- The company reported financial results for the third quarter of 2010, with consolidated net revenue increasing 35.5% year-over-year to R$199 million. - The main business segments are fiber cement (52.9% of revenue), chrysotile ore (30.3% of revenue), and concrete tiles and accessories (10.5% of revenue). - In February 2010, the company acquired Tégula, the largest Brazilian company in the concrete roofing business, to expand its product offerings.

1. Results Presentation | 3Q10
Conference Call – 11/10/2010
1

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. Corporate Profile

4. Supply Chain
4

5. Other Segments
5

6. Plants Location – Fiber cement
Commercial Branches
1) Anápolis/GO; 2) Colombo/PR; 3) Goiânia/GO; 4) Rio de Janeiro/RJ; 5) Simões Filho/BA; 6) Porto Alegre/RS and 7) São Paulo/SP.
6

7. Plants Location – Concrete tiles
7

8. SAMA - Overview

9. Global Market – Chrysotile Ore
Major World Producers – 2009 Global Consumption (MM of Ton)
Russia 45% 2009 2.1
China 22% 2008 2.4
Brazil* 14% 2007 2.4
Kazakhstan 10% 2006 2.3
Canada 8% 2005 2.3
Zimbabwe 1% 2004 2.1
* SAMA MINERAÇÃO (Minaçu/GO): Third largest in the world and first with ISO 14,001
9

10. Sales of Chrysotile Ore (thous. tons)
213.3 226.2
77.7 81.3
74.1 70.4 74.5
69.2 70.0
31.9 36.2 42.8
30.9 36.6 37.2 40.4
42.2 38.3 41.5 38.5
33.4 33.2 33,2
34.1
1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10
Domestic Market Foreign Market
Changes Domestic Market Foreign Market Total
3Q10 / 3Q09 + 16.9% + 15.4% + 16.1%
9M10 / 9M09 + 21.2% - 7.1% + 6.0%
10

11. Eternit - Overview

12. Covering market – Brazil (2009)
Residential Market Industrial and Commercial Market
Others Others Ceramics
Fiber cement 2% Ceramics 12% 14%
52% 43%
Fiber cement Metallic
Concrete
39% 35%
3%
Total Market Market Evolution (MM m2)
Others Concrete 10%
-2%
4% 3% 8%
Ceramics 5%
35% 505
495
459
425
406
Fiber cement Metallic
49% 9% 2005 2006 2007 2008 2009
12

13. GDP and Gross Revenue Comparison
Structure of the Industrial Park in 2009
Installed capacity: Approx. 2,820,000 tons / year
Brazilian Capacity utilization - around 86%
Consumption: Approx. 2,434,000 tons / year
Fiber Cement Companies: 11
Market Plants: 19
Selling points: 35,000
Installed Capacity: 850,000 tons/year
Capacity utilization - around 86%
Consumption: 731,000 tons/year
ETERNIT Market-share: 30%
Plants: 5
Selling Points: 12,000
13

14. Sales of Fiber Cement* (thous. tons)
535.2 594.8
207.2 207.8 205.3
195.4
181.7
167.2
160.8
1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10
Changes Total
3Q10 / 3Q09 - 0.9%
9M10 / 9M09 + 11.1%
* Includes components for constructions systems
14

15. Tégula - Overview
15

16. Tégula Acquisition
• Largest Brazilian company in the concrete roofing business
• Portfolio with more than 33 product lines
• Resale of solar heating equipment
• Market share exceeding 35% in the Brazilian concrete roofing business
• Number of Employees: more than 500
• Installed Capacity: 7.2 million square meters
• Capacity Utilization in 3Q10: around 80% (60% in 1Q10 and 70% in 2Q10)
• Value of acquisition: R$ 39.2 million
• Acquired in 02/11/2010
16

17. Main Products – Roof coverings
17

18. Full Roofing Solution
18

19. Operating and Financial Aspects

20. Consolidated Net Revenue – 3Q10
Consolidated Net Revenue* Net Revenue Breakdown
35.5% 199.0
177.6
170.7 Fiber cement
156.4 52.9%
146.9
168.7 Others (**)
144.8 133.9
3.2% Components for
150.6
143.5 150,6 constructions
121.8 127.9 systems
3.0%
101.7 100.4 Chrysotile Ore Concrete tiles
30.3% and Accessories
10.5%
43.1 33.5 25.1 28.5 27.2 27.0 30.3
1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10
Domestic Market Foreign Market
(*) in R$ million (**) Others: metallic roofing tiles, polyethylene water tanks,
bathroom chinaware fixtures and water pipe filters
20

21. COGS Breakdown – 3Q10
Fiber Cement Chrysotile Ore
Depreciation
Workforce 4%
10% Others Costs
Workforce 11%
Raw material¹ 46%
Depreciation Energy
66%
3% 7%
Others Costs
18%
Energy Raw material²
32%
3%
1 - Cement (45%), Chrysotile Ore (43%) and others (12%) 2 – Fuel, explosives, packaging, among others
Concrete Tiles
Depreciation
7% Others Costs
19%
Workforce
18% Energy
4%
Raw material³
52% 3 - Cement (51%), sand (32%) and others (17%)
21

22. EBITDA (in R$ million)
EBITDA
35.1%
35.7 35.7 36.3 37.6
29.9 27.8 30.1
1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10
22

23. Net Income (in R$ million)
Net Income
50.2%
24.3 25.5
23.2
21.6
17.3 17.0 17.2
1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10
23

24. Margins
46%
45% 45% 45%
43%
40% 41%
25%
22%
21% 20%
19% 19% 19%
15% 14% 14%
13%
12% 11% 13%
1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10
Gross Margin Net Margin
EBITDA Margin
24

25. Tégula – 3Q10
Operating and Financial Aspects 3Q10 02/11 a 09/30*
Sales - Tiles (in m2) 1,454,166 3,341,605
Net Operating Revenue R$ 20,933 thousand R$ 48,730 thousand
Gross Profit R$ 7,534 thousand R$ 16,905 thousand
Gross Margin 36% 35%
EBITDA R$ 2,748 thousand R$ 6,741 thousand
EBITDA Margin 13% 14%
Net Income R$ 3,671 thousand R$ 6,025 thousand
Net Margin 18% 12%
* As from February 11 2010, Tégula’s results were consolidated with those of Eternit as a whole
25

26. CAPEX
CAPEX (R$ million) CAPEX Breakdown (3Q10)*
80
Capacity/
Productivity
14 62%
14
34
34 Quality and
Development
6%
Administrative
16
16 Occupational 5%
22 Safety and Health Maintainance
16 1% 23% Technology
3%
9M09 9M10
Capacity Increase - ETERNIT
Tégula Acquisition
* Does not include Tégula acquisition
Investments
Molds and New Business
26

27. New production lines of finished products
Goiânia / GO Colombo / PR Simões Filho / BA
April 2008 January 2009 October 2010
27

28. Capital Markets

29. Eternit’s Shares Performance (Dec/06 - Oct/10)
Between 12/28/2006 and 10/29/2010, Eternit”s shares appreciated 51.5% and IBOVESPA appreciated
58.9%.
In the same period, including the payment of dividends and interest on own capital, Eternit’s shares
appreciated 152.9%.
200 ETER3
IBOVESPA
170 70,673
140
R$ 10.25
110
80
50
dec-06 jun-07 dec-07 jun-08 dec-08 jun-09 dec-09 jun-10 oct-10
29

30. Liquidity
Shareholders
7,726
7,317
6,615
5,717
2,482
1,638 1,302
2004 2005 2006 2007 2008 2009 2010(*)
(*) Until October 2010
30

31. Ownership Structure – Oct/10
38%
53%
Individual Investors (5,424 shareholders)
Corporations (78 shareholders)
Investors Abroad (64 shareholders)
Clubs. Funds and Foundations (151 shareholders)
2%
7%
Shareholding Structure Oct/10 Oct/07
Geração L. Par. Fund. Invest. em Ações 19.66% 6.89%
Luiz Barsi Filho 12.74% 5.47%
Victor Adler 6.70% 5.46%
Bahema Participações S. A. - 6.04%
Management 1.50% 0.97%
Treasury stock 0.03% 0.28%
Free-Float 59.37% 74.89%
31

32. Liquidity
Average Traded Volume (R$ thousand)
3,708
2,900
1,297
1,108
962
604 716
2004 2005 2006 2007 2008 2009 2010(*)
(*) Until October 2010
32

33. Shareholder Remuneration (2004 - Nov/10)
Net Income X Shareholders Remuneration (R$ million)
81 73 73
72
65
55
44
44 40
33 34 38
30
20
2004 2005 2006 2007 2008 2009 2010
Net Income Dividends and Interest on own capital
33

34. Shareholder Remuneration (2004 - Nov/10)
Dividend Yield
17.1%
16.2% 15.1%
13.2%
12.8%
9.3%
8.6%
2004 2005 2006 2007 2008 2009 2010
34

35. Outlook

36. 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
36

37. Structured Expansion and Diversification Program
Sales of fiber cement (thousand tons)
CAGR (2004/2009) = 11%
850.0
731.2
725.3 730.0
650.0 650.0 650.0 650.0
620.3
578.3
522.5
431.3
2004 2005 2006 2007 2008 2009
Sales Installed Capacity
37

38. Structured Expansion and Diversification Program
Sales of Chrysotile Ore (Thousand tons)
CAGR (2004/2009) = 3%
300.0
303.8 295.0
290.1
270.0 270.0 270.0 272.6 270.0
248.8
231.3 221.6
2004 2005 2006 2007 2008 2009
Sales Installed Capacity
38

39. Launches
Chinaware Components for
Colored fiber
bathroom construction systems and
cement roofing tiles
fixtures filters for water pipes
39

40. Chrysotile – The Brazilian Ore
40

41. 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
41

42. Awards
42

43. Awards – 3Q10
ETERNIT – Anamaco award Dispersion 1st place, Anamaco
award 2nd place in terms of large clients and Anamaco
award Dispersion Mension Honor in polyethylene water tanks
category
ETERNIT – Mension Honor for Excellence in Investor Relations
ETERNIT – Trophy Goddess of Fortune - Merit Award
Shopkeeper
ETERNIT – Second time ABRASCA Award for best Annual
Report in Category 2 - Net income under $ 1 billion
43

44. Awards – 3Q10
SAMA – 44th ranking in “100 Best Companies to Work for in Brazil” –
Great Place to Work
SAMA – 2nd Best Mining Company in Brazil
Biggest and Best/ Revista EXAME
SAMA – 5th Best Company in Brazil (overall ranking). 1st place in Medium
Companies category between 501 and 1500 employees
Você SA/Exame – 150 Best Companies for you to Work
SAMA – 1st place in Brazilian Environmental Benchmarking
(Environmental Protection)
44

45. Information
Investor Relations
Élio A. Martins Gilberto Cominato
elio.martins@eternit.com.br gilberto.cominato@eternit.com.br
Rodrigo Lopes da Luz Bárbara M. Tanure Gonçalves
rodrigo.luz@eternit.com.br barbara.goncalves@eternit.com.br
Phone: (55-11) 3813-6034
www.eternit.com.br/ir
IR Consultant
Marcelo Fonseca
marcelo.fonseca@firb.com This material was produced using FSC certified paper (Forest
Stewardship Council), which is a guarantee that the raw material
comes from a forest managed in an environmentally
Phone: (55-11) 3897-6857 responsible, socially and economically viable.
45