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BRF S.A. — Regulatory Filings 2011
Feb 16, 2011
35591_ffr_2011-02-16_31be6d5f-1841-4ba1-a9c7-6895acf7b5bc.zip
Regulatory Filings
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FORM 6-K
U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13A-16 OR 15D-16 UNDER THE
SECURITIES EXCHANGE ACT OF 1934
dated February 16, 2011
Commission File Number 1-15148
BRFBRASIL FOODS S.A.
(Exact Name as Specified in its Charter) N/A (Translation of Registrants Name)
760 Av. Escola Politecnica Jaguare 05350-000 Sao Paulo, Brazil
(Address of principal executive offices) (Zip code)
Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F. Form 20-F X Form 40-F _ Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): [ ] Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): [ ]
Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes _ No X_ If Yes is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): Not applicable.
José Antonio Fay - CEO
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The results of the third quarter 2010 consolidate the Companies BRF - Brasil Foods S.A. and Sadia S.A. (whole - o wned subsidiary) . On July 2009, the results of Sadia started being fully consolidated, according to the Association Agreement and Shareholders Meeting that approved the merger of shares on July and August 2009.
The merger between BRF and Sadia is currently being examined by the Brazilian Anti - Trust Authority and its implementation is contingent on the approval of the Administrative Council for Economic Defense - CADE. On July 7 2009 an Agreement with CADE (APRO Transaction Reversibility Preservation Agreement) was signed. This guarantees the reversibility of the operation, authorizes synergetic studies and the joint adoption of measures for the anagement of treasury activities. All statements contained herein with regard to the Companys business prospects, projected results and the potential growth of its business are mere forecasts, based on local management expectations in relation to the Companys future performance. Dependent as they are on market shifts and on the overall p erformance of the Brazilian economy and the sector and international markets, such estimates are subject to changes.
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| BRF: the only |
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| farm to the plate Company |
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Breakdown of net sales (CL) YTD10
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Domestic Market
We are part of 28 out of 30 perishable categories covered by Nielsen
Source: AC Nielsen/BRF - 2009
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| With strong position in |
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| Global Market |
| :: We reach 140 countries |
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| :: More than 5,000 clients |
| :: 24 commercial offices abroad |
| :: Exports about 190,000 tons/month |
| :: 3 unit plants abroad |
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| Proforma EBITDA |
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| R$ million |
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| Net Debt / EBITDA |
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| Proforma |
R$ million
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Shareholders composition
Diffuse Control Equal Rights
As of December 31, 2010 Number of Common Shares: 872,473,246 Capital stock: R$12.6 billion
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Positive Brazilian Outlook
Source: IBGE, MTE, AC Nielsen, FGV.
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| Penetration of |
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| our main categories |
We are present in approximately 90% of the 45 million brazilian households. However, in some categories we still have great penetration opportunities.
Growth potential thought penetration, launches, increase of per capita consumption of categories and geographic equalization (Northeast)
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Domestic Market opportunities
| :: | Income of C and D classes projected for 2010: | :: | People leaving alone or couple |
|---|---|---|---|
| R$ 834 billion | with no children represent | ||
| 27% of the country total consumption | |||
| :: | Non durable goods | :: | Healthiness |
| consumption growth in Brazil | |||
| (jan - aug 2010 x jan - aug 2009): 6,2% | Specific lines directed to well - being | ||
| (5 x higher than 1,3% of jan - aug2009/08). | and consumers daily life different needs | ||
| :: | 37% of brazilian homes, with | :: | Access to specific target /customization |
| microwave | kids, teens, singles, seniors, | ||
| new entrees , premium | |||
| :: | In a year there was an increase of penetration | ||
| 2,8 million households in | |||
| ready - to - eat dishes category |
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Food Service
Share relating to eating out (% participation)
Brazilian food services markets increase over retail and consumer expenditure and already represents 31% of total expenditure with feeding
Source: ABIA
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World Meat Trade
| * Preliminary | |
|---|---|
| ** Projection | |
| *** Poultry: chicken, special poultry and turkey | Source: USDA oct/10 |
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| Brazilian Exports |
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| Thousand Tons |
| * Preliminary | |
|---|---|
| ** Projection | |
| *** Poultry: chicken, special poultry and turkey | Source: USDA oct/10 |
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Consumption per capita x meat inflation
Source: FAO, USDA, Esalq
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| With strong position in |
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| Global Market |
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Commodities x Meat prices
Source:
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Market Value
Source: FAO, USDA, Esalq
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Overview
| ® | Gradual and consistent improvement in results; |
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| ® | Solid Structure for long-term growth; |
| ® | Passing on prices due to cost pressures; |
| ® | Gradual reduction of the commodities impact; |
| ® | Growing demand for poultry; |
| ® | Segmentation on opportunities; |
| ® | Focus on adding value distribution, branding and processed. |
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| Large company with global scale |
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| BRFs Positioning in the Global Food Industry |
Source: Facset (Market Capitalization as of June 30, 2009) and Companies public filings
Average EBITDA margin for 2006, 2007 and 2008
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Strong brands
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this Report to be signed on its behalf by the undersigned, thereunto duly authorized.
Date: February 16, 2011
| By: | |
|---|---|
| Name: | Leopoldo Viriato Saboya |
| Title: | Financial and Investor Relations Director |