1. Localiza Rent a Car S.A.
1Q07 Results presentation
(R$ million - USGAAP)
0

2. Integrated business platform
145 agencies 14,938 cars
23,825 cars (489 managed)
1,086,794 individuals and 350 clients
14,000 corporations
157 employees
1.828 employees
Synergies:
cost reduction
cross selling
bargaining power
Overhead = 124 employees
30 points of sale
171 agencies
8, 870 cars sold
in 9 countries
79% sold to final
6,319 cars
consumer
17 employees 381 employees
This integrated business platform gives us superior performance
As of December 31, 2006

3. Car rental financial cycle
Financing Car Sales Revenue
100 102 Revenue per car sold** 102,20
SG&A (7%) (7,15)
Safety Margin (3%) (3,06)
Book value after 12 months 91,99
** Depreciation over list price:
100-(102.2/125)x100 = 18,2%
Principal 100,00
100 Interest (CDI + 1 p.p.) 15,00
Car acquisition 115 Financial payment 115,00
Financial payment
(List price net of dealers
discount = 125)
Depreciation = estimated price of selling after one year, net of SG&A and safety
margin minus price of purchase. Depreciation rate: 100-(102.2*0.9) = 8.02%
Holding cost of cars after tax with 3% margin = depreciation + financial cost.
Either the leverage is through third party financing or shareholder’s capital.
2

4. Car rental financial cycle
Financing Car Sales Revenue
100 102 Revenue per car sold** 102,20
SG&A (7%) (7,15)
Safety Margin (3%) (3,06)
Book value after 12 months 91,99
Revenues = 114,58 ** Depreciation over list price:
100-(102.2/125)x100 = 18,2%
Expenses = 62,84
Principal 100,00
100 Interest (CDI + 1 p.p.) 15,00
115
Car acquisition Financial payment 115,00
Financial payment
(List price net of dealers
discount = 125)
Car Rental Car Resale (Seminovos) Consolidated
R$ % * R$ % R$ %
Car rental revenue 114,58 100,0% 102,20 100,0% 216,78 100,0%
Costs (46,00) -40,1% (46,00)
SG&A (16,84) -14,7% (7,15) (23,99)
Book value of car resale (91,99) -90,0% (91,99) -3,8%
EBITDA 51,75 45,2% 3,06 3,0% 54,81 25,3%
Depreciation (8,20) -8,0% (8,20) -3,8%
Interest (15,00) -14,7% (15,00) -6,9%
Tax (30%) (15,52) -13,5% 6,04 5,9% (9,48) -4,4%
NET INCOME 36,22 31,6% (14,10) -13,8% 22,12 10,2%
% over car rental revenue 31,6% -12,3% 19,3%
Consolidated net margin is 19,3% of car rental revenues (if 100% leveraged).
3

5. Fleet rental financial cycle
Financing Car Sales Revenue
Revenue per car sold** 102,20
100 102 SG&A (7%) (7,15)
Safety Margin (3%) (3,06)
Book value after 12 months 91,99
Revenues = 53,64 ** Depreciation over list price:
100-(102.2/125)x100 = 18,2%
Expenses = 18,21
Principal 100,00
100 Interest (CDI + 1 p.p.) 15,00
Car acquisition 115 Financial payment 115,00
(List price net of dealers Financial payment
discount = 125)
Fleet Rental* Car Resale (Seminovos) Consolidated
R$ % R$ % R$ %
Fleet rental Revenue 53,64 100,0% 102,20 100,0% 155,84 100,0%
Costs (14,24) -26,5% (14,24) -9,1%
SG&A (3,97) -7,4% (7,15) (11,12) -7,1%
Book value of car resale (91,99) -90,0% (91,99) -59,0%
EBITDA 35,43 66,0% 3,06 3,0% 38,49 24,7%
Depreciation (8,20) -8,0% (8,20) -5,3%
Interest (15,00) -14,7% (15,00) -9,6%
Tax (30%) (10,63) -19,8% 6,04 5,9% (4,59) -2,9%
NET INCOME 24,80 46,2% (14,10) -13,8% 10,70 6,9%
% over fleet rental revenue 46,2% -26,3% 20,0%
Consolidated net margin is 20% of fleet rental revenues (if 100% leveraged).
4

6. Breakdown per segment
2006
Revenue EBITDA Profit
Franchising Franchising
1% Car rental Semino vo s F ranchising
1% 2%
31% 9%
C ar rental Fleet rental
48% 45%
Seminovos Car rental
52% F leet rent al 54%
Fleet rental 42%
17%
Revenues Ebitda Profit
Car rental 31% 48% 54%
Fleet rental 17% 42% 45%
Seminovos 52% 9% *
Franchising 1% 1% 2%
Total 100% 100% 100%
*Profit (loss) alocated in the rental divisions

7. Strategy by segment
Increase market leadership maintaining high return
Core Businesses
Add value to the brand by expanding the network in
Brazil and South America
Create value taking advantage of the synergies of the
integrated business platform
Support
Add value to the businesses of the platform as a
competitive advantage, reducing depreciation costs
6

8. Growth opportunities
GDP elasticity
Consolidation Air traffic
Fleet outsorcing Credit cards
Replacement
7

9. Growth opportunities: GDP
Accumulated growth rate – car rental
7.7x
2003 2004 2005 2006
Localiza – Daily volume GDP
The average car rental division volume growth was
7.7 x GDP over the last 3 years
Source: Bacen, Localiza
8

10. Growth opportunities: Air traffic
Air traffic evolution Number of travellers has
(Millions of passengers per year)
increased 13% on the last 3
years
13%
CAGR: +
96
102 Localiza is the absolute leader
83
71 in airport branches in Brazil
In 2006 Localiza Car Rental
2003 2004 2005 2006
Division grew 2 times faster
than the number of passengers
Source: infraero
9

11. Growth opportunities: Credit cards
# of credit cards (million)
18%
CAGR: +
78
68
53
48
2003 2004 2005 2006
78 million credit cards in Brazil
35.5 million potential Localiza customers
37% of car rental revenues came
through credit cards in 2006
Source: www.abecs.
10

12. Growth opportunities: Replacement market
Replacement is a growing market in Brazil
Brazil has 34 million cars but only 9.2 million
insured
The accident rate is 16.5% / year
The potential market is 10.6 million of daily
rentals (2.5 x the car rental division in 2006)
Localiza is very well positioned to capture this growth
due to its geographic footprint
Source: FENASEG -
11

13. Growth opportunities: Fleet outsourcing
Large potential market with low penetration due to lack of habit
Large potential market with low penetration due to lack of habit
Focus of corporations on their core businesses
Focus of corporations on their core businesses
Fixed asset reduction by companies (increase their asset turnover)
Fixed asset reduction by companies (increase their asset turnover)
Renting a fleet is more economic than owning it
Renting a fleet is more economic than owning it
12

14. Growth opportunities: Consolidation
US Market share 2005
US airport segment* US off-airport segment*
US$10BN - US$10BN
Enterprise
Other All others
7% DTG
Avis Budget 2% 19%
11% Avis Budget
32%
7%
Vanguard Hertz
20% Enterprise
65% 9%
Hertz
28%
USA: 5 companies hold 92% of market share
Europe: 6 companies hold 74% of market share**
Source:*Avis presentation nov/06 - local segment share amounts are company estimates
** National/Alamo prospectus, NYSE/SEC, September 20, 2006
13

15. Growth opportunities: Off-airport market
Airport and off airport market - Brazil
BR on airport segment* BR off-airport segment*
agencies agencies
Others
Localiza*
**
204
48 Localiza * Hertz
74
56 Avis
51
**
**
**
Unidas
Unidas 42
31
***
Avis ** Hertz ** Others
31 1948
33
Source: 1948 companies as of ABLA’s report
* Localiza as of 03/31/07
**Each company website, 04/16/07
*** Assuming that each local player has one agency
In the airports the market is concentrated in the hands of the networks
Off-airport market is fragmented mainly among 1.952 small car rental companies
14

16. Growth opportunities: On airport and off-airport growth
2006
Domestic deplanements increase x Localiza (rentals on airports) Of f- airport x On - airport share
100% 100% 100%
39,0%
46,4% 40,6% 40,5%
24,0%
17,0% 17,0% 17,0%
12,6%
8,2% 53,6% 59,4% 59,5%
5,8%
2004 2005 2006 1Q07 2005 2006 1Q07
Domestic deplanement Daily rental volume on airports Off-airport agencies On-airport agencies
Elasticity on airport in 2006 was 2 times the growth of domestic deplanements
2006 / 2005 Growth (Car rental division)
Volume growth Revenue growth
Airport 17.2% 16.0%
Off-airport 49.6% 46.7%
Consolidation is happening mainly on the off-airport agencies
15

17. Growth opportunities: Consolidation
Localiza’s market share – Car and Fleet - Brazil
2004 2005 2006
Avis Hertz
Unidas 4%
7% 4%
Local
players
15,5%
69% 17,9% 20,5%
Localiza corporation grew 30.2% in 2006.
The market grew 8.9%%
Localiza grew more than 2x the market in 2006
Source: ABLA
16

18. Competitive advantages
Gains of Bargaining
scale Integrated platform
power
Geographical distribution
Yield management
Credit with lower interest rate
Know-how
Strong brand
State of the art IT
Bargaining power
Depreciation
Market share Higher
increase competitiveness
17

19. Competitive Advantages: Integrated business platform
Car rental Fleet rental
Franchising Used Car Sales
This integrated business platform gives us superior performance
18

20. Competitive Advantages: Largest distribution
Nationwide
Nationwide
presence
presence
Strategic
Strategic
locations
locations
International
International
footprint
footprint
316 agencies in 9 countries
19

21. Competitive Advantages: Largest distribution
(number of agencies in Brazil)
278*
244**
73
278
82
89
Localiza Hertz Avis Unidas
Localiza network is larger than
the second, the third and the fourth competitors combined.
* As of March 31, 2006 ** As of April 16,2007
20

22. Competitive Advantages: Yield management
Localiza adjusts its prices based on supply & demand
Month of the year
Month of the year
Day of the week
Day of the week
City
City
Events
Events
Volume per customer
Volume per customer
Competitors’ monitoring
Competitors’ monitoring
Yield management allows Localiza to be more
competitive and profitable
21

23. Competitive Advantages: credit with lower interest rate
Standard & Poor’s as of January 2007
Global Scale
Localiza Rent a Car S.A. BB / Stable /--
Hertz Corp. BB-/ Stable /--
Vanguard (National / Alamo) B+/ Stable /--
Avis Budget Car Rental BB+/ Stable /--
Enterprise Rent-Car Co. A-/ Stable / A-2
Local Currency
Localiza Rent a Car S.A. brAA-/ Stable /--
TAM S.A. brA+/ Stable /--
Gerdau S.A. brAA+/ Positive /--
CPFL Energia S.A. brA+/ Positive /--
Banco Bradesco S.A brAA+/ Positive /brA-1
Banco Citibank S.A. brAA/ Positive /brA-1
Banco Itaú S.A. brAA+/ Positive /brA-1
Localiza has the best rating among its international peers
considering the debt currency
22

24. Competitive Advantages: Know-how
Deep knowledge of the business
State-of-the-art systems
Operational excellence
Adoption of best practices
Stable management
Name Responsibility Experience in
Localiza
Salim Mattar (Founder) CEO and Chairman of the Board 33
Antonio Resende (Founder) Vice-president 33
Eugênio Mattar (Founder) Vice-president 33
Aristides Newton Franchising 24
Gina Rafael Car rental 26
Daltro Barbosa Total Fleet 22
Marco Guimarães Seminovos 16
Roberto Mendes CFO and IR 21
Silvio Guerra Investor relations 15
We believe this experienced team will run the business for the next ten years
23

25. Competitive Advantages: Brand recognition
Top of mind
High quality of services
Customer satisfaction
Strong nationwide presence
International franchising program
High standards of ethical behavior
Most consumed car rental brand in the ranking of
America Economia Magazine
24

26. Competitive Advantages: State of the art IT
Speed in transaction time
Better operational control
Customer satisfaction
On-line network
Cost reduction
25

27. Competitive Advantages: Bargaining power
33.520
26.105
22.182
15.062
2003 2004 2005 2006
Localiza purchased more than US$1,2 billion worth of cars from 2003-2006*
Localiza and its Franchisees represented in 2006
3.9% of FIAT internal car sales
2.7% of GM internal car sales
1.8% of the Brazilian internal car sales
*96.9 thousand cars between 2003-2006 calculated on average purchase price of 2006
Localiza enjoys better conditions due to its large scale
26

28. Competitive Advantages: Depreciation
When car prices go up more than inflation, depreciaton decreases
4.000,0 12,0%
3.617,7 9,8% 10,0%
3.000,0
8,0%
Reais
2.000,0 2.142,5 4,7% 6,0%
1.656,2 3,7% 4,0%
1.000,0 510,1
1.752,3 939,1 2,0%
322,9 492,3 0,9%
- -1,0% -0,4% 0,0%
2000 2001 2002 2003 2004 2005 2006 1T07 -2,0%
(1.000,0)
-4,0%
-4,1% -5,1%
(2.000,0) -6,0%
Average depreciation Real decrease in the Real increase in the
per car new car price new car price
Depreciation cost over the car rental revenue
% over rental revenue 2000 2001 2002 2003 2004 2005 2006
Localiza (car rental division) 13.8% 11.9% 9.3% 9.2% 1.8% 2.9% 5.2%
Hertz (USA) - - - - 22% 23% 23% *
National / Alamo (USA) - - - - 22% 23% 23% *
Avis / Budget (USA) - - - - 26% 29% 31%
Sixt (Europa) - - - - - 18.6% 20.5%
Source: National/Alamo prospectus, Sep 20, 2006, p.11 Hertz prospectus, Nov 21,2006, p.12 and 17, Avis 2006 10K
* Until Set/06
27

29. Recognition
Standard & Poor’s rating upgraded to ‘brAA-’ in national scale and ‘BB’
in global scale. same as sovereign risk. with stable outlook
IBrX (between the 100 most traded shares)
ISE – Corporate Sustainability Index (34 companies)
“Best Company for Shareholders” by Capital Aberto magazine. between
Companies of up to R$ 5 BI market cap
The best subsequent public offer among the listed companies by
Infomoney, in a survey among the brokers registered in BOVESPA
28

30. Financials
1Q07
29

31. 1T07 highlights: Net income
Net income
: 23.5%
CAGR 138
107
91
69
53.4%
45
30
2003 2004 2005 2006 1T06 1T07
30

32. 1Q07 highlights: EBITDA per segment
(R$ million, USGAAP)
Ebitda - Rental Ebitda - Consolidated
+30.0% %
C AGR: : +22.1
282.8
+ 14.9 million CAGR + 16.6 million
220.6 313.1
285.8
131,8
167.3 210.1 20.3%
94,9 21.8% 3,0 98.2
3,9
83,3 2,7 61,3 27,3 81.6
68.5 83.4
151,0 40,1 1,2
125,7 34,7 282,8 0,5 13,6
84,0 31,3 167,3 220,6
48,7 12,6 83,4
37,2 68,5
2004 2005 2006 1T06 1T07 2004 2005 2006 1T06 1T07
Car rental Fleet rental Rentalsl Car Resale Franchising
Margin per segment 2004 2005 2006 1T06 1T07
Car rental 42.6% 46.3% 42.3% 42.6% 46.6%
Fleet rental 65.2% 63.6% 69.3% 69.4% 65.2%
Consolidated - Rental 51.5% 52.5% 51.7% 51.7% 52.9%
Car Resale 13.2% 13.7% 4.6% 10.0% 5.6%
Franchising 41.5% 47.6% 39.0% 29.4% 70.6%
TOTAL 33.1% 32.6% 27.3% 31.4% 24.3%
31

33. Highlights: Consolidation
Market share - 2004 Market share - 2005 Market share - 2006
+2.4 p,p, +2.6 p,p,
Localiza Localiza Localiza
15,5% 17,9% 20,5%
O t he rs O t he rs O t he rs
8 4 ,5 % 8 2 ,1% 7 9 ,5 %
Localiza Brazil has grown in revenues an average of 2,9x the market between 2004-2006
Localiza CAGR: + 25,2%
Market CAGR: + 8,8%
Soucre: ABLA
32

34. Highlights: RENT3
Extraordinary dividends of R$ 196.7 millions (refers to 2005 and 2006)
Interest on own capital of R$ 5.9 million (2007 anticipation)
Proposal of share split (each 1 share will be converted into 3)
Average daily traded volume of R$ 13.4 million 1Q07 (R$ 10.6 million in 2006)
RENT3 had the best performance among the main public offerings of the last
3 years (Economática, 04/09/2007)
33

35. Highlights: Corporate governance
Board of Directors with 4 independent members (total of 9)
Oscar Bernardes
Paulo Guedes
Stefano Bonfiglio
Wilson Brumer
Internal committees of:
Auditing (3 members being 2 independent )
Disclosure (the main executives of each area of Localiza)
Personal (3 members being 2 independent )
Definition of a succession plan for contingency
34

36. Net income reconciliation
(R$ million, USGAAP)
Rental Ebitda + 15.6 million
Car Resale Ebitda + 1.0 million
Total Ebitda +16.6 millions - 0.8 million
Revenues Costs
+143.9 -123.4
-112.6
+118.7
SG&A Interests Stock
Options Taxes
-10.8 +8.1
-3.9 +0.9 -7.9
Depreciation
-1,0
-5.1 -1.9
+25.2 +1.2
29.6 45.4
+53.4%
1Q06 1Q07
Net income Net income
35

37. Cash generation
Includes a reduction in the (R$ milllion. USGAAP)
Automakers’ account
of R$ 223.2 million
65.3
11.9
30.1 39.4
Cash and cash -3.9 Cash and cash
equivalents equivalents
12/31/06: 03/31/07:
-64.0
Operational Fleet Financial Interest on own
activities acquisition application capital and
others
R$ 228.5 million was the cash generated by operational activities in 1Q07, adjusted
by the reduction of the automakers’ debt in the amount of R$ 223.2 millions
36

38. Indebtness
(R$ million, USGAAP)
Net debt X Market cap
Rating S&P – BrAA- / Stable
4320 4239
1812
796 539
281 443 468
2004 2005 2006 1T07
Market cap Net debt
EOP BALANCE 2004 2005 2006 1Q07
Net debt / fleet 46% 60% 36% 43%
Net debt / equity 49% / 51% 58% / 52% 41% / 59% 41% / 59%
Net debt / EBITDA (USGAAP) 1.34x 1.89x 1.42x 1.19x*
Net debt / EBITDA (BRGAAP) 1.1x 1.5x 1.0X 0.8x*
Net debt / Market cap 35.3% 29.7% 10.3% 11.0%
* Annualized based on 1Q07
37

39. Investment in fleet
Quantity - Thousand Net investment – R$ million
+7.3 +10.3 +340.0
+190.0 +242.0
+6.5 33,5 930
26,1 690 -183.0
22,2 23,2 -7.1 590
18,8 493
15,7 448
303
8,9 244
1,8 64
2004 2005 2006 1T07 2004 2005 2006 1T07
Purchased Sold
Investment per car – R$ thousand 2004 2005 2006
Average purchase price 21.9 26.0 27.6
Average selling price 18.8 23.4 25.0
Net 3.1 2.6 2.6
% over average purchase price 14.2% 10.0% 9.4%
In the 1Q07 the fleet was reduced in 7,458 cars to adjust off-peak demand after the high season
38

40. Investment in cars x utilization rate
Car rental division
Daily rentals x utilization Buying and selling cars
2006 2006
12,862
600.000 160%
9,513
120%
Utilization
400.000 6,599
Daily
71,8% 63,3% 80%
59,5% 68,4% 4,112 3,978
200.000 2,861 3,273
40%
158
0 0%
Jan Fev Mar Abr Mai Jun Jul Ago Set Out Nov Dez 1Q06 2Q06 3Q06 4Q06
Daily rentals Utilization rate Purchased Sold
2007 E
2007 E
12,098
600.000 160%
120%
8,783
7,462
Utilization
7,423
400.000 6,461 7,178 6,879
Daily
64,9% 75,0% 75,0% 70,0% 80%
200.000
40%
25
0 0%
Jan Fev Mar Abr Mai Jun Jul Ago Set Out Nov Dez 1Q07 2Q07 3Q07 4Q07
Daily rentals Utilization rate Purchased Sold
In order to maximize the utilization rate in 2007 we will distribute
the cars purchases through out the 2nd, 3rd and 4th quarters
39

41. Price
23
-M
10
15
20
25
30
35
40
45
50
55
60
65
70
7- a y
21 Jun
-J
u
5- n
19 Jul
-J
2- u l
16 g Au
-A
30 ug
-
14 Aug
-S
28 ep
-S
13 ep
-
27 O c
-O t
11 c
- t
28 Nov
-
12 No
-D v
26 ec
-D
10 ec
-J
Performance: 2005
2006
24 a n
-J
8- a n
22 Feb
-F
since IPO
10 eb
-M
24 a
-M r
7- ar
25 Apr
-
10 Ap
-M r
24 a
-M y
Volume RENT3
7- a y
22 Jun
-J
RENT3
u
+ 149%
+ 124%
+ 448%
6- n
20 Jul
-J
RENT3 X IBOV
RENT3
3- u l
17 g Au
-A
31 ug
-
15 Aug
-S
29 ep
-S
+38%
IBOVESPA
16 ep
IBOV
+33%
-
+ 89%
30 O c
-O t
14 c
- t
30 Nov
-
14 No
-D v
e
2- c
16 Jan
-J
31 a n
-
14 Jan
-F
e
2- b
1 6 Ma
-M r
30 a
86%
-M r
448%
ar
0
20
40
60
80
100
120
40
From 05/23/05 (IPO) to 03/30/07.
Volume-R$ thousand
RENT3 Performance

42. RENT3 Liquidity
Average daily traded volume
(R$ thousand)
13.395
90%
132% 10.581
7.047
4.570
2005 2006 1T06 1T07
RENT3 was the 59th most traded share in Bovespa in the last 12 months
1Q07 x 2006 = +26.6%
41

43. Disclaimer - Forward looking statements
The material that follows is a presentation of general background information about LOCALIZA as of the date of the
presentation. It is information in summary form and does not purport to be complete. It is not intended to be relied upon as advice to
potential investors. This presentation is strictly confidential and may not be disclosed to any other person. No representation or
warranty, express or implied, is made concerning, and no reliance should be placed on, the accuracy, fairness, or completeness of
the information presented herein.
This presentation contains statements that are forward-looking within the meaning of Section 27A of the Securities Act of 1933
and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements are only predictions and are not
guarantees of future performance. Investors are cautioned that any such forward-looking statements are and will be, as the case
may be, subject to many risks, uncertainties and factors relating to the operations and business environments of LOCALIZA and its
subsidiaries that may cause the actual results of the companies to be materially different from any future results expressed or
implied in such forward-looking statements.
Although LOCALIZA believes that the expectations and assumptions reflected in the forward-looking statements are
reasonable based on information currently available to LOCALIZA’s management, LOCALIZA cannot guarantee future results or
events. LOCALIZA expressly disclaims a duty to update any of the forward-looking statement.
Securities may not be offered or sold in the United States unless they are registered or exempt from registration under the
Securities Act of 1933. Any offering of securities to be made in the United States will be made by means of an offering
memorandum that may be obtained from the underwriters. Such offering memorandum will contain, or incorporate by reference,
detailed information about LOCALIZA and its business and financial results, as well as its financial statements.
This presentation does not constitute an offer, or invitation, or solicitation of an offer, to subscribe for or purchase any
securities. Neither this presentation nor anything contained herein shall form the basis of any contract or commitment
whatsoever.
42

44. Thank you!
Localiza’s IR:
www.localiza.com/ri
Phone: 55 (31) 3247-7039
43