4. 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
3
5. 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)
4
6. 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
5
7. 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
6
8. 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
7
9. 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
8
10. Indebtedness
(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
9
11. 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
10
12. 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 l Ju
-J
2- u l
16 g Au
-A
30 ug
-A
14 ug
-S
28 ep
-S
13 ep
-
27 O c
- t
11 O c
-N t
28 ov
-
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
+ 149% u
+ 124%
+ 448%
6- n
20 l Ju
-J
RENT3 X IBOV
RENT3
3- u l
17 g Au
-A
31 ug
-A
15 ug
-S
29 ep
-S
+38%
IBOVESPA
16 ep
IBOV
+33%
-
+ 89%
30 O c
- t
14 O c
-N t
30 ov
-
14 No
-D v
e
2- c
16 Jan
-J
31 a n
-J
14 a n
-F
e
2- b
1 6 Ma
-M r
30 a
86%
-M r
448%
ar
0
20
40
60
80
100
120
11
From 05/23/05 (IPO) to 03/30/07.
Volume-R$ thousand
RENT3 Performance
13. 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%
12
14. 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.
13
