2. Disclaimer
This presentation may include forward-looking statements of future events or results according to regulations
of the Brazilian and international securities and exchange commissions. These statements are based on
certain assumptions and analysis by the company that reflect its experience, the economic environment and
future market conditions and expected events, many of which are beyond the control of the company.
Important factors that may lead to significant differences between the actual results and the statements of
expectations about future events or results include the company’s business strategy, Brazilian and
international economic conditions, technology, financial strategy, public service industry developments,
hydrological conditions, financial market conditions, uncertainty of the results of future operations, plans,
objectives, expectations and intentions, among others. Considering these factors, the actual results of the
company may be significantly different from those shown or implicit in the statement of expectations about
future events or results.
The information and opinions contained in this presentation should not be understood as a recommendation
to potential investors and no investment decision is to be based on the veracity, current events or
completeness of this information or these opinions. No advisors to the company or parties related to them or
their representatives shall have any responsibility for whatever losses that may result from the use or contents
of this presentation.
This material includes forward-looking statements subject to risks and uncertainties, which are based on
current expectations and projections about future events and trends that may affect the company’s business.
These statements include projections of economic growth and energy demand and supply, as well as
information about the competitive position, the regulatory environment, potential opportunities for growth
and other matters. Several factors may adversely affect the estimates and assumptions on which these
statements are based.
2
3. Highlights of 1Q08
█ Net income increased 28.3%
█ Consolidated EBITDA reached R$ 383.4 MM in 1Q08, a growth of 13.2% compared to 1Q07
█ Generation segment’s EBITDA grew 86.3% reaching R$ 176 MM in 1Q08
█ The volume of generation’s energy sales grew 13.7% reaching 1,538 GWh in 1Q08
█ Generation contributed with 46% of consolidated EBITDA
█ Commercialization grew 5.2% yoy in volume and 54.8% yoy in margin
█ Net operating revenue from Distribution grew 3.6%
█ Manageable expenditures remained under control (-0.4%, excluding depreciation &
amortization) and net financial expenses decreased (-34.2%)
█ Development of 2 gas-fired thermal projects - CCGT Resende and CCGT Norte Capixaba,
with an installed capacity of 500 MW each
3
4. Generation
Parte Interna – Separação
de áreas de trabalho
4
5. Higher energy availability on the first quarter resulted in
considerable growth in energy sales…
Volume of Produced Energy Volume Energy Sales
(GWh) (GWh)
+1.7%
+13.7%
1,469 1,493 1,538
1,352
1Q07 1Q08 1Q07 1Q08
5
6. …and also in strong EBITDA and Net Income growth
Net Revenue EBITDA
(R$ MM) (R$ MM)
+58.2% 221 +86.3% 176
140
95
1Q07 1Q08 1Q07 1Q08
Net Income
(R$ MM)
+114.5% 92
█ EBITDA margin from generation
43
increased to 79.6% in 1Q08 from
67.6% in 1Q07
1Q07 1Q08
6
7. New projects already underway will sustain a 39.7% growth in
installed capacity until 2012
Installed capacity
(MW) +39.7%
1,457
+102.1%
360
414
29 25*
50 25
452
2009 2009 and 2010 2012
1,043 Estimated start-up of
commercial operation
1,043
516
2005 Peixe Angical 4th turbine São João Current Santa Fé Pecém 2012
HPP Mascarenhas SHP SHP Repowering TPP
Assured Energy
(average MW) 334 645 983
93.1% 52.4%
Projects concluded since IPO
Projects in progress
* Includes 5 MW from the upgrading of Suíça HPP and Rio Bonito SHP , still awaiting Aneel ratification
7
8. And we are working to create new growth opportunities
█ 30 SHP projects under development, with a total installed capacity of 581 MW
█ 2 CCGT projects, with 500 MW each, and agreements signed with Petrobras for the
supply of natural gas from 2013 on
█ Eventual participation in the expansion of Pecém TPP (360 MW)
█ Partnership with Eletronorte, Cemig and engineering companies for the
development of feasibility studies for HPPs (1,439 MW)
█ Partnership with Cemig for the development of wind farms (500 MW)
█ Sugar cane bagasse TPP projects under analysis (350 MW)
8
9. Distribution
Parte Interna – Separação
de áreas de trabalho
9
10. In distribution, despite the market growth...
Volume of Distributed Energy Energy Distributed by Customer Class
(GWh) (GWh)
+2.3%
+2.3%
6,286 6,143 6,286
6,143 2%
1%
13% 13%
35%
34% 34% 37%
52% 53% 62% 63%
1Q07 1Q08 1Q07 1Q08
Bandeirante Escelsa Enersul End Customers Energy in Transit Other
10
11. ... financial performance was negatively impacted by tariff
reviews
Net Revenue EBITDA
(R$ MM) (R$ MM)
+3.6% -18.2%
1,000 1,036 246
20% 22% 21% 201
28%
33% 32% 37%
37%
47% 46% 41%
35%
1Q07 1Q08 1Q07 1Q08
Net Income*
(R$ MM)
94 -11.6%
83
20%
26%
43%
40%
█ Reduction in 1Q08 EBITDA reflects
37%
tariff reductions, including the
34%
recurring impact of Enersul’s RAB
reduction
1Q07 1Q08
Bandeirante Escelsa Enersul * Does not consider intra-group eliminations
11
16. Growth in energy commercialized was positively impacted by
the higher volume sold to free customers…
Volume of Energy Commercialized Number of Customers
(GWh)
+5.2%
1,789
1,701 +34.2% 98
218
235
73
1.466 1.570
1Q07 1Q08 1Q07 1Q08
Energias do Brasil Group Companies
Other
16
17. … and financial performance reflects profits from short term high
prices in 1Q08
Net Revenue EBITDA
(R$ MM) (R$ MM)
+58.9% 17
211 +165.5%
133
7
1Q07 1Q08 1Q07 1Q08
Net Income Commercialization Margin
(R$ MM) 1Q08 vs 1Q07
+130.8% 12
5 54.8%
1Q07 1Q08 * Does not consider intra-group eliminations
17
19. Financial performance was positively impacted by the generation
and commercialization segments
Net Revenues EBITDA
(R$ MM) (R$ MM)
+15.4% +13.2%
1,286 383
1,114 339
1Q07 1Q08 1Q07 1Q08
Net Income
(R$ MM)
+28.3% 164
128
1Q07 1Q08
19
20. Manageable expenses remained stable, with significant
reduction in provisions and other expenses
Manageable expenses (R$ MM)
1Q07 1Q08 ∆%
Personnel 69.8 74.5 6.7%
Material 9.7 8.4 -13.4%
Third Party Services 78.6 87.6 11.5%
Provisions 36.5 33.4 -8.4%
Others 31.7 21.4 -32.4%
226.2 225.4 -0.4%
Depreciation and amortization 75.6 79.8 5.5%
Total 301.9 305.2 1.1%
IGPM (12 months) 9.1%
Third Party Services Personnel
+ R$ 4.3 MM in support activities + R$ 5 MM in wage increase (collective labor
agreement)
+ R$ 3.3 MM in business advisors and consultants
-R$ 1.8 in reduction of overtime expenses
+ R$ 1.5 MM in conservation and repair of discos’ networks
20
21. The increasing contribution from the Generation segment is
reflected on the 13.2% EBITDA growth in the period
EBITDA 1Q08 vs. 1Q07
(R$ MM)
+ 13.2%
11
82 - 45
-3 383
339
1Q07 Generation Commercialization Distribution Other 1Q08
21
22. The 34.2% reduction in net financial expenses is mainly related to
an improvement in the FX result
Financial Result (R$ MM)
1Q07 1Q08 ∆%
Financial Income 62.6 51.9 -17.1%
Financial Expenses (99.8) (85.7) -14.1%
Net Forex Result (20.2) (3.9) -80.8%
Foreign Exchange Rate Variation (39.7) (4.6) -88.4%
Swap - net result 19.5 0.7 -96.2%
TOTAL (57.4) (37.7) -34.2%
█ Other factors contributing to the improvement in net financial results were:
- Reduction in the cost of debt due to falling interest rates;
- Lower monetary restatement due to a reduction in net regulatory assets; and
- Extinction of the CPMF.
22
23. The Group has an extended debt maturity, low leverage and low
currency exposure
Net Debt/EBITDA (x) Debt Maturity Schedule
983.3
2,345 5 800.2
1,957 1,963
2,000 1,879 4
3.0 1,702
3 499.9 540.9 531.0
1,000 2 366.1
1.9 1.8 1.7 1.7 1
0 0
2004 2005 2006 2007 Mar08
Net Debt Cash and After
Net Debt/EBITDA 2008 2009 2010 2011
Cash Equiv. 2011
(Mar/08)
Net Debt Gross Debt Breakdown
(R$ MM) (Mar/08)
2,921
1% 5%
Floating Rates*
Short Term
467 (800) Long Term Basic
(158)
Long Term Interest Rate
2,454 1,963 1,957
55% 39% Dollar
Gross Debt (-) Cash and (-) Regulatory Net Debt Mar/08 Net Debt Dec/07 Fixed Rates
Mar/08 Marketable Assets and
Securities Liabilities
* Includes Selic, CDI, IGP-M and INPC
23
24. A substantial increase in CAPEX is estimated for 2008, largely
allocated to generation projects
Capex Breakdown* Investments - Universalization
(R$ MM) (R$ MM)
1,125
157
687
124
76
22 48 32
438 16
54 76
1Q07 1Q08 2008E
1Q07 1Q08 2008E
Distribuição Geração
Estimated Investments**
(R$ MM)
1,781
1,283
1,098
2008E 2009E 2010E
* Does not include Capex for Universalization Program
** Includes implementation of SHP projects still in phase of approval by Aneel
24
25. Stock Performance
Share performance track record since March 2007
ENBR3 x Indexes Performance
Base 100: 12 Months
150 140,000
140 120,000
130 100,000
120
80,000
110
60,000
100
90 40,000
80 20,000
70 0
Mar-07 May-07 Jun-07 Aug-07 Sep-07 Nov-07 Dec-07 Feb-08 Mar-08
ENBR3 = -9,5% IBOV = +33,1% IEE =+ 20,3%
█ Conclusion of Share Buy Back Program: 6.2 million stocks acquired
25
