COMPANY PRESENTATION. June 2008

Transcription

1 COMPANY PRESENTATION June 2008

2 Disclaimer 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 available information. 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. 2

3 COMPANY OVERVIEW GROWTH STRATEGY 1Q08 FINANCIAL AND OPERATIONAL HIGHLIGHTS 3

4 Who We Are Quality Shopping Centers (Same Store Rent/sq.m.) 1Q % % Leadership in the Sector 89 (R$ millions) 1Q08 Iguatemi Multiplan BRMalls Iguatemi Multiplan BRMalls Source: Companies report Low Risk Interest, Management and Control Gross Revenue Adj. EBITDA Adj. FFO Source: Companies Report High Returns Average unleveraged IRR > 14% 46% 45% 64% 82% 41% 32% ParkShopping Exterior Expansion BarraShoppingSul New Development Iguatemi Multiplan BRMalls Source: Companies report Avg. Interest 1Q08 # SC >=50% Interest 1Q08 MorumbiShopping Mixed-use Shopping SantaÚrsula - Acquisition 4

5 MorumbiShopping: The Best of São Paulo! 5

6 Control of the Leading Shopping Centers in the Market Numbers confirm leadership in each city RS PR DF SP MG RJ AL # Shopping State % Total GLA 1Q08 NOI/sq.m Operating Shoppings Sales 1Q08 R$ M Occupancy Top Of Mind * 1 BHShopping MG 80.0% 34,739 sq.m. 273 R$/sq.m % 1º 2 RibeirãoShopping SP 76.2% 39,188 sq.m. 133 R$/sq.m % 1º 3 BarraShopping RJ 51.1% 69,829 sq.m. 317 R$/sq.m % 1º 4 MorumbiShopping SP 65.8% 54,958 sq.m. 350 R$/sq.m % 1º 5 ParkShopping DF 60.0% 39,775 sq.m. 162 R$/sq.m % 1º 6 DiamondMall MG 90.0% 20,806 sq.m. 247 R$/sq.m % 5º 7 New York City Center RJ 50.0% 22,068 sq.m. 112 R$/sq.m % 1º ** 8 Shopping AnáliaFranco SP 30.0% 39,310 sq.m. 218 R$/sq.m % 7º 9 ParkShoppingBarigüi PR 84.0% 41,405 sq.m. 108 R$/sq.m % 1º 10 Pátio Savassi MG 83.8% 15,538 sq.m. 220 R$/sq.m % 7º 11 Shopping SantaÚrsula SP 37.5% 24,043 sq.m n/a BarraShoppingSul (BIG) RS 100.0% 14,400 sq.m % n/a Sub-Total 64.0% 416,058 sq.m. 229 R$/sq.m. 1, % Shoppings Under Development 12 BarraShoppingSul RS 100.0% 52,229 sq.m. 13 Shopping VilaOlímpia SP 30.0% 26,901 sq.m. 14 Shopping Maceió AL 50.0% 36,000 sq.m. 15 LagoSul Shopping DF 65.0% 25,811 sq.m. Total 64.8% 556,998 sq.m. * Researches from Veja SP, IPDM, DataFolha and Tribuna & Recall between 2005 and 2008 in each city 4 ** Considered as part of BarraShopping Already Operating Under Development/Approval 6

7 Partnership with Ontario Teachers Pension Fund and the Market Source: BNDES (2007) US$ M Company Country Market Value Unibail-Rodamco France/Holland 28,558 Simon Property Group United States 23,478 Land Securities United Kingdom 20,263 British Land United Kingdom 16,319 Cadillac Fairview Canada 14,297 General Growth Properties United States 14,074 Metrovacesa Spain 13,327 Ivanhoe Cambridge Canada 11,603 Kimco Realty Corporation United Kingdom 10,734 Hammerson United Kingdom 9,791 Free-Float 25% MTP & Peres 40% Ownership Structure (147,799,441 shares) Ontario 35% Common Stocks 19% Preferred Stocks 16% Cadillac Fairview Financial Index US$ M Gross Revenue 1,590 NOI 845 Asset Value 16,797 Operational Index '000 sq.m. Shoppings 3,066 sq.m. Office 1,301 sq.m. Source: Company Toronto Eaton Centre, Toronto 7

8 COMPANY OVERVIEW GROWTH STRATEGY 1Q08 FINANCIAL AND OPERATIONAL HIGHLIGHTS 8

9 Return (IRR) Expansions (High Occupancy Rate - %GLA MTE) 94.2% 95.4% 96.0% 96.1% Minority Acquisitions (Shares to be acquired - % GLA) MTE 64.0% 97.4% 97.9% T08 PREVI 11.9% Others 9.5% A.FRANCO 6.6% FAPES 3.1% SISTEL 2.8% USIMINAS 2.2% 19% 16% 13% Potential Growth Growth Strategies Minority Acquisitions Expansions Low Medium High Risk Mixed-Use Projects New SC s Third Party SC s New Shopping Centers (Lack of SC s GLA/ 000 Hab.) 1, , USA Canada France Mexico Brazil Source: ABRASCE Third Party Acquisitions (Fragmented market - % Own GLA) 78.0% 5.3% 4.6% 3.2% 2.6% 2.5% 2.1% 1.8% Savoy BRMalls Multiplan Sonae Iguatemi Aliansce Brascan/Malzoni Others Source: ABRASCE, BNDES and companies 9

10 Investment +59% Own GLA 424 sq.m. Shopping Centers/Expansions 402 sq.m. 7 expansions under development + 44,166 sq.m. 327 sq.m. 338 sq.m. 353 sq.m. 365 sq.m. 4 expansions approved + 40,336 sq.m. 2 shoppings under construction + 79,130 sq.m. 266 sq.m. Mall Expansions New Mall Development 2 shoppings under approval + 61,811 sq.m. Current ¹ 2H08 1H09 2H09 1H10 2H10 2H14 ¹ Considering Shopping SantaÚrsula acquisition Not considering lands for Mixed-Use projects + 795,198 sq.m 100% Project Use of Proceeds (R$ '000) Reference > 2008 Renovation 22,814 49,245 10,367 BHS, RBS, BRS, MBS, PKS, DMM, NYCC, 6,795 SAF, PKB, PSV Shopping Development 102, , ,942 45,445 BSS, SVO, Maceió, LagoSul BHS, SAF, PKS Fashion, PKS Frontal, RBS, Shopping Expansion 11, ,391 56, PKS Gourmet, PKB Gourmet Land Acquisition 16, ,058 - Barra da Tijuca, São Caetano, Jundiaí, - Campo Grande Shopping Acquisition and Minority Acquisition 287,765 28, SantaÚrsula Working Capital 44, General Total 484, , ,441 52,271 10

11 BarraShoppingSul Mixed-Use Projects Cristal Tower Porto Alegre (RS) Land Bank Location % Type Area Cristal Tower Bridge connecting Cristal Tower to BarraShoppingSul. ParkShoppingBarigüi 90% Apart-Hotel 843 sq.m BarraShoppingSul 100% Res., Com., Hotel 16,164 sq.m RibeirãoShopping 100% Res., Com., Medical 200,970 sq.m Campo Grande 50% Residencial 338,913 sq.m Shopping AnáliaFranco 36% Residencial 29,800 sq.m MorumbiShopping 100% Comercial 1,554 sq.m Morumbi Shopping 50% Comercial 40,000 sq.m ParkShoppingBarigüi 94% Comercial 27,370 sq.m Barra da Tijuca 100% Comercial 36,748 sq.m Jundiaí 100% Comercial 57,836 sq.m São Caetano 100% Comercial 45,000 sq.m BarraShoppingSul complex lexo BSS (Futuro): dois prédios residenciais, um comercial e um hotel Project Details (MTE %) Total 74% 795,198 sq.m Contracs with ground lease or buy option are not included Barra Shopping Complex (RJ) Opening First Quarter of 2011 Private area to be sold 11,915 sq.m PSV Over R$ 70 M Barra Shopping Centro Empresarial Barra Shopping Royal Green Península New York City Center 11

12 Shoppings Under Development Shoppings Under Construction BarraShoppingSul: Opening in the 2 nd Half! Project Details (MTE %) Shoppings Under Approval Shopping Maceió: First Shopping in Northeast! Project Details (MTE %) Opening Oct/08 Opening Sep/10 Interest 100.0% Interest 50.0% GLA (sq.m.) 66,629 sq.m. GLA (sq.m.) 36,000 sq.m. Key Money R$ 30.8 M Key Money R$ 10.5 M CAPEX R$ M CAPEX R$ 82.3 M NOI 1st year R$ 25.8 M NOI 1st year R$ 8.9 M NOI 3rd year R$ 39.6 M NOI 3rd year R$ 12.3 M Shopping VilaOlímpia: Construction Started! Project Details (MTE %) LagoSul Shopping: First Class location in Brasília! Project Details (MTE %) Opening May/09 Opening Nov/10 Interest * 30.0% Interest * 65.0% GLA (sq.m.) 26,901 sq.m. GLA (sq.m.) 25,811 sq.m. Key Money R$ 20.0 M Key Money R$ 19.5 M CAPEX R$ 60.8 M CAPEX R$ M NOI 1st year R$ 7.4 M NOI 1st year R$ 13.2 M NOI 3rd year R$ 8.4 M * During construction, Multiplan interest is 42%. Due to a ground lease, Multiplan interest will be 30% after opening. Multiplan will be responsible for its management. NOI 3rd year * 35% ground lease R$ 16.8 M 12

13 Expansions Expansions Under Construction Project GLA MTE % Open. BHShopping Expansion 12,157 sq.m. 80.0% oct/09 Shopping AnáliaFranco Expansion 11,786 sq.m. 30.0% may/09 RibeirãoShopping Expansion 7,313 sq.m. 76.2% nov/08 ParkShopping Exp. Fashion 2,985 sq.m. 60.0% oct/08 ParkShopping Exp. Frontal 7,406 sq.m. 60.0% aug/09 ParkShopping Exp. Gourmet 1,327 sq.m. 60.0% sep/09 Expansions Approved Project GLA MTE % Open. ParkShoppingBarigüi Exp. II 8,505 sq.m. 84.0% may/10 BarraShopping Exp. VII 4,894 sq.m. 51.1% nov/10 DiamondMall Exp. II 5,299 sq.m. 90.0% mar/10 BarraShoppingSul Exp. I 21,638 sq.m % dec/14 Total 40,336 sq.m. 89.4% Total Own GLA 36,051 sq.m. 13.5% ParkShoppingBarigüi Exp. Gourmet 1,192 sq.m. 84.0% dec/08 Total 44,166 sq.m. 60.8% Total Own GLA 26,861 sq.m. 10.1% BHS Expansion SAF Expansion RBS Expansion PKS Expansions +24% Own GLA 329 sq.m. 329 sq.m. 305 sq.m. 307 sq.m. 293 sq.m. 266 sq.m. 274 sq.m. 278 sq.m. Expansions approved Expansions under construction Current 2H08 1H09 2H09 1H10 2H10 2H14 1H15 13

14 Acquisitions: Shopping SantaÚrsula Third Party Acquisition Investment: R$ 28.7 million (IRR > 14%) Shopping SantaÚrsula Ribeirão Shopping +211% $13,224 GLA 24,043 sq.m. 39,188 sq.m. Interest 37.50% 76.20% Management Multiplan Multiplan Vacancy (Mar 31, 2008) 18.20% 2.20% 3,180 R$/sq.m. +57% 5,000 R$/sq.m. $6,225 Rent/sq.m. (2007) R$ R$ Nº. of stores People flow 7.3 million 14.5 million Acquisition Cost (GLA) Construction Cost (GLA) Rent Revenue 2007 ¹ Considering RibeirãoShopping rent/sq.m. in 2007 (550 R$/sq.m.) Rent Revenue 2007¹ Multiplan Shopping Centers in the region SantaÚrsula main entrance Shopping SantaÚrsula inside view 14

15 Land Acquisitions Barra da Tijuca (RJ) São Caetano (SP) Jundiaí (SP) Size: 36,748 sq.m. Price: R$ 100 million Type: Commercial Highlights Highest growth region in RJ Last site available One of the highest income regions of RJ Multiplan domain Size: 57,836 sq.m. Price: R$ 81 million Type: Commercial Highlights The biggest urban reorganization plan of the country Mixed-use project 1 st shopping center of the region Size: 45,000 sq.m. Price: R$ 42 million Type: Commercial Highlights One of the richest cities of SP Site with many access possibilities Possibility of mixed-use project 15

16 COMPANY OVERVIEW GROWTH STRATEGY 1Q08 FINANCIAL AND OPERATIONAL HIGHLIGHTS 16

17 Source: Fecomércio SP, IBGE Highlights Brazil Investment Grade Achieved Composition of the Brazilian Population Class A/B 15% Class A/B 15% Class C 34% Class C 46% Standard & Poors on 30 of april 2008 upgraded Brazil's long-term foreign currency sovereign debt to BBB- Fitch Ratings on 29 of may 2008 upgraded Brazil's long-term foreign currency sovereign debt to BBB- Class D/E 51% Class D/E 39% Souce: IBGE, EXAME Magazine, Cetelem/Ipsos Retail Growth Particip. of classes in consumption (2008) Average Real Income (R$) Consumer Trust Index Real Retail Sales 1,250 1,200 A1 A2 4.6% 17.5% ,150 1,100 1,050 1,000 B1 B2 C1 C2 9.9% 20.0% 17.4% 24.6% D 5.7% 80 Jan-03 Jan-04 Jan-05 Jan-06 Jan-07 Jan E 0.3% Source: Target Marketing (Projections) 17

18 Operational Highlights * Shoppings Sales (R$ 000) Rent Revenue (R$ 000) +20.7% 4,320, % 3,581, , , , , % 350, , , % 200, ,642 1,045, , ,000 88,296 97,876 50, Q07 1Q Q07 1Q08 Same Store Sales/sq.m. (R$/sq.m.) Same Store Rent/sq.m. (R$/sq.m.) 1,200 12,000 10, % 11, % 1,000 9, , ,000 6, % % 400 4,000 2,491 2, , Q07 1Q Q07 1Q08 * Considering 100% interest 18

19 100,000 99,000 98,000 97,000 96,000 95,000 94,000 93,000 92,000 91,000 90,000 89,000 88,000 87,000 86,000 85,000 84,000 83,000 82,000 81,000 80,000 79,000 78,000 77,000 76,000 75,000 74,000 73,000 72,000 71,000 70,000 Financial Highlights Gross Revenue 1T08 (R$ 000) Headquarters (R$ 000) +8, ,699-5, ,339 67, % 54,951 77, % +15.9% 9,666 11,712 Gross Revenue 1Q07 Rent Services Key Money Parking Real Estate Sales Others Gross Revenue 1Q Q07 1Q08 Gross Revenue 2007 (R$ 000) Adj. Net Income (R$ 000) +29,296 +3, , % 176, ,315 +7,587 +5, , % 276, % 38,533 50,419 Gross Revenue 2006 Rent Services Key Money Parking Real Estate Sales Others Gross Revenue Q07 1Q08 19

20 Rent Revenue Rent Revenue 1T08 (R$ 000) Gross Revenue Breakdown 1T % +4.2% +30.4% Minimum, 85.8% +6, ,411 60,564 Parking Revenue, 14.2% 52,453 Key money, 5.3% Rent, 67.8% +15.5% Service Revenue, 12.6% Merchandising, 10.0% Overage, 4.2% Rent 1Q07 Minimum Overage Merchandising Rent 1Q08 Rent Revenue 2007 (R$ 000) Rent as Sales % * Historical Occupancy Rate * +21.4% +45.6% +12.7% +3,402 +4, , , % Overage Minimum 97.4% 97.9% 187, % 0.37% 94.2% 95.4% 96.0% 96.1% +21.5% 7.72% Rent 2006 Minimum Overage Merchandising Rent Q07 1Q T08 * Considering 100% interest 20

21 Adjusted FFO & EBITDA Adj. FFO and Adj. FFO/sq.m. (R$ 000) Adjusted EBITDA (R$ 000) +67.7% 200, , % 70.0% % 43,704 58, , % 63.1% 50,547 51, % 60.0% 50.0% Q07 1Q % +47.8% 851 R$/m² Q07 1Q Ebitda Ajustado Margem R$/m² +22.5% 202 R$/m² 247 R$/m² Q08 EBITDA Margin EBITDA Margin Shopping 203, % 45, % Parking 13, % 5, % Real Estate 12, % 2, % Development (22,093) 0.0% (2,511) 0.0% Equity method Impact 1, % % Other Results 2, % % Q07 1Q08 Operating Results 212, % 51, % 21

22 Indebtedness Gross Debt (R$ 000) Gross Debt/Adjusted EBITDA Annualized * 252, , , , ,127 99, , , , Q08 Short Term Long Term R$ 800 M 7.3 x R$ 700 M R$ 600 M R$ 500 M R$ 400 M R$ 300 M 1.3 x 1.1 x 1.2 x 0.9 x 1.0 x R$ 200 M 1.2 x 0.7 x 0.4 x R$ 100 M - 1Q06 2Q06 3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 1Q08 Debt (Banks) Debt (Others) (#.#x) Gross Debt/Annual EBITDA Net Debt (R$ 000) Bank vs. Non-Bank 195,511 NON-BANK 87% (208,861) (110,108) BANK 13% Q08 * Considering that EBITDA is doubled on december 22

23 Operating and Financial Performance Financials (R$ 000) Financials 1Q08 1Q07 Chg. % Gross Revenue 89,339 77, % Net Revenue 80,892 70, % Headquarters 11,712 9, % Rent Revenue 60,564 52, % Rent Revenue/sq.m. 258 R$/sq.m. 242 R$/sq.m. 6.5% Adjusted EBITDA 51,228 50, % Adjusted EBITDA/sq.m. 218 R$/sq.m. 233 R$/sq.m. 6.5% Adjusted EBITDA Margin 63.3% 71.8% 8.5 p.p Shopping EBITDA 45,048 46, % Shopping EBITDA/sq.m. 192 R$/sq.m. 214 R$/sq.m. 10.3% Shopping EBITDA Margin 65.4% 74.9% 9.6 p.p Adjusted FFO 58,003 43, % Adjusted FFO/sq.m. 247 R$/sq.m. 202 R$/sq.m. 22.5% Performance Performance 1Q08 1Q07 Chg. % Total GLA 377,615 sq.m. 359,064 sq.m. 5.2% Own GLA 234,825 sq.m. 216,661 sq.m. 8.4% NOI 86,613 76, % NOI/sq.m. 229 R$/sq.m. 212 R$/sq.m. 7.9% Total Sales 1,045, , % Total Sales/sq.m. 2,769 R$/sq.m. 2,408 R$/sq.m. 15.0% Same Stores Sales/sq.m. 2,839 R$/sq.m. 2,491 R$/sq.m. 14.0% Same Stores Rent/sq.m. 235 R$/sq.m. 218 R$/sq.m. 7.7% Occupancy Costs 13.6% 14.1% 0.5 p.p Rent as Sales % 8.4% 9.2% 0.8 p.p Others as Sales % 5.2% 5.0% 0.3 p.p Turnover 1.1% 0.8% 0.3 p.p Occupancy Rate 97.9% 97.1% 0.8 p.p Delinquency 3.2% 6.6% 3.3 p.p 23

24 IR Contact Armando d Almeida Neto CFO and Investors Relation Director Hans Christian Melchers Planning & Investor Relations Manager Rodrigo Tiraboschi Investor Relations Analyst Senior Tel.: +55 (21) Fax: +55 (21) ri@multiplan.com.br 24