1. The document provides an overview of Localiza, an integrated car rental and used car sales company in Brazil.
2. It discusses Localiza's financial performance, growth opportunities in the Brazilian market, and competitive advantages such as its integrated business platform and efficient financial cycle.
3. Key drivers of growth for Localiza's business include increasing GDP per capita and consumer spending in Brazil, investments in infrastructure, and trends toward outsourcing fleet management.
2. Agenda
1. The Company
2. Drivers and opportunities
3. Competitive advantages
4. Financials
5. 2012 Brazilian Macroeconomic scenario
2
3. Company: integrated business platform
57,077cars 30,732 cars
2.7million clients 693 clients
240 locations 293 employees
3,810 employees
Synergies:
bargaining power
cost reduction
cross selling
12,285 cars 75.4% sold to final consumer
195 locations in Brazil 61 stores
46 locations in South America 822 employees
32 employees
This integrated business platform gives Localiza flexibility and superior performance.
3
Based on the 3Q11
4. Company: stable management
BOARD OF DIRECTORS
CEO Salim Mattar – 38y
Car
Acquisition
Legal
COO Eugênio Mattar – 38y
Human Administration
Financial Resources IT
Gina Rafael – 30y
Bruno Roberto Mendes – 26y Daltro Leite – 26y
Andrade – 19y
João Andrade – 7y
Localiza has a lean and efficient structure.
Marco Antônio The succession process is already planned.
Guimarães – 21y
4
5. Company: financial cycle – car rental
1-year cycle
Net car sale revenue
$25.5
Revenue
1 2 3 4 5 Expenses, interest and tax 8 9 10 11 12
$26.6
Car acquisition
Car Rental Seminovos Total
per operating car per operating car 1 year
R$ % R$ % R$
Revenues 19.5 100.0% 27.9 100.0% 47.4
Cost (8.2) -42.2% (8.2)
SG&A (2.8) -14.5% (2.3) -8.4% (5.2)
Net car sale revenue 25.5 91.6% 25.5
Book value of car sale (24.7) -90.0% (24.7)
EBITDA 8.5 43.4% 0.8 2.9% 9.3
Depreciation (vehicle) (1.5) -5.5% (1.5)
Depreciation (non-vehicle) (0.4) -1.8% (0.1) (0.5)
Interest on debt (2.0) -7.2% (2.0)
Tax (2.4) -12.1% 0.7 2.5% (1.6)
NET INCOME 5.8 29.5% (2.2) -7.7% 3.6
NOPAT 5.1
ROIC * 17.7% Spread
Cost of debt after tax 7.9% 9.8p.p.
* Investment in cars and PP&E (8%) 5
6. Company: financial cycle – fleet rental
2-year cycle Net car sale revenue
26.8
Revenue
1 2 3 4 5 Expenses, interest and tax 20 21 22 23 24
33.8
Car acquisition
Fleet Rental Seminovos Total
per operating car per operating car 2 anos
R$ % R$ % R$
Revenues 32.7 100.0% 29.0 100.0% 61.7
Cost (9.4) -28.9% (9.4)
SG&A (1.8) -5.6% (2.2) -7.7% (4.1)
Net car sale revenue 26.8 92.3% 26.8
Book value of car sale (26.5) -90.0% (26.5)
EBITDA 21.4 65.6% 0.3 1.0% 21.7
Depreciation (vehicle) (7.0) -24.2% (7.0)
Depreciation (non-vehicle) (0.1) -0.2% (0.1)
Interest on debt (3.8) -12.9% (3.8)
Tax (6.2) -19.0% 3.1 10.8% (3.1)
NET INCOME 15.2 46.4% (7.3) -25.3% 7.8
NET INCOME per year 7.6 46.4% (3.7) -25.3% 3.9
NOPAT (annualized) 5.1
ROIC 15.2% Spread
Cost of debt after tax 7.9% 7.3p.p.
6
8. Company: GDP elasticity
Rental revenues growth elasticity x GDP
Consolidated Localiza
5.5x
Sector
GDP 2.8x
2005 2006 2007 2008 2009 2010
The drivers combined with Localiza’s competitive advantages resulted in a growth above the industry level.
8
12. Car rental opportunities: consolidation
Car rental locations in Brazil
Airport locations Off-airport locations
Localiza
Avis Outras 336 Hertz
35 22 Localiza 83 Unidas
99 70
Avis
32
Others
Unidas 2004
27 Hertz
36
Off-airport market is still fragmented.
12
Source: Each company website (October, 2011)
13. Strategy: organic growth
Brazilian distribution Network expansion
# of locations in Brazil
415 435
346 381
279 312
254
Last 12 months* Branches
2005 2006 2007 2008 2009 2010 9M11
Owned 16
Franchised 23
Total 39
*as of September, 2011
The network is still being expanded.
13
14. Car rental drivers: investments
Investments in Brazil Investments by sector
12.3%
20.8%
154
137
R$85.8 bn R$150.4 bn 106
18.7%
38
R$16.8 bn 7 6 5 3
19.5%
n
as
i ty
ng
as
e
n
s
io
ag
er
ti o
en
g
ic
si
at
th
il/
ew
rta
tr
ou
ic
Ar
O
O
ec
R$174.6 bn
un
/s
o
H
sp
El
er
m
at
an
m
W
co
Tr
le
18.4%
Te
R$28.7 bn
Invested
To be invested
R$456 bn to be invested.
14
Source: EXAME yearbook, 2011-2012
15. Car rental drivers: income and affordability
GDP per capita
(R$ thousands)
19.0
16.0 16.6
14.2
12.8
10.7 11.7
8.4 9.5
6.9 7.5
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Car rental affordability
51% 510
465
415
38% 380
37% 35% 350
300
260
240
180 200
151 31%
27%
22% 20%
18% 16% 15%
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Monthly m inim um salary (R$) Daily rental price over m inim um salary (%)
Income increase and stable daily rental rates increased car rental affordability.
15
Source: Exame magazine (Dec/2010)
16. Car rental drivers: consumption
Social class breakdown - %
A/B 7% 11% 16%
38%
C 51%
57%
D 27%
23%
E 28% 20%
15% 8%
2003 2009 2014e
Total population 175,000,000 188,000,000 200,000,000
Air traffic passengers - million Credit card holders - million
154 51
128 45
% %
71 20.3 00
.0% 13.3
.3 % 15 2
80
2003 2009 2010 2003 2009 2010
Strong domestic drivers leads to higher volumes.
16
Source: FGV, BCB, Infraero, Gol, Abecs and Exame (Dec/2010)
17. Fleet rental drivers: outsourcing trend
Outsourced fleet penetration
Brazilian Market World (%)
58.3
Corporate fleet:
46.9
4,200,000
37.4
Targeted fleet: 24.5
16.5
500,000 13.3
8.9
5.4
Rented fleet:
nd
l
232,000
d
in
k
ce
y
zi
lic
U
n
an
a
ra
la
an
la
b
Sp
m
ol
B
pu
Po
Fr
er
H
Re
G
ch
ze
C
30,732
Less than 50% of targeted fleet is rented.
17
Source: ABLA and Datamonitor
18. Used car sales drivers: affordability and penetration
Car purchase affordability
1 6 0 6 0 0
148 128 510
1 4 0
115 465 5 0 0
104 415
1 2 0
97 93 380
80
4 0 0
1 0 0
8 0 3 0 0
350
6 0
300 75
260 68
2 0 0
4 0
240
180 200 58 56 1 0 0
2 0
151
0 0
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Number of minimum w ages to buy a new car Monthly minimum salary (R$)
# of inhabitants per car (2009) # of inhabitants per car - Brazil
USA 1.2
8.0 7.9
Italy 1.5
7.4
France 1.7
6.9
UK 1.8 6.5
Germany 1.8
Mexico 3.6
Brazil 6.5
2005 2006 2007 2008 2009
Income increase and credit availability are the major drivers for car sales.
Source: Bradesco, ANFAVEA, PIB per capita: IPEADATA. 18
19. Brazilian market: new cars x used cars
New cars X used cars
8,429,309
7,016,576 7,114,870 7,260,054 7,071,525
6,743,699
2.5x
2.3x
4.3x 3.7x 3.0x 2.7x
3,329,170
1,620,657 2,342,059 3,009,482
1,830,402 2,671,338
2005 2006 2007 2008 2009 2010
New cars Used cars
Used car market is currently 2.5x the new car market.
19
Source: FENABRAVE (Autos + light commercial)
20. Used car sales: 2010 market share
Share: Localiza used cars x Car market
Used cars sold: 47,285
0.6% 1.4% 4.4%
0KM
Used Up to 3 years
3,329,170
8,429,309 1,093,281
Used Seminovos 0km Seminovos 3 years old Seminovos
20
Source: Fenabrave 2010
21. Used car sales: monthly sale per store
Monthly sale / lots*
109
96 91 90
84 84 81
48
FIAT VW FORD GM SEMINOVOS* SECTOR RENAULT PEUGEOT
2010**
* Average sales per lots (excluding auto malls – 10 stores)
** Total sales divided by the number of dealers
Seminovos monthly sale per store is in line with market average.
21
Source: Anfavea (National OEM’s Association); number of dealers from each OEM association website (nov/11 )
22. Used car sales strategy: network expansion
Brazilian distribution New lots
# of points of sale
55 61 Points of
49 Status*
32 35 sale
26
13
In construction 6
2005 2006 2007 2008 2009 2010 9M11
Contract signed 3
Negotiation and
11
prospection
*as of September, 2011
The network is being expanded to support rentals’ growth.
22
23. Used car sales: sold cars evolution
Monthly average of sold cars 4,545
4,159
3,940
3,860
2010 1Q11 2Q11 3Q11
Sales profile
39% 43% 42%
51%
61% 57% 58%
49%
2010 1Q11 2Q11 3Q11
Financed In cash
The increase on sales was supported by the opening of new points of sale.
The macro prudential measures impacted the sales profile in the 1Q11.
23
24. Agenda
1. The Company
2. Drivers and opportunities
3. Competitive advantages
4. Financials
5. 2012 Brazilian Macroeconomic scenario
24
25. 38 of experience managing assets
Profitability comes from rental divisions
Renting cars Selling
Raising Buying cars
money cars
$
$
Cash to renew the fleet or pay debt
Pricing strategy from rental divisions: targeted spread.
25
26. Competitive advantages: raising money
Raising Buying Selling
Renting cars
money cars cars
Investment grade: lower spreads and longer terms
Global Scale BBB- Fitch
BBB+ S&P B+ S&P B+ Fitch B2 Moody's
Baa3 Moody’s
National Scale Aa1.br Moody’s
A (bra) Fitch BBB+ (bra) Fitch A- (bra) Fitch
AA+(bra) Fitch
Localiza raises money with lower spreads when compared to Brazilian competitors.
As of October, 2011. 26
27. Competitive advantages: buying cars
Raising Buying Selling
Renting cars
money cars cars
Better conditions due to higher volumes
Localiza’ share in national sales of the three Purchases by brand in 2010
largest automakers in 2010: GM, FIAT, VW
Ford Renault Others
4.3% 3.1% 2.8%
Fiat
2.8% GM 25.6%
37.0%
VW
27.2%
Localiza announced the purchase of 100,000 cars for 2H11 and 2012.
27
28. Competitive advantages: renting cars
Raising Buying Selling
Renting cars
money cars cars
Brand Know How Brazilian distribution
435
# of branches
282
67
96
119
289
# of cities
64 72
46
Localiza Hertz Unidas Avis
The Company is present in 217 cities where the other largest networks do not operate.
28
Source: Each company website (October, 2011)
29. Competitive advantages: selling cars
Raising Buying Selling
Renting cars
money cars cars
Sales to final consumer Buffer: additional fleet
Selling directly to final consumer reduces depreciation.
Cars available for sale are used by the car rental division during peaks of demand.
29
30. Agenda
1. The Company
2. Drivers and opportunities
3. Competitive advantages
4. Financials
5. 2012 Brazilian Macroeconomic scenario
30
31. Car Rental Division
# daily rentals (thousand)
25.8% 7% 9,470
C AGR: 10,734
22.
7,940 8,062 7,720
5,793 7%
4,668 12.
3,411 2,863 3,227
2005 2006 2007 2008 2009 2010 9M10 9M11 3Q10 3Q11
Net revenues (R$ million)
: 25.4% 802.2
1% 714.2
CAGR
565.2 585.2 26.
566.6
428.0
9%
346.1 15.
258.6 241.8
208.7
2005 2006 2007 2008 2009 2010 9M10 9M11 3Q10 3Q11
Average rental rate increased due to a change in the business mix and better negociations.
31
32. Quarterly evolution of the number of rental days
2011 +23.4%
+27.8%
+29.3%
2010 Excluding effects of election
2009
1Q 2Q 3Q 4Q
3Q comps are higher in the car rental due to the effects of 2010 elections.
32
35. Utilization rate and average operating fleet age
Utilization rate and average operating fleet age
Elections effect 9 0 . %
0
69.9% 74.1%
69.7%
8 0 . %
0
66.2% 66.3% 68.2% 68.9%
7 0 . %
0
6 0 . %
0
5 0 . %
0
4 0 . %
0
6.9 6.6 7.3
6.3 6.3 6.5 3 0 . %
0
5.5 2 0 . %
0
1 0 . %
0
0 . %
0
1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11
Utilization rate Average operating fleet age
Fleet is adjusted according to demand.
35
36. End of period fleet
End of period fleet (quantity)
19.7% 9%
CAGR: 15. 87,809
88,060
70,295 75,755
62,515 26,615 30,732
46,003 53,476 25,305
22,778
35,865 23,403
14,630 17,790
11,762 61,445 50,450 57,077
39,112 47,517
31,373 35,686
24,103
2005 2006 2007 2008 2009 2010 9/30/2010 9/30/2011
Car rental Fleet rental
The 15.9% growth in the fleet is in line with the rental volume increase.
36
38. EBITDA
R$ million
8.5 %
CAGR: 1
649.5 3 0 .7 % 603.0
504.1 469.7 461.3 %
311.3
403.5 21.0
277.9
178.7 216.2
2005 2006 2007 2008 2009 2010 9M10 9M11 3Q10 3Q11
Divisions 2005 2006 2007 2008 2009 2010 9M10 9M11 3Q10 3Q11
Car rental 47.5% 43.4% 46.0% 45.9% 41.9% 45.3% 45.9% 46.9% 48.7% 50.4%
Fleet Rental 65.5% 71.4% 71.3% 69.1% 68.7% 68.0% 67.4% 68.9% 68.9% 72.1%
Rentals consolidated 53.6% 52.9% 54.5% 53.3% 51.1% 52.3% 52.7% 53.8% 54.8% 57.5%
Used car sales 13.2% 4.6% 5.5% 5.6% 1.1% 2.6% 2.3% 3.1% 3.4% 1.9%
The 30.7% growth in the EBITDA in the 9M11 was above the rental revenues increase.
38
39. Average depreciation per car
R$
Depreciation evolution - per year
Financial crisis effect
Current market conditions
Hot used car market 2,577.0
2,546.0
1,536.0 1,619.8 1,578.5
939.1
492.3 332.9
2005 2006 2007 2008 2009 2010 9M10 * 9M11 *
* Annualized
Average depreciation per car remained stable in the year.
Depreciation evolution - per quarter
1,942.5 1,993.2
1,492.3 1,580.5
1,318.0 1,251.9
1Q10* 1Q11* 2Q10* 2Q11* 3Q10* 3Q11*
* Annualized
The launching of new models increases 3Qs depreciation.
39
40. Average depreciation per car
R$
Depreciation evolution - per year
Financial crisis effect
Hot used car market
5,083.1
4,371.7 4,080.9
3,509.7 3,306.0
2,981.3
2,383.3 2,395.8
2005 2006 2007 2008 2009 2010 9M10 * 9M11*
* Annualized
Depreciation evolution - per quarter
4,241.8 4,020.8
3,990.6
3,693.9
3,254.4
2,989.4
1Q10* 1Q11* 2Q10* 2Q11* 3Q10* 3Q11*
* Annualized
The fleet renewal after the end of the tax exemption resulted in higher depreciation.
40
41. Consolidated net income
R$ million
%
250.5 17.6
190.2 212.9
181.1
106.5
138.2 127.4 116.3 0. 5 %
74.9 75.3
2005 2006 2007 2008 2009 2010 9M10 9M11 3Q10 3Q11
Reconciliation EBITDA x net income 2009 2010 Var. R$ 9M10 9M11 Var. R$ 3T10 3T11 Var. R$
EBITDA – Rentals and franchising 459.1 615.1 156.0 440.0 569.3 129.3 166.8 208.6 41.8
EBITDA – Used car sales 10.6 34.4 23.8 21.3 33.7 12.4 11.9 7.6 (4.3)
EBITDA Consolidated 469.7 649.5 179.8 461.3 603.0 141.7 178.7 216.2 37.5
Cars depreciation (172.3) (146.3) 26.0 (104.3) (143.5) (39.2) (37.9) (53.9) (16.0)
Other property and equipment depreciation (21.0) (21.1) (0.1) (15.4) (17.4) (2.0) (5.1) (5.0) 0.1
Financial expenses, net (112.9) (130.1) (17.2) (88.8) (137.8) (49.0) (31.4) (49.8) (18.4)
Income tax and social contribution (47.2) (101.5) (54.3) (71.7) (91.4) (19.7) (29.4) (32.2) (2.8)
Net income 116.3 250.5 134.2 181.1 212.9 31.8 74.9 75.3 0.4
2011 results were impacted mainly due to interest rate increase.
41
42. Free cash flow - FCF
Free cash flow - R$ million 2005 2006 2007 2008 2009 2010 9M11
EBITDA 277.9 311.3 403.5 504.1 469.7 649.5 603.0
Used car sales net revenues (446.5) (588.8) (850.5) (980.8) (922.4) (1,321.9) (1,088.0)
Depreciated cost of used car sales (*) 361.2 530.4 760.0 874.5 855.1 1,203.2 974.5
(-) Income tax and social contribution (32.7) (42.7) (63.4) (52.8) (49.0) (57.8) (57.3)
working capital variation (24.2) (4.8) 13.3 (44.8) (11.5) 54.5 (59.4)
Cash provided before capex 135.7 205.4 262.9 300.2 341.9 527.5 372.8
Used car sales net revenues 446.5 588.8 850.5 980.8 922.4 1,321.9 1,088.0
Capex of car - renewal (496.0) (643.3) (839.0) (1,035.4) (947.9) (1,370.1) (1,106.1)
Net capex for renewal (49.5) (54.5) 11.5 (54.6) (25.5) (48.2) (18.1)
Capex – other property and equipment, net (28.0) (32.7) (23.7) (39.9) (21.0) (51.1) (37.4)
Free cash flow before growth and interest 58.2 118.2 250.7 205.7 295.4 428.2 317.3
Capex of car - growth (194.0) (287.0) (221.9) (299.9) (241.1) (540.3) (13.7)
Change in accounts payable to car suppliers (capex) (25.5) 222.0 (51.0) (188.9) 241.1 111.3 (195.8)
Free cash flow after growth and before interest (161.3) 53.2 (22.2) (283.1) 295.4 (0.8) 107.8
Fleet increase - quantity 7,342 10,346 7,957 9,930 8,642 18,649 466
Strong cash flow generation before growth.
(*) without technical discount deduction 42
43. Debt – ratios
Balance sheet, as of 09/30/11 R$ million
Cash; 564.6 Other liabilities; 620.6
Other assets; 572.0
Debt; 1,846.0
Net debt; 1,281.4
Fleet; 2,410.5
Equity; 1,080.5
Assets Liability and equity
End of period balance 2005 2006 2007 2008 2009 2010 9M11
Fleet value / Net debt 168% 283% 195% 140% 177% 191% 175%
Net debt / EBITDA (*) 1.9x 1.4x 1.9x 2.5x 2.3x 2.0x 1.7x
Net debt / Equity 1.4x 0.7x 1.3x 2.0x 1.5x 1.4x 1.3x
EBITDA / Net financial expenses 3.3x 4.8x 5.4x 3.8x 4.2x 5.0x 4.4x
(*) annualized
Comfortable debt ratios.
43
44. Debt profile and costs
R$ million
514.0
372.0
299.8 249.3
207.7 230.3
0.7
2011 2012 2013 2014 2015 2016 2017
Cash
564.6
Contract rate Effective cost 2011 2012 2013 2014 2015 2016 2017 Total
108.7% to 114.7% 111.1% - 114.7%
Working capital of CDI and of CDI and - 15.0 38.7 70.0 86.3 190.0 - 400.0
CDI+1.44%a.a. CDI+1.79%a.a.
Debenture 2nd Issuance CDI + 0.44%pa CDI + 0.6%pa - 66.6 66.6 66.8 - - - 200.0
112.0% to 114.0%
Debenture 4th Issuance 114.2% of CDI - 24.0 24.0 63.0 63.0 74.0 122.0 370.0
of CDI
Debenture 5th Issuance 112.8% of CDI 114.5% of CDI - - - - - 250.0 250.0 500.0
Debenture 1st Issuance:
CDI +1.95%pa CDI + 2.0%pa - 100.0 100.0 100.0 100.0 - - 400.0
Total Fleet
TJLP + 3.8%pa / TJLP + 3.8%pa /
Other 0.7 2.1 1.0 - - - - 3.8
CDI + 2.3%pa CDI + 2.3%pa
Interests accrued until
- - 76.0 - - - - - - 76.0
09/30/11, net of interest paid
Cash and cash equivalents
- - (564.6) - - - - - - (564.6)
on 09/30/11
Net debt - - (487.9) 207.7 230.3 299.8 249.3 514.0 372.0 1,385.2
6 years term for debt payment.
44
45. Spread
24.8%
21.3%
18.7% 17.0% 16.9%
16.9%
11.2p.p.
11.5%
7.8p.p. 12.9p.p. 8.0p.p.
8.8p.p. 9.1p.p.
3.7p.p.
13.6%
10.9% 8.9%
8.4% 8.2% 7.8% 7.8%
2005 2006 2007 2008 2009 2010 9M11 *
Interest on debt after tax ROIC * Annualized
2005 2006 2007 2008 2009 2010 9M11
Average capital investment - R$ million 606.3 986.2 1,137.5 1,642.3 1,702.3 1,984.6 2,428.8
NOPAT margin (over rental net revenues) 37.0% 34.5% 36.9% 32.1% 21.9% 28.6% 29.2%
Turnover of average capital investment
(over rental net revenues) 0.67x 0.55x 0.58x 0.53x 0.53x 0.59x 0.58x
ROIC 24.8% 18.7% 21.3% 17.0% 11.5% 16.9% 16.9%
Interest on debt after tax 13.6% 10.9% 8.4% 8.2% 7.8% 7.8% 8.9%
Spread (ROIC – Interest after tax) - p.p. 11.2 7.8 12.9 8.8 3.7 9.1 8.0
Spread of 8.0p.p. in 2011.
45
46. Agenda
1. The Company
2. Drivers and opportunities
3. Competitive advantages
4. Financials
5. 2012 Brazilian Macroeconomic scenario
46
47. Macroeconomic scenario
GDP CPI - IPCA Selic rate
7.5%
6.5% 11.8%
5.9% 5.6% 9.7% 10.5%
3.2% 3.5%
2010 2011E 2012E 2010 2011E 2012E 2010 2011E 2012E
Strengths Weaknesses
solid financial system deficient infrastructure
high compulsory deposit low educational standards
low standards of unemployment high tax burden
robust international reserve bureaucracy
primary surplus
Threats Opportunities
increase in inflation crisis opened space for reduction in Selic rate
indexation monetary policy: deposit requirement and macro
household indebtness prudential measures
increase in default infrastructure investments with private partnership
investment in education
47
Source: IMF / BCB / Bradesco / Itaú / Citi / Valor Econômico
48. IR Team
Roberto Mendes Silvio Guerra Nora Lanari
CFO - RI RI RI
Website: www.localiza.com/ir E-mail: ri@localiza.com Phone: 55 31 3247-7024
Disclaimer
The material presented 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.
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