Cielo Day

Barueri, May 5th , 2010

AGENDA

13:30 – 14:00

14:00 – 14:10

14:10 – 14:30

14:30 – 15:00

15:00 – 15:30

15:30 – 17:00

17:00 – 17:30

17:30 – 18:00

18:00 – 18:30

18:30 – 18:45

18:45 – 20:00

Registration

Opening Remarks

Our Company & Strategic Positioning

Innovation

IT and Operations

Visit to Cielo / Coffee Break

Building on relationships

Strengthening a winning culture

Protecting Profitability

Closing Remarks

Cocktail

Marcos Grodetzky

Rômulo Dias

Eduardo Chedid

Paulo Guzzo

Eduardo Gouveia

Roberto Dumani

Marcos Grodetzky

Rômulo Dias

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

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

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

Disclaimer

01

Cielo in a nutshell

Approximately R$4 billion revenue company

1,047 employees

Around 7% of GDP captured by Cielo’s network

R$ 22 billion market cap

1.7 million merchants covering 97.6% of Brazilian municipalities

R$ 8.4 billion IPO in June, 2009 – the largest in Brazil

Fully integrated acquirer:

Acquiring Processing Settlement

present in the complete value chain

02

Recent events impacting Cielo

Change in participation among controlling shareholders

JV between Bradesco and Banco do Brasil to participate in the card business among other initiatives to launch a Brazilian brand for credit, debt and pre-paid cards for account and non-account holders

Shareholder´s Ownership % Current % Future ∆

Controlling Shareholders 57,30% 57,30% 0,00%

Banco Bradesco 26,56% 28,65% 2,09%

Banco do Brasil 23,54% 28,65% 5,11%

Banco Santander (Spain) 7,20% 0,0% -7,20%

Free-Float 42,40% 42,40% 0,00%

Treasury 0,30% 0,30% 0,00%

Entry in Bovespa’s indexes (May/10)

Best practices of Corporate Governance

03

Executive Board

Business Solutions

Commercial / Trade Marketing

IT and Operations CFO and IR Institutional

RelationshipOrganizational Development

Internal Controls

CEORomulo Dias

Executive VPRoberto Dumani

Executive VPEduardo Chedid

Executive VPPaulo Guzzo

Executive VPEduardo Gouveia

Executive VPMarcos Grodetzky

Executive VPManoel de Souza

DirectorEduardo Magalhães

CIEL3 offers 100% of Tag-Along, traded at “BM&FBovespa’s Novo Mercado” and Corporate Governance Index

Arnaldo Alves Vieira Chairman of the board Jair Delgado Scalco Bradesco RepresentativeMilton Almicar Silva Vargas Bradesco RepresentativeNorberto Pinto Barbedo Bradesco RepresentativeRaul Francisco Moreira BB RepresentativeJosé Maurício Pereira Coelho BB RepresentativeDenilson Gonçalves Molina BB RepresentativePaulo Rogério Caffarelli BB RepresentativeFrancisco Augusto da Costa e Silva Independent MemberGilberto Mifano Independent Member Compensation&Benefits

Board of Directors Board Advisory Committees

Finance

Auditing

Issuer Risk

Corporate Governance

04

Regulatory Framework

Neutrality in clearing and settlement operations

Interoperability of networks and POS transaction capture terminals

Opening up of the affiliation process

Transparency in defining interchange fees

Strengthening of the domestic debit card framework

* Note released October,1 2009

CENTRAL BANK NOTE* – 5 recommendations

Mobile / eCommerce

05

Our business universe is enormous

Card Present Card Absent

Payment Transactions

Non-Payment Transactions

STRATEGIC MATRIX

VAN* Services

* Value Added Network

06

And we will capture new opportunities

New growth waves in the traditional business: other brands / vouchers untapped segments low ticket transactions

Further development in the mobile payment and eCommerce

New initiatives in the B2B field

High probability to be the preferred acquirer by independent banks improving even more our distribution network

9

Emphasizing our agility…

9

…our security…

9

…and our availability.

INNOVATION

APPEALING PRODUCTS

RELIABILITY

SECURITY

DISTRIBUTION

DIFFERENTIATED RELATIONSHIP

MOTIVATED PEOPLE

STRONG CULTURE

COMPETITIVE REMUNERATION

ALIGNED INCENTIVES

FOCUS ON COSTS

GOAL TO PROTECT MARGIN10

We are confident to face the new market momentum

Information Services

Data Mining Credit Scoring

Alternative Transaction Services

Healthcare Transportation Loyalty ATM

Emerging Payment Technologies

Traditional Card Transactions

eCommerce Mobile Payments

Credit Debit Prepaid Commercial

Analytics

Product Breadth and Innovation Growth potential from comprehensive suite of products and services

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

Emerging Payment Transactions: Extend card usage of the traditional POS equipment to emerging technologies - e.g. Visa Mobile Pay

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

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

Information Services: Mine captured data from existing transactions to offer new value-added services

11

Unique to Cielo

Basic to theIndustry

Product Breadth and Innovation Broader product portfolio, leveraging platform and reinforcing client loyalty

20072006

Orizon:: Health Insurance

Transactions Acquiring

Flex Car

Promotional Platform (real time loyalty program at POS)

Visa Distribution Vcorp Airline

Agrocard

VCorp Hotel

Credit and Debit Mobile Top Up at

POS

Bank Correspondent

at POSV Message

2005

Visa Mobile Pay

Multimerchant POS

CREDIT

POS Solution

DEBIT

201020092008

Promotional Platform OnLine

Multi BrandAcquiring

Post-dated debit

Vending Machine Mobile Check-out

(CDC) Personal Credit Installment

Dialup TEF app Desktop POS

TEF IP appDedicated TEF app Wireless GPRS POS Virtual POSContactless

No interest installmentsInterest installments Recurring payments

Cash Back at POS

Prepayment of Receivables

12

Online Promotional Platform

Online Promotional Platform

Brands

Banks

“Swipe the card, input transaction amount, type the pin or sign the sales receipt.”

“Promote a new shopping experience as the purchase happens”

Merchant

Before After

Real time loyalty platform that enables Merchants, Issuers, Payment Brands and Cielo to offer a new shopping experience to cardholders. Not the typical aspirational “points” scheme but a platform that speaks the language of Retailers. MULTI BRAND READY!!!

13

Expectation• “Did I just get

a discount?”

Surprise

• “I got a prize to use in my next

purchase!”

Enchantment

• “A special gift for my

Birthday!!!”

***PROMOCAO!***

GANHE DESCONTOS

VOCE GANHOU R$ 50,00 DE DESCONTO, JA DEBITADOS DO VALOR DA COMPRA.

VALOR ORIGINAL: R$ 500,00 VALOR COM DESCONTO: R$ 450,00

***PROMOCAO!***

DESCONTO PARA VOCE

VOCE GANHOU 30% DEDESCONTO P/ UTILIZAR

EM SUA PROXIMA COMPRA.

SALDO DA PREMIACAO: 1-----------

VALIDADE DE PREMIACAO: 31/12/2010

***PROMOCAO!***

FELIZ ANIVERSARIO

VOCE GANHOU UMAMASSAGEM.APROVEITE!

VALIDADE DE PREMIACAO: 31/10/2010

New Shopping Experience

Online Promotional Platform

14

ElectronicCuponing

RecencyFrequency

Monetary ValueLoyalty Programs CRM at the POS

Increase Card Holder Loyalty and $ales

Celebrate along with the Cardholder a Special Date

Promote first use of a Credit Card

NETWORK EFFECT: CROSS MERCHANT PROMOTIONS

Reduce Promotional fulfillment costs

Online Promotional Platform

15

New products for new markets

AGROCARD: Migrating existing paper based B2B credit lines to electronic payments

Exclusive product that enables agribusiness companies and individual farmers to access credit lines• Unique electronic access to credit lines for agribusiness• Initially launched as Credit , currently Credit +Debit• Issuer: Easier routines, and lower costs and risks, ensuring

the right use of the resources• Cardholder: faster credit concession process, with lower

cost• Supplier/Merchants: Increase sales volume

Solution

Results Farmers: + 115 K using the product Merchants: 7K Large Tickets: average R$46,000 Sales volume: R$ 4,6 Bi (2009)

• Reached 6,2% of debit volume after 2 years New partners and issuers interested Expansion to other B2B value chains

16

New products for new markets

MULTI MERCHANT POS: One POS Terminal shared by up to 30 different merchants

Solution that enables up to 30 merchants to share the same POS equipment if located in the same place.

Each merchant has a separate log in and transactions are registered, cleared and settled to specific accounts

The sharing of the POS equipment allows lower costs for individual professionals or companies which would not be able to afford it by themselves.

Solution

Results Allows Cielo to penetrate new segments with low usage culture: medical and dental clinics, fairs, events and expositions.

17

Innovative Point of Sale Solutions

1999

2007

2008

2009

2010

With chip technology

comes a new level of

cardholder security and convenience.

Transaction capture solution

with J2ME application

installed on the cell phone

setting

No contact between card and terminal .

Faster transactions for

low-value tickets.

The consumer makes payment

with a NFC Nokia phone at retail outlets .

Merchant cell phone becomes a POS device,

with agility and security, using

SMS for sending transactions.

CHIP / EMV

Smart Client

Contactless

NFC

Mobile POS

2003 EMV FULL

18

19

We have a powerful and scalable platform

Cielo’s highly scalable and reliable platform can process 3x current transactions without any additional investments

• Scale and IT optimization continue to generate lower marginal costs

• Platform can scale up number of transactions

• 99.995% reliability

• Operates with 3 redundant back-up data centers

• Processing capabilities with neural anti-fraud platform

• 100% terminals with Pin Pads

• 100% volume covered by EMV Chip-ready

189 Local POP’s in 99 cities

Almost 500 data circuits

1.7 million connected devices (POS, iPOS, etc.) (debit and credit transactions)

Outsourced with Oi (former TELEMAR) with a availability SLA of 99.999% uptime

Nationwide PresenceNumbers

Regional concentrators

Local concentrators

Brasília

Macapá

Belém

São Luís

TeresinaFortaleza

Natal

João Pessoa

Recife

Maceió

Aracajú

Palmas

Cuiabá

Campo Grande

Porto Alegre

Florianópolis

BeloHorizonte

Goiânia

Porto VelhoRio Branco

Manaus

Boa Vista

Balneário Camboriú

Juiz de Fora

Maringá

Caxias do Sul

UberlândiaUberaba

Ilhéus

Poços de Caldas

Foz do Iguaçu

Campina Grande

Porto Seguro

Pelotas

Santa Maria

Passo Fundo

Chapecó

Cachoeiro do Itapemirim

Criciúma

São Mateus

Londrina

Cascavel

Curitiba

JoinvilleBlumenau

Feira de Santana

GovernadorValadares

MontesClaros

Vitória

ItabunaVitoria da Conquista

Ponta Grossa

Lages

São PauloTIVIT

Guaraparí

Oiapoque

Chuí

Fernando de Noronha

Campos dos GoitacazesNova Friburgo

PetrópolisCabo FrioVolta Redonda

Rio de Janeiro

São PauloBarraTIVIT

Costa do Sauípe

Araçatuba

SorocabaSantos

Ribeirão Preto

Baurú

São José do Rio Preto

MaríliaPresidente Prudente

Taubaté

Franca

Guaratinguetá

CaraguatatubaGuarujá

Assis JaúOurinhos

CatanduvaBarretos

LemeCampos do Jordão

São José dos CamposSanto André

Barueri

LimeiraCampinasJundiaí

Araraquara

São Paulo

Our electronic transaction capture network

20

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

In average the transaction peak happens on Saturdays at 1:00 PM butwe still have more 30% of technical reserve in the network to capture transactions

2.000

1.600

1.200

800

4000 Day hour

K tr

ansa

ction

s

Daily average profile

Low volume hours (4%)

Peak (12/24/2009)

1.989.69526.3% increase

High volume hours (96%)

2.400

2.800

Daily record (12/24/2009)17,900,961 transactions

20.9% increase

Daily transaction traffic profile

21

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99.6

99.7

99.8

99.9

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99.9

6299

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99.9

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99.8

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99.9

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.918 99

.974

99.9

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.977

99.9

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.981

99.8

93 99.9

4499

.965

99.8

89 99.9

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99.9

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.931 99

.971

99.8

1299

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99.9

6099

.964

99.9

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.986

99.9

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.985

99.9

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.959

99.9

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.965

99.9

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.986

99.9

8699

.956 99

.996

99.9

8799

.950

99.9

5399

.945

99.9

5999

.991

99.9

8899

.987

99.9

8999

.998

99.9

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.994

99.9

8999

.997

99.9

9499

.989

99.9

9799

.972

99.9

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99.9

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99.9

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.999

99.9

9999

.994

99.9

9899

.994

99.9

94

%

200399,927%

Credit = 99,980%Debit = 99,842%

1) Cielo Network (PDV+Concentradores), Ambiente On-Line Cielo, TIVIT e EDS

200499,932%

Credit = 99,980%Debit = 99,898%

200599,947%

Credit = 99,985%Debit = 99,914%

200699,957%

Credit = 99,991%Debit = 99,929%

200799,973%

Credit = 99,984%Debit = 99,962%

200899,985%

Credit = 99,995%Debit = 99,975%

200999,995%

Credit = 99,996%Debit = 99,993%

Downtime: 25 minutes /year

Track record availability

22

Comercial Dashboard

Pre-payment

Account Balance

100% availability -Christmas time

PCI DSS

New Web-site

Ecommerce VbV

Workplace renewalPCs & mobile phones

Multibrandpreparation

2009 was full of accomplishments!

23

24

Multi-brand – several other local and global ones Promotional Platform On-line Go To Market New Account Balance E-commerce multi-brand Sales force tool Automatic enrollment Unified Communication

CAPACITY AND NETWORK AVAILABILITY

ALL YEAR ROUND!!!!!!

And we are looking forward 2010

25

Call center – Contact center

Tele attendants: 2,513 Attention Positions: 1,670 29 million contacts/year 149,000 contacts/day

Logistics

Couriers: 5,700 Outposts : 140 13,000 visits/day (4.6 million/year)

Operations – 2009 in numbers…

26

Jan/09

Feb/09

Mar/09

Apr/09

May/09

Jun/09Jul/0

9

Aug/09

Sep/09

Oct/09

Nov/09

Dec/09

Jan/10

Feb/10

Mar/10

Apr/10

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

Total Instalação Total Manutenção Total DesinstalaçãoTotal Alt. Tecnologia Total Suprimentos

Num

ber o

f vis

its

... demand was intense.

# of Visits to Merchants per month

Installation

Maintenance Removal Technological substitution

Supply

27

May/JuneMay/June SeptemberSeptember OctoberOctober

Logistics Operators – Rapidão Cometa starts to operate in São Paulo and Intec covers the Central-East and North region

Atento assumes the Contact Center

Atento starts to operate Help Desk, Authorizations, Telemarketing and ARV – Pre-payment

Transformation for a new era!!!!

And Cielo is prepared for a new era!

28

Hardware update ~ 270 mil

Software update: 100% POS V32 and ~ 800 mil POS multi-

brand

New merchant segmentations & SLA

New POS packaging

New Help Desk Workflow

POS repair lab: LAB2 Intec and Rapidão Cometa

Challenges in operations for 2010

29

Protect business profitability – differentiated commercial relationship with segments with higher economic return

Protect market share – better understanding of customers’ requirements

Sustain growth – dedicated structure to untapped segments

Increase efficiency – adequate cost to serve to the current and potential value of customers

Main Project - Go To Market

30

Preparing for July 2010

31

Project Go to Market – directed to strength relationship with merchants new merchants segmentation redefinition of market approach change in the sales team profile from price to value added new POS service scheme – unbundling (rental, call center, …)

Change in the mindset to a full service multi-brand oriented company - although today we already operate with 89 private labels providing VAN (Value Added Network) services

Change in the POS basis 100% ready for multi-brand operations average age around 2 years

Bank approachPricing committeesCommercial intelligence control Call center adaptionRetention cellsCommercial Action TrainingTrade MarketingCommercial IncentivesCommunication Plan

Clear communication to sales channels (direct and indirect) with defined strategy, action plan and supporting tools increasing readiness to new market momentum:

Commercial strategyECR offer/negotiationPackage offer (POS)Pricing tacticsNew competencesLoyalty contract

STRATEGY ACTION PLAN

Contribution margin simulator

Pricing management

TOOLS1 2 3

Commercial approach – Multi-brand offer

32

PRIO

RITY

+

-

Appealing multi-brand offerSegmented commercial approach

Customized support to banks

New relationship center

Alternative channels: ISO’s and Dealers

Cielo’s plans to relevant products and services

State of the art technology and Network security

MKT budget investment

MDR revision

Complete Offer – approach sequence

33

Profile of our sales team

34

382 people in the commercial team

23 offices located in the main cities in Brazil: closer relationship, more response (and 49 “virtual offices”)

Main responsibilities: Training managers of the partner banks to “sell” Cielo

Maintain day to day relationship with merchants

Execute special tasks focused on approaching new segments or new markets

Diversity of our merchants required….

35

HOW TO ADEQUATELY AND EFFICIENTLY SERVE SUCH DIFFERENT MERCHANTS ?

“It would be interesting to offer longer payment terms"

“There are too many fees"

“The fines could be paid with cards but the fee charged from the customer"

“The ideal would be a wireless POS but the rent is too expensive"

“The future is contactless"

“We still have a high fraud index in purchases via website"

…new merchant segmentation

36

Revenue

Location

Economic sector

Importance in the region

Geographical Segmentation

New Merchant Segmentation

Merchant’s profitability

Our share in merchants’ revenue

Sector / region economic potential

Card usage profile in the sector / region

Merchant’s importance in the sector

Merchant behavioral profile

(installments, seasonality, target public)

Merchants requirements

Approach of new segmentation

Key Accounts

Special Merchants

Expanding markets+

New segments

Relationship center+ Internet

Commercial approach proposal

Relationship center+ Internet Telemarketing

Relationship center+ Internet

Account managers specialized by sector or region

Telemarketing

Special Cells

Commercial Assistant + Servicing

Alternative channels + Servicing

Segments

New

mar

kets

37

We are exploring new segments

38

Growth – YTD Dec/09 over YTD Dec/08:Education:4,8%

Other

:6,3% He

alth:7,3%

Home +

Civil

Construction: 8,0%

Agribusi-

ness: 11,0%

Utilities:3,4%

Transports:6,6%

Services:10,5%

Vehi-cles:

10,6%

Leisure + Welfare:

13,5%

Food:18,1%

Education 26.70%

Insurance 76.19%

Health 33.55%

Civil Construction 43.28%

Agro business

144.11%

Financial Volume YTD Dec/09

And there is more to come in new segments: real state brokerage, taxis…

Strengthening a winning culture

39

Mission: To be an international reference in transaction solutions and network services

Values:Employees with attitude, team spirit and passion in all they do Surpassing customer expectations Ownership posture Ethics in all relationships Execution excellence Innovation oriented by results Sustainability and corporate responsibility

Clear, meaningful and timely communication to engage peopleBuilding on the employee's emotional connection with CieloAdd new elements to the culturePrepare the basis for building additional organizational capabilities

Climate Survey, an historic asset

40

New Compensation Strategy

Objective: to strength

Cielo’s attraction and retention power

Meritocracy within the organization

30%

35%

35%

Vice Presidents

Basic Salary Short term incentive Long term incentive

44%

36%

20%

Directors

Base Salary Short term incentive Long term incentive

Acceptable Target Outstanding

35%

100%125%

Individual Performance

Alignment to the market best practices

The link between employee’s compensation and the company success

41

New Compensation Strategy

42

Structure:Base salary:

Aligned to the market average

Short term incentive: Triggered by company’s achievements and based on individual

performance

Long term (stock option plan): Triggered by company’s achievements and based on individual

performance. Total dilution limited to 2% being up to 0,3% per annual grant 2nd grant scheduled for July 2010 Target population – senior leadership and key people

Performance & Talent Mgmt Strategy

43

Individual objectives are defined based on the Cielo’s ones (EBITDA, EBITDA margin, Transaction Financial Volume and Client Survey)

Annual Individual Performance Evaluation is done by immediate supervisor considering individual objective’s achievements and competencies

New set of competencies defined to shape the individual’s behavior and the leadership style necessary to convey the business strategy

Annual Individual Performance Evaluation is input to the Forum of Talents

Forum of Talents is a leadership team discussion about their subordinates. Its main outcomes are:

Identification of high potentials, key people and solid performers Identification of backups for key positionsIndividual development plan designDefinition of individual merit, promotion, stock option plan grant, etc.

Performance CIEL3

44

60

70

80

90

100

110

120

130

140

150 CIEL3

12,53%

Recent IPO (June/09)

Dividend yield 2009(1): 6.6%

P/E 2009 (1): 13.64

High cash generation, no leverage

ADR level I program

Disclosure in IFRS

(1) Considering closing price on 12/30/2009 = R$15.34/share

Constant monitoring of liquidity

Targeting to drive IR actions

Potential actions to further

enhance ADR program

Snapshot

Actions

We continue to experience strong growth

1Q06 1Q07 1Q08 1Q09 1Q10100.0

120.0

140.0

160.0

180.0

200.0

220.0

240.0

118

148

174

213

121

152

187

230

Growth comparison: Industry x Cielo ( 1Q06=100)

Industry Cielo

Cielo CAGR: 23%Industry CAGR: 21%

2006 2007 2008 2009 1Q09 1Q10

71,197 87,966 110,897

134,792

30,498 37,558

39,552 48,534

64,655

79,166

17,209 21,213

Cielo Transactions - Financial Volume (R$ million)

Credit cards Debit cards

110.749

136.500

175.552

213.958

47.70758.771

CAGR: 24.5%

23,2%

2006 2007 2008 2009 1Q09 1Q10

1,142.1 1,402.51,719.7 2,003.0

460.9 540.1

836.0986.5

1,232.41,423.8

327.6 387.5

Cielo - Number of Transactions ( million)

Credit Debit

CAGR: 20.1%

17,6%

1,978.12,389.0

2,952.1

3,426.8

788,5 927,6

1 2

3 4

2006 2007 2008 2009 1Q09 1Q10

997

1,1801,408

1,706

1,466

1,759

679 824996

1,1331,004

1,129

Cielo- Number of Merchants( thousand)

Afilliated Merchant Active Merchants( transactions in the last 60 days)45

And our results remain consistent

2006 2007 2008 2009 1Q09 1Q100 .0

2 0 0 .0

4 0 0 .0

6 0 0 .0

8 0 0 .0

1 ,0 0 0 .0

1 ,2 0 0 .0

1 ,4 0 0 .0

1 ,6 0 0 .0

1 ,8 0 0 .0

2 5 .0 0 %

3 0 .0 0 %

3 5 .0 0 %

4 0 .0 0 %

4 5 .0 0 %

5 0 .0 0 %

5 5 .0 0 %

6 0 .0 0 %

657.9

883.9

1,115.3

1,536.7

333.2440.2

34%37% 39%

42%41%

43%

Net Income (R$ million)

Net Income Net Margin

2006 2007 2008 2009 1Q09 1Q100 .0

5 0 0 .0

1 ,0 0 0 .0

1 ,5 0 0 .0

2 ,0 0 0 .0

2 ,5 0 0 .0

3 ,0 0 0 .0

4 5 .0 0 %

5 0 .0 0 %

5 5 .0 0 %

6 0 .0 0 %

6 5 .0 0 %

7 0 .0 0 %

7 5 .0 0 %

8 0 .0 0 %

1,038.8

1,409.5

1,764.3

2,450.7

538.2713.6

53%

59%61%

68% 66%

70%

Adjusted EBITDA (R$ million)

Adjusted EBITDA Adjusted EBITDA Margin

1 2

3 4

2006 2007 2008 2009 1Q09 1Q10

1,945.1

2,402.2

2,892.9

3,627.8

813.3 1,020.1

Net Revenue (R$ million)

25.4%

CAGR 23.1%

2006 2007 2008 2009 1Q09 1Q10

1,041.71,125.0

1,278.5 1,337.4

312.2350.9

Total Cost of Services + Expenses (R$ million)

CAGR 8,7%

12,4%

46

Prepayment is steadily growing

3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 1Q10 -

5 0 0 .0

1 ,0 0 0 .0

1 ,5 0 0 .0

2 ,0 0 0 .0

2 ,5 0 0 .0

0 .0 0 %

1 .0 0 %

2 .0 0 %

3 .0 0 %

4 .0 0 %

5 .0 0 %

6 .0 0 %

7 .0 0 %

8 .0 0 %

9 .0 0 %

1 0 .0 0 %

98.1

732.9

1,700.01,466.5

1,604.7

2,009.42,193.3

0.35%

2.35%

5.57%4.56% 4.69%

5.29%5.80%

Prepayment of Receivables

Financial prepayment volume% Prepayment over Credit Financial Volume

3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 1Q10

21.4 22.3

51.348.5

54.4

61.866.1Average Term (days)

3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 1Q10

1.8

15.1

56.6

46.3 49.7

65.5

73.3 Prepayment of Receivables (ex/adjustment) (R$ million)

3

21

• Approximately 75% of our prepayment

occurs automatically, via IVR (Interactive

Voice Response), website or automatic;

• Average ticket of R$ 3 thousand

47

48

Finance has a role supporting other areas

Aligned attitude/Mindset between Finance and Commercial areas:

Closing deals that make economic sense keeping profitability at a healthy level

Guarantee differentiation in products and services, not just price

If chosen as second acquirer, we will adequate the pricing level accordingly

Innovation to create revenue streams to offset margin reduction

49

And goals to deliver

Focus on cost efficiency gains to mitigate eventual pressure on revenues

Second wave of cost reduction headed by Procurement

Enhance Customer Profitability tool providing better indicators for decision making process

Target ideal Capital Structure / tax efficiency

Tax efficient funding alternatives to support growth in the prepayment business

Main variable is under control: Costs

50

Impact on unit cost + expenses :

Pros gain in scale

strategic sourcing projects

reduction in brand signaling expenses

Cons additional fee

Visa

increase in marketing expenses

1Q08 2Q08 3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 1Q10

671.5 701.8751.2

827.6 788.5 814.9860.7

962.7 927.6

0.28 0.29 0.28

0.310.27 0.28 0.28

0.26 0.27

0.2592040063389150.2403735446434930.254308714056369

Total COGS / Transaction

Total Transactions (# MM) Total COGS / TransaçõesExlcuding Additional Fee Visa

Investor Relations Contacts:ri@cielo.com.brPhone.: 55 11 2184 7930/7785/7709