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Diagnsticos da Amrica S.A.

Quarterly Information - ITR


March 31, 2012

Summary
Company Data Capital Stock Composition Cash Earnings Individual Financial Statements Balance Sheet Assets Balance Sheet Liabilities Statement of Income Statement of Comprehensive Income Statement of Cash Flows Statement of Changes in Equity SCE - 01/01/2012 to 03/31/2012 SCE - 01/01/2011 to 03/31/2011 Statement of Value Added Consolidated Financial Statements Balance Sheet Assets Balance Sheet Liabilities Statement of Income Statement of Comprehensive Income Statement of Cash Flows Statement of Changes in Equity SCE - 01/01/2012 to 03/31/2012 SCE - 01/01/2011 to 03/31/2011 Statement of Value Added Management report Notes to quarterly information Other information that the Company considers relevant Reports and Representations Unqualified Special Review Report Representation of Officers on Quarterly Information Representation of Officers on Independent Auditors Report

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 24 91 92 94 95

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Company Data / Capital Stock Composition Number of shares (units) Paid-in capital Common shares Preferred shares Total Treasury shares Common shares Preferred shares Total Current quarter 03/31/2012 311,803,015 0 311,803,015 1,159,035 0 1,159,035

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Company Data / Cash Earnings


Event Approval Earnings Initial Payment Share Class of action Earnings per share (Reais / share) 0.03219 0.09657

General Shareholders 04/27/2012 Meeting Board of Directors 09/30/2011 Meeting

Dividend Interest on equity

06/30/2012 06/30/2012

Common Common

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Individual Financial Statements / Balance Sheet Assets

(R$ thousand) Code 1 1.01 1.01.01 1.01.02 1.01.02.01 1.01.02.01.01 1.01.03 1.01.03.01 1.01.04 1.01.06 1.01.06.01 1.01.07 1.01.08 1.01.08.03 1.01.08.03.20 1.02 1.02.01 1.02.01.01 1.02.01.01.01 1.02.01.07 1.02.01.08 1.02.01.08.02 1.02.01.09 1.02.01.09.04 1.02.02 1.02.02.01 1.02.02.01.02 1.02.02.02 1.02.02.02.01 1.02.03 1.02.04 1.02.04.01 Description Total assets Current assets Cash and cash equivalents Short-term investments Short-term investments at fair value Securities for trading Accounts receivable Trade accounts receivable Inventories Taxes recoverable Current taxes recoverable Prepaid expenses Other current assets Other Other receivables Non-current assets Long-term receivables Short-term investments at fair value Securities for trading Prepaid expenses Receivables from related parties Receivables from subsidiaries Other non-current assets Judicial deposits Investments Equity interest Investments in subsidiaries Investment properties Others Property and equipment Intangible assets Intangible assets Current Quarter 03/31/2012 3,978,693 594,869 61,347 10,733 10,733 10,733 366,864 366,864 48,023 79,278 79,278 2,112 26,512 26,512 26,512 3,383,824 171,412 40,031 40,031 13 45,547 45,547 85,821 85,821 394,199 393,999 393,999 200 200 506,130 2,312,083 2,312,083 Previous Year 12/31/2011 4,032,679 708,504 156,978 10,475 10,475 10,475 352,456 352,456 58,529 80,169 80,169 1,387 48,510 48,510 48,510 3,324,175 171,627 37,876 37,876 13 48,307 48,307 85,431 85,431 368,173 367,973 367,973 200 200 466,594 2,317,781 2,317,781

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Individual Financial Statements / Balance Sheet Liabilities (R$ thousand) Code 2 2.01 2.01.01 2.01.02 2.01.03 2.01.04 2.01.04.01 2.01.04.02 2.01.05 2.01.05.02 2.01.05.02.01 2.01.05.02.04 2.01.05.02.05 2.01.05.02.06 2.01.05.02.07 2.01.05.02.08 2.02 2.02.01 2.02.01.01 2.02.01.02 2.02.02 2.02.02.02 2.02.02.02.03 2.02.02.02.04 2.02.02.02.05 2.02.02.02.06 2.02.03 2.02.03.01 2.02.04 2.02.04.01 2.03 2.03.01 2.03.02 2.03.02.02 2.03.02.05 2.03.04 2.03.04.01 2.03.04.05 2.03.04.08 2.03.04.10 2.03.05 2.03.06 Description Total liabilities Current liabilities Social security and labor liabilities Trade accounts payable Tax liabilities Loans and financing Loans and financing Debentures Other liabilities Other Dividends and interest on equity payable Taxes in installments Accounts payable for acquisition of subsidiaries Capital deficiency of subsidiaries Financial instruments Other payables Non-current liabilities Loans and financing Loans and financing Debentures Other liabilities Other Taxes in installments Accounts payable for acquisition of subsidiaries Financial instruments Other payables Deferred taxes Deferred income and social contribution taxes Provisions Provisions for tax, civil and labor risks Equity Paid-in capital Capital reserves Special reserve for goodwill on merger Treasury shares Revenue reserves Legal reserve Retained profit reserve Additional proposed dividend Interest on equity Retained earnings Equity adjustment Current Quarter 03/31/2012 3,978,693 441,104 58,732 47,009 13,378 209,953 176,570 33,383 112,032 112,032 34,546 3,786 12,232 21,521 1,940 38,007 958,871 715,852 19,241 696,611 61,693 61,693 8,998 49,673 1,923 1,099 40,256 40,256 141,070 141,070 2,578,718 2,234,135 46,810 65,427 -18,617 259,204 19,302 238,045 1,857 0 36,370 2,199 Previous Year 12/31/2011 4,032,679 531,373 53,087 52,748 12,444 296,160 282,864 13,296 116,934 116,934 34,546 3,702 11,988 21,911 1,262 43,525 958,958 722,060 25,723 696,337 66,765 66,765 9,837 54,122 1,862 944 32,218 32,218 137,915 137,915 2,542,348 2,234,135 46,810 65,427 -18,617 259,204 19,302 238,041 1,857 4 0 2,199

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Individual Financial Statements / Statement of Income (R$ thousand) Code Description

Accumulated current year 01/01/2012 to 03/31/2012 392,823 -256,871 135,952 -59,483 -87,300 201 0 27,616 76,469 -32,060 10,155 -42,215 44,409 -8,039 0 -8,039 36,370 36,370

Accumulated previous year 01/01/2011 to 03/31/2011 364,783 -220,384 144,399 -45,078 -61,101 723 79 15,221 99,321 -35,409 15,015 -50,424 63,912 -19,329 -5,657 -13,672 44,583 44,583

3.01 3.02 3.03 3.04 3.04.02 3.04.04 3.04.05 3.04.06 3.05 3.06 3.06.01 3.06.02 3.07 3.08 3.08.01 3.08.02 3.09 3.11 3.99 3.99.01 3.99.01.01 3.99.02 3.99.02.01

Revenue from products sold and/or services rendered Cost of products sold and/or services rendered Gross Profit Operating income/expenses General and administrative expenses Other operating income Other operating expenses Equity pickup Income before financial income/expenses and taxes Financial income/expenses Financial income Financial expenses Income before income taxes Income and social contribution taxes Current Deferred Net income from continuing operations Net income for the period Earnings per share (reais/share) Basic earnings per share Common shares Diluted earnings per share Common shares

0.11708 0.11705

0.14320 0.14299

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Individual Financial Statements / Statement of Comprehensive Income (R$ thousand) Code Description

Year-to-date 01/01/2012 to 03/31/2012 36,370 36,370

4.01 4.03

Net income for the period Comprehensive income for the period

Previous yearto-date 01/01/2011 to 03/31/2011 44,583 44,583

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Individual Financial Statements / Statement of Cash Flows (R$ thousand) Code Description

6.01 6.01.01 6.01.01.01 6.01.01.02 6.01.01.03 6.01.01.04 6.01.01.05 6.01.01.06 6.01.01.07 6.01.01.08 6.01.02 6.01.02.01 6.01.02.02 6.01.02.03 6.01.02.04 6.01.02.05 6.01.02.06 6.01.03 6.01.03.01 6.02 6.02.01 6.02.02 6.02.03 6.02.04 6.03 6.03.01 6.03.02 6.03.05 6.05 6.05.01 6.05.02

Net cash from operating activities Cash from operations Net income for the period Depreciation and amortization Restatement of contingencies Deferred taxes Restatement of interest and exchange variation on loans Gain on sale of fixed assets Stock-option plan Equity pickup Changes in assets and liabilities Increase in trade accounts receivable and other receivables Increase in inventories Increase in other current assets Decrease (increase) in other non-current assets Decrease in trade accounts payable Increase in accounts payable and provisions Other Interest paid Net cash from investing activities Additions to property and equipment Additions to intangible assets Investments in subsidiaries Interest on equity received Net cash from financing activities Loans taken out Payment of loans Capital payment Increase (decrease) in cash and cash equivalents At beginning of period At end of period

Year-to-date 01/01/2012 to 03/31/2012 70,520 73,402 36,370 24,898 1,746 8,039 26,950 3,015 0 -27,616 10,144 -14,408 10,506 21,906 215 -5,739 -2,336 -13,026 -13,026 -60,551 -58,978 -2,773 0 1,200 -105,600 0 -105,600 0 -95,631 156,978 61,347

Previous year-todate 01/01/2011 to 03/31/2011 5,962 100,950 44,583 20,614 3,729 13,672 33,880 2 -309 -15,221 -67,306 -51,535 -24,098 -12,232 4,855 -2,417 18,121 -27,682 -27,682 -121,466 -20,068 -13,166 -88,232 0 -9,526 100,000 -76,326 -33,200 -125,030 280,478 155,448

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Individual Financial Statements / Statement of Changes in Equity 01/01/2012 to 03/31/2012


(R$ thousand)
Code Description Paid-in Capital Capital Reserve Granted options and treasury shares Income reserve Retained Earnings / accumulate d losses Other comprehensive income Equity

5.01 5.03 5.05 5.05.01 5.07

Opening balances Adjusted opening balances Total comprehensive income Net income for the period Closing balances

2,234,135 2,234,135 0 0 2,234,135

46,810 46,810 0 0 46,810

259,204 259,204 0 0 259,204

0 0 36,370 36,370 36,370

2,199 2,199 0 0 2,199

2,542,348 2,542,348 36,370 36,370 2,578,718

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Individual Financial Statements / Statement of Changes in Equity 01/01/2011 to 03/31/2011


(R$ thousand)
Code Description Paid-in Capital Capital Reserve Granted options and treasury shares Income reserve Retained Earnings/ accumulated losses Other comprehensive income Equity

5.01 5.03 5.04 5.04.01 5.04.03 5.05 5.05.01 5.07

Opening balances Adjusted opening balances Shareholders capital transaction Capital increases Recognized options granted Total comprehensive income Net income for the period Closing balances

402,091 402,091 1,832,044 1,832,044 0 0 0 2,234,135

58,708 58,708 -309 0 -309 0 0 58,399

150,819 150,819 0 0 0 0 0 150,819

0 0 0 0 0 44,583 44,583 44,583

3,266 3,266 0 0 0 0 0 3,266

614,884 614,884 1,831,735 1,832,044 -309 44,583 44,583 2,491,202

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Individual Financial Statements / Statement of Value Added

(R$ thousand) Code Description

Year-to-date 01/01/2012 to 03/31/2012 435,438 435,253 0 201 -16 -199,637 -145,921 -53,716 0 235,801 -24,898 -24,898 210,903 37,771 27,616 10,155 0 248,674 248,674 94,962 53,272 64,070 36,370 36,370

7.01 7.01.01 7.01.02 7.01.03 7.01.04 7.02 7.02.01 7.02.02 7.02.03 7.03 7.04 7.04.01 7.05 7.06 7.06.01 7.06.02 7.06.03 7.07 7.08 7.08.01 7.08.02 7.08.03 7.08.04 7.08.04.03

Revenue Sales of goods, products and services Other revenue Income related to construction of own assets (Reversal of) allowance for doubtful accounts Inputs acquired from third parties Cost of products, goods and services sold Materials, energy, third-party services and other Recovery/Loss of assets Gross value added Retentions Depreciation, amortization and depletion Net value added produced Transferred value added received Equity pickup Financial income Other Total value added to be distributed Distribution of value added Personnel Taxes, fees and contributions Debt remuneration Equity remuneration Retained profits

Previous yearto-date 01/01/2011 to 03/31/2011 397,071 394,850 723 0 1,498 -161,215 -128,741 -30,371 -2,103 235,856 -20,614 -20,614 215,242 30,315 15,221 15,015 79 245,557 245,557 76,033 57,270 67,671 44,583 44,583

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Consolidated Financial Statements / Balance Sheet Assets (R$ thousand) Code 1 1.01 1.01.01 1.01.02 1.01.02.01 1.01.02.01.01 1.01.03 1.01.03.01 1.01.04 1.01.06 1.01.06.01 1.01.07 1.01.08 1.01.08.03 1.01.08.03.20 1.02 1.02.01 1.02.01.01 1.02.01.01.01 1.02.01.06 1.02.01.06.01 1.02.01.07 1.02.01.08 1.02.01.08.04 1.02.01.09 1.02.01.09.04 1.02.02 1.02.02.02 1.02.02.02.01 1.02.03 1.02.04 1.02.04.01 Description Total assets Current assets Cash and cash equivalents Short-term investments Short-term investments at fair value Securities for trading Accounts receivable Trade accounts receivable Inventories Taxes recoverable Current taxes recoverable Prepaid expenses Other current assets Other Other receivables Non-current assets Long-term receivables Short-term investments at fair value Securities for trading Deferred taxes Deferred income and social contribution taxes Prepaid expenses Receivables from related parties Receivables from other related parties Other non-current assets Judicial deposits Investments Investment Properties Other Property and equipment Intangible assets Intangible assets Current Quarter 03/31/2012 4,208,733 933,548 137,419 41,247 41,247 41,247 517,106 517,106 64,234 124,767 124,767 2,653 46,122 46,122 46,122 3,275,185 217,937 78,079 78,079 50,380 50,380 13 3 3 89,462 89,462 222 222 222 699,654 2,357,372 2,357,372 Previous Year 12/31/2011 4,240,366 1,003,217 249,945 41,371 41,371 41,371 490,019 490,019 77,367 118,413 118,413 1,457 24,645 24,645 24,645 3,237,149 217,581 75,029 75,029 53,866 53,866 13 3 3 88,670 88,670 317 317 317 655,860 2,363,391 2,363,391

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Consolidated Financial Statements / Balance Sheet Liabilities (R$ thousand) Code 2 2.01 2.01.01 2.01.02 2.01.03 2.01.04 2.01.04.01 2.01.04.02 2.01.05 2.01.05.02 2.01.05.02.01 2.01.05.02.04 2.01.05.02.05 2.01.05.02.07 2.01.05.02.08 2.02 2.02.01 2.02.01.01 2.02.01.02 2.02.02 2.02.02.01 2.02.02.01.04 2.02.02.02 2.02.02.02.03 2.02.02.02.04 2.02.02.02.05 2.02.02.02.20 2.02.03 2.02.03.01 2.02.04 2.02.04.01 2.03 2.03.01 2.03.02 2.03.02.02 2.03.02.05 2.03.04 2.03.04.01 2.03.04.05 2.03.04.08 2.03.04.10 2.03.05 2.03.06 2.03.09 Description Total liabilities Current liabilities Social security and labor liabilities Trade accounts payable Tax liabilities Loans and financing Loans and financing Debentures Other liabilities Other Dividends and Interest equity payable Taxes in installments Accounts payable for acquisition of subsidiaries Financial instruments Other accounts payable Non-current liabilities Loans and financing Loans and financing Debentures Other liabilities Payables to related parties Payables to other related parties Other Taxes in installments Accounts payable for acquisition of subsidiaries Financial instruments Other accounts payable Deferred taxes Deferred income and social contribution taxes Provisions Provisions for tax, civil and labor risks Consolidated equity Paid-in capital Capital reserves Special reserve for goodwill on merger Treasury Shares Income reserves Legal reserve Retained profit reserve Additional proposed dividend Interest on equity Retained Earnings / accumulated losses Equity adjustment Non-controlling interest Current Quarter 03/31/2012 4,208,733 523,361 84,371 68,200 32,943 228,163 194,780 33,383 109,684 109,684 34,546 7,151 12,232 1,940 53,815 1,107,036 792,094 95,483 696,611 115,442 24,231 24,231 91,211 24,787 63,399 1,923 1,102 40,256 40,256 159,244 159,244 2,578,336 2,234,135 46,810 65,427 -18,617 259,204 19,302 238,045 1,857 0 36,370 2,199 -382 Previous Year 12/31/2011 4,240,366 590,211 75,628 76,641 22,555 311,494 298,198 13,296 103,893 103,893 34,546 7,963 11,988 1,262 48,134 1,108,135 797,659 101,322 696,337 126,835 23,948 23,948 102,887 32,561 67,517 1,862 947 32,218 32,218 151,423 151,423 2,542,020 2,234,135 46,810 65,427 -18,617 259,204 19,302 238,041 1,857 4 0 2,199 -328 Page 12 of 95

Consolidated Financial Statements / Statement of Income (R$ thousand) Code Description

Year-to-date 01/01/2012 to 03/31/2012 556,693 -360,217 196,476 -106,354 -106,928 574 90,122 -32,435 16,527 -48,962 57,687 -21,273 -9,750 -11,523 36,414 36,414 36,370 44

Previous year-todate 01/01/2011 to 03/31/2011 510,141 -316,282 193,859 -89,115 -90,020 905 104,744 -36,096 19,452 -55,548 68,648 -24,009 -15,078 -8,931 44,639 44,639 44,583 56

3.01 3.02 3.03 3.04 3.04.02 3.04.04 3.05 3.06 3.06.01 3.06.02 3.07 3.08 3.08.01 3.08.02 3.09 3.11 3.11.01 3.11.02 3.99 3.99.01 3.99.01.01 3.99.02 3.99.02.01

Revenue from products sold and/or services rendered Cost of products sold and/or services rendered Gross profit Operating income/expenses General and administrative expenses Other operating income Profit before financial income/expenses and taxes Financial income/expenses Financial income Financial expenses Income before income taxes Income and social contribution taxes Current Deferred Net income from continuing operations Consolidated net income for the period Attributed to Company shareholders Attributed to non-controlling shareholders Earnings per share (reais/share) Basic earnings per share Common shares Diluted earnings per share Common shares

0.11708 0.11705

0.14320 0.14299

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Consolidated Financial Statements / Statement of Comprehensive Income (R$ thousand) Code Description

Year-to-date 01/01/2012 to 03/31/2012 36,414 36,414 36,370 44

Previous yearto-date 01/01/2011 to 03/31/2011 44,639 44,639 44,583 56

4.01 4.03 4.03.01 4.03.02

Consolidated net income for the period Consolidated comprehensive income for the period Attributed to Company shareholders Attributed to non-controlling shareholders

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Consolidated Financial Statements / Statement of Cash Flows (R$ thousand) Code Description

Year-to-date 01/01/2012 to 03/31/2012 62,373 112,434 36,370 32,258 1,746 11,523 27,577 3,014 -54 0 -36,179 -27,087 13,133 -28,903 -3,747 -8,440 18,865 -13,882 -13,882 0 -73,047 -70,218 -2,829 0 101,852 7,274 -109,126 -112,526 249,945 137,419

6.01 6.01.01 6.01.01.01 6.01.01.02 6.01.01.03 6.01.01.04 6.01.01.05 6.01.01.06 6.01.01.07 6.01.01.08 6.01.02 6.01.02.01 6.01.02.02 6.01.02.03 6.01.02.04 6.01.02.05 6.01.02.06 6.01.03 6.01.03.01 6.01.03.02 6.02 6.02.01 6.02.02 6.02.04 6.03 6.03.01 6.03.02 6.05 6.05.01 6.05.02

Net cash from operating activities Cash from operations Net income for the period Depreciation and amortization Restatement of contingencies Deferred taxes Restatement of interest and exchange variation on loans Gain on sale of fixed assets Non-controlling interest Stock-option plan Changes in assets and liabilities (Increase) / decrease in accounts receivable and other receivables (Increase) / decrease in inventories (Increase) / decrease in other current assets (Increase) / decrease in other non-current assets Increase / (decrease) in trade accounts payable Increase / (decrease) in accounts payable and provisions Other Interest paid Income and social contribution taxes paid Net cash from investing activities Additions to property and equipment Additions to intangible assets Acquisition of subsidiary MD1 Net cash from financing activities Loans taken out Payment of loans Increase (decrease) in cash and cash equivalents At beginning of period At end of period

Previous yearto-date 01/01/2011 to 03/31/2011 5,807 119,893 44,583 27,329 3,729 8,931 34,757 817 56 -309 -77,689 -60,411 -25,940 -22,107 3,904 -3,625 30,490 -36,397 -29,682 -6,715 -100,091 -26,302 -13,166 -60,623 -13,380 102,578 -89,198 -80,904 328,670 247,766

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Financial Statements Consolidated / Statement of Changes in Equity 01/01/2012 to 03/31/2012


(R$ thousand)
Code Description

Paid-in Capital

Capital Reserve Granted options and treasury shares

Income reserve

Retained earnings / accumula ted losses

Other comprehens ive income

Equity

Noncontrolling interest

Consolidated Equity

5.01 5.03 5.05 5.05.01 5.05.02 5.05.02.06 5.07

Opening balances Adjusted opening balances Total comprehensive income Net income for the period Other comprehensive income Non-controlling interest Closing balances

2,234,135 2,234,135 0 0 0 0 2,234,135

46,810 46,810 0 0 0 0 46,810

259,204 259,204 0 0 0 0 259,204

0 0 36,370 36,370 0 0 36,370

2,199 2,199 0 0 0 0 2,199

2,542,348 2,542,348 36,370 36,370 0 0 2,578,718

-328 -328 -54 44 -98 -98 -382

2,542,020 2,542,020 36,316 36,414 -98 -98 2,578,336

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Financial Statements Consolidated / Statement of Changes in Equity 01/01/2011 to 03/31/2011


(R$ thousand)
Code Description

Paid-in Capital

Capital Reserve Granted options and treasury shares

Income reserve

Retained earnings / accumula ted losses

Other comprehens ive income

Equity

Noncontrolling interest

Consolidated equity

5.01 5.03 5.04 5.04.01 5.04.03 5.05 5.05.01 5.05.02 5.05.02.06 5.07

Opening balances Adjusted opening balances Shareholders capital transaction Capital increases Recognized options granted Total comprehensive income Net income for the period Other comprehensive income Non-controlling interest Closing balances

402,091 402,091 1,832,044 1,832,044 0 0 0 0 0 2,234,135

58,708 58,708 -309 0 -309 0 0 0 0 58,399

150,819 150,819 0 0 0 0 0 0 0 150,819

0 0 0 0 0 44,583 44,583 0 0 44,583

3,266 3,266 0 0 0 0 0 0 0 3,266

614,884 614,884 1,831,735 1,832,044 -309 44,583 44,583 0 0 2,491,202

0 0 0 0 0 23 56 -33 -33 23

614,884 614,884 1,831,735 1,832,044 -309 44,606 44,639 -33 -33 2,491,225

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Consolidated Financial Statements / Statement of Value Added

(R$ thousand) Code Description

Year-to-date 01/01/2012 to 03/31/2012 610,102 609,544 574 -16 -269,720 -204,925 -64,795 0 340,382 -32,258 -32,258 308,124 16,527 16,527 324,651 324,651 129,381 84,456 74,100 36,414 36,370 44

7.01 7.01.01 7.01.02 7.01.04 7.02 7.02.01 7.02.02 7.02.03 7.03 7.04 7.04.01 7.05 7.06 7.06.02 7.07 7.08 7.08.01 7.08.02 7.08.03 7.08.04 7.08.04.03 7.08.04.04

Revenue Sale of goods, products and services Other revenue (Reversal of) allowance for doubtful accounts Inputs acquired from third parties Cost of products, goods and services sold Materials, energy, third-party services and others Loss / Recovery of assets Gross value added Retentions Depreciation, amortization and depletion Net value added produced Transferred value added received Financial income Total value added to be distributed Distribution of value added Personnel Taxes, fees and contributions Debt remuneration Equity remuneration Retained profit/loss for the period Non-controlling interest

Previous yearto-date 01/01/2011 to 03/31/2011 551,516 552,150 784 -1,418 -238,520 -190,775 -45,358 -2,387 312,996 -27,329 -27,329 285,667 19,453 19,453 305,120 305,120 107,985 78,298 74,198 44,639 44,583 56

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Management report
Dear Shareholder, After acquisition of Cerpe, Sergio Franco, CDPI, Multimagem, Pro-Echo, Cytolab and Previlab and other companies of the MD1 Group, we are challenged to develop new rhythm of organic growth, to strengthen business segments in which we operate, to improve our customer service, to reinforce our knowledge and technical quality, and reinforce the alignment of our people with DASA Culture. Therefore, we believe that the Company is continually developing to meet its goal of global recognition for quality and efficiency in diagnostic medicine, providing its services for all levels of the population and remunerating its shareholders.

Gross Operating Income


DASA consolidated gross revenue in the 1Q12 reached R$ 609.5 million, which represents a 10.4% growth in relation to 1Q11, as a result of maturity of projects implemented over 2011, a favorable moment of the diagnostic medicine market, optimization of service portfolio and service schedule. As regards DASA gross revenue by lines of service, the Public segment had the best performance in the quarter, with 16.3% growth when compared to the 1Q11, accounting for 7.2% of DASAs total revenue. The Outpatient market reached R$451.6 million in revenue, a 12.1% growth when compared to 1Q11 (10.0% without Cytolab and Previlab) and reaching 74.1% of DASAs total revenue. The Inpatient market obtained R$54.2 million in revenue with a decrease of 1.4% in 1Q12, representing 8.9% of DASAs total revenue. Lab-to-lab segment reached R$59.9 million in revenue and has expanded 6.0% in the 1Q12, representing 9.8% of DASAs total revenue.
Costs and Gross Profit

In 1Q12, cost of services totaled R$360.2 million, equivalent to 64.7% of the net revenue. This percentage represents an increase of 13.9% when compared to the costs of the first quarter in the previous year. In 1Q12, Gross Profit reached R$196.5 million, a 1.4% increase when compared to the same period in the previous year.

Operating Expenses
Operating expenses totaled R$106.4 million in the 1Q12, representing 19.1% of net revenue. When compared to the 1Q11, there was an increase of 19.3%, as in that quarter it represented 17.5% of net revenue.

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EBITDA
In 1Q12, we have reached EBITDA of R$122.3 million, representing a decrease of 7.5% vis-vis R$132.2 million in the same period of previous year. In this quarter, we have reached a margin of 22.0%. We are still committed to the integration of the acquisitions held, with the optimization of production and administrative areas and with the continuous reduction of costs through a management focused on delivering solid results and creating a sustainable value for the shareholders in the future.

Financial income/expenses
In 1Q12, R$ 32.4 million net financial expenses were booked compared to R$ 36.1 million in 1Q11. The reduction on financial expenses was influenced mainly by the decrease in the Selic rate.

Taxes
The tax line totaled R$21.3 million in the quarter. We must state that we are counting on the benefit of goodwill amortization as a result of the acquisition in the former periods.

Net Profit
In this quarter, net profit was R$36.4 million, 18.4% lower than the R$44.6 million profit reported in the same period in the previous year.

Cash and Short-term Investments We reached the end of the quarter with a high liquidity cash position and financial investments of R$137.4 million, which will be directed to: Ensure the expansion and modernization of the existing PSCs; opening of new PSCs and changing imaging equipment; together with larger investments to improve quality. Investments
In 1Q12, net investments in CAPEX totaled R$ 73.0 million. This year investment shall be mainly directed to: Refurbishing and expansion of the existing PSCs; (ii) acquisition, refurbishing and purchasing of equipment; and (iii) Implementation and development of production and operation system and customer service.

Indebtedness
DASA net debt totaled R$ 880.9 million in 1Q12. About 78% of total gross indebtedness is long term and 8.2% are related to debts denominated in foreign currency. Debt in foreign currency mainly comprises the equipment financing and International Notes. Indebtedness in local currency is mainly related to Debentures, Promissory Notes and Leasing.
Page 20 of 95

Highlights of the quarter


Participation in the BOVESPA Index On 2 January 2011, DASA was listed on the So Paulo Stock Exchange index (IBOVESPA) for the first time. This means that the DASA3 shares shall gain liquidity and also visibility on the market, both national and international. 2 hospitals won In the first quarter of 2012, we established partnerships with 2 hospital, including AC Camargo, that had already worked with us up to last April. We shall start operating in these hospitals this coming April. These winnings show the recognition of the quality of the services we currently offer in this market. SEAE Statement In compliance with the terms of Instruction No. 358/2002 of the Brazilian Securities and Exchange Commission (Comisso de Valores Mobilirios CVM), the company Diagnsticos da Amrica S.A. ("DASA" or the "Company"), based in the city of Barueri, State of So Paulo, at Avenida Juru, No. 434, Alphaville, registered with the National Legal Entity Registry of the Ministry of Finance (CNPJ/MF) under No. 61.486.650/000183, and with the companys articles of incorporation duly filed with the Board of Trade of the State of So Paulo (Junta Comercial do Estado de So Paulo JUCESP) under NIRE No. 35,300,172,507, seeking to keep the company shareholders and also the general market informed about the development of Concentration Act No. 08012.010038/2010-43 submitted to the Administrative Council for Economic Defense (Conselho Administrativo Defesa Econmica - CADE) on 20 September 2010 ("Concentration Act"), that analyses the association between DASA, MD1 Diagnsticos S.A. (succeeded by MD1 Participaes Ltda.) and others, carried out according to the terms and conditions as established in the Contract of Association and Other Covenants, as signed on 7 December 2010 (the "Operation"), informs that the Economic Monitoring Department of the Ministry of Finance (Secretaria de Acompanhamento Econmico do Ministrio da Fazenda - SEAE) issued an opinion statement, solely as an opinion, which recommends the approval of the Operation with the restrictions as mentioned in the aforesaid statement. The issuance of this statement does not mean any connection of CADE in relation to the analysis of the merit of the issue or any anticipation of the results of the judgment of this organization regarding the association. The opinion statement presented by SEAE does not come as any surprise to the Company and, indeed, is aligned with the communication as formerly carried out to the market by means of the Notification to the Market as disclosed on 27 July 2011, which means that the conclusions of SEAE are apparently backed up by assumptions which are, in turn, based on partial data regarding interpretations of corporate relationships between DASA, individual shareholders associated to JHSPE Empreendimentos and its subsidiaries, Amil Participaes S.A and subsidiaries, and FMG Empreendimentos Hospitalares. In this context, DASA is sure that CADE is able to examine, in an appropriate and careful manner, the corporate relationships that exist between some DASA shareholders and third parties, as also market data, to reach the conclusion that the association does not lead to any concerns of a competition nature, contrary to what the opinion of the SEAE suggests. The Company is also secure of the fact that the CADE can appreciate the pro-competitive effects of this association, which shall bring significant efficiencies to the sector in support of diagnostic medicine, and shall also continue to co-operate, both intensely and actively, Page 21 of 95

with CADE, confident in the approval of the business proposal within a reasonable time frame. The opinion of the SEAE shall not lead to the reversal of the integration measures that have been adopted so far, such as the incorporation of MD1 Participaes Ltda. by the Company.

Highlights of the Subsequent Quarter

Change of CEO The Board of Directors decided to accept the resignation of the Companys CEO, Mr. Marcelo Noll Barboza, with the end of his office on April 27, 2012, following the completion of the Ordinary and Extraordinary General Meetings, which will be accumulated by Mr. Romeu Crtes Domingues, current Chairman of the Board of Directors for a period of 180 days, as recommended in the Company's Bylaws. During this period, the Company shall continue to search for and hire a new CEO. We also inform that Mr. Marcelo Noll Barboza will provide consulting services to the Company for a period of up to 2 (two) years, as well as participate in the process of integrating the new CEO. Organizational changes From April 27, Mr. Carlos Elder Maciel de Aquino will assume, temporarily, the position of Chief Financial Officer and Mr. Paul Bokel Catta-Preta was elected to the position of Chief Investor Relations Officer. Share-Based Payment The meeting of the board of directors held on April 24, 2012, approved the Companys Second Program of Options Granting, under the Stock Purchase Option Plan adopted at the Extraordinary General Shareholders Meeting held on January 5, 2011. Subject to the terms and conditions set forth in the second program, the Companys Board of Directors authorized the execution, in due course, of the following option granting contracts with each one of the elected beneficiaries in the manner and terms established in the program.

Perspectives for 2012


We are prepared to maintain our level of growth in 2012, due to the investments in expansion and modernization of the existing PSCs, opening of new PSCs and change of imaging equipment together with larger investments for the improvement of quality, which will provide a more favorable environment to the growth. During this year, we will implement a system joining customer service, scheduling and collection, which will not only improve our services, but impact on our tests collection process, besides enabling the decentralization of support. We are looking forward to important growth this year throughout our markets of operation. The Companys major expectations are:
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Continuity and development of changes started in 2011, targeting at sustainable margins and returns with the improvement of service quality; Growth in all lines of business, with the opening of new PSCs and identification of opportunities in new markets; Offering services that fulfill and overcome the clients expectations, promoting excellence in the existing markets as well as in new areas of operation;

We emphasize, specifically in relation to the companies of MD1 Group, that the policies established in the Agreement on Preservation of Reversibility of Operation (APRO) were and shall be observed by the Company.

Commitment Clause
The company is bound by the arbitration of the Market Arbitration Chamber, according to the commitment clause included in company Articles of Incorporation.

Projections and non-accounting data The statements presented herein related to the business perspective, projections about operating and financial results and those related to the perspectives of the Companys growth are mere projections and, therefore, are exclusively based on expectations of the Management for the future of the business. This performance report includes non-financial as well as financial data such as operating, financial and projections based on the Companys Board expectations. Non-accounting data, including EBITDA, was not reviewed by our independent auditors.

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Operations
The Company is a publicly-held corporation with its registration granted by the Brazilian Securities and Exchange Commission (CVM) on November 5, 2004, and has been listed on the Bovespa Novo Mercado Segment since November 19, 2004, under code DASA3. The Companys corporate purpose is to render services directly to individuals or through health insurance plans, insurance companies, entities of medical-hospital assistance entities, other entities for healthcare financing, in the following areas : (i) clinical analysis, directly or through contracted laboratories; and (ii) other auxiliary services of diagnostic support (SAD), exclusively through specialized clinics, as, for instance, in the following areas : a) cytology and pathologic anatomy; b) diagnostic by imaging and graphic methods; and c) nuclear medicine. As the administration does not control them separately in their business process, therefore they are not being recognized as reportable segments. In addition, it explores activities related to: (i) tests in food and substances to evaluate risks for the human being; (ii) import, for its own use, of medical-hospital equipment, sets for diagnostics and related material in general; (iii) granting and administration of business franchising including advertising and publishing fund, training and selection of labor, supplying of equipment and research material suppliers, among others. The Company operates in lab-to-lab business (support laboratories) through the brand Alvaro, and began offering services in the public health sector through brand CientficaLab. The Company can also hold equity interest in other entities.

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At March 31, 2012, the Company had 520 operating units (information not reviewed): Brands
Delboni Auriemo Lavoisier Bronstein Lmina Pasteur Frischmann(a) Image Laboratrio lvaro LabPasteur Vita-Lmina Atalaia Exame MedImagem Hospital Me de Deus Cedic/Cedilab Unimagem CERPE Srgio Franco Proecho Multi Imagem CDPI Previlab Cytolab Alta Excelncia Diagnstica- Premium

Location
So Paulo So Paulo Rio de Janeiro Rio de Janeiro Braslia Paran Bahia Paran Cear Santa Catarina Gois Braslia Rio de Janeiro Porto Alegre Mato Grosso Cear Pernambuco Rio de Janeiro Rio de Janeiro Rio de Janeiro Rio de Janeiro e So Paulo So Paulo So Paulo So Paulo

03/31/12 41 78 42 13 22 42 5 17 18 2 20 18 7 1 13 1 44 77 15 6 7 19 11 1 520

12/31/11 41 78 42 13 22 42 5 18 18 2 22 19 7 1 13 1 43 76 15 6 6 20 11 1 522

At March 31, 2012, the Club DA brand had 23 units, with 19 units linked to the Delboni Auriemo brand and 4 units linked to Lmina brand. CientficaLab operates in the public healthcare segment, and its major source of revenue are the contracts formalized with customers in the public healthcare sector. For the 1Q12, this operation ended the period with 30 customers, which had made 1.5 million requisitions. CientficaLab serves customers at 622 collection points, of which 100 Inpatient and 522 outpatient clinics.

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Acquisition of subsidiaries
(a) Business combination Acquisition ofMD1 Diagnsticos S.A. On January 5, 2011, the Company acquired 100% of the capital of the MD1 Diagnsticos S.A. ("MD1"). The consideration transferred is summarized below: Cash R$ 88,232 Incorporation of shares R$ 1,832,044 Total R$1,920,276 MD1 shareholders equity for purposes of the increase to the Companys capital from the incorporation of shares was subject to an appraisal report prepared on December 7, 2010 by Plural Capital Consultoria e Assessoria Ltda. Under the terms of the appraisal report, the economic value of MD1 was determined as R$1,976,705, after deducting the amount of R$88,232 paid in cash by the Company for acquisition the minority interest in the MD1 group corporations, (i) CDPI Clnica de Diagnstico por Imagem Ltda. acquisition of 16.50%, (ii) Clnica de Ressonncia e Multi Imagem Ltda acquisition of 28.00% and (iii) ProEcho Cardiodata Servios Mdicos Ltda acquisition of 10.00%. The economic value of MD1 is R$1,888,473, which is greater than the capital increase in the Company. The increase in Companys capital from the incorporation of shares was R$1,832,044, corresponding to the price of R$ 22.29 for the issue of new shares, resulting in 82,191,275 of shares issued according to parameters determined by the ratio for the replacement of shares in MD1 for shares of the Companys, establishing that the economic value of MD1, deducted from the amount paid in cash by the Company for minority interest in the corporations in the MD1 group, represents 26.36% of the Company's capital, on diluted bases, after the incorporation of the shares. The replacement ratio was revised and analyzed by N M Rothschild & Sons (Brasil) Limitada (Rothschild), and supported in an opinion issued on December 3, 2010 ("Fairness Opinion"), concluding that the exchange ratio was considered fair for the Company, from a financial point of view. The exchange ratio was defined as 0.94134556, resulting in the issue of 82,191,275 new shares in the Company, to replace 77,370,392 MD1 shares. The Incorporation of Shares will enable DASA to continue participating in the development of diagnostic medicine in the country and has the following, as entrepreneurial, patrimonial, legal and financial foreseen benefits from this operation: Greater capacity for processing clinical analysis, with gain in scale which shall be captured through the combination of DASA and MD1 business; Better occupation of equipment for image diagnostic procedures, considering the combined expertise of both groups; Aggregation of solid brands, strong academic production of the technical team in the area of pathology and radiology and gains in the perception of the medical community in the markets of performance; Page 26 of 95

Strong convergence of cultures and group strategies, which tends to expand the capacity of execution of the integrations, necessary for good development of the business; Cost reduction in the administrative, operational and commercial areas, with the use of synergies and readjustment, if any, of the physical occupation of the related areas; Optimization of service net in units located in regions currently not served by DASA or with a limited capacity of service, especially in the metropolitan region of Rio de Janeiro; Sharing of business practices, aiming at reduction of operating, market, credit and liquidity risks; and Re-segmentation of the brand portfolio and service models, in order to promote better service for customers, develop service channels and build a new organic expansion plan, after the operational and administrative integration of MD1.

The operation will also enable the exploration by DASA of other operating assets of MD1 Shareholders, including those related to the services of clinical analysis and to the operation of positron emission tomography (Pet CT) in some hospitals. The operation was submitted to the Brazilian System for the Defense of Competition. See additional comments on this subject in this note in unit (b). As a result of the corporate reorganization of MD1 and the acquisition of its subsidiaries listed below, investments held by MD1 and the Company in the entities are as follows: Legal entity MD1 Diagnsticos S.A. Laboratrios Mdicos Dr. Srgio Franco Ltda. CDPI Clnica de Diagnstico por Imagem Ltda. Clnica de Ressonncia e Multi Imagem Ltda. Pro-Echo Cardiodata Servios Mdicos Ltda. MD1 investment 100.00% 83.50% 72.00% 90.00% DASA investment 100.00% 16.50% 28.00% 10.00%

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Amounts recognized for the assets and liabilities assumed on the acquisition date, are summarized below:
Assets Current Cash and Banks Financial investments Trade accounts receivable, net Inventories Taxes recoverable Prepaid expenses Other receivables Non-current Judicial deposits Deferred tax Related party transactions Investments Property and equipment Intangible assets Total assets MD1 1 1 287,980 276,054 11,926 287,981 CDPI 10,666 355 8,684 275 793 28 531 41,680 753 7,402 308 3 32,956 258 52,346 CRMI 6,117 777 42 3,943 356 549 7 443 16,462 377 1,554 14,351 180 22,579 Pro-echo 11,385 151 7,124 144 2,050 11 1,905 29,315 133 6,914 22,259 9 40,700

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Liabilities Current Trade accounts payable Loans and Financing Salaries, social security charges and vacation payable Taxes and contributions payable Unsecured liabilities Other accounts payable Non-current Loans and Financing Taxes in installments Deferred tax Provision for contingencies Other accounts payable Non-controlling interest Equity (capital deficiency) Total liabilities

MD1 1,991 1,407 584 1,550 1,550 284,440 287,981

CDPI 19,233 3,052 6,392 2,013 342 281 7,153 15,663 12,939 723 58 336 1,607 (52) 17,502 52,346

CRMI 5,211 954 1,564 455 160 2,078 4,097 2,212 285 401 1,199 236 13,035 22,579

Pro-echo 17,751 1,478 11,843 1,219 161 3,050 25,343 7,556 361 891 1,778 14,757 (2,394) 40,700

The goodwill recognized from the incorporation of shares in MD1 and from the companies from the MD1 Group was identified as follows:
MD1 Investment interest Acquisition price Equity (Capital deficiency) (a) Goodwill 100.00% 1,832,043 284,440 1,547,603 CDPI 16.50% 50,068 2,888 47,180 CRMI 28.00% 33,627 3,650 29,977 Pro-echo 10.00% 4,537 (239) 4,776 1,920,275 290,739 1,629,536 Total

(a)

Adjusted to the share percentage.

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The Company incurred costs related to the acquisition of R$4,797 which refer to external legal fees and due diligence costs. The legal fees and due diligence costs were included as part of administrative expenses reported in the Companys statement of income. In the process of assets and liabilities identification, intangible assets were also considered, which were not recognized in the books of the acquired companies, and registered in the subsidiary Laboratrios Mdicos Dr. Sergio Franco Ltda, which on the date of acquisition was controlled by MD1 Diagnsticos S.A, in the amount of R$269,027: R$ R$ R$ 233,279(i) 35,748(ii) 269,027

(i) brands which are amortized on a straight-line basis during the 30 year estimated useful life. (ii) relationship with hospitals which is amortized on a straight-line basis during the 20 year estimated useful life. Acquisition of Previlab Anlises Clnicas Ltda. On July 4, 2011, through its subsidiary DASA Brasil Participaes Ltda. (DASA BRASIL), the Company acquired 100% of Previlab Anlises Clnicas Ltda capital (PREVILAB), a company based in the city of Piracicaba, State of So Paulo, and 20% of PREVILAB capital shall be transferred within 5 years. PREVILAB acquisition value was R$20,936, of which R$8,313 were paid in cash, R$9,107 already advanced as loan and shall be repaid upon transfer of the remaining shares, and R$3,516 shall be retained for the period of six years as contingency securities. This acquisition strengthens the Company performance in clinical analysis and pathologic anatomy and widens its geographical performance in upstate So Paulo, as PREVILAB had its operations in the Cities of Piracicaba, Americana, Limeira, Santa Brbara DOeste, So Pedro, Rio das Pedras, Tiet and Capivari, through its 17 units at the time of acquisition. The amount paid for the acquisition of shares was provisionally allocated among the identified acquired assets and the liabilities assumed, measured at fair value. Provisional goodwill supported by expectation of future profitability and recognized in P&L of the acquisition was R$25,711, comprised as follows: Acquisition price Capital deficiency Goodwill 20,936 4,775 25,711

The process of premium allocation shall be concluded until July 4, 2012, at the conclusion of the study to determine fair value of acquired assets and liabilities that is being prepared by an independent appraiser. Page 30 of 95

The chart below summarizes the preliminary evaluation, and therefore is subject to changes, of the acquired assets and assumed liabilities fair values on the date of acquisition:
Assets Current Cash and banks Trade accounts receivable Inventories Taxes recoverable 1,127 88 213 180 646 Liabilities 5,455 Current 834 Trade accounts payable 1,213 Loans and Financing 202 Taxes and contributions payable Salaries, social security charges and vacation payable 999 154 Income and social contribution taxes 1,280 Taxes in installments Other accounts payable Non-current Judicial deposits Investments Property and equipment 1,867 336 30 1,501 Non-current Loans and Financing Taxes in installments Provision for contingencies 773 2,314 71 2,102 141

Equity (capital deficiency) Capital Accumulated losses Total assets 2,994 Total liabilities

(4,775) 518 (5,293) 2,994

The acquisition of PREVILAB was submitted to the departments of Brazilian Antitrust System, according to current legislation.

Acquisition of Cytolab Laboratrio de Anatomia Patolgica, Citologia Diagnstica e Anlises Clnicas Ltda. On July 4, 2011, through its subsidiary DASA Empreendimentos e Participaes Ltda. (DASAPAR), the Company acquired 100% of the capital of CYTOLAB - Laboratrio de Anatomia Patolgica Citologia Diagnstica e Anlises Clnicas Ltda. (CYTOLAB), a company based in the city of Mogi das Cruzes, State of So Paulo. CYTOLAB acquisition value was R$11,099, from which R$9,899 were paid in cash, R$1,200 shall be retained for the period of six years as contingency securities (See Note 20). This acquisition strengthens Company performance in clinical analysis, pathologic anatomy and diagnostic cytology and widens its geographical performance in the countryside of So Paulo State, as CYTOLAB had its operations in the Cities of Mogi das Cruzes, Suzano, Po, Aruj, Itaquaquecetuba, all located in the State of So Paulo, through its 10 units at the time of the acquisition.

The amount paid for the acquisition of shares was provisionally allocated among the identified acquired assets and the liabilities assumed, estimated at fair value. Provisional goodwill Page 31 of 95

supported by expectation of future profitability and recognized in P&L of the acquisition was R$11,791, comprised as follows: The goodwill recognized as result of the acquisition, after identifying the intangibles assets, is demonstrated as follows: Acquisition price Capital deficiency Goodwill 11,099 692 11,791

The process of premium allocation shall be concluded until July 4, 2012 at the conclusion of the study to determine the fair value of the acquired assets and liabilities that is being prepared by an independent appraiser. The chart below summarizes the preliminary evaluation, being therefore subject to changes, of the acquired assets and assumed liabilities fair values on the date of acquisition:

Assets Current Cash and banks Trade accounts receivable Inventories Others receivables 1,599 23 1,202 94 280

Liabilities 1,833 Current 704 Trade accounts payable 379 Loans and Financing 56 Taxes and contributions payable Salaries, social security charges and vacation payable 442 38 Income and social contribution taxes 195 Taxes in installments Other accounts payable 19 2,563 1,195 1,293 75

Non-current Investments Property equipment

2,105 43 2,062

Non-current Loans and Financing Taxes in installments Provision for contingencies

Equity (capital deficiency) Capital Accumulated losses Total assets 3,704 Total liabilities

(692) 740 (1,432) 3,704

The acquisition of CYTOLAB was submitted to the departments of Brazilian Antitrust System, according to current legislation.

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b) Agreement on Preservation of Reversibility of Operation (APRO)


On October 26, 2011, the Company executed with the Administrative Council for Economic Defense (CADE) an Agreement on Preservation of Reversibility of Operation (APRO), in the process of Concentration Act. APRO aims to prevent, up to the Concentration Act trials of merit and in relation to the companies object of the Operation, the following: (a) Laboratrios Mdicos Dr. Srgio Franco Ltda., (ii) Pro Echo Servios Mdicos Ltda, (iii) CDPI Clnica de Diagnstico por Imagem Ltda., (iv) Clnica de Ressonncia e Multi Imagem Ltda, (v) CheckUp Unidade Preventiva, Diagnstico e Medicina Preventiva Ltda., (vi) Imagem e Diagnstico Ltda, (vii) Clnica de Ressonncia Multi Imagem Caxias Ltda., (viii) Clnica de Ressonncia Multi Imagem Petrpolis Ltda., (ix) Multimagem Pet S.A. and (x) Incebrs Instituto Brasileiro da Coluna e do Crebro Ltda., irreversible amendment or of difficult reparation, ensuring reversibility of the Operation in case CADE eventually understands that an imposition of restrictions shall be necessary at the moment of the trials of merit. The execution of the APRO does not imply CADE to be bond as for the analysis of the merit or any anticipation related to the result of the Concentration Act sentence. Additionally, we inform that the APRO, as executed, does not bond the Company to reverse the steps for the integration already taken until its execution. As foreseen in APRO, the Company has contracted an independent auditor to attest the accomplishment of the Agreement. In the first report, issued on February 9, 2012 (they shall be issued twice a month), BDO RCS Auditores Independentes concluded that "all requirements established in the Clauses of APRO related to the liabilities to be accomplished by the Compromisers". The Company, based on the legal report of its legal advisors, has concluded that, for the purpose of accomplishing the obligations of disclosing the ICVM480 information, DASA is not a relating part of the companies of Amil Group, as those companies are not controlled by or controllers of DASA, neither are they under common, direct or indirect control, nor do their controllers exercise significant influence over DASA. Notwithstanding, the management, intending to assure the total accomplishment of APRO executed with CADE, has defined that any contract between companies of DASA group and companies of Amil group must be previously submitted to the approval of the Auditing Committee. On March 5, 2012, the Economic Supervision Office of the Ministry of Finance (SEAE) issued technical report number 06145/2012/RJ related to the concentration act between the companies Diagnsticos da Amrica S/A and MD1 Diagnsticos S/A simply as an opinion, recommending approval of the Operation with the restrictions presented in the technical report. The issuing of this report does not imply any bond to CADE as for the merit analysis or any anticipation of the trial result on this association. The report presented by SEAE was not a surprise to the Company and, also, it is in line with the communication previously sent to the market through the Notice to the Market disclosed on 07/27/2011, that is, SEAE conclusions are apparently backed on assumptions based on partial data related to interpretations about corporate relations among DASA, individual shareholders bound to JHSPE Empreendimentos Page 33 of 95

and its subsidiaries, Amil Participaes S.A and its subsidiaries and FMG Empreendimentos Hospitalares. The technical report is available on the http://www.fazenda.gov.br/littera/pdf/08012010038201043.pdf internet website:

The Operation is still under examination by the antitrust authorities and the Company is still actively cooperating to the positive conclusion of the analysis. In this context, the Company is certain that CADE will be able to examine, in an accurate and adequate manner, the corporate relations existing among some Company shareholders and third parties, as well as the market data, to conclude that from this association there are no competitive issues, contrary to what is suggested by SEAE legal opinion. The Company is also certain that CADE will appreciate the post-competitive effects of the association, which will bring significant efficiencies to the sector that supports diagnostic medicine, and shall continue intensively and actively cooperating with CADE, confident in the approval of the business in a reasonable term. SEAEs opinion shall not result in the reversal of the integration measures already adopted through the date, such as the incorporation of MD1 Participaes Ltda by the Company.

c)

Corporate Restructuring incorporation of MDI Participaes Ltda by the Company

Allocation of capital in DASA Empreendimentos e Participaes Ltda. On September 03, 2011, the Company allocated assets and liabilities in the subsidiary DASA Empreendimentos e Participaes Ltda, in the amount of R$2,049,614 corresponding to the total amount of the shares at book value and the related premium values determined in the following companies:
Investment interest
MD1 Diagnsticos S.A. CDPI Clnica de Diagnstico por Imagem Ltda. Clnica de Ressonncia e Multi Imagem Ltda. Pro-Echo Cardiodata Servios Mdicos Ltda. 159,967 21,673 6,443 74,042 262,125

Goodwill
1,707,750 45,225 29,821 4,693 1,787,489

Allocation of capital
1,867,717 66,898 36,264 78,735 2,049,614

On the same day, the corporate name of the subsidiary was altered to MD1 Participaes Ltda. On October 13, 2011, during the Company Board Meeting, the proposition for the incorporation by the Company of its subsidiary MD1 Participaes Ltda was approved. In compliance with provisions of Law No. 6404/76, KPMG Auditores Independentes was engaged for elaboration of an evaluation report on net worth of MD1 on the effective date of June 30,2011.

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Group entities
The Consolidated financial Statements include the financial information of the Company and following subsidiaries:
% Share 03/31/12 Direct subsidiaries: DASA Real Estate Empreendimentos Imobilirios Ltda. CientficaLab Produtos Laboratoriais e Sistemas Ltda. DASA Finance Corporation DASA Brasil Participaes Ltda. Instituto de Endocrinologia e Medicina Nuclear do Recife S.A. (CERPE) DASA Log Empreendimentos Ltda. DASA Sudoeste Participaes Ltda. DASA Nordeste Participaes Ltda. DASA Centro-Oeste Participaes Ltda. DASA Property Participaes Ltda.(a) Pro Echo Cardiodata Servios Mdicos Ltda. CRMI - Clnica de Ressonncia e Multi Imagem Ltda. CDPI - Clnica de Diagnstico por Imagem Ltda. Laboratrios Mdicos Dr. Srgio Franco Ltda. CYTOLAB Laboratrio de Anatomia Patolgica Citologia Diagnstica e Anlises Clnicas Ltda. 99.99% 99.99% 100.00% 99.00% 100.00% 99.00% 99.00% 99.00% 99.00% 99.00% 69.15% 100.00% 100.00% 100.00% 100.00% 12/31/11 99.99% 99.99% 100.00% 99.00% 100.00% 99.00% 99.00% 99.00% 99.00% 69.15% 100.00% 100.00% 100.00% 100.00%

Indirect subsidiaries: Pro Echo Cardiodata Servios Mdicos Ltda. Clnica de Ressonncia e Multi-Imagem Caxias Ltda. Clnica de Ressonncia e Multi-Imagem Petrpolis Ltda. Imagem e Diagnstico Ltda. Check-Up UP - Unidade Prevent., Diagn. e Medicina Preventiva Ltda. INCEBRAS Instituto Brasileiro da Coluna e do Cerebro Ltda. Multimagem PET S/A. Previlab Anlises Clnicas Ltda. STAT Anlises Clnicas Ltda.

30.85% 99.90% 70.00% 99.99% 55.00% 29.00% 100.00% 100.00% 98.00%

30.85% 99.90% 70.00% 99.94% 55.00% 29.00% 100.00% 100.00% 98.00%

(a) On February 9, 2012, the subsidiary DASA Property Participaes Ltda was organized, and its business purpose is (i) to hold interest in other companies, entrepreneurial or not, as a member or shareholder, in Brazil or abroad; and (ii) to manage own and/or third party assets. The company activities have not started yet.

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4
4.1

Basis for preparation


Declaration of conformity (in relation to IFRS and CPC standards) This quarterly information includes: The quarterly consolidated information prepared according to the technical pronouncement CPC21 Interim Financial Reporting and according to IAS 34 - Interim Financial Reporting issued by the International Accounting Standards Board (IASB) and shown in accordance to the rules issued by the CVM. The Companys individual quarterly information prepared based on the technical pronouncement CPC 21 Interim Financial Reporting. The publication of the individual and consolidated quarterly information was authorized by the Board in meeting held on May 14, 2012.

4.2

Basis for measurement The individual and consolidated quarterly information was prepared based on the historical cost, except for the following relevant items in the balance sheet: (i) derivative financial instruments measured at fair value; and (ii) financial instruments at fair value through profit or loss.

4.3

Functional and reporting currency This individual and consolidated quarterly financial information is presented in reais, which is the Companys functional currency. All financial information presented in real has been rounded off to the nearest thousand, except if otherwise indicated.

4.4

Use of estimates and judgment The preparation of the individual and consolidated quarterly financial information in conformity with IFRSs and CPCs requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized for the period in which the estimates are revised and in any future periods affected. The Information on uncertainties on assumptions and estimates that have a significant risk of resulting in material adjustment within the following financial year is included in the following notes:

Note 9 Trade accounts receivable


Note 21 Tax, social security, labor and civil provisions Page 36 of 95

Note 5.8 Impairment main assumptions used for projections of discounted cash flow used for calculation of goodwill impairment test

4.5 Segregation between current and non-current

The Company segregated balance sheet items in current when they are expected to be realized within no longer than 12 months after quarterly information date.
4.6 Statement of comprehensive income There were no transactions in equity, in all material respects, which could lead to adjustments that could be included in the statement of comprehensive income, that is, the P&L for the year is equal to comprehensive income.

Significant Accounting Policies


The accounting practices adopted in the preparation of this quarterly information are consistent with those adopted in the preparation of the financial statements for the year ended December 31, 2011, and shall be analyzed together with those statements, except for the reclassification of judicial deposits and deferred income tax, as shown below: Judicial Deposits For a better presentation of the balance of Tax, Social Security, Labor and Civil Provisions (Contingency Funds), the Judicial Deposits balance was reclassified from the line Contingencies Funds (as deducted) to the line Judicial Deposits (as Non-Current Assets) in the Balance Sheet as of December 31, 2011. Previously, the contingency funds were shown through their net amounts of the corresponding Judicial Deposits. The reclassified value amounts to R$70,301. Deferred Income and Social Contribution Taxes To comply with paragraphs 74 and 75 of CPC32, the balance of Deferred Income and Social Contribution Taxes of the same taxable company was thereinafter presented at their net value. Formerly, deferred non-current Income Tax assets and liabilities of the same taxable company were shown separately in non-current assets and liabilities. The reclassified value amounts to R$112,806.

Page 37 of 95

New and revised yet not adopted rules and interpretations New pronouncements, amendments to the existing pronouncements and new interpretations which were published and are mandatory for the year starting on January 1, 2012 or thereafter. CPC has not yet published the pronouncements and amendments related to the new and revised IFRS shown in this explanatory note. Due to CPC and CVM commitment to maintain the set of rules issued updated, based on IASB updates, it is expected that those pronouncements and amendments will be published by CPC and approved by CVM up to the date of its mandatory application. The Company and its subsidiaries did not adopt the anticipated form of such amendments in their consolidated financial statements as of December 31, 2011 and did not have the opportunity to evaluate the possible impact of adopting those amendments.

Determination of fair values


A number of the Groups accounting policies and disclosures require the determination of fair value, for both financial and non-financial assets and liabilities. The fair values have been calculated for the purpose of measurement and/or disclosure based on the methods stated in Note 6 of the financial statements dated December 31, 2011, and must be analyzed in conjunction with those statements. When applicable, further information about the assumptions made in determining fair values is disclosed in the notes specific to that asset or liability.

Page 38 of 95

Cash and cash equivalents


Company 03/31/12 Cash and bank Short-term investments 7,228 54,119 61,347
12/31/11

Consolidated 03/31/12 12,754 124,665 137,419


12/31/11

1,876 155,102 156,978

11,445 238,500 249,945

Cash and cash equivalents classified to consolidated current assets are presented below:

03/31/12

12/31/11

Amount Cash and bank Fixed income fund 12,754 124,665 137,419

Annual interest rate


-

Amount 11,445 238,500 249,945

Annual interest rate


100.95% do CDI

103.30% do CDI

Highly-liquid short-tem investments are readily convertible into a known amount of cash and are subject to insignificant risk of change in value.

Page 39 of 95

Short-term investments
Company
03/31/12 12/31/11

Currency

R$ Amount

Annual interest rate


103.30% do CDI

R$ Amount

Annual interest rate


100.95% do CDI

Fixed income fund(a)


Current assets Non-current assets

R$

50,764 10,733 40,031

48,351 10,475 37,876

Consolidated
03/31/12 12/31/11

Currency

US$ Amount

R$ Amount

Annual interest rate


103.30% do CDI 2.50% 7.00%

US$ Amount

R$ Amount

Annual interest rate


100.95% do CDI 3.06% 6.43%

Fixed income fund(a)


Brazilian Debt security (b) Private Debt security (b)

R$ US$ US$

10,859 5,888

88,812 19,786 10,728 119,326

10,805 5,665

85,504 20,269 10,627 116,400 41,371 75,029

Current assets Non-current assets

41,247 78,079

(a) The consolidated amount of R$88,812 (85,504 at December 31, 2011) invested in Fixed income fund basically corresponds to: (i) R$59,034 that ensures payment of contingencies that could arise from acquired companies, for a period of up to 6 years from the date of acquisition. At the end of this period, the remaining balance of this financial application shall be redeemed (ii) R$24,321 that ensures payment of minimum dividend guaranteed to the CERPE shareholder, as stated in Note 27d. (b) Held in custody with Credit Agricole Private Banking Miami Page 40 of 95

Trade accounts receivable


Company 03/31/12 Current assets Trade bills receivable: Falling due Overdue (a) 12/31/11 Consolidated 03/31/12 12/31/11

238,876 152,886 391,762

211,512 156,665 368,177 5,031 14,990 50,631 70,652 438,829

279,211 196,161 475,372 5,632 10,956 127,893 144,481 619,853

241,061 196,017 437,078 5,573 15,695 135,542 156,810 593,888

Other accounts receivable: Checks in collection Credit cards Receivables to be billed (b)

4,983 10,290 48,883 64,156

Total receivables Less: Provision for allowance for doubtful accounts due to disallowance, default and NSF checks

455,918

(89,054) 366,864

(86,373) 352,456

(102,747) 517,106

(103,869) 490,019

(a) The aging of overdue balances is presented below: (b)The line Receivables to be billed refers to the values of the services rendered yet not billed up to the closing of the period.
Company
03/31/12 0 to 30 31 to 60 61 to 90 91 to 120 121 to 180 181 to 360 above 360 23,676 14,766 8,795 8,582 13,374 31,535 52,158 152,886 12/31/11 34,133 11,229 8,550 8,573 16,746 20,658 56,776 156,665

Consolidated
03/31/12 41,158 21,658 11,443 10,688 14,579 35,462 61,173 196,161 12/31/11 47,076 17,675 9,957 10,101 17,912 25,368 67,928 196,017

The collection process for diagnostic medicine services provided by the Company is complex, due to a variety of factors, including the large number of health plans used, the different coverage offered, the information requested by these plans for approval of payment Page 41 of 95

and questioning by health care plans as to the adequacy of the supporting documentation. Historically, all those factors lead to losses due to disallowance. Because of this, provisions for disallowances are established monthly based on estimated probable losses as a result of the value of the disallowances being discussed. These discussions mainly refer to: (i) operational issues, such as services provided to customers of health care plans without previous authorization; (ii) sales issues, such as new price lists agreed, which have not been updated on both systems; and (iii) technical issues, such as different interpretations of examination requisitions. Against this provision, the reverses considered by the Company as acceptable are written-off. Additionally, management adopts a policy to set up an allowance for receivables overdue for more than 90 days, applying the following grade:

Overdue titles: 91 and 120 days 121 and 180 days 181 and 360 days above 360 days

% of provision 25% 50% 75% 100%

Also, it is adopted the criteria to set up an allowance for 100% of NSF checks, which in the March 31, 2012 consolidation corresponds to the amount of R$4,886 (R$ 4.870 at December 31, 2011). Due to the history of full credit card amounts received, the Company sets no provision losses for this line. Changes in allowance for doubtful accounts due to disallowance, default or NSF checks in the 1Q2012, consolidated, are as follows:

Balance at December 31, 2011 Additions Write-off (utilization) (a) Balance at March 31, 2012

(103,869) (19,485) 20,607 (102,747)

(a) From 2012 on, the Company has been adopting the practice of writing off against the allowance the invoices due for more than 2 years and already provisioned. In the 1Q12, R$14,500 were written off following that criteria.

Page 42 of 95

10 Inventories
Company 03/31/12 Domestic clinical analysis and diagnostic imaging materials Imported clinical analysis and diagnostic imaging materials Domestic secondary clinical analysis and diagnostic imaging Materials Consumer materials Provision for obsolescence 12/31/11 Consolidated 03/31/12 12/31/11

22,092 14,662 8,080 3,439 (250) 48,023

26,178 17,939 10,240 4,422 (250) 58,529

35,194 14,662 8,473 6,445 (540) 64,234

40,832 17,939 12,257 7,602 (1,263) 77,367

11 Taxes recoverable, deferred tax assets and liabilities


(a) Taxes recoverable Current
Company 03/31/12
INSS recoverable Withholding income tax (IRRF) Income tax recoverable Social contribution tax recoverable Social contribution tax on gross revenue for social security financing (COFINS) and Social contribution tax on gross revenue for social integration program (PIS) tax withheld Other 1,766 11,315 14,837 24,980

Consolidated 12/31/11
1,601 4,545 28,438 21,300

03/31/12
20,311 16,914 21,583 30,069

12/31/11
19,537 9,090 32,961 24,822

19,938 6,442 79,278

18,284 6,001 80,169

22,616 13,274 124,767

20,300 11,703 118,413

Page 43 of 95

(b) Deferred tax assets and liabilities


The deferred income and social contribution taxes are recognized to reflect future tax effects attributable to temporary differences between the tax bases of assets and liabilities and their respective book values. In accordance with CPC 32, the Company, based on its past profitability and the expectation of generating future taxable income considering the technical viability study approved by management, recognized tax credits on income and social contribution tax losses, with no prescription date, and that can be offset against a maximum of 30% of annual taxable profit. The carrying value of the deferred tax assets and liabilities is reviewed on a quarterly basis and projections are reviewed annually.

The origin of deferred income and social contribution taxes is presented below:
Company 03/31/12 Deferred tax assets: Income and social contribution tax losses (i) Allowance for doubtful accounts and disallowances Amortization of goodwill Provision for specialized medical services Sundry provisions Provision for contingencies Amortization of pre-operating expenses Review of fixed asset useful life Other 12/31/11 Consolidated 03/31/12 12/31/11

40,340 26,048 4,494 1,236 578 38,970 1,646 85 113,397

27,292 24,745 6,857 373 2,135 37,917 2,300 84 101,703

51,634 29,074 41,158 1,482 1,313 42,536 1,646 6,728 263 175,834

36,812 29,851 45,405 373 2,962 42,350 2,300 6,526 93 166,672

Deferred tax liabilities: Amortization of goodwill Intangibles identified in acquisition of subsidiaries Review of fixed asset useful life Others

(46,624) (93,650) (10,490) (2,889) (153,653)

(26,903) (91,469) ( 9,320) ( 6,229) (133,921) (32,218)

(46,624) (100,142) (11,855) (7,089) (165,710) 50,380 (40,256)

(27,387) (95,881) (11,086) (10,670) (145,024) 53,866 (32,218)

Deferred tax assets Deferred tax liabilities

(40,256)

(i) The time forecasted for the recovery of those tax credits is up to 2013.

Page 44 of 95

12 Investments
Company 03/31/12
Investment in subsidiaries DASA Real Estate Empreendimentos Imobilirios Ltda. CientficaLab Produtos Laboratoriais e Sistemas Ltda Instituto de Endocrinologia e Medicina Nuclear do Recife S.A. (CERPE) DASA Brasil Participaes Ltda. CDPI - Clnica de Diagnstico por Imagem Ltda. CRMI - Clnica de Ressonncia e Multi Imagem Ltda. Pro Echo Cardiodata Servios Mdicos Ltda. Laboratrios Mdicos Dr.Srgio Franco Ltda. CYTOLAB Laboratrio de Anatomia Patolgica Citologia Diagnstica e Anlises Clnicas Ltda.

Consolidated 03/31/12 12/31/11

12/31/11

27,064 98,322 33,498 1,968 28,934 14,010 83,200 105,445 1,558 393,999

26,985 96,607 32,964 1,934 27,840 12,957 81,933 86,347 406 367,973 200 368,173

222 222

317 317

Others investments

200 394,199

Page 45 of 95

The main information on direct investments in equity of investees is as follows, at March 31, 2012:
Instituto de Endocrinologia e Medicina Cientfica Lab Nuclear do Prod. Lab. e DASA Finance Recife S.A. Sistemas Ltda. Corporation (CERPE) 27,176,629 27,176,628 99.99% 50,000 50,000 100.00% 122,024 84,807 100.00%

DASA Real Estate Empreendimentos Imobilirios Ltda.

DASA Brasil Participaes Ltda. 50,000 49,500 99.00%

Total Shares or units of interest Number of shares or units of interest: % investment Balance of investments in subsidiaries classified as investments at 31 March, 2012 Balance of investments in subsidiaries classified as current liabilities (capital deficiency) at March 31, 2012.

25,667,078 25,667,078 99.99%

27,064

98,322

33,498

1,968

21,521

Assets: Current Assets Non-current Assets Total assets Liabilities: Current Liabilities Non-current Liabilities Total liabilities

2,140 25,060 27,200

78,805 48,534 127,339

31,387 31,387

17,839 73,625 91,464

3,913 31,621 35,534

136 136

16,047 12,970 29,017

1,303 51,605 52,908

9,768 48,198 57,966

2,814 30,752 33,566

Equity P&L: Income Expenses Income (loss) of investee for the period

27,064

98,322

(21,521)

33,498

1,968

524 (445) 79

32,035 (30,320) 1,715

390 390

13,485 (12,951) 534

5,012 (4,978) 34

Equity pickup

79

1,715

390

534

34

Page 46 of 95

CRMI - Clnica Pro Echo CDPI - Clnica de de Ressonncia e Cardiodata Diagnstico por Multi Imagem Servios Imagem Ltda. Ltda. Mdicos Ltda.

Laboratrios Mdicos Dr.Srgio Franco Ltda. 63,552,082 63,552,082 100.00%

CYTOLAB Laboratrio de Anatomia Patolgica Citologia Diagnstica e Anlises Clnicas Ltda. 740,000 740,000 100.00%

Total Shares or units of interest Number of shares or units of interest: % investment Balance of investments in subsidiaries classified as investments at March 31, 2012

899,280 899,280 100.00%

2,508,000 2,508,000 100.00%

129,643,058 89,648,175 69.15%

28,934

14,010

83,200

105,445

1,558

Assets: Current Assets Non-current Assets Total assets Liabilities: Current Liabilities Non-current Liabilities Total liabilities Non-controlling interest Equity P&L: Income Expenses Income (loss) of investee for the period

40,729 59,751 100,480

12,063 14,265 26,328

64,001 73,833 137,834

158,564 101,078 259,642

2,793 2,233 5,026

26,415 45,947 72,362 (914) 29,032 24,686 (23,592) 1,094

6,665 5,121 11,786 532 14,010 8,516 (7,463) 1,053

8,350 9,167 17,517 120,317 10,641 (8,810) 1,831

49,238 21,760 70,998 83,199 105,445 92,896 (72,598) 20,298

947 2,521 3,468 1,558 3,342 (2,190) 1,152

Equity pickup

1,094

1,053

1,831

20,298

1,152

Page 47 of 95

DASA Real Estate Empreendimentos Imobilirios Ltda.

Cientfica Lab Prod. Lab. e Sistemas Ltda.

Instituto de Endocrinologia e Medicina CRMI - Clnica DASA Nuclear do CDPI - Clnica de de Ressonncia e Multi Finance Recife S.A. Diagnstico por Corporation (CERPE) Imagem Ltda. Imagem Ltda.

Balances of capital deficiency at December 31, 2011 Balance of investments at December 31, 2011

(21,911)

26,985

96,607

32,964

27,840

12,957

Interest on equity Equity pickup Balances of capital deficiency at March 31, 2012 Balance of investments at March 31, 2012

79

1,715

390

534

1,094

1,053

27,064

98,322

(21,521) -

33,498

28,934

14,010

Pro Echo Cardiodata Servios Mdicos Ltda.

Laboratrios Mdicos Dr. Srgio Franco Ltda.

DASA Brasil Participaes Ltda.

CYTOLAB Laboratrio de Anatomia Patolgica Citologia Diagnstica e Anlises Clnicas Ltda.

Total

Balances of capital deficiency at December 31, 2011 Balance of investments at December 31, 2011

(21,911)

81,933

86,347

1,934

406

367,973

Interest on equity Equity pickup Balances of capital deficiency at March 31, 2012 Balance of investments at March 31, 2012

1,267

(1,200) 20,298

34

1,152

(1,200) 27,616

83,200

105,445

1,968

1,558

(21,521) 393,999

Page 48 of 95

13 Property and equipment


Company Average depreciation rate % p.a. Buildings Leasehold improvements Machinery and equipment Furniture and fixtures Facilities IT equipment Vehicles Library Land Construction in progress 4 10 10 10 10 20 20 10 03/31/12 12/31/11

Cost 974 329,250 499,604 54,710 19,620 112,080 3,408 147 13,410 18,592 1,051,795

Depreciation (478) (206,859) (241,556) (28,851) (7,370) (57,760) (2,684) (107) (545,665)

Net 496 122,391 258,048 25,859 12,250 54,320 724 40 13,410 18,592 506,130

Net 507 116,214 246,564 25,965 10,975 52,415 882 42 30 13,000 466,594

Consolidated Average depreciation rate % p.a. Buildings Leasehold improvements Machinery and equipment Furniture and fixtures Facilities IT equipment Vehicles Library Land Construction in progress 4 10 10 10 10 20 20 10 03/31/12 12/31/11

Cost 11,565 414,965 640,616 74,839 39,401 136,165 6,267 233 19,804 34,034 1,377,889

Depreciation (2,821) (231,993) (314,383) (34,553) (15,563) (73,966) (4,774) (182) (678,235)

Net 8,744 182,972 326,233 40,286 23,838 62,199 1,493 51 19,804 34,034 699,654

Net 8,863 176,373 311,817 40,279 22,669 60,694 1,746 53 6,424 26,942 655,860

Due to several acquisitions of new equipment during the second half of 2011, management decided, for the 1Q12, to run an appraisal of the useful life of that equipment, which has distinct characteristics from the items previously appraised. Based on a report prepared by external appraisers, the following modifications in the useful lives were identified:

Page 49 of 95

Current rate - % p.a.

Rate Used Previously - % p.a.

Depreciation charges reduced in the 1Q12 1,365 25 509 1,899

Machinery and equipment Furniture and fixtures IT equipment

10 10 20

10 20 8 25

Changes in cost
Company Changes for the period 12/31/11 Buildings Leasehold improvements Machinery and equipment Furniture and fixtures Facilities IT equipment Vehicles Library Land Construction in progress 974 317,472 484,888 53,506 17,959 107,930 3,408 147 30 13,000 999,314 Additions 11,778 21,211 1,204 1,661 4,152 13,380 5,592 58,978 Write off (6,495) (2) (6,497) 03/31/12 974 329,250 499,604 54,710 19,620 112,080 3,408 147 13,410 18,592 1,051,795

Consolidated Changes for the period

12/31/11 Buildings Leasehold improvements Machinery and equipment Furniture and fixtures Facilities IT equipment Vehicles Library Land Construction in progress 11,565 401,286 619,217 73,170 37,430 131,637 6,264 233 6,424 26,942 1,314,168

Additions 13,679 27,895 1,669 1,971 4,529 3 13,380 7,092 70,218

Write off (6,495) (2) (6,497)

Transfers (1) 1 -

03/31/12 11,565 414,965 640,616 74,839 39,401 136,165 6,267 233 19,804 34,034 1,377,889

Page 50 of 95

Changes in accumulated depreciation


Company Changes for the period 12/31/11 Buildings Leasehold improvements Machinery and equipment Furniture and fixtures Facilities IT equipment Vehicles Library (467) (201,258) (238,324) (27,541) (6,984) (55,515) (2,526) (105) (532,720) Additions (11) (5,601) (6,714) (1,310) (386) (2,245) (158) (2) (16,427) Write off 3,482 3,482 03/31/12 (478) (206,859) (241,556) (28,851) (7,370) (57,760) (2,684) (107) (545,665)

Consolidated Changes for the period 12/31/11 Buildings Leasehold improvements Machinery and equipment Furniture and fixtures Facilities IT equipment Vehicles Library Land Construction in progress (2,702) (224,913) (307,400) (32,891) (14,761) (70,943) (4,518) (180) (658,308) Additions (119) (7,080) (10,465) (1,662) (802) (3,024) (256) (2) (23,410) Write off 3,482 1 3,483 03/31/12 (2,821) (231,993) (314,383) (34,553) (15,563) (73,966) (4,774) (182) (678,235)

Additions to accumulated depreciation, stated in the changes for the period, were partly recorded under General & Administrative Expenses and partly under costs of goods and/or services sold.

Page 51 of 95

14 Intangibles assets, net


Company 03/31/12 Average Amortizat ion rate% p.a. 12/31/11

Cost

Accumulated amortization

Net

Cost

Accumulated amortization

Net

Business acquisitions Goodwill Others intangibles IT systems Rights of use of commercial area Other intangible assets System Implementation Project Project development Brands Customer portfolio Transactions with Hospitals

2,136,717

(153,831)

1,982,886

2,136,717

(153,831)

1,982,886

20 20 20 20 33 3.3 10 5

120,374 1,203 10,520 12,293 10,259 236,037 9,403 35,748 435,837 2,572,554

(67,960) (399) (2,172) (12,115) (8,685) (10,019) (3,056) (2,234) (106,640) (260,471)

52,414 804 8,348 178 1,574 226,018 6,347 33,514 329,197 2,312,083

117,601 1,203 10,520 12,293 10,259 236,037 9,403 35,748 433,064 2,569,781

(63,086) (365) (1,802) (12,110) (8,146) (8,053) (2,820) (1,787) (98,169) (252,000)

54,515 838 8,718 183 2,113 227,984 6,583 33,961 334,895 2,317,781

Consolidated 03/31/12 Average Amortiza tion rate% p.a. Business acquisitions Goodwill 12/31/11

Cost

Accumulated amortization

Net

Cost

Accumulated amortization

Net

2,217,714

(205,309)

2,012,405

2,217,714

(205,309)

2,012,405

Others intangibles IT systems Rights of use of commercial area Other intangible assets System Implementation Project Project Development Brands Customer portfolio Transactions with Hospitals

20 20 20 20 33 3.3 10 5

124,921 1,359 11,705 12,293 10,267 248,234 9,403 36,946 455,128 2,672,842

(70,073) (466) (2,172) (12,115) (8,685) (10,561) (3,056) (3,033) (110,161) (315,470)

54,848 893 9,533 178 1,582 237,673 6,347 33,913 344,967 2,357,372

122,092 1,359 11,705 12,293 10,267 248,234 9,403 36,946 452,299 2,670,013

(65,080) (426) (1,801) (12,110) (8,148) (8,492) (2,820) (2,436) (101,313) (306,622)

57,012 933 9,904 183 2,119 239,742 6,583 34,510 350,986 2,363,391

Page 52 of 95

Changes in cost
Company Changes for the period 12/31/11 Business acquisitions - Goodwill Goodwill Additions 03/31/12

2,136,717

2,136,717

Others intangibles IT systems Rights of use of commercial area Other intangible assets System implementation project Project development Brands Customer portfolio Transactions with Hospitals

117,601 1,203 10,520 12,293 10,259 236,037 9,403 35,748 433,064

2,773 2,773

120,374 1,203 10,520 12,293 10,259 236,037 9,403 35,748 435,837

2,569,781

2,773

2,572,554

Consolidated Changes for the period 12/31/11 Business acquisitions - Goodwill Goodwill Additions 03/31/12

2,217,714

2,217,714

Others intangibles IT systems Rights of use of commercial area Other intangible assets System implementation project Project development Brands Customer portfolio Transactions with Hospitals

122,092 1,359 11,705 12,293 10,267 248,234 9,403 36,946 452,299

2,829 2,829

124,921 1,359 11,705 12,293 10,267 248,234 9,403 36,946 455,128

2,670,013

2,829

2,672,842

Page 53 of 95

Changes in accumulated amortization


Company Changes for the period Additions

12/31/11

03/31/12

Business acquisitions - Goodwill Goodwill

(153,831)

(153,831)

Others intangibles IT systems Rights of use of commercial area Other intangible assets System implementation project Project development Brands Customer portfolio Transactions with Hospitals

(63,086) (365) (1,802) (12,110) (8,146) (8,053) (2,820) (1,787) (98,169) (252,000)

(4,874) (34) (370) (5) (539) (1,966) (236) (447) (8,471) (8,471)

(67,960) (399) (2,172) (12,115) (8,685) (10,019) (3,056) (2,234) (106,640) (260,471)

Consolidated Changes for the period 12/31/11 Business acquisitions - Goodwill Goodwill Others intangibles IT systems Rights of use of commercial area Other intangible assets System implementation project Project development Brands Customer portfolio Transactions with Hospitals Additions 03/31/12

(205,309)

(205,309)

(65,080) (426) (1,801) (12,110) (8,148) (8,492) (2,820) (2,436) (101,313) (306,622)

(4,993) (40) (371) (5) (537) (2,069) (236) (597) (8,848) (8,848)

(70,073) (466) (2,172) (12,115) (8,685) (10,561) (3,056) (3,033) (110,161) (315,470)

Additions to accumulated amortization, stated in changes for the period, were recorded in general and administrative expenses and cost of goods sold and/or services rendered. Goodwill balances were submitted to impairment tests at the end of last financial year. During the quarter, there were no events that required their fair values to be reviewed. Page 54 of 95

15 Trade accounts payable


Company
03/31/12 12/31/11 40,452 12,296 52,748

Consolidated
03/31/12 61,727 6,473 68,200 12/31/11 64,345 12,296 76,641

Domestic suppliers Foreign suppliers

40,536 6,473 47,009

16 Loans and financing

Company
03/31/12
Local currency Bank loans(b) Lease agreements in local currency 159,670 10,833

Consolidated
03/31/12
167,167 35,489

12/31/11
267,080 11,580

12/31/11
275,661 30,491

Foreign currency Equipment financing Lease of imported equipment Notes (Senior Notes) (a)

25,308 195,811

69 29,858 308,587 308,587

4,795 29,903 54,343 291,697 (1,434) 290,263

5,239 34,910 54,755 401,056 (1,536) 399,520

Transaction costs (issue of Notes) (c)

195,811

Amount to be amortized on the short term classified under current liability Non-current liabilities

(176,570) 19,241

(282,864) 25,723

(194,780) 95,483

(298,198) 101,322

Bank loan and financing agreements do not have any covenants. (a) The Board of Directors, in meeting held on May 21, 2008, approved issuance of notes (Senior notes) by the overseas subsidiary, DASA Finance Corporation, for the purpose of raising funds that will primarily be used to finance expansion of the Companys activities. The issuance of notes was completed on May 29, 2008, and amounted to US$ 250 million, and maturity expected for May 2018, remunerated at interest rate of 9.45% p.a. The interest is paid on a semiannual basis, on May 29 and November 29 of each year. Both principal amount and Page 55 of 95

interest are guaranteed unconditionally and irrevocably by the Company. The notes were placed exclusively abroad. In the meeting held on November 11, 2010, the Company Board of Directors approved the offer to acquire part and/or all of current Notes by its wholly-owned subsidiary Dasa Finance Corporation, as well as renegotiation of certain covenants, and also authorized management to adopt all measures to obtain funding instruments that improve the indebtedness profile of the Company. As final result of the Acquisition Offer, the Company paid US$217.8 million on December 17, 2010, representing around 87.13% of the total value for outstanding notes. According to the conditions established in contract for the remaining balance of the Notes, early redemption option of this debt is exclusively of DASA Finance Corporation, from 2013 on. The premium paid in repurchasing the Notes is R$57,303, recorded under the line of financial expenses in 2010. (b) During the Board Meeting, held on November 14, 2011, the issue of Commercial Notes by the company, aiming the raising of funds to reinforce the structure of the working capital was approved. On December 9, 2011, issue of notes in the amount of R$150 million was concluded, bearing interests corresponding to the accrued variation of 107% of daily average rates of one day DI Interbank Deposits, over extra group, calculated and disclosed by CETIP. The remuneration shall be fully paid on maturity date, on December 03, 2012, or on the date of the early maturity, if any. (c) Transaction costs will be allocated to profit or loss on a straight-line basis, until the notes are settled.

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Company Amount in Reais

Type

Banks

Maturity

Average interest rate

Guarantors

Local currency 2012 to 2013 TJLP to 111.8% for CDI CDI + 1.18 % p.a. CDI + 2.10 % p.a.

Bank loans

Miscellaneous

159,670

(1) (2)

Leases

Miscellaneous

10,833

2015

(2)

Type Foreign currency

Financial institutions/ Suppliers

Amount in US$

Amount in Reais

Maturity

Average interest rate

Guarantors

Leases

Miscellaneous

13,889

25,308

2016 VC+7.20% to 9% p.a.

(2)

Consolidated Amount in Reais

Type Local currency Bank loans

Banks

Maturity

Average interest rate

Guarantors

Miscellaneous

167,167

2012 to 2016 TJLP to 115% do CDI CDI + 1.18 % p.a. CDI + 2.10 % p.a.

(1) (2) (3)

Leases

Miscellaneous

35,489

2015

(2)

Type Foreign currency Equipment financing Leases Notes (Senior Notes)

Financial institutions/ Suppliers

Amount Amount Transacti Amount in US$ in Reais on Cost in Reais

Maturity

Average interest rate Guarantors


VC+7.5% to 8.3% p.a. VC+7.20% to 9% p.a. 8.75% p.a.

G.E. Miscellaneous

2,632

4,795

4,795

2012

16,411 29,824

29,903 54,343

(1,434)

29,903 52,909

2016 2018

(2) (3)

(1) DASA Real Estate Empreendimentos Imobilirios Ltda. (2) Promissory Note of 125% of the contractual amount in the Companys name. (3) Diagnsticos da Amrica S.A.

Page 57 of 95

Bank loans and financing classified as non-current liabilities will be repaid as follows: Company
2013 2014 2015 2016 to 2018 8,982 8,042 2,159 58 19,241

Consolidated
19,330 18,712 5,238 53,404 (1,201) 95,483

Transaction cost - long term

The company granted collaterals on behalf of its subsidiaries, as follows:


CDPI - Clnica de Diagnstico por Imagem Ltda Banco ABC Brasil General Electric Banco HSBC Banco Ita S.A. CSI Latina Financial Banco HSBC Banco Ita S.A. Banco Pottencial Banco Modal 4,521 561 1,798 7,894 246 5 2,017 48 298

CientficaLab Produtos Lab. e Sistemas Ltda.

CYTOLAB Laboratrio de Anatomia Patolgica Citologia Diagnstica e Anlises Clnicas Ltda.

Banco do Brasil Banco Ita S.A. Emisso de Bond Banco Ita S.A. General Electric Banco Ita S.A.

190 69 52,806 4,889 596 2,212 78,150

DASA Finance Corporation Laboratrios Mdicos Dr.Srgio Franco Ltda. Pro Echo Cardiodata Servios Mdicos Ltda.

Page 58 of 95

17 Debentures (Company and Consolidated)

03/31/12
Non-convertible debentures Remuneration interest

12/31/11 700,000 14,395 714,395 (4,762)

700,000 34,482 734,482

Transaction cost Current portion Current liabilities Non-current liabilities

(4,488)

(33,383) 696,611

(13,296) 696,337

In meeting held on March 16, 2011, the Board of Directors approved fund raising by conducting the 2nd issue of simple debentures not convertible into shares of the Company, for public distribution in the total amount of up to R$810,000,000 (eight hundred and ten million reais), with firm warranty system and better efforts of placement, under the terms of CVM Ruling No. 476, of January 16, 2009. On May 16, 2011, the Company informed its shareholders and the market in general that, on May 11, 2011, it closed the public offer for distribution with restricted efforts of the placement of simple debentures, non convertible into shares, of the unsecured type of DASA second issue, in one single series (Debentures). Seventy thousand (70,000) debentures were subscribed, with five (5) years term from the date of issue, therefore due on April 29, 2016, in the total amount of R$ 700,000,000 (seven hundred million reais). The debentures account for remuneration equivalent to 100% (one hundred percent) of accumulated variation of daily average rate of the DI Inter-financial Deposits of one day, over extra-group, expressed in percentage per year, based on 252 (two hundred and fifty-two) working days, calculated and daily informed by CETIP, exponentially added by the overrate corresponding to 1.40% (one point forty hundredth percent) per year. As the issue date was April 29, 2011, the face value of each debenture shall be paid in 3 yearly consecutive installments, from the 36th (thirty sixth) month from issue date, with remuneration interest of 100% of CDI. Payment of remuneration interest is semiannual, occurring on the 1st day of the months of April and October, and the debit in the Company account shall occur one day prior due date. The transaction cost will be realized up to April 2016, in monthly installments of R$92, totaling R$4,488 on the transaction day. The debentures have clauses determining maximum indebtedness and leverage levels, based on quarterly consolidated information. At the end of the quarter, the Company was in compliance with the contract conditions.

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18 Social and labor liabilities


Company
03/31/12 12/31/11 11,151 9,743

Consolidated
03/31/12 17,731 13,004 12/31/11 16,263 13,552

Salaries payable Social Security charges payable Provision for vacation pay and 13th monthly salary pay and social security charges Provision for profit sharing Others

10,451 9,049

36,671 1,629 932 58,732

30,384 1,629 180 53,087

50,291 1,629 1,716 84,371

41,891 3,199 723 75,628

19 Taxes in installments
Company End of Amortization Program PAES(a) REFIS IV Federal (b) Other
2013 2020 03/31/12 2,598 9,380 806 12,784 Amount to be amortized - short term classified under current liability 12/31/11 3,008 9,644 887 13,539

(3,786) 8,998

(3,702) 9,837

Non-current liabilities

Consolidated End of Amortization Program PAES(a) REFIS IV Federal (b) Other


2013 2020 03/31/12 2,598 20,399 8,941 31,938 Amount to be amortized - short term classified under current liability 12/31/11 3,008 21,008 16,508 40,524

(7,151) 24,787

(7,963) 32,561

Non-current liabilities

(a) On July 29, 2003, the Company enrolled with the Tax Payment in Installments Plan (PAES), Law No. 10684, declaring tax debts related to PIS and COFINS which were Page 60 of 95

discussed in court. Total debt is divided into 120 monthly installments and restated using the long-term interest rate (TJLP). Payment of these installments extends to June 2013, considering that the Company does not make any payment based on gross revenue, has not used, nor will it use tax credits to amortize fines and interest. (b) Tax recovery program - Law No. 11941/09 (REFIS IV) A new Installment program (REFIS IV) for federal Debts was created in connection with the enactment of Law No. 11941/09 comprising all debts under Brazilian Federal Tax Authorities (Brazilian IRS, National Finance Attorney General Office and Brazilian Institute of Social Security - INSS), either incorporated or not, included or not as federal enforceable debt, whether executed or not, including those which have been subject matter of a prior installment program. Given the favorable conditions of this new Program, on November 27, 2009, the company enrolled therewith, and made the first installment payment under the conditions stated in the legislation, and, monthly, through minimum installments paid up to the effective consolidation of the debt. The company also included tax debts that were the responsibility of the former owners of the companies acquired in the installment program. These debts have still not been recorded as taxes in installments, given that the review process with the former owners has not been concluded. This process should result in the redemption, proportional to debts assumed by the prior management, of short-term investments which provide collateral for settlement of liabilities assumed at the time of acquiring the companies (Note 20). The term for consolidation of debts in the special installment plan for the large taxpayers with differentiated follow up ended on June 30, 2011. The Company has not concluded the consolidation yet, as information about debts originated from companies acquired by the Company, which have been already incorporated, was not available at the Brazilian Federal Internal Revenue Service website during the period of consolidation. The Company, aiming to ensure recognition of acquired companies debts in the installment, has filed petitions from June 27 to 28, 2011, with the departments that manage debts subject to the installment plan, requiring that debts mentioned shall be stated as entitled to be installment payment in the E-CAC system. The Company has not yet received an answer to the petitions filed.

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20 Accounts payable from the acquisition of subsidiaries


Accounts payable for acquisition of subsidiaries refer to the amounts due to the former owners for the acquisition of shares or units of interest representing the capital of these entities. Debts are restated in accordance with the contractual terms, and following payment schedule:

Company
Monetary restatement IPCA-IGPMSelic (a)

Maturity date
05/2016 11/2016

03/31/12 3,749 58,156 61,905

12/31/11 8,204 57,906 66,110

Not guaranteed by short-term investments Guaranteed with short-term investments

Amount to be amortized on the short term classified under current liability Non-current liabilities

(12,232) 49,673

(11,988) 54,122

Consolidated
Monetary restatement IPCA-IGPMSelic (a)

Maturity date
05/2016 04/2017

03/31/12 3,749 71,882 75,631

12/31/11 8,204 71,301 79,505

Not guaranteed by short-term investments Guaranteed with short-term investments

Amount to be amortized on the short term classified under current liability Non-current liabilities

(12,232) 63,399

(11,988) 67,517

(a)Rate of 103.3% of CDI in funds managed by financial institutions. Installments classified as non-current liabilities fall due as follows:
Maturity date 2013 2014 2015 2016 2017 Total Company 11,872 13,837 14,568 9,396 49,673 Consolidated 11,872 13,837 14,568 19,348 3,774 63,399

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21 Tax, social security, labor and civil provisions


Company 03/31/2012 Judicial deposit 12/31/2011 Judicial deposit

Provision

Provision

(a) ICMS on imports (b)Provision for labor and civil contingencies (c)Provision for tax contingencies

106,638 6,245 28,187 141,070

48,124 8,025 29,672 85,821

105,075 4,965 27,875 137,915

48,124 8,183 29,124 85,431

Consolidated 03/31/2012 Judicial deposit 12/31/2011 Judicial deposit

Provision

Provision

(a) ICMS on imports (b)Provision for labor and civil contingencies (d)Provision for tax contingencies

112,098 7,155 39,991 159,244

48,124 10,144 31,194 89,462

105,075 8,500 37,848 151,423

48,124 10,302 30,244 88,670

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(a) ICMS on imports

The Company, based on the opinion of its legal advisors, has not paid ICMS on the imports of inputs and equipment for use in the rendering of its services, since February 2000, as there are ongoing discussions as to whether the Company is an ICMS taxpayer for these transactions. For ICMS payables over goods and equipment imported up to the publication of Constitutional amendment 33 on December 11, 2001, the outside legal advisors understand that the likelihood of losses is remote; as regards amounts of ICMS payables generated between the Constitutional Amendment 33 and the issuance of the supplementary Law No. 114, on December 16, 2002, the likelihood of loss was rated as possible. At last, after the issuance of the supplementary Law No. 114 on December 16, 2002, the outside legal advisors understand that the likelihood of loss is probable. Thus, the Company decided to deposit in court, in December 2011, the non-notified amount on direct import of inputs and equipment totaling R$46,068, demanding the right to settle the tax through voluntary payment, without the levy of fines and with the reduction of interest, and maintaining the criteria of calculation of the provision for losses. At March 31, 2012, the provision recorded for imports made as from January 1st, 2003 is R$106,638 (R$ 105,075 at December 31, 2011) for the subsidiary and R$ 112,098 (R$ 105,075 at December 31, 2011) in the consolidated, with judicial deposits amounting to R$ 48,124. (b) Provision for labor and civil contingencies At March 31, 2012, the company is party to 799 labor claims (727 at December 31, 2011) and 815 civil administrative proceedings and lawsuits (793 at December 31, 2011). Provisions of R$6,245 (R$4,965 at December 31, 2011) in the Company and R$7,155 (R$8,500 at December 31, 2011) in the consolidated, are based on the historical percentage of loss of claims whose likelihood of an unfavorable outcome had been rated as probable. The Company recorded a provision, based on the historical percentage of losses for processes representing probable losses. At March 31, 2012, the Company recorded the consolidated amount of R$63,264 related to the claims classified by its legal advisors as possible loss, from which R$17,471 refers to civil claims and R$45,793 to labor claims for which there are no provisions, according to the accounting rule applicable for those circumstances. (c) Provision for tax contingencies Provisions for tax contingencies relate to: (i) questionings for increases in rates; (ii) calculation base; and (iii) unconstitutionality of collection. Such questionings refer basically to PIS, COFINS, INSS and FGTS contributions. At March 31, 2012, the Company recorded a consolidated amount of R$200,530 related to claims classified by its legal advisors as possible loss, for which there were no provisions, according to the accounting rule applicable for those circumstances, and substantially R$151,352 was related to ICMS claims (Taxes) over import of leasing equipment and direct import of inputs and equipment performed between the EC33 (issued in December 2001) and the Supplementary Law No. 114 (issued in December 2002), and R$49,178 related to other tax PIS, COFINS and ISS claims.

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Changes in provisions
Company 12/31/11 Change for the period - 2012 Additions Opening balance ICMS on imports Provision for labor and civil contingencies Provision for tax contingencies Utilization and/or reversal 03/31/12

Monetary restatement

Closing balance

105,075 4,965 27,875 137,915

3,398 129 3,527

(2,118) (2,118)

1,563 183 1,746

106,638 6,245 28,187 141,070

Consolidated
12/31/11 Change for the period - 2012 Additions Opening balance ICMS on imports Provision for labor and civil contingencies Provision for tax contingencies 105,075 8,500 37,848 151,423 5,460 3,644 1,960 11,064 Utilization and/or reversal (4,989) (4,989) 03/31/12

Monetary restatement 1,563 183 1,746

Closing balance

112,098 7,155 39,991


159,244

22 Equity (Company)
a. Capital
In the General Shareholders Meeting held on January 5, 2011, an increase in the Company capital was approved by R$1,832,044, through issue of 82,191,275 common shares, subscribed and paid-up with shares issued by MD1 Diagnsticos S.A. and incorporated to the Companys equity according to the Rationale for Merger of Shares. After the incorporation of shares approved in the meeting held on January 5, 2011, the Companys capital was R$2,234,135 comprising 311,803,015 common registered shares, book-entry, with no par value, with the exclusion of the right of first refusal granted to the Companys current shareholders to subscription, according to article 172, Law No. 6404, of December 15, 1976, and under the terms of article 9 of the Companys Articles of Incorporation.

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The authorized limit for the capital increase, irrespective of statutory reform, through the issuance of new shares, is 560,000,000 common shares.

b. Treasury shares
During the Board Meeting held on April 9, 2010, the acquisition of up to 1,000,000 common shares was approved, and during the Board Meeting held on June 17, 2011 the acquisition of up to 1,000,000 registered common shares, without nominal value, issued by the Company itself, was approved, to be held in treasury and further cancelling or disposal. At March 31, 2012, and December 31, 2011, the line Treasury shares had the following breakdown:

Operation breakdown

Number of Shares (unit) 1,159,035 1,159,035

Value

Average price per share 16.06 16.06

Balance at December 31, 2011 Balance at March 31, 2012

18,617 18,617

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c. Earnings per share


Basic Basic earnings per share are calculated by dividing the income attributed to the Company shareholders by the weighted average amount of common shares issued during the period, less common shares acquired by the Company and maintained as shares in the treasury.
01/01/2012 to 03/31/2012 Income attributable to the Company shareholders Weighted average of the number of common shares issued Weighted average of shares in treasury Weighted average of the number of outstanding common shares Basic earnings per share R$ 36,370 311,803 (1,159) 310,644 0.11708 01/01/2011 to 12/31/2011 44,583 311,803 (459) 311,344 0.14320

Diluted Diluted earnings per share are calculated by adjusting the weighted average number of outstanding common shares supposing the conversion of all potential common shares that should provoke the dilution. The Company has only one category of potential common shares that would provoke the dilution: options of the call option plan
Accumulated for the period 01/01/2012 to 03/31/2012 36,370 310,644 78 310,722 0.11705 01/01/2011 to 12/31/2011 44,583 311,344 441 311,785 0.14299

Income attributable to the Company shareholders Weighted average of the number of outstanding common shares Adjustments per call option Average weighted amount of common shares for the diluted earnings per share Diluted earnings per share R$

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d. Dividends and Interest equity


According to Company articles of incorporation, net income for the period is allocated as follows: 5% to set up legal reserve, limited to 20% of capital; and (ii) 25% of the remaining balance adjusted according to article 202 of Law No. 6404/76, for payment of mandatory dividends. In General Shareholders Meeting held on April 27, 2012, payment of R$40,000 was approved for dividends to the shareholders, observing the percentage related to mandatory dividend stated in the Companys Article of Incorporation, corresponding to 25% of the Net Income for the Year 2011, of which (i) R$10,000 to be distributed to the shareholders as dividends (R$8,413 related to complement of minimum dividend and R$1,857 related to additional dividends proposed), for payment in up to 60 (sixty) days from the date of this Meeting, and (ii) R$30,000 attributed to the referred to mandatory dividend by its net value of R$26,403, distributed as interest on equity, as approved during the Board of Directors Meeting held on September 30,2011, and confirmed on October 3,2011, to be paid to the shareholders in up to 60 (sixty) days from the date of this Meeting, credited to the shareholders on October 3, 2011. The amount booked under the line Dividends and Interests on Equity payable is as follows: Interests on equity (net of income tax withholding) Complement of minimum dividend 26,403 8,143 34,546

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23 Income and social contribution taxes


The reconciliation between the expenses calculated based on the combined tax rates and the income and social contribution tax expenses charged to profit or loss is demonstrated below:
Company 03/31/12 03/31/11 Consolidated 03/31/12 03/31/11

Income before income and social contribution taxes Combined tax rate Income and social contribution taxes: at the combined tax rate Permanent exclusion Equity income Interest on equity Others adjustments Other

41,409 34%

63,912 34%

57,687 34%

68,648 34%

(15,099)

(21,730)

(19,614)

(23,340)

9,389 (408)

5,175 -

(1,921) (8,039)

(2,774) (19,329)

(1,659) (21,273)

(669) (24,009)

Income and social contribution taxes deferred taxes Effective tax rate Equity income

(8,039)

( 5,657) (13,672)

(9,750) (11,523)

(15,078) (8,931)

-18%

-30%

-37%

-35%

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24 General and administrative expenses


Company 03/31/12 03/31/11 28,674 3,399 13,006 6,792 603 2,103 (1,651) 8,175 61,101 Consolidated 03/31/12 48,679 29,818 12,657 1,155 (375) 16 14,978 106,928 03/31/11 39,324 4,579 20,132 8,882 1,498 2,235 1,418 11,952 90,020

Personnel expenses Profit sharing Services and utilities Depreciation and amortization Taxes Sundry provisions (Reversal of) allowance for doubtful accounts General expenses

40,308 21,550 10,465 654 2,202 16 12,105 87,300

25 Financial instruments
The Company, in general, is exposed to the following risks derived from its operations and which can affect, in a higher or lower degree, its strategic and financial objectives. Market risk Liquidity risk Credit risk Operating risk

The Company manages the risks to which it is exposed by defining conservative strategies, aiming at liquidity, profitability, and safety, according to objective criteria for risk diversification. Furthermore, for all risks to which the Company is exposed, monthly preparation of sensitivity test (stress tests) by Treasury is mandatory at rates of 50 and 100% variation related to the originals, in order to valuate the elasticity of these positions when submitted to large rates variations involved in these transactions and its impact in results and in cash position of the Company. This note shows information on the exposure of the Company to each of the abovementioned risks, the objectives of the Company, policies and procedures for risk measurement and management and the management of the Company capital. Risk management structure Aligned to current regulation and to corporate policies of the Company, the system is based on the integrated management of each business process and on the adjustment in risk level to the strategic objectives established. The risk management process is backed by a corporate management structure that covers from the Senior Management, institutional committees such as the auditing committee which is responsible, among others, for the effectiveness and Page 70 of 95

integrity supervision of the internal control process and risk management, up to the different areas of the Company by identifying, treating and monitoring those risks The Company has an environment of internal controls designed to support the nature, risk and complexity of its operations, based on policies and procedures formalized and disclosed to the whole organization, as well as dedicated areas and specific tools for risk monitoring. All risks inherent in the activities in an integrated way are managed within a process supported by the structures of Internal Controls and Compliance (when related to rules and internal policies) which enables the continuous development of risk management models and minimizes the existence of gaps which could compromise the correct identification and measurement of risks. From the identification, evaluation and monitoring of the main risks, plans for specific actions are prepares, which ensures that developments will be implemented. To generate a control environment that copes with the importance of the business, the Company invests in the strengthening of internal communication, disseminating the concept of risk management among employees. Management of corporate risks is supported by statistics tools such as liabilities adjustment tests, sensitivity analysis, capital sufficiency indicator, among others. To these tools, the qualitative share of risk management is added, resulting in self-evaluation of risks, quality evaluation and tests conducted by the internal audit to evaluate the effectiveness of the internal control system, as well as the quality of performance in accomplishing the attributions and responsibilities. Historically, the financial instruments executed by the Company have shown results adequate to the mitigation of risks. Additionally, the Company does not run transactions involving exotic or speculative derivatives.
Market risks

Those are risks related to assets and liabilities to which cash flows or current values are exposed: a) Currency risk: Risk of exchange gain or loss. The main tool to control risk related to the exchange rate will be the daily position of the treasury, which will be based on reports provided by BM&F Bovespa and other sources (for example, Central Bank of Brazil) for the control of Exchange rate variations involved in our operations. b) Interest rates market risk: Risk of interest rates fluctuation that will incur in increase in expenses and decrease in financial income. Fixed interest maintained up to the due date, enable the assurance of cash flow. Fixed interest brings volatility to the future disbursement of interests. As in the exchange rate risk, the main tool to control risk related to the exchange rate will be the daily position of the treasury, which will be based on reports provided by BM&F Bovespa for the control of interests rates involved in our operations.

Main market risks for the Company are the any fluctuations in interest and exchange rates. For this reason, the Company and its subsidiaries aim at hedging against liquidity risks through financial instruments such as short-term investments, raising of loans for working capital, raising of funds by issue of debentures, all within normal market conditions, besides swap of dollar index for CDI. Page 71 of 95

The Company adopts practices of market risk management through operational strategies and internal controls established in its Internal Policy for Risk Management of Financial Resources (Policy) aiming to ensure liquidity, profitability and security for its financial instruments exposed to risks. These practices consist on the periodical follow up of conditions contracted by the Company when compared to current conditions in the market. All financial operations are submitted to the Companys Executive Committee and further validated by the Board of Directors and/or their auxiliary advisory body. In case of exchange and interest exposure, the guidelines are defined by the Board of Directors and operated by the Treasury department, as they depend upon variable components of the economic scenario. Monthly, the Treasury delivers to the Board an updated position of the Company exposure to market risks, through reports, documents, agreements to verify their compliance to the Policy

Liquidity risk Liquidity risk is the risk of occurrence of a non-predictable event or a miscalculation of the liquidity requirement, which will impact the investment decisions or the Companys daily activities. The Company manages its liquidity risk maintaining reserves, bank credit lines and credit lines for raising necessary loans, by continuously monitoring forecast and actual cash flow and by combining the maturity profile of financial assets and liabilities, following the guidelines below: a) Short-term cash management Management of net assets and lines of credit to cover immediate demands. Periodicity: DailyTermD+1 (in working days); b) Long-term cash management Continuous process to ensure long-term resources, by analyzing the cash budget on a monthly basis, updating the budgeted assumptions according to the business needs, and by comparing actual x budget. Periodicity: Monthly. Term 5th working day of the month, subsequent to the report base date; c) Maintenance of a minimum cash Refers to the cash balance which the Company replaces within a very short term to provide for its urgent needs. Besides, a criterion is adopted where the cash must have sufficient resources to cover the five main daily flows of the month, without considering receipts; d) Exposure limits and risk mitigation The Treasury area maintains in short-term lines between the cash investments with immediate liquidity and working capital lines, a volume sufficient to ensure at least the volume equal to the five consecutive days with the highest cash disbursement of the last 12 months. For the medium and long term, Treasury area shall maintain the credit lines compatible to the Companys strategic planning, always with the objective of ensuring the availability of resources, informed by the Management Committee.

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The table below shows in details the maturity of contracted financial liabilities.
Consolidated Operation Up to 1 year
1,940 68,200 194,780 33,383 12,232 310,535

Up to 2 years
924 19,156 231,410 11,872 263,362

From 3 to 5 years
989 23,486 465,201 28,405 518,081

Above 5 years
10 52,841 23,122 75,973

Total

Derivatives Trade accounts payable Bank loans and financing Debentures Payables for subsidiary acquisition

3,863 68,200 290,263 729,994 75,631 1,167,951

Credit risk It is the risk of loss resulting from the incapacity of the counterpart to accomplish its contractual liabilities to pay the Company, as assumed by contract . The main risk mitigation shall be the process of credit analysis, and the risk measurement in the long-term shall be mainly based on the determination of the allowance for doubtful accounts.

The Company and its subsidiaries are subordinated to the credit policy set by its management and aim to minimize any problems deriving from non-payment due to cancellations from HMO Still. The Company has an allowance for doubtful accounts due to cancellations, non-payment and bad checks in the Company in the amount of R$ 89,054 (R$ 86,373 at December 31, 2011) representing 22.73% (23.46% at December 31, 2011) from the balance of payables to cover credit risk, and in the Consolidated R$ 102,747 (R$ 103,869 at December 31, 2011) representing 21.61% (23.76% at December 31, 2011) from the balance of receivables to cover the credit risk. At March 31, 2012 the maximum exposure in the Consolidated statements was R$757,272 (R$843,833 at December 31, 2011) related to cash and cash equivalents and to receivables.
Operational risk Operational risk is the direct or indirect loss risk derived from a variety of causes associated to Company law suits, personnel, technology and infrastructure and external factors, except credit, market and liquidity risks, such as those deriving from legal and regulatory requirements and from usually accepted entrepreneurial behavior standards. Operational risks arise from all Company operations.

The objective of the Company is to manage the operational risk to avoid the financial losses and damage to its reputation and to pursue cost efficiency and avoid control procedures that restrain initiative and creativity.

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The main responsibility to develop and implement controls to treat operational risks is attributed to senior management. The responsibility is supported by the development of the Companys general rules for management of operational risks in the following areas: Requirement for adequate segregation of duties, including the independent authorization of operations; Requirement for reconciliation and monitoring of operations; Compliance with regulatory and legal requirements; Documentation of controls and procedures; Requirements for periodical assessment of operational risks faced and the adequacy of controls and procedures to treat identified risks; Requirements to report operating losses and the corrective actions proposed; Development of contingency plans; Professional training and development; Ethical and business Standards; Risk mitigation, including insurance whenever efficient. The accomplishment of the Company rules is supported by a program of periodical assessment of responsibilities by the Internal Auditing. The results of the Internal Auditing assessments are discussed with the management of the related business unit, with reports sent to the Auditing Committee and to the Company senior management. Capital Management The Company monitors the financial leverage to maintain a capital structure adequate to the operation and to reduce the indebtedness cost. The leverage index used corresponds to the net debt divided by the total equity. The level of financial leverage at March 31st , 2012 and December 31st, 2011 is broken down below:
03/31/2012 12/31/2011 1,238,775 366,345 872,430 2,542,348 0.34316

Consolidated debt Total cash and cash equivalents and short-term investments Net debt Total Capital Index

1,137,611 256,745 880,866 2,578,718 0.34159

The Company can modify its capital structure according to economic-financial, strategic or operating conditions, aiming to improve the debt management. At the same time, the company is aiming to improve its Return on Invested Capital (ROIC), by implementing working capital management and an efficient investment program.

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Financial instruments by category The chart below shows the Groups financial instruments by category. The fair value of the financial instruments shown do not vary significantly from the balances shown in the Company and Consolidated balance sheets.
Company 03/31/2012 Fair value through profit and loss 104,884 104,884 3,863 3,863 366,864 366,864 Loans and Accounts receivable Fair value through profit and loss 203,453 203,453 3,124 3,124 12/31/2011 Loans and Accounts Amortized receivable cost 352,456 352,456 52,748 308,587 709,633 66,110 1,137,078 -

Description
Marketable securities Trade accounts receivable Assets Trade accounts payable Bank loans and financing Debentures Derivatives Accounts payable for acquisition of subsidiaries Liabilities

Amortized cost 47,009 195,811 729,994 61,905 1,034,719

Consolidated 03/31/2012 Fair value through profit and loss 243,991 243,991 3,863 3,863 514,580 514,580 Loans and Accounts receivable Fair value through profit and loss 354,900 354,900 3,124 3,124 12/31/2011 Loans and Accounts Amortized receivable cost 490,019 490,019 76,641 399,520 709,633 79,505 1,265,299

Description
Marketable securities Trade accounts receivable Assets Trade accounts payable Bank loans and financing Debentures Derivatives Accounts payable for acquisition of subsidiaries Liabilities

Amortized cost 68,200 290,263 729,994 75,631 1,164,088

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Fair Value hierarchy The Company only holds financial instruments qualified at level 2, corresponding to financial investments in the amounts of R$243,991 at March 31, 2012 (R$354,900 at December 31, 2011) and derivatives in the amounts of R$3,863 at March 31, 2012 (R$3,124 at December 31, 2011). The different levels were defined as below: Level 1 Prices quoted (not adjusted) in active markets for identical assets and liabilities.

Level 2 Inputs, except quoted prices, included in Level 1, directly (prices) or indirectly (derived from prices) observable for the asset or liability. Level 3 Assumptions, for assets or liabilities, which are not based on observable market data (unobservable inputs).

a.

Market estimate values

The market value estimated for financial instruments was obtained through pricing model, individually applied for each transaction, considering the future payment flows, based on contractual conditions, discounted at current value at rates obtained through the market interest curve, based on information from the BM&FBovespa and ANBIMA sites. Thus, the market value of a security corresponds to its maturity value (redemption value) brought to present value by the discount factor (related to the maturity date) obtained from the market interest curve in reais.

b.

Derivatives

The hedge instruments contracted by the Company are non-deliverable forwards and interest rate swaps without any leverage component, margin call clause, daily or periodic adjustments. Assumptions used for the calculation of Assets and Liabilities are broken down in the chart below: At March 31, 2012 the Company held the following swap operations:

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Financial Instruments - Derivatives payable


Market value (book) Market value net Gain (loss) Cost in mark Currency/ value -to-market index rate Range of maturity Notional Trading market

Company strategy
Derivatives for debts hedge, not assigned at fair value

Index rate asset

Asset

Index rate liability

Liability

Counter part

Swap - Hedge Exchange Rate

Dollar

27,185 27185

78.55% of CDI

(31,049) (31,049)

(3,863) (3,863)

(6,755) (6,755)

2,892 2,892

Dollar

04/2010 to 03/2016 *

15,301

Counter

Banco HSBC

Short term portion in current liabilities Non-current liabilities


* Monthly Maturity

(1,940) (1,923)

The Company recognized gains and losses on derivative instruments. However, since they are hedging derivatives, such gains and losses minimized the impacts arising from exchange rate variation and from the interest rate variation incurred in the respective protected indebtedness. At March 31, 2012 and 2011, the derivative instruments generated the following impacts on the consolidated P&L:

Income (Expenses) Derivatives Risk Account Financial income/ (Financial expenses) Financial income/ (Financial expenses) Financial income/ (Financial expenses) Financial income/ (Financial expenses) 03/31/12 03/31/11

Banco Ita (NDF)(a)

Exchange rate Interest Adjustment Fair Value Exchange rate Merril Lynch (a) Interest Adjustment Fair Value Exchange rate Credit Suisse (a) Interest Adjustment Fair Value Exchange rate Banco HSBC (SWAP) Interest Adjustment Fair Value

( 6,533) ( 2,529) ( 3,711) ( 1,097) (13,870)

( 1,400) ( 1,400)

Sensitivity analysis In accordance with CVM Ruling No. 475/08, the Company carried out the sensitivity analysis for the main risks to which its financial instruments (including derivatives) are exposed and which refer to the risks related to exchange and interest rate variations, as follows:

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Exchange rate variation The market value was calculated on the date of this quarterly information, based on projections of future quotations of the North-American dollar obtained from BM&FBovespa. In accordance with the aforementioned Ruling, the stress percentages defined therein were considered for the scenarios. Based on the existing exposure (notional) and the aforementioned variations, simulations of the effects from the dollar devaluations on the quarterly information, by type of financial instrument, for two distinct scenarios are presented below:

Contract
Swap contract - HSBC

Risk Dollars fall US$

Exposure

Market value 03/31/2012

Depreciation 25%

Depreciation 50%

Asset Position Exchange Variation

15,301 15,301

27,185 27,185

(6,796) (6,796)

(13,593) (13,593)

Interest rate variation The market value was calculated on the date of this quarterly information, based on projections of future quotations for the maturity of principal sum and interest, obtained from BM&FBovespa. In accordance with the aforementioned Ruling, the stress percentages defined therein were considered for the scenarios.

Considering that the scenario for exposure of the financial instruments indexed to variable interest rates at March 31, 2012 is maintained, the effects of an increase in the CDI on the quarterly information, by type of financial instrument, for two distinct scenarios are presented below:
Market value 03/31/2012

Contract Swap Contract - HSBC Liabilities Position Interest

Risk CDI Increase

Exposure

Depreciatio n 25%

Depreciation 50%

15,301 15,301

(31,049) (31,049)

144 144

281 281

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Sensitivity analysis of financial assets and liabilities The main risks linked to the Company operations are related to the CDI variation on the Promissory Notes, Debentures and short-term investments and linked to the dollar exchange rate variation for Senior Notes and short-term investments. Investments with CDI are recorded at market value, according to quotation disclosed by the due financial institutions and the others mainly refer to bank deposit certificates and repurchase commitments, therefore, the recorded value of those securities do not show difference for the market value. Based on expectations stated in the FOCUS/Bacen report, a projection for the next 12 months was obtained, with an average of 9.28% for CDI and R$1.77 for the exchange rate (R$/US$). In order to verify the sensitivity of the index on short-term investments held by the Company at March 31, 2012, 3 different scenarios were defined, based on the projection and, from then on, the variations of 25% and 50% were calculated. For each scenario the gross financial expense/financial income was calculated, not considering the incidence of taxes and the maturity flow of each contract programmed for 2012.
Scenario I Operation Short-term investment Rate subject to variation Balance at 03/31/2012 30,514 Risk Dollar (Probability)
873 1.77

Scenario II
7,629 1.37

Scenario III
15,257 0.91

In order to verify the sensitivity of the index on debts which the Company had at March 31, 2012, 3 different scenarios were defined, based on the projection and, from then on, the variations of 25% and 50% were calculated. For each scenario the gross financial expense/financial income was calculated, not considering the incidence of taxes and the maturity flow of each contract programmed for 2012. For each scenario the gross financial expense was calculated, not considering the incidence of taxes and the maturity flow of each contract programmed for 2012. The base date for the loans was March 31, 2012, projecting index for one year and checking their sensitivity in each scenario.

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Scenario I Operation Balance at 03/31/2012 Risk Probability Scenario II Scenario III

Debentures

734,482

CDI

68,160 9.28%

85,200 11.60%

102,240 13.92%

Promissory Note

155,026

CDI

14,386 9.28%

17,983 11.60% -

21,580 13.92% -

Other

12,142

Fixed

Notes (Senior Notes)

54,342

1,8758 Dollar1,8221

(1,554) 1.77

13,586 2.28

27,171 2.73

(a) Rate subject to variation

26 Insurance coverage
The Companys policy is to contract insurance coverage for assets subject to risks for amounts considered to be sufficient to cover possible claims, considering the nature of its activity. The Company has insurance policies contracted from the main insurance companies in Brazil, which were determined based on advice from experts, and take into consideration the nature and the level of risk involved. The main insurance coverage is against fire (R$ 100,000), loss of profits (R$ 50,000), civil liability (R$ 1,500), civil liability of Officers and Administrators (R$ 100,000), windstorm and smoke (R$ 1,500), and electrical damages (R$ 1,500), for amounts considered sufficient to cover possible losses.

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27 Related party transactions


The Companys articles of incorporation require that any transaction or set of transactions whose value is equal to or above R$1,000,000.00 (one million reais) between the Company and (i) its controlling shareholders, as defined in the New Market Listing Rules, (ii) any individual, including spouses or relatives up to the third degree, or companies that hold, directly or indirectly, the control of the Companys parent company, or (iii) any legal entity in which any of the controlling shareholders, directly or indirectly, including the spouses and relatives up to the third degree, hold investment interests, must be approved in the Board Meeting, by at least 75% of the members attending the meeting. These operations are carried out under specific conditions, negotiated by agreement between both parties. For the periods ended December 31, 2012 and 2011 the Company maintained operations included within its normal operational context with related parties, as shown below:

a.

Operations involving the Company and its subsidiaries

a.1 Total services rendered at March 31, 2012 and 2011 between the Company and its subsidiaries An allowance for doubtful accounts is not recorded for the existing amounts, and no guarantees are given or received for these transactions.

March 31, 2012 Income Cientfica Lab Sergio Franco DASA RE Total

Parent DASA

()
Cost of services provided Parent DASA CientficaLab CERPE Previlab Cytolab Check Up 521 215 10 18 764

()
15 56 71

()
4,040 858 26 4,924

()
448 448 4,503 1,379 271 10 18 26 6,207

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March 31, 2011 Income Parent DASA CientficaLab DASA RE Total

()
Cost of services provided Parent DASA CientficaLab 2,388 2,388

()
156 156

()
276 276 432 2,388 2,820

( ) amount related to property leases. ( ) amount related to clinical analysis services rendered. ( 3 ) amount related to financial transaction.

a.2 - Balances for accounts receivable and loans of materials available at March 31, 2012 and December 31, 2011 between the company and respective subsidiaries An allowance for doubtful accounts is not recorded for the existing amounts and no guarantees are given or received for these transactions.
March 31, 2012 Suppliers Cientfica DASA RE Lab

Parent DASA Trade accounts receivable Parent DASA CientficaLab CERPE Cytolab Previlab Sergio Franco Check Up

Sergio Franco

Total

642 201 130 5 978

183 183

14 56 29 99

3,790 539 11 4,340

3,987 1,181 257 130 5 29 11 5,600

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December 31, 2011 Suppliers Parent DASA Trade accounts receivable Parent DASA CientficaLab CERPE Cytolab Previlab Sergio Franco Cientfica Lab

DASA RE

Total

452 255 365 13 1,085

177 177

15 50 29 94

192 452 305 365 13 29 1,356

a.3 - Balances for advances for future capital increase and intercompany loans at March 31, 2012 and December 31, 2011 between the company and its subsidiaries.
03/31/2012 Advances for future capital increase CientficaLab Produtos Laboratoriais e Sistemas Ltda. DA Participaes Ltda. DASA Brasil Participaes Ltda. CDPI - Clnica de Diagnstico por Imagem Ltda. Pro Echo Cardiodata Serv.Medicos Ltda. Cytolab- Laboratrio A. Clnicas Ltda 12/31/2011

11,500 21,149 9,350 1,840 1,705 45,544

11,500 21,058 9,350 1,840 1,600 45,348 2,959 48,307

Other (a)

3 45,547

(a) This substantially refers to the contract with Dasa Brasil Participaes Ltda at a rate of CDI plus 1.6% p.a.

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b. Compensation of key management personnel The total compensation of key management people, including the fixed compensation and bonus in the 1Q12, was R$765 (R$253 in the 1Q11) for the members of the Board, and R$4,443 (2,397 in the 1Q11) for the statutory directors and inside directors. The share based compensation is disclosed in Note 29. No additional benefits are paid to the Companys key management. c. Associations Instituto de Ensino e Pesquisa DASA (DASA Research and Training Institute). During the General Meeting held on June 1, 2010, the constitution of a non-commercial association was approved, denominated Instituto de Ensino e Pesquisa DASA, with the founder members being the Company and its subsidiary Cientificalab. The association will have the following business purpose: I to promote and execute, in the health area, educational, scientific and applied research and technological development activities; II to develop and implement environment protection and preservation programs. The Institute has not yet started to operate.

d. Liabilities assumed from the acquisition of Instituto de Endocrinologia e Medicina Nuclear do Recife Ltda (CERPE)
According to the agreement to acquire CERPE by the parent company DA Participaes Ltda and the shareholders agreement executed on the closing date, November 19, 2010, the payment of a minimum dividend of R$ 24,321 was guaranteed. This amount has been deposited in a fixed income fund, as stated in Explanatory Note 20 and recognized in the acquisition balance sheet at October 31, 2010.

e. The balance of the contract between the subsidiaries at December 31, 2011. These balances are not shown in the financial statements as they do not involve the Company and are eliminated in the consolidated statements;
Lender
Pro Echo Pro Echo Pro Echo Pro Echo Pro Echo

Borrower
Srgio Franco CDPI Check-Up Previlab Cytolab

Value
31,921 7,634 1,697 4,055 123 45,430

Rate
100% CDI 100% CDI CDI + 1.6% p.a. CDI + 1.6% p.a. 100% CDI

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28 Leases
Local currency leases The Company has lease contracts for assets registered to permanent assets, with purchase options, for which the balance payable until 2015 amounts to R$ 35,489, consolidated,, and of this amount, R$ 13,692 is classified to current liabilities and R$ 21,797 to non-current liabilities. The average term of the contracts is 36 months and they bear interest rates varying from CDI + 1.18 % p.a. to CDI + 2.10 % p.a. The minimum future payments registered to loans and financings, see Explanatory Note 16, are segregated as follows:
03/31/2012 Company Consolidated Present value of minimum lease payments
13,692 21,797 35,489

Present value of minimum lease payments Up to one year One to five years
4,156 6,677 10,833

Future minimum lease payments Interest


171 276 447 4,327 6,953 11,280

Interest
565 900 1,465

Future minimum lease payments


14,257 22,697 36,954

12/31/2011 Company Present value of minimum lease payments Up to one year One to five years
4,089 7,491 11,580

Consolidated Present value of minimum lease payments


11,814 18,677 30,491

Interest
169 309 478

Future minimum lease payments


4,258 7,800 12,058

Interest
488 761 1,249

Future minimum lease payments


12,302 19,438 31,740

The assets stated below are included in the fixed assets of the Company and its subsidiaries.

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Net book values of the assets acquired through domestic finance leases:
Company Consolidated

03/31/12
Machinery and equipment Furniture and fixtures Vehicles IT equipment Construction in progress Facilities IT system

12/31/11 8,760 57 15 1,380 79 4 10,295

03/31/12 23,045 76 72 1,610 77 44 24,924

12/31/11 23,830 79 84 1,761 79 49 25,882

8,460 55 11 1,258 77 3 9,864

Foreign lease The Company has leased equipment used to provide services, in accordance with the lease agreements with purchase options. The payment term is 84 months, and a grace period of six months was granted for the first installment payment, and the remaining installments are to be paid on a quarterly and semi-annual basis. The quarterly and semi-annual installments fixed in U.S. dollars are translated into reais at the dollar market exchange rate quotation ruling on the payment date, plus interest which varies from 7.20% per annum to 9.00% per annum, which amount to a balance payable by 2016 of R$ 29,903, of which R$ 15,388 is classified to current liabilities and R$ 14,515 to non-current liabilities. Minimum future lease payments are segregated as follows:
03/31/2012 Company Present value of minimum lease payments Up to one year One to five years
12,743 12,565 25,308

Consolidated Future minimum lease payments


13,598 13,407 27,005

Interest
855 842 1,697

Present value of minimum lease payments


15,388 14,515 29,903

Interest
1,031 973 2,004

Future minimum lease payments


16,419 15,488 31,907

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12/31/2011 Company Present value of minimum lease payments Up to one year One to five years
12,876 16,982 29,858

Consolidated Future minimum lease payments


13,745 18,128 31,873

Interest
869 1,146 2,015

Present value of minimum lease payments


15,349 19,561 34,910

Interest
1,036 1,316 2,352

Future minimum lease payments


16,385 20,877 37,262

The international finance lease contracts are included in fixed assets as machinery and equipment, R$ 62,748 (R$ 65,806 at December 31, 2011) in the company and R$ 84,532 (R$ 88,615 at December 31, 2011) consolidated.

29 Share based payments


In the Board of Directors Meeting held on December 7, 2010, the Board approved the new Share Purchase Option Plan for the Companys managers and employees (New Plan). On December 16, 2010 a Board Meeting was held, establishing the main guidelines for the New Plan proposed, in the event it is approved by the Extraordinary General Meeting. In the Extraordinary General Meeting held on January 5, 2011, among other matters, the Companys New Plan was approved by the shareholders, and on the same day a Meeting of the Board of Directors was held, which approved the granting of options based on the New Plan and the First Program of Grant of Stock which, among other matters, elected the beneficiaries. The Minutes of the Board of Directors and the General Meetings, which approved the New Plan, are available in the Securities and Exchange Committee (CVM) and the Companys sites. In the Board meeting held on May 09, 2011, the election of the new beneficiaries of the New Plan was approved, and according to the terms and conditions established in the First Board Program it was authorized to timely execute the respective contracts of share options granting with each of the beneficiaries. Upon the accomplishment of conditions stated in the plan, each Beneficiary shall receive Options for the acquisition or subscription of Company registered common shares with no par value, in a number related to the percentage of up to 200% (two hundred percent) of Own Shares, where the individual percentage for each Beneficiary shall be defined by the Board and shall be informed in the Option Agreement. Besides the value invested by the Beneficiary for the acquisition of Own Shares, no other consideration in money shall be required from the Beneficiary for the exercise of Options, and Page 87 of 95

the referred price is substantiated on the obligation of the Beneficiary to acquire and keep the Own Shares under their own name for the period of 3 (three) years after the acquisition. The Options shall only be fully or partially exercised by the beneficiaries after 3 (three) years from the date of the execution of the Option Agreement (Vesting Period). After the Vesting Period, the Beneficiary may fully or partially use their Options by communicating in writing to the Company, within 30 (thirty days) after the end of the Vesting Period, using the template stated in the Option Agreement, complying with the requirements, dates, specific terms established by the Board of Directors. In May 2011, the Board executed Option Agreements for the acquisition of shares with the beneficiaries of the plan. The number of shares initially granted was of 305,972 ON shares, currently 273,014 ON shares granted considering the contracts canceled up to March 31, 2012, with Vesting Period up to May 2014. The March 31, 2012 balance registered under Other Payables, in non-current liabilities, is R$1,099, equivalent to 78,415 ON shares, corresponding to the total number of shares granted, proportional to the period incurred in the contracts executed.
Shares ON Balance at December 31, 2011 Cancellations Additions Balance at March 31, 2012 60,971 (6,742) 24,186 78,415 R$ 945 (105) 259 1,099

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30 Net revenue
The reconciliation between gross revenue for tax purposes and the revenue presented in P&L for the year is presented below:
Company 03/31/12 Gross revenue Deductions: Sales taxes Discounts 435,253 03/31/11 394,850 Consolidated 03/31/12 609,544 03/31/11 552,149

(25,624) (16,806) 392,823

(22,610) (7,457) 364,783

(36,136) (19,241) 554,167

(31,701) (10,307) 510,141

31 Financial income (expenses)


Company 03/31/12 Financial expenses Interest Monetary and exchange variation losses Other (28,566) (6,647) (7,002) (42,215) Financial income Interest Monetary and exchange variation gains Other 03/31/11 (35,525) (10,251) ( 4,648) (50,424) Consolidated 03/31/12 (33,890) (7,250) (7,822) (48,962) 03/31/11 (40,337) (10,269) ( 4,942) (55,548)

3,254 6,901 10,155 (32,060)

7,372 7,582 61 15,015 (35,409)

8,011 8,384 132 16,527 (32,435)

10,300 7,597 1,555 19,452 (36,096)

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32 Subsequent event
Share-based payment In the Board of Directors meeting held on April 24, 2012, the Second Program for the Granting of Company Options was approved, under the Share Purchase Option Plan approved in the Extraordinary General Meeting of the Company held on January 5, 2011. After observance of the terms and conditions established in the Second Program, the Board authorized to execute, in due time, the related agreements for the granting of options to the elected beneficiaries, as stated in the referred to program.

* * * *

Romeu Crtes Domingues


Chief Executive Officer

Paulo Bokel Catta-Preta


Chief Investor Relations Officer

Carlos Elder Maciel de Aquino


Chief Financial Officer Interim

Daniel Vendramini da Silva


TC-CRC 1SP125812/O-1

Page 90 of 95

Shareholding structure
(Information not reviewed by the independent auditors)

Shares ON Shareholders (Unit)

At March 31, 2012 % Total of Shares (Unit)

Board of Directors Executive Board Treasury stock Other shareholders Total Shares

7,471,357 41,629 1,159,035 303,130,994 311,803,015

2.40% 0.01% 0.37% 97.22% 100.00%

7,471,357 41,629 1,159,035 303,130,994 311,803,015

2.40% 0.01% 0.37% 97.22% 100.00%

At March 31, 2012, the Company did not have an Audit Committee.

Shares ON Shareholders (Unit)

At March 31, 2011 % Total of Shares (Unit)

Board of Directors Executive Board Treasury stock Other shareholders Total Shares

97,044 7,453,285 459,035 303,793,651 311,803,015

0.03% 2.39% 0.15% 97.43% 100,00%

97,044 7,453,285 459,035 303,793,651 311,803,015

0.03% 2.39% 0.15% 97.43% 100,00%

At March 31, 2011, the Company did not have an Audit Committee. Commitment clause: The company is committed to arbitration by the Market Arbitration Chamber, in accordance with the commitment clause included in the Companys articles of incorporation.

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Review report on quarterly information form The Shareholders, Board of Directors and Officers Diagnsticos da America S.A So Paulo - SP Introduction We have reviewed the accompanying individual and consolidated interim financial information contained in the Quarterly Information Form (ITR) of Diagnsticos da America S.A. (Company) and subsidiaries for the quarter ended March 31, 2012, comprising the balance sheet and the related statements of income, comprehensive income, changes in equity and cash flows for the quarter then ended, including a summary of significant accounting practices and other explanatory notes. Management is responsible for the preparation of the individual interim financial information in accordance with CPC 21 Interim Financial Reporting, issued by Brazilian Financial Accounting Standards Board (CPC) and of the consolidated interim financial information in accordance with CPC 21 and IAS 34 Interim Financial Reporting, issued by the International Accounting Standards Board (IASB), as well as for the fair presentation of this information in conformity with specific rules issued by the Brazilian Securities and Exchange Commission (CVM) applicable to the preparation of quarterly information (ITR). Our responsibility is to express a conclusion on this interim financial information based on our review. Scope of review We conducted our review in accordance with Brazilian and International Standards on Review Engagements (NBC TR 2410 - Review of Interim Financial Information Performed by the Independent Auditor of the Entity, and ISRE 2410 - Review of Interim Financial Information Performed by the Independent Auditor of the Entity, respectively). A review of interim financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion on these interim financial statements. Conclusion on the individual interim financial information Based on our review, nothing has come to our attention that causes us to believe that the accompanying individual and consolidated interim financial information included in the quarterly information referred to above was not fairly prepared, in all material respects, in accordance with CPC 21 applicable to the preparation of quarterly information (ITR), consistently with the rules issued by the Brazilian Securities and Exchange Commission.

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Conclusion on the consolidated interim financial information Based on our review, nothing has come to our attention that causes us to believe that the accompanying consolidated interim financial information included in the quarterly information referred to above is not fairly presented, in all material respects, in accordance with CPC 21 and IAS 34 applicable to the preparation of quarterly information (ITR), consistently with the rules issued by the Brazilian Securities and Exchange Commission Other matters Statements of value added We have also reviewed the individual and consolidated interim statement of value added (SVA) for the quarter ended March 31, 2012, whose presentation in the interim financial information is required by rules issued by the Brazilian Securities and Exchange Commission (CVM), and as supplementary information by IFRS, which do not require SVA presentation. These statements have been subjected to the same review procedures previously described and, based on our review, nothing has come to our attention that causes us to believe that they are not prepared, in all material respects, in relation to the overall accompanying interim individual and consolidated financial information. Review of individual and consolidated interim financial statements for the quarter ended March 31, 2011, and audit of individual and consolidated financial statements for the year ended December 31, 2011 Individual and consolidated accounting information contained in the quarterly information relating to: i) the balance sheet as of December 31, 2011; ii) the statements of income, changes in equity, cash flows and value added for the quarter ended March 31, 2011, and iii) other amounts and information included in Notes for these periods, stated for comparison purposes, were respectively audited and reviewed by another independent auditor, who issued an unmodified audit report dated March 26, 2012, and review report dated May 4, 2011.

So Paulo, May 14, 2012 ERNST & YOUNG TERCO Auditores Independentes S.S. CRC-2SP015199/O-6

Antonio Carlos Fioravante Accountant CRC1SP184.973/O-0

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Representation of the Executive Board on Quarterly Information


Observing the provision of article 25 of Ruling No. 480/09 of December 7, 2009, the Board represents that it has reviewed, discussed and agreed with the Quarterly information (Company and Consolidated) for the three month period ended March 31, 2012.

Barueri, May 14, 2012 Chief Executive Officer Romeu Crtes Domingues Chief Investor Relations Officer Paulo Bokel Catta-Preta Chief Financial Officer Interim Carlos Elder Maciel de Aquino

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Representation of the Executive Board on the Independent Auditors Review Report on quarterly information
Observing the provision of article 25 of Ruling No. 480/09 of December 7, 2009, the Board represents that it has reviewed, discussed and agreed with the opinion expressed in the Independent Auditors review report dated May 14, 2012, related to the Quarterly information (Company and Consolidated) for the three month period ended March 31, 2012.

Barueri, May 14, 2012 Chief Executive Officer Romeu Crtes Domingues Chief Investor Relations Officer Paulo Bokel Catta-Preta Chief Financial Officer Interim Carlos Elder Maciel de Aquino

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