Earnings Release and Supplementary Financial Information
Investor Relations
Armando d’Almeida Neto CFO and IRO

Rodrigo Krause dos Santos Rocha Superintendent of IR
Leonardo Oliveira Senior IR Analyst Franco Carrion IR Analyst Hans Melchers Planning Manager

ri@multiplan.com.br Tel: +55 21 3031-5224 Fax: +55 21 3031-5322

Conference Call
English March 10, 2010 12:30 pm (Brasília) 10:30 am (US EST) Tel.: +1 (800) 860-2442 (US) Tel.: +1 (412) 858-4600 (non US) Code: Multiplan Replay: + 1 (877) 344-7529 Code: 438359#
Portuguese March 10, 2010 11:00 am (Brasília) 09:00 am (US EST) Tel.: +55 (11) 4003-9004 Code: Multiplan Replay: +55 (11) 4003-9004 Code: Multiplan


Rio de Janeiro, March 9 , 2010 – Multiplan Empreendimentos Imobiliários S.A. (Bovespa: MULT3), announces its results for the fourth quarter and fiscal year of 2009. The following financial and operating data, except where otherwise stated, are consolidated and expressed in Brazilian Reais (R$), in accordance with the generally accepted accounting principles in Brazil. Variation 4Q09/4Q08 Adjusted FFO
▲40.4% NOI ▲28.0%

Variation 2009/2008
EBITDA ▲17.5%

Rental Revenue

Shopping Centers Sales ▲22.6%

Adjusted FFO

NOI ▲26.8%

Rental Revenue

Shopping Centers Sales ▲20.5%

EBITDA ▲21.2%

Multiplannull shopping centers‟ Sales reached R$2.0 billion in 4Q09, 22.6% higher than in 4Q08. In 2009, sales
null null null null

Dividends to be submitted to Shareholders‟ Meeting add to R$ 60.9 million, equivalent to 37.6% of the net income of 2009, after legal reserves deduction. Adjusted FFO was up 40.4% in the quarter, and 17.7% for the full year, reaching R$283.2 million in 2009. NOI for 4Q09 was R$125.4 million, 28.0% higher than in 4Q08. In 2009 it increased 26.8%, up to R$359.1 million, and should benefit from the new shopping center expansions openings in 2010. EBITDA increased 17.5% (4Q09/4Q08) and 21.2% (2009/2008), reaching the mark of R$303.7 million. This ratio was boosted by increases in all components of gross revenue, especially rental and parking revenues, with 24.0% and 41.2% increases in 2009, respectively. Follow On impact: Multiplan continues to hold a significant positive net cash position ratio (Net

increased by 20.5%, reaching R$6.1 billion. Same Store Sales increased 10.6% in 4Q09, while Same Area Sales went up 12.9%. Rental Revenue increased 26.2% in 4Q09 over 4Q08, or 24.0% in 2009, adding R$366.2 million to Multiplan‟s gross revenue.
null null

DESTA Same Store Rent was up by 6.5% in 4Q09, while Same QUES Area Rent grew 7.0%. Both ratios were above consumer FINANCEIR inflation measured by the IPCA index, which increased OS 4.2% (4Q09/4Q08).

Net Income reached R$171.5 million, representing an increase of 121.5% in 2009 over 2008. In the fourth quarter of the year, net income registered R$32.9 million, a decrease of 16.0% over 4Q08. Adjusted Net Income increased 41.6% in 4Q09, reaching R$83.4 million. In 2009 it was R$243.5 million, up 16.4% when compared to the previous year.

Debt/EBITDA = -1.2x). Free float went from 24.9% up to 36.4%, and stock from liquidity R$2.3 increased to R$14.6 QoQ.



Projects under development and recent events: • Three new Greenfield projects were announced: ParkShoppingSãoCaetano (SP), JundiaíShopping (SP) and VillageMall (RJ). Multiplan has a 100% interest in all three, and will increase its own GLA by 99,960 m² (or rd 29% of current own GLA). All three shopping centers are expected to bring a combined 3 year NOI of R$118.8 million. The company has another mall under development (ShoppingMaceió) and two expansions under construction (in BH Shopping and ParkShoppingBarigüi). • Shopping Vila Olímpia, in São Paulo, was inaugurated in November, Multiplan‟s 13 owned and managed shopping center. With 28,091 m², generated sales of R$29.2 million and R$3.2 million (MPH interest), of rental revenue in 37 days of operation. The third expansion delivered during 2009. • ParkShopping Frontal Expansion, opened in October, adding 8,476 m², with 78 new stores and a new deck parking with 2,100 parking spaces.



Financial (MTE %) (R$ '000) Gross Revenue Net Revenue Headquarters Rental Revenue Rental Revenue/m² Rental Revenue USD/sq. foot EBITDA EBITDA Margin Core EBITDA Core EBITDA Margin Net Operating Income (NOI) Net Operating Income/m² Net Operating Income USD/sq. foot Net Operating Income Margin Adjusted Net Income Adjusted FFO Adjusted FFO/m² 4Q09 187,264 171,114 25,946 123,533 374 R$/m² 19.9 US$/sqf 94,198 55.0% 103,362 70.7% 125,438 380 R$/m² 20.3 US$/sqf 88.8% 83,407 93,730 284 R$/m² 4Q08 138,129 125,134 19,791 97,923 318 R$/m² 12.6 US$/sqf 80,163 64.1% 94,561 74.7% 97,968 318 R$/m² 12.6 US$/sqf 89.1% 58,922 66,768 217 R$/m² Chg. % ▲35.6% ▲36.7% ▲31.1% ▲26.2% ▲17.6% ▲57.8% ▲17.5% ▼901 b.p ▲9.3% ▼397 b.p ▲28.0% ▲19.4% ▲60.2% ▼32 b.p ▲41.6% ▲40.4% ▲30.9% 2009 574,739 523,105 88,182 366,180 1,173 R$/m² 62.6 US$/sqf 303,721 58.1% 327,216 68.1% 359,127 1,150 R$/m² 61.4 US$/sqf 85.3% 243,525 283,160 907 R$/m² 2008 452,914 411,231 79,121 295,252 1,128 R$/m² 44.8 US$/sqf 250,620 60.9% 282,823 68.5% 283,126 1,081 R$/m² 43.0 US$/sqf 85.1% 209,185 240,599 919 R$/m² Chg. % ▲26.9% ▲27.2% ▲11.5% ▲24.0% ▲4.0% ▲39.6% ▲21.2% ▼288 b.p ▲15.7% ▼44 b.p ▲26.8% ▲6.4% ▲42.7% ▲21 b.p ▲16.4% ▲17.7% ▼1.3%


Market Performance Number of shares Common shares Preferred shares Avg. share price Final share price Average daily traded volume Dolar (USD) end Market Cap Gross Debt Cash Net Debt EPS NOI per Share P/AFFO(12M) EV/EBITDA(12M) Net Debt/EBITDA(12M)

4Q09 177,699 165,841 11,858 R$ 30.22 R$ 32.45 14,614 $1.74 5,766,347 461,684 827,967 (366,283) R$ 0.96 R$ 2.02 20.36x 17.78x (1.21)x

4Q08 147,799 119,801 27,999 R$ 12.71 R$ 12.31 2,276 $2.34 1,819,411 371,542 167,585 203,957 R$ 0.52 R$ 1.92 7.56x 8.07x 0.81x

Chg. % ▲20.2% ▲38.4% ▼57.6% ▲137.7% ▲163.6% ▲542.2% ▼25.5% ▲216.9% ▲24.3% ▲394.1% ▼279.6% ▲84.2% ▲5.5% ▲169.3% ▲120.2% ▼248.2%

2009 177,699 165,841 11,858 R$ 21.59 R$ 32.45 12,544 $1.74 5,766,347 461,684 827,967 (366,283) R$ 0.96 R$ 2.02 20.36x 17.78x (1.21)x

2008 147,799 119,801 27,999 R$ 17.11 R$ 12.31 2,534 $2.34 1,819,411 371,542 167,585 203,957 R$ 0.52 R$ 1.92 7.56x 8.07x 0.81x

Chg. % ▲20.2% ▲38.4% ▼57.6% ▲26.2% ▲163.6% ▲394.9% ▼25.5% ▲216.9% ▲24.3% ▲394.1% ▼279.6% ▲84.2% ▲5.5% ▲169.3% ▲120.2% ▼248.2%

Operational (100%) Final Total GLA Final Own GLA Adjusted Total GLA (avg.) ¹ Adjusted Own GLA (avg.) ¹ Total Sales Total Sales/m² Total Sales USD/sq. foot Same Store Sales/m² Same Area Sales/m² Same Store Rent/m² Same Area Rent/m² Occupancy Costs ² Rent as Sales % Others as Sales % Turnover ² Occupancy Rate ² Delinquency (29 days delay) Rent Loss

4Q09 533,741 m² 347,985 m² 494,769 m² 330,490 m² 2,023,848 4,090 R$/m² 218.3 US$/sqf 4,310 R$/m² 4,715 R$/m² 321 R$/m² 361 R$/m² 12.0% 7.8% 4.2% 1.4% 99.1% 0.6% 1.5%

4Q08 484,373 m² 330,308 m² 460,410 m² 308,096 m² 1,650,592 3,585 R$/m² 142.5 US$/sqf 3,895 R$/m² 4,178 R$/m² 302 R$/m² 338 R$/m² 12.5% 8.2% 4.4% 2.5% 98.1% 3.7% 0.6%

Chg. % ▲10.2% ▲5.4% ▲7.5% ▲7.3% ▲22.6% ▲14.1% ▲53.1% ▲10.6% ▲12.9% ▲6.5% ▲7.0% ▼54 b.p ▼39 b.p ▼15 b.p ▼102 b.p ▲98 b.p ▼317 b.p ▲91 b.p

2009 533,741 m² 347,985 m² 482,201 m² 312,287 m² 6,109,019 12,669 R$/m² 676.0 US$/sqf 14,065 R$/m² 14,260 R$/m² 1,088 R$/m² 1,152 R$/m² 14.5% 8.1% 6.4% 6.2% 98.7% 2.7% 0.9%

2008 484,373 m² 330,308 m² 407,503 m² 261,845 m² 5,071,404 12,445 R$/m² 494.7 US$/sqf 13,119 R$/m² 13,049 R$/m² 995 R$/m² 1,051 R$/m² 13.1% 8.1% 5.0% 5.3% 98.2% 3.6% 0.9%

Chg. % ▲10.2% ▲5.4% ▲18.3% ▲19.3% ▲20.5% ▲1.8% ▲36.6% ▲7.2% ▲9.3% ▲9.4% ▲9.7% ▲143 b.p ▲05 b.p ▲139 b.p ▲91 b.p ▲57 b.p ▼94 b.p ▲02 b.p

¹Adjusted GLA is the average GLA of the period excluding 14 thousand m² of BIG supermarket at BarraShoppingSul. ² Occupancy rate does not include Shopping Vila Olímpia, Shopping SantaÚrsula and BarraShoppingSul.



Dear Investors, The year of 2009 started with uncertainties and lack of confidence and ended in a memorable way for our company: we invested R$ 380 million in new projects and added 49 thousand m² in new Gross Leasable Area to our portfolio; we increased our capital stock with a follow on in September and our shopping centers ended the year with an all new all high sales record of R$ 6.1 billion, of which over R$ 1 billion in December alone. The consequence of these efforts was an important increase in our last year´s financial indicators: net income DESTAQUES was R$ 171.5 million, 121.5% greater than that of 2008; EBITDA reached R$ 303.7 million, an increment of FINANCEIROS 21.2%. Gross revenues were R$ 574.7 million and represent an increase of 26.9% over 2008. Net Operating Income (NOI) was R$ 359.1 million, 26.8% greater than in the previous year. The performance of our shopping centers tenants also deserves to be highlighted: total sales increased by 20.5% in 2009 over 2008. Sales for the shopping center sector increased by 18.3% in the period according to ABRASCE (Brazilian Shopping Center Association - Associação Brasileira de Shopping Centers). Retail sales in general went up 5.9% according to the IBGE. If we look only to the fourth quarter of last year, sales in our shopping centers reached the mark of R$ 2 billion, 22.6% more than in the same period in 2008. The year ended with the delivery of three expansions - Shopping Anália Franco, SP; RibeirãoShopping, SP and ParkShopping, Brasília. We also delivered a new shopping center: Shopping Vila Olímpia, in São Paulo, and there is more: a deck parking at ParkShopping, in Brasília, with 2,100 parking spaces. With the economic growth resumption in the second quarter of 2009, the company accelerated its expansion plans and announced a new development, ParkShoppingSãoCaetano, in the metropolitan area of São Paulo. We have two more shopping centers launched recently, JundiaíShopping, in the state of São Paulo, and VillageMall, in Rio de Janeiro, along with other projects that we plan to announce shortly. At the three new shopping centers already announced – ParkShoppingSãoCaetano, JundiaíShopping and VillageMall -, along with ShoppingMaceió, represent a total CAPEX of R$ 932 million and an increase in GLA in the next two years of approximately 135 thousand m² to the company‟s total GLA, currently of 533,741 m2. The expected NOI for the four shopping centers announced adds up to R$ 104 million, and for the third year, about R$ 129 million. If we take into consideration the two expansions under construction - BH Shopping, in Belo Horizonte, and ParkShoppingBarigüi, in Curitiba -, both to be inaugurated in 2010, the company will add another 20 thousand m2 of GLA this year. The company reaffirms its natural inclination towards developing new shopping centers, focused primarily on mixed-use projects in which we combine commercial office space, hotels, and residential buildings all together in the area surrounding the shopping centers. This adds value to our developments by promoting a strong synergy between services and business. We have a solid cash position – in December 2009 our cash availability was of R$ 828 million and our gross debt totaled R$ 462 million. With the added cash generation from our shopping centers and bank financing becoming more attractive, our company is in a solid position to continue to invest. In addition to developing new shopping centers, we continue to look for opportunities in the market for potential acquisitions. We are strong believers in the growth potential of the Brazilian retail sector which gives us additional comfort to speed up the implementation o four projects. Thank you all for your support and confidence in Multiplan. José Isaac Peres CEO and Chairman



Overview Multiplan nullone of the leading shopping center companies in Brazil and develops, owns and manages one of the is largest and highest-quality mall portfolios. With 35 years of experience in the sector, the company is also null strategically active in the residential and commercial real estate development sectors, which generates synergies null for shopping center-related operations by creating mixed-use projects in adjacent areas. On December 31st, null 2009, Multiplan owned (with an average interest of 65.2%) and managed 13 shopping centers, a total GLA of 533,741 m², 3,429 stores, and an estimated annual traffic of 147 million consumers. These characteristics put the null company among the largest shopping center operators in Brazil according to the Brazilian Shopping Centers null Association (ABRASCE). In order to control and exercise its management excellence, Multiplan owns controlling positions null10 out of the 13 shopping centers in its portfolio and currently manages all shopping centers in which in it has an interest.

DESTAQUES Consolidated Financial Statements FINANCEIROS
(R$'000) Rental Revenue Services Key money Parking Real Estate Others Gross Revenue

4Q09 123,533 17,870 7,680 30,771 7,103 307

4Q08 97,923 14,521 4,155 21,016 (0)

Chg. % ▲23.1% ▲84.8% ▲46.4% na

2009 73,372 26,990 95,332 11,869 997

2008 295,252 66,129 21,242 67,509 2,781 (0) 452,914 (41,683) 411,231 (79,121) (1,272) (49,715) (7,331) (29,920) (1,150) 7,003 34,298 (30,754) (31,414)

Chg. % ▲24.0% ▲11.0% ▲27.1% ▲41.2% ▲326.8% na ▲26.9% ▲23.9% ▲27.2% ▲11.5% ▲168.6% ▲24.7% ▲162.9% ▲34.9% ▲642.3% na ▼100.0% ▲5.8% ▲34.6% ▲26.2% ▲164.1% ▲20.8% ▲918.0% na ▲121.5% ▲21.2% ▲26.8% ▲17.7% ▲16.4%

▲26.2% 366,180

513 ▲1,283.5%

187,264 138,129 (16,149) (12,995) 171,114 125,134 (25,946) (19,791) (1,048) (12,214) (13,020) (4,527) (4,575) 19,965 (11,183) (10,323) 259 92,657 (9,627) (50,473) 377 32,934 94,198 125,438 93,730 83,407 (318) (4,322) (8,992) 526 2,311 (8,237) (7,846) 172 35,922 (7,221) 10,764 (248) 39,217 80,163 97,968 66,768 58,922 (15,846) (11,979)

▲35.6% 574,739 ▲24.3% (51,634) ▲36.7% 523,105 ▲31.1% (88,182) ▲229.6% (3,415) ▲32.3% (62,012) ▲182.6% (19,272) ▲44.8% (40,373) (8,539) na (20,031) na ▲763.8% 36,274

Taxes and contributions on sales and services Net revenue Headquarters Stock-option-based remuneration expenses¹ Shopping centers Projects Parking Cost of properties sold Equity pickup Amortization² Financial revenue Financial expenses Depreciation and amortization Other operating income/expenses Income before income and social contribution taxes Income and social contribution taxes Deferred income and social contribution taxes ³ Minority interest Net income EBITDA NOI Adjusted FFO Adjusted Net Income

(267) ▲1,596.8%

0 (30,469)

- (124,708)

▲35.8% (41,388) ▲31.6% (39,635) ▲50.9% 22,440 ▲157.9% 258,973 ▲33.3% (15,458) na (72,077) na 11 ▼16.0% 171,449 ▲17.5% ▲28.0% ▲40.4% ▲41.6% 303,721 359,127 283,160 243,525

897 ▲2,401.3% 98,044 (12,800) (7,081) (766) 77,397 250,620 283,126 240,599 209,185

¹ The full amount of the stock option compensation line for the year 2008 was recorded in 4Q08 figures. In order to compare 4Q09 with 4Q08, the full 2008 expense (R$1.3 million) was equally divided by the four quarters of the year. ² According to Law 11,638/07, starting in 1Q09, goodwill amortizations related to acquisitions will not be accrued in the financial statements. ³ For more information please see page 6, about the new accounting standards of deferred income taxes.


Effect of New Accounting Principles
Brazil is changing accounting regulations, converging to national norms Multiplan endeavors to offer greater transparency and the alignment of expectations, and for this purpose has proactively indicated the effects of changes in Brazilian accounting practices on its financial statements. The objective is to describe some of the most relevant changes implemented in 2009, and to show other factors that may influence our results in years to come. Stock Options On December 31, 2008, in complying with CPC10, the stock options program the company launched has been assessed and accounted for and its effects recorded retroactively to the beginning of the fiscal year in which they were granted and recognized by the company throughout the vesting period. The effects of the initial adoption of this CPC, taking the transition date of January 1, 2008, are recorded retroactively regarding the fiscal year in which the granting took place. It is important to notice that the impact, given that this is a stock option program, the amount of the expense determined at the issuance of the option is not readjusted. In this context, the effect over the results of fiscal years 2008 and 2009 was of R$ 1.3 million and R$ 3.4 million, respectively. To date, the company has granted four option programs and their impact is demonstrated in the chart.

Amortization of Goodwill impact on Deferred Taxes The company has goodwill credits as a result of the acquisition of Multishopping Empreendimentos Imobiliários S.A., Bozano Simonsen Centros Comerciais S.A., Realejo Participações S.A., Brazilian Realty, JPL Empreendimentos Ltda., and Solução Imobiliária Ltda., based on future profits. In line with the new principles, as st of January 1 , 2009, goodwill is no longer accrued in financial reports, but still being recognized as passive deferred taxes over the difference between the fiscal base and the accounting value of the goodwill. The amortization that was not accrued in 2009 totaled R$ 113.7 million, and deferred taxes added up to R$ 38.7 million. Deferred Assets Some expenses with projects that could be capitalized in the deferred assets account now must be accrued as an expense, when incurred. Given the company‟s strategy of developing new shopping centers, real estate developments and expansions in existing malls, Multiplan saw its expenses increase namely with Marketing, Brokerage fees and feasibility studies. With projects being launched, and more to come, these expenses should increase. Straight Line Accounting of Rental Revenues Starting in fiscal year 2009, the company began recording its store rental operations as operational leasing. The minimum rent defined, including periodical fixed increases defined in the contracts and excluding inflation-indexed readjustments, is accrued proportionally to the company‟s interest in each development using the straight line accounting method regardless of the way payment is received. Taking into consideration the big number of stores opened recently, this procedure has led the revenues from rentals to increase by R$6.0 million. The spotlight goes to Shopping BarraShoppingSul which, due to its sheer size and because it is in its first full year of operation, represented more than half this amount, contributing with R$3.6 million.
Deferred Expenses



Def erred Expenses

Project Expenses



Impact of the extinction of deferred assets



Period Contract Straight Line Time Difference Year 1 Year 2 Year 3 Year 4 Year 5 Total 100 100 110 110 120 540 108 108 108 108 108 540 8 8 -2 -2

125 120 Contract Straight line




90 Year 1 Year 2 Year 3 Year 4 Year 5

Example of straight line accrual and Revenues

Other Accounting Practices that may affect Results in 2010 In anticipation of future issues, the company would like to outline some possible accounting practice changes that may affect results in 2010. Real Estate development revenues may be postponed On December 22, 2009, the Brazilian Securities 120% Commission issued Deliberation CVM nº 612 that Before After 100% approved the interpretation given by ICPC 02. This Interpretation concerns, among other issues, the 80% accrual of revenues and corresponding expenses of 60% entities that incorporate or build real estate directly, 40% or through sub-contractors. The company expects that the aforementioned Technical Statement will 20% produce effects on financial reports. This is due to 0% the fact that the company has adopted the Construction Yr 1 Construction Yr 2 Year of conclusion accounting practice of accruing revenues and corresponding expenses based on OCPC 01 and with the dispositions outlined in ICPC 02, the procedures for the accrual of revenues and expenses should change. To the present date, the company accrues results based on the Percentage of Completion (PoC) method. With the implementation of the new instructions, the accrual of results will happen only when the keys are delivered to the buyer. In this way, the results from Cristal Tower, that should peak throughout the construction works, in 2010, will accrue its results only when concluded in 2011. Other company projects will also be affected by this change in accounting method if approved. Revenues and results will have to be postponed. NAV may increase company assets and shareholders` equity substantially On July 31st, 2009, the Brazilian Securities Commission issued Deliberation CVM nº 584, which approved CPC 28. CPC 28 is relative to, among other aspects, the new procedures to be adopted in the accrual, measuring and disclosure of property for investment. The company expects that the aforementioned Technical Statement to produce effects on its financials, given that shopping centers owned by the company are considered property for investment. Under this classification these assets must be valued through their NAV. In 2009, Multiplan announced the appraisal made by a consulting firm specialized in asset valuation. Taking into consideration only the interest the company had in each asset, the firm identified a significant discrepancy between the book value and the fair value of the assets, in which the finding showed that the shopping centers had a much higher value than that stated.




null Shopping center sales in 4Q09 reached R$2.0 billion Multiplan‟snull shopping center sales continued to increase by double digits, growing 22.6% in the 4Q09, compared to the same period of the previous year. Boosted by the inauguration of BarraShoppingSul in November 2008, of null Shopping Vila Olímpia in November 2009 and three new expansions in the last half of „09, tenant sales in malls in 2009 reached R$6.1 billion, increasing 20.5% over 2008. MorumbiShopping joined BarraShopping in the group of null shopping center which reached the R$1 billion mark in sales, growing 11.5% in 2009. Except for the New York null City Center and Shopping Santa Úrsula, all shopping centers presented double digit increases in 4Q09. While the former shopping DESTAQUES by a tenant mix change in 2009, adding one new anchor store and a few center was impacted new restaurants, Shopping Santa Úrsula, as reported in the previous quarter, is undergoing a thorough change in FINANCEIROS its store mix and architecture, improving the pedestrian flow and lighting and is finishing its last details.

Sales (R$'000) Shoppings BH Shopping RibeirãoShopping BarraShopping MorumbiShopping ParkShopping DiamondMall New York City Center Shopping AnáliaFranco ParkShoppingBarigüi Pátio Savassi Shopping SantaÚrsula¹ BarraShoppingSul² Shopping VilaOlímia³ Total
¹Acquired in May 2008 ² Opened on November 18th, 2008 ³ Opened on November 25th, 2009

4Q09 206,681 134,032 372,359 325,821 220,702 113,241 41,955 189,277 148,529 81,432 25,177 135,406 29,236 2,023,848

4Q08 179,402 115,527 323,019 283,649 183,735 88,001 39,875 136,013 130,004 70,571 29,645 71,152 1,650,592

Chg. % ▲15.2% ▲16.0% ▲15.3% ▲14.9% ▲20.1% ▲28.7% ▲5.2% ▲39.2% ▲14.2% ▲15.4% ▼15.1% ▲90.3% na ▲22.6%

2009 635,203 412,146 1,147,705 1,003,088 658,024 331,972 139,539 523,877 465,390 253,573 83,822 425,442 29,236 6,109,019

2008 569,387 363,298 1,021,508 899,631 553,150 287,430 141,114 439,675 431,838 218,741 74,480 71,152 5,071,404

Chg. % ▲11.6% ▲13.4% ▲12.4% ▲11.5% ▲19.0% ▲15.5% ▼1.1% ▲19.2% ▲7.8% ▲15.9% ▲12.5% ▲497.9% na ▲20.5%

Same Store Sales growth surpasses 10% Same Store Sales in 4Q09 (which includes only stores which were in operation one year before) increased 10.6% in Multiplan‟s shopping centers, when comparing with those of 4Q08. Same Area Sales (which considers the exact same existing area of a shopping center one year before, where the store mix may have changed) grew 12.9% in the same period. Both indices significantly outperformed consumers‟ inflation measured by the IPCA of 4.2% in the quarter.


+8.8% +10.6%



National Same Stores Same Area Retail Sales Sales Sales Growth


Sales growth analysis - 4Q08 vs 4Q09

Satellite stores leading the sales in 4Q09 Satellite stores performed slightly better than Anchor stores, with a 10.9% growth in the same period, while Anchor stores Same Store Sales maintained a strong pace in growth increasing sales by 10.1% in 4Q09, compared to the fourth quarter of 2008. The Services segment contributed considerably (Anchors: +14.1%; Satellites: +18.3%), led by movie theaters and travel agencies. The Diverse segment contributed to the growth in sales of satellite stores (+13.6%) helped by jewelry and drugstores. Apparel anchor stores were also a highlight (+12.7%) worth mentioning.


Same Store Sales Growth Segments Food Court Diverse Home & Office Services Professional Services Apparel Portfolio Satellites ▲12.1% ▲13.6% ▲6.9% ▲18.3% ▲4.8% ▲10.3% ▲10.9% 4Q08 vs. 4Q09 Anchors n.a. ▲5.8% ▲8.9% ▲14.1% n.a. ▲12.7% ▲10.1% Total ▲12.1% ▲11.7% ▲7.8% ▲15.8% ▲4.8% ▲10.8% ▲10.6% Satellites ▲7.8% ▲8.2% ▲1.3% ▲11.9% ▲11.8% ▲8.2% ▲7.0% 2008 vs. 2009 Anchors n.a. ▲11.2% ▲3.5% ▲12.5% n.a. ▲8.6% ▲7.6% Total ▲7.8% ▲9.0% ▲2.3% ▲12.2% ▲11.8% ▲8.3% ▲7.2%

2009 sales: strongest annual increase of the last 5 years Multiplan tenants recorded double digit sales increases in every month throughout 2009. National retail sales also had positive sales figures throughout the year. According to IBGE (Brazilian Institute for Geography and Statistics) national retail sales were up 8.8% in 4Q09, while Multiplan tenants recorded an increase of 22.6% in its sales. In 2009, Brazilian retail sales increased by 5.9% whereas Multiplan recorded a 20.5% increase. New areas, together with organic growth and boosted by the consistent investments in its own properties, complete the main list of main reasons that explain the company‟s positive results.

National Retail Sales Growth
26.0% 20.0% 15.8% 7.0% 3.8% 1.3%
Mar-09 Apr-09 22.6%

Multiplan Sales Growth

22.0% 16.7%

20.2% 12.9%








8.6% 4.7% 5.0%













Multiplan´s sales vs. Brazilian retail sales (2009 monthly growth YoY)

27.9% 19.3%



13.1% 9.2%


9.7% 6.2%

9.1% 5.9%

-3.7% 2003







Multiplan Sales vs. Brazilian Retail Sales (year-over-year growth)


Case study: One year of BarraShoppingSul, one year of success This case study targets to describe the development of BarraShoppingSul from its launching in 2007 until its one year of operation in 2009, and make some comments regarding its future development. Targeting at the leadership In the beginning of 2007 Multiplan announced its future flagship shopping in Porto Alegre, capital of the southernmost state of Brazil, Rio Grande do Sul. The shopping center followed Multiplan´s strategy to have the best shopping in every city it is present and for this reason the project was born with nearly 70 thousand m² of GLA, about twice as big as its nearest competitor and nearly the size of Multiplan largest shopping center (BarraShopping), which went through six expansions to get to this size. The shopping was planned to have 153 thousand m² of built area, 250 stores and more than 4,600 parking spaces, all being a 100% owned by Multiplan. Igniting the growth of the region The company developed the project in the south of Porto Alegre, in the development vector of the region in order to grow together with the region, as the company has done many times in its 35 year track record. The launching of the project actually ignited the development of the area due to Multiplan, government and other real estate company‟s investments, who also launched projects in the surrounding areas of the shopping center, given the synergies of their operations with those of BarraShoppingSul. An additional strong push in the region was the Multiplan investments in the infrastructure of the neighborhood, particularly in the road system surrounding the project. This lead the a mixed used project planned by Multiplan to be launched two years after the shopping opening, to be announced a few months before opening, starting with its office tower beside it (Cristal Tower). Launched and leased Since its launching, the project was well accepted, a strong demand lead to a fast leasing, driven by the quality of the project, the development of the region, the effort of the companies broker team and the trust of the tenants in the company‟s brand. The leasing success and the development of the region lead the value of all the assets in the region to improve and the rents in the same way. One year before opening the project was already 100% leased having the company managed to match the mix with its target customers. The perception that the shopping was going to attract a strong people flow, also lead to merchandising contracts to be signed two years before schedule, helping even further the project to exceed its plan. Not even the rain record avoided its success During the less than two years of construction the company made many improvements to the project, even increasing its GLA. Even the rain record registered in the region during the construction period could not hamper Multiplan‟s goal to open the mall before Christmas to guarantee a good start for its tenants, given the importance of this date for the national retail. The company plans each new shopping center to be better than the previous one, benefited by the nearly 35 years of accumulated experience. The project should not only be the most up-to-date project, but also one that would have the lowest possible operational costs. BarraShoppingSul was awarded a prize


for best Cost Effective Cooling Project from the Brazilian Air Conditioning, Ventilation and Heating Association. The project delivered a 40% reduction in energy consumption by using more natural lighting and less artificial lighting without hampering the cooling of the building. The project was ready to give birth to a large and modern new leader. Higher people flow and higher revenues In November 2008 the shopping was opened and its importance was felt right on the first months of operation. Multiplan knowing how critical the first years of operations are for a new shopping center made important and tuned investments in order to increase the already high awareness of the city of the shopping. Multiplan sponsored the 16th Edition of the “Porto Alegre em Cena” (Porto Alegre on Stage), an international theater festival organized by the city hall of Porto Alegre and brought the “Human Body: Real and Fascinating”, for the first time to Porto Alegre. These campaigns boosted the people flow in the shopping and started to create the first “loyal consumers”. Demand has been so consistent that the company decided to start charging parking six months after its opening and nearly two years before schedule. Another result of the management‟s effort, were the sales which represented 7.0% of total portfolio sales in 2009 in its first year of operation, reaching R$425.4 million, and were responsible for 1/3 of the total company sales growth when comparing 2009 to 2008. 2010: an opportunity to exceed Since its launching, the project went through many improvements and as explained before, higher than expected lease contracts and merchandising and +3.2 M 28.4 M parking revenues ahead of time, leading the 28.0 M first year NOI in 2009 to be 11,1% above the -0.4 M first released figures for the project, achieving R$28,4 million. This performance turns out to 25.2 M be even more impressive if considered that some areas of the shopping were opened during 2009 and not since the opening as planned, reserving an expected additional NOI Expected in 3Q08 Real NOI future upside of about R$2,0 million, which NOI Expected in 3Q07 could have lead the first year NOI to R$30,0 million being 19,0% above its initial plan.
29. 0 M 28. 0 M 27. 0 M 26. 0 M 25. 0 M

24. 0 M

23. 0 M

BarraShoppingSul’s NOI in 2009: expected in 3Q07 and 3Q08 vs real

The expertise to generate value Finally it is worth mentioning the value that this project brought to the company, not only due to its strategic importance, given that it is the companies first mall in the city, but also due to its financial return. In the end of 2008, just after the opening of the project, the company asked a third party consulting company to do an appraisal of its asset. BarraShopping Sul was appraised at R$573.0 million, over twice the net investment in the project. Multiplan has the knowledge to develop flagship shopping centers in Brazil and BarraShopping Sul is one of the company‟s examples of how it plans to generate value to its investors.

Launch Opening Multiplan's stake GLA (sq. m) Total Capex (R$ mm) (-) Key money (R$ mm) Net Investment (R$ mm) Asset Value

April 2007 November 2008 100% 68,041 310.4 34.2 276.2 573.0 16.9%

(R$ mm)

3rd year NOI yield

¹ According to Jones Lang LaSalle evaluation done in 2008.



Gross Revenue

All revenue lines increased leading gross revenue to a 35.6% growth in 4Q09 null Gross revenue reached R$187.3 million in 4Q09, compared to R$138.1 million in the same period of the previous null year. In 2009 revenues reached R$574.7 million, 26.9% higher than 2008, with all revenue lines contributing with double digit growth. Rental revenue, which represents 2/3 of Multiplan‟s revenue in 4Q09, increased 26.2% in the null quarter, followed by parking revenue, with 16.4% and an important 46.4% growth in 4Q09.
null null null











Real Estate 3.8% Base 81.3%


Parking 16.4%

Rental Revenue 66.0%

Gross Rental Services Revenue Revenue 4Q08 Key money Estac. Real Estate Others Gross Revenue 4Q09

Key money 4.1% Services 9.5% Straight Line Merchand. 10.0% 4.9%

Overage 3.9%

Gross Revenue Growth Breakdown – (R$’000) Bold numbers refer to percentage change when comparing 4Q08 with 4Q09

Gross Revenue % Breakdown – 4Q09

Please note that throughout the report, the results from Shopping Vila Olímpia, in which the company has 30.0% interest, will consider the revenue of MPH, a special purpose company (SPC) that owns 71.5% of the mall – and in which Multiplan has a 42.0% interest. The portion of the result owned by the partners in MPH will be deducted in the „minority interest‟ line of the Profit and Loss report. 1. Rent Strong rental revenue growth in 2009 As explained on page 6, the straight line rental revenue benefited Multiplan‟s revenue line adding R$6.0 million in 4Q09, leading to a 26.2% growth in the quarter. This shows the positive effect of lease agreements “step-ups” on company revenues. The main drivers for this effect were the new area openings that counted with many tenants that signed leasing contracts with real term adjustments.

130, 000

125, 000



120, 000

115, 000




110, 000

105, 000

100, 000

95, 000


90, 000

Not considering the straight line accounting effect, Multiplan‟s rental revenue, composed by base rent, Rent 4Q08 Organic Expansions New malls Straight line Rent 4Q09 overage rent and merchandising revenue, increased Rental revenue growth analysis – 4Q09 20.0% in 4Q09, if compared to 4Q08, or 22.0% in 2009 over the previous year. Nine out of the ten shopping centers in operation during whole 2008 presented increases in 2009.
85, 000

80, 000

New York City Center, the entertainment focused mall integrated to BarraShopping, went through a tenant mix change in order to better attract new customers. Although the mall´s rental revenue decreased by 3.2% in 2009, it should start presenting positive growth figures in the following quarters.


Rental Revenue/SC (R$'000) BH Shopping RibeirãoShopping BarraShopping MorumbiShopping ParkShopping DiamondMall New York City Center Shopping AnáliaFranco ParkShoppingBarigüi Pátio Savassi Shopping Santa Úrsula¹ BarraShoppingSul² Shopping Vila Olímpia³ Sub-Total Portfolio Straight Line Total
¹ Acquired in May, 2008 ² Opened in November, 2008 ³ Opened in November, 2009

4Q09 13,237 8,373 20,309 22,841 9,798 8,392 1,555 5,167 8,306 4,674 409 11,244 3,227 117,533 6,000 123,533

4Q08 12,841 7,512 17,734 21,600 7,109 7,382 1,563 4,085 7,783 4,387 500 5,427 0 97,923 0 97,923

Chg. % ▲3.1% ▲11.5% ▲14.5% ▲5.7% ▲37.8% ▲13.7% ▼0.5% ▲26.5% ▲6.7% ▲6.5% ▼18.2% ▲107.2% n.a. ▲20.0% n.a. ▲26.2%

2009 44,080 27,194 62,570 72,474 27,239 26,619 5,300 15,335 26,112 15,329 1,586 33,114 3,227 360,180 6,000 366,180

2008 39,930 22,630 56,545 67,518 21,638 24,035 5,473 13,341 23,942 13,478 1,275 5,447 0 295,252 0 295,252

Chg. % ▲10.4% ▲20.2% ▲10.7% ▲7.3% ▲25.9% ▲10.8% ▼3.2% ▲14.9% ▲9.1% ▲13.7% ▲24.4% ▲508.0% n.a. ▲22.0% n.a. ▲24.0%

4Q09 had overage rent increasing 45.1% Multiplan was able to increase base rent revenue by 21.3% in 4Q09, or 25.7% when comparing 2009 over 2008. A stronger Christmas season sales helped the company to achieve a 45.1% growth in its overage rent revenue in the fourth quarter, opening space to a base rent increase in the near future.
+ 21.3%

+ 45.1%

+ 3.8%


Merchandising revenue showed a slight growth in 2009, increasing 1.3% when compared to 2008, or 3.8% in the quarter. This is explained in part due to large companies‟ restricted budget destined to alternative media – one of the consequences of the economic crisis seen in the previous year. Finally, the effect of the straight line rent accrual, as explained, brought an additional R$6.0 million to the company.




+ 26.2%

Rent 4Q08



Merchand. Straight line

Rent 4Q09

Rental revenue breakdown – 4Q08 vs. 4Q09 (R$‘000) Values in bold refer to the percentage change when comparing 4Q08 with 4Q09

Rent Revenue/Shopping (R$'000) BH Shopping RibeirãoShopping BarraShopping MorumbiShopping ParkShopping DiamondMall New York City Center Shopping AnáliaFranco ParkShoppingBarigüi Pátio Savassi Shopping SantaÚrsula¹ BarraShoppingSul² Shopping Vila Olímpia³ Total do Portfolio Straight Line Total
¹ Acquired on May, 2008 ² Opened on November, 2008 ³ Opened on November, 2009

Base 38,552 23,039 55,515 61,345 21,957 23,084 4,492 13,230 21,786 12,264 1,028 29,447 3,191 308,932 6,000 314,932

2009 Overage 1,103 748 1,590 2,163 1,847 1,372 161 533 803 1,605 9 670 19 12,624 12,624

Merchand. 4,425 3,408 5,465 8,965 3,435 2,164 647 1,572 3,522 1,460 548 2,996 17 38,624 38,624

Base 33,436 18,388 49,580 55,382 17,089 20,387 4,702 10,697 19,516 10,420 1,046 5,141 245,784 245,784

2008 Overage 1,223 963 1,318 2,007 1,245 1,413 151 624 941 1,245 31 193 11,355 11,355

Merchand. 5,271 3,279 5,647 10,129 3,304 2,235 621 2,019 3,485 1,813 198 113 38,113 38,113


Multiplan rental growth once more performing above inflation As shown in the chart on the bottom left, Multiplan‟s rental revenue grew 26.2% in 4Q09, as a result from organic growth and new areas opened, performing significantly above Brazilian inflation indices - IPCA (4.2%) and IGP-DI Adjustment Effect (2.9%), followed by Same Store Rent and Same Area Rent, with increases in 4Q09 of 6.5% and 7.0%, respectively. The company adjusts its lease contracts according to the IGP-DI index. Its impact on the quarter is measured by the quarterly average of the accumulated 12 months IGP-DI variation. The chart on the right shows the quarterly contribution for the 4Q09 IGP-DI Adjustment Effect.


0.9% 0.2%




-0.5% 4Q09

4Q09 IGP-DI Adjustment Effect contribution from last quarters









IGP-DI Adjustment Effect ¹


Same Store Rent

Same Area Rent

Rental Revenue

IGP-DI Adjustment Effect ¹

Same Store Rent


Rent analysis 4Q09 x 4Q08 ¹ Quarterly average of the 12 months accumulated IGP-DI variation. ² Variation average in the quarter.

Real SSR growth

2. Services Positive effect from GLA growth Services revenue in 4Q09 increased 23.1% compared to the last quarter of 2008, reaching R$17.9 million (9.5% of Multiplan‟s gross revenue), or 11.0% higher in 2009 versus 2008. GLA growth increased the condominium area managed by Multiplan on behalf of its tenants, and consequently the fee paid for Multiplan‟s management services. Additionally, third party GLA portion of the company‟s portfolio also increased with the GLA growth, indicating a higher fee received for this management service as well. 3. Key Money Growth led by several projects opening in 2009 Key money revenue (the fee paid by tenants to open a store in a quality shopping center) increased 84.8% in 4Q09, when compared to 4Q08, or 27.1% if comparing 2009 over 2008. In 4Q09, key money revenue represented 4.1% of gross revenue, 100 basis points higher than its gross revenue share in 4Q08 (of 3.0%).





During 2009, Multiplan‟s key money revenue was 4,155 positively influenced by four openings: three expansions (ParkShopping, ShoppingAnáliaFranco and RibeirãoShopping) and the inauguration of Shopping 4Q08 4Q09 2008 2009 Vila Olímpia (which includes the whole amount for MPH, Key Money revenue growth (R$’000) company that has a 71.5% interest stake of the mall). Deferred income, which records all the key money to be accrued (reminder: key money is accrued at 1/60 per month, considering a 60 months contract) reached R$132.0 million in December 2009.



Recurring key money, related to key money accrued from shopping centers with more than five years of operation (see table below), was strong in 4Q09, due 141,224 138,788 137,099 to tenant mix changes, and reflects the company‟s 126,298 121,479 effort to improve store mix in its malls. The turnover of 131,976 110,183 110,506 6.2% in 2009 was done efficiently by Multiplan, as indicated by the higher „Same Area‟ Rent and Sales 96,381 indices when compared to „Same Store‟ Rent and 81,194 Sales. The company has brought new tenants for its Sep-07 Dec-07 Mar-08 Jun-08 Sep-08 Dec-08 Mar-09 Jun-09 Sep-09 Dec-09 existing malls, which had better sales than its previous owners, leading the company to achieve a higher rent, Deferred Income evolution (R$’000) as well a corresponding key money or transfer fee for each new space.
Key Money Revenue/Type (R$'000) Operational (Recurring) New Projects opened in the last 5 years Total Portfolio 4Q09 4,039 3,641 7,680 4Q08 2,202 1,953 4,155 Chg. % ▲83.4% ▲86.5% ▲84.9% 2009 12,608 14,381 26,990 2008 13,228 8,015 21,242 Chg. % ▼4.7% ▲79.4% ▲27.1%

4. Parking Revenue Parking operations successfully implemented in all shopping centers Multiplan recorded R$30.8 million in gross parking revenues in 4Q09, 46.4% greater than in the last quarter of 2008. In 2009, parking revenue reached R$95.3 million, 41.2% higher than in the previous year. Growth was driven by the new parking operations in RibeirãoShopping, ParkShopping, BarraShoppingSul and Shopping Vila Olímpia, as well as the significant growth in all existing operations. Considering only the parking operations that existed at the beginning of 2008, parking revenue would still have increased by 25.6% in 2009, year over year. The recently opened Shopping Vila Olímpia, in São Paulo, started charging for parking on its first day of operation, because it is in the middle of a highly demanded commercial area of the city. All of 13 shopping centers are now charging for parking and 2010 will be the first year in which it will fully impact Multiplan‟s revenues.
Parking Revenue (R$'000) BH Shopping RibeirãoShopping BarraShopping MorumbiShopping ParkShopping DiamondMall New York City Center Shopping AnáliaFranco ParkShoppingBarigüi Pátio Savassi Shopping Santa Úrsula ¹ BarraShoppingSul ² Shopping Vila Olímpia³ Portfolio Total
¹ Acquired on May, 2008 ² Opened on November, 2008 ³ Opened on November, 2009

Parking Spaces 3,122 2,889 5,097 3,108 3,096 1,289 1,192 4,134 2,338 1,294 824 4,630 1,578 34,591

4Q09 2,615 2,015 5,923 6,718 1,770 1,486 1,340 2,816 2,191 1,844 285 1,639 127 30,771

4Q08 2,324 5,215 5,606 1,176 1,049 2,212 2,064 1,352 19 21.016

Chg. % ▲12.5% n.a. ▲13.6% ▲19.8% n.a. ▲26.4% ▲27.8% ▲27.3% ▲6.2% ▲36.4% n.a. n.a. n.a. ▲46.4%

2009 8,865 4,286 21,262 23,021 1,770 4,851 4,738 8,860 7,576 5,627 737 3,612 127 95,332

2008 7,644 18,601 18,783 4,083 4,075 5,579 4,152 4,573 19 67,509

Chg. % ▲16.0% n.a. ▲14.3% ▲22.6% n.a. ▲18.8% ▲16.3% ▲58.8% ▲82.5% ▲23.1% n.a. n.a. n.a. ▲41.2%

5. Real Estate Sales 76% of Cristal Tower units already sold Construction of Cristal Tower, a commercial tower in the land of BarraShoppingSul, has progressed in the 4Q09, with 76% of its units already sold. These sales together with construction progress were responsible for accruing revenues of R$7.1 million in 4Q09, against R$0.5 on the same period of the previous year. The tower is expected to be delivered in May 2011, contributing with BarraShoppingSul flow of customers especially in weekdays, as part of a mixed-use strategy, where real estate developments accelerate the consolidation process of a shopping center.

Cristal Tower skywalk, connecting BarraShoppingSul.



1. Shopping Center Expenses Expenses growing in line with new openings Shopping center expenses increased 32.3% in 4Q09 as Multiplan inaugurated Shopping Vila Olímpia and three expansions, while gross revenue grew by 35.6% in the same period. On a year over year analysis, shopping center expenses were 24.7% higher in 2009. Multiplan‟s NOI margin was 88.8% in 4Q09, and 85.3% in 2009. Vacancy of more than 30.0% in Shopping Santa Úrsula, which is undergoing an important change in its store mix, was responsible for a significant growth in condominium expenses during 2009. Advertisement cost with BH Shopping‟s 30 year anniversary campaign and improvements in the parking lot operation in several shopping centers also contributed for the increase in expenses.

DESTA 2. General and Administrative Expenses (G&A)

QUES Gain of FINANCEIR scale Multiplan completed and delivered four projects during 2009 and, since its OS announced the launching of three new shopping centers. The
company has a total of seven projects under development (four shopping centers, two expansions and an office tower) and has a great team of highly skilled professionals to expand Multiplan‟s premium portfolio. As announced in previous quarters, the company has its headquarters in Rio de Janeiro and a development branch in São Paulo. To invest in its personnel and maintain a skilled group of experts in the Brazilian shopping center industry is an important part of Multiplan´s training and retaining of talented professionals strategy. General and administrative expenses increased 11.5% in 2009, compared to the previous year. Yet the company is already showing economies of scale with net revenue growing above this figure in the quarter and year. 3. Parking Expenses

Follow On in September 2009, has



19.2% 16.6% 16.5%


15% 2006 2007 2008 2009

G&A/Net Revenue evolution

All shopping centers now running parking operations In 4Q09 parking expenses increased 44.8%, while parking revenues improved slightly more, reaching 46.4% when compared to 4Q08. Multiplan implemented parking operations in RibeirãoShopping, ParkShopping, BarraShoppingSul and Shopping Vila Olímpia in 2009. Net parking result posted 47.6% growth in 4Q09, similar to the expansion in 2009/2008, of 46.2%.
Net Parking Revenue (R$'000) Parking Revenue Parking Expenses Net Parking Revenue 4Q09 30,771 (13,020) 17,751 4Q08 21,016 (8,992) 12,024 Chg. % ▲46.4% ▲44.8% ▲47.6% 2009 95,332 (40,373) 54,959 2008 67,509 (29,920) 37,589 Chg. % ▲41.2% ▲34.9% ▲46.2%

4. Projects More projects announced, higher costs accrued Following the recommendation made by the Brazilian Securities and Exchange Commission (CVM) in pronouncement CPC 04, expenses related to projects under development (such as feasibility studies and advertising) are now being expensed as they occur. In 4Q09, costs with projects totaled R$12.2 million, while in the same period of the previous year they were R$4.3 million. Main drivers for these expenses in 2009 were Shopping Vila Olímpia and ParkShoppingSãoCaetano. Additionally, not including projects to be announced, the company has currently seven projects under development: two expansions (ParkShoppingBarigüi and BH Shopping), four shopping centers (ParkShoppingSãoCaetano, JundiaíShopping, Village Mall and ShoppingMaceió) and a commercial tower (Cristal Tower).



5. Cost of Properties Sold Construction of Cristal Tower accrued R$4.5 million in 4Q09 As per the PoC method (percentage of completion), costs are being accrued as the construction of Cristal Tower, in Porto Alegre, advances, given that over ¾ of the tower was already sold. On 2009, Multiplan accrued R$8.5 million of costs related to the commercial tower development, which is scheduled to be delivered in May 2011. Equity Pickup Final adjustments to Royal Green Peninsula Royal Green Peninsula, comprised of two residential buildings built by Multiplan in Barra da Tijuca, Rio de Janeiro, and delivered in the beginning of 2009, went through extensive improvements throughout the year to make the buildings meet the stringent Multiplan standards. Among the improvements, betterments were made to the elevators, facade, doors, railing, parking area and the entire common area. The remaining eight units to be sold should achieve a PSV (potential sales value) of R$13.5 million. Investments in Royal Green Peninsula should end on 1Q10, no longer impacting Multiplan‟s equity pickup, while revenues will still have its positive impact.



Financial Results, Debt and Cash Position Multiplan ended 2009 with a negative net debt (or positive net cash position) of R$366.3 million, as a result of the Follow On offering in September 2009. Compared to the previous quarter, debt remained at about the same level with gross debt increasing less than 1.0%. Financial result was positive in 4Q09 (see chart to the right), especially due to the interest of the invested cash position, DEST which increased significantly after the Follow On.

AQUES Financial Result 4Q08 vs. 4Q09 FINANCEI New financing In December 2009, Multiplan signed a contract of R$38.4 million with a term of 4 and ½ years and at a cost of ROS

(5,926) 4Q08


TJLP+3.53% p.a. from Banco Nacional de Desenvolvimento Econômico e Social – BNDES. This financing was destined to the construction of the frontal expansion of ParkShopping in Brasília. The total amount of R$ 36.6 million was draw by the company in January 2010. In November of 2009, Multiplan signed an agreement for a financing of R$ 102.4 million, a term of 10 years and a cost of TR+10% p.a. The use of proceeds is the expansion being built at BH Shopping. In January 2010 the amount of R$60.8 million was passed to the company.
Financial Position Breakdown Short Term Debt Loans and Financing Obligations from acquisition of goods Debentures 12/31/2009 104,168 41,660 62,122 386 9/30/2009 100,043 43,757 53,398 2,888 Chg. % ▲4.1% ▼4.8% ▲16.3% ▼86.6%

Long Term Debt Loans and Financing Obligations from acquisition of goods Debentures Gross Debt Cash Net Debt (Cash Position)

357,516 130,035 127,481 100,000 461,684 827,967 (366,283)

358,125 135,660 122,465 100,000 458,168 796,794 (338,625)

▼0.2% ▼4.1% ▲4.1% ▲0.0% ▲0.8% ▲3.9% ▲8.2%

Loans and financings (Banks)

Obligations for acquisition of goods (Land acquisition and minority interest acquisition in malls)
Debentures 100.0

62.1 41.7 38.0 38.2 21.6 0.4 2010 2011 2012 2013 2014 2015


33.1 20.2 16.9 20.0 10.9

9.0 2016


Multiplan’s debt amortization on December 31st 2009 (R$ million)



Financial ratios indicate Multiplan is ready to grow Financial ratios have changed little since September 2009. Net debt/EBITDA is still negative (-1.2x) and gross debt/EBITDA remained at 1.5x. Multiplan has a solid cash position ready to support its growth strategy and market opportunities. With four shopping centers, two expansions and one commercial tower under development, in addition to several other projects being studied, financial ratios should be impacted in the next quarters.

Financial Position Analysis Net Debt/EBITDA Gross Debt/EBITDA Net Debt/FFO Gross Debt/FFO Net Debt/Equity Liabilities/Assets Gross Debt/Liabilities

12/31/2009 -1.2x 1.5x -1.3x 1.6x -13.0% 22.8% 55.2%

9/30/2009* -1.2x 1.6x -1.3x 1.8x -12.4% 22.1% 58.8%

NonBank 41% Bank 59%

Multiplan’s indebtedness in 4Q09

*9M09‟s EBITDA and FFO are the sum of the last 12 months.

CDI 29%

IGP-M 14%

Index diversification Multiplan‟s debt interest rates are indexed mainly to the CDI and the TR. It has increased its exposure to the IPCA due to the financing of the land acquisition of JundiaíShopping.

Fixed 6%
Others 1%

TR 28%

IPCA 21%


Multiplan’s debt indices in 4Q09

Debt Indices as of December 31 , 2009
Short Term Avg. Interest* TJLP IPCA TR CDI + CDI % IGP-M Fixed Others Net Debt
*Average (weighted) interest rate Per Annum.


Long Term Avg. Interest* 4.50% 2.55% 10.00% 0.78% 118.60% 2.96% 12.00% n.a. (R$‘000) 1,448 63,123 109,747 2,946 115,000 59,627 5,536 1 357,427 Avg. Interest* 4.64% 4.17% 10.00% 0.78% 119.88% 2.96% 12.00% n.a.

Total (R$‘000) 5,710 94,763 129,934 4,305 131,159 65,173 27,679 2,961 461,684

(R$‘000) 4,262 31,640 20,187 1,359 16,159 5,546 22,143 2,961 104,257

4.69% 7.40% 10.00% 0.78% 128.97% 2.99% 12.00% n.a.

(R$‘000) TJLP IPCA TR CDI + CDI % IGP-M Fixed Others Total

Index Performance in 2009 6.00% 4.31% 0.71% 8.75% 8.75% -1.72% -1.22% 3.48%

Avg. Interest Rate* 4.64% 4.17% 10.00% 0.78% 119.88% 2.96% 12.00% 5.37%

Index + Interest 10.64% 8.48% 10.71% 9.53% 10.49% 1.24% 12.00% -1.22% 8.84%

Debt (R$‘000) 5,710 94,763 129,934 4,305 131,159 65,173 27,679 2,961 461,684

*Average (weighted) interest rate Per Annum.


NOI NOI surpasses R$350 million in 2009 Net operating income (NOI) increased 26.8% in 2009, compared to 2008, and 28.0% in 4Q09 over 4Q08, reaching R$125.4 million in the quarter. The excellent improvement in the operational result comprising rental and parking revenue lead the company‟s NOI to a historical high, both in the quarter and in the full year. Margins of the last quarter were the highest of the year, even being affected by marketing expenses and lower margins of the new areas opened (compared to the ones of consolidated shopping centers) and by the expenses of the tenant mix change strategy at Shopping Santa Úrsula. Even with these expenses the NOI margin for the year of 2009 was above 2008 reaching 85.3%. Regarding the NOI + Key Money margin, given the lower amount of project being leased in 4Q09 than 4Q08, as they were delivered in this period, less Key Money contracts were signed, reducing the 4Q09 margins compared with the year before. Nevertheless, the company managed to sign R$36.8 million of Key Money contracts reaching a NOI + Key Money of R$395.9 million, with a margin of 86.5%.
NOI (R$'000) Rental Revenue Parking Result Operational Result Shopping Center Expenses NOI NOI Margin Key Money Signed Contracts NOI + Key Money NOI + Key Money Margin 4Q09 123,533 17,751 141,284 (15,846) 125,438 88.8% 2,557 127,996 89.0% 4Q08 97,923 12,024 109,947 (11,979) 97,968 89.1% 15,127 113,096 90.4% Chg. % ▲26.2% ▲47.6% ▲28.5% ▲32.3% ▲28.0% ▼32 b.p ▼83.1% ▲13.2% ▼144 b.p 2009 366,180 54,959 421,139 (62,012) 359,127 85.3% 36,793 395,920 86.5% 2008 295,252 37,589 332,841 (49,715) 283,126 85.1% 55,387 338,513 87.2% Chg. % ▲24.0% ▲46.2% ▲26.5% ▲24.7% ▲26.8% ▲21 b.p ▼33.6% ▲17.0% ▼74 b.p

EBITDA and Core EBITDA EBITDA reached R$303.7 million in 2009 Multiplan‟s EBITDA registered a growth of 21.2% in 2009 over the previous year, reaching R$303.7 million. In the fourth quarter, EBITDA totaled R$94.2 million, 17.5% higher than in 4Q08. This growth is due to the increase in the Company‟s core business such as rental and parking revenues, which grew 24.0% and 41.2% in 2009, respectively. EBITDA in 2009 also benefited from a non-recurring tax compensation of R$18.0 million related to a PIS/COFINS credit, resulting from the acquisition in 2006 of Bozano Simonsen Centros Comerciais S.A. The higher real estate and parking results, together with higher project expenses, lead to the EBITDA margin reduction.
EBITDA (R$'000) Net income Income and social contribution taxes Financial result Depreciation and amortization Minority interest Amortization Deferred income and social contribution taxes ¹ EBITDA EBITDA Margin 4Q09 32,934 9,627 (8,782) 10,323 (377) (0) 50,473 94,198 55.0% 4Q08 39,217 7,221 5,926 7,846 248 30,469 (10,764) 80,163 64.1% Chg. % ▼16.0% ▲33.3% na ▲31.6% na na na ▲17.5% ▼901 b.p 2009 171,449 15,458 5,114 39,635 (11) 0 72,077 303,721 58.1% 2008 77,397 12,800 (3,544) 31,414 766 124,708 7,081 250,621 60.9% Chg. % ▲121.5% ▲20.8% na ▲26.2% na ▼100.0% ▲918.0% ▲21.2% ▼288 b.p

¹ Due to the Bertolino‟s reverse acquisition and other acquisitions made mainly in 2006

Core EBITDA close to R$330 million in 2009 Multiplan‟s Core EBITDA, calculated to provide greater transparency and to make Multiplan‟s number easily compared to those of its peers, grew 15.7% in 2009 compared to the previous year, and recorded R$327.2 million. As the table below indicates, Core EBITDA considers only revenues and expenses related to the company‟s core business – owning and managing shopping centers. The calculation excludes real estate sales revenues and considers only shopping center related expenses – including 100% of the headquarters expenses, as if there were no G&A costs related to real estate developments. Key Money is also accrued 100% at signing for this purpose.



Core EBITDA (R$'000) Rental Revenue Services Key Money Signed Contracts Net Parking Revenue Core Taxes Core Revenue Headquarters Stock-option-based remuneration expenses Shopping centers Core EBITDA Core EBITDA Margin

4Q09 123,533 17,870 2,557 17,751 (15,510) 146,201 (25,946) (1,048) (15,846) 103,362 70.7%

4Q08 97,923 14,521 15,127 12,024 (12,947) 126,649 (19,791) (11,979) 94,561

Chg. % ▲26.2% ▲23.1% ▼83.1% ▲47.6% ▲19.8% ▲15.4% ▲31.1% ▲32.3% ▲9.3%

2009 366,180 73,372 36,793 54,959 (50,478) 480,825 (88,182) (3,415) (62,012) 327,216 68.1%

2008 295,252 66,129 55,387 37,589 (41,427) 412,931 (79,121) (1,272) (49,715) 282,823 68.5%

Chg. % ▲24.0% ▲11.0% ▼33.6% ▲46.2% ▲21.8% ▲16.4% ▲11.5% ▲168.6% ▲24.7% ▲15.7% ▼44 b.p

(318) ▲229.6%

74.7% ▼397 b.p

Adjusted Net Income and FFO AFFO adds up in a year the CAPEX equivalent to a new Shopping Center Net income reached R$32.9 million in the last quarter of 2009, and R$171.4 million in the full year, more than twofold the net income registered in the previous year. One of the main drivers for this increase was the exclusion of goodwill amortization from Multiplan‟s results, in line with recently implemented Brazilian accounting principles. Nevertheless, even when considering adjusted net income, which ignores the effect of deferred income and social contribution taxes, the company showed an increase of 16.4%, having achieved the highest adjusted net income in its history: R$243.5 million. As mentioned previously in this report, deferred income taxes were adjusted as a result of the inclusion of the fiscal benefit from intangible assets in this account. Additionally, with the increase in Multiplan‟s income, the company used part of its deferred taxes reserve in the balance sheet, thus increasing „deferred taxes‟ line even further. It is worth mentioning that these deferred taxes do not represent a cash event, but an accounting provision, and for this reason are not included in the Adjusted Net Income. Finally, by adding depreciation to the adjusted net income, growth is implicit in the Adjusted FFO, which increased 40.4% in 4Q09, achieving R$93.7 million. In 2009, AFFO generated R$283.2 million, which would be enough to conclude any of Multiplan‟s last three recently announced shopping center projects, reaffirming the company‟s strong cash generation capability, for future growth.
FFO & Net Income Calculation (R$’000) Net income Amortization Deferred income and social contribution taxes ¹ Adjusted Net Income Depreciation and amortization Adjusted FFO 4Q09 32,934 0 50,473 83,407 10,323 93,731 4Q08 39,217 30,469 (10,764) 58,922 7,846 66,768 Chg. % ▼16.0% ▼100.0% na ▲41.6% ▲31.6% ▲40.4% 2009 171,449 0 72,077 243,525 39,635 283,160 2008 77,397 124,708 7,081 209,185 31,414 240,599 Chg. % ▲121.5% ▼100.0% ▲918.0% ▲16.4% ▲26.2% ▲17.7%

¹ Due to the Bertolino‟s reverse acquisition and other acquisitions made in 2006



Multiplan (MULT3 on Bovespa – São Paulo Stock Exchange; MULT3 BZ on Bloomberg) stock ended 2009 at R$32.45/share, a 164% appreciation over the closing price of December 30, 2008, of R$12.31/share. The IBOVESPA, main index of the Brazilian stock market, appreciated 83% over the same period.
R$ Million 280 260 240 220 200 180 160 140 120 100 80 Dec-08

Average Daily Trading Volume (15 days)



R$ 35


R$ 30
R$ 25 R$ 20

R$ 15
R$ 10

R$ 5
R$ 0 Feb-09 Mar-09 May-09 Jun-09 Aug-09 Sep-09 Nov-09 Dec-09

Free Float expands from 24.9% in 2008 to 36.4% in 2009 Multiplan‟s shareholders‟ structure, formed by the stock in the market (free float), Multiplan Participações and controlling family, and Ontario Teachers‟ Pension Plan (OTPP) has been impacted by the 2009 stock issue due to the Follow On offering in September. It is worth mentioning that both Multiplan and OTPP have increased their stockholdings in the Follow On, although their positions were diluted due to the majority portion of stocks being offered to the market at large. Positive effects on the structure‟s evolution can be witnessed via the increase in MULT3 volume traded. While the average daily traded volume in 4Q08 was R$2.3 million, in 4Q09 it jumped to R$14.6 million, a 642% increase.

14.6 M


2.3 M



MULT3 Average Daily Traded Volume (R$)

Adm+Treasury 0.1% Free Float 24.9% OTPP 34,7%
Free Float 36.4%

Adm+Treasury 0.2%

MTP+Peres 40.2%

Common Stocks 15.8%

Preferred Stocks 18.9%

Common Stocks 22.7%

OTPP 29.3% MTP+Peres 34.0%

Preferred Stocks 6.7%

Multiplan’s ownership structure evolution from December 2008 to December 2009



Projects pipeline under development

Multiplan’s estimated GLA growth
533,741 m² 552,865 m²

3rd Party GLA
688,295 m² 17,735 m² 205,694 m² 688,295 m²

2,203 m² 185,756 m² DESTAQUES FINANCEIROS 117,695 m² 16,921 m² 482,601 m² 347,985 m²

Own GLA: +38.7% Total GLA: +29.0%
Malls in operation Expansions under development Malls under development Total announced

Expansions under development – BH Shopping Expansion and ParkShoppingBarigui Expansion II. Malls under development – ParkShoppingSãoCaetano, JundiaíShopping, VillageMall, Shopping Maceió Investment Total CAPEX in 2009: R$471.3 million Investment Plan Multiplan invested R$471.3 million in 2009. The Malls + Expansions + Renovations Real estate to be sold R$55.9 million investment in renovation & others includes the renovation of Shopping Santa Úrsula, 479.8 M 462.1 M 433.3 M in which the company has made important 8.5 M 14.3 M changes to bring the mall up to Multiplan 37.5 M standards. Several shopping centers were renovated aiming to innovate and improve the 157.9 M 471.3 M 447.7 M internal atmosphere to new demands and trends, 395.8 M especially in malls that delivered recent 157.9 M expansions. New parking operations (in BarraShoppingSul, ParkShopping and 2009 2010 2011 2012 RibeirãoShopping) demanded equipment and more efficient parking charging systems were implemented in some of the malls. Investments in shopping center development of R$275.1 million include the construction of Shopping Vila Olímpia, land acquisitions in São Caetano and Jundiaí, interest expenses from the land in Barra da Tijuca, final finishes in BarraShoppingSul, and minor costs from new projects. Shopping center expansions were responsible for R$104.9 million, and encompasses cost of expansions in BH Shopping, RibeirãoShopping, ParkShopping, ShoppingAnáliaFranco and ParkShoppingBarigui. Parking investments, which totaled R$35.4 million, were made in ParkShopping, in which a new deck parking was built adding 2,100 parking spaces. The deck parking structure was prepared for the future construction of two office buildings on top of it.
Economic Capex (R$'000) Renovations & Others Shopping Center Development Shopping Center Expansion Parking ParkShopping Total
*Please see page 37 for acronym descriptions

9M09 36,934 180,039 70,283 30,448 317,704

4Q09 18,928 95,056 34,654 4,950 153,588

2009 Description* 55,862 275,095 104,937 35,398 471,292 All shopping centers, parking and others SVO, PSC, JDS and others BHS, RBS, PKS, SAF and PKB Deck Parking PKS and equipment


Shopping Center - New developments Three new Greenfields announced: 135 thousand m² of GLA, almost R$1 billion CAPEX Since November 2009 Multiplan announced the construction of three Greenfields – all of them 100% Multiplan investment. ParkShoppingSãoCaetano, JundiaíShopping and VillageMall, together with ShoppingMaceió, are expected to increase the company‟s total GLA by 135,430 m² (or 117,695 m² of own GLA), with an investment of R$932.0 million. More details about the projects can be found on the table below and on the following pages.
Shoppings Under Construction/Approval
Project ParkShoppingSãoCaetano VillageMall JundiaíShopping ShoppingMaceió State SP RJ SP AL Opening Nov-11 May-12 Sep-12 Oct-12* Total GLA 38,889 m² 25,653 m² 35,418 m² 35,470 m² 135,430 m² % Multiplan 100.0% 100.0% 100.0% 50.0% 86.9%

Multiplan's Share (R$‘000)
CAPEX 260,000 350,000 240,000 82,000 932,000 % CAPEX Invested 9% 25% 9% 17% 16% Key Money 37,200 37,500 21,600 5,500 101,800

* Subject to approval

As indicated in the table on the right, all four Greenfields under development should generate together key money revenue of R$104.2 million and a rd 3 year NOI of R$128.6 million. As for the combined IRR, the expected return is 18.0%. It is worth mentioning that the four projects make use of the company‟s land bank, which therefore reduced from 960 thousand m² to 802 thousand m².

Projects Returns
Project ParkShoppingSãoCaetano VillageMall JundiaíShopping Shopping Maceió NOI 1st year 35,000 36,900 24,500 7,800 104,200 NOI 3rd year 45,800 41,300 31,700 9,800 128,600 IRR 23.5% 15.6% 15.8% 17.0% 18.0%



Projects Delivered

Shopping Vila Olímpia, São Paulo
Multiplan´s 13 shopping center opened its doors to the public on November 25, 2009. With a total investment of R$232.0 million (Multiplan‟s stake: R$97.4 million), not counting the land cost since it was a swap deal, the mall has 216 stores and 28,091 m² of GLA (including a movie theater and a playhouse, to be opened in 2010), and in 37 days of operation in 4Q09, it already recorded sales of R$29.2 million. The estimated first year NOI for Multiplan is R$8.8 million, and third year NOI of R$10.9 million, generating an expected third year NOI yield of 14.0%. Shopping Vila Olímpia is located on Rua Olímpiadas, close to Avenida Brigadeiro Faria Lima and Marginal Pinheiros, and is the newest option for shopping, leisure and services in the region. The mall was built in an area with a high density of offices, hotels and residential buildings. The proximity to important areas and freeways makes the region of Vila Olímpia suitable for continuous growth in the coming years.
Mall interior sketch Actual mall interior


ParkShopping Frontal Expansion, Brasília
The eighth and most anticipated expansion of ParkShopping, in Brasília was delivered on October 2009. The mall received 78 new stores and a net increase of 8,476 m² of GLA. Although it opened only 65 days before the end of the last quarter of 2009, the expansion alone, already recorded sales of R$25.8 million and a rental revenue of R$1.8 million in 4Q09, representing 11.7% of the shopping center sales and 17.9% of the mall rental revenue in the same period. Along with ParkShopping´s Frontal Expansion, a new deck parking was also delivered in the same date, adding 2,100 new parking spaces, to better accommodate the shopping center‟s customers. It was built with a prepared structure envisaging the future construction of two commercial towers on top of it.

Internal views of ParkShopping Frontal Expansion above and an external view of the new deck parking below


Projects Announced ParkShoppingSãoCaetano
ParkShoppingSãoCaetano – Multiplan‟s project in the city of São Caetano do Sul, metropolitan area of São Paulo, was launched on November 5th, 2009. Multiplan has a 100% interest in a project that includes a built area of 84,300 thousand m2, and 38,889 m2 of GLA with 242 stores, of which 15 are anchor stores, and a parking lot with 2,031 spots. The gross CAPEX totals R$260 million, cost of land included. The estimated first and third year NOIs are R$35.0 million and R$45.8 million respectively. The ParkShoppingSãoCaetano project was conceived with an area for future expansion of the mall, which also includes four commercial towers with 870 individual offices and a convention center with 2 2,900 m . The Shopping center‟s concept is incorporated into a mixed-use project in a new neighborhood called Espaço Cerâmica, which has 2 other companies developing residential and office real estate projects. It has an area of 300 thousand m planned to absorb the growth of the region. It includes a modern residential and business center, office towers, services and high technology companies with the shopping center in the middle. The city of São Caetano do Sul was recognized by the United Nations as having the highest Human Development Index (HDI) in Brazil.

On the top and bottom right, preliminary perspective of ParkShoppingSãoCaetano, including the office towers to be develop in the future. On the bottom left, the location of the land in the middle of ‘Espaço Cerâmica’ Complex.


Multiplan has started leasing stores at JundiaíShopping, in the city of Jundiaí, São Paulo. The shopping center will have a GLA of 35,418 m² (first phase), with 193 satellite stores, 17 anchor and mega stores and 2,079 parking spaces. Multiplan‟s interest in the shopping center is 100%. The total estimated investment will be of R$240 million. The inauguration is scheduled for September 2012. JundiaíShopping project is in line with the company‟s strategy of mixed-use complexes putting together several developments in a same location (residential, commercial buildings and hotels among others). The project will include additionally two ten-floor commercial towers and 13,260m² of new GLA for the shopping center for a future expansion. The municipality of Jundiaí has the 23 largest GDP in Brazil and is located at 60km northwest from the state´s capital city, São Paulo. The land plot in which JundiaíShopping is located is on Avenida Nove de Julho, an expressway with easy access to and from neighborhoods with higher income. This future regional mall will service four municipalities in addition to Jundiaí.

Perspective of JundiaíShopping, including office towers planned for future development


Village Mall
Multiplan´s Village Mall, in the city of Rio de th Janeiro was launched on February 4 , 2010. This shopping center will have a Gross Leasable Area 2 (GLA) of 25,653m , 125 stores, including 8 anchors and mega-stores, and 1,462 parking spaces. Multiplan‟s ownership in the project is 100%. The expected investment for the project is estimated at R$350 million. The Net Operating Income (NOI) for year 1 and year 3 should be of R$36.9 million and R$41.3 million respectively. Inauguration is scheduled for May 2012. The Village Mall Shopping Center will be located in a privileged area in the heart of Barra da Tijuca, a region with one of the highest growth rates in recent years in Rio de Janeiro. It will be distinct due to fashion stores and new cultural and restaurant options in a modern environment, made with glass walls and rooftop, enhancing the neighboring views. It will have theaters with 680 seats; six movie theaters with the latest projection technologies and services, a 2 convention center area with 1,500 m , in addition to restaurants with a view to the Tijuca Lagoon. This shopping center will be a strong complement to the complex started by Multiplan 30 years ago. It is composed of BarraShopping, New York City Center and BarraShopping Business Center (Centro Empresarial Barrashopping).

Preliminary perspectives of Village Mall on top and bottom right, and the land location, in Barra da Tijuca, on the bottom left.


This project is in a privileged location in the growth path of the city of Maceió. The project is in the final phase of 2 approvals with local authorities. It envisages an urban mixed-use complex in a land plot with 210,000 m which makes it possible to develop a shopping center, a hotel and commercial office space and residential buildings.

Location of the land in Maceió and a preliminary view of the project: launching date yet to be announced

Shopping Center Expansions
Close to 20,000m² of GLA from new expansions to be opened in 2010 Multiplan opened three expansions in 2009, at Shopping AnáliaFranco, RibeirãoShopping and ParkShopping, adding roughly 20,000m² of total GLA. The company will open two expansions in 2010, at BH Shopping and ParkShoppingBarigui. The first will add 11,015m² of GLA to the mall, with a CAPEX of R$128.3 million - of which approximately R$55 million were destined to the construction of a deck parking building in BH Shopping. The second expansion, at ParkShoppingBarigui, will increase Multiplan‟s total GLA by 8,110m² and cost R$53.7 million to the company. Both expansion have an average of 92% of its stores already leased and will generate R$23.7 million of key money revenue. The combined IRR reaches 18.2% considering both projects.
Expansions Under Construction
Project BH ShoppingExp. ParkShoppingBarigüiExp.II Total
* 84% after opening

Multiplan's Share (R$‘000)
GLA 11,015m² 8,110m² 19,124m² % MTE 80.0% 100.0%* 88.5% CAPEX 128,252 53,699 181,950 CAPEX Invested 60% 19% 48% Key Money 10,870 12,854 23,724 Stores Leased 98% 85% 92% NOI 1st year 11,013 6,669 NOI 3rd year 12,463 8,156 IRR 14.1% 28.0%

Open. Oct/10 Nov/10




Future Projects
Four expansion projects already planned The company has currently four expansions planned, waiting to be announced. Together they should increase Multiplan‟s GLA by 33,158m², or 30,232m² Projects to be announced considering own GLA. It includes a large Project GLA MTE % (constr.) Own GLA expansion in BarraShoppingSul, in Porto Alegre, BarraShopping Exp. VII 4,894 m² 51.1% 2,499 m² which should increase the mall‟s GLA to almost DiamondMall Exp. II* 5,299 m² 100.0% 4,769 m² 90,000m², becoming the largest shopping center ParkShopping Gourmet Exp. 1,327 m² 60.0% 796 m² in Multiplan‟s portfolio. Projects are subject to BarraShoppingSul Exp. I 21,638 m² 100.0% 21,638 m² change and more detailed information will be Total 33,158 m² 91.2% 30,232 m² disclosed as they are announced.
* Interest during construction will be 100% and after its opening will be 90%.


Real Estate

Cristal Tower
Saleable Area Launch Opening Interest Estimated PSV (MTE %) Total units % of units sold Status: Under Construction Cristal Tower, Multiplan‟s office tower in Porto Alegre, has 76% of its units already sold and is in the construction phase. As mentioned previously, the tower combines modern infrastructure with the convenience of being connected to one of the largest shopping center in the south of Brazil, not to mention the privileged view of the Guaíba River. This proximity creates a flow of qualified consumers to the shopping center during the week, and a natural synergy between the conference center, located in BarraShoppingSul, and Cristal Tower. Land Bank Six projects underway, 800 thousand m² to go Multiplan‟s four Greenfields under development, including the recent announcements of ParkShoppingSãoCaetano, JundiaíShopping and VillageMall, were together responsible for the usage of approximately 170,000 m² of Multiplan‟s land bank. Nevertheless, there are still 802,108 m² of land available for future developments. In addition, ownership of the land in Campo Grande was increased to 90% after a land swap negotiation with the partner. 11,912 m

June 2008 May 2011 100% R$70 million 290 76%

Location BarraShoppingSul Campo Grande Maceió Jundiaí MorumbiShopping ParkShoppingBarigüi ParkShoppingBarigüi Pátio Savassi RibeirãoShopping São Caetano Shopping AnáliaFranco Total

% 100% 90% 50% 100% 100% 84% 94% 81% 100% 100% 36% 84%

Type Residential, Hotel Residential, Office/Retail Residential, Office/Retail, Hotel Office/Retail Office/Retail Apart-Hotel Office/Retail Retail Residential, Office/Retail, Medical Center Comercial Residential

Land Area 12,099 m² 338,913 m² 140,000 m² 4,500 m² 21,554 m² 843 m² 27,370 m² 1,111 m² 200,970 m² 24,948 m² 29,800 m² 802,108 m²



1 10 6 15



AL 2 7






14 9
12 16 13 4

In operation

Under development / approval
Occupancy Rate 99.3% 97.4% 99.3% 99.4% 99.5% 99.5% 99.6% 99.4% 98.6% 99.6% 65.8% 98.0% 87.8% 96.9% 96.9%

Shopping Operating SC's BH Shopping RibeirãoShopping BarraShopping MorumbiShopping ParkShopping DiamondMall New York City Center Shopping AnáliaFranco ParkShoppingBarigüi Pátio Savassi Shopping SantaÚrsula BarraShoppingSul Shopping VilaOlímpia Sub-Total Operating SC's


Multiplan % Total GLA (100%)

Rent 2009 ¹

Sales 2009 (R$’000)

1 2 3 4 5 6 7 8 9 10 11 12 13

14 15 16 17

80.0% 76.2% 51.1% 65.8% 59.6% 90.0% 50.0% 30.0% 84.0% 80.9% 37.5% 100.0% 30.0% 65.2% Under development SC's (% constr.) ParkShoppingSãoCaetano SP 100.0% Shopping Maceió AL 50.0% Shopping Jundiaí SP 100.0% Village Mall RJ 100.0% Under development expansions (% constr.) BHShopping Exp. MG 80.0% ParkShoppingBarigüi Exp. II ² PR 100.0% Sub-Total Under development SC's/Exp 87.1% Portfolio Total 70.1% ¹ Rental Revenue divided by the Adjusted Own GLA (avg.) ² Interest during the construction period


36,899 m² 46,846 m² 69,318 m² 55,085 m² 51,512 m² 21,360 m² 22,269 m² 50,972 m² 42,986 m² 16,319 m² 24,043 m² 68,041 m² 28,091 m² 533,741 m² 38,889 m² 35,470 m² 35,418 m² 25,653 m² 11,015 m² 8,110 m² 154,554 m² 688,295 m²

1,493 R$/m² 768 R$/m² 1,766 R$/m² 2,003 R$/m² 1,009 R$/m² 1,385 R$/m² 478 R$/m² 1,157 R$/m² 723 R$/m² 1,164 R$/m² 176 R$/m² 616 R$/m² n.a. 1,052 R$/m² 1,052 R$/m²

635,203 412,146 1,147,705 1,003,088 658,024 331,972 139,539 523,877 465,390 253,573 83,822 425,442 29,236 6,109,019 6,109,019



Merger of three subsidiaries reduce corporate structure In December 2009, after the shareholders approval, the company has merged three of its subsidiaries: Indústrias Lunas S.A., Solução Imobiliária Participações e Empreendimentos Ltda. and JPL Empreendimentos LTDA.. This way the company expects to simplify its structure, controls and tax payments giving a higher level of transparency, consistency and scale to its operations. Additionally, due to the merger, Multiplan accrued goodwill of R$48.8 million relating to the future profitability premium, which may generate a R$16.6 million tax benefit. Subsequent Events: Multiplan issued 1,497,773 stocks (0.83% of company‟s capital stock) in January 18th 2010, due to the exercise th of a stock option program granted to the CEO, Mr. Jose Isaac Peres. On January 28 , 2010, Mr. Peres sold DESTAQUES 1,497,773 stocks to the market, increasing free float and remaining, directly and indirectly, the owner of 33.8% of FINANCEIROS stock issued by the company bringing his equity holding in the company back to the same number of shares owned before the exercise of the stock option mentioned.

Free Float


Maria Helena Kaminitz Peres 0.39% ON 0.36% Total

39.54% ON 36.92% Total

Treasury 0.24% ON 0.23% Total

Multiplan Planejamento, Participações e Administração S.A.

Ontario Teachers’ Pension Plan

34.41% ON 32.14%Total 1.34% ON 1.25% Total

24.07% ON 100.00% PN 29.10% Total

1700480 Ontario Inc.

Jose Isaac Peres

Multiplan Administradora de Shopping Centers Ltda. Embraplan Empresa Brasileira de Planejamento Ltda.



Shopping Centers

% 51.07% 100.0% 80.00% 90.00% 65.78% 50.00% 59.63% 84.00% 80.87% 76.17% 30.00% 30.00% 50.00% 37.50% 100.0% 100.0% 100.0% 99.61%

CAA Corretagem e Consultoria Publicitária Ltda. CAA Corretagem Imobiliária Ltda.
MPH Empreend. Imobiliário Ltda. Manati Empreendimentos e Participações S.A. Haleiwa Empreendimentos Imobiliários S.A.


SCP Royal Green Península


Renasce Rede Nacional de Shopping Centers Ltda.


BarraShopping BarraShoppingSul BH Shopping DiamondMall MorumbiShopping New York City Center ParkShopping ParkShoppingBarigüi Pátio Savassi RibeirãoShopping ShoppingAnáliaFranco Shopping Vila Olímpia Shopping Maceió¹ Shopping Santa Úrsula ParkShopping SãoCaetano ² Shopping Jundiaí ² VillageMall ²
¹ Under approval ² Under development







1. 2. 3.

MPH Empreendimento Imobiliário: Special Purpose Entity (SPE) from Shopping Vila Olímpia. Manati Empreendimentos e Participações S.A.: Special Purpose Entity (SPE) from Shopping Santa Úrsula. Haleiwa Empreendimentos Imobiliários S.A.: Special Purpose Entity (SPE) from Shopping Maceió.

Share buyback program On February 3rd, 2010, the Board of Directors of the Company approved the renewal of the Company‟s Stock Buyback Program which ended on November 2009, and the terms and conditions of the former program remaining unchanged. The program‟s purpose is to use available resources of the Company in order to maximize value to the shareholder and has a maximum term of 365 days, or up to February 3rd, 2011. No shares have yet been bought under this second buyback program until the release of this report. The company purchased 340,000 common shares since October, 2008, when the first program was instituted.



APPENDIX I Income Statement
(R$'000) Rental Revenue Services Key money Parking Real Estate Others Gross Revenue 4Q09 123,533 17,870 7,680 30,771 7,103 4Q08 97,923 14,521 4,155 21,016 (0) Chg. % ▲23.1% ▲84.8% ▲46.4% na 2009 73,372 26,990 95,332 11,869 997 2008 295,252 66,129 21,242 67,509 2,781 (0) 452,914 (41,683) 411,231 (79,121) (1,272) (49,715) (7,331) (29,920) (1,150) 7,003 34,298 (30,754) (31,414) Chg. % ▲24.0% ▲11.0% ▲27.1% ▲41.2% ▲326.8% na ▲26.9% ▲23.9% ▲27.2% ▲11.5% ▲168.6% ▲24.7% ▲162.9% ▲34.9% ▲642.3% na ▼100.0% ▲5.8% ▲34.6% ▲26.2% ▲164.1% ▲20.8% ▲918.0% na ▲121.5% ▲21.2% ▲26.8% ▲17.7% ▲16.4% ▲26.2% 366,180

513 ▲1,283.5%

Headquarters Shopping centers Projects Parking Cost of properties sold Equity pickup Amortization² Financial revenue Financial expenses Depreciation and amortization Other operating income/expenses



187,264 138,129 (16,149) (12,995) 171,114 125,134 (25,946) (19,791) (1,048) (12,214) (13,020) (4,527) (4,575) 19,965 (11,183) (10,323) 259 92,657 (9,627) (50,473) 377 32,934 94,198 125,438 93,730 83,407 (318) (4,322) (8,992) 526 2,311 (8,237) (7,846) 172 35,922 (7,221) 10,764 (248) 39,217 80,163 97,968 66,768 58,922 (15,846) (11,979)

▲35.6% 574,739 ▲24.3% (51,634) ▲36.7% 523,105 ▲31.1% (88,182) ▲229.6% (3,415) ▲32.3% (62,012) ▲182.6% (19,272) ▲44.8% (40,373) (8,539) na (20,031) na ▲763.8% 36,274

Taxes and contributions on sales and services

Stock-option-based remuneration expenses¹

(267) ▲1,596.8%

0 (30,469)

- (124,708)

▲35.8% (41,388) ▲31.6% (39,635) ▲50.9% 22,440 ▲157.9% 258,973 ▲33.3% (15,458) na (72,077) na 11 ▼16.0% 171,449 ▲17.5% ▲28.0% ▲40.4% ▲41.6% 303,721 359,127 283,160 243,525

897 ▲2,401.3% 98,044 (12,800) (7,081) (766) 77,397 250,620 283,126 240,599 209,185

Income before income and social contribution taxes Income and social contribution taxes Deferred income and social contribution taxes ³ Minority interest Net income EBITDA NOI Adjusted FFO Adjusted Net Income

¹ The full amount of the stock option compensation line for the year 2008 was recorded in 4Q08 figures. In order to compare 4Q09 with 4Q08, the full 2008 expense (R$1.3 million) was equally divided by the four quarters of the year. ² According to Law 11,638/07, starting in 1Q09, goodwill amortizations related to acquisitions will not be accrued in the financial statements. ³ For more information please see page 6, about the new accounting standards of deferred income taxes.


ASSETS Current Assets Cash and cash equivalents Accounts Receivable Sundry loans and advances Recoverable taxes and contributions Deferred income and social contribution taxes Other Total Circulante Noncurrent Asset Receivables from related parties Accounts Receivable Land and properties held for sale Sundry loans and advances Deferred income and social contribution taxes Other Investments Property and equipment Intangible Deferred charges Total Noncurrent Asset Total Assets LIABILITIES Current Liabilities Loans and Financing Share acquisition Accounts payable Property acquisition obligations Taxes and contributions payable Dividends to pay Taxes paid in installments Deferred incomes Payables to related parties Debentures Clients anticipation Other Total Current Liabilities NonCurrent Liabilities Loans and Financing Debentures Property acquisition obligations Taxes paid in installments Provision for contingencies Deferred incomes Total Noncurrent Liabilities Minority interest Shareholders' Equity Capital Capital Reserves Income Reserve Share issue costs YTD Income Shares in Treasure Department Total Shareholder's Equity Total Liabilities and Shareholders' Equity 31/12/2009 827,967 115,117 30,985 38,744 68,897 3,483 1,085,193 74 18,028 141,268 9,908 35,256 5,633 15,382 2,022,087 309,475 28,642 2,585,753 3,670,946 31/12/2009 41,660 16 66,762 62,122 24,904 40,521 279 54,279 92,198 386 9,559 1,464 394,150 130,035 100,000 127,481 1,359 5,511 77,698 442,084 12,073 1,745,097 961,691 152,138 (31,663) (4,624) 2,822,639 3,670,946 30/9/2009 796,794 88,549 35,785 34,563 60,382 3,268 1,019,340 2,120 17,781 142,277 12,782 93,980 5,865 14,864 1,875,904 309,729 29,650 2,504,954 3,524,294 30/9/2009 43,757 71,333 53,398 17,591 276 39,642 72,922 2,888 13,346 1,863 317,016 135,660 100,000 122,465 1,415 4,945 97,457 461,943 12,679 1,641,747 960,644 21,292 (24,914) 138,514 (4,624) 2,732,658 3,524,294 % Change ▲4% ▲30% ▼13% ▲12% ▲14% ▲7% ▲6% ▼97% ▲1% ▼1% ▼22% ▼62% ▼4% ▲3% ▲8% ▼0% ▼3% ▲3% ▲4% % Change ▼5% ▲0% ▼6% ▲16% ▲42% ▲0% ▲1% ▲37% ▲26% ▼87% ▼28% ▼21% ▲24% ▼4% ▼0% ▲4% ▼4% ▲11% ▼20% ▼4% ▼5% ▲6% ▲0% ▲615% ▲27% ▼100% ▲0% ▲3% ▲4%


Cash flows from operations (R$'000) Net income for the year Adjustments Depreciation and amortization Amortization of goodwill Equity pickup Stock-option-based remuneration Minority interest Apropriation of deferred income Debentures update Interest and monetary variations on loans and financing Interest and monetary variations on property acquisition obligations Stock acquisition update Interest and monetary variations on sundry loans and advances Interest and monetary variations on receivables from related parties Current income and social contribution taxes Deferred income and social contribution taxes Earnings from subsidiaries not recognized previously, and capital deficiency of subsidiaries Net adjusted income Variation in operating assets and liabilities Lands and properties Accounts receivable Receivable taxes Deferred taxes Other assets Accounts payable Amortization of property acquisition obligations Taxes and mandatory contributions payable Assets acquisition Installment taxes Provision for contingencies Deferred revenue Paid Dividends Clients anticipation Others obligations Cash flows generated by operations Cash flows from investments Increase in loans and sundry advances Increase (decrease) in receivables from related parties Rate receipt on loans and other advances Effect of mergers net ofcash and cash equivalents Interests on debêntures paid Increase (decrease) of investments Increase of property, plant and equipament Additions to deferred charges Additions (amortization) to goodwill Additions to intangibles Debentures issued Cash flows used in investing activities Cash flows from financing activities Decrease in loans and financing Rate payment of loans and obtained financing Increase (decrease) in payables to related parties Repurchase of shares to be held in treasury Capital increase Share issue costs Minority interest Cash flows generated by (used in) financing activities Cash flow Cash and cash equivalents at the beginning of the period Cash and cash equivalents at end of the period Changes in cash 2009 171,448 37,979 20,031 3,415 (811) (26,420) 386 1,149 3,733 (312) 11,138 30,813 (873) 251,676 (11,811) (15,854) (18,546) 41,002 (6,087) 11,710 50,599 (11,560) (203) 940 32,099 (20,084) 959 (46) 294,454 (11,777) 1,613 20 (12,566) (481,007) (651) (674) 100,000 (405,042) (71,602) 5,876 68,434 (2,696) 792,350 (31,663) (69) 760,630 660,382 167,585 827,967 660,382 2008 77,397 31,414 124,708 (7,003) 1,272 766 (21,242) 6,087 17,009 6,364 (427) (434) 12,800 27,794 437 276,942 (52,647) (20,965) (8,814) (20,714) (1,426) 46,118 (4,023) 3,411 (53,360) (177) 1,208 51,159 8,600 (4,619) 220,693 (23,447) (52) (294) 32,717 (686,757) (8,011) (6,824) (692,668) 194,987 (3,105) 22,292 (1,928) 10,870 223,116 (248,859) 416,444 167,585 (248,859)



Adjusted Funds from Operations (FFO): sum of the adjusted net income, depreciation and amortization. Adjusted Net Income: net income adjusted for non-recurring expenses with IPO and Follow On, restructuring costs and amortization of goodwill from acquisitions and mergers (including deferred taxes). ANBID: Associação Nacional dos Bancos de Investimento. Brazilian Investment Banks National Association. Anchor Stores: Large, well known stores with special marketing and structural features that can attract consumers, thus ensuring permanent attraction and uniform traffic in all areas of the mall. Stores must have more than 1,000 m² to be considered anchors.
Acronyms: BH S BRS BSS DMM MAC MBS MTE NYCC JDS PKB PKS PSC PSS RBS SAF SSU SVO VIL BH Shopping BarraShopping BarraShoppingSul DiamondMall Shopping Maceió MorumbiShopping Multiplan New York City Center JundiaíShopping ParkShoppingBarigüi ParkShopping ParkShoppingSãoCaetano Pátio Savassi RibeirãoShopping ShoppingAnáliaFranco Shopping Santa Úrsula Shopping Vila Olímpia VillageMall


CAGR: Compounded Annual Growth Rate. Corresponds to a geometric mean growth rate on an annualized basis. CDI: Certificado de Depósito Interbancário (“Interbank Deposit Certificate”). Bonds issued by banks as a source of liquidity. Its average overnight annualized rate is used as a reference of interest rates in Brazilian Economy.

Complementary Rent: The difference (when positive) between the base rent and the rent consisting of a percentage of sales, as determined in the lease agreement. Core EBITDA: core EBITDA considers only the company‟s cash generation due to its core business, shopping center operations. Debenture: debt instrument issued by companies to borrow money. Multiplan‟s debentures are non-convertible, which means that they cannot be converted into equity shares. Moreover, a debenture holder has no voting rights. Deferred Income: Deferred key money and store buy back expenses. EBITDA: Net income (loss) plus expenses with income tax and social contribution on net income, non-operating income, financial result, depreciation and amortization, minority interest and non-recurring expenses. EBITDA does not have a single definition, and this definition of EBITDA may not be comparable with the EBITDA used by other companies. EBITDA Margin: EBITDA divided by Net Revenue. Economic CAPEX: The variation of property and equipment, intangible assets and deferred charges in a period of time added to the depreciation and amortization in the same period. EPS: Earnings per Share. Net Income divided by the total shares of the company. GCA: Gross Commercial Area, equivalent to the sum of all commercial areas in malls, in other words, GLA plus the stores sold. GLA: Gross Leasable Area, equivalent to the sum of all the areas available for lease in malls, excluding kiosks. IGP-DI Adjustment Effect: Is the weighted average of the monthly IGP-DI increase with a month of delay, divided by the percentage GLA that was adjusted on the respective month. Key Money (KM): Key money is the money paid by a tenant in order to open a store in a mall. The key money contract when signed is accrued in the deferred incomes accounts and accounts receivable, but its revenue is accrued in the key money revenue account in linear installments throughout the term of the leasing contract after its opening. Nonrecurring key money from new stores of new developments or expansions (opened in the last 5 years); ‟Operational‟ key money from stores that are being relocated within a mall already in operation. Merchandising: consists of all leases in a mall not involving the GLA area of the mall. Merchandise includes revenue from kiosks, stands, posters, leasing of pillar space, doors and escalators and other display locations in a mall. Minimum Rent (or Base Rent): Minimum rent paid by a tenant for a lease contract. Some tentants sign contracts with no fixed base rent, and in that case minimum rent corresponds to a percentage of their sales. Net Operating Income (NOI): Refers to the sum of the operating income (Rental revenue and shopping expenses) and income from parking operations (revenue and expenses). Revenue taxes are not considered. The NOI + KM also includes the key money from the contracts signed in the same period. NOI Margin: NOI divided by rent revenue and parking net income. Occupancy cost: Is the cost of leasing a store as a percentage of sales. It includes rent and other expenses (common and promotion fund expenses). Occupancy rate: leased GLA divided by total GLA Own GLA: or Company's GLA or Multiplan GLA, refers to total GLA weighted by Multiplan‟s interest in each mall. Parking: Parking revenue is the total amount (100%) of revenue collected by the shopping centers. Parking expenses (revenue transfer) are the share of the parking revenue that need to be passed on to the company‟s partners and condominiums. Potential Sales Volume (PSV) or Total Sell Out: Refers to the total number of units for sale in a real estate development, multiplied by the list price of each.


Sales: Sales reported by the stores in each of the malls. Same Area Rent/m² (SAR): Rent of the same area of the year before divided by the area‟s GLA less vacancy. Same-Store Rent/m² (SSR): Rent earned from stores that were in operation for over a year. Same Area Sales/m² (SAS): Sales of the same area of the year before divided by the area‟s GLA less vacancy. Same-Store Sales/m² (SSS): Sales of stores that were in operation for over a year. Satellite Stores: Small stores with no special marketing and structural features located around the anchor stores and intended for general retailing. Shopping Center Segments : Food Court – Includes fast food and restaurants operations Diverse – Cosmetics, bookstores, hair salons, pet shops and etc Home & Office – Electronic stores, decoration, art, office supplies, etc Services – Sports centers, entertainment centers, theaters, medical centers, banks operations, and etc. Apparel – Women and men Clothing, shoes and accessories stores TJLP: Taxa de Juros de Longo Prazo (“Long Term Interest Rate”) – usual cost of financing conceived by BNDES Turnover: Leased GLA in the period divided by total GLA TR: Taxa Referencial - (“ Reference interest rate ”) – Average interest rate used in the market.

This document may contain prospective statements, which are subject to risks and uncertainties as they were based on expectations of the Company‟s management and on the information available. These prospects include statements concerning our management‟s current intentions or expectations. Readers/investors should be aware that many factors may mean that our future results differ from the forward-looking statements in this document. The Company has no obligation to update said statements. The words "anticipate“, “wish“, "expect“, “foresee“, “intend“, "plan“, "predict“, “forecast“, “aim" and similar words are intended to identify affirmations. Forward-looking statements refer to future events which may or may not occur. Our future financial situation, operating results, market share and competitive positioning may differ substantially from those expressed or suggested by said forward-looking statements. Many factors and values that can establish these results are outside the company‟s control or expectation. The reader/investor is encouraged not to completely rely on the information above.