1. 13Q14 ResultsConference CallOctober 23rd, 2014

2. 3Q142AGENDA3Q14 ResultsOutlookQ&A 3. 3Q143GROSS REVENUES AND BREAKDOWN BY BRANDR$ MILLIONGROSS REVENUES BREAKDOWN PER CHANNELDOMESTIC MARKET EX-OTHERS REVENUES3Q14 IN R$ MILLION, CHANGE 3Q14 x 3Q13Gross revenues of R$ 431.1 million (-0.9%)lead by weaker performance in most of the brands and channels. Highlight to online sales, +20%.3Q133Q14Change435.0431.1-0.9%309.8308.2-0.5%46.149.8+8.0%38.436.4-5.3%24.922.4-10.0%7.98.3+5.6%InternationalMarket 4. 3Q144HERING STORE NETWORKGROSS SALES SELL-OUT, R$ MILLIONGross revenues of R$ 329.3 million (+0.5%), still afflicted by World Cup effects (first days of July). Sales trend improved after the event. Storesopenedin thelasttwelvemonthsnet fromclosingsTemporaryreductionin thepricesofthebasicsline, AutumnandWinter collectionsitemslasteduptoearlyAugust.Introductionofthenew basicsandinnovationsalongwithSummer Collection(mid-August). 5. 3Q145GROSS PROFITR$ MILLION AND GROSS MARGINEBITDAR$ MILLION AND EBITDA MARGINEBITDA of R$ 74.7 million (-9.4%) due to higher expenses from new corporate structures and gross margin decline due to higher promotional activities. 6. 3Q146NET INCOMER$ MILLION AND NET MARGINCAPEXR$ MILLIONNet income ofR$ 70.9 million (+21.7%) due to fiscal benefit of R$ 21.2 million in income taxes.Investments for the year concentrated in IT : e-commerce and ERP roll-out are the main projects. 7. 3Q147CASH FLOWSR$ MILLIONR$ 64.4 million cash flow in the quarter,lead by lower working capital (specially inventories).Dividends of R$ 50.0 million announced in the quarter (R$0.3037 per share). 3Q133Q14Chg.9M139M14Chg. EBITDA82.5 74.7 (7.7) 301.3 266.1 (35.2) Non-cash items3.3 1.3 (2.0) 10.0 14.0 4.0 Current Income tax and Social Contribution (19.1) (1.7) 17.4 (81.9) (51.5) 30.4 Working Capital Capex(8.7) 16.2 24.9 (26.8) 12.3 39.1 Decrease in trade accounts receivable62.0 61.8 (0.2) 52.1 92.0 39.9 (Increase) in inventories(83.6) (56.8) 26.8 (93.5) (50.1) 43.4 Increase in accounts payable to suppliers21.7 33.7 12.0 16.9 29.1 12.2 (Decrease) in taxes payable(5.0) (17.0) (12.0) (17.3) (56.1) (38.8) Others(3.8) (5.5) (1.7) 15.1 (2.6) (17.7) CapEx(25.4) (26.0) (0.6) (50.5) (59.4) (8.9) Free Cash Flow32.6 64.4 31.9 152.1 181.5 29.4 8. 3Q148AGENDA3Q14 ResultsOutlookQ&A 9. 3Q149OUTLOOKHerings new development/assortment in place. New communication coming in...Innovation, also for basics, started flowing into the stores in August.New campaign launch in October to support High Summer Collection (through December). Its illustrated this presentation.E-commerce evolutionHerings webstorewill be relauchedin a new platform in October, with new features and improved buying experience.All brands will be migrated in 2015 and additional tools will be added.StoresChallenging scenario for organic expansion, specially on occupancy cost.Focus on profitability may be translated into fewer openings in 2015.502014 Store opening prediction2375dzarm.s framework set and ready for its relaunchby Autumn15New brand positioning and distribution. Details to follow2Grand Total 10. 3Q1410OUTLOOKHering for you: Launch of the first storeOpened in October in Shopping Morumbi mall, in So Paulo. Next store at Center Norte mall (SP) in 4Q14.Cornerstone to its growth strategy. Communicates brands value proposition to consumers.StoreatShopping Morumbi. Actualpictures. 11. 3Q1411AGENDA3Q14 ResultsOutlookQ&A 12. 3Q1412DISCLAIMERThis presentation contains forward- looking statements regarding the prospects of the business, estimates for operating and financial results, and those regarding Cia. Hering's growth prospects. These are merely projections and, as such, are based exclusively on the expectations of Cia. Hering management concerning the future of the business and its continued access to capital to fund the Companys business Plan. Such forward-looking statements depend, substantially, on changes in market conditions, government regulations, competitive pressures, the performance of the Brazilian economy and the industry, among other factors and risks disclosed in Cia. Herings filed disclosure documents and are, therefore, subject to change without prior notice. 13. 3Q1413INVESTOR RELATIONS TEAMFabio Hering CEOFrederico OldaniCFO andIROBruno Salem Brasil IR Managerwww.ciahering.com.br/ir+55 (11) 3371 -4867ri@hering.com.br