The document provides an overview of a company's 2Q11 earnings presentation. It highlights increases in sales volumes for chrysotile mineral and fiber cement. Net revenue grew 13.2% driven by growth in several business segments. EBITDA and net margins recovered compared to 1Q11. The company continues investing in automation and new production lines.

1. Conference Call - Results Presentation | 2Q11

2. Disclaimer
“Forward looking statements included in this presentation regarding the
Company’s business, operating and financial results and Company’s growth
are only predictions and were based on management's expectations
regarding future performance. These expectations are highly dependent on
market conditions, Brazilian economic scenario, industry performance and
international markets, and are therefore subject to change”
2

3. Highlights – 2Q11
Sales volume of chrysotile mineral grows of 6.6% compared with 2Q10
Growth of 15.7% sales volume of fiber cement
Concrete tiles segment rose 14.8% in 2Q11
Net consolidated revenue grows 13.2% and amounts to R$ 201.0 million
Investments in automation of production lines of Tegula
Recovery of EBITDA margins and Net margins when compared with 1Q11
Distribution of 85% of Net Income as dividends and interest on shareholders’
equity
Award for the Best Investor Relations for Individual Investors
3

4. Corporate Profile

5. The largest and most diversified industry in the roof
covering segment in Brazil
5

6. Supply Chain
6

7. Other Segments
7

8. Plants Location – Fiber cement / Mining
Commercial Branches
1) Anápolis/GO; 2) Colombo/PR; 3) Goiânia/GO; 4) Rio de Janeiro/RJ; 5) Simões Filho/BA; and 6) São Paulo/SP.
8

9. Plants Location – Concrete tiles
9

10. SAMA - Overview

11. Global Market – Chrysotile Mineral
Canada 6%
Russia – 48%
Kazakhstan – 10%
China – 22%
Brazil 14%
Global Consumption (MM of Ton)
2004 2005 2006 2007 2008 2009 2010
2.1 2.3 2.3 2.4 2.4 2.1 2.2
11

12. Sales of Chrysotile Mineral (thous. tons)
5.3%
306
291
136 163 2.3%
145 149
6.6%
79 78 85
75
155 143
41 42
67 64
34 37
2009 2010 2Q10 2Q11 1H10 1H11
Domestic Market Foreign Market
12

13. Eternit - Overview

14. Products and solutions for civil construction
Water tanks and filters
Constructions systems and Accessories
Roof coverings
Bathroom chinaware fixtures
14

15. Sales of Fiber Cement* (thous. tons)
13.2%
827
731
6.0%
389 413
15.7%
210
182
2009 2010 2Q10 2Q11 1H10 1H11
* Includes components for constructions systems
15

16. Tégula - Overview

17. Main Products – Roof coverings
17

18. Full Roofing Solution
18

19. Concrete Tiles
Sales (thousand m²) Capacity Utilization
18.5%
2,801 82%
72%
2,364
14.8%
1,493
1,300
1,887
477
2Q10 2Q11 1H10* 1H11 2Q10 2Q11
*Tégula was acquired on February 11 2010. The amount of 587 thousand m2 refers to Eternit.
19

20. Tégula
Operating and Financial Aspects 2Q11 2Q10 % Chg.
Sales - Tiles (in m2) 1,493 thousand 1,300 thousand 15%
Net Operating Revenue R$ 22,169 thousand R$ 19,004 thousand 17%
Gross Profit R$ 7,180 thousand R$ 6,527 thousand 10%
Gross Margin 32% 34% -2 p.p.
EBITDA R$ 2,345 thousand R$ 3,024 thousand - 22%
EBITDA Margin 11% 16% -4 p.p.
Net Income R$ 2,004 thousand R$ 1,736 thousand 15%
Net Margin 9% 9% -
20

21. Operating and Financial Aspects

22. Consolidated Net Revenue (R$ million)
30.2%
759
583
11.2%
647
387
348
13.2%
453
201
178
294 343
151 176
130 111
27 25 54 44
2009 2010 2Q10 2Q11 1H10 1H11
Domestic Market Foreign Market
22

23. Net Revenue Breakdown (R$ million)
2Q10 2Q11
Concrete tiles Concrete tiles
and and
Accessories
Components Components Accessories
Construction 10.7% Construction 11.0% Chrysotile
Chrysotile
Systems Systems Mineral
Mineral
2.3% 2.5% 27.3%
30.5%
Others (*)
Others (*)
5.0%
2.4%
Fiber cement Fiber cement
54.1% 54.2%
(*)Others: metallic roofing tiles, polyethylene water tanks, bathroom chinaware fixtures and water pipe filters
23

24. COGS Breakdown – 2Q11
Fiber Cement Chrysotile Mineral
Energy Energy
Other Costs 3% 8% Raw
19% Other Costs
9% material2
Depreciation 31%
Depreciation
3% 4%
Workforce
Raw
10%
material1 Workforce
65% 48%
1 - Cement (45%), Chrysotile Ore (43%) and others (12%) 2 – Fuel, explosives, packaging, among others
Concrete Tiles
Energy
4%
Other Costs
21%
Raw
Depreciation material3
7% 51%
Workforce
3 - Cement (53%), sand (31%) and others (16%)
17%
24

25. EBITDA (in R$ million)
17.1%
145
123
-19.5%
73
-13.1% 58
36
31
2009 2010 2Q10 2Q11 1H10 1H11
25

26. Net Income (in R$ million)
39.7%
102
73
-20.4%
48
-13.7%
38
24
21
2009 2010 2Q10 2Q11 1H10 1H11
26

27. Margins
46%
45%
43%
42%
38% 38% 38%
21% 21%
20%
19%
16% 15%
14%
13% 13% 14% 14%
10% 10%
9%
2009 2010 2Q10 1Q11 2Q11 1H10 1H11
Gross Margin EBITDA Margin Net Margin
27

28. Investments (in R$ million)
93
9
220.7% 14
59
-68.1%
4
34
34
29 -36.3%
9
8 17 19
4 11 2
27 5
21 2 21
13 3 12
6
2009 2010 2Q10 2Q11 1H10 1H11
Investments Capacity Increase – Eternit Tégula Acquisition
Molds and New Business Capacity Increase – Tégula Land Acquisitin – Ceará State
28

29. New Production Lines of Finished Products
Goiânia - GO Colombo - PR Simões Filho - BA
April/2008 January/2009 October/2010
29

30. Construction of the New Synthetic Marble Production
External Area Production Line Resin Silo
30

31. Aquisição do Terreno para a Fábrica Multiprodutos - Ceará
Cimenteira
Linha Gás Natural
35 km
15 km
Land of 400 000 m²
31

32. Corporate Governance and Capital Markets

33. Eternit’s Shares Performance (Dec/06 - Jul/11)
Between 12/30/2006 to 07/31/2011, Eternit”s shares appreciated 46.7% and IBOVESPA
appreciated 31.8%.
In the same period, including the payment of dividends and interest on own capital, Eternit’s shares
appreciated 133.5%.
220
ETER3
IBOVESPA
200
180
160
R$ 8.89
140
58,823
120
100
80
60
40
Dec-06 May-07 Oct-07 Mar-08 Aug-08 Jan-09 Jun-09 Nov-09 Apr-10 Sep-10 Feb-11 Jul-11
33

34. Ownership Structure – Jul/11
Shareholding Structure Jul/11 Jul/10
30.2% Geração L. Par. F. I. A. 18.96% 19.41%
Luiz Barsi Filho 13.21% 12.53%
Victor Adler + VIC DTVM 8.50% 8.50%
Diretoria 1.68% 1.42%
Demais Conselheiros 0.07% 0.04%
59.7%
7.8% Ações em Tesouraria 0.03% 0.03%
2.3%
Member
Board of Directors
Since
Sérgio Alexandre Melleiro (*) 1993
Lírio Albino Parisotto (*) 2004
Individual Investors
Victor Adler (*) 2005
Corporations Élio A. Martins 2007
Investors Abroad Luiz Barsi Filho (*) 2008
Clubs. Funds and Foundations Marcelo Munhoz Auricchio (*) 2011
Luis Terepins (*) 2011
(*) Independent member
Member
FREE-FLOAT 76.51% Consultive Council
Since
Guilherme Affonso Ferreira 2011
Mário Fleck 2011
34

35. Ownership Structure
Number of shareholders Average Traded Volume
(R$ thousand)
6,615 6,784
1,108
5,910
975
841
2009 2010 2011(*) 2009 2010 2011(*)
(*) Until July 2011
35

36. Shareholder Remuneration
Net Income X Shareholders Dividend Yield
Remuneration (R$ million)
102
15.1%
73
72
9.3%
55 60
38
5.6%
2009 2010 2011* 2009 2010 2011*
Net Income Dividends and Interest on own capital
(*) Until August 2011
36

37. Quer ser sócio? / Wants to be a partner?
Eternit joined to Quer Ser Sócio? of
BM&FBOVESPA campaign
The campaign aims to achieve the goal of
winning 5 million of investors and make the
market more accessible to all Brazilians who want
to be partners in the growth of the country.
37

38. Online version of the Annual Report 2010
The Company made available in June the online
version of the Annual Report 2010, which, through a
sustainable point of view, according to the Mission of
the Company, also offers its content for access, by
smartphones and IPAD.
This is another improvement of Eternit regarding
corporate level, in which its exellence is already
recognized by the market.
38

39. Awards
•Best Investor Relations for Individual Investors: Eternit
won the IR MAGAZINE BRAZIL AWARDS 2011 prize for the Best
IR Program for Individual Investors in the small & mid-cap
category (companies with billings of less than R$ 3 billion). The
Company also received an honorable mention of "best progress in
Investor Relations" in the small & mid-cap category from the
same entity.
•Prêmio Ruy Othake: At the 18th Concept and Image of
Industry Ranking awards in May 2010, Eternit was placed first in
the fiber cement roofing tiles category and third in the
polyethylene water tanks category.
•Prêmio Great Place To Work: In May 2011, SAMA and
Precon Goiás were elected “The Best Companies to work”.
39

40. Outlook

41. Economic Figures
Minimum Wage (R$) Workforce (R$ million)
CAGR: 5.96%
CAGR: 10.5% 377,361
404,751
545 365,331
510
465 303,028 321,163 338,501
415
380
350
300
2005 2006 2007 2008 2009 2010 2011 2005 2006 2007 2008 2009 UDM 2010*
Source: BACEN Source: IBGE * 2010 UDM from dec/09 to nov/10
Food Basic Basket SP x Minimum Wage (purchasing power)
79.2% 79.4%
71.4% 68.7% 66.2%
61.1%
56.5% 57.7%
52.0% 49.1% 52.0%
545.0
510.0
465.0
415.0
350.0 380.0
300.0
240.0 260.0 239.5 265.2
200.0 214.6 228.2
151.0 180.0 164.8 183.4 182.1
119.5 128.6 158.7 172.2
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Source: IBGE and DIEESE Minimum Wage (R$) Food Basic Basket in SP (R$) %
41

42. Economic Figures
Credit Availability Unemployment Rate - Brazil
Government, Industry, Housing, Rural, Commerce, Credit
Individuals (R$ billlion)
1,703.8 8.6% 8.4%
1,677.6
1,613.8 7.4%
1,528.9 6.8% 6.8%
1,451.9
1,410.3
5.3%
1,227.3
936.0
dec/07 dec/08 dec/09 mar/10 jun/10 sep/10 nov/10 dec/10 dec/05 dec/06 dec/07 dec/08 dec/09 dec/10
Source: BACEN Source: IBGE
Growth of the Brazilian Savings
20.0% 20.0% 20.0% 20.0% 20.0%
19.0% 19.0% 19.0%
18.0%
17.0%
16.0% 16.0%
15.0%
277.0 280,0
265.0 270.0
257.0 258.0 260.0 262.0
254.0
240.0 245.0
233.0 238.0
aug/09 sep/09 oct/09 nov/09 dec/09 jan/10 feb/10 mar/10 apr/10 may/10 jun/10 jul/10 aug/10
Source: BACEN R$ billlion (%) Chg YoY
42

43. GDP and Gross Revenue Comparison (%)
GDP Construction GDP Brazil Eternit - Gross Revenues
34.9 33.3
13.2 12.0
11.6
8.2 5.1
7.5 5.2
5.0 5.4 5.3
4.0
-0.2
-6.3
2007 2008 2009 2010 2011(E)
(E) - Estimate - Source: BACEN.
Gross revenue growth has been consolidated as of January to June 2011 vs. the same period of 2010. The Company
does not inform guidance of future revenue.
43

44. Structured Expansion and Diversification Program
OBJECTIVE
Consolidate Eternit as a supplier of products and solutions to the civil construction industry
INITIATIVES
- Creation of the Development and New Businesses Area
- Inclusion of metallic roofing on its portfolio
- Investment in new product lines of fiber cement
- Investment in machinery for new products on its plants
- Increase in SAMA’s production capacity
- Launches of new products
- Debut into chinaware bathroom fixtures
- Inorganic growth – Acquisitions
44

45. Launches - 2011
Bairro Nova Odebrecht – Angra dos Reis/ RJ
For more information access: www.eternit.com.br
45

46. Mobile Exhibitor - Bathroom Chinaware
Fiat Doblô cars equipped with bathroom chinaware and lavatory seats exhibitors
46

47. Chrysotile – The Brazilian Mineral

48. Chrysotile – The Brazilian Ore
The use of Chrysotile ore in Brazil is regulated
by the Federal Law 9.055/95, by Decree
2.350/97 and by regulatory standards for
occupational health and safety. It is also
provided in the Convention 162 of the
International Labor Organization (OIT).
White Ore
Bends and silky fibers without tip
High Concentration of Magnesium:3MgOSiO2H2O
Biopersistence*: 2.5 days
*Biopersistence: Time that a inhaled particle remains in
the lungs before being eliminated by the body’s defense
mechanisms. To cause lung damage, the fiber must have
penetration and durability capacities in the alveoli.
Serpentinite rock with Chrysotile Ore fibers
48

49. Brazil concludes important research about chrysotile ore risks
Project Asbesto Ambiental
“Ambiental Exposition to Asbesto: Evaluation of Risk and Effects in Health”
Process CNPq n. 420001/2006-9
The results of the research were announced on November 25 2010 and
demonstrates that:
Among the householders surveyed, no clinical, respiratory functional and
high resolution tomographic alterations were found that could be
attributed to atmospheric asbestos fiber inhalation.
In the occupational assessment, no new alterations were identified or
progression in pleural and interstitial deterioration of individuals in the
sample Group exposed after 1980 and who underwent High Resolution
Computed Tomography scans in the two studies.
The full version of this research can be found in www.sectec.go.gov.br.
49

50. Corporate and Environmental Management

51. Corporate Management
Open Doors Program
Launch ................... November 2004
Contribute to society’s better understanding of
the mining and processing of Chrysotile Ore and
Purpose .................
the manufacture of fiber cement products in a
sustainable manner.
Five production plants of Eternit and the SAMA
Location ...........
mining company
Visitors ............... More than 46,000 until June 2011
Target ................... All society
51

52. Environment Focused Management
Zero Reject Monitoring Air Quality Water Reuse Reforestation Work
Seedling Nursery Quelônios Project - Animal Conservation Area
The only breeding program of Amazon turtles in Brazil and Reintegration
of Wild Animal Nature in partnership with IBAMA
52

53. Social Actions
53

54. Information
Élio A. Martins
elio.martins@eternit.com.br
Rodrigo Lopes da Luz
rodrigo.luz@eternit.com.br
Bárbara M. Tanure Gonçalves
barbara.goncalves@eternit.com.br
Phone: (55-11) 3813-6034 or (55-11) 3038-3818
www.eternit.com.br/ir or www.blogdaeternit.com.br
IR Consultant
Silvia Helena Madi Pinheiro This material was produced using FSC certified paper (Forest
Stewardship Council), which is a guarantee that the raw material
silvia.pinheiro@firb.com comes from a forest managed in an environmentally
responsible, socially and economically viable.
Tel: (55-11) 3500-5564
54