The document discusses Magnesita S.A., a Brazilian refractory company. It outlines the company's history and key events, including being founded in 1939, listing on the stock exchange in 1969, and migrating to Novo Mercado rules in 2008. It also describes the acquisition of control by GP and Gávea, ending family management. The document provides financial information, an overview of products and applications, and highlights Magnesita's leadership position, assets, and growth strategy.

2. Novo Mercado – On April 2, 2008 shareholders of Magnesita S.A. had their shares
substituted for by those of Magnesita Refratários S.A., grouped and traded under the
Novo Mercado rules
Incorporation – Magnesita S.A. and Partimag are merged into the Parent Company
Magnesita Refratários S.A.
Change in Control – GP and Gávea acquire control of Magnesita S.A., conduct two 2
IPOs and buy shares directly on the market.
End of Family-run Management – Since its creation until this date, Magnesita was
managed by the Pentagna Guimaraes Family.
Bovespa – In 1969, Magnesita S.A. is listed on the São Paulo Stock Market
Foundation – After discovery of a large quantity of magnesite in Brumado/BA mines,
Magnesita Ltda. is founded. Industrial activities initiated in 1944.
1969
Sep/07
Dec-07 a
jan/08
Feb/08
Apr/08
1939

3. Previous Shareholding Structure
RISA
REFRATÁRIOS
RISA MATERIALS
CERÂMICOS
CERÂMICA
SÃO
CAETANO
FRUTMAG CEPALI Refratec
RASA
(Argentina)
REFRATEC
PARTICIPAÇÕES
MAGNESITA
SERVICE SÀO JOSÉ MSA INFOR
PARAÍSODERBY
ILIAMA
(Portugal)
BERNHANDT
(Portugal)
MSA
SERVICE
MSA
AGROPECUÁRIA
BERNHANDT
(Spain)
IKERA
REMSA
(Argentina)
ILIAMA
(Spain)
MAGNESITA
S.A.
MINORITY
SHAREHOLDERS
Partimag
GP Gávea
RPAR
Holding S.A.
100% 95% 100% 100% 100% 100% 100% 100% 100% 100%
34%
66% 100% 100% 100% 100% 98% 100%
100% 100% 99.9755% 97.9769%
1.9653%0.0122%
Total = 24 companies

4. RISA
REFRATÁRIOS
RISA
REFRATÁRIOS
RISA MATERIALS
CERÂMICOS
RISA MATERIALS
CERÂMICOS
CERÂMICA
SÃO
CAETANO
CERÂMICA
SÃO
CAETANO
FRUTMAGFRUTMAG CEPALICEPALI RefratecRefratec RASA
(Argentina)
RASA
(Argentina)
REFRATEC
PARTICIPAÇÕES
REFRATEC
PARTICIPAÇÕES
MAGNESITA
SERVICE
MAGNESITA
SERVICE SÀO JOSÉSÀO JOSÉ MSA INFORMSA INFOR
PARAÍSOPARAÍSODERBYDERBYILIAMA
(Portugal)
ILIAMA
(Portugal)
BERNHANDT
(Portugal)
BERNHANDT
(Portugal)
MSA
SERVICE
MSA
SERVICE
MSA
AGROPECUÁRIA
MSA
AGROPECUÁRIA
BERNHANDT
(Spain)
BERNHANDT
(Spain) IKERAIKERA REMSA
(Argentina)
REMSA
(Argentina)
ILIAMA
(Spain)
ILIAMA
(Spain)
MAGNESITA
S.A.
MAGNESITA
S.A. MINORITÁRIOSMINORITÁRIOS
PartimagPartimag
GPGP GáveaGávea
RPAR
Holding S.A.
RPAR
Holding S.A.
100% 95% 100% 100% 100% 100% 100% 100% 100% 100%
34%
66% 100% 100% 100% 100% 98% 100%
100% 100% 99,9755% 97,9769%
1,9653%0,0122%
Initial Changes

5. MSA Service
Other Shareholders
and
Treasury
100% 100% 100% 100% 100%
100% 98%
47.0% 12.5% 40.5%
GáveaGP
Magnesita
Refratários S.A.
Cerâmica São
Caetano
Mag-Sé
Rasa
(Argentina)
Iliama
(Espanha)
MSA Infor
Iliama
(Portugal)
Current Shareholding Structure
Total = 8 companies

6. Extraction of
Minerals
Production of
Refractories
Service
Supplier
Products Capacity (*)
320
60
48
590
Applications
Refractory Masses and Bricks
Fertilizers, steelmaking, abrasives,
magnesium salts, animal feed
Plastics, cosmetics, pharmaceuticals,
paper/pulp, chemical industry, rubber
Steel industry, cement, non-ferrous
metals, iron alloys and others.
Produos e Aplicações
(*) ktpy
Sinter
Caustic Magnesite
(magnesia oxide)
Talc
Basics
Aluminum products
Monolithics and cast products
Valves
Refractory solutions that contribute to potentialize and optimize the client’s output capacity.
Supplementary services to the steel making process – electro-mechanical maintenance of
equipment, assembly and disassembly of refractories, among others.
We create high value-added solutions to costumers

7. 7
Market leader in Brazil and
South America
Vertically integrated
business model
Long-lasting and high quality
mineral reserves
Solutions-based business
model
11
33
44
55
Attractive domestic
industrial dynamic with high
potential abroad
66
Leading-edge technology
77
Consolidated and
experienced management
88
Stable and long-term commercial
relationships based on top-tier
customers
22

8. Accomplishments
Incorporation of subsidiaries
Selloff of non core assets
Acquisition of Insider
Partnership with Krosaki
Renegotiation of the debt
Results
Administrative efficiency
Tax benefits
Cost reductions
Increase of margins
Moody´s Rating Aa2.br

9. 9
395
97 90 104
31 21 29
67
30
34
175
2007 1Q07 4Q07 1Q08
Refractories Sínter Others Minerals
570
195
167
Refractories
1Q08x1Q07 = + 7.2%
1Q08x4T07 = + 15.5%
Sinter
1Q08x1Q07 = - 6.4%
1Q08x4T07 = + 38.1%
Total
1Q08x1Q07 = - 14.4%
1Q08x4T07 = + 18.4%
141
Note: In 2007, revenues from sinter and other minerals
are added.

10. 1Q07 2Q07 3Q07 4Q07 1Q08
ME
MI
302 306
323
Heated up demand in the steel and cement sectors in 1Q08
raised sales by R$ 17.0 million
Net Revenues – R$ million
1Q08
Net Revenues per Product
312
278

11. 11
348.6
1Q08 vs. 1Q07 = +15.3%
EBITIDA – R$ million EBITIDA Margin – %
1st Qtr.
2nd Qtr.
3rd Qtr.
4th Qtr.
+45,3%
217.7

12. Raw Materials
31%
Labor
28%
Fuels
13%
Depreciation
6%
Industrial
Maintenance
4%
Freighting
4%
Energy
5%
Others
9%
COGS - 1Q08 Operating Expenses
1Q07 2Q07 3Q07 4Q07 1Q08
Administratives
Commercial
Magnesite benefits from its vertical structure, with 80% own
resources, of which 100% in magnesite sinter and dolomite.
31 31 31 30 25
35 33 33
63
31
-50,8%

13. Gross Debt - R$ million Net debt / EBITDA
157.5
894.4
Obs.: 03.31.08 – annualized EBITDA was considered
413
680
249 220
375
-76
03/31/07 12/31/07 03/31/08
Net Debt Ebitda

14. Base 100 - 12 months Price and Volume - Novo Mercado

15. Mission
To provide our clients with integrated solutions in services, refractories and raw materials, which
maximize their results, developing long term relationships and business models which are replicable in
other geographies.
Vision
To be the largest and most profitable company, providing solutions in services refractories and raw
materials in the world until 2012.
Values
Organizational Identity
Clients – The essence of our company is to provide high value added solutions to our clients.
People – Excellent people teaming-up and thinking as shareholders and owners constitute our most
valuable “competitive advantage”. Our executives day to day agenda includes the formation of our people.
Meritocracy – We reward and recognize success and offer opened opportunities for our people to seek
develop in the extent of each one´s talent, speed and results.
Management model – Hard working, creativity, discipline and optimism are inherent to our management
model and are crucial to reach and excel challenging objectives and high performance standards.
Profit – Maximizing our results is the sole route to perpetuate our existence and future growth.
Ethics – We will never give up our ethics and integrity in pursuing results. We will not tolerate any faults in
this regard.
Agility and transparence – we are simple and fast in executing and communicate on a transparent and
objective manner.
Environment and Community – we operate respecting the environment and we help developing the
communities around us.