September 7th, 2001

Brazil Day

Alfredo SetubalExecutive Vice President

Investor Relations Director

2

The main objective of the strategies which guide

Itaú’s administration has been conducted in order

to balance growth and profitability, focusing

Shareholder Valuein the long-term.

3

10.5 11.6

18.321.2 23.2

27.9 27.2

Dec-95 Dec-96 Dec-97 Dec-98 Dec-99 Dec-00 Jun-01

Highlights

(*) Balances at the end of the periods.

24.432.1

46.4 49.0 51.9

69.6 74.8

Dec-95 Dec-96 Dec-97 Dec-98 Dec-99 Dec-00 Jun-01

12.2 14.1 16.9 16.119.6

27.331.1

Dec-95

Dec-96

Dec-97

Dec-98

Dec-99

Dec-00

Jun-01

10.3 14.2 17.7 21.132.0

42.047.4

Dec-95

Dec-96

Dec-97

Dec-98

Dec-99

Dec-00

Jun-01

Total Assets Credit Operations (1)

DepositsAssets under Management

(1) Credit Operations: Loans, Leasing, Other Credits and Advances on Exchange Contracts

R$ Billion(*)

CAGR = 22.6% CAGR = 18.5%

CAGR = 32.0%CAGR = 18.9%

4

Excellent Performance

(*) End of the 1st Semester; annualized data.

57% 58%

64%

58% 58%59%

56%

1995 1996 1997 1998 1999 2000 2001*

1.41.9 1.6 1.8

3.62.6

4.5

1995 1996 1997 1998 1999 2000 2001*

Efficiency Ratio ROA (%)

R$ Billion(*)

With Banestado

10.315.4 17.2 18.9

31.6 27.7

53.9

1995 1996 1997 1998 1999 2000 2001*

ROE (%)

13.7%14.4%

21.0%21.3%

18.7%20.9%22.3%

1995 1996 1997 1998 1999 2000 J-2001

15.7%14.8%

BIS Ratio (%)

Financial ConsolidatedEconomic-Financial Consolidated

5

Evolution of Net Income

1,869 1,841

1,518

1,918

1,232

351

(77)

225

880721

592

343

-500

0

500

1,000

1,500

2,000

2,500

1995 1996 1997 1998 1999 2000 2001*

R$ MillionCAGR = 30.1%CAGR(1) = 26.2%

* 1st Semester of 2001(1) Considering the recurring income in the 1st Half of 2001.

Extraordinary Results 1,457

6

12.87

16.662.98

-0.67

7.466.04

4.95

2.88

-4.00

0.00

4.00

8.00

12.00

16.00

20.00

1995 1996 1997 1998 1999 2000 2001*

15.85 15.99

2.31 2.88 3.30

9.27

6.80

10.91

1.56

1.9912.90

R$ / thousand shares

Extraordinary Results

Recurring Income 1st Quarter

Evolution of EPS (per thousand shares)

* 1st Semester of 2001

CAGR – Net Income (%): 30.1%CAGR - EPS (%): 31.1%Number of shares (%): -1.0%

7

IntangiblesJune 30, 2001

Total R$ 6.24 billion

1 Goodwill in Acquisitions:BemgeBanco del Buen AyreBanerjItausegBFBBPI / IBTBanestadoOthers

R$ 1.86 billionR$ 0.22R$ 0.09R$ 0.02R$ 0.11R$ 0.13R$ 0.13R$ 1.15R$ 0.01

2 Excess in Provision for Loan Losses R$ 680 million

3 Difference: Market Value x Recorded Value R$ 1.48 billion

5 Brand (The most admired Btazilian Company, recognized and evaluated by Interbrand Consulting)

R$ 2.22 billion (US$ 970 million)

8

3,337

7,311

5,9076,642

4,6514,1983,842

01,000

2,0003,000

4,0005,000

6,0007,000

8,000

1995 1996 1997 1998 1999 2000 2001*

June 30, 2001Market Cap.

R$ 21,914 Million

* June 30, 2001

Stockholders’ Equity EvolutionR$ Million

Jan/95 to Jun/01Dividends R$ 2.4 BillionCapital Increase 0

9

7.57.8

7.06.96.86.76.4

5.75.2

7.07.3

3.4 3.6 3.7 3.84.1

4.6 4.7 4.9 4.95.3

5.7 5.86.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

Itaú Consolidated + BanestadoItaú ConsolidatedItaú

Customers Basis Expansion

June 30, 2001Banco Itaú: 6.0 MillionBanerj: 0.8 MillionBemge: 0.3 MillionBanestado: 0.5 MillionItaú Buen Ayre: 0.2 Million

Million

10

Evolution – Checking + Savings Accounts

0

2

4

6

8

10

12

14

16

18

20

BanestadoBemgeBanerjItaú

Quantities in Million

10.2

19.6

10.913.0

19%19.1

16.9

19%

11

154

9842 41

51

79

1111.427

1.580

284477

813

1.121

0102030405060708090

100110120130140150160

1995 1996 1997 1998 1999 2000 2001*

0

500

1.000

1.500

2.000

2.500

20 21 21 35 5170141

PC & Internet Banking ¹Number of Transactions and CustomersNumber of Transactions and Customers

* Until 06.30.2001(1) Included Bankline transactions only

Transactions (million)

Customers (thousand)Transactions in First Semesters

12

Evolution of Points of Sales

Branches CSBs ATMs * June 30, 2001

2,118 2,114

877 863

1,067 1,0601,244

1,763 1,765

835 766 726835 780

12,064 12,242

7,450 7,754

8,876

10,77111,715

0

500

1,000

1,500

2,000

2,500

1995 1996 1997 1998 1999 2000 2001*0

2,000

4,000

6,000

8,000

10,000

12,000

13

Geographical Distribution of Itaú

São PauloHead Office of Banco Itaú S.A

São Paulo

Rio de Janeiro

Minas Gerais

Rio Grande do Sul

Paraná

Others

States

Total

35.5%

11.0%

9.8%

7.7%

6.2%

28.8%

% of GDP(2)

100.0%

1

2

3

4

5

6

Rank.(1)

29%

15%

24%

3%

20%

9%

Concentration

100%

14

Included: software and hardware investments, rental and maintenance of equip., employee and infrastructure expenses, training, systems development

Expenses in Technology *

354483

571 617741

886 882

1995 1996 1997 1998 1999 2000 2001*

Total in the Period(1995 – Jun/2001):

R$ 4.1 billion

(*) 1st Semester of 2001 annualized

R$ Million

15

25.0

6.5 3.2

5.0

Depreciation

in years

Permanent Assets

2,335 1,689

246 375

25 181 681

3,197

12.31.2000

Fixed AssetsReal EstateFurnitures, Fixtures and EquipmentsData Processing and CommunicationSecurity and Transportation

DeferredInvestment

Subtotal

367Accelerated Depreciation

R$ Million

2,338 1,680

213 367 32

179 709

3,226

06.30.2001

16

Market Segmentation Structure

Large CorporationsAnnual Sales > R$ 100 Million

Public Sector

Very Small CompaniesAnnual Sales < R$ 500 th

Private(Investments > R$ 1 Million

Personnalité ItaúIncome > R$ 5,000

IndividualsIncome > R$ 2,000• Premium • Investor • Company owner

“Individual”

Specialized Structures With Account Manager Without Account Manager

Cardholder

IndividualCompanies

Small CompaniesR$ 500 th < Annual Sales < R$ 4 Million

Medium CompaniesR$ 4 Million < Annual Sales < R$ 100 Million

17

Iniciatives

•Income Growth

Credit Cards

Credit - Individuals

New Segments

Corporate

Personnalité

Small Companies

•Costs Control

18

Evolution of Credit Operations - IndividualsR$ Million

(*) Credit Operations: Loans, Leasing, Pre-export advances and Guarantees.

5,607

6,905

9,595

11,046

4,000

6,000

8,000

10,000

12,000

Dec-98 Dec-99 Dec-00 Jun-01

Credit Operations (*)

CAGR = 31.2%

19

Evolution of Number of Credit Cards

CAGR = 27.9%

* June 30, 2001

1,000 1,104

1,829 1,799

2,279

3,3213,869

0

1.000

2.000

3.000

4.000

5.000

1995 1996 1997 1998 1999 2000 2001*

In thousand

20

Credit Card – Market Share of Sales (%)

Itaucard

Credicard

Bradesco

Banco do Brasil

Unibanco

9.7%

n.a.

10.2%

8.8%

9.7%

9.4%

n.a.

9.5%

10.1%

9.2%

10.3%

14.5%

11.1%

10.5%

8.3%

11.4%

12.7%

11.5%

11.5%

8.1%

1997 1998 1999 2000

* June 30, 2001

2001*

12.4%

18.2%

10.7%

11.7%

8.6%

Market Share of Quantity

Itaú’s Equity Share in Credicard: 33%

12.2%

15.9%

10.7%

10.5%

19.6%

2001*

21

Branches

Customers (Thousand)

Year 1998

32

31.7

1999

33

36.4

2000

35

42.8

2001

55

63.0

2002

57

100.0

Personnalité

22

Focus in Companies

Dedicated Service Structure

50,000 Companies (Internal Potential) + New Customers

Significant Profitability Increase Potential, Business and Relationship

CorporateOver than R$ 50 Million

Middle MarketR$ 4 Million to 50 Million

Small CompaniesR$ 500 thousand to 4

Million

Segment with Relevant Spreads

Implanted: April of 2001

Segmentation of Specific Channel for Small Companies

Business market segmentation of Itaú (annual sales)

23

Loans – Small and Medium Size Companies

CAGR = 19.9%

R$ Million

(*) Credit Operations: Loans, Leasing, Pre-export advances and Guarantees.

1,5701,371

2,441 2,469

0

1,000

2,000

3,000

4,000

Dec-98 Dec-99 Dec-00 Jun-01

Credit Operations *

Strong Potential Growth

24

Corporate Loans

11,729

15,216

17,584

8,946

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

20,000

22,000

Dec-98 Dec-99 Dec-00 Jun-01

Credit Operations (1)

CAGR = 31.0%

R$ Million

(1) Credit Operations: Loans, Leasing, Pre-export advances and Guarantees.

25

Cost Reduction Program

– 2001 and 2002

Lay-offs: 50%

Synergic Integration of Data Processing Systems

Total Reduction at Year Ended of 2002: 35%

Committee of Cost and Process Rationalization (CRPC)

Support of Specialized Consulting Company

Significant Investments in Automation

?} 5 – 10%Ex-Growth

Incorporation/Branches Closed : 20%

26

Itaú - AOL – Strategic Differencial

Largest Internet provider in the World

Winner in Brazil

Technologic Competence (future steps)

Reinforce customer and Bank relationship with a delivery of differentiated services

27

Partnerhips and Corporate Governance

Leverages State Street's Expertise and Banco Itaú's Strong Local Presence To Meet New Investment Demands of Brazil's and U.S.'s Multinational Corporations, Global Investment Managers, Global Insurance Companies and Pension Funds.

Operation of Itaú’s corporate telecommunications network by Telefónica generated a net effect of R$ 450 million in the 2001 result and a 24% reduction (R$ 16 million per year) in expenditures for the present volume of services, besides enabling access to the state-of-the-art technology of Telefónica.

Level I ADR traded at OTC since July 2001

Bovespa´s Level I of Corporate Governance

New Independent Members in the Board

28

External Issuing of Subordinated LoanAugust, 2001August, 2001

• Issuing placed in the American, European and Asiatic markets, with a tranche in US Dollars and another in Yens;

• 10 years term, with payment of the principal at the end; half-yearly interest payments;

• The average coupon for the investor is 9.95% per year, fixed for the total term (478 basis points over US treasury).

• Approximately US$ 343 million (R$ 855 million);• Unparalell transaction: 1st emission Tier 2 by a Brazilian bank, 1st issuing of

this nature abroad, the longest-term private issue by a Brazilian company, the longest-term private issuing in Yens from Latin America;

• Placed at 455 Yield b.ps. below the curve of Brazil for an equivalent term;• Rated A3 by Moody's.

Highlights of the Operation:

29

2000

1st2nd3rd4th5th6th6th7th8th9th10th

1999

1st9th4th3rd7th2nd17th6th10th29th10th

• Top 10 - General

• Microsoft• Natura• Nestlé• Coca-Cola• McDonald´s• TAM • GE-Dako• Votorantim• GM• Itaú• Pão de Açúcar

Source: InterScience

The Most Admired Companies

30

In US$ million

970697667308303196187179177153128110

In relation to annual income(%)

17 728 2 913 812 6281028

• Itaú• Bradesco• Ambev• Banco do Brasil• Unibanco• Embraer• Varig• Multibras• Embratel• Gradiente• Sadia• Tigre

Source: Interbrand (published on Gazeta Mercantil)

• Ranking of More Valuable Brands

The Most Admired Companies

Most valuableBrazilian brandMost valuable

Brazilian brand

31

Itaú is Part of Dow Jones - SAM Group Index

Banco Itaú was, for the first time, chosen as a member of the Dow Jones Sustainability Group Index (DJSGI), along with 236 other companies, of which only two are Brazilian.

Corporate Sustainability

Ability to Create Value to the Shareholder in the Long-Term

Social, Cultural and Environmental Consciousness

Quality of Management

Basic requirements of the DJSGI companies:

DJSGI became, since its creation, in January 1999, an important reference to investors and foreign portfolio managers, who analyze

its evolution to take their investment decisions.

32

0

1.000

2.000

3.000

91 92 93 94 95 96 97 98 99 00 01

Annual Appreciation. 10 years (average) 36.74%. 5 years (average) 21.43%. 12 months (average) 2.76%. 2001 -6.80%

US$

2,291

530

100

BovespaBanco Itaú *

Preferred Shares Appreciation *Evolution of US$ 100 Invested in June 1991

* Without reinvestment of dividends

Real Plan

Rusian CrisisAsian Crisis

Mexican Crisis

Real Devaluation

“Second Largest Market Capitalization among all Brazilian companies”

“Largest Market Capitalization among Latin American Banks”

33

0

50

100

150

200

250

0,0

1,0

2,0

3,0

4,0

5,0

6,0

7,0

Closing (R$/thousand shares)

Recurring Net Income(R$/thousand shares)

Correlation Between EPS and Preferred Share Quotation - Quarterlyuarterly

Linear Positive Correlation: 95.532422%

Linear Positive Correlation: 95.532422%

September 7th, 2001

Brazil Day

Alfredo SetubalExecutive Vice President

Investor Relations Director