2011JBS S.A. August

September

JBS S.A.

3PAGE

JBS S.A. at a glance

Founded in the 1950’s in West Central Brazil

IPO in 2007

Leading protein producer and third largest food company in the World

Revenues of over R$ 29.3 billion in the 1st semester 2011

EBITDA of R$ 1.42 billion in the 1st semester 2011

Organic growth of 14.2% in local currency in 2010

125,000 employees worldwide

134 production units in 5 continents

Market cap of approximately R$ 13.8 billion(1)

(1) 31/07/2011

4PAGE

JBS Ranking

3 Geographic and

market segment

diversification

1 Market Leader

4 Well-recognized

brands

2 Track Record

of successful

acquisitions

Largest global beef and

lamb producer1st

Largest global leather

processor1st

Largest global chicken

producer2nd

Largest dairy

producer in Brazil3rd

Largest pork producer

in the US3rd

Source: JBS

5PAGE

Merger and Acquisition track record More than 30 acquisitions in 15 years

0.3 0.4 0.4 0.5 0.5 0.4 0.7 1.2 1.5 4.3

14,1

30.3

34.3

54.7

1996 1997 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Barra do Garças (Sadia)

Andradina (Sadia)

Barretos (Anglo)

Pres. Epitácio e Campo grande (Bordon)

Araputanga(Frigoara)

Cáceres (Frigosol)

Iturama (Frigosol)

Rio BrancoCacoal 1Cacoal 2Porto VelhoVilhena (Frigovira)

Pedra Preta (Frigo Marca)

Venado

Tuerto

Pontevedra

(CEPA)

JV Beef Jerky

Merger with Bertin

JBS Couros

5 new units

Tatiara Meat

(Swift Austrália)

Net revenue (R$ billion)

Inalca

SB Holdings

Berazategui (Rio Platense)

Colonia Caroya

Maringá (Amambay)

Swift Foods Co.

JBS went international with the acquisition of Swift Argentina.

Construction of a sustainable global meat production and sales platform.

2005

JBS became the largest beef company in the world and the biggest Brazilian company in the food industry and entered the US pork market.

2007

2008

Diversification of market segments through the acquisition of Pilgrim’s Pride and merger with Bertin.

2009

JBS Swift became the leader in lamb production in Australia.

2010

RosárioSan Jose(Swift Argentina)

Pilgrim´s Pride

3 Geographic and

market segment

diversification

1 Market Leader

4 Well-recognized

brands

2 Track Record

of successful

acquisitions Rockdale Beef

Source: JBS

Smithfield

Beef

Five Rivers

Tasman

6PAGE

Diversified market segments

Beef

Pork

Chicken

Transportation

Biodiesel

Collagen

Leather

Dairy products

Lamb

1 Market Leader

4 Well-recognized

brands

3 Geographic

and market

segment

diversification

2 Track Record of

successful

acquisitions

7PAGESource: JBS

3 Geographic

and market

segment

diversification

1 Market Leader

4 Well-recognized

brands

2 Track Record of

successful

acquisitions

Presence in more than 100 countries, in 6 continents

Slaughterhouse and Industry

Sales Office

Pork

LeatherBeef

Distribution CenterDairy

Biodiesel

Strategic Geographical Distribution

Chicken

Geographic

Presence and

Production

Capacity

85,825 heads/day

Beef

7.9 mm birds/day

Chicken

50,000 heads/day

Pork

5,400 tons/day

Dairy

24,000 heads/day

Lamb

76,100 hides/day

Leather

3

60

37

20

7

1

58

7

134

u Units

8PAGE

Well-recognized Brands, symbols of quality

3 Geographic and

market segment

diversification

1 Market Leader

4 Well-recognized

brands

2 Track Record of

successful

acquisitions

EUA

Australia

Brazil

Argentina

9PAGE

EBITDA

Margin

Our Strategy

RATIONALE

Associating quality and branding to

increase client loyalty

Customized and further processed

products for the end users

Expanding a global distribution

platform to reach end clients

Developed an efficient and

diversified global production

platform

Production platform

Sales and distribution platform

Value added products

Branding

Financial

Structure

Experienced

Management

Cost reduction,

process

optimization

Risk

Management

JBS’s Value & Strategy

Perspectives for the animal protein market

JBS is well positioned to serve global demand for animal protein

A promising sector to invest in

11PAGE

Global consumption of animal protein has been increasing

Consumption by region over the past ten years

North America

Central America

South America

E.U. - 27

Middle East

North Asia

East Asia

Oceania

Southeast Asia

Africa

+3.0%

+41.4%

+47.7%+7.5%

+29%

+32.2%

+23.7%

+48.7%

+23.3%

Source: Rabobank

+70.2%

12PAGE

Global Protein Trade Continues to GrowJBS Has Presence in Markets That Represent Nearly 64% of Global Trade

0

50

100

150

200

250

300

1960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 2015 2019

Source: Historical figures per USDA FAS. Projected and forecasted data per OECD estimates.

(MT in mm)

Historical Forecast

13PAGE

Global Protein Consumption Growth

Source: USDA FAS

(MT in mm)

Strong Global Industry Fundamentals

0

50

100

150

200

250

1981 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011

14PAGE

Global Beef Trade

Source: USDA

E.U. 1.0%

Uruguay 5.0%

Argentina 5.0%

Canada 6.0%

New Zealand 7.0%

Others 10.0%

India 10.0%

Brazil 27.0%

Australia 18.0%

USA 11.0%

Largest Beef Exporters

15PAGE

Brazil, Australia and the US continue to lead global beef exports

Source: USDA, MLA and Secex

Beef Exports Average Price (US$/Ton)

Australian Beef Exports (tons)

Brazil, Australia and US represent, respectively, 27%, 18% and 11% of global beef trade

Brazilian Beef Exports (tons)

US Beef and Veal Exports (tons)

0

500

1.000

1.500

2.000

2.500

3.000

3.500

4.000

4.500

5.000

5.500

0

200.000

400.000

600.000

800.000

1.000.000

1.200.000

1.400.000

2005 2006 2007 2008 2009 2010 1H10 1H11

+4.3%

0

500

1.000

1.500

2.000

2.500

3.000

3.500

4.000

4.500

5.000

5.500

0

200.000

400.000

600.000

800.000

1.000.000

1.200.000

1.400.000

2005 2006 2007 2008 2009 2010 1H10 1H11

+25.8%

+13.0%

0

500

1.000

1.500

2.000

2.500

3.000

3.500

4.000

4.500

5.000

5.500

0

200.000

400.000

600.000

800.000

1.000.000

1.200.000

1.400.000

2005 2006 2007 2008 2009 2010 1H10 1H11

-16.4%

+31.6%

+3.5%

16PAGE

Chicken Exports Brazil vs US

Source: USDA and Secex

Brazilian Chicken Exports (tons) US Chicken Exports (tons)

Chicken Exports Average Price (US$/Ton)

Brazil and US represent, respectively, 39% and 34% of global chicken trade

0

200

400

600

800

1.000

1.200

1.400

1.600

1.800

2.000

0

500.000

1.000.000

1.500.000

2.000.000

2.500.000

3.000.000

3.500.000

4.000.000

4.500.000

2005 2006 2007 2008 2009 2010 1H10 1H11

+21.4%

0

200

400

600

800

1.000

1.200

1.400

1.600

1.800

0

500.000

1.000.000

1.500.000

2.000.000

2.500.000

3.000.000

3.500.000

4.000.000

4.500.000

2005 2006 2007 2008 2009 2010 1H10 1H11

+6.4%-1.7%

+10.2%

17PAGE

Pork Exports US vs Brazil

Source: USDA and Secex

Brazilian Pork Exports (tons) US Pork Exports (tons)

Pork Exports Average Price (US$/Ton)

US and Brazil represent, respectively, 32% and 11% of global pork trade

0

500

1.000

1.500

2.000

2.500

3.000

0

200.000

400.000

600.000

800.000

1.000.000

1.200.000

1.400.000

2005 2006 2007 2008 2009 2010 1H10 1H11

+12.0%

0

500

1.000

1.500

2.000

2.500

3.000

0

200.000

400.000

600.000

800.000

1.000.000

1.200.000

1.400.000

2005 2006 2007 2008 2009 2010 1H10 1H11

-1.8%

+14.5%

+7.2%

18PAGE

$ Global Surplus (deficit)

Source: Goldman Sachs

Goldman Sachs forecast for animal protein in 2020

Beef & Veal

Surplus Deficit

Pork

Chicken

2Q11 Highlights

20PAGE

Net revenue in 2Q11 was R$14,621.8 million, 3.6% higher than 2Q10.

The Company ended the quarter with R$5.0 billion in cash more than a 100% of the short-term debt.

2Q11 Highlights

The main operating highlights were:

JBS concluded the capitalization of the debentures in shares of JBS S.A. at R$7.04.

The Company raised US$2.0 billion in long-term debt.

All the business units of JBS presented significant organic growth y-o-y.

JBS Mercosul presented EBITDA of R$427.9 million, with a EBITDA margin of 11.8%

JBS USA Pork presented EBITDA of US$83.6 million, 71.7% greater than 2Q10, with EBITDA margin of 9.9%.

21PAGESource: JBS

JBS Consolidated Results – 2Q11

1,000 1,026

866 836

588

7.1 7.36.0 5.7

4.0

-12,0

8,0

0,0

200,0

400,0

600,0

800,0

1000,0

1200,0

1400,0

1600,0

1800,0

2Q10 3Q10 4Q10 1Q11 2Q11

EBITDANet Revenue (R$ million) EBITDA and EBITDA Margin (R$ million)

14,116.3 14.069,6 14,319.6 14,672.7 14,621.8

2Q10 3Q10 4Q10 1Q11 2Q11

+2.5% -0.3%-0.3% +1.8%

-29.7%

+2.6%-15.6%

-3.5%

EBITDA Margin (%)

22PAGESource: JBS

Semester Analysis

Net sales (R$ billion)

3.43.9

1H10 1H11

6.27.8

1H10 1H11

Net sales (US$ billion) Net sales (US$ million) Net sales (US$ billion)

EBITDA (R$ mi) EBITDA (US$ mi) EBITDA (US$ mi) EBITDA (US$ mi)

JBS Mercosul JBS USA

(Including Australia)

JBS USA JBS USA (PPC)

83.6

188.9

-0,2

-0,15

-0,1

-0,05

0

0,05

0,1

0,15

0

100

200

300

1H10 1H11

187.1

-102.8

-0,6

-0,58

-0,56

-0,54

-0,52

-0,5

-0,48

-0,46

-0,44

-0,42

-0,4

-0,38

-0,36

-0,34

-0,32

-0,3

-0,28

-0,26

-0,24

-0,22

-0,2

-0,18

-0,16

-0,14

-0,12

-0,1

-0,08

-0,06

-0,04

-0,02

0

0,02

0,04

0,06

0,08

0,1

0,12

0,14

0,16

0,18

0,2

-200

-100

0

100

200

300

400

500

600

700

800

900

1000

1H10 1H11

697.2 736.2

-0,15

-0,13

-0,11

-0,09

-0,07

-0,05

-0,03

-0,01

0,01

0,03

0,05

0,07

0,09

0,11

0,13

0

100

200

300

400

500

600

700

800

900

1000

1100

1H10 1H11

6.37.2

1H10 1H11

365.4314.4

-0,3

-0,28

-0,26

-0,24

-0,22

-0,2

-0,18

-0,16

-0,14

-0,12

-0,1

-0,08

-0,06

-0,04

-0,02

0

0,02

0,04

0,06

0,08

0,1

0,12

0,14

0,16

0

100

200

300

400

500

600

700

800

900

1000

1100

1H10 1H11

1.41.7

0

1H10 1H11

Performance by Business Unit

23PAGESource: JBS

Net sales (R$ billion) Net sales (US$ billion) Net sales (US$ million) Net sales (US$ billion)

EBITDA (R$ mi) EBITDA margin EBITDA (US$ mi) EBITDA margin EBITDA (US$ mi) EBITDA margin EBITDA (US$ mi) EBITDA margin

EBITDA Margin (%)

JBS Mercosul JBS USA

(Including Australia)

JBS USA JBS USA (PPC)

3.33.4

3.6

3.8

4.0

2Q10 3Q10 4Q10 1Q11 2Q11

3.5 3.53.4

3.6 3.6

2Q10 3Q10 4Q10 1Q11 2Q11

48.7

90.8102.4 105.3

83.6

6.6%

11.8% 12.8% 12.6%9.9%

-10,0%

-5,0%

0,0%

5,0%

10,0%

0

100

2Q10 3Q10 4Q10 1Q11 2Q11

127.6170

124.8

-55.2 -47.6

7.5% 9.9%6.9%

-2.9%

-2.4%

-30,0%

-28,0%

-26,0%

-24,0%

-22,0%

-20,0%

-18,0%

-16,0%

-14,0%

-12,0%

-10,0%

-8,0%

-6,0%

-4,0%

-2,0%

0,0%

2,0%

4,0%

6,0%

8,0%

10,0%

12,0%

14,0%

16,0%

18,0%

20,0%

-100

0

100

200

300

400

500

2Q10 3Q10 4Q10 1Q11 2Q11

334.5363.7

238.8

308.6

427.9

9.5% 10.4%

7.1%8.6%

11.8%

-10,0%

-8,0%

-6,0%

-4,0%

-2,0%

0,0%

2,0%

4,0%

6,0%

8,0%

10,0%

12,0%

0

100

200

300

400

500

600

2Q10 3Q10 4Q10 1Q11 2Q11

194.9

103.5

194.8

269.7

44.7

5.9%3.1%

5.4% 7.1%

1.1%

-30,0%

-28,0%

-26,0%

-24,0%

-22,0%

-20,0%

-18,0%

-16,0%

-14,0%

-12,0%

-10,0%

-8,0%

-6,0%

-4,0%

-2,0%

0,0%

2,0%

4,0%

6,0%

8,0%

10,0%

12,0%

14,0%

16,0%

0

100

200

300

400

500

2Q10 3Q10 4Q10 1Q11 2Q11

1.7 1.7 1.8 1.9 2.0

2Q10 3Q10 4Q10 1Q11 2Q11

739 772 799837 846

100

180

260

340

420

500

580

660

740

820

900

980

1060

1140

1220

1300

2Q10 3Q10 4Q10 1Q11 2Q11

Quarterly Analysis

Performance by Business Unit

24PAGESource: JBS

Revenue and EBITDA Distribution by Business Unit

Revenue - 2Q11

EBITDA - 2Q11

43.5%

25.4%21.5%

9.6%

73.4%

12.7%

26.5%

-12.6%

Revenue - 2010

34.7%

29.7%

12.6%

23.0%

43.0%

24.8%22.5%

9.7%

EBITDA

25PAGESource: JBS

Organic Growth

Each business unit presented double digit organic growth in their local currency, for the period.

JBS USA Beef – Net Revenue (US$ million) JBS USA Chicken – Net Revenue (US$ million)

JBS USA Pork – Net Revenue (US$ million) JBS Mercosul – Net Revenue (R$ million)

2.600

2.800

3.000

3.200

3.400

3.600

3.800

4.000

1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11

1.600

1.700

1.800

1.900

2.000

2.100

1Q10 2Q10 3Q10 4Q10 1Q11 2Q11

2.800

2.900

3.000

3.100

3.200

3.300

3.400

3.500

3.600

1Q10 2Q10 3Q10 4Q10 1Q11 2Q11

500

550

600

650

700

750

800

850

1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11

26PAGESource: JBS

Philippines 1.3%

Taiwan 2.5%

China 4.0%

Canada 4.4%

E.U. 5.2%

Hong Kong 6.8%

Others 14.0%

Russia 8.4%

Africa and Middle East 15.9%

Mexico 14.4%

Japan 13.1%

South Korea 10.1%

US$ 2,363.6 million

2Q11

US$ 2,450.3 million

1Q11

JBS Consolidated Exports Distribution

Vietnam1.2%

Taiwan 2.7%

China 4.1%

Canada 4.8%

South Korea 7.7%

Hong Kong 6.8%

Others 16.0%

E.U. 6.9%

Mexico 13.0%

Africa and Middle East 13.6%

Russia 9.5%

Japan 13.7%

27PAGE

. Leverage EBITDA

Leverage

Source: JBS

* subsidiary controlled by JBS with non-recourse debt.

Debt Profile

Short Term Long Term

ST / LT Profile

3.0 2.9 3.0 3.1

3.6x

0,0

1,0

2,0

3,0

-100

100

300

500

700

900

1100

1300

1500

2Q10 3Q10 4Q10 1Q11 2Q11

36%

33%

33%

30%

27%

64%

67%

67%

70%

73%

2Q10

3Q10

4Q10

1Q11

2Q11

Net debt to EBITDA, excluding Pilgrim’s Pride Corp. (PPC)*, went from 2.9x in 1Q11 to 3.2x in 2Q11

Net debt to EBITDA, including Pilgrim’s Pride Corp. (PPC)*, went from 3.1x in 1Q11 to 3.6x in 2Q11

The Company ended the quarter with R$5.0 billion in cash or cash equivalents, more than a 100% of the Company’s short-term debt

Stock MarketIn 2007, JBS was the first Company in the beef industry to trade its

shares on the stock market

29PAGE

Average daily

traded volume

of R$ 22.7

million in

2Q11

Shareholders

Source: JBS

3.0%

30PAGE

Sell-side analyst recommendation

Source: Bloomberg and JBS

Institution Analyst Recommendation Target Price (R$)

Mariana Peringer

Ricardo Boiati / Alan Cardoso

Fábio Monteiro / Thiago Duarte

Gustavo Wigman / Claudio Lensing

Pedro Herrera / Diego Maia

Fernando Ferreira / Isabella Simonato

Erick Guedes / Fernando Labes

Gustavo Oliveira / Flavio Barcala

Hold

Market Perform

Buy

Neutral

Neutral

Neutral

Outperform

Neutral

In revision– 10.20 (last)

8.80

9.30

7.30

6.40

5.00

10.35

5.10

Luis Miranda Hold 7.00

Banco do Brasil

Bradesco

BTG Pactual

Goldman Sachs

HSBC

Merrill Lynch BofA

Safra

UBS

Santander

$

Carlos Albano Hold 7.40Citi

31PAGE

Corporate Governance

Transparency

Good Governance Practices

Confidence

Best services and products

Solidity

Profitability

Future

1 president

5 permanent directors

5 permanent independent directors

Consist of shareholders or not, liable to

be elected or dismissed at any time of

the General Meeting.

Management and Board of Directors

Board of Directors Audit Committe

11 members 5 members

Elected by the board of directors, for

three-year terms, and are eligible for

reelection.

Board of Executive Officers

Audit

Finance

Human Resources

Corporate Strategy / Sustainability

Committes of Directors

4 committes

JBS is listed on the Novo Mercado, a segment in which companies are committed to

following a series of rules that provide better transparency and security to investors

*

JBS is listed on the Novo Mercado which guarantees transparency,

confidence and continuous improvements in best practices

Sustainability

33PAGE

Social, economic and environmental responsibility has always been a part of the

development and business growth of JBS

Source: JBS Sustainability Policy

Foundation

Risk and Crises

Management

Corporate Direction

Knowledge Management

Stakeholders

Engagement

Citizenship and

Education

Good Practices of Human

Resource

Human Capital

Development

Environmental

Management

Eco-efficiency

Sustainable Cattle

Breeding

Climate Changes

Economic Social Environmental

Ecologically viable

Ecologically correct

Socially responsible

Culturally acceptable

Premises Priorities

Sustainable use of the materials

Partnership with reputable organizations

Health and Quality of life

Climate

Residue Treatment

* Clean Development

Mechanism

**United Nations

Framework Convention

on Climate Change

34PAGE

Classroom

Social

Germinare School is a social initiative of the JBS Institute which

looks at Education as the principal instrument to transform society.

Laboratory

Social

GERMINARE SCHOOL

Purpose: to prepare well-educated and well-rounded citizens with a

broad cultural repertoire, sound ethical values and a positive

attitude toward life and society.

Number of students (2011): 270

Capacity of 630 students.

Area: 6,000 m2

Sport complex, swimming pool, computer lab and chemistry lab.

Amount invested: R$15 million

Selection process: tests and group dynamics.

Top Brazilian professors.

JBS Institute funds Germinare SchoolSocial Responsibility

Source: JBS

Started in 2010

35PAGE

Amazon

Social

Satellite image

Social

GTPS (Sustainable Livestock Working Group)

Purpose: reduce deforestation in the Amazon Biome; avoid

purchasing cattle from Environmentally Protected Areas – EPAs,

Indigenous reserves and protected areas; eradication of slave

labor in Brazil.

JBS Brazil monitors a 100% of its cattle suppliers properties via

satellite georeferencing (GPS monitoring).

After the property coordinates are collected, the data is keyed into

JBS’s registry of cattle suppliers and is sent to an outsource company

to be analyzed by superimposing on a map constructed from satellite

images and the DETER(1) and PRODES(2) produced by Brazil’s National

Institute for Space Research – INPE.

JBS contains a database of almost 12,000 cattle ranches registred

in the Amazon Biome.

Satellite image monitoring of the Amazon Biome

JBS actions related to cattle traceability and the Amazon BiomeSustainability

Source: JBS Sustainability Policy(1)Real Time Deforestation Detection(2)Legal Amazon Deforestation Monitoring Project

Mission

“

”

To be best in what we set out to do, totally focused on

our business, ensuring the best products and services for our customers, solidity for our suppliers,

satisfactory profitability for our shareholders and the

certainty of a better future to all our employees.