1

Banco do Banco do BrasilBrasil

BBAS3

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This presentation may include references and statements, planned synergies,

increasing estimates, projections of results and future strategy for Banco do Brasil,

it’s Associated and Affiliated Companies and Subsidiaries. Although these

references and statements reflect the management’s belief, they also involve

imprecision and high difficult risks to be foreseen, consequently, they may conduct

to a different result than those anticipated and discussed here. These expectations

are highly dependent on market conditions, on Brazil’s economic and banking

system performances, as well as on international market one. Banco do Brasil is not

responsible for bringing up to date any estimate in this presentation.

DisclaimerDisclaimer

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3

2

1 Brazilian Banking Industry Environment

Operational Performance

Prospects and Opportunities

4

Middle and Low Income

Classes¹ (% Households)

Compelling Demographic Dynamics - %

Brazilian Banking Industry EnvironmentBrazilian Banking Industry Environment

Source: IBGE, Central Bank of Brazil, FGV and Ipeadata.(1) Data as of June of each year. Income classes classified according to income by household. Low income class: households with incomes up to R$ 1,063 per month. Middle income class: between R$ 1,064 and R$ 4,590 per month.

Total Payroll Index²

(2) Base 100, Dec/2005Source: IBGE

Unemployment Index³ - %

(3) 12 months average Source: IBGE

106.5 111.6 119.1 121.7133.4

2006 2007 2008 2009 sep/10

10.0 9.37.9 8.1

7.1

2006 2007 2008 2009 sep/10

40%

50%

60%

70%

80%

90%

1950 1960 1970 1980 1990 2000 2010 2020 2030 2040 2050

Economic Active Population = 15-64 years

Dependency ratio

Demographic

bonus

42% 46% 48% 50% 53%52%44%46% 46% 41% 38% 37% 33% 31%

8.67.97.77.67.3

8.3 8.5

2003 2004 2005 2006 2007 2008 2009

Middle Income Class Low Income Class GDP per Capita (US$ 1,000)

5

Mortgage Payroll LoanVehicles Loan

77.4111.6 139.1 157.1 166.535.7

45.863.3

91.9125.2

48.1

64.7

78.9

106.2

131.8

2006 2007 2008 2009 sep/10

Brazilian Banking Industry IndividualsBusinesses

Credit to Individuals and Businesses

733

936

1,227

1,414

1,612

Brazilian Banking Industry EnvironmentBrazilian Banking Industry Environment

Credit to Individuals²

(1) Loan as Reference for Interest Rate(2) Source: Central Bank of Brazil – sep/10 – preliminary data

Credit / GDP - % Credit / GDP – Businesses¹ - %

Credit / GDP – Individuals¹ - %

Credit / GDP

Interest - % per year Average term - days

2002 2003 2004 2005 2006 2007 2008 2009 Sep/10

72.9

39.6315.5

541.0Credit to Individuals² - Interest vs. Term

30.234.2

40.845.0 46.7

8.6 10.012.8 13.7 13.9

15.314.913.1

11.69.8

2006 2007 2008 2009 sep/10

R$ billion

425.4 532.3 636.0

510.6

695.0778.4

884.0

238.0

728.0207.8

2006¹ 2007 2008 2009 sep/10

6

Scale and LeadershipsScale and Leaderships

R$ billion

As of 09/30/2010

(1) Market Share: Central Bank of Brazil – Top 50 banks: Total Banking - Consolidated I + II (as of Jun/10)

(2) Market Share: Central Bank of Brazil – Domestic Portfolio Informations. Balance of BB portfolio includes guarantees and private securities.(3) ANBIMA Ranking (assets managed by Banco do Brasil + 50% of the assets managed by Banco Votorantim)

21,2%

78,8%

796.8

Assets¹

78.8%

21.2%

22,1%

77,9%

362.5

Asset Management³

77.9%

22.1%

73,7%

26,3%

348.3

Deposits¹

73.7%

26.3%

80,0%

20,0%365.1

Loan Portfolio²

80.0%

20.0%

7

Net Income

Recurring Net

Income

Recurring ROAE - %

ROAE - %

Net Income and ProfitabilityNet Income and Profitability

Growing and consistent income reflect the value creation of the strategies adopted.

R$ million

32.1 30.7

25.9 25.1

19.5

26.1

24.725.8

21.622.6

32.5

22.5

3,665

5,8806,685

8,506

5,014

6,960

5,0586,044

8,803

10,148

5,992

7,701

2006 2007 2008 2009 9M09 9M10

8

Return to ShareholdersReturn to Shareholders

The payment of Interest on Own Capital and dividends in the first nine months of 2010 surpassed, by 28%, the amount paid in 2006.

Interest on Own Capital

Dividends

R$ billion

1.0 0.7

2.0 2.2

1.01.4

1.41.3

1.51.9

1.4

1.7

2.42.0

3.5

4.1

2.4

3.1

2006 2007 2008 2009 9M09 9M10

9

Interest Expense

Other Interest Income

Loan Income

(1) Before Allowance for Loan Losses

18.120.8

24.5

33.1 = 21.9% = 21.9%

23.8

29.0

Net Interest IncomeNet Interest Income

NII¹

2006 2007 2008 2009 9M09 9M10

21.6

15.1

18.625.3

14.7

19.2

34.5

23.9

33.941.7

23.7

32.329.7

17.7

23.6

39.8

19.7

30.5

= 34.0% = 34.0%

R$ billion

10

Cumulative Selic²

(1) Net Interest Income over Earning Assets(2) Annualized(3) Net Financial Margim over Earning Assets(4) Up to September/2010 - annualized

Risk Adjusted NIM³

Net Interest MarginNet Interest Margin

28.7

25.4

21.018.7

5.5 6.35.1 5.3 5.6

16.6

8.16.9 6.7 7.2 6.3

10.9 10.3 9.3 9.8 9.4

2006 2007 2008 2009 20104

NIM¹

2006 2007 2008 2009 20104

NIM by product - % NIM - %

Emphasis on expansion of lower risk products in Individuals Loan Portfolio ensures Net Interest Margin maintenance.

Agribusiness

Individuals Businesses

Loan Operations

15.1

11.9 12.59.9

5.6 5.6 5.0 4.3 4.5

9.5

6.46.77.07.68.1

11(1) Demand, deposits savings, judicial and special deposits.(2) Including 50% of BV managed resources

(3) Source: ANBIMA Ranking

FundingFunding

BB Funding is characterized by low costs, diversification and stability.

Total Deposits

158.8188.3

270.8

337.6 348.3

2006 2007 2008 2009 Sep/10

Core Deposits1

119.1144.2

155.8

202.9218.4

2006 2007 2008 2009 Sep/10

Assets under Management2

182.7220.1

246.3

316.2

362.5

2006 2007 2008 2009 Sep/10

R$ billion

83.8 85.4 83.089.1

97.6

Loan Portfolio / Deposits - %

21.421.120.7

18.319.1

Market Share - %

Foreign Borrowing – US$ billion

2.3 3.36.2 7.42.6

3.4

2.6 1.7

1.72.2

4.66.9

3.8

6.8

6.3

6.1

2.0

2.0

2.0

2.0

12.4

17.6

21.7

24.1

2007 2008 2009 Sep/10

Individuals

Businesses

Issuances

Repo

Interbanking

12

= 19.0% = 19.0%

Market Share¹ - %

(1) Central Bank of Brazil – Press Releases – BB Domestic Loan Portfolio.

339.8

20.016.016.5 17.1

20.1 20.1

9.1%

33.8%

18.0%

39.0%51.9 65.597.2

125.3 117.0140.524.0

32.0

48.8

91.885.7

107.4

8.511.7

18.5

19.220.5

26.0

36.640.2

45.2

47.347.6

48.0

12.2

11.4

15.1

17.314.8

18.0

133.2

160.7

224.8

300.8285.5

2006 2007 2008 2009 Sep/09 Sep/10

6.0%

21.5%

31.0%

41.5%

5.3%

21.8%

31.6%

41.3%

Loan PortfolioLoan Portfolio

BB Loan Portfolio reaches a market share of 20% due to credit diversification with growing of Individuals Loan Portfolio.

CAGR = 28.4%CAGR = 28.4%

R$ billion

Businesses

Individuals

Offshore

AgribusinessIndividuals

AgribusinessBusinesses

13

Δ% overSep/09

29.2

24.2

25.3Market Share¹ - %

(1) Source: Central Bank of Brazil – Press Releases - Loan as Reference for Interest Rate.

Other

Payroll Loan

Vehicle Finance

Credit Card

Mortgage

CAGR = 49.1%CAGR = 49.1%

31.4

22.7

10.8 11.614.5

22.9 22.3

8.3 11.9 17.6

36.5 34.042.2

12.013.3

16.8

23.6 23.1

27.0

2.83.8

7.6

9.48.1

10.4

0.9

3.0

6.7

20.719.3

25.3

0.1

1.51.3

2.5

24.0

32.0

48.8

91.885.7

107.4

2006 2007 2008 2009 Sep/09 Sep/10

Individuals Loan PortfolioIndividuals Loan Portfolio

Banco Votorantim, payroll loan, vehicle finance and mortgage are the main strategies to consumer finance expansion.

R$ billion

14

Total Loan PortfolioNPL - BV - %

Market Share¹ - BV - %

BV - Retail Credit Production

(1) Source: ABEL

4,579

5,762 6,0436,636

7,540

9,178

2Q09 3Q09 4Q09 1Q10 2Q10 3Q10

3.1 3.4 3.2 3.4 3.0 2.7

18.617.517.313.4

22.5 22.6

Retail Credit – BVRetail Credit – BV

+

R$ million

15

Small and Micro Enterprises

Medium and Large Enterprises

Δ% over Sep/09

20.1

21.3

17.8

Market Share¹ - %

(1) Source: Central Bank of Brazil – Press Releases: Loan as Reference for Interest Rate

33.6 40.9

62.380.4 75.8

92.018.3

24.6

34.9

44.941.2

48.5

51.9

65.5

97.2

125.3117.0

140.5

2006 2007 2008 2009 Sep/09 Sep/10

21.4

15.6 14.4 16.7

21.1 20.5

Business Loan PortfolioBusiness Loan Portfolio

Credit to Businesses gains market and grows more than 20% in the last 12 months.

CAGR = 30,4%CAGR = 30,4%

R$ billion

16

Investment

Working Capital

Foreign Trade

Other

Δ % over Sep/09

34.0

21.8

4.7%

9.3%

21.9%

64.1%

30.139.1

59.8

81.690.1

9.6

13.4

19.2

25.2

22.9

30.712.6

14.1

13.16.0

6.0

6.6

51.9

65.5

97.2

125.3117.0

140.5

74.010.1

15.5

10.9

2.7

2.2

2.1

2006 2007 2008 2009 Sep/09 Sep/10

4.1%19.5%

18.4%

58.1%

Business Loan Portfolio BreakdownBusiness Loan Portfolio Breakdown

The increase in the relative share of credit for investment reflects the improving economy and indicates a promising scenario for next year.

R$ billion

17

Business Loan Portfolio - FGOBusiness Loan Portfolio - FGO

Thousand Operations

Operations BalanceR$ million

380

Sep/09

2,404

Dec/09

3,469

Mar/10

5,104

Jun/10

5,643

Sep/10

212.4

255.4

140.5

81.9

11.4

= 134.7% = 134.7%

= 10.6% = 10.6%

SME credit prioritized risk mitigators mechanisms to expand the leverage capacity of businesses and to hedge BB loan portfolio.

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Investment

Costs

Marketing

Other

Δ % over Sep/09

8.7

12.0

12.9

4.4

Market Share - %

59.6 57.7 60.7 58.2 61.5 61.9

0.9%

16.4%

41.2%

41.5%

2.6%

26.5%

33.5%

37.4%18.7 19.9 24.3 27.5 24.5 27.6

18.6 20.120.1

22.022.1

24.77.410.9

17.514.4 18.8

19.62.6 2.7

1.9

45.1

51.9

63.766.4 68.0

74.0

0.4

1.0

1.8

2006 2007 2008 2009 Sep/09 Sep/10

Agribusiness Loan PortfolioAgribusiness Loan Portfolio

BB is the main partner of brazilian agribusiness, ensuring support to all stages of production process.

CAGR = 14.1%CAGR = 14.1%

R$ billion

19

73,8%

58.4%

66.6%

54.7%

35.7%

74.2%

Without Mitigators¹ - % With Mitigators ¹ - %

Working Capital (R$ billion)Crop Insurance Breakdown

61.6 62.067.3

38.0 32.7

11.6 15.9 14.9 7.0

50.0

38.450.0

Crop 07/08 Crop 08/09 Crop 09/10 Crop 10/112

Agribusiness – Risk MitigatorsAgribusiness – Risk Mitigators

Costs³ Rural Insurance Hedge PriceSoybean 3,580 66.4% 7.0%Corn 1,223 71.2% 10.1%Rice 765 72.0% -Wheat 16 87.3% -Other 1,438 37.4% -Total 7,022 62.0% 5.3%

% Mitigated

(1) Agricultural insurance, Proagro or Hedge Price(2) Up to September 2010(3) Crop 2010/2011 – R$ million

20 (1) Loan as Reference for Interest Rate.(2) Source: Central Bank of Brazil – Press Releases

Delinquency RatioDelinquency Ratio

Reduction of delinquency ratio shows the success of BB strategy to emphasize collateralized segments.

2

7.6 7.08.0 7.8

8.2

6.0

3.8

6.3 6.35.8

4.85.2

2006 2007 2008 2009 Sep/09 Sep/10

Individuals Loan Portfolio NPL Ratio1 - %

2.72.0 1.8

3.8 4.03.5

2.4 2.0 1.7

2.9 3.12.2

2006 2007 2008 2009 Sep/09 Sep/10

Businesses Loan Portfolio NPL Ratio1 - %

Loan Portfolio NPL Ratio - %

3.73.2 3.0

4.4 4.43.4

2.5 2.43.3 3.6

2.72.7

2006 2007 2008 2009 Sep/09 Sep/10

21

Allowance for Loan Losses Expenses - R$ million

Allowance for Loan Losses / Loan Portfolio¹ - %

Coverage Ratio² - %

Credit Risk and Allowance for Loan LossesCredit Risk and Allowance for Loan Losses

Allowance for Loan Losses Expenses / Average Portfolio (%)

170 168 176156 162 171

205214228

162 156

182

2006 2007 2008 2009 Sep/09 Sep/10

2006 2007 2008 2009 9M09 9M10

3.85.0

3.7 3.64.6 4.7

5,743 5,380

6,800

11,629

8,679 8,536

(1) Annual Allowance for Loan Losses Expenses over 12 months

Average Portfolio .

(2) Required allowance for loan losses / Past Due Loans + 90 days

22(1) Inssuance, Pension Plan and Saving Bonds.

NII

Other CommercialIncome

Commercial Revenues¹Commercial Revenues¹

Business diversification ensures sustainability in revenue creation.

18.1 20.8 24.533.1 23.8

29.09.5

10.612.7

15.1

11.1

13.027.6

31.437.2

48.1

34.9

42.0

2006 2007 2008 2009 9M09 9M10

CAGR = 20.4%CAGR = 20.4% = 20.6% = 20.6%

R$ billion

23

Market Share -%

Cards Revenues

38.6

50.5

66.2

88.6

64.5

77.8

15.8 16.819.2 20.3 20.6 20.5

2006 2007 2008 2009 9M09 9M10

= 23.7%= 23.7%

Cards and InsuranceCards and Insurance

Business with Cards and Insurance follow the favorable dynamic of economy.

(1) Brokerage Net Revenue + Fee Income + Equity in the Earnings. After taxes.

(2) Insurance Income / Recurring Income

Insurance Income¹

Insurance Index -%2

617.6 671.9758.5

992.2

752.0

943.6

16.8

11.4 11.3

14.6 15.013.6

2006 2007 2008 2009 9M09 9M10

= 25.5% = 25.5%

R$ billion

24 (1) Does not include civi and labor claims(2) Pro forma considering BNC and BV expenses.

Other AdministrativeExpenses

Personnel Expenses

Administrative ExpensesAdministrative Expenses11

BB shows austerity in the administrative expenses management, even considering BNC branch network integration and acquisition of 50% of Banco Votorantim.

7.3 7.1 8.110.3 8.0 9.0

5.6 6.27.3

8.9

7.07.5

12.9 13,3

15,4

19.2

15.016,5

2006 2007 2008 2009² 9M092 9M10

= 10.0% = 10.0%

R$ billion

25

Structure DataStructure Data

Employees - thousand

82.7 81.989.0

104.0108.5

2006 2007 2008 2009 Sep/10

Points of Service - thousand

11.1 11.3 11.6 13.0 13.2

4.0 4.0 4.34.9 5.1

15.1 15.3 16.0

17.9 18.3

2006 2007 2008 2009 Sep/10

Other Points of Service Branches

ATM - thousand

39.7 39.3 39.7

45.444.2

2006 2007 2008 2009 Sep/10

Transactions in Automated Channels - %

90.0 91.3 91.1 92.0 91.8

2006 2007 2008 2009 Sep/10

26

Productivity ratiosProductivity ratios

Deposits per Branch - R$ million

40.0

47.0

62.4

68.9 68.9

2006 2007 2008 2009 Sep/10

Assets per Employee– R$ million

3.23.9

5.2

6.26.7

2006 2007 2008 2009 Sep/10

Checking Accounts per Employee

278301 313 307 301

2006 2007 2008 2009 Sep/10

Credit Portfolio per Branch – R$ million-

33.540.1

51.8

61.467.2

2006 2007 2008 2009 Sep/10

27(1) Without one-off Items(2) Cost-to-Income Ratio = Administrative Expenses / Operating Revenues(3) Accumulated up to September/2010

Productivity RatiosProductivity Ratios

Recent acquisitions present opportunity to recover previous productivity levels.

Fee Income / Personnel Expenses - %(1)

119.8112.9127.7

136.2128.2

2006 2007 2008 2009 20103

Cost-to-Income Ratio - %(1) (2)

47.5

2006

46.2

2007

45.6

2008

40.7

2009

44.0

20103

28

Tier II - %

Tier I - %

(1) Pro forma – Added subordinated debt issued in the amount of US$ 650 million.

BIS RatioBIS Ratio

Current BIS Ratio level allows BB Loan Portfolio to keep growing.

Pro forma1

11.7 10.7 10.99.7 10.2

5.64.9 4.3

4.0 4.0

17.3

15.6 15.213.7 14.2

2006 2007 2008 2009 sep/10

10.2

4.2

14.4

oct/10

29

59,2

10,4

17,0

13,413.4

17.0

10.4

59.2

Ownership StructureOwnership Structure

Ownership Structure

Foreign InvestorsFederal Government

PREVI Other

Free Float - %

7.210.0 11.3 11.8

17.07.6

11.7 10.2 10.0

13.4

14.8

21.7 21.5 21.8

30.4

2006 2007 2008 2009 Sep/10

After 2006, 2007 and 2010 public offerings BB surpasses 30% of free float and meets all commitments with Bovespa’s Novo Mercado¹.

Free float: 30.4%

(1) Special listing segment of BM&F Bovespa wich comprises companies with the best corporate governance practices.

30

Banco do Brasil Bradesco Itaú Unibanco Ibovespa Santander¹

(1) Change since 10/07/2009, date of first Unit SANB11 negotiation.

Stock PerformanceStock Performance

206.9%

128.1%

110.0%

12.4%

107.5%

12/31/2005 09/30/2010

Market recognizes the historical operating performance and the favorable prospects.

31

Prospects and Opportunities

32

Business DiversificationBusiness Diversification

Insurance Businesses

Credit Cards

Payment methods

National Brand

Mortgage

Long term relationship

Capital Market Operations

Income Class upgrade, long term funding and improving loyalty of customer base are opportunities to Brazilian Banking Industry

Ranking Position After Corporate Reorganization

Vida33oo 55oo 11oo

Part. de Mercado: 19,3%Aliança do Brasil

Não-Vida77oo 22oo 22oo

Part. de Mercado: 12,5%Aliança do Brasil

Veículos66oo 55oo 22oo

Part. de Mercado: 15,6%BrasilVeículos

Capitalização11oo 77oo 11oo

Part. de Mercado: 30,0%BrasilCap

Previdência22oo 22oo

22oo

Part. de Mercado: 19,9%BrasilPrev

Life33oo33ord 55oo55oth 11oo11ost

Market Share: 19.3%Aliança do Brasil

Non-life77oo77oth 22oo22ond 22oo22ond

Market Share: 12.5%Aliança do Brasil

íVehicles66oo66oth 55oo55oth 22oo22ond

Market Share: 15.6%BrasilVeículos

Saving Bonds¹11oo11ost 77oo77oth 11oo11ost

Market Share: 30.0%BrasilCap

Pension Fund22oo22ond 22oo22ond

22oo22ond

Market Share: 19.9%BrasilPrev

(1) A financial product in Brazil which allows the customer to invest with specifc

conditions of term and rate, and to apply for prizes

33

InternationalizationInternationalization

Follow the internationalization movement of Brazilian Companies

Assist Brazilian communities abroad

Follow international trade flow

1999 2003 2009

l.......................l......................l

1999 2003 2009

l.......................l......................l

1999 2003 2009

l.......................l......................l 1999 2003 2009 l......................l.........................l1999 2003 2009 l......................l.........................l1999 2003 2009 l......................l.........................l

Patagonia

Financial Holding Company

Africa

Reorganization in Europe

The greater relevance of Brazil in the global economy demands proactivity of Banks.

34

Better Customer Services and Operational EfficiencyBetter Customer Services and Operational Efficiency

To have a quarter of Brazilians as customers imposes the challenge of strenghten the relationship, improve service and operational efficiency gains.

Review the customer portfolios

Increase the sales team

New business platform

New branches layout

Commercial Revenues¹ / Customer- R$

2006 2007 2008 2009 2010

(1) Quarterly Flow – Includes Fee and Insurance Income

349.2 346.7 348.0381.5 396.6

35

For further information access bb.com.br/ir

Investor Relations UnitSBS - Quadra 1 - Bloco C - Ed. Sede III – 5th floor

70073-901 - Brasília (DF)Phone: 55 (61) 3310 3980

Fax: 55 (61) 3310 3735

bb.com.brri@bb.com.br

BBAS3