2Q11 RESULTSGrupo Pão de Açúcar and Globex Utilidades

July 26, 2011

2Q11 Results

2Q11 HIGHLIGHTS

> IPCA 12 months: +6.7%

> GPA Food real growth: +2.3%

> Increase in Selic1 rate from 11.75% to 12.25%

> ‘Same-store’ growth:

> GPA Food2: +9.3%, Globex2:+17.6%

> Results: increase in marketshare, profitability with

competitiveness and permanent control of expenses

> EBITDA: +20% Food, +38% Globex

> EPS: +64% Consolidated

2

ENÉAS PESTANA

Macroeconomic impact

1 End of periods 1Q11 and 2Q11, respectively2 Net Sales

Performance in businesses

2Q11 Results

2Q11 HIGHLIGHTS

> Improved debt/EBITDA ratio

> Same level of financial expenses

>

> Turnover reduction

> Better customer service

> Improved employees’ satisfaction

> GPA/AES Eletropaulo/AKATU: campaign of conscious

consumption and discard of fluorescent lamps

> 10 years of recycling stations (currently 238 stations)

> Agreement entered into with “Ministry of Social

Development” and with the “Ministry of Rural Development”

for the promotion of family farming in “Brazil without Poverty

Program” of the Federal Government

3

ENÉAS PESTANA

Capital Structure and Debt

People and Sustainability

People

Sust

ain

abilit

y

2Q11 Results

AGENDA – 2Q11 RESULTS

4

GPA F

OO

DELEC

TR

ON

ICS

Supermarkets

Cash & Carry

Hypermarket

Proximity

Gas Stations andDrugstores

SpecializedStores

E-commerce B2B

2Q11 Results

GPA CONSOLIDATED IN THE 2Q11: GROSS

SALES OF R$ 12.6 BN

5

>GROSS SALES: R$ 12.6 bn + 61.3% vs. 2Q10

GPA Food1: Same-store growth of 9.1% in the 2Q11

Globex2: Same-store growth of 14.1% in the 2Q11

>GROSS PROFIT: R$ 3.0 bn +82.8% vs. 2Q10

Margins: GPA Food1: 25.2% +40 bps vs. 2Q10

Globex2: 28.1% +130 bps vs. 1Q11

>EBITDA: R$ 641 mn +66.3% vs. 2Q10

Margins: GPA Food1: 6.7% +50 bps vs. 2Q10

Globex2: 4.4% +110 bps vs. 1Q11

1 Refers to GPA Consolidated without Globex.2 Considers Ponto Frio and e-commerce, excluding Casasbahia.com.br

The figures presented in this document already reflect the IFRS change in 2010 and 2011 and it changes Company’s

already published figures.

Globex’s numbers are not comparable between 2Q11 and 2Q10 due to the consolidation of Casas Bahia as of

November, 2010.

2Q11 Results

AGENDA – 2Q11 RESULTS

6

GPA F

OO

D

Supermarkets

Cash & Carry

Hypermarket

Proximity

Gas Stations andDrugstores

2Q11 Results

GROSS SALES OF R$ 6.9 BN, SAME-STORE SALES INCREASE

9.1% IN THE QUARTER

7

> Same-store growth

> In the 2Q11, higher than the 2nd player

for 3 years in a row

> In the 1H11, +7.4%, the upward trend

observed in previous quarters is

maintained

GPA FOOD

6,2866,928

12,629 13,569

2Q10 2Q11 1H10 1H11

Gross Sales (R$ mn)

(without Globex)

7.7% 7.2%

5.7%

9.1%

3Q10 4Q10 1Q11 2Q11

Same-store growth(without Globex)

Highlights with same-

store growth > 15%

10.2%

7.4%

7.4%

1H11

The shopping period for Easter took place

in the 1Q10 and 2Q11. The analysis of

growth in the first 6 months isolates this

effect.

2Q11 Results

GROSS PROFIT CLIMBS BY 12.3%

8

> Margin expansion is related mainly to :> Product mix with higher margin

GPA FOOD

1 Cash-and-carry operation share in GPA Food net sales.

1,3971,569

2,8033,106

2Q10 2Q11 1H10 1H11

12.3%

Aligned with the strategy of

conversion to Extra

Supermercado, which allocates

larger area for these categories

10.8%

General

Merchandise and Perishables

% of Net Sales

25.2%24.8%

Cash & Carry1

11.9% 14.8%

25.4%24.7%

Gross Profit (R$ mn)

(without Globex)

2Q11 Results 9

GPA FOOD

Operating Expenses (R$ mn)

(without Globex)

1,0471,150

2Q10 2Q11

18.5%18.6%

% of Net Sales

OPERATING EXPENSES OF R$ 1.1 BN IN THE 2Q11

> Maintenance of the same level

of operating expenses as a

percentage of net sales in 2Q10

Creation of the

Management Control with

the administration of the

expenses groups

2Q11 Results

EBITDA MARGIN OF 6.7% IN 2Q11

10

GPA FOOD

EBITDA (R$ mn)

(without Globex)

350 419

743 841

2Q10 2Q11 1H10 1H11

19.7%

The reclassification of ‘Profit sharing’, which now

impacts the EBITDA, represents 20 bps of margin,

which would be 6.9% in the quarter

13.2%

6.7%6.2%

6.9%6.5%

% of net sales>The expansion reflects:

> Increase in gross margin – greater

sales of higher aggregated margin

items

> Expenses dilution – increase in a

lower rate than sales and gross

profit

11.9% 14.8%

Cash & Carry1

1 Cash-and-carry operation share in GPA Food net sales.

2Q11 Results

NET FINANCIAL EXPENSE KEEPS REPRESENTING

2.7% OF SALES

11

GPA FOOD

>Maintained level of 2.7% of

net sales, despite the higher

Selic rate

>Breakdown:

> 1.1%: Charges on bank net debt

(R$67.6 mn)

> 0.6%: Charges of discounted

receivables (R$34.3 mn)

> 1.0%: Adjustment by CDI of other

assets and liabilities(R$64.4 mi)

Net Financial Expense (R$ mn)

(without Globex)

162 166

1Q11 2Q11

2.7%2.7%

% of net sales

2Q11 Results

AGENDA – 2Q11 RESULTS

12

Due to the consolidation of Casas Bahia’s results as of November, 2010, we use the 1Q11 as a

reference for better comparison.

Expenses from “profit sharing”, previously recognized after “operating profit before income

tax”, are now recognized in the “general and administrative expenses” line, as part of the

adjustment to the new accounting standards (IFRS).

ELEC

TR

ON

ICS

SpecializedStores

E-commerce B2B

2Q11 Results

GLOBEX 2Q11 HIGHLIGHTS

RAPHAEL KLEIN

> Positive results of the integration process:

> Commercial margin gains

> Control of non-interest-bearing sales and increased

interest-bearing sales

> Maintenance of financial expense

> Return of organic growth (12 new stores)

13

The Company will consistently deliver the

guidance presented to the market

2Q11 Results

GLOBEX 2Q11 HIGHLIGHTS

QUIROGA

14

> Nova Pontocom (2Q11 vs 2Q10):

> Sales 1 : growth of 58.0%

> 50% higher than the market growth

> Highlight for CasasBahia.com.br, 3-digit growth

> EBITDA: growth above 50%

> Margin between 6% and 7%

> SAC 2.0

> Logistics 2020

(1) In addition to the PontoFrio.com.br and Extra.com.br

websites and the wholesale operation, this number

includes the proforma of CasasBahia.com.br and is the

basis for the guidance given for the year.

2Q11 Results

NET SALES OF R$ 5.0 BN, SAME-STORE CLIMB BY 17.6%

15

GLOBEX

1 Comparable basis (Casasbahia.com.br and wholesale are not included)

HIGHLIGHTS

SAME-STORE

gross sales

4,884 5,041

1Q11 2Q11

Net Revenue (R$ mn)

Globex

> Same-store growth vs. 2Q10:

>Even vs.the period of World Cup

(2Q10)

>Control of non-interest-bearing sales

and increased interest-bearing sales

e-commerce1 :

+39.4%

3.2%

Bricks-and-mortar:

+8.1%

2Q11 Results 16

> Gains in commercial efficiency:

> Better price policy

> Better commercial conditions

associated with a better

product mix

GLOBEX

Gross Profit (R$ mn)

Globex

1,3121,418

1Q11 2Q11

+8.1%

Reduction of logistics

expenses : Result of

the combination of two

operations under a

single structure

% of Net Sales

26.9%

28.1%

GROSS PROFIT OF R$ 1.4 BN IN THE 2Q11, MARGIN OF 28.1%

2Q11 Results

1.151 1.196

1Q11 2Q11

OPERATING EXPENSES REPRESENTED 23.7% OF NET

SALES IN THE 2Q11

17

GLOBEX

‘Profit sharing’ is now considered

Operating Expense under IFRS

Operating Expenses (R$ mn)

Globex % of Net Sales

23.6% 23.7%

> Maintenance of the expenses level

> Impact of non-recurring items

(R$ 25.7 mn):> Software maintenance agreement, R$11.5

mn

> Adjustment of benefits and charges

R$10,0 mn

> Adjustment of provisions for profit

sharing, R$4.2 mn

> Excluding the items above, expenses

would have come to 23.2% of net

sales

23.2%

Adjusted by non-recurring items

> The process of synergies gains in

expenses advances in the 2H11

2Q11 Results 18

> Advance in EBITDA margin

> Gross margin increase

GLOBEX

EBITDA (R$ mn)

Globex % of Net Sales

161

222

1Q11 2Q11

EBITDA in 2011:

We reaffirm the margin

guidance

EBITDA OF R$ 222 MN IN THE 2Q11, WITH MARGIN OF 4.4%

+38.2%

Reclassification of ‘profit

sharing’, which starts to

impact EBITDA, represents

0.6% of the margin

3.3% 4.4%

Adjusted by IFRS

3.6%5.0%

2011 EBITDA Margin

guidance, now in IFRS

basis, is equivalent to

margin between 4.0%

and 5.5%

2Q11 Results

NET FINANCIAL EXPENSE REPRESENTED 3.4%

OF NET SALES

19

GLOBEX

> Maintenance of financial

expenses level, even with the

Selic increase in the period

> Maintenance in the average

payment period

> Greater use of FIDC (Nova

Pontocom)

> Increase in the share of interest-

bearing sales

Net Financial Expense1 (R$ mn)

Globex % of net sales

3Q10 4Q10 1Q11 2Q11

4.9%

3.4%

5.9%

The financial expense as net sales percentage

remains below the guidance for 2011 (between 3.5%

and 4.5%)

3.4%

1 NCB is included as of November, 2010.

2Q11 Results

AGENDA – 2Q11 RESULTS

20

GPA F

OO

DELEC

TR

ON

ICS

Supermarkets

Cash & Carry

Hypermarket

Proximity

Gas Stations andDrugstores

SpecializedStores

E-commerce B2B

2Q11 Results

FIC IN 2Q11

21

Private label share in sales

GRUPO PÃO DE AÇÚCAR

Globex % of net sales

4.1% 4.6%

9.3%10.5%

1Q11 2Q11

13.4%15.1%

No interest With interest

> Equity income result: R$ 2.7 mn

in 2Q11

> GPA Food: R$ (1.0) mn

> Globex (Ponto Frio): R$ 3.7 mn

> The change into cards with chip

generated R$9.2 mn (non-recurring)

Globex interest-free

sales represented in

the 2Q11 less than

50% of sales1 The best credit tool:

> Longer term

> Lower comission cost

> Discount of receivables at FIDC cost

2Q11 Results

2Q11 CONSOLIDATED NET RESULT

22

GRUPO PÃO DE AÇÚCAR

1 End of period.

Adjusted Net Income (R$ mn)

93

158

2Q10 2Q11

% of net sales

> Adjusted net income grows by 70.2%,

totaling R$158 mn

> Considering non-recurring effects with

REFIS, adoption of IFRS and integration

expenses

> Operational strengthening and EBITDA

margin advance in Food

> Recovery of the Globex’s operation,

which comes close to break-even

> Accounting net income climbs by 64%

(R$56 mn in the 2Q10 to R$91 mn)

> Growth despite the increase in

financial expenses (Selic advances

from 10.25% to 12.25% p.a.1)

1.3%1.4%

+70.2%

2Q11 Results

CONSOLIDATED NET DEBT

23

GRUPO PÃO DE AÇÚCAR

> The reduction on net debt is

associated with:

> Reduction of debt in Globex’s

operation

> Debt level maintenance in GPA

Food

Evolution of Consolidated Net Debt (R$ bn)

2.3 2.0

1Q11 2Q11

Net Debt / EBITDA

1.05x 0.81x

2Q11 Results

2Q11 INVESTMENTS

24

GRUPO PÃO DE AÇÚCAR

GPA FO

OD

R$

205.7

mn New stores and lands

R$ 21.7 mn

Renovations and conversions

R$ 88.6 mn

Infrastructure

R$ 95.4 mn

AMOUNT INVESTED STORES

12 c

onvers

ions

> 10 CompreBem to Extra

Supermercado

> 1 CompreBem to Extra

Hipermercado

> 1 Sendas to Extra

Supermercado

ELEC

TR

ON

ICS

R$

84.1

mn

New stores and lands: R$ 10.5 mn

Renovations and conversions: R$ 17.9 mn

Infrastructure:

> Fleet: R$ 15.9 mn

> Technology: R$ 24.5 mn

Other: R$ 15.3 mn 12 n

ew

store

s

> 9 Casas Bahia

> 3 Ponto Frio

1H11: R$455.0 mn invested 1H11: +03 stores, 35 conversions

1H11: R$118.0 mn invested 1H11: +10 traditional stores

2Q11 Results 25

Grupo Pão de Açúcar (GPA)

Globex Utilidades S.A.

Investor Relations Team

Phone: +55 (11) 3886-0421

Fax: +55 (11) 3884-2677

gpa.ri@grupopaodeacucar.com.br

www.gpari.com.br

> FORWARD –LOOKING STATEMENTS

The forward-looking statements contained herein are based on our management’s current assumptions and estimates, which may result in material differences regarding future results, performance and events. Actual results, performance and events may differ substantially from those expressed or implied in these forward-looking statements due to a variety of factors, such as general economic conditions in Brazil and other countries, interest and exchange rate levels, legal and regulatory changes and general competitive factors (whether global, regional, or national).

CONTACT – INVESTOR RELATIONS