1

Disclaimer

This presentation contains forward-looking statements regarding the prospects of thebusiness, estimates for operating and financial results, and those regarding Cia. Hering'sgrowth prospects. These are merely projections and, as such, are based exclusively onthe expectations of Cia. Hering management concerning the future of the business andits continued access to capital to fund the Company’s business plan. Such forward-looking statements depend, substantially, on changes in market conditions, governmentregulations, competitive pressures, the performance of the Brazilian economy and theindustry, among other factors and risks disclosed in Cia. Hering’s filed disclosuredocuments and are, therefore, subject to change without prior notice.

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AGENDA:AGENDA:AGENDA:AGENDA:

• Highlights• Operating Performance• Business Strategy and Outlook

2Q09 Highlights

CIA. HERING ENDS 2Q09 WITH GROWTH

• Gross revenue in domestic market up 48.9%

• Hering brand sales up 57.7%

• Same-store sales growth of 29.3% in the Hering Store Network

• EBITDA Margin up 4.1 percentual points

4

• 14 Hering Stores and 2 PUC Stores were opened in the 2Q09

AGENDA:AGENDA:AGENDA:AGENDA:

• Highlights

• Operating Performance• Business Strategy and Outlook

3.542.5%

209.3

18.6

8.4

54.8%

39.1%

272.0

378.4

Gross Revenue (R$ million)

By Market

Foreign Market

6

138.2

205.88.7

2Q08 2Q09

48.9%

59.8%

146.9

Gross revenue in the domestic market represented 98 .3% of the total gross revenue in the 2Q09.

253.4

370.0

1H08 1H09

46.0%

Domestic Market

12.64.7

205.848.9%

By Brand

dzarm

Others

33.1

26.4

23.8

22.95.9

9.0

4.0%

253.4

370.0

46.0%

Gross Revenue – Domestic Market (R$ million)

108.8

171.6

16.9

13.9

12.6

12.23.3

2Q08 2Q09

57.7%

21.4%

3.7%138.2 PUC

dzarm

Hering

7

Hering brand shows continuous growth potential

198.2

304.1

26.4

1H08 1H09

53.4%

25.4%

4.0%

108.5

205.853.0%

By Distribution Channel

130.8

174.3253.4

370.1

42.6%

49.6%

Gross Revenue – Domestic Market (R$ million)

MultiBrand

67.3

97.3

70.9

108.5

2Q08 2Q09

138.2

44.6%

8

Expressive growth on Hering Store and PUC networks, as well as in multi brand.

122.6

195.7

130.8

1H08 1H09

42.6%

Franchise/Own Store

Brand

59.8%8,7Private

10.2

54.8%18.6

Private Label vs. Own Brands

Gross Revenue – Foreign Market (R$ million)

3.6 3.5

5.1

2Q08 2Q09

3.2%

100.0% 3.5

Private Label

OwnBrands

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Focus on Own Brands sales in the foreign market mai nly in Latin America and Mercosur.

8.4 8.4

1H08 1H09

0.3%

100.0% 8.4

Gross Profit

Gross Profit (R$ million) and Gross Margin (%)

45.4%

44.9%44.4%

7 0

8 0

9 0

1 00

0.3 5

0 .4

0 .4 5

133.6

44.1%

43.4%

43.4%

8 0

1 00

1 2 0

1 4 0

0.3

0 .3 5

0.4

0 .4 5

37.8%

10

Excluding the amount of R$ 4 million registered as AVP (Current Value Adjustment), the gross margin in the 2Q09

would be 45.4% and in the 1H09 it would be 44.1%.

53.4

76.5

0

1 0

2 0

3 0

4 0

5 0

6 0

2Q08 2Q09

0.1

0 .1 5

0.2

0 .2 5

0.3

0 .3 5

43.3%97.0

133.6

0

2 0

4 0

6 0

1H08 1H09

0.1

0 .1 5

0.2

0 .2 537.8%

With AVPWithout AVP

EBITDA

19.1%8 0

1 00

1 2 0

0 .2

0 .2 5

4.1 p.p

17.3%

14.6%

5 0

6 0

7 0

8 0

9 0

1 00

0.1

0 .1 2

0 .1 4

0 .1 6

0 .1 8

0 .2

2.7 p.p

EBITDA (R$ million) and EBITDA Margin (%)

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18.032.5

15.0%

0

2 0

4 0

6 0

2Q08 2Q09

0

0.05

0 .1

0 .1 54.1 p.p

80.6%

The higher EBITDA margin is due to the better operationalperformance of the Company and the dilution of the fixed exp enses.

32.8

53.3

0

1 0

2 0

3 0

4 0

1H08 1H09

0

0.02

0 .04

0 .06

0 .08

62.8%

Stores Distribution

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Fourteen Hering Stores were opened in the quarter, of whi ch 2 ownedstores. Two PUC Stores were also opened. Our multibrand c lients

totaled 15,114 in 23 brazilian states.

59 61 6323

22 22 22

209248

311329

314Goal: 57

Goal: 224

Evolution of the Distribution Network

Distribution Network (number of stores)

151 181230 231 244

39441923

2006 2007 2008 1Q09 2Q09Abroad PUC Hering

209Goal: 172

Goal: 224

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For 2009, the openings are already mapped and in line wit h thestrategic growth plan.

226274

205151

181

230268

325

195

244

Expansion Plan

Hering Store Expansion

30

49

38

57

49

10 25 37 42 51 28 39

141

193226

167205

156

2006 2007 2008 2009* 2010* 2Q08 2Q09

Owned Stores Franchises*estimated

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The expansion plan is maintained with 81 stores to be opened up to the end of 2010.

HS network: New project versus old project

133 stores55%

111 stores45%

New Project Old Project

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Out of the total 244 Hering Stores, 133 are already in the new architectural project, 11 of which were remodeled i n 2Q09.

55%45%

Hering Store Indicators

Hering Store Performance 2Q08 2Q09 Chg. 1H08 1H09 Chg.

Number of Stores 195 244 25.1% 195 244 25.1%

Franchise 167 205 22.8% 167 205 22.8%

Own 28 39 39.3% 28 39 39.3%

Sales (R$ thousand) 109,372 162,989 49.0% 178,024 259,446 45.7%

Same Store Sales growth 38.4% 29.3% -9.1 p.p. 39.0% 25.3 % -35.1%

Sales Area (m²) 26,124 31,275 19.7% 26,124 31,275 19.7%

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The increase of 49.0% on sales is a result of the 1 9.7% in sales area, 29.3% increase in SSS and a 6.2% growth in the aver age sales ticket,

reflecting the increase of fashion and jeanswear pro ducts participation.

Sales (R$ per m²) 4,259 5,301 24.5% 7,085 8,541 20.6%

Check-Outs 1,145,453 1,607,123 40.3% 2,061,030 2,881,380 39.8%

Units 2,657,161 3,598,040 35.4% 4,807,703 6,497,557 35.1%

Average Sales Ticket (R$) 95.48 101.40 6.2% 86.38 90.00 4.2%

TI

Outros

1.7

0.2

52.0%10.0

23.5%

3.3

2.0

0.3

0.5

24.7%

11.3

15.0

39.4%

Capex (R$ million)

By activity

Indústria

Lojas

TI

17

4.5

3.6 1.3

1,1

2.4

0.1

2Q08 2Q09

75.6%

33.3%

4.823.5%

Capex destinated to the stores´ opening and remodeling, a s well as equipment acquisition to update the industrial units.

5.64.3

5.6

4.7

1H08 1H09

23.2%

16.1%

Indebtedness Evolution Short Term x Long Term

Indebteness

Short Term

Long Term45%

201.3184.6

4.6

* EBITDA of the last 12 months

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Total Debt = R$ 96.5 million

Term55%

Net Debt/EBITDA*

Net Debt (R$ million)

-33.4

11.0

-4.0

4.63.5

-0.7 0.1-0.1

2005 2006 2007 2008 2Q09

• Positive Financial Result

– On june 30 2009, Cia. Hering registered a revenue of R$ 3.0 million due to the reversal of part ofthe expense accrued at the end of 2008, referring to the fair value of the derivatives.

Financial Result

R$ thousand 2Q08 2Q09 Chg. 1H09 1H08 Chg.

Net Financial Results (6,098) (200) -96.7% (7,579) (1,997) -73.7%

Net Foreign Exchange (136) 3,223 -2469.9% 123 3,922 3088.6%

Net Financial Derivative Instruments Results - 3,021 N.D - 25,059 N.D

Total Financial Results (6,234) 6,044 -197.0% (7,456) 26,984 -461.9%

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the expense accrued at the end of 2008, referring to the fair value of the derivatives.

• Swap

– April/09 and May/09 verifications: exchange rate lower than R$/USD 2.80

– On 05/04/09, Cia. Hering renegotiated the contract, eliminating nine monthly verifications, fromJun/09 to Feb/10 (included), at a cost of R$ 3.2 million.

– On 07/07/09 the Company renegotiated the contract, eliminating four monthly verifications, fromMar/10 to Jun/10(included), at a cost of R$ 2.0 million.

• Fair Value of Derivatives– On 07/30/09 the fair value of derivatives accounted on the Company’s liabilities in its financial

statements, totaled R$ 3.2 million regarding the current operations at that time.

The Company will remain searching alternatives to minimize and/or to eliminate the exchange risk ofthe remaining derivatives operations:

Shareholder’s Remuneration

Payment of Interest on Shareholder’s Equity

� The payment on 10/August/09 in the amount of R$ 15.2 million refers to:� R$0,1411/share related to the year ended on December 31 2008;� R$0,1405/share related to the first half of 2009;

Dividends� On May 11th 2009 the amount of R$ 10.6 million (R$ 0.19616/share) was paid,

regarding the 2008 year ended on December 31 2008, in accordance to the General

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regarding the 2008 year ended on December 31 2008, in accordance to the GeneralShareholders´ Meeting held on April 28th 2009.

Payment of Interest on Equity 2007 02/22/08 4,853 0.09000

Payment of Interest on Equity 2008 09/17/08 4,853 0.09000

Dividends 2008 05/11/09 10,578 0.19616

Payment of Interest on Equity 2008 08/10/09 7,609 0.14110

Payment of Interest on Equity 1H09 08/10/09 7,576 0.14050

Shareholders remuneration Year EndDate of

PaymentGross Value (R$ million)

Value per Share (R$)

AGENDA:AGENDA:AGENDA:AGENDA:

• Highlights• Operating Performance

• Business Strategy and Outlook

Strategy & Outlook

Hering brand and Hering Store network

� Continuity of brand potential exploration

� Sales increase (per square meter and SSS) in existing stores

� Ongoing expansion plan – 325 stores by the end of 2010

� Communication strategy focusing on sales points.

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PUC and dzarm. brands

� Development of a plan for the children segment

� dzarm. brand repositioning plan currently being carried out .

InvestorInvestor RelationsRelations

Fabio Hering Fabio Hering –– CEO CEO andand IR IR DirectorDirectorFrederico de Aguiar Oldani Frederico de Aguiar Oldani –– CFOCFOKarina Koerich Karina Koerich –– IR ManagerIR ManagerGracila Camargo Lopes Gracila Camargo Lopes –– IR IR AnalystAnalyst

Tel.: +55 (47) 3321Tel.: +55 (47) 3321--3469 3469 EE--mailmail: ri@heringnet.com.br: ri@heringnet.com.brWebsiteWebsite: www.ciahering.com.br/ir: www.ciahering.com.br/ir

Investor Relations Consulting FirmFIRB – Financial Investor Relations BrasilLigia Montagnani – IR ConsultantTel: +55 (11) 3897-6857E-mail: ligia.montagnani@firb.com