scope of the operating risk management area and comprises a series of prevention and recovery measures in the event of a disaster or some other drastic interruption to business occurring, and ensures the capacity to operate and to minimize losses. The measures contemplated in this plan extend far beyond the simple adoption of an insurance plan, ensuring that the institution is capable of operating on a continuous basis. The Plan was drawn up for every process or critical activity, understood as being those with a high impact, given the possibility of adverse external factors, such as: natural catastrophes, epidemics or even terrorism (beyond internal controls) which may cause drastic interruptions to the processes.

The business continuity plan is divided into three modules:

• PAC – Crisis Management Plan This represents the most effective guarantee in terms of management

in adverse situations, describes how the teams function before, during and after the occurrence of the event and defines the procedures to be carried out in the period of return to normality.

• PCO – Operational Continuity Plan This defines the procedures for the contingency process involving the

assets that support each business process, with the aim of reducing down time and consequently, the potential direct or indirect impacts on the business.

• PRD – Disaster Recovery Plan This defines a plan for recovering and restoring the functionalities of the

affected assets that support the business processes, in order to reestablish the original operating environment and conditions while providing guidance on the activities involving the alternative site, so that the Bank continues to do business. It describes the measures for activating manual processes or the resources hired, while ensuring continuity of the business processes in the event of failure in the information system.

The Plan was drawnup for every process or

critical activity, understoodas being those with a

high impact, given the possibility of adverse

external factors

02. Risk Management


Socio-environmental Risk

BICBANCO and its clients work together to collaborate towards effective change in the relation between manufacturing and commercial activities, the environment and society, including actions and procedures involving the corporate credit approval process and the maintenance of clients’ current and investment accounts, with the aim of integrating socio-environmental matters into the business. These actions include training the institution's professionals and transforming these values into the institution's culture. On the other hand, it encourages socio-environmental practices in its clients' businesses.

The Bank has developed a methodology for evaluating socio-environmental risks based on risk category. In order to fulfill this directive, it entered into an agreement with the Getulio Vargas Foundation for developing an evaluation system. This project created a series of questionnaires directed at those sectors and activities most likely to have an impact on the environment and which most affect people’s well-being, so that its managers apply them to clients, suppliers and commercial partners.

At the same time, a socio-environmental risk management system was developed under an agreement with the SERASA, so as to allocate clients a socio-environmental rating. These reports are intended for some clients who operate with higher volumes.

BICBANCO, convinced of the importance of sustainable growth, operates in line with best global practices where sustainability and corporate governance prevail. It maintains good sustainability practices within the business strategy, in credit and purchases, while promoting transparency, ethics and respect for the environment as the beacons of its administrative and business practices. It has defined commercial restrictions on those companies and/or persons who have used child or slave labor, adopting effective mechanisms for monitoring clients and suppliers. Lastly, for the purposes of on-lending funds from international financial bodies, it takes into account the socio-environmental evaluation.

BICBANCO, convincedof the importance of sustainable growth,

operates in line with best global practices where

sustainability and corporate governance prevail

02. Risk Management


The institution has a Sustainability Committee, known as the Blue Committee, which is the internal body designated to analyze matters involving sustainability which affect the entire Bank, and whose responsibility is to encourage and monitor the policies, client behavior, the adoption of measures and the development of the internal rules required for the theme of sustainability, including awareness and engagement of all members of staff.

With the aim of turning the opportunities arising in the environmental sphere into sources of revenue, the Bank makes use of products intended for those publics who need to make improvements to their industrial plants, so as to render them less harmful to the environment. To do so, the institution has credit facilities with multilateral agencies intended for the specifically defined public. There is no specific and quantitative calculation of the costs and carbon credits for these transactions.

02. Risk Management


The year 2008 began with forecasts of an inflationary scenario and the possible onset off a recession in the USA. Only in December did it become clear that the country had been in recession since the end of 2007, when the National Bureau for Economic Research (NBER) disclosed its report. However, the rest of the world appeared to be sufficiently protected in order to support the crisis beginning to take shape.

In the first phase, the emerging countries benefited from the resources of US investors, resulting in the devaluation of the dollar and gains in prices of farm and mineral commodities. This led to concerns about global hunger and world leaders came together to discuss alternatives or measures for preventing this. At the same time, oil prices reached record highs, setting of a new round of studies into finding substitutes for its fuel sub-products, while discussions became more intense regarding how to avoid the transfer of farmland to energy products.

In September, the entire world economic scenario changed when global investors began to lose trust in the wake of the problems faced by Lehman Brothers, exploding the assumption that the crisis would not lead to the downfall of a traditional US financial institution, and setting off a chain of events that shook stock exchanges worldwide.

US government intervention became inevitable; even with the injection of US$ 700 billion to bail out the markets, these did not react and stock exchanges continued to fall. The drop in financial system liquidity pointed to a significant contraction in credit, reversing the expectations for world growth and sending conservative investors running for shelter or to protect their wealth in US government securities. The direct result was the global appreciation of the dollar and the resulting decline in commodities. With the impact of the depreciation of commodities and higher credit risk, there was large-scale enforceability of derivatives contracts, whose liquidation in dollars further strengthened the price of the currency.

03. Economic Scenario and Performance

The direct result wasthe global appreciation ofthe dollar and, with it, the

decline in commodities



In Brazil, throughout most of 2008, the Brazilian economy remained fired up, showing strong across-the-board-growth in different sectors of the economy. GDP growth had been projected at 6.0% p.a., driven by the expansion in credit, investments, consumption, employment and incomes. Beginning in September 2008, the deepening international crisis began to affect economies which up until then had shown themselves to be unaffected, like Brazil.

As a result of the entire scenario described, in the fourth quarter of 2008 Brazil’s economic growth experienced inflexion. Expansionist forecasts gave way to a slowdown scenario. Movement of international funds restricted liquidity in Brazil, which led to higher funding costs for banks and restrictions on loans in a flight-to-quality movement which later was to bring about a scenario of increased default. The scarcity of credit worsened during the last quarter of the year, leading to a sharp contraction in manufacturing activity.

The year 2008 was characterized by oscillations in the main economic indicators. During several months of the year, inflation stood above the level established under the target system. In this context, the Central Bank raised the SELIC rate until it reached the level of 13.75% (against 11.25% in 2007). In September, the upward cycle ended, and the rate remained stable until the end of the year. Inflation as measured by the IPCA closed the year at 5.9% - below the 6.5% annual ceiling stipulated for the year. This notwithstanding, inflation in 2008 was the highest recorded since 2004, at 1.44 percentage points above the rate in 2007. The foreign exchange market showed greater volatility, with the Real ending the year quoted at R$2,3370/US$, variation of 31.9% in relation to the close of 2007 (R$1,7713/US$), after having attained during the year one of the lowest levels for a decade.

Beginning in September of 2008, the Brazilian authorities took several initiatives to mitigate the fallout from the retraction that had been set off, such as changes to mandatory deposit rules, foreign currency auctions, reduction in IPI tax on new cars and lower income tax in the case of individuals, among others. These measures did not have sufficient time to take full effect. At the end of the financial year, market uncertainties surrounding the economy in 2009 predominated, although with an apparent solution to the liquidity problem.


In Brazil, throughoutmost of 2008, the Brazilian

economy remained firedup, showing strong

across-the-board-growth indifferent sectors of

the economy


Economic Results

In the case of BICBANCO, the liquidity crisis arising from the systemic aversion to risk led to changes in the results outlook. In this context of uncertainties, the Bank adopted a position of caution in relation to risk. As in other circumstances with similar characteristics requiring larger reserves, the Bank increased its immediate liquidity by not renewing part of its loans while making efforts to retain funding from clients. As a result, total cash and cash equivalents which stood at R$ 945 million in June 2008, rose to R$ 1.165 million in September, and to R$ 1.964 million in December/08. Total of funds raised reached R$ 8,8 billion, an increase of 27.3% in twelve months. Loans, which are the bank's main asset, reached R$ 8,1 billion, an increase of 5.9% for the year.

In order to face the challenge brought on by the crisis, including lower quality credit risk on account of joint action by financial institutions to restrict credit and the resulting reduced ability to bank their clients, the Bank cautiously increased provisions from R$ 101,6 million (gross before taxes) in the fourth quarter of 2008, which adversely affected the result. In the case of all credits in categories C to G, the percentage of provisions was extrapolated to practically the level required for the higher risk capacity. This measure led to total provisions which ensure more appropriate coverage ratios for the business outlook for the year 2009. Even with this measure, BICBANCO’s net earnings ascertained for the 2008 business year totaled R$ 320,5 million, with growth of 76.2% over 2007. The efficiency ratio advanced to 38.6%, showing an improvement of 5.6% p.p. in comparison with 2007.

BICBANCO's net earningsascertained in financial year

2008 totaled R$ 320,5 million, with growth of 76.2% over 2007



Assets

Total assetsTotal assets rose to R$ 12.007,3 million at the end of 2008, up by 9.2% in twelve months.

LoansIn 2008, loans totaled R$ 8.066,4 million, 5.9% higher than in December of 2007. Worthy of note is the fact that the portfolio of all original loans was maintained, in other words, no transactions were assigned or sold, in spite of the scenario experienced at the end of the year.

The loan portfolio accounted for 67.2% of the Bank's assets at the end of the financial year. Corporate lending to mid-size and large companies was equivalent to 94.3%, with payroll-deductible loans representing 4.7% and personal loans, 1.0% of loans.

The Bank's policy on granting credit prioritizes risk dilution, in addition to collateralizing transactions by means of guarantees. The emphasis on diversification and dilution of transactions aims to distribute credit across different geographic regions, economic segments and products, in addition to avoiding any kind of individual concentration. Guarantees of receivables and financial investments, structures considered satisfactory and highly liquid, covered the equivalent of 66.6% of corporate credit in Reais. Doubtful loan provisions totaled R$ 310,9 million at the close of the financial year, a balance 133.3% higher than that of December of 2007. Provisions maintain a comfortable coverage ratio of 246.6% of loans past due by 15 days or more, which totaled R$ 126,1 million.

Loans by Type (R$ millions) 2008 2007 % Diff.

Working capital 4.395,7 4.038,6 8.8

Trade finance 1.933,2 1.590,1 21.6

Overdraft accounts 873,7 1.007,9 (13.3)

Payroll-deductible loans 378,9 477,4 (20.6)

Leasing 115,8 19,2 504.3

Personal loans 82,2 156,9 (47.6)

Other credits 286,9 327,8 (12.5)

Total 8.066,4 7.617,9 5.9

(R$ Millions)Loans

2008

8.066,4

2007

7.617,9

2006

4.433,7

2005

2.775,6

5.9%

(R$ Millions)Total Assets

2008

12.007,3

2007

10.992,1

2006

7.320,0

2005

6.759,0

9.2%



Loans – GDP x BICBANCO (%)

Working capitalThe Bank's major product, it serves to meet companies' cash requirements, with terms of usually less than one year At the end of 2008, it represented 54.5% of the total loan portfolio, standing at R$ 4.395,7 million, an increase of 8.8% in relation to 2007, but down by 18.0% in relation to the R$ 5.359,6 million attained in 3Q08.

Overdraft accountsInvolve credit linked to companies' call accounts, where the aim is to meet their credit requirements with the speed of response that these clients demand. At the end of 2008, this type of transaction accounted for 10.8% of the total loan portfolio, standing at R$ 873,7 million, a reduction of 13.3% for the year.

Trade finance/Export financingComprising advances against foreign exchange contracts – ACC and import and export financings, foreign trade financing transactions are strategically important for the Bank. These transactions expand the offer of products, retaining the loyalty of clients operating in foreign trade, while diluting the risks to the Bank's loan portfolio. At the end of the year 2008, these transactions stood at R$ 1.933,2 million, representing 24.0% of the total loan portfolio. The appreciation and subsequent devaluation of the Real against the dollar throughout 2008 makes it impossible to analyze the production of the portfolio in Reais. The portfolio balances in dollars improve the comparison between the periods: 4Q08 – US$ 748,4 million; 3Q08 - US$ 915,9 million and 4Q07 - US$ 911,7 million.

0 - 5

13 - 9

17 - 16BICBANCOLoans (%)

Regional GDP(%)

Cayman 4%

46 - 57

20 - 13

59,2

8,6

25,56,7

213,12

30,96

91,824,12

Tempo de casa

196,2

282,6

321,48338,4

343,44

347,04360

164,52

283,68

354,24360

25,9

22,8

51,3

360

266,76

184,68

351,72

176,4

94,68

356,72

312,8

244,8

45.7% Up to 3 months

1.6% Past due from 15 days onward

33.1% From 3 months to 1 year19.6% Over 1 year

Loansby Maturity Date

59,2

8,6

25,56,7

213,12

30,96

91,824,12

Tempo de casa

196,2

282,6

321,48338,4

343,44

347,04360

164,52

283,68

354,24360

25,9

22,8

51,3

360

266,76

184,68

351,72

176,4

94,68

356,72

312,8

244,8

54.5% Working capital

4.7% Payroll-deductible loans

3.6% Other credits

24.0% Trade finance

1.4% Leasing

10.8% Overdraft accounts

1.0% Personal loans

Distribution of the loan portfolio per Transaction Type



Payroll-deductible loansAt the end of 2008, payroll-deductible loans accounted for 4.7% of the total loan portfolio, standing at R$ 378,9 million, including loans assigned to the FIDC. This type of transaction declined by 0.6% in relation to the balance obtained in 2007. When the amounts assigned to the FIDC are stripped out, the payroll-deductible loan portfolio stood at R$ 149,3 million.

LeasingThe performance of leasing transactions is worthy of note. This portfolio stood at R$ 115,8 million, up by 30.7% in the last quarter of the year, and by 504.3% in the last 12 months. BICBANCO reactivated this product during last year, and at the end of the year it already accounted for 1.4% of the total credit portfolio.

Other creditsBasically comprised of transactions such as Compror, Resolution 63, on-lending from the BNDES, company and farming overdrafts, these credits totaled R$ 286,9 million, equivalent to 3.6% of transactions, a decline of 12.5% in relation to 2007.

Sureties (avais) and letters of guaranteeThis type of transaction is not included in the credit portfolio. In 2008, liabilities for sureties and guarantees granted totaled R$ 487,1 million, representing growth of 52.0% in relation to 2007.

SecuritiesAt the end of 2008, the securities portfolio stood at R$ 369.1 million, comprising 88.0% federal government securities, representing a decrease of 82.5% in the twelve month period. This decrease is associated with the reduction in mandatory deposits and repo transactions, in addition to migration of part of the own securities portfolio to interbank liquidity investments.

Free cashCash and highly liquid assets comprising the Bank's free cash totaled R$ 1,964.3 million at the end of 2008, against R$ 591.2 million at the end of 2007. This liquidity cushion was built as a prudential measure against strong market volatility.



Free cash (R$ millions) 2008 2007 % Diff.

Cash and cash equivalents 200,2 139,9 43.1

Open market investments 1.507,4 9,0 16.645,2

Interbank deposit investments, except depositsfor swap transaction cover

43,6 9,1 378.5

Own portfolio – trading 213,1 413,4 (48.4)

Own portfolio – available for sale – 19,8 –

Total 1.964,3 591,2 232.2

Default and provision for lossesDefault and provision for lossesAt the close of 2008, provisions to cover doubtful loans stood at R$ 310,9 million, a 68.8% higher balance than that of the third quarter of 2008 and 133.1% higher than that of 2007. In the light of the prospects of a more adverse scenario in 2009, with the possible resurgence of risk and increases in future losses, the Bank opted to considerably increase existing credit provisions well beyond the minimum levels required.

The provision made maintains a comfortable coverage ratio of 246.6% of credits past due by 15 days or more, and 82.0% of the D-H portfolio. Loans in arrears as from 15 days totaled R$ 126,1 million, equivalent to 1.6% of the credit portfolio. The D-H portfolio represented 4.7% of total loan transactions. During the fourth quarter of 2008, loan written off totaled R$ 34,9 million, reflecting growth of 44.5% and a drop of 6.4% in relation to 3Q08 and 4Q07, respectively. During the fourth quarter of 2008, R$ 3,4 million in loan were recovered. In the financial year 2008, R$ 99,7 million (2007: R$ 97,1 million) were written off, and R$ 25,9 million (2007: R$ 21,5 million) recovered.

Risk level Loan Portfolio

(R$ millions)

% of Minimun Provisions

Required

% of Provisions Actually

Constituted

Provisions Actually

Constituted (R$ millions)

AA 1.035,9 0.0% 0.0% –

A 3.457,5 0.5% 0.5% 17.3

B 2.543,1 1.0% 1.0% 25.4

C 650,6 3.0% 9.0% 58.6

D 159,4 10.0% 29.0% 46.2

E 38,5 30.0% 49.0% 18.9

F 118,8 50.0% 69.0% 82.0

G 8,3 70.0% 99.0% 8.2

H 54,3 100.0% 100.0% 54.3

Total 8.066,4 310.9

Diferença entre (C) e (D) 101,6



FundingThe Bank prioritizes diversified funding adapting funding it to the profile of the credit portfolio so as to minimize mismatches of terms, currencies and interest rates, in addition to ensuring liquidity. The adaptation of this funding strategy, which the Bank has systematically adopted, has proven to be appropriate for ensuring the liquidity and security of the business as was experienced in the periods of high volatility like the fourth quarter of 2008.

The volume of funds raised, which peaked at R$ 10.063,7 million in the third quarter, ended 2008 at R$ 8.829,3 million, a reduction of 12.3% in the last quarter and an increase of 27.3% for the year.

Local currency funding

Term depositsTerm deposits totaled R$ 3.816,3 million at the end of the year, a decrease of 32% in relation to third quarter of 2008 and stable when compared year-on-year. The reduction in term deposits experienced in the fourth quarter of 2008 is directly associated with the systemic lack of liquidity, the immediate consequence of the global financial crisis; more volatile behavior on the part of institutional investors given the adverse scenario; and the fact that a significant portion of term deposit investments underlying credit transactions as guarantees was redeemed when these transactions were liquidated.

Around R$ 861,9 million, equivalent to 22.6% of total term deposits carry some liquidity clause, usually on the investment anniversary date. The commitments entered into between the Bank and clients were registered with the Custody and Financial Settlement Clearing House (CETIP).

Other depositsSavings account and interbank deposits totaled R$ 627,8 million in 2008, growth of 37.0% in relation to the volume on the previous quarter, and 8.3% when compared with 2007.

Debentures and FIDCsThese two transaction types complement and diversify the mix of funds raised on the local market. Debentures totaled R$ 112,1 million, maturing in July of 2010. Funding by means of subscribing senior units of two FIDCs (payroll-deductible loans and Guaranteed Health) totaled R$ 201,1 million. There were no new issuances of these types of transactions in the final quarter of the year.

59,2

8,6

25,56,7

213,12

30,96

91,824,12

Tempo de casa

196,2

282,6

321,48338,4

343,44

347,04360

164,52

283,68

354,24360

25,9

22,8

51,3

360

266,76

184,68

351,72

176,4

94,68

356,72

312,8

244,8

51.3% Funding on the domestic market22.8% Funding on the international market25.9% Funding for trade finance

Origens of Funding(R$ Millions)

(R$ Millions)Total Funding

2008

8.829,3

2007

6.936,3

2006

4.595,9

2005

2.924,5

27.3%



External fundingFunding for trade finance transactions totaled R$ 2.283,5 million, an increase of 47.3%. The impact of the Real’s devaluation against the dollar was 31.9% in 2008.

Fluctuations in the US currency do not create relevant risk for the institution, since the funds raised for trade finance transactions carry a “natural” hedge with the asset transactions. In the case of funds raised abroad by issuing securities, on-lending and subordinated debt, and which serve as funding for longer-maturity credit transactions, the Bank enters into hedge transactions as a means of mitigating currency mismatch risk.

Maturity Profile of External Funding MaturityDate

Amount (US$ MM)

Trade Finance Syndication – tranche A March 2009 65

A Loan IIC (IADB) April 2009 5

B Loan IIC (IADB) April 2009 18,5

EMTN Program – US$ 1 billion September 2009 150

Trade Finance Syndication – tranche B March 2010 45

EMTN Program – US$ 1 billion April 2010 180

B Loan (IADB) August 2010 80

B2 Loan (IADB) August 2011 90

IFC Note July 2012 40

A Loan (IADB) August 2012 20

Subordinated debt (possible exercise of the call in March 2011) March 2016 120

59,2

8,6

25,56,7

213,12

30,96

91,824,12

Tempo de casa

196,2

282,6

321,48338,4

343,44

347,04360

164,52

283,68

354,24360

25,9

22,8

51,3

360

266,76

184,68

351,72

176,4

94,68

356,72

312,8

244,8

68.0% Companies18.9% Individuals

12.2% Institutional Investors 0.9% Financial Institutions

Term Deposits by Maturity Date (%)

Total funding (R$ millions) 4Q08 4Q07 % DIFF.

Local currency funding 4.533,6 4.301,1 5.4

Deposits 4.211,0 4.255,4 -1.0

- Term deposits 3.610,4 3.676,6 -1.8

- Other deposits (interbank, savings, call and others) 600,6 578,8 3.8

Credit Rights Investments Funds – FIDCs 201,1 - -

Debentures funds 112,1 - -

Obligations for on-lending from BNDES 9,4 45,7 -79.5

Funding for trade finance 2.283,5 1.549,8 47.3

Funding in foreign currency 2.012,2 1.085,4 85.4

Obligations for securities abroad 1.010,3 499,2 102.4

Obligations for on-lending from abroad 483,1 214,5 124.9

Subordinated debt 285,7 214,5 33.2

Deposits (term and call) 233,1 156,9 48.6

Total 8.829,3 6.936,3 27.3



The Bank's funding structure carries longer tenors than those of the loan portfolio. Loans when compared with funding, both maturing within 90 days, showed the following composition: Loans – R$ 3.687,5 million / Total funding - R$ 2.535,0 million.

Treasury policyThe high volatility of the foreign exchange market has had no significant impact on the institution. All funds raised in foreign currency are hedged, using cash flows that are appropriate for the Reais-denominated asset transactions. As of December 31, 2008, the Bank had no currency mismatches which might have a relevant impact on its results.

The term structure of assets and liabilities meant that even with tighter liquidity as from September, cash flow remained balanced, since existing gaps enabled assets to be received before the liabilities were due. Therefore growth in available cash was constant, notwithstanding the higher cost of maintaining it. Forward-looking cash analyses, even in stress scenarios, indicate that liquidity risk will reduce with time.

Attention should also be drawn to the conservative policy involving derivatives contracted with clients. These dollar option transactions, which at September 30, 2008 totaled around R$ 460 million (notional amount), were totally hedged. Their short-term nature, plus the quality of the clients who undertook them, enabled us to receive them in full by balance sheet closing date. There were no difficulties in receiving the margin calls on these transactions.

Result of financial intermediationThe result of financial intermediation in 2008, taking into account loss provisions, was R$ 762,5 million, up by 36.9% in relation to the R$ 552,4 million recorded in the same period of 2007. This performance arose from a higher average balance in the credit portfolio, in spite of the higher cost of funding and increased expenses for provisions observed in the fourth quarter of the year.



(R$ millions) 2008 2007 % DIFF.

Revenue from financial intermediation 2.003,6 1.393,7 43.8

Loans 1.691,1 1.054,2 60.4

Leasing transactions 12,8 2,8 359.5

Revenue from securities 186,0 249,5 (25.5)

Revenue from foreign exchange 76,3 67,1 13.8

Exchange variation 10,6 3,6 197.6

Revenue from mandatory investments 26,8 16,5 62.1

Expenses with financial intermediation (1.247,3) (841,2) 48.3

Funding in the market (746,3) (576,1) 29.5

Loans, assignments and on-lending (86,5) (88,4) (2.1)

Revenue from Derivative Financial Instruments (137,2) (38,0) 261.5

Provision for losses on credits (277,3) (138,7) 100.0

Result of financial intermediation 756,3 (552,5) 36.9(R$ Millions)Net Earnings

2008

320,5

2007

181,9

2006

104,1

2005

82,1

76.2%PerformanceIn 2008, net income totaled R$ 320,5 million, representing growth of 76.2% in relation to 2007. ROAE for 2008 was 19.7%, 1,0 p.p. above the previous year's return.

Net income for the third quarter of the year stood at R$ 20,3 million. During this period, the Bank opted to considerably expand credit loss provisions by allocating an additional R$ 101,6 million (gross) to these provisions.

This prudential measure deprived the year 2008 of an important part of its results, while also squeezing performance indicators as a whole. However, it afforded a global volume of provisions which ensured more appropriate coverage ratios for the current scenario, as already mentioned. Thus the institution maintained a sound performance (growth of 76.2% in net income compared to 2007), laying the path to the future with reserves in keeping with its possible requirements.

Shareholder's equityAt the close of the financial year, Shareholders' Equity stood at R$1,685.8 million, growth of 7.8% in the year. Basle RatioThe rules of the Central Bank of Brazil require banks to maintain reference equity equal to or exceeding 11.0% of risk-weighted assets.



As from the third quarter of 2008, the calculation of the Basle Ratio began to take into account the Basle II concept, which incorporates new risk factors for the purposes of minimum capital requirements.

The Basle Ratio at the end of the year was 19.34%, 3.14 p.p. above that registered in the third quarter. Bearing in mind the risks, the improved index is justified by the reduction in the volume of risk-weighted assets arising from the reduction in the credit portfolio; and by the 1.06 p.p. increase in margins, on account of the reduction in the tax credit weighting factors – from 300% to 100% (Circular n° 3.425/08).

Bearing in mind the reference equity, there was also a positive impact under Tier I, an additional 0.59 p.p. on the margin following removal of the effect of the expanded PDD. The impact of this removal on amounts net of taxes was R$ 60.969 thousand, as established by Central Bank Resolution No 3.674/08 and, under Tier II, exchange variation on subordinated debt expanded the index by 0.52 p.p. The Bank qualifies within the limits established in CMN Resolution No. 2.099/94, as amended by Resolutions Nos 3.444/07 and 3.490/07 and Circular No 3.360/07.

BICBANCO Multiple Bank and Consolidated - 2008Description Amount allocated Risk

Portion of credit risk – (Pepr) 1,075,663 -

Portion of exchange risk – (Pcam) 51,343 -

Portion of interest rate risk – (Pjur) 2,206 -

Portion of commodities risk – (Pcom) - -

Portion of risk from shares and transactions classified as trading – (Pcas)

1,321 -

Portion of operating risk – (Popr) 10,714 -

Reference Equity Required (PRE) 1,141,247 -

Reference Equity – Level I and II 2,006,152 -

Risk – 11% under (PR) - 220,677

Basle Ratio - (% Risk factor/PRE) - 19.34%

Basle Movement (%) 4Q08 4Q07

Initial Basle Ratio 16.2 16.4

Variation in risk-weighted assets 2.9 (3.0)

Variation in operating risk - -

Variation in exposure to market risk:

- Foreign exchange rate (0.7) -

- Interest rate - 0.2

Variation in reference equity:

- Tier I 0.4 5.8

- Tier II 0.5 -

Final Basle Ratio 19.3 19.4

(R$ Millions)Shareholders' equity

2008

1.685,1

2007

1.563,4

2006

527,3

2005

505,4

7.8%



Banco Industrial E Comercial S.A. - ConsolidatedVALUE ADDED STATEMENT 2ND SEM/08 2008 2007

1. Revenue 1,745,481 2,232,867 822,253

1.1 Financial intermediation 1,952,499 2.523,354 968,575

1.2 Providing services 25,872 53,805 42,869

1.3 Provision for doubtful debtors - Reversal (constitution)

(202,701) (277,265) (138,667)

1.4 Others (30,189) (67,027) (50,524)

2. Expenses with Financial Intermediation 1,382,047 1,489,804 277,359

3. Inputs acquired from third parties 52,495 90,639 98,292

3.1 Materials, energy and others 15,088 30,178 27,188

3.2 Third-party services 31,052 55,986 65,728

3.3 Loss/Recovery of assets 6,355 4,475 5,376

4. Gross Value Added (1-2-3) 310,939 652,424 446,602

5. Depreciation, Amortization and Depletion 10,083 18,150 8,398

6. Net Value Added (4-5) produced by the entity 300,856 634,274 438,204

7. Value added received via transfer 17 191 70

7.1 Equity pick-up result - - -

7.2 Others 17 191 70

8. Value added to be distributed (6+7) 300,873 634,465 438,274

9. Distribution of value added 300,873 634,465 438,274

9.1 Personnel 70,480 145,654 115,411

9.1.1 Direct remuneration 59,487 125,185 99,889

9.1.2 Benefits 6,766 12,876 9,777

9.1.3 (Employee Dismissal Fund) F.G.T.S. 4,227 7,593 5,745

9.2 Taxes, fees and contributions 102,440 160,660 135,218

9.2.1 Federal 97,729 152,084 130,208

9.2.2 State 135 429 417

9.2.3 Municipal 4,576 8,147 4,593

9.3 Remuneration of third-party capital 4,031 7,620 5,704

9.3.1 Rent payments 4,031 7,620 5,704

9.4 Remuneration of own capital 123,922 320,531 181,941

9.4.1 Equity interest 47,720 95,440 53,800

9.4.2 Dividends 31,000 31,000 -

9.4.3 Retained earnings 45,202 194,091 128,141



Management of client relations at all service points is marked by transparency in business, an ethical approach and concern and respect for the client. The Bank offers a wide range of financial products, while providing a range of products and services suitable for the profile of each client in search of quick solutions and qualified financial advice. The Bank is oriented towards creating value for its clients while recognizing the individual role of each one. In this sense, planning, business processes, communication, technology and people are all aligned.

BICBANCO's professional teams are trained and specialized in tailor-made services for the individual requirements of each client in all segments. Professionals who deal with investor clients and qualified investors are certified by the National Association of Investment Banks (ANBID) and by the National Association of Financial Market Institutions (ANDIMA), pursuant to the requirements of the CVM, the rules of Central Bank Resolution 3.158, and the ANBID self-regulatory code.

The Bank also operates a policy for disclosing information to the market, as defined by the Securities Exchange Commission – CVM. Compliance with this policy is assured by information security rules and internal controls.The behavior and attitude of its employees are guided by the principles of ethics enshrined in the Code of Ethics.

The aim of client service policy is a relationship that fulfills their expectations with a high degree of satisfaction in regard to conduct and efficacy in providing services.

04. Client Relations

Management of clientrelations at all service points

is marked by transparency in business, an ethical approach and concern

and respect for the client

The aim of client service policy is a relationship that fulfills

their expectations with a high degree of satisfaction in regard

to conduct and efficacy in providing services



Communication with the Client

The Bank also enjoys good relations with the press, providing information of public interest regarding the institution and its performance on the economic scenario, in addition to the commitment to transparency, both in its activities and in its relations with clients and other stakeholders.

In 2008, relationship marketing actions were the drivers behind events in the hospital, agribusiness, industry, trade and services sectors, contributing to developing new business and regional development by creating income and jobs.

The Bank effectively participates in class entities and institutes that promote other sectors, like the Brazilian Institute of Finance Executives – IBEF.

In its advertising campaign, the Bank published and celebrated its 70 years of business in the financial market, reiterating its concepts of tradition and modernity. The advertisements were carried in the national press and intended for the institution’s target public. Just like its marketing actions, the Bank's advertisements adhere to the rules established by the National Council for Advertising Self-Regulation.

Given the legislation involving service to the public where communication procedures are concerned, BICBANCO adheres to the rules and regulations established by the regulatory bodies, principally in complying with the requirements of the Central Bank of Brazil, Febraban, (the Brazilian Bank Federation), PROCON (the consumer protection agency) and others. Thus it provides its clients with prompt service while analyzing conformity with the rules when developing and updating its communication material.

Branch Network

BICBANCO is present in 28 important Brazilian cities in 17 states and the Federal District, through its 38 service outlets. This way, it is able to cover a large part of Brazilian territory, mainly the largest manufacturing and economic centers.

In order to ensure constantaccess to information and

the features involving products and services, several communication channels are

available to clients



Website

The website provides complete information on the institutional profile, a description of products and services and the branch network, and permits access to the financial statements on a quarterly basis.

In the specific area dealing with Investor Relations, visitors can also enjoy web casts, results releases and technical evaluations and material about the institution's performance.

CSU

The Customer Service Unit – CSU is the communication channel to where contacts with the institution are directed by telephone and e-mail, regarding clarification of doubts, or for sending suggestions or registering criticisms and complaints. In 2008, there were 2,686 enquiries, of which 1,893 by telephone and 793 by e-mail.

In addition to the Institutional CSU, a payroll-deductible loan CSU was created, an exclusive service intended for clients who utilize payroll-deductible loans, in operation since December of 2007, with the aim of making client service more effective. During 2008 there were 61,321 enquiries, of which 55,649 by telephone, 4,879 personal appearances and 793 e-mail enquiries.

Ombudsman's Department

The Bank also places at its clients' disposal an Ombudsman's Department, which deals independently with matters which clients or interested parties believe have not been satisfactorily resolved.

Although the Bank has no specific study into the degree of its clients' satisfaction, all complaints received were monitored and satisfactorily resolved in 2008. In the same period, the Ombudsman's Department detected no complaints regarding loss or violation of client data.

Telephone E-mail Personal Total

SAC 1,893 793 0 2,686

SAC CDC 53,756 0 4,879 58,635

Total 55,649 793 4,879 61,321



BICBANCO recognizes the value of its intangible assets, by investing in staff development and advanced technology. The aim is to maintain the quality of the work environment, constantly improving methods and processes, expanding and retaining knowledge and strengthening its option for a management model based on preserving the institutional image as the basis for business sustainability.

The priorities within the institution's strategic planning are: developing the knowledge of its teams of executives and employees, whether through training or updating; investment in infrastructure, processes and technology; and the directives for maintaining its image and reputation based on corporate ethics.

The value of the BICBANCO brand and the trust inspired by its image of tradition, modernism and dynamism demands unequalled treatment based on criteria and care, by applying good corporate governance at all levels of the organization.

In this organization we look on building intangible equity as a perennial activity. The efforts to maintain management strategy focused on promoting intellectual capital and learning within the organization has proven to be fundamental for facing up to the institution's own challenges and those deriving from the financial system and from the Brazilian and global economy.

05. Intangible Assets

BICBANCO recognizesthe value of its intangible

assets, by investing in staff development and advanced technology



Human Resources

Our human resources management policy aims to retain talent while maintaining a healthy work environment, with total respect for our professionals, fairness in decisions and in matters of remuneration and in how we value diversity.

The organization's headcount closed the year 2008 at 814 employees hired under the Brazilian labor law system (CLT), all of them under contracts of indeterminate duration. This is practically the same level as 2007, although the figure fluctuated somewhat in the interim period, on account of adverse market conditions.

The 311 women represented 38.2% of the Bank's headcount at the end of 2008, an increase of 5.8% in relation to 2007, although the headcount as a whole has remained virtually unchanged. There was also a 27.0% increase in the number of women in leadership and senior management positions. In relation to colored people, the total number of employees at the end of 2008 was 76 or 9.3% of headcount and 5.5% of these in leadership positions.

Professionals of all races – whites, Afro-Brazilian, mulattos and Asians – are present at all hierarchical levels. The Bank puts priority on respect for differences and requires the same from its employees in regard to the internal and external public, whatever the nature of that difference might be.



Training and Development

In order to improve and raise the value of its staff, the Bank's training programs enhance the abilities of its employees to carry out their functions in the productive and efficacious manner the institution demands.

BICBANCO encourages and supports staff development, since it believes that educational qualification leads to professional improvement.

A similar action in the same vein involves scholarships that vary from 50% to 100% of the value of the course. The purpose is to increase the number of employees with higher education and, thereafter, to ensure that these professionals become specialists through postgraduate, MBA and Masters Degree courses, including English language studies. Currently 61% of employees have a higher education, of whom 106 at postgraduate, masters or doctorate level. In 2008, the bank provided scholarships, investing in employee education, totaling R$ 432,456.52.

The Bank holds courses, workshops and lectures on much wider-ranging themes involving the different departments and which affect the entire organization, like information security, prevention of money laundering, information technology and ethics, among others. It also offers courses that provide certification for its professionals in specific areas, whether mandatory or not. 100% of the professionals who deal with investor clients have financial market certification from ANBID.



DiversityNumber of Employees

By Geographic Region

By Race By Age Group (years)

By Time of Service(years)

North: 1 Asians: 16 16 to 24: 56 Up to 5: 480

Northeast: 159 Whites: 722 25 to 35: 236 6 to 10: 70

Mid-West: 51 Afro-Brazilians: 11 36 to 45: 306 11 to 20: 207

Southeast: 531 Mulattos: 65 46 to 55: 190 Over 20: 54

South: 72 Over 56: 26

Our 814 employees contribute a variety of personal and professional experiences. The indicators reflect a company in the process of renewal, but at the same time one which recognizes the value of its employees’ experience.

Freedom of union associationIn order to ensure union freedom within the organization, the Bank endorses the provisions of the Collective Bargaining Agreement contemplated in the following clauses: (32) Union leaders are guaranteed remuneration and are free to attend; (33) Free access to the Bank's premises for union representatives, including notification of matters of interest to employees; and (34) availability for unionization campaigns.

Currently 100% of the employees are covered by collective bargaining agreements.

BenefitsAs a means of motivating and retaining employees, BICBANCO offers the following benefits, both for those employees in full-time and part-time employment: Optional Health Plan; Meals Allowance; Food Basket Allowance; optional Dental Plan; Daycare/Babysitter Allowance; Allowance for Disabled/Invalid Children; Funeral Allowance; Nighttime Travelling Allowance; Transport Allowance; Supplementary Social Security Illness Allowance and Illness Allowance; Group Life Insurance; Life and Invalidity Insurance for Cashiers; Executive Life Insurance; Education Insurance; Nighttime Working Supplement; Clearing House Operator Bonus; Maternity Leave; and Legal Absences.

In the case of employees who leave, the Bank takes into account, for compensation purposes, the time of service and also assists them with money intended as "Professional Re-training Allowance".



Inclusion of Persons with DisabilitiesFor more than three years, 28 people have been part of the Program for Inclusion of Persons with Disabilities, representing 3.4% of the total employees. This program aims to provide all employees with equal opportunities and a healthy learning experience.

Young Apprentice Program The aim of this program is the inclusion of adolescents and young adults between the ages of 14 and 24 in the job market. The program, which benefits 17 apprentices, is being developed in partnership with the ESPRO – the Society for Professionalization through Social Learning – with a weekly workload of 6 hours of theoretical study and 24 hours on-the-job learning, and has a duration of two years.

Internship ProgramThe Internship Program consists of a set of activities involving social, professional and cultural study, through which the student participates in real life and work situations, under the responsibility and coordination of the teaching institution.

The program is dedicated to the integration of students at higher education level, preparing these young people for their first job by supplementing what they have learned through practical experience. At the end of 2008, the program had 23 interns.



Corporate Ethics

BICBANCO reiterates its intention to conduct its business in a manner that respects the highest standards of integrity and the principles of ethics. These principles have been redefined in the 2nd Edition of its Code of Ethics, published in 2007, following reformulation by a group of employee representatives.

The ethics references described in the new code are benchmarks for the behavior of all BICBANCO employees in regard to the most diverse interested publics, society and the environment.

The ethics principles of the new Code:· Consideration for others – which means integrity in personal behavior,

non discrimination against people, mutual respect and proper treatment between employees and other interested publics;

· Commitment to transparency – enhances the visibility of the criteria underlying decisions and actions, so that agreements are entered into in good faith and their terms are complied with;

· Respect for laws and regulations – maintaining proper alignment with Brazilian legislation and internal rules, so as to preserve the appropriateness of the transactions and accountability;

· Corporate Social Responsibility – underlines strategies and policies by strengthening the entities comprising the financial industry and by adding value for the interested publics.

Communication with the CommitteeBesides the institutional means of communication, BICBANCO uses another important channel by which everyone can give their opinion, relate facts or forward pertinent demands to the Ethics Committee. The address for communication of this nature is: [email protected].



Brand and Image

Throughout its 70 years, BICBANCO has strengthened its image of tradition and modernity with the aim of consolidating its position of credibility in line with the market and current times.

In this context, it draws up policies and directives in which prevalence is given to the organization’s image, supported by the commitment to transparency with all publics.

The brand consolidation plan comprises: development of advertising campaigns, internal communication, investment in media, press relations and, above all, direct involvement in the market and with clients.



Institutional Participations

BICBANCO participates in several entities, committees and discussions, disseminating its values and influencing decisions. Within Febraban, it sits on the committees and sub-committees, being represented by specialists in human resources, diversity, credit, risk and sustainability, among others. Its representatives are also active as officers of the IBEF (the Brazilian Institute of Finance Executives) in Campinas and Brasília.

The Vice President for Operations at BICBANCO, Milto Bardini, is part of the Executive Board and the Consulting Board of the ABBC - the Brazilian Association of Commercial Banks for the 2008/2010 term of office, contributing to the adoption of strategies and the sustainability of small and mid-size banks.

Information Technology

Technological upgrading is part of full-time strategic and tactical planning at BICBANCO, in addition to the hiring and training people to operate computerized systems and information technology. The Bank intends to avail itself of leading-edge technology in its activities within the banking industry, in line with the quality of automated systems which the national financial system demands.

Investments in technology are directly related to security, quality and business results. This concept is reflected in a modern communications network, including transmission of data, voice and video by means of network convergence. This system connects the branches to the main data processing site located at the Bank's head office and to the IBM data processing contingency site which functions as a backup site.

Contingency PlansThe Bank's contingency plans are constantly perfected and are an integral part of the Business Continuity Plan. Replicating on-line data ensures the integrity of the information and the systems. In support of the plans, each critical tool is periodically tested and audited, and where risks of interruption are examined, new contingency plans are drawn up.



Mobility ProjectThe solution for optimizing the time of the professionals on our commercial team, in order to improve their efficiency ratios, lies in mobility. This solution enables commercial area executives to operate securely and in real time, without necessarily having to be in the work environment. The use of mobile systems has a direct impact on how business is done, because decisions are taken quickly.

In Latin America, the Bank is a pioneer in the use of mobile phones for taking decisions and closing deals. The mobile system is recognized by the technology industry as a sustainability policy because it is ecologically efficient, in addition to being the benchmark in technology applied to business management for a variety of sectors of the economy.

Governance in ITThe importance of innovation in information technology development has made it necessary to align IT management with governance practices. The work methodology prioritizes transparency and the creation of value, which harmonize technology processes with closing business. This leads to investments in technology infrastructure and the development of the appropriate tools for controlling the operations and for security and compliance with regulations, in addition to supporting the institutional image in the eyes of our most diverse interested publics.



As governance practices have evolved, so the Bank has advanced in its business sustainability process, in line with growing concern on the part of the international financial community regarding the environment. Aware of its role in building a more harmonious world for present and future generations, BICBANCO seeks to operate through alliances and to foster sustainable development for society, while at the same time maximizing shareholder return, ensuring consistent and sustainable growth and adding value to the community and the environment in which the Bank finds itself.

Spanish consulting company, Management & Excellence recognized BICBANCO in its study as the most sustainable (mid-cap) bank in Latin America. The results of the study were published in the April 2008 edition of Latin Finance magazine.

In order to benchmark all its sustainability initiatives, in 2008 the Bank created the "Blue Movement" trademark. Water symbolizes life on the planet and is associated with environmental conservation.

For BICBANCO, adopting corporate governance practices enables us to enhance our relationship with our strategic publics, while consolidating its perennial nature and creating value. Furthermore, it enables shareholders to control the institution and effectively monitor what the executive management is doing.

06. Sustainability

BICBANCO seeks tomaximize shareholder return,while at the same time ensuring

consistent and sustainable growth and adding value to the community and the environment in which the

Bank finds itself

06. Sustainability


Corporate Governance Rating

Besides recognizing BICBANCO as the most sustainable mid-size bank in Latin America, in July 2008, the consulting company Management & Excellence S.A. awarded the Bank an overall AAA rating in its evaluation of Corporate Governance, covering the following points: Ethics, corporate social responsibility, sustainability, governance and transparency.

Internal Public

The Bank recognizes the social and cultural diversity of its employees, and provides a work environment which affords professional opportunities while fostering the institution’s own success through the successful activities of its internal audience. Relations with employees are based on the tripod of training, profile and quality of life, while respecting the directives of our updated institutional code of ethics.

Quality of life in the work placeIn addition to the benefits granted, BICBANCO has established internal policies involving respect for staff, the functional ability of each employee, prohibition of excessive working hours and proper respect for vacation entitlement. The Bank also maintains enhancement programs, in addition to a salary policy compatible with the market, while fostering healthy practices through permanent campaigns for quality of life and the prevention of illness, for example: vaccination campaigns, care for pregnant mothers, actions for preventing repetitive strain injuries – RSI, work-related musculoskeletal disorders and workplace exercises as a means of avoiding work-related illnesses. The Internal Accident Prevention Committee (CIPA) does campaigns on World AIDS Day in addition to lectures on stress, diabetes, heart disease and others.

Assistance ProgramsBeneficiaries of the Programs

Assistance Programs Employees Family and Relatives

Members ofthe Community

Education/Training Program Yes - -

Counseling Yes - -

Risk Control/Prevention Yes - -

Treatment Yes Yes -

06. Sustainability


Profit sharingThe Bank has a profit-sharing program intended for its employees and which exceeds its union obligations by recognizing the participation of its employees in the positive results of the institution.

Prevention of illegal acts

In line with global actions against money laundering and with current regulations, a manual was prepared entitled "O meu Banco Pratica Atitudes e Procedimentos na Prevenção à Lavagem de Dinheiro" (My Bank Adopts Attitudes and Procedures for Preventing Money Laundering), which presents information for a better understanding of the subject, in addition to a practical guide to attitudes, and is available to all employees via the Intranet.

BICBANCO prevents and combats illegal acts, such as: money laundering, illegal currency transfers and suspicions of corruption as part of its commitment and institutional responsibility to society. To this end, it provided training for 100% of new employees in 2008. It is worth pointing out that 100% of the other employees were trained over recent years and they are regularly updated by means of internal campaigns.

The Bank has registered no incidents where employees have been dismissed or agreements with partners canceled on account of corruption, and there were no legal actions against the organization for corrupt behavior in 2009.

06. Sustainability


The Environment

Concerned with the environmental question, BICBANCO has been improving its controls, year after year, thereby consequently increasing its share of the contribution to environmental conservation. Stock replacement control is based on a system that manages the use of material by means of consumption track record. Orders are placed via monthly requisitions which are validated and fulfilled. The system later issues reports that enable consumption management, thus encouraging rationalization by means of reduction targets and monitoring any wastage.

In line with best market practices, the Bank has incorporated the use of recycled paper, with measurement controls on the volume used. In 2008, 40,100 kilos were used, of which 39,000 kilos originated from recycling, representing 97% of the organization’s total consumption. BICBANCO does not provide products or services that consume energy.

Under an agreement with the Mayor's Office of the city of Uberlândia, State of Minas Gerais, under the "Adote uma Praça ou Canteiro Central" (Adopt a Square or Central Reservation) project, the Bank was responsible for maintenance and conservation of Jair Moreira Rodrigues Square, which intersects with Av. Rondon Pacheco in the Lidice district of Uberlandia. BICBANCO had the opportunity to invest in infrastructure for the benefit of the community of the square, intended for leisure and for watching nature. In 2008, a total of R$ 3.000,00 was invested over six different months.

06. Sustainability


International commitments

At the end of 2008, financings and credit facilities with socio-environmental caveats and monitoring totaled approximately R$ 547,2 million, contracted with the Interamerican Development Bank (IDB), the International Finance Corporation (IFC) and the Inter-American Investments Corporation (IIC), serving over one hundred clients selected under the strict socio-environmental criteria of these multilateral financing agencies. These facilities are applied in a balanced manner in different segments of the economy, benefiting mid-size and large companies.

Responsible credit

BICBANCO has created strategic partnerships in formulating tools used in evaluating the social and environmental variables within the process of granting credit. To that end, one of the most important actions was the partnership created at the end of 2006 with the Interamerican Development Bank (IBD), ensuring technical advisory on implementing credit analysis criteria which take into account social and environmental variables.

Development of the Environmental Management System (SGA), which will enhance the Bank's credit risk management and reputation, is another action in this virtuous circle. This system will enable us to get to know our clients better, their actions and attitudes in relation to the environment and society, in order to meet their expectations for financing and investment.

BICBANCO has created strategic partnerships in formulating tools used in evaluation the social and

environmental variables within the process of granting credit

06. Sustainability


BICBANCO invests in social and cultural development with the aim of contributing to transforming the surrounding communities, improving people's quality of life and access to culture and education, in favor of a fairer and more participative society.

The evaluation of social and cultural action projects seeks to understand the requirements of each community while verifying whether they adhere to the areas to which the Bank has given priority. At the end of 2008, R$ 3,9 million had been invested in 18 projects, of which R$ 2,8 million in projects supported by the Rouanet (Cultural Incentive) Law; R$ 580,000 to funds controlled by municipal, state and national Councils for the Rights of Children and Adolescents; R$ 300,000 in projects under the Sports Incentive Law; and R$ 220,000 in other fiscal incentives projects.

An additional R$ 1,3 million was invested in non incentive law-supported projects, with the aim of social and economic development and other initiatives intended for cultural exchange and promotion of the arts.

07. Social and Cultural Actions



Rehearsing for a better nation Since 2006, the Bank has provided support for cultural actions to create a theater-going public using funds under the Rouanet Law in partnership with the Municipal Department of Education, artists and educators. This is offered voluntarily to children and young people registered in public schools on the periphery of São Paulo. The action had already involved approximately 6,000 children and150 educators by the end of 2008. Concepts that focus on discipline are taught in the workshops, so that the children can develop individually and collectively as citizens better prepared to carry out their role in a democratic society. Centenary of the Japanese immigration in BrazilTo celebrate the centenary of the Japanese immigration in Brazil, BICBANCO sponsored the Expo IMIN 100 exhibition in Londrina. The homage paid to the Japanese community resulted in an intense cultural program of shows intended for valuing the tradition, customs, legacy and contribution of the Japanese people to Brazil. Involving more than 100 cultural entities and associations from the local Japanese community, the event encouraged the exchange of experiences, knowledge and ethnic groups.

Solidarity as the conductor of peaceOrganized by the non governmental organization, Estação da Luz (the Station of Light), the VI Exhibition of Transcendental Theater chose peace as the conductor, while valuing culture for social purposes. In the capital of the State of Ceará, the public were treated to theatrical shows and open presentations in neighborhoods and municipalities in the interior of the state, in addition to art exhibitions, musical shows and theater workshops. The financial revenue, also transformed into non perishable foodstuffs, was handed over to the following charity institutions in Ceará: Agência da Boa Notícia, Movimento Internacional pela Vida e Não-Violência (Movida) and the Aracê Institute, Associação de Caridade Samaritanos de Jesus (the Samaritan Charity Association of Jesus), the Lino Allegri Community School and the Socrelp, a local garbage recycling community group.

Photography transforming daily life in artBICBANCO sponsored the launch of the book "Possível Paisagem" by photographer Salete Goldfinger. The book contains urban landscapes from the different continents of Latin America, Europe, the Middle and the Far East, against the backdrop of the large metropolises and homogenous scenarios fragmented by day-to-day scenes in movement.



A rare meeting of culture in popular musicSponsorship of the nationwide tour by singers Maria Bethânia and Omara Portuondo led to the presentation of 22 shows across Brazil. The artistes came together to produce an original interpretation of a musical, with individual solos in Portuguese and Spanish, recognizing the value and democratic nature of popular culture by means of exchanges between Brazil and Cuba.

Christmas SolidarityIn 2008, the staff of the Central Administration and the branches in São Paulo donated 184 toys, which were delivered to the following charity institutions: Wantuil de Freitas de Deus Cristo e Caridade Spiritual Center; Jesus Amor e Caridade Home- Larzinho and the Maria Flos Carmelli Association. The staff of BICBANCO has repeated this voluntary gesture of solidarity for the last 10 years.

Democratizing culture throughthe Brazil-Cuba exchange



Building the Future by Training Young Sporting TalentBICBANCO supports the Sports Association for the Disabled – ADD in training the first Brazilian juvenile wheelchair basketball team. This type of sport adapted from the base provides athletes and their family members with access to programs of continuous evaluation, psychological, dietary, social and educational monitoring, in addition to guidance and assistance in professional training. Sponsored since 2006, the team of children and adolescents has already shown its technical and tactical abilities to compete in the third division of the São Paulo Championship.

In the cinema, the example of life dedicated to humanitarian causesWith the support of BICBANCO, the major feature film "Bezerra de Menezes - O Diário de um Espírito" (Bezerra de Menezes – The Diary of a Spirit) was shown at over 65 movie theaters in different Brazilian cities. Based on actual facts, the film tells the story of a doctor who dedicated his life to serving his fellowmen and the nation as a devotee of humanitarian causes.



A partnership for educationUnder the partnership entered into in 2007 between the Ayrton Senna Institute and BICBANCO, programs for encouraging education in the State of Mato Grosso, like "Acelera Brasil" (Step on the Gas, Brazil) and "Se Liga" (Pay Attention), addressed the lag in elementary education within the public school network in the state by encouraging learning and eradicating repetition and drop-out and ensuring that students are successful in their school career.

Students taking part in the Acelera Brasil program read an average of 40 books a year. The average approval rate in those states where the program has been adopted stood at 99.5%. These educational programs are helping to change the reality of education in Brazil, giving thousands of students the opportunity to experience what is theirs by right: to study and move to the next grade.

Projects Amount in Reais

18th “Nordeste, Cangaço e Cinema” Festival Cine Ceará 150,000.00

The book “Ciclos Econômicos do Ceará” 20,000.00

Maria Betânia and Omara Portouondo Show 1,158,000.00

The movie “Bezerra de Menezes – O Diário de um Espírito 60,000.00

IMIN 100 – The Centenary of Japanese Immigration Exhibition 100,000.00

Book “Possível Passagem” - Complement 40,000.00

“Meninos do Morumbi” Association 50,000.00

“Ensaiando um País Melhor” Cultural Action 200,000.00

“Na Casa da Ruth” Cultural Action 50,000.00

The play “Dá Pra Baixar o Som por Favor?” 800,000.00

State of Ceará Audiovisual Cultural Production 78,175.85

“Brasilidade” (Brazilianess) 50,000.00

Círculo de Esporte e Cidadania (Sport and Citizenship Circle) 300,000.00

Donation to COMDICA Fortaleza 180,000.00

Donation to Bento Quirino Daycare Center 80,000.00

Non directed donation – São Paulo City Hall 400,000.00

Donation to “Casa Hope” 100,000.00

Donation to the Ingo Hoffman Institute 40,000.00

TOTAL 3,856,175.85



The awards obtained by BICBANCO in 2008 came from respectable institutions in the Brazilian and international markets that recognized the excellence in the Bank's policies on sustainability, Human Resources, the quality of the work environment and the projects it supported.

Sustainability

The Spanish consulting company, Management & Excellence rated BICBANCO the Most Sustainable Mid-Cap Bank in Latin America in 2008. The consulting company’s annual ranking evaluated 330 corporate practices in the fields of sustainability, corporate governance, ethics, corporate social responsibility and transparency internationally accepted by major entities of the financial market and stock exchanges. In 2007, the Bank had already been considered the Most Sustainable Mid-Size Bank in Brazil and the second in Latin America in its segment.

Management & Excellence, headquartered in Madrid, is a company that specializes in producing studies and ratings on sustainability. The results of the study were published in the April Edition of Latin Finance magazine, specializing in capital markets and banks in Latin America.

Among the 150 Best Companies to Work For in Brazil

For the second year running, BICBANCO featured among the best companies to work for in Brazil. Recognition was awarded by the Você S/A – Exame Guide following disclosure of the results of the analysis undertaken by the USP-FIA. This publication, produced in Brazil since 1996, is considered the country's largest organizational climate study, and is a highlight in the corporate world for bringing employee recognition.

The score of 81,5 in the work environment quality index (IQAT) was ascertained by the employees themselves in the items: "they identify with the company; they are satisfied and motivated; they believe they can progress and they approve of their bosses". The final score for the Happiness at Work Index (IFT) was 76,4. The Guide indicated the Bank as a place where people can learn and progress in their career with quality of life.

08. Awards

08. Awards


The best middle market segment bank

The "Gazeta Mercantil" newspaper presented the Bank with the award for the best middle market segment bank, for its performance and focus on granting credit. The ranking of the 15 most notable institutions in the financial industry in 2008, the basis for choosing the winners, was drawn up in partnership with risk rating agency Austin Rating.

The most active Bank in Latin America in the GTFPforeign trade program

The "Recognition Award" as the Most Active Bank in Latin America within the Global Trade Finance Program (GTFP) was granted by the IFC – International Finance Corporation, a member of the World Bank. BICBANCO was the first Brazilian bank to sign up for and avail itself of the IFC Trade Finance program in 2006. Since then, it has already financed USD 400 million in foreign trade, availing itself of IFC guarantees. The real benefit of the program is the stable support these facilities provide, even in times of crisis, for the foreign trade of different countries.

08. Awards


2008 ADVB Top Social Award

For the second year running, BICBANCO was presented with the Top Social award granted by the Association of Sales and Marketing Managers in Brazil – ADVB, for the project entitled "Ensaiando um País Melhor" (Rehearsing for a Better Nation) – unique work being undertaken on the periphery of São Paulo over the last two years with the Bank's support through the Rouanet cultural incentive law. The previous year, the award had been granted for the project entitled in Portuguese "Só existe um bem se esse puder ser chamado de bem comum" (Only one good exists, if it can be called the common good).

Ratings

The corporate ratings indicate independent opinions in accordance with transparent and objective criteria on the ability of companies to pay their entire debt within the stipulated terms. These evaluations are free of current or potential conflicts of interest between the rating agency and the institutions evaluated.

Agencies Rating/Index

Scope/Classification Date of Balance sheet

Analisado

Data de Publicação

do Rating

Moody's

Ba2Ba1

Aa2.brBR-1Stable

Global Scale - Foreign currency deposits - Local currency depositsNational Scale - Long-term deposits - Short-term depositsOutlook

06/30/2008 08/22/2008

Standard & Poor's

BB-BbrA-Stable

Global scale inForeign Currency - Long-term - Short-termNational ScaleOutlook

12/31/2007 04/22/2008

Fitch RatingsA- (bra)F2 (bra)Stable

National Scale - Long-term - Short-termOutlook

06/30/2008 10/28/2008

Austin Rating A+ Long-Term National Scale 06/30/2008 08/27/2008

LF Rating A+ Local Currency 09/30/2008 12/03/2008

RISK-bank 10,20 Low medium-term risk (-) 09/30/2008 Jan/2009

08. Awards

Annual Social Balance Sheet / 2008

1 - Calculation Base 2008 Amount (Reais 000) 2007 Amount (Reais 000)

Net revenue (RL) 756,285 552,549

Operating result (RO) 396,863 273,101

Gross payroll (FPB) 137,688 110,680

2 - Internal Social Indicators Amount (thousands) % on FPB % on RL Amount (thousands) % on FPB % on RL

Food vouchers 6,762 4.91% 0.89% 5,286 4.78% 0.96%

Mandatory social charges 29,063 21.11% 3.84% 22,312 20.16% 0.04%

Private pension scheme 0 0.00% 0.00% 0 0.00% 0.00%

Health 4,190 3.04% 0.55% 2,828 2.56% 0.51%

Health and safety at work 0 0.00% 0.00% 0 0.00% 0.00%

Education 432 0.31% 0.06% 348 0.31% 0.06%

Culture 0 0.00% 0.00% 0 0.00% 0.00%

Professional training and development 503 0.37% 0.07% 462 0.42% 0.08%

Daycare centers of daycare allowance 277 0.20% 0.04% 224 0.20% 0.04%

Profit sharing 20,979 15.24% 2.77% 21,550 19.47% 3.90%

Others 712 0.52% 0.09% 857 0.77% 0.16%

Total - Internal social indicators 62,918 45.70% 8.32% 53,867 48.67% 9.75%

3 - External Social Indicators Amount (thousands) % on RO % on RL Amount (thousands) % on RO % on RL

Education 300 0.08% 0.04% 0 0.00% 0.00%

Culture 2,901 0.73% 0.38% 1,441 0.53% 0.26%

Health and sanitation 0 0.00% 0.00% 0 0.00% 0.00%

Sport 1,017 0.26% 0.13% 671 0.25% 0.12%

Hunger and food security campaign 0 0.00% 0.00% 0 0.00% 0.00%

Others 920 0.23% 0.12% 410 0.15% 0.07%

Total contributions to society 5,138 1.29% 0.68% 2,522 0.92% 0.46%

Taxes (excluding social charges) 139,189 35.07% 18.40% 117,704 42.44% 20.98%

Total - External social indicators 149,465 37.66% 19.76% 120,226 44.29% 21.89%

4 - Environmental Indicators Amount (thousands) % on RO % on RL Amount (thousands) % on RO % on RL

Company operations/production-related investments

0 0.00% 0.00% 0 0.00% 0.00%

Investments in external programs and/or projects

0 0.00% 0.00% 0 0.00% 0.00%

Total investments in the environment 0 0.00% 0.00% 0 0.00% 0.00%

Regarding establishment of "annual targets" for minimizing waste, general consumption in production/operating and for increasing efficiency in the use of natural resources, the company.

(x) has no targets ( ) fulfills 0 to 50% ( ) fulfills 50 to 75% ( ) fulfills 75 to 100%

(x) has no targets ( ) fulfills 0 to 50% ( ) fulfills 50 to 75% ( ) fulfills 75 to 100%

09. Exhibits

5 - Staff Complement Indicators 2008 2007

Nr of employees at the end of the period 814 823

Nr of admissions during the period 195 248

Nr of outsourced employees 136 143

Nr of interns 23 21

Nr of employees over 45 years of age 216 210

Nr of women working at the company 311 294

% of departmental head positions occupied by women 27.04% 22.93%

Nr of Afro-Brazilians working at the company 76 83

% of departmental head positions occupied by Afro-Brazilians 5.54% 8.29%

Nr of persons with disabilities or special requirements 28 27

6 - Relevant information regarding the exercice

2008 2009 Targets

Ratio of the highest to the lowest remuneration at the company

28,59 0

Total number of work accidents 1 0

The social and environmental programs developed by the company were defined by:

( ) seniormanagement

(x) senior management and line managers

( ) all employees ( ) senior management


( ) all employees

The standards of safety and salubriousness in the work environment were defined by:


( ) all employees (x) all of these + Accident Prevention Committee


( ) all employees (x) all of these + Accident Prevention Committee

Regarding freedom of union association, right to collective negotiation and internal worker representation, the company:

( ) does not get involved

(x) follows ILO rules

( ) encourages and follows the ILO


(x) will follow ILO rules

( ) will encourage and follow the ILO

The private pension plan includes: ( ) senior management

( ) senior management and line managers

( ) all employees ( ) senior management


( ) all employees

Profit sharing includes: ( ) senior management


(x) all employees ( ) senior management


(x) all employees

When choosing supplies, the same standards of ethics and of social and environmental responsibility adopted by the company:

(x) are not taken into account

( ) are suggested ( ) are required ( ) will not be considered

(x) will be suggested

( ) will be required

Regarding employee participation in volunteer work programs, the company:


(x) supports ( ) organizes and encourages

( ) will not get involved

(x) will support ( ) will organize and encourage

Total number of complaints and criticisms by consumers:

at the company 849

with Consumers Assoc. 130

“In court 500”

at the company ____________

with the Consumers Assoc. __________

in court ____________

% of complaints and criticisms heard or resolved:

at the company 100%

with the Consumers Assoc. 100%

“in court 17%”

at the company ____________%

with the Consumers Assoc. ________%

in court ____________%

Total value added to be distributed (in thousands of R$):

In 2008: 634,465 In 2007: 438,274

Distribution of value added (DVA):

25.32% Government 22.96% Employees 19.93% Shareholders 1.20% Third parties 30.59% Retained

30.85% Government 26.33% Employees 12.27% Shareholders 1.30% Third parties 29.23% Retained


Profile indicators

Ind. Group/Description * Page

1. Strategy and Analysis1.1 Statement by position holder with highest power of decision in the organization regarding the relevance of

sustainability for the organization and its strategy.06 and 07

2. Organizational Profile2.1 Organization Name. 03

2.2 Principal brands, products and/or services. 42, 43 e 44

2.3 Operational structure of the organization, including the main divisions, operating units, subsidiaries and joint ventures.

03 and 54

2.4 Location of organization's principal place of business 26 and 27

2.5 Number of countries in which the organization operates and the name of the countries in which its main operations are located or which are especially relevant for sustainability topics covered by the report.

04

2.6 Type and legal nature of the property. 04

2.7 Markets served (including geographical breakdown, industries served and types of clients/beneficiaries). 04

2.8 Size of the organization. 46, 49 and 82

2.9 Major changes during the period covered by the report involving size, structure or shareholder participation.

03

2.10 Awards received in the period covered by the report. 67, 79 to 81

3. Parameters for the Report3.1 Period covered by the report (like accounting/civil year) for the information presented. 03

3.2 Date of the most recent previous report (if applicable). 03

3.3 Report issuance cycle (annual, every two years, etc). 03

3.4 Data for contact in case of questions regarding the report or its contents. 90

3.5 Process for defining the content of the report, including: a) determining relevance; b) prioritizing topics within the report; c) identifying those stakeholders the organization expects to make use of the report.

03

3.6 Limit of the report (like countries, divisions, subsidiaries, leased premises, joint ventures, suppliers). 03

3.7 Declaration about any specific limitations regarding the scope or limit of the report. 03

3.8 Basis for preparing the report in regard to joint ventures, subsidiaries, leased premises, outsourced transactions and other organizations which might have a significant effect on the comparison between periods and/or between organizations.

03

3.10 Explanation of the consequences of any reformulations of the information provided in previous reports and the reasons for these reformulations (like mergers and acquisitions, changes in the period or base year, in the nature of the business and methods of measurement).

03

3.11 Significant changes in comparison with previous years in regard to the scope, limit or measurement methods applied in the report.

03

3.12 Table identifying the location of the information in the report. 84 to 87


4. Governance, Commitment and Engagement4.1 Governance structure of the organization, including committees under the highest governance body

responsible for specific tasks, such as establishing strategy or supervising the organization.12 to 15

4.2 Indication where the president of the highest governing body is also an executive officer (and, as the case may be, his functions within the management of the organization and the reasons for this composition.)

13 and 14

4.3 In the case of organizations with a unitary administrative structure, a declaration of the number of independent members or non executives on the highest governance body.

13 and 14

4.4 Mechanisms by which shareholders and employees make recommendations or provide guidance to the highest governance body.

11, 25 to 27

4.14 List of the stakeholder groups engaged by the organization. 12 and 13

4.15 Basis for identifying and selecting stakeholders with whom it engages. 12

Ind. Group/Description * Page

Partially met

Fully met

* Level of Adherence


Economic Performance IndicatorsInd. Topic * Page

Aspect: Economic performanceEC1 Direct economic value created and distributed, including revenues, operating costs, employee remuneration,

donations and other investments in the community, accumulated profits and payments to providers of capital and governments.

51

EC4 Significant financial help received from the government. 73 to 78

Aspect: Indirect economic impactsEC8 Development and impact of investments in infrastructure and services offered, principally for the benefit of the

public, by means of business engagement in kind or pro-bonus activities.71

Environmental Performance IndicatorsInd. Topic * Page

Aspect: MaterialsEN1 Materials used by weight or volume. 70

EN2 Percentage of materials used originating from recycling. 70

Aspect: EnergyEN6 Initiatives to provide products and services with low energy consumption, or which use energy generated from

renewable resources, and the reduction in energy requirements resulting from these initiatives.70

Aspect: Product and ServicesEN26 Initiatives for mitigating the environmental impacts of products and services and the extension of the

reduction in these impacts. 64

Performance Indicators Regarding Labor Law and Decent Work PracticesInd. Topic * Pages

Aspect: EmploymentLA1 Total work force per type of employment, work contract and region. 58 and

59

LA3 Benefits offered to full-time employees and which are not offered to part-time employees, with a breakdown of the principal operations.

58 and 59

Aspect: Relations between te Work Force and GovernanceLA4 Percentage of employees covered by collective bargaining agreements. 59 to

61

Aspect: Occupational Health and SafetyLA8 Education programs, training, prevention and control of risk to employees, their families or members of the

community, in regard to serious illness.68

Aspect: Training and EducationLA11 Programs for managing abilities and continuous learning which support the on-going employability of the

employees, and for managing the end of their careers.60 and 61

Aspect: Diversity and Equal OpportunitiesLA13 Composition of the groups responsible for corporate governance and breakdown of employees per category,

according to gender, age group, minorities and other diversity indicators. 58 and 59


Human Rights-Related Peformance IndicatorsInd. Topic * Page

Aspect: Freedom of Association and Collective BargainingHR5 Operations identified in which the right to exercise freedom of asociation and collective bargaining may be at

significant risk and the measures taken in support of this right.59

Society-Related Social Performance IndicatorsInd. Topic * Page

Aspect: CorruptionSO3 Percentage of employees trained in the organization's anti-corruption policies and procedures. 68 and 69

SO4 Measures taken in response to cases of corruption. 69

Aspect: Public PoliciesSO5 Positions regarding public policies and participation in drawing up public policies and lobbies. 54 and 63

Product Responsability-Related Performance IndicatorsInd. Topic * Page

Aspect: Labeling of Products and ServicesPR5 Practices involving client satisfaction, including the result of studies that measure this satisfaction. 55

Aspect: Marketing CommunicationsPR6 Programs for adhering to laws, rules and voluntary codes involving marketing communications, including

advertising, promotion and sponsorship. 54

Aspect: ConformityPR8 Total number of proven complaints involving violation of privacy and loss of client data. 55

Financial Services-Related Performance IndicatorsInd. Topic * Page

Aspect: Produce PortfolioFS1 Policies containing specif environmental and social components applied to the lines of business. 36

FS2 Procedures for evaluating and classifying environmental and social risks in the lines of business. 36

FS3 Processes for monitoring the implementation of client compliance with the environmental and social requirements included in contracts or transactions.

36

Partially met

Fully met

* Level of Adherence


ToThe Board of Directors and shareholders of Banco Industrial e Comercial S.A. São Paulo - SP

IntroductionWe were hired for the purpose of applying limited assurance procedures to the information on sustainability disclosed in the Annual Report of Banco Industrial e Comercial S.A. (BICBANCO) and its subsidiaries, regarding the year ended December 31, 2008 and prepared under the responsibility of BICBANCO. Our responsibility is to issue a Limited Assurance Report on the information concerning sustainability.

Procedures appliedThe limited assurance procedures were undertaken pursuant to Rule NPO 1 issued by the Institute of Independent Accountants in Brazil - IBRACON and ISAE 3000 - International Standard on Assurance Engagements issued by the International Auditing and Assurance Standards Board, both of them for assurance work not involving auditing or review of historical financial information. The procedures included: (a) work planning, taking into account the relevance, coherence, volume of quantitative and qualitative information and the operating and internal control systems that served as the basis for preparing the sustainability information contained in the Annual Report of BICBanco; (b) understanding the methodology for calculating and consolidating the indicators by means of interviews with the managers responsible for preparing the information; (c) checking, based on sampling, the quantitative and qualitative information with the indicators disclosed in the Annual Report of BICBanco; and (d) checking the indicators of a financial nature with the financial statements and/or accounting records.

Critria for preparing the informationThe sustainability information disclosed in the 2008 Annual Report of BICBanco was prepared in accordance with the directives for sustainability reporting of the Global Reporting Initiative (GRI G3) and with the iBase social balance sheet model.

10. Limite Assurance Report of the Independent Auditors


Scope and limitationsThe purpose of our work was to apply limited assurance procedures regarding the information to the sustainability management and performance indicators of BICBanco, excluding the evaluation of the appropriateness of its sustainability policies, practices and performance. The procedures applied do not represent an examination, in accordance with the rules of financial statement audits. Furthermore, our report does not afford limited assurance on the extent of future information (like for example: targets, expectations and ambitions) and descriptive information subject to subjective evaluation.

GRI - G3 Application LevelIn line with the guidelines of the GRI-G3 directives, BICBanco has declared an Application Level C in its Annual Report for the year ended December 31, 2008.

The Report provides responses to the GRI items involving its structure and performance indicators which meet the criteria established by the Global Reporting Initiative - GRI for classification as Application Level C. Therefore, the procedures applied were considered sufficient for us to certify that the application level declared by BICBanco conforms to the guidelines of the GRI-G3 directives.

ConclusionBased on our review, we are not aware of any relevant modification that should be made to the sustainability information disclosed in the Annual Report of BICBanco for the year ended December 31, 2008, in order for it to be prepared in accordance with the GRI-G3 directives, the iBase social balance sheet model and with the records and files that served as the basis for preparing it.

July 24, 2009

KPMG Auditores Independentes Regional Accounting Council - CRC 2SP014428/O-6

Alberto Spilborghs Neto Alexandre HeinermannCRC 1SP167455/O-0 CRC SP228175/O–0


11. Institutional InformationMain OfficeAv. Paulista, 1.048 - 11th floor - Bela VistaSão Paulo - SP Postal Code 01310-100

Investor RelationsTel.: (11) 2173-9190E-mail: [email protected]

Branch Network

ARACAJU - SEAv. Francisco Porto, 544 - 13 de Julho DistrictAracaju-SE Postal Code 49020-120PABX: (79) 3045 2300 - FAX: (79) 3246 4262E-mail: [email protected]

BELO HORIZONTE - MGBelo HorizonteRua Paraíba, 1.000 - 11th floor - Funcionários DistrictBelo Horizonte-MG Postal Code 30130-141PABX: (31) 2108 3700 - FAX: (31) 3261 7575E-mail: [email protected]

Minas GeraisRua Paraíba, 1.000 - 11th floor - Funcionários DistrictBelo Horizonte-MG Postal Code 30130-141PABX: (31) 2108 3700 - FAX: (31) 3261 7575E-mail: [email protected]

BLUMENAU - SCRua Sete de Setembro, 707 - DowntownBlumenau-SC Postal Code 89010-201PABX: (47) 2102 9000 - FAX: (47) 3322 3246E-mail: [email protected]

BRASÍLIA - DFSCS - Square 03 - Bl. A Unit 214/218 - S. Comercial Sul DistrictBrasília-DF Postal Code 70300-500PABX: (61) 2107 3100 - FAX: (61) 3321 5531E-mail: [email protected]

CAMPINAS - SPRua Odila Maria Rocha Brito, 527 - 4th floor - suites 44 and 45Nova Campinas-SP Postal Code 13092-110PABX: (19) 2116 9400 - FAX: (19) 3255 7915E-mail: [email protected]

CAXIAS DO SUL - RSRua Borges de Medeiros, 677 - DowntownCaxias do Sul-RS Postal Code 95020-310PABX: (54) 4009 3000 - FAX: (54) 3223 1560E-mail: [email protected]

CUIABÁ - MTRua Barão de Melgaço, 3814 - North DowntownCuiabá-MT Postal Code 78005-500PABX: (65) 2123 5100 - FAX: (65) 3624 5788E-mail: [email protected]

CURITIBA - PRAl. Dr. Carlos de Carvalho, 963 - DowntownCuritiba-PR Postal Code 80430-180PABX: (41) 2107 9550 - FAX: (41) 3224 5046E-mail: [email protected]

FORTALEZA - CEAldeotaAv. Desembargador Moreira, 1.080 - Aldeota DistrictFortaleza-CE Postal Code 60170-001PABX: (85) 3304 8400 - FAX: (85) 3261 7723E-mail: [email protected]

Bezerra de MenezesAv. Bezerra de Menezes, 25 - Farias Brito DistrictFortaleza-CE Postal Code 60325-003PABX: (85) 3304 8300 - FAX: (85) 3283 1992E-mail: [email protected]

DowntownRua Barão de Rio Branco, 905 - DowntownFortaleza-CE Postal Code 60025-060PABX: (85) 3304 8200 - FAX: (85) 3304 8204E-mail: [email protected]

GOIÂNIA - GOAv. República do Líbano, 1.600, Block E1, Unit 11Western SectorGoiânia-GO Postal Code 74125-125PABX: (62) 2765 7700 - FAX: (62) 3224 3157E-mail: [email protected]

GUARULHOS - SPRua Luiz Gama, 82 - DowntownGuarulhos-SP Postal Code 07010-050PABX: (11) 2179 9500 - FAX: (11) 6409 8547E-mail: [email protected]

JOÃO PESSOA - PBAv. Presidente Epitácio Pessoa, 2.200 - Tambauzinho DistrictJoão Pessoa-PB Postal Code 58030-002PABX: (83) 3515 5200 - FAX: (83) 3515 5208E-mail: [email protected]

JUAZEIRO DO NORTE - CERua Santa Luzia, 391 - DowntownJuazeiro do Norte-CE Postal Code 63010-230PABX: (88) 2101 8000 - FAX: (88) 3512 2585E-mail: [email protected]

LONDRINA - PRAv. Higienópolis, 488 - DowntownLondrina-PR Postal Code 86020-080PABX: (43) 2101 7800 - FAX: (43) 3321 1546Email: [email protected]

MACEIÓ - ALAv. Gov. Osman Loureiro, 49 rooms 406 to 409 - MangabeirasMaceió-AL Postal Code 57032-000PABX: (82) 2123 8450 - FAX: (82) 3235 5015E-mail: [email protected]

NATAL - RNAv. Hermes da Fonseca, 612 e 614, Petrópolis DistrictNatal-RN Postal Code 59014-002PABX: (84) 4009 6868 - FAX: (84) 4009 6860E-mail: [email protected]

PORTO ALEGRE - RSCarlos GomesAv. Carlos Gomes, 300 - 11th floor - suites 1.101 and 1.102 - Auxiliadora DistrictPorto Alegre-RS Postal Code 90480-000PABX: (51) 2129 3199 - FAX: (51) 3333 9081E-mail: [email protected]

Porto AlegreAv. Carlos Gomes, 300 - 11th floor - suites 1.101 and 1.102 - Auxiliadora DistrictPorto Alegre-RS Postal Code 90480-000PABX: (51) 2129 3199 - FAX: (51) 3333 9081E-mail: [email protected]

RIO DE JANEIRO - RJAssembléiaPraia do Botafogo, 228 - suite 1201 BEd. Argentina - Botafogo DistrictRio de Janeiro - RJ Postal Code 22250-040PABX: (21) 2157 0600 FAX: (21) 2157 0626E-mail: [email protected]

Rio de JaneiroPraia do Botafogo, 228 - suite 1201 BEd. Argentina - Botafogo DistrictRio de Janeiro - RJ Postal Code 22250-040PABX: (21) 2157 0600 FAX: (21) 2553 3397E-mail: [email protected]

RIBEIRÃO PRETO - SPAv. Braz Olaia Acosta, 727 suites 2.202 to 2.204 - Jd. Califórnia DistrictRibeirão Preto-SP Postal Code 14026-040PABX: (16) 2111 0100 - FAX: (16) 3911 7471E-mail: [email protected]

RECIFE - PEAv. Engenheiro Antônio Góes, 60 suites 402 to 404 - Pina DistrictRecife-PE Postal Code 51010-000PABX: (81) 2119 3050 - FAX (81) 2119 3070E-mail: [email protected]

SALVADOR - BAAv. Tancredo Neves, 450 - 17th floor suite 1.701 - Itaigara DistrictSalvador-BA Postal Code 41820-020PABX: (71) 2101 0199 - FAX: (71) 3341 4636E-mail: [email protected]

SANTO ANDRÉ - SPABCRua Cel Alfredo Flaquer, 516 - DowntownSanto André-SP Postal Code 09020-041PABX: (11) 2168 0700 - FAX: (11) 4436 4434E-mail: [email protected]

SANTOS - SPAv. Marechal Deodoro. 43 - Gonzaga DistrictSantos-SP Postal Code 11060-401PABX: (13) 4009 0166 - FAX: (13) 3284 2539E-mail: [email protected]

SÃO LUÍS - MAAv. Collares Moreira, 02 block 01, room 808, Planta Building Renascença II TowerSão Luís-MA Postal Code 65075-440PABX: (98) 3334 6100 - FAX: (98) 3268 7395E-mail: [email protected]

SÃO PAULO - SPAugustaAv. Paulista, 1.713 - Cerqueira César DistricSão Paulo-SP Postal Code 01311-200PABX: (11) 2169 0949 - FAX: (11) 3253 5521E-mail: [email protected]

BerriniAv. Eng. Luís Carlos Berrini, 1.681 suite 81 - Jd. Edith DistrictSão Paulo-SP Postal Code 04571-011PABX: (11) 2167 0999 - FAX: (11) 5102 2308 E-mail: [email protected]

MaspAv. Paulista, 1.713 - Cerqueira César DistrictSão Paulo-SP Postal Code 01311-200PABX: (11) 2169 0955 - FAX: (11) 3283 4029E-mail: [email protected]

PaulistaAv. Paulista, 1.713 - Cerqueira César DistrictSão Paulo-SP Postal Code 01311-200PABX: (11) 2169 0900 - FAX: (11) 3283 1521E-mail: [email protected]

TERESINA - PIRua 24 de Janeiro, 258 - DowntownTeresina-PI Postal Code 64000-230PABX: (86) 2107 2355 - FAX: (86) 2107 2360E-mail: [email protected]

UBERLÂNDIA - MGAv. Rondom Pacheco, 2.111 - Lídice DistrictUberlândia-MG Postal Code 38400-050PABX: (34) 3303 5000 - FAX: (34) 3303 5001E-mail: [email protected]


12. Credits

Design, Creation, DTP and Production Communication and Marketing - BICBANCO

Coordination and EditingCommunication and Marketing - BICBANCOCorporate Governance - BICBANCO

Collaboration and ContentCorporate Governance - BICBANCOAdministration and Human Resources - BICBANCOInvestor Relations - BICBANCO

TranslationLAG Traduções

PhotosBICBANCO CollectionFernando FavorettoMárcio Távora

External Verification of the Sustainability Information,IBase Audit and Financial StatementsKPMG Auditores Independentes

Address of the Electronic Versionwww.bicbanco.com.br

Out of respect for the environment, thisreport has been published electronically.

This report was developed by the professionals of BICBANCO.

Bic Banco - Annual Report 2008

Documents

Transcript of Bic Banco - Annual Report 2008