1. Qualidade da Carteira de Crédito
* Inclui saldo da cessão com coobrigação.
PDD 70.649 62.331 13,3% 51.469 37,3%
Carteira (> 90 dias) 74.725 67.023 11,5% 56.151 33,1%
Carteira (> 180 dias) 46.820 38.475 21,7% 30.420 53,9%
Carteira Total* (a) 1.398.582 1.347.703 3,8% 1.330.658 5,1%
Índice de cobertura da carteira (PDD / > 90 dias) 94,5% 93,0% 1,5 p.p. 91,7% 2,9 p.p.
Índice de cobertura da carteira (PDD / > 180 dias) 150,9% 162,0% (11,1 p.p.) 169,2% (18,3 p.p.)
PDD / Carteira Total 5,1% 4,6% 0,5 p.p. 3,9% 1,2 p.p.
Créditos Baixados a Prejuízo (b)
8.754 13.250 (33,9%) 7.856 11,4%
Nível de perda (b/a)
0,6% 1,0% (0,4 p.p.) 0,6% 0,0 p.p.
4T09 x
4T08
R$ 4T09 3T09
4T09 x
3T09
4T08
THE STRATEGIC PARTNERSHIP
INSURANCE
1
Inadimplência SFN
PF (>90 dias) = 7,8%
PJ (>90 dias) = 3,8%
Inadimplência Paraná Banco
Consignado (>90 dias) = 5,9%
PME (>90 dias) = 0,8%
Nível de perda (b/a)
0,6% 1,0% (0,4 p.p.) 0,6% 0,0 p.p.
2. This presentation contains references to and statements about expectations, planned synergies,
growth and result projections, as well as future strategies for ParanáBanco and its subsidiaries.
In spite of the fact that said references and statements reflect Management's beliefs, they are
subject to uncertainties and risks difficult to be anticipated. Thus, the actual results or
consequences may differ from those herein anticipated and discussed. These estimations are
highly dependent on the market conditions and overall economic performance of Brazil, the
Disclaimer
2
highly dependent on the market conditions and overall economic performance of Brazil, the
insurance industry and international markets.
The operation herein described is still pending approval by SUSEP (Superintendência de Seguros
Privados, or Brazilian Private Insurance Authority).
Paraná Banco does not commit itself to updating any estimations herein.
3. JM Seguradora
JM Seguradora de
Crédito
JM Resseguradora
About the Companies
Insurance Holding Company
• Although a non-operating company at
present, it has strategic value inasmuch
as it is an insurance company with its
own capital and SUSEP's
authorizations to operate in the
Property & Casualty segment.
• 40% of the surety bond market in
Brazil (SUSEP - August 2010);
•Surety bond market leader in Latin
America
• Over 30,000 clients throughout Brazil;
• 34.4% ROAE in 1H10
• Established in 2008;
• 37.7% share in the Brazilian financial
risk market (includes surety bonds and
credit insurance);
• Local reinsurer;
• 15.1% ROAE in 1H10
• Currently accredited to operate in
Latin America
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Great growth potential given the development of the Brazilian economy and
infrastructure works.
4. The surety bond market leader and the second largest US insurer in terms of
premiums issued;
In 1H10, the company recorded gross retained premiums totaling US$ 486
million in the surety bond segment alone, and is one of the leading insurers in
this segment in the US market;
About the Companies
4
this segment in the US market;
Business segment: Corporate Insurance; financial, professional and
international; and Personal Insurance;
Shareholders' equity of US$ 26.3 billion and net income of US$ 1.3 billion in
1H10.
Over 32,000 employees worldwide;
US$ 75 billion in investments.
5. Benefits
Capitalization - R$ 625 million capital increase to strengthen the capital
structure and make the companies more solid;
Brand – Joint use of a worldwide renowned and respected brand;
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Know-how - Access to international expertise in Surety Bonds / Reinsurance /
Property and Casualty;
Retention Capacity - Higher premium retention capacity owing to the capital
increase;
Reinsurance Capacity – Increased reinsurance capacity and ability to do
business.
6. Strategies
To strengthen Surety Bond operations in Brazil;
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To implement Property and Casualty operations in Brazil;
To implement a Surety Reinsurance platform in Latin America and seek for
new business opportunities;
7. Outline of the Operation
Structure
Agreement between Paraná Banco and Travelers Brazil Aquisition LLC to
secure an investment in JMalucelli Participações em Seguros e Resseguros
by means of a shareholding restructuring.
Travelers Brazil will subscribe a R$ 625 million capital increase in JMalucelli
7
Operation
Value
Condition
Travelers Brazil will subscribe a R$ 625 million capital increase in JMalucelli
Participações em Seguros e Resseguros and hold 43.4% of the Company's
voting stock after the conclusion of this capital increase and payment of
dividends totaling R$ 110 million to Paraná Banco.
Approval by SUSEP (Superintendência de Seguros Privados, the Brazilian
Private Insurance Authority )
9. New Shareholding Structure
JM Holding Others
50.2 % 49.8 %
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JM Seguradora
JM Seguradora de
Crédito
JM Resseguradora
99.9 %
56.6% 43.4%
10. Thank you
Alexandre Malucelli – Deputy CEO of J Malucelli Seguradora's and CEO of
J Malucelli Resseguradora and J Malucelli Seguradora de Crédito's
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Cristiano Malucelli- Paraná Banco's Deputy CEO and Investor Relations Officer
For further information, please go to www.paranabanco.com.br/ri.
