Disclaimer “ This presentation contains, or may be deemed to contain, “forward-looking statements” (as defined in the U.S. Private Securities Litigation Reform Act of 1995). By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. Such information is not merely based on historical fact but also reflects management’s objectives and expectations. The words "anticipate", “wish", "expect", “foresee", “intend", "plan", "predict", “forecast", “aim" and similar words, written and/or spoken, are intended to identify affirmations which, necessarily, involve known and unknown risks. Known risks include uncertainties which include, but are not limited to, interest rates, product competition, market acceptance of products, the actions of competitors, regulatory approval, currency type and fluctuations and monetary policy, among others. This presentation is based on events up to December 31, 2008 and Forjas Taurus S.A. is not obligated to update the contents in light of new information and/or future events. The future results of the issuer may vary from the results expressed in, or implied by, the following forward-looking statements, possibly to a material degree. Forjas Taurus S.A. takes no responsibility for transactions or investment decisions made on the basis of information contained in this presentation.”
Polimetal Participações S.A. is the controlling shareholder of Taurus
Source: Company reports Luis Fernando Costa Estima Polimetal Participações S.A. Polinvest Participações e Repres. Ltda. Others 66,67% 33,33% 12,53% 68,79% Legend: X.X% = Current Percentage of Common Capital X.X% = Current Percentage of Total Capital Estate of Carlos Alberto Paranhos Murgel Forjas Taurus S.A. 83,94% 27,98% 3,52% 3,23% Taurus Holdings, Inc. Taurus Máquinas – Ferramenta Ltda. Taurus Blindagens Ltda. Taurus Properties, Inc. Famastil Taurus Ferramentas S.A. Taurus Helmets Indústria Plástica Ltda. Taurus International Manufacturing, Inc. Taurus Blindagens Nordeste Ltda. 100% 100% 35% 24,2% 99,86% 100% 99,99% 99,99% Taurus Invest. Imobiliarios Ltda. 75,7% 32,9% 67,1%
Chairman of the Board / CEO Luis F. C. Estima Strategic Committee Fiscal Counsel Source: Company reports Board of Directors Senior Vice-President Ruy F. V. Soares Human Resources Director Muciano N. Dias Executive Vice-President Jorge Py Velloso
Company’s Facilities The group is comprised by five business units in Brazil, one in the USA and has approximately 4,330 employees 1 1 As of June, 2008
Forjas Taurus S.A. was established in 1939. The Company is a leading Brazilian manufacturer of defense and security products, machine tools and forged products, such as handguns, motorcycle helmets, bullet-proof vests and milling and turning machines. Additionally, it holds a 35% stake at Famastil Taurus Ferramentas S.A.
Taurus has a complete line of products, specially produced for the defense and security markets. The Company is one of the world’s largest handgun manufacturers, with a market share of over 90% in Brazil and a leading position in the U.S. market with over 12%
Taurus also leads Brazilian market of motorcycle helmets (with a share of 50%), bulletproof vests and anti-riot shields. The Company also has a growing insertion in the market of forged products, mainly addressed to automotive industry and energy segment. Additionally, it has recently established its new industrial site in Curitiba for the manufacturing of plastic equipment used for packaging, and transporting materials.
Operational strategy of the Company is based on cost efficiency through a vertically integrated production, focused on profitability and quality.
The Company has an optimistic perspective for the segments in expansion, focusing on motorcycle helmets, machine tools and energy.
The Company (cont.) Growth Strategy Corporate Governance Technology
The Company manufactures forged products up to 15Kg, using materials such as carbon steel, alloy steel, stainless steel, titanium, aluminum and other non-ferrous metals
Main consumers are the Automotive, Energy, Oil, Motorcycle and Agriculture industries
In 2006 and 2007, Taurus increased its installed capacity for machining, which brings a higher added value to the final product, compared to parts that are only forged
There are good perspectives for the company’s revenues growth, due to (i) the increase in machined production, (ii) the addition of new forging machinery and (iii) the growth of M.I.M – Metal Injection Molding sales
Products Forged Products – Forjas Taurus High technology in forged and machined products
The only manufacturer of large machine tools in Latin America
More than 3,000 machines installed in over 40 countries
Main customers are aeronautics and space industry, automotive, steel, construction, power generation, defense, nuclear, oil, among others
Manufacturing of welding components, job shop, heat treatment, and finishing of structural components
Machine tool retrofitting
Products Machine Tools – Taurus Máquinas-Ferramenta Ltda. Taurus Máquinas-Ferramenta leads Latin American manufacturing of horizontal and vertical boring and milling machines, vertical turning lathes and machining centers