ITR Quarterly Information Form- 6/30/ RESTOQUE COM E CONFECÇÕES DE ROUPAS SA Version: 1. Statement of Capital 1.

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1 ITR Quarterly Information Form- 6/30/ RESTOQUE COM E CONFECÇÕES DE ROUPAS SA Table of Contents Company Information Statement of Capital 1 Dividends Paid 2 Parent Company Financial Statements Statement of Financial Position Assets 3 Statement of Financial Position Liabilities 4 Statement of Income 5 Statement of Comprehensive Income 6 Statement of Cash Flows 7 Statement of Changes in Equity DMPL 1/1/2013 to 6/30/ DMPL 1/1/2012 to 6/30/ Statement of Value Added 11 Comments on the Company s Performance 12 Notes to the Financial Statements 27 Other Information Deemed as Relevant by the Company 54 Reports and Statements Unqualified Report on Special Review 57

2 ITR Quarterly Information Form- 6/30/ RESTOQUE COM E CONFECÇÕES DE ROUPAS SA Company Information / Statement of Capital Number of Shares (in thousands) Current Quarter 6/30/2013 Paid-up Capital Common 172,171 Preferred 0 Total 172,171 Treasury Shares Common 1,058 Preferred 0 Total 1,058 PAGE: 1 of 44

3 ITR Quarterly Information Form- 6/30/ RESTOQUE COM E CONFECÇÕES DE ROUPAS SA Company Information / Dividends paid Event Approval date Type Date of payment Type of share Class of share Amount per share (R$ / Share) Board of Directors Meeting 1/5/2012 Dividend 1/20/2012 Common Board of Directors Meeting 3/5/2013 Dividend 4/3/2013 Common PAGE: 2 of 44

4 ITR Quarterly Information Form- 6/30/ RESTOQUE COM E CONFECÇÕES DE ROUPAS SA Parent Company Financial Statements / Statement of Financial Position Assets (R$ Thousands) Code Description Current Quarter 6/30/2013 Previous Year 12/31/ Total assets 1,002, , Current assets 519, , Cash and cash equivalents 271, , Accounts receivable 39,326 31, Clients 31,039 26, Clients 31,039 26, Other accounts receivable 8,287 5, Accounts receivable from shopping malls 3,273 2, Other receivables 5,014 2, Inventories 184, , Taxes recoverable 16,263 18, Current taxes recoverable 16,263 18, Taxes recoverable 16,263 18, Prepaid expenses 7,021 8, Non-current assets 483, , Long-term assets 20,469 13, Accounts receivable 3,302 2, Other accounts receivable 3,302 2, Deferred taxes 16,701 10, Tax assets 16,701 10, Prepaid expenses Prepaid expenses Property and equipment 324, , Property and equipment in operation 312, , Construction in progress 12,571 23, Intangible assets 138, , Intangible assets 138, ,350 PAGE: 3 of 44

5 ITR Quarterly Information Form- 6/30/ RESTOQUE COM E CONFECÇÕES DE ROUPAS SA Parent Company Financial Statements / Statement of Financial Position Liabilities (R$ Thousands) Code Description Current Quarter Previous Year 6/30/ /31/ Total liabilities 1,002, , Current liabilities 191, , Payroll and labor charges 26,680 34, Suppliers 89,010 81, Domestic suppliers 89,010 81, Tax liabilities 25,797 27, Loans and borrowings 30,436 75, Loans and borrowings 22,412 69, In foreign currency 22,412 69, Debentures 7,450 5, Finance lease Other liabilities 19,679 39, Other 19,679 39, Minimum mandatory dividend payable 0 2, Other accounts payable 17,268 35, Sundry advances 2,411 2, Non-current liabilities 632, , Loans and borrowings 606, , Loans and borrowings 91, , In foreign currency 91, , Debentures 497, , Finance lease 16,623 16, Other liabilities 20,506 19, Other 20,506 19, Other accounts payable 20,468 19, Sundry advances Provisions 5,658 4, Other provisions 5,658 4, Provision for contingencies 5,658 4, Equity 178, , Paid-up capital 132, , Capital reserves 13,075 12, Profit reserves 33,461 63, Legal reserve 4,650 4, Unrealized profit reserve 38,574 51, Additional dividend proposed 0 7, Treasury shares -9, PAGE: 4 of 44

6 ITR Quarterly Information Form - 6/30/ RESTOQUE COM E CONFECÇÕES DE ROUPAS S.A. Parent Company Financial Statements / Statement of Income (R$ Thousands) Code Description YTD Current Year 1/1/2013 to 6/30/2013 Same Quarter Previous Year 4/1/2012 to 6/30/2012 YTD Previous Year 1/1/2012 to 6/30/2012 Current Quarter 4/1/2013 to 6/30/ Revenue from sales of goods and/or services 167, , , , Cost of goods and/or services sold -51, ,317-54, , Gross profit 116, , , , Operating expenses/income -97, , , , Selling expenses -45,529-99,981-57, , General and administrative expenses -34,594-70,445-36,240-62, Other operating income , Other operating expenses -17,858-33,750-7,022-11, Depreciation and amortization expenses -14,266-28,782-6,482-11, Other operating expenses -3,592-4, Earnings before financial result and taxes 18,156 24,757 8,870 27, Financial result -23,645-44,227-28,242-27, Finance income 12,636 22,570 2,900 24, Finance expenses -36,281-66,797-31,142-51, Earnings before taxes on income -5,489-19,470-19, Income and social contribution taxes 1,659 6,166 6,529 1, Current 0 0 1,749 1, Deferred 1,659 6,166 4, Profit from continuing operations -3,830-13,304-12, Profit/loss for the period -3,830-13,304-12, Earnings per share (R$/share) Basic earnings per share Common shares Diluted earnings per share Common shares PAGE: 5 of 44

7 ITR Quarterly Information Form - 6/30/ RESTOQUE COM E CONFECÇÕES DE ROUPAS S.A. Parent Company Financial Statements / Statement of Comprehensive Income (R$ Thousands) Code Description Current Quarter 4/1/2013 to 6/30/2013 YTD Current Year 1/1/2013 to 6/30/2013 Same Quarter Previous Year 4/1/2012 to 6/30/2012 YTD Previous Year 1/1/2012 to 6/30/ Profit for the period -3,830-13,304-12, Comprehensive income for the period -3,830-13,304-12, PAGE: 6 of 44

8 Parent Company Financial Statements / Statement of Cash Flows Indirect Method (R$ Thousands) Code Description YTD Current Year 1/1/2013 to 6/30/2013 YTD Previous Year 1/1/2012 to 6/30/ Net cash from operating activities 33,110 7, Cash generated from operations 51,334 41, Earnings before taxes -19, Depreciation and amortization 28,782 11,064 Profit/(loss) from property and equipment and intangible assets written off Interest expenses 20,808 11, Exchange variation on borrowings 8,702 15, Allowance for doubtful accounts Provision for profit sharing Stock option plan APV of finance lease Provision for restructuring Provision for inventory losses Provision for tax and labor risks NDF expenses 9, Changes in assets and liabilities -18,224-33, Accounts receivable -5,527 4, Inventories 6,861-60, Taxes recoverable 1,769-5, Prepaid expenses 1,009-8, Other receivables -2,791-3, Judicial deposits Suppliers 7,249 28, Accounts payable from the replacement of licensees Tax liabilities -2,109 3, Income tax and social contribution paid 0-6, Labor liabilities -7,144 7, Other accounts payable -16,782 7, Sundry advances Related parties Net cash from investing activities -37, , Increase in property and equipment -25,525-96, Increase in intangible assets -12,583-19, Amount received from goodwill Amount received from the sale of property and equipment Net cash from financing activities 21, , Loans and debentures 149, , Interest paid -17,542-4, Treasury shares -9,503-6, Gain (loss) from sale of treasury shares 318-1, Dividends paid -10,000-10, Accounts payable to shareholders Financial lease Payment of bank borrowings -79,174-6, NDF payment -10, Increase (decrease) in cash and cash equivalents 17, ,147 PAGE: 7 of 44

9 ITR Quarterly Information Form 6/30/2013 RESTOQUE COM E CONFECÇÕES DE ROUPAS SA Cash and cash equivalents at the beginning of the period 254,307 72, Cash and cash equivalents at the end of the period 271, ,043 Page 8 of 44

10 Parent Company Financial Statements / Statement of Changes in Equity / DMPL 1/1/2013 to 6/30/2013 (R$ Thousands) Code Description Paid-up Capital Capital Reserves, Options Granted and Treasury Shares Profit Reserves Retained earnings/ Accumulated losses Other Comprehensive Income 5.01 Opening balances 132,338 19,372 56, , Adjusted opening balances 132,338 19,372 56, , Capital transactions with partners 0-9,185-7, , Treasury shares acquired 0-9, , Dividends 0 0-7, , Gain on the sale of treasury shares Total comprehensive income , , Profit for the period , , Internal changes to equity Stock option plan Closing balances 132,338 10,739 35, ,874 Equity PAGE: 9 of 44

11 Parent Company Financial Statements / Statement of Changes in Equity / DMPL 1/1/2012 to 6/30/2012 (R$ Thousands) Code Description Paid-up Capital Capital Reserves, Options Granted and Treasury Shares Profit Reserves Retained earnings/ Accumulated losses Other Comprehensive Income 5.01 Opening balances 131,150 17,356 48, , Adjusted opening balances 131,150 17,356 48, , Capital transactions with partners 0-7,798-1, , Treasury shares acquired 0-7, , Dividends 0 0-1, , Total comprehensive income Profit for the period Internal changes to equity Stock option plan Closing balances 131,150 10,231 48, ,702 Equity PAGE: 10 of 44

12 Parent Company Financial Statements / Statement of Value Added (R$ Thousands) Code Description YTD Current Year 1/1/2013 to 6/30/2013 YTD Previous Year 1/1/2012 to 6/30/ Revenues 494, , Sales of goods, products and services 494, , Other revenues 0 4, Allowance for/reversal of doubtful accounts Input acquired from third parties -182, , Cost of goods sold and services rendered -134, , Materials, energy, outsourced services and others -36,631-39, Others -11,951-8, Gross value added 311, , Retentions -28,782-11, Depreciation, amortization and depletion -28,782-11, Net value added produced 282, , Value added received in transfer 22,570 24, Finance income 22,570 24, Total value added to distribute 305, , Distribution of value added 305, , Employees 79,396 71, Direct compensation 59,125 55, Benefits 13,596 10, Government Severance Fund for Employees (FGTS) 6,675 5, Taxes, fees and contributions 134, , Federal 49,738 50, State 83,557 67, Municipal 1, Value distributed to providers of capital 104,543 82, Interest 66,797 51, Rental 37,721 30, Others Value distributed to shareholders -13, Retained earnings / accumulated losses for the period -13, PAGE: 11 of 44

13 ITR Quarterly Information Form - 6/30/ RESTOQUE COM E CONFECÇÕES DE ROUPAS SA COMMENTS ON THE COMPANY S PERFORMANCE PAGE: 12 of 44

14 2Q13 EBITDA margin up 990bps YoY EBITDA up 111.2%, at R$32.4mn Gross margin up 230bps YoY Operational cash flow R$49.0mn in 2Q13 São Paulo, Brazil, August 14, Brazilian premium fashion retailer Restoque Comércio e Confecções de Roupas S.A. ( the Company ) (LLIS3) reports its results for the second quarter of 2013 (2Q13) and the first six months of 2013 (1H13). Financial results are presented in compliance with International Financial Reporting Standards (IFRS). Comparisons are with second quarter 2012 (2Q12) and the first six months of 2012 (1H12), or as indicated. Conference calls on these results In Portuguese Date: August 15, 2013 (Thursday) Time: 10 a.m. Brasília time 9 a.m. NY time Connect: +55 (11) Password: Restoque Replay: +55 (11) Password: In English Date: August 15, 2013 (Thursday) Time: 11 a.m. Brasília time 10 a.m. NY time Connect: +1 (412) Password: Restoque Replay: +1 (412) Password: CEO: Alexandre Afrange IRO: Cristián Melej Investor Relations Tel.: +55 (11) ri@restoque.com.br Rua Othão, 405, São Paulo, SP, Brazil Highlights Lower net revenue growth (+2.7% year-on-year), driven by lower volume of leftover products from the winter collection, which resulted in lower volume of products offered and average discount applied in June s off-price sales; Rationalization plan for selling, general and administrative expenses started in 3Q12 continues to yield results, with a reduction of 9.4 p.p. in 2Q13 vs. 2Q12; Operational cash flow of R$49.0mn in 2Q13; EBITDA margin up 9.9 p.p. in 2Q13 vs. 2Q12, at 19.3% 2Q13 EBITDA R$32.4mn, up 111.2% from 2Q12; US dollar debt currency exposure eliminated at rate of R$2.04 during 2Q13. 2Q12 2Q13 Change% 2Q13/ 1H12 1H13 Change% 1H13/ (Thousands of R$) 2Q12 1H12 Net operating revenue 163, , % 302, , % Le Lis Blanc 124, , % 237, , % Bo.Bô 23,939 19, % 44,802 44, % John John 9,995 22, % 14,848 53, % Noir 3,374 6, % 3,670 12, % Others 2 1,529 5, % 1,890 10, % Gross Profit 109, , % 199, , % Gross Margin 66.8% 69.1% 2.3p.p. 65.8% 63.0% -2.8p.p. EBITDA 15,352 32, % 38,232 53, % EBITDA Margin 9.4% 19.3% 9.9p.p. 12.6% 14.7% 2.1p.p. Net Income (12,843) (3,830) -70.2% 864 (13,304) -1,640.2% % of Net revenue -7.8% -2.3% 5.6p.p. 0.3% -3.7% -3.9p.p. Adjusted EBITDA 1 22,141 33, % 39,821 56, % Adjusted EBITDA Margin 13.5% 19.9% 6.4p.p. 13.2% 15.6% 2.4p.p. Adjusted Net income by the amortization of goodwill tax credits, non recurring items and exchange rate variation 1 6,726 2, % 15,163 (824) % % of Net revenue 4.1% 1.3% -2.8p.p. 5.0% -0.2% -5.2p.p. 1 See pages 2 and 8. 2 Others include sales on discount channels (Outlets, private on-line sales clubs and bazaars). Net revenue for each brand includes own stores, wholesale and e-commerce. 1

15 2Q13 Highlights of the period The 2Q13 was marked by a lower volume of leftover products from the winter collection, which resulted in fewer items available to be sold in June s off-price sales. This effect resulted in a smaller sales growth (+2.7% vs. 2Q12), impacting negatively our same store sales for the quarter. Our sales were also affected by the demonstrations that took place during June, which caused some stores to close during certain days. Our gross margin remained stable, averaging 70.3% in the period from February to May of 2013, with exception of June, month in which our gross margin dropped to 66.2% due to the off-price sales. As a result, we presented a gross margin recovery of 11.4 p.p. in 2Q13 when compared to 1Q13, and a 2.3 p.p. expansion when compared to 2Q12. Our gross margin expansion, combined with a strict discipline in controlling our SG&A expenses (9.4 p.p. lower in 2Q13 when compared to 2Q12), allowed for a strong recovery in our EBITDA margin, which expanded 9.9 p.p.in 2Q13 when compared to 2Q12. In 2Q13 our EBITDA reached R$34.2mn, with EBITDA margin of 19.3%, presenting a 111.2% growth vs. 2Q12 (R$15.4mn and 9.4% EBITDA margin). Quarterly Selling, general and administrative expenses and Gross margin (as % of net revenue) 62.3% 66.9% 68.7% 76.5% 66.8% 71.6% 72.5% 69.1% 44.0% 44.8% 47.8% 44.0% 51.3% 57.1% 58.7% 49.6% 46.2% 47.7% 64.7% 57.8% 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 SG&A expenses (% net revenue) 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 Gross Margin This growth in EBITDA, combined with a reduction of working capital, allowed for a substantial improvement in operational cash flow which totaled R$49.0mn in the quarter, 115.6% more than in 2Q12. Our financial expenses in 2Q13 were R$23.6mn, negatively affected by R$4.8mn of non-recurring penalty payments and interest associated with our voluntary adherence to Sao Paulo State s amnesty for claims regarding debits of the state ICMS tax referenced to years 2006 to The impact of foreign exchange rate variation on our debt in US dollars was R$2.3mn in the quarter, in spite of the strong depreciation of the Real in the period. We took actions to eliminate our currency exposure related to our US dollar denominated debt during 2Q13, completed at an average exchange rate of BRL/USD of The strong increase in our depreciation expense, from R$6.5mn in 2Q12 to R$14.3mn in 2Q13, combined with R$8.1mn of non-recurring expenses (R$1.0mn of extraordinary expenses, R$4.8mn referring to the ICMS tax amnesty agreement and R$2.3mn of exchange rate variation), negatively impacted our net income, which was a net loss of R$3.8mn in 2Q13. On a cash basis and excluding non-recurring items, our result would have been substantially better. 2

16 2Q13 Operational summary This table gives our main operational indicators: 2Q12 2Q13 Change% 2Q13/ 2Q12 1H12 1H13 Change% 1H13/ 1H12 Restoque Total number of company stores % % Total sales area of company stores (m²) 34,352 49, % 34,352 49, % Average sales area of company stores (m²) 32,721 49, % 30,435 48, % Sales per Square Meters (R$/m²) 4,540 2, % 8,801 6, % Average ticket % % SSS 6.2% -19.0% NA 5.6% -10.2% NA Le Lis Blanc Total number of company stores % % Total sales area of company stores (m²) 26,727 32, % 26,727 32, % Average sales area of company stores (m²) 25,793 32, % 25,330 31, % Sales per Square Meters (R$/m²) 4,460 3, % 8,517 6, % Average ticket % % SSS 3.4% -16.3% NA 3.1% -8.2% NA Bo.Bô Total number of company stores % % Total sales area of company stores (m²) 3,106 3, % 3,106 3, % Average sales area of company stores (m²) 3,015 3, % 2,753 3, % Sales per Square Meters (R$/m²) 7,516 4, % 14,333 11, % Average ticket 1,053 1, % 1,052 1, % SSS 38.6% -32.9% NA 35.9% -19.5% NA John John Total number of company stores % % Total sales area of company stores (m²) 2,588 9, % 2,588 9, % Average sales area of company stores (m²) 2,148 9, % 1,469 8, % Sales per Square Meters (R$/m²) 3,615 2, % 6,519 5, % Average ticket % % SSS % NA % NA Noir, Le Lis Total number of company stores % % Total sales area of company stores (m²) 1,931 4, % 1,931 4, % Average sales area of company stores (m²) 1,765 4, % 883 4, % Sales per Square Meters (R$/m²) 1,761 1, % 3,523 2, % Average ticket % % SSS % NA % NA 3

17 2Q13 Results Operational performance of stores In 2Q13 we opened 3 company stores under the John John brand, 3 company stores under the Le Lis Blanc brand and 4 insertions of the Noir, Le Lis brand (including a corner in one of the new Le Lis Blanc stores and 3 corners in existing Le Lis Blanc stores, without increase in area of existing stores). In 2Q13 the Company has started a selling area optimization process for Noir, Le Lis, thus converting 2 Noir, Le Lis stores to John John stores, resulting in an immediate increase in productivity for these stores. Further on, we are working to convert Noir, Le Lis stores into corners located inside of Le Lis Blanc existing stores along Thus, the total of John John stores added in the period was 5 (3 new stores and 2 conversions), and the total number of Noir, Le Lis sales points added was two. At the end of 2Q13 our selling area in company stores was 45.4% more than at the end of 2Q12 - increased from 34,352m 2 in 139 company stores, at the end of 2Q12, to 49,959m 2 in 222 company stores, at the end of 2Q13. 2Q12 1Q13 2Q13 Change% 2Q13/ 2Q12 Change% 2Q13/ 1Q13 Number of Le Lis Blanc company stores % 3.2% Number of Noir, Le Lis company stores % 5.9% Number of Bo.Bô company stores % - Number of John John company stores % 12.8% Total number of company stores % 4.7% Sales area of Le Lis Blanc company stores (m²) % 2.0% Sales area of Noir, Le Lis company stores (m²) % -1.6% Sales area of Bo.Bô company stores (m²) % - Sales area of John John company stores (m²) % 9.3% Total sales area of company stores (m²) % 2.9% At the end of 2Q13, our average selling area per company stores was 225m 2. By brand, average selling area per company stores was: 329m 2 for Le Lis Blanc company stores, 79m 2 for Bo.Bô company stores, 221m 2 for John John company stores and 124m 2 for Noir, Le Lis company stores. 4

18 2Q13 Gross revenue Our 2Q13 gross revenue was R$253.8mn, 5.0% higher than in 2Q12 (R$241.7mn). Sales growth in the quarter mainly reflected the increase in sales through the channel of multi-brand stores, e-commerce and outlets (other channels), respectively up 14.2%, 63.3% and 135.9%. Gross revenue (R$mn) Change % 2Q13/2Q12 Change % 1H13/1H12 Other Channels Multi-brand stores Company stores +5.0% % % +1.5% Other Channels Multi-brand stores Company stores % % % +18.7% 2Q12 2Q13 1H12 1H13 Company stores In 2Q13 our gross revenue from company stores was 1.5% higher than in 2Q12. Same-store sales 1 were 19.0% lower in 2Q13 than in 2Q12, reflecting the lower volume in the off-price seasonal sales for the winter collection. (In thousands of R$) 2Q12 2Q13 Change% 2Q13/ 2Q12 1H12 1H13 Change% 1H13/ 1H12 Gross sales from company stores (R$'000) 219, , % 393, , % Year-on-year growth in same-store gross sales (%) 6.2% -19.0% NA 5.6% -10.2% NA Multi-brand stores Gross revenue from sales to multi-brand stores continued to grow strongly in 2Q13, and were 14.2% higher in 2Q13, at R$18.2mn, than in 2Q12 (R$16.0mn). It s worth mentioning we were already operating in the wholesale channel with the four brands in 2Q12. Other channels Our other revenues, comprising mainly sales through other channels (outlets, private on-line sales clubs, and 1 Stores compared are company stores that have been in operation for twelve months or more. The comparison considers gross sales of company stores that were in operation during both periods being compared. If a store is included in the calculation of same-store sales for only part of one of two compared periods, then it is included in the calculation of only the corresponding part of the other period. When operation of a store is discontinued, sales of that store are excluded from calculation of same-store sales for both periods. When sales area of a company store is increased by more than 15%, its sales are not considered in the calculation until after twelve months have elapsed from conclusion of that expansion. 5

19 2Q13 Bazaars) and e-commerce, were up 102.4% in 2Q13 compared to 2Q12, mainly due to: increase in our network of outlets, enabling sales through discount channels to increase by 135.9% in 2Q13 vs. 2Q12; growth in the e-commerce operation, which were up 63.3% YoY in 2Q13, representing 1.5% of the Company s gross revenue in the quarter. Net revenue Net revenue in 2Q13, at R$168.0mn, was 2.7% higher than in 2Q12 (R$163.6mn). Net revenue (R$mn) % % Q12 2Q13 1H12 1H13 Gross profit Our gross profit in 2Q13 was up 6.3% year-on-year, at R$116.1mn, compared to R$109.3mn in 2Q12. Gross margin was 2.3 p.p. higher than in 2Q12. As a result, in the first half of 2013 our gross margin was 63.0%, compared to 65.8% in 1H12, and 2.8 percentage points lower year-on-year in the first six months of 2013 (reflecting the extraordinary off-price sale held in 1Q13). Gross profit and gross margin (R$mn,%) Gross Margin (%) Gross Profit (R$ Million) % 69.1% 65.8% 63.0% 2Q12 2Q13 1H12 1H13 6

20 2Q13 Sales, general and administrative expenses Our selling, general and administrative expenses were 9.4 percentage points lower (over net revenue) in 2Q13 than in 2Q12, mainly reflecting the following: (i) efforts made for rationalization of personnel and optimization of staff in stores, put in place since the second half of 2012; (ii) scale gains due to growth in revenue of the new brands, in relation to their back-office structures; (iii) normalization of marketing expenses after the year of 2012, with its launches of new brands; (iv) lower incidence of extraordinary expenses and store pre-operational expenses in the quarter, reflecting the normalization of our logistics/back-office operations and the lower volume of store openings in In 2Q13 selling expenses (which include all the Company s expenses on personnel and marketing) were 7.8 percentage points lower as a percentage of net revenue, at 27.1% in 2Q13 (totaling R$45.5mn), than in 2Q12 (34.9%, totaling R$57.2mn). In the first half of 2013, selling expenses were down 6.3 percentage points, from 33.8% in 1H12 to 27.5% in 1H13. Our general and administrative expenses were 1.6 p.p. lower as a percentage of net revenue, at 20.6% (totaling R$34.6mn) in 2Q13, than in 2Q12 (22.1%, totaling R $36.2mn). In the first half of 2013, SG&A was 1.2 percentage points lower, at 19.4% in 1H13, compared to 20.6% in 1H12. Our other revenues and expenses in 2Q13 totaled a net expense of R$3.6mn (2.1% of net revenue), in comparison to an expense of R$0.5mn (0.3% of net revenue) in 2Q12. This mainly reflects provisions related to inventories and extraordinary expenses of R$0.6mn booked in 2Q13. EBITDA and EBITDA margin Our EBITDA in 2Q13 was R$32.4mn, compared to R$15.4mn in 2Q12. There was a strong increase in our EBITDA margin, to 19.3% in 2Q13, compared to 9.4% in 2Q12, reflecting the normalization in gross margin combined with our strict control of sales, general and administrative expenses. Adjusted for the extraordinary expenses, our 2Q13 EBITDA was R$33.5mn, with EBITDA margin of 19.9%, compared to R$22.1mn, with margin of 13.5% in 2Q12. (In thousands of R$) 2Q12 2Q13 Change % 2Q13/ 2Q12 1H12 1H13 Change % 1H13/ 1H12 Net Income (12,843) (3,830) -70.2% 864 (13,304) % (+) Financial expenses, net (ex. exchange rate variation) 7,901 21, % 12,651 34, % (+) Exchange rate variation and hedging expense, net 20,341 2, % 15,036 9, % (+) Income and social contribution taxes (6,529) (1,659) -74.6% (1,383) (6,166) 345.8% (+) Depreciation and amortization 6,482 14, % 11,064 28, % EBITDA 15,352 32, % 38,232 53, % EBITDA margin 9.4% 19.3% 9.9 p.p. 12.6% 14.7% 2.1 p.p. (+) Extraordinary expenses 6,790 1,041 NA 1,590 2,996 NA Adjusted EBITDA 22,141 33, % 39,821 56, % Adjusted EBITDA margin 13.5% 19.9% 6.4 p.p. 13.2% 15.6% 2.4 p.p. 7

21 2Q13 Depreciation, amortization and financial revenue (expenses) We had net financial expenses of R$28.2mn in 2Q12, compared to R$23.6mn in 2Q13, mainly as a result of: (i) an exchange rate variation expense of R$20.3mn on our US dollar-denominated debt reported in the previous year (2Q12), compared to an expense of R$2.3mn this year (2Q13); (ii) a non-recurring expense of R$4.8mn of penalty payments and interest associated with our entering the São Paulo State ICMS tax amnesty agreement (regarding debits of ICMS tax referenced to years 2006 to 2008), recorded in 2Q13; (iii) higher interest expense associated with the Company s higher average net debt in 2Q13 than 2Q12. Our expenses on depreciation and amortization increased from R$6.5mn in 2Q12 to R$14.3mn in 2Q13, mainly due to the increase in our base of fixed and intangible assets. Net income We report a net loss of R$3.8mn in 2Q13, compared to a loss of R$12.8mn in 2Q12. Excluding extraordinary expenses, our result for 2Q13 is a loss of R$3.1mn, which compares to an adjusted loss of R$8.4mn in 2Q12. Out net income for the period was negatively affected by the high depreciation expense (R$14.3mn) and by non recurring expenses (R$4.8mn of penalty payments and interests related to the ICMS tax amnesty agreement and R$1.0mn of extraordinary expenses). The table below reconciles Net income, Adjusted net income and Net income adjusted for amortization of goodwill tax credits, non-recurring financial expenses and exchange rate variation. 2Q12 2Q13 Change% 2Q13/ 2Q12 1H12 1H13 Change% 1H13/ 1H12 In thousand of R$ Net Income (12,843) (3,830) -70.2% 864 (13,304) % (+) Extraordinary expenses 6,790 1, % 1,590 2, % (+) Income tax for extraordinary expenses (2,308) (354) -84.7% (540) (1,019) 88.5% Adjusted Net income (8,362) (3,143) -62.4% 1,913 (11,327) % (+) Tax benefit of the amortization of the goodwill tax credits 1, % 3,327 1, % (+) Non recurring financial expenses - 4,810 NA - 4,810 NA (+) Exchange variance 20,341 2, % 15,036 9, % (+) Income tax for non-recurring financial expenses and exchange rate variation (6,916) (2,409) -65.2% (5,112) (4,784) -6.4% Adjusted Net income by the amortization of the goodwill tax credits, non-recurring financial expenses and 6,726 2, % 15,163 (824) % exchange rate variation % of Net sales 4.1% 1.3% -2.8p.p. 5.0% -0.2% -5.2p.p. 8

22 2Q13 Debt At the end of 2Q13 we had net debt of R$347.6mn. Our net debt increased by R$12.1mn from the end of 1Q13 to the end of 2Q13, mainly as a result of our investments of R$16.8mn made in 2Q13, the payment of R$10.0mn in dividends, and a buyback, completed in the period, of R$9.5mn in shares to be held in treasury. This was allowed by our strong operational cash flow, which was R$49.0mn in 2Q13. In thousand of R$ 2Q12 1Q13 2Q13 Cash and cash equivalents 281, , ,898 Loans and financings, short-term (34,038) (83,913) (29,862) Loans and financings, long-term (516,188) (448,783) (589,590) Net Debt (269,183) (335,458) (347,554) Inventories Our inventories at the end of 2Q13 were R$184.8mn, 3.4% higher than at the end of 1Q13, mainly due to the receipt of products for the summer collection launched in the last week of June. Our strategy of offering lower discounts in the seasonal off-price sale of the winter collection, held in June 2013, did not have a significant impact on the level of inventories, due to the lower volume of products available prior to the sale. (Thousands of R$) 2Q12 1Q13 2Q13 Change% 2Q13/ 2Q12 Change% 2Q13/ 1Q13 Finished products 119, , , % 3.1% Raw materials 15,885 16,402 14, % -13.1% Goods under the possession of third parties 13,399 14,255 17, % 26.2% Imports in progress (payments in advance) 17,757 2,497 3, % 56.5% Packaging material 825 2,953 3, % 32.3% Provision for inventory losses (3,164) (5,889) (8,377) 164.8% 42.2% Total 163, , , % 3.4% Capex Our capital expenditure in the first half of 2013 totaled R$37.4mn, substantially less than in 1H12, when we invested R$116.1mn. This is mainly the result of the lower number of store openings planned for 2013, and the efforts at rationalization in costs of assembly of new stores. These investments include: R$25.5mn in the fixed assets associated with the assembly of new Company stores and maintenance of existing stores, back-office operations and outlet stores (net of assets sold); R$11.9mn in intangible assets, including key money, development of systems (ERP), brand development and back-office operations (net of assets sold). 9

23 2Q13 About Restoque Restoque is a leading designer and specialty retailer of women s premium fashion apparel and accessories in Brazil. We currently have 5 brands: Le Lis Blanc Deux, Bo.Bô Bourgeois Bohême, John John Denim, Noir, Le Lis and Le Lis Beauté. Our customers are mainly women and men in the higher income brackets, of a broad age group. We develop a wide product line for a variety of occasions and lifestyles, designing our products and fully outsourcing the production. We currently sell our products through company stores, online sales and multibrand stores. We project our image through all aspects of our business, including our premium products, the shopping experience in our stores and our superior customer service. Disclaimer Some information included in this material is not directly derived from the financial statements of the Company, including, but not limited to: EBITDA, Adjusted EBITDA, Adjusted Net income, Net income adjusted for amortization of goodwill and exchange rate variation, and Net revenue per square meter. In addition, Restoque s external auditors have not reviewed financial information after June 30, This material may contain forward-looking statements, which are subject to risks and uncertainties. Such statements are based on our Management s beliefs and assumptions and information to which the Company currently has access. Forward-looking statements include information about the Company s present intentions, beliefs or expectations. The reservations in relation to forward-looking statements also include information about possible or presumed operational results, and statements that are preceded by, followed by or include the words believes, may, will, continues, expects, forecasts, intends, plans, estimates, or similar expressions. Forward-looking statements are not guarantees of performance. They involve risks, uncertainties and suppositions because they refer to future events, and thus depend on circumstances which may or may not occur. Future results and creation of value for stockholders may differ significantly from those expressed or suggested by forward-looking statements. Many of the factors that will determine these results are beyond the company s capacity to control or predict. 10

24 2Q13 Balance Sheet Assets (In thousands of R$) 2Q12 % of Total 1Q13 % of Total 2Q13 % of Total Change% 2Q13/ 2Q12 Change% 2Q13/ 1Q13 Current assets Cash and cash equivalents 281, , , (3.3) 37.9 Accounts receivable from clients 90, , , (65.5) (13.4) Related parties Inventories 163, , , Recoverable taxes 24, , , (32.5) 2.9 Prepaid expenses 12, , , (45.3) (12.2) Other accounts receivable 4, , , Total current assets 576, , , (9.9) 17.7 Noncurrent assets Long-term assets Judicial deposits 1, , , (3.8) Tax credits 14, , , Prepaid expenses (18.4) Other accounts receivable 1, (31.6) - Recoverable taxes 1, (100.0) - Fixed assets 229, , , Intangible 104, , , (0.8) Total noncurrent assets 352, , , Total Assets 929, , ,002,

25 2Q13 Balance Sheet Liabilities and Stockholders equity (In thousands of R$) 2Q12 % of Total 1Q13 % of Total 2Q13 % of Total Change% 2Q13/ 2Q12 Change% 2Q13/ 1Q13 Current liabilities Loans and financing 26, , , (16.3) (71.3) Debenture 7, , , Accounts payable to suppliers 81, , , Tax liabilities 16, , , Labor liabilities 28, , , (5.1) (7.6) Accounts payable to shareholders (100.0) - Dividends payable - - 2, (100.0) Other accounts payable 19, , , (10.2) (6.7) Capital lease Other advances 3, , , (38.8) (10.0) Total current liabilities 183, , , (16.9) Noncurrent liabilities Long-term liabilities Loans and financing 168, , , (45.6) (8.6) Debenture 347, , , Provision for contingencies 3, , , (2.9) Other accounts payable 18, , , Capital lease 17, , , (3.3) (0.9) Other advances (95.3) (63.8) Total noncurrent liabilities 555, , , Shareholders equity Capital stock 131, , , Capital reserve 12, , , (21.0) (23.2) Stocks granted , Treasury shares (9,631) (1.0) - - (9,763) (1.0) Legal reserve 4, , , (0.0) Reserve fund from profit 51, , , (25.4) (9.0) Proposed dividend - - 7, (100.0) Total shareholders equity 189, , , (5.7) (10.3) Total Liabilities and Shareholders Equity 929, , ,002,

26 2Q13 Income Statement (In thousands of R$) 2Q12 % Net revenue 2Q13 % Net revenue Change% 2Q13/ 2Q12 1H12 % Net revenue 1H13 % Net revenue Change% 1H13/ 1H12 Gross operating revenue 241, , , , Deductions from sales Sales returns (21,861) (13.4) (23,260) (13.8) 6.4 (35,447) (11.7) (38,241) (10.5) 7.9 Sales taxes (56,206) (34.3) (62,504) (37.2) 11.2 (104,954) (34.7) (131,553) (36.2) 25.3 Net operating revenue 163, , , , Cost of products sold (54,332) (33.2) (51,858) (30.9) (4.6) (103,420) (34.2) (134,317) (37.0) 29.9 Gross Income 109, , , , Operating revenues (expenses) Administrative and general expenses (36,240) (22.1) (34,594) (20.6) (4.5) (62,424) (20.6) (70,445) (19.4) 12.8 Selling expenses (57,166) (34.9) (45,529) (27.1) (20.4) (102,239) (33.8) (99,981) (27.5) (2.2) Financial Results (28,242) (17.3) (23,645) (14.1) (16.3) (27,687) (9.2) (44,227) (12.2) 59.7 Depreciation and amortization expenses (6,482) (4.0) (14,266) (8.5) (11,064) (3.7) (28,782) (7.9) Other revenues and expenses (540) (0.3) (3,592) (2.1) , (4,968) (1.4) (231.0) Income before income and social contribution taxes (19,372) (11.8) (5,489) (3.3) (71.7) (519) (0.2) (19,470) (5.4) 3,650.0 Income tax and social contribution tax 6, , (74.6) 1, , Net income (12,843) (7.8) (3,830) (2.3) (70.2) (13,304) (3.7) (1,640.2) EBITDA 15, , , , Adjusted Net income by the amortization of the goodwill tax credits (11,180) (6.8) (3,222) (1.9) (71.2) 4, ,089 (3.3) (388.5) Adjusted Net Income (8,362) (5.1) (3,143) (1.9) (62.4) 1, (11,327) (3.1) (692.1) Adjusted EBITDA 22, , , , Adjusted Net income by the amortization of the goodwill tax credits, non recurring financial expenses and exchange rate variation 6, , (68.2) 15, (824) (0.2) (105.4) 13

27 2Q13 Cash flow statement From operating activities 1H12 1H13 Income before income and social contribution taxes (519) (19,470) Reconciliation of income before income and social contribution taxes to net cash provided by operating activities 41,631 70,804 Depreciation and amortization 11,064 28,782 Fixed assets and Intangible write-off Non deliverable forward expense - 9,323 Provision for contingencies Interest expenses 11,943 20,808 Foreign exchange variation on financings 15,036 8,702 Bad debts Variable compensation provision Stock options plan Interest expense on capital lease Provision for restructuring - (751) Provision for inventory losses Changes in assets and liabilities (27,234) (18,224) Accounts receivable from clients 4,043 (5,527) Inventories (60,285) 6,861 Recoverable taxes (5,304) 1,769 Prepaid expenses (8,623) 1,009 Other credits (3,987) (2,791) Judicial deposits (247) (776) Accounts payable to suppliers 28,099 7,249 Related parties accounts payable Accounts payable due to substitution of licensed companies (300) - Tax liabilities 3,380 (2,109) Labor liabilities 7,161 (7,144) Other accounts payable 7,686 (16,782) Advances Net cash generated from operating activities 13,878 33,110 From investment activities Increase in fixed assets (96,532) (25,525) Increase in intangible assets (19,545) (12,583) Sales of intangible assets (point of sales) Sales of fixed assets - 35 Net cash used in investment activities (116,077) (37,398) From financing activities with shareholders Loans and financing 346, ,112 Loans and financing repayments (6,032) (79,174) Paid interests (4,661) (17,542) Income tax and social contribution tax (6,717) - Treasury shares (6,626) (9,503) Gain on sale of treasury shares (1,172) 318 Capital leasing (698) (698) Dividends distribution (10,002) (10,000) Non deliverable forward payment - (10,634) Accounts payable to shareholders (444) - Net cash used in financing activities with shareholders 310,346 21,879 Increase (decrease) in cash and cash equivalents 208,147 17,591 Cash and cash equivalents At the beginning of the period 72, ,307 At the end of the period 281, ,898 Increase (decrease) in cash and cash equivalents 208,147 17,591 14

28 Restoque Comércio e Confecções de Roupas S.A. Notes to the interim financial statements For the six-month period ended June 30, 2013 (In thousands of reais, unless otherwise stated) 1. Operations Restoque Comércio e Confecções de Roupas S.A. ("Company"), a publicly-held company headquartered at Rua Oscar Freire, and 1.121, in the City and State of São Paulo, was incorporated in Brazil on April 19, 1984 and is listed on the BM&FBOVESPA S.A. Securities, Commodities and Futures Exchange under the ticker symbol LLIS3. The purposes of the Company are: the production through third parties, trade, development, import and export of fashion apparel and accessories; and the trade of bed, bath and table linen, home decor items, hygiene articles and cosmetics. On June 30, 2013, the Company had 222 own stores (98 under the Le Lis Blanc Deux brand, 44 under the Bo.Bô-Bourgeois Bohême brand, 44 under the John John brand, 36 under the Noir, Lelis brand and seven outlets. On December 31, 2012, the Company had 206 own stores (95 under the Le Lis Blanc Deux brand, 44 under the Bo.Bô-Bourgeois Bohême brand, 38 under the John John brand, 29 under the Noir, Lelis brand) and six outlets. On June 30, 2012, the Company had 139 stores (78 under the Le Lis Blanc Deux brand, 39 under the Bo.Bô-Bourgeois Bohême brand, 11 under the John John brand and 11 under Noir, Lelis brand) and two outlets under the Le Lis Blanc Deux brand. The stores are distributed nationwide. The issue of the interim financial statements was approved at the Board of Directors Meeting held on August 12, Presentation of the interim financial statements and significant accounting practices The interim financial statements for the half-year ended June 30, 2013 were prepared, in all material aspects, in accordance with CPC 21 and IAS 34 applicable in the preparation of interim financial statements and presented in accordance with the rules issued by the Brazilian Securities and Exchange Commission applicable to the Quarterly Information Form (ITR) Basis of presentation The interim financial statements have been prepared with several measurement bases used for accounting estimates. The accounting estimates used to prepare the interim financial statements were based on objective and subjective factors, and on management s judgment to determine the appropriate amount to be recorded in the interim financial statements. Significant items subject to these estimates and assumptions include the determination of the useful life of property and equipment and their recoverable value from operations, measurement of financial assets at fair value and through the adjusted present value method, credit risk analysis to calculate the estimated losses with doubtful accounts, as well as PAGE: 27 of 44

29 Restoque Comércio e Confecções de Roupas S.A. Notes to the interim financial statements For the six-month period ended June 30, 2013 (In thousands of reais, unless otherwise stated) analysis of other risks to determine other provisions, including provisions for contingencies. Settlement of transactions involving these estimates may result in amounts that differ significantly from those recorded in the interim financial statements due to probability inherent in the estimation process. The Company reviews its estimates and assumptions once a year. The Company has adopted all of the standards, amendments and interpretations issued by CPC and the regulatory agencies that were in effect on June 30, Below, a list of the standards issued but not yet in effect on the date of issue of the interim financial information. This list of standards and interpretations comprises those the Company reasonably expects to impact disclosures, financial situation or performance, through their application in the future. The Company intends to adopt these standards when they become effective. IFRS 9 Financial Instruments Classification and Measurement (CPC 38, 39 and 40) IFRS 9 closes the first part of the replacement project of IAS 39 Financial Instruments Recognition and Measurement. IFRS 9 uses a simple approach to determine if a financial asset is measured at amortized cost or fair value, based on how an entity manages its financial instruments (its business model) and the characteristic contractual cash flow of financial assets. The standard also demands the adoption of only one method to determine assets impairment. This standard is effective for fiscal years beginning as of January 1, 2015, and the Company does not foresee a relevant effect resulting from its adoption. The IASB issued clarifications to the standards and amendments issued by IFRS. The main amendment is the following: IAS 32 Financial Instruments Presentation (CPC 39) it adds instructions for offsetting financial assets and liabilities, whose change is effective for fiscal years beginning on or as of January 1, 2014, and the Company does not foresee a relevant effect resulting from its adoption. There are no other standards and interpretations issued and not yet adopted that may, in management s opinion, materially impact the profit for the year or the equity disclosed by the Company. The interim financial information was prepared based on the historical cost, except for the appreciation of certain financial assets and liabilities, which are measured at fair value. PAGE: 28 of 44

30 Restoque Comércio e Confecções de Roupas S.A. Notes to the interim financial statements For the six-month period ended June 30, 2013 (In thousands of reais, unless otherwise stated) 2.2. Significant accounting practices used to prepare the interim financial statements The interim financial statements were prepared consistent with the accounting practices described in Note 2 of the annual financial statements for the year ended December 31, There are no new interpretations or amendments to the standards in effect on June 30, 2013, besides those described in Note 3 to the financial statement for the year ended December 31, Cash and cash equivalents 6/30/ /31/2012 Cash Banks Domestic currency 3,891 6,433 Banks Foreign currency (i) 113, Financial investments 153, , , ,307 (i) Bank balance in US dollar corresponding to US$51,063 thousand to cover the indebtedness foreign exchange exposure. The financial investments mainly correspond to Bank Deposit Certificates indexed to the variation of CDI rate, or the Overnight Brazilian Interbank Deposit Rate. The rates agreed upon bearing interest on these investments vary between 100% and 112% of CDI variation and, there are neither restrictive covenants for immediate redemption nor loss in early redemption, therefore, they are considered cash equivalents (93% - 112% on December 31, 2012). 4. Accounts receivable 6/30/ /31/2012 Credit cards 11,202 8,172 Corporate customers 22,578 20,081 Allowance for doubtful accounts (2,741) (2,232) Total 31,039 26,021 The Company s credit risk is minimized to the extent that a substantial amount of the receivables portfolio is mediated by credit card operators. Therefore, the risk of default is transferred to these credit card operators. The balance for corporate customers mainly represents sales to multi brand stores, which are subject to selective credit analyses. On June 30, 2013, the allowance for doubtful accounts was assessed for overdue invoices by more than 180 days. Below, the receivables, net of the allowance for doubtful accounts, by aging list, as of June 30, 2013: PAGE: 29 of 44