Skip to main content

AI assistant

Sign in to chat with this filing

The assistant answers questions, extracts KPIs, and summarises risk factors directly from the filing text.

Sign up Log in

Vale S.A. Regulatory Filings 2013

Aug 8, 2013

30050_ffr_2013-08-08_769bf78f-7d8c-4d13-9c31-9de1cdc6572c.zip

Regulatory Filings

Open in viewer

Opens in your device viewer

Table of Contents

*United States Securities and Exchange Commission*

*Washington, D.C. 20549*

*FORM 6-K*

*Report of Foreign Private Issuer Pursuant to Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934*

*For the month of*

*August, 2013*

*Vale S.A.*

*Avenida Graça Aranha, No. 26 20030-900 Rio de Janeiro, RJ, Brazil*

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

(Check One) Form 20-F x Form 40-F o

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)

(Check One) Yes o No x

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)

(Check One) Yes o No x

Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

(Check One) Yes o No x

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b). 82- .

SEQ.=1,FOLIO='',FILE='C:\JMS\106756\13-16947-1\task6172505\16947-1-ba-01.htm',USER='106756',CD='Aug 2 07:15 2013'

Table of Contents

*Interim Financial Statements*

*June 30, 2013*

*BR GAAP*

Filed with the CVM, SEC and HKEx on

August 7, 2013

SEQ.=1,FOLIO='',FILE='C:\JMS\105733\13-16947-1\task6185276\16947-1-ba-03.htm',USER='105733',CD='Aug 7 07:11 2013'

Table of Contents

(A free translation of the original in Portuguese)

*Vale S.A.*

*Index to the Financial Statements Condensed*

Page
Report of Independent Auditor’s Report 3
Condensed Consolidated and Parent Company Balance Sheets as of June 30, 2013, December 31, 2012 and January 1 st , 2012 4
Condensed Consolidated and Parent Company Statements Income for the three-month periods ended June 30, 2013 and June 30, 2012 and six-month periods ended June 30, 2013 and June 30, 2012 6
Condensed Consolidated and Parent Company Statements of Other Comprehensive Income for the three-month periods ended June 30, 2013 and June 30, 2012 and six-month periods ended June 30, 2013 and June 30, 2012 7
Condensed Statements of Changes in Stockholder’s Equity for the six-month periods ended June 30, 2013 and June 30, 2012 8
Condensed Consolidated and Parent Company Statements of Cash Flow for the six-month periods ended June 30, 2013 and June 30, 2012 9
Condensed Consolidated and Parent Company Statements of Added Value for the six-month periods ended June 30, 2013 and June 30, 2012 10
Selected Notes to the Consolidated Financial Statements 11

2

SEQ.=1,FOLIO='2',FILE='C:\JMS\105733\13-16947-1\task6185276\16947-1-ba-03.htm',USER='105733',CD='Aug 7 07:11 2013'

Table of Contents

(A free translation of the original in Portuguese)

*Report on review of condensed interim financial statements*

To the Board of Directors and Stockholders

Vale S.A.

*Introduction*

We have reviewed the accompanying condensed interim balance sheet of Vale S.A. (the “Company”) as at June 30, 2013 and the related condensed statements of income and comprehensive income for the quarter and six-month period then ended, and the condensed statements of changes in equity and cash flows for the six-month period then ended.

We have also reviewed the accompanying consolidated condensed interim balance sheet of Vale S.A. and its subsidiaries (“Consolidated”) as at June 30, 2013 and the related consolidated condensed statements of income and comprehensive income for the quarter and six-month period then ended, and the consolidated condensed statements of changes in equity and cash flows for the six-month period then ended.

Management is responsible for the preparation and fair presentation of these parent company condensed interim financial statements in accordance with accounting standard CPC 21, Interim Financial Reporting, of the Brazilian Accounting Pronouncements Committee (CPC), and for the consolidated condensed interim financial statements in accordance with CPC 21 and International Accounting Standard (IAS) 34 - Interim Financial Reporting, of the International Accounting Standards Board (IASB). Our responsibility is to express a conclusion on these condensed interim financial statements based on our review.

*Scope of review*

We conducted our review in accordance with Brazilian and International Standards on Reviews of Interim Financial Information (NBC TR 2410 - Review of Interim Financial Information Performed by the Independent Auditor of the Entity and ISRE 2410 - Review of Interim Financial Information Performed by the Independent Auditor of the Entity, respectively). A review of interim financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Brazilian and International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

*Conclusion on the parent company condensed interim financial statements*

Based on our review, nothing has come to our attention that causes us to believe that the accompanying parent company condensed interim financial statements referred to above are not prepared, in all material respects, in accordance with CPC 21.

*Conclusion on the consolidated condensed interim financial statements*

Based on our review, nothing has come to our attention that causes us to believe that the accompanying consolidated condensed interim financial statements referred to above are not prepared, in all material respects, in accordance with CPC 21 and IAS 34.

*Emphasis of matter*

As discussed in Note 4 to the accompanying condensed interim financial statements, the Company changed its method of accounting to reflect the revised employee benefits standard effective January 1, 2013 and, retrospectively adjusted the financial statements as of December 31, 2012 and for the period ended June 30, 2012.

*Other matters*

*Condensed statements of value added*

We have also reviewed the parent company and consolidated condensed statements of value added for the six-month period ended June 30, 2013. These statements are the responsibility of the Company’s management, and are presented as supplementary information. These statements have been subjected to the same review procedures described above and, based on our review, nothing has come to our attention that causes us to believe that they are not prepared, in all material respects, in a manner consistent with the condensed interim financial statements taken as a whole.

Rio de Janeiro, August 7, 2013

PricewaterhouseCoopers

Auditores Independentes

CRC 2SP000160/O-5 “F” RJ

João César de Oliveira Lima Júnior

Contador CRC 1RJ077431/O-8

3

SEQ.=1,FOLIO='3',FILE='C:\JMS\105733\13-16947-1\task6185276\16947-1-ba-03.htm',USER='105733',CD='Aug 7 07:11 2013'

Table of Contents

(A free translation of the original in Portuguese)

*Balance Sheet*

*In thousands of Brazilian Reais*

Notes Consolidated — June 30, 2013 December 31, 2012 January 1st, 2012 Parent Company — June 30, 2013 December 31, 2012 January 1st, 2012
(unaudited) (i) (i) (unaudited) (i) (i)
Assets
Current assets
Cash and cash equivalents 7 13,126,350 11,917,717 6,593,177 2,249,717 688,434 574,787
Short-term investments 823,245 505,857 — 22,556 43,428 —
Derivative financial instruments 24 495,557 575,173 1,111,744 436,988 500,293 573,732
Accounts receivable 9 10,952,344 13,884,663 15,888,807 18,749,566 21,838,539 15,808,849
Related parties 30 1,933,350 786,202 153,738 1,977,980 1,347,488 2,561,308
Inventories 10 11,192,221 10,319,973 9,833,050 3,691,259 3,282,531 3,182,738
Prepaid income tax 1,626,642 1,472,186 867,549 93,375 168,428 169,101
Recoverable taxes 11 3,561,443 3,147,715 3,307,994 1,916,123 1,902,190 2,147,431
Advances to suppliers 938,930 523,220 733,382 230,834 241,671 381,768
Others 2,287,341 1,972,360 1,646,824 531,061 574,348 183,394
46,937,423 45,105,066 40,136,265 29,899,459 30,587,350 25,583,108
Non-current Assets held for sale 7 — 934,551 — — — —
46,937,423 46,039,617 40,136,265 29,899,459 30,587,350 25,583,108
Non-current assets
Related parties 30 558,749 832,571 904,172 952,440 863,990 445,769
Loans and financing agreements to receive 543,861 501,726 399,277 190,609 187,862 158,195
Judicial deposits 17 3,296,624 3,094,977 2,734,599 2,638,374 2,474,077 2,091,492
Recoverable income tax 899,829 899,198 628,735 — — —
Deferred income tax and social contribution 19 9,468,064 8,291,074 3,549,328 5,967,039 5,714,932 2,119,056
Recoverable taxes 11 360,162 443,478 482,997 243,864 255,264 201,226
Financial instruments - investments 12 3,981,748 14,378 13,738 — — —
Derivative financial instruments 24 222,210 92,567 112,253 — 2,928 96,262
Depost on incentive and reinvestment 437,464 326,837 428,750 412,625 301,998 428,750
Others 1,356,989 985,937 1,081,454 161,002 222,358 388,263
21,125,700 15,482,743 10,335,303 10,565,953 10,023,409 5,929,013
Investments 13 8,416,677 13,044,460 14,984,038 127,288,170 121,628,958 111,953,695
Intangible assets 14 19,378,603 18,822,027 17,788,581 15,159,049 14,664,435 13,973,730
Property, plant and equipment, net 15 186,262,573 173,454,620 153,854,863 66,329,185 61,231,322 55,503,193
235,183,553 220,803,850 196,962,785 219,342,357 207,548,124 187,359,631
Total assets 282,120,976 266,843,467 237,099,050 249,241,816 238,135,474 212,942,739

(i) Period adjusted according to note 4.

4

SEQ.=1,FOLIO='4',FILE='C:\JMS\105733\13-16947-1\task6185276\16947-1-ba-03.htm',USER='105733',CD='Aug 7 07:11 2013'

Table of Contents

(A free translation of the original in Portuguese)

*Balance Sheet*

*In thousands of Brazilian Reais*

*(continued)*

Notes Consolidated — June 30, 2013 December 31, 2012 January 1, 2012 Parent Company — June 30, 2013 December 31, 2012 January 1, 2012
(unaudited) (i) (i) (unaudited) (i) (i)
Liabilities
Current
Suppliers and contractors 9,238,012 9,255,150 8,851,220 3,630,136 4,178,494 3,503,577
Payroll and related charges 2,182,004 3,024,651 2,442,255 1,322,449 2,001,090 1,581,782
Derivative financial instruments 24 1,486,754 709,722 135,697 787,159 558,161 117,470
Current portion of long-term debt 16 7,136,323 7,092,878 2,807,280 5,607,740 5,327,849 891,654
Short-term debt 16 — — 40,044 — — —
Related parties 30 260,242 423,336 42,907 4,468,405 6,433,629 4,959,017
Taxes and royalties payable 590,340 664,387 978,915 275,269 332,955 329,680
Provision for taxes and social contribution 876,945 1,309,821 955,342 275,710 369,658 —
Employee post retirement benefits obligations 20 407,876 421,241 316,061 227,200 219,396 140,508
Railway sub-concession agreement payable 135,299 133,275 123,059 — — —
Asset retirement obligations 18 148,178 142,831 136,416 63,424 — 20,507
Dividends and interest on capital — — 2,207,101 — — 2,207,101
Others 2,306,156 2,164,455 1,650,463 614,757 752,098 400,023
24,768,129 25,341,747 20,686,760 17,272,249 20,173,330 14,151,319
Liabilities directly associated with non-current assets held for sale 7 — 368,378 — — — —
24,768,129 25,710,125 20,686,760 17,272,249 20,173,330 14,151,319
Non-current
Derivative financial instruments 24 3,142,185 1,600,656 1,238,542 2,858,819 1,409,568 953,357
Long-term debt 16 59,043,565 54,762,976 40,224,674 28,632,255 26,867,240 18,595,793
Related parties 30 147,705 146,440 170,616 33,278,019 29,362,525 28,654,132
Employee post retirement benefits obligations 20 7,238,916 6,627,195 4,485,687 1,102,986 745,653 411,766
Provisions for litigation 17 3,695,646 4,218,193 3,144,740 2,350,340 2,867,052 1,927,686
Deferred income tax and social contribution 19 7,167,256 6,918,372 10,175,546 — — —
Asset retirement obligations 18 5,187,300 5,472,452 3,427,294 1,629,765 1,625,324 1,094,824
Stockholders’ Debentures 29d) 3,885,389 3,378,845 2,495,995 3,885,389 3,378,845 2,495,995
Redeemable noncontrolling interest 1,116,997 994,776 942,668 — — —
Goldstream transaction 28 3,146,327 — — — — —
Others 3,700,515 3,901,949 4,617,145 1,569,478 1,839,474 2,373,706
97,471,801 88,021,854 70,922,907 75,307,051 68,095,681 56,507,259
Total liabilities 122,239,930 113,731,979 91,609,667 92,579,300 88,269,011 70,658,578
Stockholders’ equity 23
Preferred class A stock - 7,200,000,000 no-par-value shares authorized and 2,108,579,618 (in 2012 - 2,108,579,618) issued 29,475,211 29,475,211 29,475,211 29,475,211 29,475,211 29,475,211
Common stock - 3,600,000,000 no-par-value shares authorized and 3,256,724,482 (in 2012 - 3,256,724,482) issued 45,524,789 45,524,789 45,524,789 45,524,789 45,524,789 45,524,789
Mandatorily convertible notes - common shares — — 359,649 — — 359,649
Mandatorily convertible notes - preferred shares — — 796,162 — — 796,162
Treasury stock - 140,857,692 (in 2012 - 140,857,692) preferred and 71,071,482 (in 2012 - 71,071,482) common shares (7,839,512 ) (7,839,512 ) (9,918,541 ) (7,839,512 ) (7,839,512 ) (9,918,541 )
Results from operations with noncontrolling stockholders (789,637 ) (839,155 ) (70,706 ) (789,637 ) (839,155 ) (70,706 )
Results in the translation/issuance of shares — 49,518 — — 49,518 —
Unrealized fair value gain (losses) (5,034,563 ) (3,796,910 ) (977,441 ) (5,034,563 ) (3,796,910 ) (977,441 )
Cumulative translation adjustments 14,146,537 8,692,782 (1,016,711 ) 14,146,537 8,692,782 (1,016,711 )
Retained earnings 81,179,691 78,599,740 78,111,749 81,179,691 78,599,740 78,111,749
Total company stockholders’ equity 156,662,516 149,866,463 142,284,161 156,662,516 149,866,463 142,284,161
Noncontrolling interests 3,218,530 3,245,025 3,205,222 — — —
Total stockholders’ equity 159,881,046 153,111,488 145,489,383 156,662,516 149,866,463 142,284,161
Total liabilities and stockholders’ equity 282,120,976 266,843,467 237,099,050 249,241,816 238,135,474 212,942,739

(i) Period adjusted according to note 4.

The accompanying selected notes are an integral part of these Interim Financial Statements.

5

SEQ.=1,FOLIO='5',FILE='C:\JMS\105733\13-16947-1\task6185276\16947-1-ba-03.htm',USER='105733',CD='Aug 7 07:11 2013'

Table of Contents

(A free translation of the original in Portuguese)

*Statement of Income*

*In thousands of Brazilian Reais, except as otherwise stated*

Consolidated (unaudited)
Three-month period ended Six-month period ended
Notes June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
(i) (i)
Net operating revenue 25 22,871,305 24,582,872 44,672,270 45,043,963
Cost of goods solds and services rendered 26 (12,865,323 ) (12,845,513 ) (24,303,450 ) (23,762,349 )
Gross profit 10,005,982 11,737,359 20,368,820 21,281,614
Operating (expenses) income
Selling and administrative expenses 26 (671,154 ) (1,206,725 ) (1,417,524 ) (2,141,128 )
Research and development expenses 26 (323,193 ) (707,938 ) (676,875 ) (1,234,495 )
Pre-operation and stoppage operation (950,848 ) (637,002 ) (1,699,740 ) (1,201,130 )
Other operating expenses, net 26 (551,429 ) (586,386 ) (787,956 ) (1,213,576 )
Realized gain (loss) on non-current assets held for sales — (768,236 ) — (768,236 )
(2,496,624 ) (3,906,287 ) (4,582,095 ) (6,558,565 )
Operating profit 7,509,358 7,831,072 15,786,725 14,723,049
Financial income 27 1,776,133 421,320 3,054,196 1,901,475
Financial expenses 27 (8,779,539 ) (5,558,369 ) (10,723,605 ) (6,833,459 )
Equity results from joint controlled and associates 13 104,406 309,600 445,945 746,620
Income before income tax and social contribution 610,358 3,003,623 8,563,261 10,537,685
Income tax and social contribution
Current income tax 19 (559,187 ) (99,724 ) (2,755,478 ) (1,535,454 )
Deferred income tax 19 712,604 (250,183 ) 1,042,545 259,955
Reversal of deferred income tax liabilities 19 — 2,533,411 — 2,533,411
153,417 2,183,504 (1,712,933 ) 1,257,912
Net income for the period 763,775 5,187,127 6,850,328 11,795,597
Loss attributable to noncontrolling interests (68,296 ) (133,401 ) (182,373 ) (236,472 )
Net income attributable to the Company’s stockholders 832,071 5,320,528 7,032,701 12,032,069
Earnings per share attributable to the Company’s stockholders:
Basic and diluted earnings per share:
Common share and (in Brazilian reais) 23(c) 0.16 1.04 1.36 2.36
Preferred share (in Brazilian reais) 23(c) 0.16 1.04 1.36 2.36
Parent company (unaudited)
Three-month period ended Six-month period ended
Notes June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
(i) (i)
Net operating revenue 15,179,600 15,814,484 28,565,854 27,703,716
Cost of goods solds and services rendered 26 (5,235,479 ) (6,152,652 ) (9,783,905 ) (11,514,493 )
Gross profit 9,944,121 9,661,832 18,781,949 16,189,223
Operating (expenses) income
Selling and administrative expenses 26 (376,874 ) (585,409 ) (762,429 ) (1,144,203 )
Research and development expenses 26 (169,398 ) (377,991 ) (379,089 ) (665,696 )
Pre-operating and stoppage operation (284,214 ) (92,897 ) (528,916 ) (213,033 )
Other operating expenses, net 26 (126,450 ) (155,617 ) (354,828 ) (553,429 )
Equity results from subidiaries (1,084,097 ) 2,545,122 (954,523 ) 4,567,123
Realized gain (loss) on non-current assets held for sales — (768,236 ) — (768,236 )
(2,041,033 ) 564,972 (2,979,785 ) 1,222,526
Operating profit 7,903,088 10,226,804 15,802,164 17,411,749
Financial income 27 1,721,865 125,001 2,872,019 1,249,005
Financial expenses 27 (8,352,247 ) (4,900,809 ) (9,725,526 ) (6,194,951 )
Equity results from joint controlled entities and associates 13 104,406 309,600 445,945 746,620
Income before income tax and social contribution 1,377,112 5,760,596 9,394,602 13,212,423
Income tax and social contribution
Current income tax 19 (391,490 ) (11,346 ) (2,463,293 ) (1,203,271 )
Deferred income tax 19 (153,551 ) (428,722 ) 101,392 22,917
(545,041 ) (440,068 ) (2,361,901 ) (1,180,354 )
Net income attributable to the Company’s stockholders 832,071 5,320,528 7,032,701 12,032,069
Earnings per share attributable to the Company’s stockholders:
Basic and diluted earnings per share:
Common share and (in Brazilian reais) 23(c) 0.16 1.04 1.36 2.36
Preferred share (in Brazilian reais) 23(c) 0.16 1.04 1.36 2.36

(*) Except the loss of R$ 721,808 in 2012 related to the sale of coal assets.

(i) Period adjusted according to note 4.

The accompanying selected notes are an integral part of these Interim Financial Statements.

6

SEQ.=1,FOLIO='6',FILE='C:\JMS\rcheney\13-16947-1\task6187126\16947-1-ba-05.htm',USER='rcheney',CD='Aug 7 07:30 2013'

Table of Contents

(A free translation of the original in Portuguese)

*Statement of Other Comprehensive Income*

*In thousands of Brazilian Reais*

Consolidated (unaudited)
Three-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
(i) (i)
Net income of the period 763,775 5,187,127 6,850,328 11,795,597
Other comprehensive income
Item will not be reclassified subsequently for income
Cumulative translation adjustments of equity 7,706,896 7,316,663 5,389,075 6,236,991
Retirement benefit obligations
Gross balance as of the period (398,836 ) (110,435 ) (327,024 ) 101,874
Effect of tax 130,481 23,868 123,693 (38,620 )
(268,355 ) (86,567 ) (203,331 ) 63,254
Total items will not be reclassified subsequently for income 7,438,541 7,230,096 5,185,744 6,300,245
Item will be reclassified subsequently for income
Unrealized loss on available-for-sale investments
Gross balance as of the period (176,167 ) (3,946 ) (581,733 ) (4,644 )
Cash flow hedge
Gross balance as of the period (154,000 ) (274,755 ) (243,380 ) (233,670 )
Effect of tax 20,820 57,284 30,856 30,386
(133,180 ) (217,471 ) (212,524 ) (203,284 )
Total items will be reclassified subsequently for income (309,347 ) (221,417 ) (794,257 ) (207,928 )
Total comprehensive income of the period 7,892,969 12,195,806 11,241,815 17,887,914
Comprehensive income attributable to noncontrolling interests 199,268 188,907 (6,988 ) 26,203
Comprehensive income attributable to the Company’s stockholders 7,693,701 12,006,899 11,248,803 17,861,711
7,892,969 12,195,806 11,241,815 17,887,914
Parent company (unaudited)
Three-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
(i) (i)
Net income of the period 832,071 5,320,528 7,032,701 12,032,069
Other comprehensive income
Item will not be reclassified subsequently for income
Cumulative translation adjustments 7,439,332 6,994,355 5,213,690 5,974,316
Retirement benefit obligations
Gross balance as of the period (398,836 ) (110,435 ) (327,024 ) 101,874
Effect of tax 130,481 23,868 123,693 (38,620 )
(268,355 ) (86,567 ) (203,331 ) 63,254
Total items will not be reclassified subsequently for income 7,170,977 6,907,788 5,010,359 6,037,570
Item will be reclassified subsequently for income
Unrealized loss on available-for-sale investments
Gross balance as of the period (176,167 ) (3,946 ) (581,733 ) (4,644 )
(176,167 ) (3,946 ) (581,733 ) (4,644 )
Cash flow hedge
Gross balance as of the period (154,000 ) (274,755 ) (243,380 ) (233,670 )
Effect of tax 20,820 57,284 30,856 30,386
(133,180 ) (217,471 ) (212,524 ) (203,284 )
Total items will be reclassified subsequently for income (309,347 ) (221,417 ) (794,257 ) (207,928 )
Total comprehensive income of the period 7,693,701 12,006,899 11,248,803 17,861,711

(i) Period adjusted according to note 4.

The accompanying selected notes are an integral part of these Interim Financial Statements.

7

SEQ.=1,FOLIO='7',FILE='C:\JMS\rcheney\13-16947-1\task6187126\16947-1-ba-05.htm',USER='rcheney',CD='Aug 7 07:30 2013'

COMMAND=ROTATED_TABLE WIDTH="150%"

Table of Contents

(A free translation of the original in Portuguese)

*Statement of condensed Changes in Equity*

*In thousands of Brazilian Reais*

Six-month period ended (unaudited) — Capital Results in the translation of shares Mandatorily convertible notes Revenue reserves Treasury stock Unrealized fair value gain (losses) Results from operation with noncontrolling stockholders Cumulative translation adjustment Retained earnings Total Company stockholder’s equity Noncontrolling stockholders’ interests Total stockholder’s equity
January 1, 2013 (i) 75,000,000 49,518 — 78,451,185 (7,839,512 ) (3,796,910 ) (839,155 ) 8,692,782 148,555 149,866,463 3,245,025 153,111,488
Net income of the period — — — — — — — — 7,032,701 7,032,701 (182,373 ) 6,850,328
Retirement benefit obligations, net — — — — — (203,331 ) — — — (203,331 ) — (203,331 )
Cash flow hedge, net of taxes — — — — — (212,524 ) — — — (212,524 ) — (212,524 )
Unrealized results on valuation at market — — — — — (581,733 ) — — — (581,733 ) — (581,733 )
Translation adjustments for the period — — — — — (240,065 ) — 5,453,755 — 5,213,690 175,384 5,389,074
Capitalization of noncontrolling stockholders advances — — — — — — — — — — 19,710 19,710
Redeemable noncontrolling stockholders’ interest — — — — — — — — — — 61,448 61,448
Dividends to noncontrolling stockholders — — — — — — — — — — (100,664 ) (100,664 )
Additional remuneration — — — — — — — — (4,452,750 ) (4,452,750 ) — (4,452,750 )
June 30, 2013 75,000,000 49,518 — 78,451,185 (7,839,512 ) (5,034,563 ) (839,155 ) 14,146,537 2,728,506 156,662,516 3,218,530 159,881,046
January 1, 2012 (i) 75,000,000 — 1,155,811 78,105,988 (9,918,541 ) (977,441 ) (70,706 ) (1,016,710 ) 5,760 142,284,161 3,205,222 145,489,383
Net income of the period — — — — — — — — 12,032,069 12,032,069 (236,472 ) 11,795,597
Retirement benefit obligations, net — — — — — 63,254 — — — 63,254 — 63,254
Cash flow hedge, net of taxes — — — — — (203,284 ) — — — (203,284 ) — (203,284 )
Unrealized results on valuation at market — — — — — (4,644 ) — — — (4,644 ) — (4,644 )
Translation adjustments for the period — — — — — (64,139 ) — 6,038,455 — 5,974,316 262,675 6,236,991
Results on conversion of shares — 49,518 (1,027,580 ) — 2,079,018 (1,100,956 ) — — — — — —
Capitalization of noncontrolling stockholders advances — — — — — — — — — — 39,158 39,158
Repurchase of convertible notes — — — — 11 — — — — 11 — 11
Remuneration for mandatorily convertible notes — — (128,231 ) — — — — — — (128,231 ) — (128,231 )
Redeemable noncontrolling stockholders’ interest — — — — — — — — — — 172,263 172,263
Acquisitions and disposal of noncontrolling stockholders — — — — — — (436,981 ) — — (436,981 ) (262,568 ) (699,549 )
Dividends to noncontrolling stockholders — — — — — — — — — — (65,168 ) (65,168 )
Additional remuneration — — — — — — — — (3,273,899 ) (3,273,899 ) — (3,273,899 )
June 30, 2012 (i) 75,000,000 49,518 — 78,105,988 (7,839,512 ) (2,287,210 ) (507,687 ) 5,021,745 8,763,930 156,306,772 3,115,110 159,421,882

(i) Period adjusted according to note 4.

The accompanying selected notes are an integral part of these Interim Financial Statements.

8

SEQ.=1,FOLIO='8',FILE='C:\JMS\kdefran\13-16947-1\task6184650\16947-1-ba-07.htm',USER='kdefran',CD='Aug 6 16:40 2013'

Table of Contents

(A free translation of the original in Portuguese)

*Statement of Cash Flows*

*In thousands of Brazilian Reais*

Six-month period ended (unaudited)
Consolidated Parent Company
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
(i) (i)
Cash flow from operating activities:
Net income of the period 6,850,328 11,795,597 7,032,701 12,032,069
Adjustments to reconcile net income to cash from operations
Equity results from associates (445,945 ) (746,620 ) 508,578 (5,267,315 )
Realized gains on assets (483,813 ) 768,236 — 721,808
Depreciation, amortization and depletion 4,322,945 3,837,745 1,197,538 1,211,907
Deferred income tax and social contribution (1,042,545 ) (259,955 ) (101,392 ) (22,917 )
Reversal of deferred income tax — (2,533,411 ) — —
Foreign exchange and indexation, net 1,233,378 493,205 4,359,866 2,942,693
Loss on disposal of property, plant and equipment 278,458 441,695 205,324 78,918
Unrealized derivative losses, net 2,167,936 1,063,919 1,744,480 808,403
Dividends and interest on capital received from subsidiaries — — 1,276,232 333,686
Stockholders’ Debentures 506,544 (370,351 ) 506,544 (370,351 )
Others 43,638 (342,209 ) (111,717 ) (436,649 )
Decrease (increase) in assets:
Accounts receivable from customers 2,852,071 1,822,122 1,863,013 (1,846,493 )
Inventories 99,625 (395,005 ) 628,230 (370,799 )
Recoverable taxes (224,056 ) (99,569 ) 72,286 403,991
Others 241,305 (142,782 ) 476,483 432,033
Increase (decrease) in liabilities:
Suppliers and contractors (238,208 ) (222,090 ) (526,802 ) 976,709
Payroll and related charges (896,391 ) (481,134 ) (678,641 ) (419,745 )
Taxes and contributions 131,316 (1,206,678 ) (151,635 ) (231,415 )
Gold stream transaction 2,899,450 — — —
Others (409,049 ) 928,481 (1,231,218 ) 727,352
Net cash provided by operating activities 17,886,987 14,351,196 17,069,870 11,703,885
Cash flow from investing activities:
Short-term investments (317,388 ) — 20,872 —
Loans and advances (133,872 ) (47,009 ) 326,463 853,090
Guarantees and deposits (85,794 ) (175,863 ) (93,271 ) (189,938 )
Additions to investments (586,823 ) (457,176 ) (3,892,962 ) (3,318,023 )
Additions to property, plant and equipment (13,291,361 ) (11,777,379 ) (7,051,664 ) (6,486,167 )
Dividends and interest on capital received from Joint controlled entities and associates 553,605 333,004 — —
Proceeds from disposals of fixed assets/investments 189,777 745,028 — 745,028
Proceeds from Gold stream 1,160,635 — — —
Net cash used in investing activities (12,511,221 ) (11,379,395 ) (10,690,562 ) (8,396,010 )
Cash flow from financing activities:
Short-term debt
Additions 1,007,958 953,698 1,021,703 967,991
Repayments (1,136,838 ) (75,814 ) (2,126,306 ) (2,308,857 )
Long-term debt
Additions 1,345,853 5,245,531 1,376,510 3,575,398
Repayments (997,304 ) (1,108,106 ) (637,182 ) (226,595 )
Repayments:
Dividends and interest on capital paid to stockholders (4,452,750 ) (5,481,000 ) (4,452,750 ) (5,481,000 )
Dividends and interest on capital attributed to noncontrolling interest (23,267 ) (69,773 ) — —
Transactions with noncontrolling stockholders — (980,406 ) — —
Net cash used in financing activities (4,256,348 ) (1,515,870 ) (4,818,025 ) (3,473,063 )
Increase (decrease) in cash and cash equivalents 1,119,418 1,455,931 1,561,283 (165,188 )
Cash and cash equivalents of cash, beginning of the period 11,917,717 6,593,177 688,434 574,787
Effect of exchange rate changes on cash and cash equivalents 89,215 68,561 — —
Cash and cash equivalents, end of the period 13,126,350 8,117,669 2,249,717 409,599
Cash paid during the period for:
Interest on Short-term debt (611 ) (2,438 ) (4,313 ) (1,860 )
Interest on Long-term debt (1,608,888 ) (1,277,088 ) (1,512,636 ) (1,524,350 )
Income tax and social contribution (2,418,373 ) (1,702,799 ) (1,965,938 ) (311,766 )
Inflows during the period:
Non-cash transactions:
Additions to property, plant and equipment - interest capitalization (319,146 ) (248,376 ) 12,753 (18,253 )

(i) Period adjusted according to note 4.

The accompanying selected notes are an integral part of these Interim Financial Statements.

9

SEQ.=1,FOLIO='9',FILE='C:\JMS\rcheney\13-16947-1\task6187126\16947-1-ba-09.htm',USER='rcheney',CD='Aug 7 07:31 2013'

Table of Contents

(A free translation of the original in Portuguese)

*Statement of Added Value*

*In thousands of Brazilian Reais*

Six-month period ended (unaudited)
Consolidated Parent Company
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
(i) (i)
Generation of added value
Gross revenue
Revenue from products and services 45,705,405 46,052,731 29,167,582 28,276,229
Gain on sale of assets 483,813 (768,236 ) — (721,808 )
Other revenue (4,608 ) 4,668 — —
Revenue from the construction of own assets 13,368,989 9,639,233 7,051,664 6,952,104
Allowance for doubtful accounts 12,050 (19,265 ) (6,353 ) (8,344 )
Less:
Acquisition of products (1,420,536 ) (1,506,135 ) (360,077 ) (870,853 )
Outsourced services (8,065,756 ) (7,839,283 ) (4,377,129 ) (5,135,205 )
Materials (9,262,521 ) (8,973,971 ) (2,650,589 ) (5,376,751 )
Oil and gas (1,935,214 ) (1,888,091 ) (1,097,743 ) (1,105,678 )
Energy (624,784 ) (815,003 ) (357,553 ) (540,039 )
Freight (2,622,075 ) (2,047,898 ) — —
Other costs and expenses (5,067,714 ) (5,204,831 ) (1,999,047 ) (2,400,367 )
Gross added value 30,567,049 26,633,919 25,370,755 19,069,288
Depreciation, amortization and depletion (4,322,945 ) (3,837,745 ) (1,197,538 ) (1,211,907 )
Net added value 26,244,104 22,796,174 24,173,217 17,857,381
Received from third parties
Financial income 922,676 1,082,358 445,581 549,513
Equity results 445,945 746,620 (508,578 ) 5,267,315
Total added value to be distributed 27,612,725 24,625,152 24,110,220 23,674,209
Personnel 3,909,067 4,105,484 1,726,317 2,172,572
Taxes, rates and contribution 6,548,312 3,967,640 5,690,213 2,793,755
Current income tax 2,755,478 1,535,454 2,463,293 1,203,271
Deferred income tax (1,042,545 ) (2,793,366 ) (101,392 ) (22,917 )
Remuneration of debt capital 4,591,464 3,125,129 3,751,703 2,590,636
Monetary and exchange changes, net 4,000,621 2,889,214 3,547,385 2,904,823
Net income attributable to the Company’s stockholders 7,032,701 12,032,069 7,032,701 12,032,069
Loss attributable to noncontrolling interest (182,373 ) (236,472 ) — —
Distribution of added value 27,612,725 24,625,152 24,110,220 23,674,209

(i) Period adjusted according to note 4.

The accompanying selected notes are an integral part of these Interim Financial Statements.

10

SEQ.=1,FOLIO='10',FILE='C:\JMS\rcheney\13-16947-1\task6187126\16947-1-ba-09.htm',USER='rcheney',CD='Aug 7 07:31 2013'

Table of Contents

(A free translation of the original in Portuguese)

*Notes to Financial Statements*

*Expressed in thousands of Brazilian Reais, unless otherwise stated*

*1. Operational Context*

Vale S.A. (“Vale” or “Parent Company”) is a publicly-listed company with its headquarters at number 26 of Graça Aranha avenue, downtown of Rio de Janeiro, Brazil with shares traded on the stock exchanges of Sao Paulo (“BM&F BOVESPA”), New York (“NYSE”), Paris (“NYSE Euronext”) and Hong Kong (“HKEx”).

Company and its direct and indirect subsidiaries (“Group”, “Company” or “we”) is principally engaged in the research, production and sale of iron ore and pellets, nickel, fertilizer, copper, coal, manganese, ferroalloys, cobalt, platinum group metals and precious metals. Company also operates with energy, General Cargo logistics and steel.

Information by business segment is presented in note 25.

*2. Summary of the Main Accounting Practices and Accounting Estimates*

*a) Basis of preparation*

The condensed consolidated interim financial statements of Vale (“Interim financial statements”) has been prepared in accordance with the standard IAS 34 - Interim Financial Reporting issued by the International Financial Reporting Standards (“IFRS”), whose counterpart in Brazil is the CPC 21(R1), issued by the Brazilian Accountant Standards Committee (“ Comitê de Pronunciamentos Contábeis” or “CPC”) and approved by the Brazilian Securities Exchange Commission (“Comissão de Valores Mobiliários” or “CVM”).

The individual interim financial statements of the Parent Company have been prepared in accordance with accounting practices adopted in Brazil issued by CPC and approved by CVM, and they are published with the consolidated interim financial statements.

In the case of Vale, the accounting practices adopted in Brazil applicable to individual financial statements differ from IFRS applicable to separate financial statements, only for the measurement of investments at equity method in subsidiaries, joint controlled entities and affiliates, as under the rules of IFRS would be the cost or fair value.

The interim financial statements has been prepared under the historical cost convention adjusted to reflect the fair value of available for sale financial assets, and financial assets and liabilities (including derivative financial instruments) measured at fair value through the profit or loss.

These condensed interim financial statements have been reviewed, not audited. However, principles, estimates, accounting practices, measurement methods and standards adopted are consistent with those presented in the financial statements as of December 31, 2012, except as otherwise disclosed. These condensed interim financial statements were prepared by Vale to update users about relevant information presented in the period and should be read with the annual financial statements for the year ended December 31, 2012.

We evaluated subsequent events through August 05, 2013, which is the date of approval by the executive board, the interim financial statements.

*b) Functional currency and presentation currency*

The financial statements of each group’s entities are measured using the currency of the primary economic environment in which the entity operates (“functional currency”), which in the case of the Parent Company is the Brazilian Real (“R$” or “BRL”).

Transactions in foreign currencies are translated into the functional currency of the Parent Company, using the rate of exchange prevailing on the date of the transaction or the measurements. Gains and losses resulting from the settlement of such transactions and from the translation at the exchange rate of the end of the period of monetary assets and liabilities in foreign currencies are recognized in the income statement, as financial income or expense.

The net income and balance sheet of all Group entities whose functional currency is different from the presentation currency are translated into the presentation currency as follows: (i) The assets and liabilities for each Statement of Balance Sheet presented are translated at the closing rate at the Statement of Balance Sheet date; (ii) income and expenses for each Statement of Income are translated at the average exchange rates, except in specific transactions that, considering their relevance, are translated at the rate at the dates of transactions and; (iii) The components for each Stockholders’ equity are translated at the rate at the dates of

11

SEQ.=1,FOLIO='11',FILE='C:\JMS\rcheney\13-16947-1\task6187126\16947-1-ba-09.htm',USER='rcheney',CD='Aug 7 07:31 2013'

Table of Contents

(A free translation of the original in Portuguese)

transactions. All resulting exchange differences are recognized in a separate component of the Stockholder’s equity, named “Cumulative Translation Adjustment”, transferred to the income statement when the sale of investments.

For purposes of presentation these interim financial statements are presented in Brazilian Real. The exchange rates most impact our operations against the presentation currency were :

Exchange rates used for conversions in Brazilian Reais — June 30, 2013 December 31, 2012
US dollar - US$ 2.2297 2.0435
Canadian dollar - CAD 2.1079 2.0546
Australian dollar - AUD 2.0321 2.1197
Euro - EUR or € 2.9122 2.6954

*3. Critical Accounting Estimates*

The critical accounting estimates are the same as those adopted in preparing the financial statements for the year ended December 31, 2012.

*4. Changes in accounting policies*

From January 1, 2013, the Company adopted the revised pronouncement IAS 19 - Employee benefits, correlate with CPC 33 (R1), whose changes eliminate the method of “corridor”; simplify the changes between the assets and liabilities of plans, recognizing in the income statement the financial cost and the expected return on plan assets and remeasurement of gains and losses, and return on assets in Other comprehensive income (excluding the amount of interest on return of assets recognized in income); and the effect of change on the ceiling of the plan.

The impact on the Company has been presented as follow:

Consolidated
December 31, 2012
Balance Sheet Original balance Effect of changes IAS 19 (CPC33R) revised Adjusted balance
Assets
Current
Cash and cash equivalents 11,917,717 — 11,917,717
Others 34,121,900 — 34,121,900
46,039,617 — 46,039,617
Non-current
Deferred income tax and social contribution 8,134,034 157,040 8,291,074
Others 212,748,003 (235,227 ) 212,512,776
220,882,037 (78,187 ) 220,803,850
Total Assets 266,921,654 (78,187 ) 266,843,467
Liabilities and Stockholders’ equity
Current
Employee post retirement benefits obligations 421,241 — 421,241
Liabilities directly associated with non-current assets held for sale 326,551 41,827 368,378
Others 24,920,506 — 24,920,506
25,668,298 41,827 25,710,125
Non-current
Employee post retirement benefits obligations 3,389,962 3,237,233 6,627,195
Deferred income tax and social contribution 7,753,893 (835,521 ) 6,918,372
Others 74,476,287 — 74,476,287
85,620,142 2,401,712 88,021,854
Stockholders’ equity
Capital 75,000,000 — 75,000,000
Unrealized fair value gain (losses) (1,126,628 ) (2,670,282 ) (3,796,910 )
Cumulative translation adjustments 8,692,782 — 8,692,782
Retained earnings 78,451,184 148,556 78,599,740
Noncontrolling interests 3,245,025 — 3,245,025
Others (8,629,149 ) — (8,629,149 )
155,633,214 (2,521,726 ) 153,111,488
Total Liabilities and Stockholders’ equity 266,921,654 (78,187 ) 266,843,467

12

SEQ.=1,FOLIO='12',FILE='C:\JMS\kdefran\13-16947-1\task6184650\16947-1-ba-11.htm',USER='kdefran',CD='Aug 6 16:44 2013'

Table of Contents

(A free translation of the original in Portuguese)

Consolidated
January 1, 2012
Balance Sheet Original balance Effect of changes IAS 19 (CPC33R) revised Adjusted balance
Assets
Current
Cash and cash equivalents 6,593,177 — 6,593,177
Others 33,543,088 — 33,543,088
40,136,265 — 40,136,265
Non-current
Deferred income tax and social contribution 3,538,830 10,498 3,549,328
Others 193,413,457 — 193,413,457
196,952,287 10,498 196,962,785
Total Asset 237,088,552 10,498 237,099,050
Liabilities and Stockholders’ equity
Current
Employee post retirement benefits obligations 316,061 — 316,061
Others 20,370,699 — 20,370,699
20,686,760 — 20,686,760
Non-current
Employee post retirement benefits obligations 2,845,725 1,639,962 4,485,687
Deferred income tax and social contribution 10,613,773 (438,227 ) 10,175,546
Others 56,261,674 — 56,261,674
69,721,172 1,201,735 70,922,907
Stockholders’ equity
Capital 75,000,000 — 75,000,000
Unrealized fair value gain (losses) 219,556 (1,196,997 ) (977,441 )
Cumulative translation adjustments (1,016,711 ) — (1,016,711 )
Retained earnings 78,105,989 5,760 78,111,749
Noncontrolling interests 3,205,222 — 3,205,222
Others (8,833,436 ) — (8,833,436 )
146,680,620 (1,191,237 ) 145,489,383
Total Liabilities and Stockholders’ equity 237,088,552 10,498 237,099,050
Consolidated (unaudited)
Three-month period ended
June 30, 2012
Statement of income Original balance Effect of changes IAS 19 (CPC33R) revised Adjusted balance
Net operating revenue 24,582,872 — 24,582,872
Cost of goods solds and services rendered (12,848,273 ) 2,760 (12,845,513 )
Gross operating profit 11,734,599 2,760 11,737,359
Operational expenses (3,906,287 ) — (3,906,287 )
Financial expenses, net (5,144,383 ) 7,334 (5,137,049 )
Equity results 309,600 — 309,600
Earnings before taxes 2,993,529 10,094 3,003,623
Current and deferred Income tax and social contribution, net 2,186,736 (3,232 ) 2,183,504
Net income of the period 5,180,265 6,862 5,187,127
Loss attributable to noncontrolling interests (133,401 ) — (133,401 )
Net income attributable to stockholders 5,313,666 6,862 5,320,528
Consolidated (unaudited)
Six-month period ended
June 30, 2012
Statement of income Original balance Effect of changes IAS 19 (CPC33R) revised Adjusted balance
Net operating revenue 45,043,963 — 45,043,963
Cost of goods solds and services rendered (23,767,573 ) 5,224 (23,762,349 )
Gross operating profit 21,276,390 5,224 21,281,614
Operational expenses (6,558,565 ) — (6,558,565 )
Financial expenses, net (4,922,994 ) (8,990 ) (4,931,984 )
Equity results 746,620 — 746,620
Earnings before taxes 10,541,451 (3,766 ) 10,537,685
Current and deferred Income tax and social contribution, net 1,256,143 1,769 1,257,912
Net income of the period 11,797,594 (1,997 ) 11,795,597
Loss attributable to noncontrolling interests (236,472 ) — (236,472 )
Net income attributable to stockholders 12,034,066 (1,997 ) 12,032,069

13

SEQ.=1,FOLIO='13',FILE='C:\JMS\kdefran\13-16947-1\task6184650\16947-1-ba-11.htm',USER='kdefran',CD='Aug 6 16:44 2013'

Table of Contents

(A free translation of the original in Portuguese)

Consolidated (unaudited)
Three-month period ended
June 30, 2012
Other comprehensive income Original balance Effect of changes IAS 19 (CPC33R) revised Adjusted balance
Net income of the period 5,180,265 6,862 5,187,127
Translation adjustments for the period 7,403,029 (86,366 ) 7,316,663
12,583,294 (79,504 ) 12,503,790
Unrealized results on valuation at market (3,946 ) — (3,946 )
Retirement benefit obligations, net — (86,567 ) (86,567 )
Cash flow hedge, net (217,471 ) — (217,471 )
Total comprehensive income of the year, net 12,361,877 (166,071 ) 12,195,806
Comprehensive income attributable to noncontrolling interests, net 188,907 — 188,907
Comprehensive income attributable to the Company’s stockholders, net 12,172,970 (166,071 ) 12,006,899
Consolidated (unaudited)
Six-month period ended
June 30, 2012
Other comprehensive income Original balance Effect of changes IAS 19 (CPC33R) Adjusted balance
Net income of the period 11,797,594 (1,997 ) 11,795,597
Translation adjustments for the period 6,301,130 (64,139 ) 6,236,991
18,098,724 (66,136 ) 18,032,588
Unrealized results on valuation at market (4,644 ) — (4,644 )
Retirement benefit obligations, net — 63,254 63,254
Cash flow hedge, net (203,284 ) — (203,284 )
Total comprehensive income of the year, net 17,890,796 (2,882 ) 17,887,914
Comprehensive income attributable to noncontrolling interests, net 26,203 — 26,203
Comprehensive income attributable to the Company’s stockholders, net 17,864,593 (2,882 ) 17,861,711
Parent Company
December 31, 2012
Balance Sheet Original balance Effect of changes IAS 19 (CPC33R) Adjusted balance
Assets
Current
Cash and cash equivalents 688,434 — 688,434
Others 29,898,916 — 29,898,916
30,587,350 — 30,587,350
Non-current
Deferred income tax and social contribution 5,557,892 157,040 5,714,932
Investments 123,871,281 (2,242,323 ) 121,628,958
Others 80,439,461 (235,227 ) 80,204,234
209,868,634 (2,320,510 ) 207,548,124
Total Asset 240,455,984 (2,320,510 ) 238,135,474
Liabilities and Stockholders’ equity
Current
Employee post retirement benefits obligations 219,396 — 219,396
Others 19,953,934 — 19,953,934
20,173,330 — 20,173,330
Non-current
Deferred income tax and social contribution 544,437 201,216 745,653
Others 67,350,028 — 67,350,028
67,894,465 201,216 68,095,681
Stockholders’ equity
Capital 75,000,000 — 75,000,000
Unrealized fair value gain (losses) (1,126,628 ) (2,670,282 ) (3,796,910 )
Cumulative translation adjustments 8,692,782 — 8,692,782
Retained earnings 78,451,184 148,556 78,599,740
Others (8,629,149 ) — (8,629,149 )
Total Liabilities and Stockholders’ equity 240,455,984 (2,320,510 ) 238,135,474

14

SEQ.=1,FOLIO='14',FILE='C:\JMS\kdefran\13-16947-1\task6184650\16947-1-ba-11.htm',USER='kdefran',CD='Aug 6 16:44 2013'

Table of Contents

(A free translation of the original in Portuguese)

Parent Company
January 1, 2012
Balance Sheet Original balance Effect of changes IAS 19 (CPC33R) Adjusted balance
Assets
Current
Cash and cash equivalents 574,787 — 574,787
Others 25,008,321 — 25,008,321
25,583,108 — 25,583,108
Non-current
Deferred income tax and social contribution 2,108,558 10,498 2,119,056
Investment 113,149,994 (1,196,299 ) 111,953,695
Others 73,286,880 — 73,286,880
188,545,432 (1,185,801 ) 187,359,631
Total Asset 214,128,540 (1,185,801 ) 212,942,739
Liabilities and Stockholders’ equity
Current
Employee post retirement benefits obligations 140,508 — 140,508
Others 14,010,811 — 14,010,811
14,151,319 — 14,151,319
Non-current
Employee post retirement benefits obligations 406,330 5,436 411,766
Others 56,095,493 — 56,095,493
56,501,823 5,436 56,507,259
Stockholders’ equity
Capital 75,000,000 — 75,000,000
Unrealized fair value gain (losses) 219,556 (1,196,997 ) (977,441 )
Cumulative translation adjustments (1,016,711 ) — (1,016,711 )
Retained earnings 78,105,989 5,760 78,111,749
Others (8,833,436 ) — (8,833,436 )
143,475,398 (1,191,237 ) 142,284,161
Total Liabilities and Stockholders’ equity 214,128,540 (1,185,801 ) 212,942,739
Parent company (unaudited)
Three-month period ended
June 30, 2012
Statement of income Original balance Effect of changes IAS 19 (CPC33R) Adjusted balance
Net operating revenue 15,814,484 — 15,814,484
Cost of goods solds and services rendered (6,152,652 ) — (6,152,652 )
Gross operating profit 9,661,832 — 9,661,832
Operational expenses 561,547 3,425 564,972
Financial expenses, net (4,781,016 ) 5,208 (4,775,808 )
Equity results 309,600 — 309,600
Earnings before taxes 5,751,963 8,633 5,760,596
Current and deferred Income tax and social contribution, net (438,297 ) (1,771 ) (440,068 )
Net income of the year 5,313,666 6,862 5,320,528
Parent company (unaudited)
Six-month period ended
June 30, 2012
Statement of income Original balance Effect of changes IAS 19 (CPC33R) Adjusted balance
Net operating revenue 27,703,716 — 27,703,716
Cost of goods solds and services rendered (11,514,493 ) — (11,514,493 )
Gross operating profit 16,189,223 — 16,189,223
Operational expenses 1,216,155 6,371 1,222,526
Financial expenses, net (4,933,267 ) (12,679 ) (4,945,946 )
Equity results 746,620 — 746,620
Earnings before taxes 13,218,731 (6,308 ) 13,212,423
Current and deferred Income tax and social contribution, net (1,184,665 ) 4,311 (1,180,354 )
Net income of the year 12,034,066 (1,997 ) 12,032,069

15

SEQ.=1,FOLIO='15',FILE='C:\JMS\kdefran\13-16947-1\task6184650\16947-1-ba-11.htm',USER='kdefran',CD='Aug 6 16:44 2013'

Table of Contents

(A free translation of the original in Portuguese)

Parent company (unaudited)
Three-month period ended
June 30, 2012
Other comprehensive income Original balance Effect of changes IAS 19 (CPC33R) Adjusted balance
Net income of the period 5,313,666 6,862 5,320,528
Translation adjustments for the period 7,080,721 (86,366 ) 6,994,355
12,394,387 (79,504 ) 12,314,883
Unrealized results on valuation at market, net (3,946 ) — (3,946 )
Retirement benefit obligations, net — (86,567 ) (86,567 )
Cash flow hedge, net (217,471 ) — (217,471 )
Total comprehensive income of the period, net 12,172,970 (166,071 ) 12,006,899
Parent company (unaudited)
Six-month period ended
June 30, 2012
Other comprehensive income Original balance Effect of changes IAS 19 (CPC33R) Adjusted balance
Net income of the period 12,034,066 (1,997 ) 12,032,069
Translation adjustments for the period 6,038,455 (64,139 ) 5,974,316
18,072,521 (66,136 ) 18,006,385
Unrealized results on valuation at market, net (4,644 ) — (4,644 )
Retirement benefit obligations, net — 63,254 63,254
Cash flow hedge, net (203,284 ) — (203,284 )
Total comprehensive income of the period, net 17,864,593 (2,882 ) 17,861,711

*5. Accounting Standards*

*a) Standards, interpretations or amendments issued by the IASB for adoption after June 30, 2013*

*Novation of Derivatives and Continuation of Hedge Accounting —* In June 2013 IASB issued an amendment to IAS 39 — Financial Instruments: Recognition and Measurement, that document conclude that hedge accounting do not terminate or expire when as consequence of law or regulation, a derivative financial instrument replace their original counterparty to become the new counterparty to each of the parties. The adoption of the amendment will be required from January 1 st , 2014 and we are analyzing potential impacts regarding this update on our financial statements.

**IFRIC 21 Levies —**** In May 2013 IASB issued an interpretation that treat about the recognize of a government imposition (levies). The adoption of the interpretation will be required from January 1 st , 2014 and we are analyzing potential impacts regarding this update on our financial statements.

*Recoverable Amount Disclosures for Non-Financial Assets —* In May 2013 IASB issued an amendment to IAS 36 — Impairment of Assets that clarifies the IASB intention about the disclosure of non- financial assets impairment. The adoption of the amendment will be required from January 1 st , 2014 and we are analyzing potential impacts regarding this update on our financial statements.

*b) Standards, interpretations, orientation or amendments approved by CVM for adoption after June 30, 2013*

No standards, interpretations, orientation or amendments were approved by CVM.

*6. Risk Management*

During the period, no significant change in relation to risk management policies disclosed in the financial statements for the year ended December 31, 2012.

16

SEQ.=1,FOLIO='16',FILE='C:\JMS\kdefran\13-16947-1\task6184650\16947-1-ba-11.htm',USER='kdefran',CD='Aug 6 16:44 2013'

Table of Contents

(A free translation of the original in Portuguese)

*7. Acquisitions and Divestitures*

*a) Divestitures of Araucaria*

In December 2012, we executed an agreement with Petróleo Brasileiro S.A. (Petrobras) to sell Araucária, operation for production of nitrogens based fertilizes, located in Araucária, in the Brazilian state of Paraná, for US$234 million. The purchase price will be paid by Petrobras through installments accrued quarterly, adjusted by 100% of the Brazilian Interbank Interest rate (CDI), in amounts equivalent to the royalties due by Vale related to the leasing of potash assets and mining of Taquari-Vassouras and of the Carnalita project.

During the second quarter 2013 Vale concluded the transaction before classified as held for sale, remaining this subject to precedent conditions including the approval by the Brazilian Administrative Council for Economic Defense agency (“Conselho Administrativo de Defesa Econômica” or “CADE”).

*b) Acquisition of additional participation in the Belvedere*

During 2012, Vale concluded the purchase option on additional 24.5% participation in the Belvedere Coal Project owned by Aquila Resources Limited (“Aquila”) in the amount of AUD150 million (R$ 318 million). After the approval of the local government, Vale has paid the total amount of US$338 million (R$ 682 million) for 100% of Belvedere.

*8. Cash and Cash Equivalents*

Consolidated — June 30, 2013 December 31, 2012 Parent Company — June 30, 2013 December 31, 2012
(unaudited) (unaudited)
Cash and bank accounts 3,676,382 2,440,169 55,772 35,878
Short-term investments (maturity until 3 months) 9,449,968 9,477,548 2,193,945 652,556
13,126,350 11,917,717 2,249,717 688,434

*9. Accounts Receivables*

Consolidated — June 30, 2013 December 31, 2012 Parent Company — June 30, 2013 December 31, 2012
(unaudited) (unaudited)
Denominated in Reais “Brazilian Reais” 1,860,709 1,733,506 1,935,666 1,518,657
Denominated in other currencies, mainly US$ 9,305,338 12,384,371 16,919,180 20,434,308
11,166,047 14,117,877 18,854,846 21,952,965
Allowance for doubtful accounts (213,703 ) (233,214 ) (105,280 ) (114,426 )
10,952,344 13,884,663 18,749,566 21,838,539

Accounts receivables related to the steel industry market represent 82.29% and 71.26% of receivables on June 30, 2013, December 31, 2012, respectively.

In June 30, 2013, no individual customer represents over 10% of receivables or revenues.

The estimated losses for accounts receivable recorded in the statement of income as at June 30, 2013 and June 30, 2012 totaled R$ 3,896 and R$ 721, respectively. Write offs as at June 30, 2013 and December 31, 2012, totaled R$ 16,708 and R$33,630, respectively.

17

SEQ.=1,FOLIO='17',FILE='C:\JMS\kdefran\13-16947-1\task6184650\16947-1-ba-13.htm',USER='kdefran',CD='Aug 6 16:43 2013'

Table of Contents

(A free translation of the original in Portuguese)

*10. Inventory*

Consolidated — June 30, 2013 December 31, 2012 Parent Company — June 30, 2013 December 31, 2012
(unaudited) (unaudited)
Finished products 5,511,848 4,574,982 2,446,996 2,080,052
Products in process 2,830,920 2,776,258 — —
Inventory of products 8,342,768 7,351,240 2,446,996 2,080,052
Maintenance supplies 2,849,453 2,968,733 1,244,263 1,202,479
Total of Inventories 11,192,221 10,319,973 3,691,259 3,282,531

The inventories of products are comprised as follows:

Consolidated — June 30, 2013 December 31, 2012 Parent Company — June 30, 2013 December 31, 2012
(unaudited) (unaudited)
Inventories of products
Bulk Material
Iron ore 2,060,444 1,745,919 1,889,792 1,570,681
Pellets 201,738 195,091 191,640 210,383
Manganese and ferroalloys 234,874 188,056 — —
Coal 689,591 505,850 — —
3,186,647 2,634,916 2,081,432 1,781,064
Base Metals
Nickel and other products 4,043,750 3,870,247 287,572 258,797
Copper 169,216 60,252 74,271 37,075
4,212,966 3,930,499 361,843 295,872
Fertilizers
Potash 43,189 41,311 — —
Phosphates 784,618 679,393 — —
Nitrogen 68,832 42,152 — —
896,639 762,856 — —
Others 46,516 22,969 3,721 3,116
8,342,768 7,351,240 2,446,996 2,080,052

On June 30, 2013 inventory balances include a provision for adjustment to market value of manganese, copper and coal in the amount of R$6,363, R$0 and R$186,514, (on December 31, 2012 was R$6,363, R$6,151 and R$0), respectively .

Consolidated (unaudited)
Three-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
Inventories of product
Balance on begin of period 7,797,322 7,795,929 7,351,240 7,449,728
Addition 11,321,713 10,869,688 21,533,790 20,369,866
Transfer from maintenance supplies 2,089,056 2,132,618 4,008,898 3,932,870
Sale (12,865,323 ) (12,845,513 ) (24,303,450 ) (23,762,349 )
Write-off by inventory adjustment — (663 ) (247,710 ) (38,056 )
Balance on ended of period 8,342,768 7,952,059 8,342,768 7,952,059
Parent company (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Inventories of product
Balance on begin of period 2,080,052 2,170,119
Addition 8,553,268 9,895,766
Transfer from maintenance supplies 1,597,582 1,854,231
Sale (9,783,906 ) (11,514,493 )
Write-off by inventory adjustment — (21,758 )
Balance on ended of period 2,446,996 2,383,865

18

SEQ.=1,FOLIO='18',FILE='C:\JMS\kdefran\13-16947-1\task6184650\16947-1-ba-13.htm',USER='kdefran',CD='Aug 6 16:43 2013'

Table of Contents

(A free translation of the original in Portuguese)

Consolidated (unaudited)
Three-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
Inventories of consumable products
Balance on begin of period 3,087,467 2,359,666 2,968,733 2,383,322
Addition 1,851,042 2,322,777 3,889,618 4,099,373
Transfer to use (2,089,056 ) (2,132,618 ) (4,008,898 ) (3,932,870 )
Balance on ended of period 2,849,453 2,549,825 2,849,453 2,549,825
Parent company (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Inventories of consumable products
Balance on begin of period 1,202,479 1,012,619
Addition 1,639,366 1,922,692
Transfer to use (1,597,582 ) (1,854,231 )
Balance on ended of period 1,244,263 1,081,080

*11. Recoverable Taxes*

Consolidated — June 30, 2013 December 31, 2012 Parent Company — June 30, 2013 December 31, 2012
Value-added tax 2,395,657 2,090,390 1,177,061 1,056,326
Brazilian Federal Contributions (PIS - COFINS) 1,379,386 1,369,948 915,969 1,013,857
Others 146,562 130,855 66,957 87,271
Total 3,921,605 3,591,193 2,159,987 2,157,454
Current 3,561,443 3,147,715 1,916,123 1,902,190
Non-current 360,162 443,478 243,864 255,264
Total 3,921,605 3,591,193 2,159,987 2,157,454

*12. Financial instruments - investments*

The lock-up period for trading Norsk Hydro shares ended in the first quarter of 2013. From that date on the shares of Norsk Hydro can be traded in the market and therefore we ended the equity method measurement and start classifying this investment as a financial asset available for sale as of June 30, 2013. The fair value of financial instruments — investment in stock classified as available for sale in June 30, 2013 was R$ 3,981,748.

*13. Investments*

Consolidated (unaudited)
Three-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
Balance on begin of the period 12,922,619 15,816,422 13,044,460 14,984,038
Additions 219,443 78,802 586,823 457,176
Disposals — (61,896 ) (41,084 ) (61,896 )
Translation adjustment for the period 218,027 482,360 (115,003 ) 562,782
Equity results 104,406 309,600 445,945 746,620
Equity other comprehensive income (10,720 ) 27,506 (410,063 ) 54,144
Dividends declared (1,126,809 ) (615,532 ) (1,184,112 ) (705,602 )
Transfer (note 12) (3,910,289 ) — (3,910,289 ) —
Balance on ended of the period 8,416,677 16,037,262 8,416,677 16,037,262
Parent company (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Changes in Investments
Balance on begin of period 121,628,958 111,953,695
Additions 3,892,962 3,318,237
Disposals (58,363 ) (1,221,535 )
Translation adjustment for the period 5,082,998 4,945,771
Equity results (508,578 ) 5,267,315
Equity other comprehensive income. (716,988 ) (788,871 )
Dividends declared (2,032,819 ) (925,277 )
Balance on ended of period 127,288,170 122,549,335

19

SEQ.=1,FOLIO='19',FILE='C:\JMS\kdefran\13-16947-1\task6184650\16947-1-ba-13.htm',USER='kdefran',CD='Aug 6 16:43 2013'

COMMAND=ROTATED_TABLE WIDTH="150%"

Table of Contents

(A free translation of the original in Portuguese)

*Investments (Continued)*

Investments Equity results (unaudited) Received dividends (unaudited)
As of Three-month period ended Six-month period ended Six-month period ended
Location Principal activity % ownership % voting capital June 30, 2013 December 31, 2012 June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
(unaudited) (i) (unaudited) (i) (i)
Subsidiaries and affiliated companies
Direct and indirect subsidiaries
Aços Laminados do Pará S.A. Brazil Steel 100.00 100.00 319,183 319,388 642 (562 ) (3,410 ) (3,297 ) — —
Biopalma da Amazonia S.A. (a) Brazil Energy 70.00 70.00 519,412 349,460 (81,856 ) (54,273 ) (100,048 ) (60,832 ) — —
Companhia Portuária da Baía de Sepetiba - CPBS Brazil Iron ore 100.00 100.00 279,910 454,413 58,500 62,156 88,547 102,020 263,281 —
Compañia Minera Miski Mayo S.A.C (a) Peru Fertilizers 40.00 51.00 487,346 528,009 (7,106 ) 34,474 152 53,194 80,993 —
Ferrovia Centro-Atlantica S.A. (a) Brazil General Cargo Logistics 99.99 99.99 3,020,685 2,926,116 (38,472 ) (43,602 ) (145,394 ) (150,928 ) — —
Ferrovia Norte Sul S.A. Brazil General Cargo Logistics 100.00 100.00 1,721,010 1,717,056 13,219 5,223 3,954 (7,674 ) — —
Mineração Corumbaense Reunida S.A. Brazil Iron ore and Manganese 100.00 100.00 1,105,219 1,364,947 81,611 104,811 71,048 102,123 — —
Minerações Brasileiras Reunidas S.A. - MBR (b) Brazil Iron ore 98.32 98.32 4,580,387 4,538,200 13,398 31,936 79,458 67,940 306,072 —
Potasio Rio Colorado S.A. (a) Argentina Fertilizers 100.00 100.00 7,513,225 6,016,285 (158,693 ) (18,590 ) (167,967 ) (36,151 ) — —
Rio Doce Australia Pty Ltd. Australia Coal 100.00 100.00 150,017 (35,800 ) (192,359 ) (108,557 ) (251,060 ) (213,114 ) — —
Salobo Metais S.A. (a) Brazil Copper 100.00 100.00 6,961,186 6,343,192 10,526 (27,600 ) (18,795 ) (22,758 ) — —
Sociedad Contractual Minera Tres Valles (a) Chile Copper 90.00 90.00 368,742 459,907 (32,243 ) (32,552 ) (50,817 ) (53,428 ) — —
SRV Reinsurance Company S.A. Switzerland Insurance 100.00 100.00 697,428 1,247,555 (645,493 ) — (646,738 ) 10,331 — —
Vale International Holdings GMBH (b) Austria Holding and research 100.00 100.00 12,541,494 8,192,933 64,391 (137,616 ) (115,095 ) (200,131 ) — —
Vale Canada Holdings Canada Holding 100.00 100.00 1,042,175 1,000,138 (3,540 ) (2,134 ) (7,718 ) (1,443 ) — —
Vale Canada Limited (b) Canada Nickel 100.00 100.00 16,172,266 9,575,352 (188,211 ) (664,939 ) (389,615 ) (1,033,419 ) — —
Vale Colombia Holding Ltd. (e) Colombia Coal 100.00 100.00 — — — (57,789 ) — (64,177 ) — —
Vale Fertilizantes S.A. (d) Brazil Fertilizers 100.00 100.00 — — — (53,320 ) — (51,858 ) — —
Vale Fertilizantes S.A. (antiga Mineração Naque S.A.) (a) (b) Brazil Fertilizers 100.00 100.00 13,941,904 13,593,079 39,023 2,533,651 (29,675 ) 2,561,483 — —
Vale International S.A. (b) Switzerland Trading and holding 100.00 100.00 28,576,853 34,748,846 (785,661 ) 926,158 355,791 3,553,963 — —
Vale Malaysia Minerals Malaysia Iron ore 100.00 100.00 1,645,184 1,013,478 (12,004 ) 2,661 (21,795 ) (9,857 ) — —
Vale Manganês S.A. Brazil Manganese and Ferroalloys 100.00 100.00 567,142 686,604 (14,334 ) 33,431 (119,192 ) 6,035 — —
Vale Mina do Azul S.A. Brazil Manganese 100.00 100.00 227,831 203,100 23,200 7,479 39,589 2,542 — —
Vale Moçambique Mozambique Coal 100.00 100.00 7,978,609 5,886,379 632,192 (86,582 ) 275,483 (147,252 ) —
Vale Shipping Holding Pte. Ltd. Singapore Logistic of iron ore 100.00 100.00 5,915,353 5,117,874 88,884 33,090 192,567 106,230 — —
VBG Vale BSGR Limited (a) Guinea Iron ore 51.00 51.00 891,324 869,341 (19,795 ) (47,313 ) (65,204 ) (87,262 ) — —
VLI Multimodal S.A. (a) (b) Brazil General Cargo Logistics 100.00 100.00 689,995 606,865 30,786 (17,648 ) 49,108 44,422 — —
Others 957,613 861,781 39,298 76,701 22,303 53,993 72,281 682
118,871,493 108,584,498 (1,084,097 ) 2,498,694 (954,523 ) 4,520,695 722,627 682
Joint Ventures
California Steel Industries, INC USA Steel 50.00 50.00 396,124 341,553 8,449 17,130 21,088 27,531 — —
Companhia Coreano-Brasileira de Pelotização - KOBRASCO Brazil Pellets 50.00 50.00 180,174 218,574 7,262 15,721 8,741 28,386 36,012 20,000
Companhia Hispano-Brasileira de Pelotização - HISPANOBRÁS (f) Brazil Pellets 50.89 51.00 188,270 213,028 3,054 56,627 (4,402 ) 60,114 20,356 23,215
Companhia Ítalo-Brasileira de Pelotização - ITABRASCO (f) Brazil Pellets 50.90 51.00 129,383 130,003 (1,213 ) 2,477 (620 ) 12,716 — 36,048
Companhia Nipo-Brasileira de Pelotização - NIBRASCO (f) Brazil Pellets 51.00 51.11 341,018 363,546 5,425 6,274 9,250 16,350 51,000 51,000
CSP- Companhia Siderúrgica do PECEM Brazil Steel 50.00 50.00 1,486,492 1,019,920 (4,263 ) (1,066 ) (7,041 ) (2,899 ) — —
MRS Logística S.A. (h) Brazil General Cargo Logistics 47.59 46.75 1,220,966 1,196,876 46,759 36,442 72,978 106,792 — —
Norte Energia S.A. Brazil Energy 9.00 9.00 331,674 245,631 (841 ) (2,110 ) (1,789 ) (2,110 ) — —
Samarco Mineração S.A. (g) Brazil Iron ore 50.00 50.00 761,090 1,287,854 145,592 276,008 465,591 648,918 330,789 —
Others 338,587 442,732 (23,573 ) (18,596 ) (46,927 ) (82,202 ) — —
5,373,778 5,459,717 186,651 388,907 516,869 813,596 438,157 130,263
Direct and indirect associate
Henan Longyu Energy Resources CO., LTD. China Coal 25.00 25.00 840,505 697,432 24,605 30,509 42,644 62,456 — 107,359
LOG-IN - Logística Intermodal S/A (c) Brazil General Cargo Logistics 31.33 31.33 199,683 192,400 — (9,165 ) 7,283 (26,779 ) — —
Mineração Rio Grande do Norte S.A. - MRN Brazil Bauxite 40.00 40.00 240,610 277,384 1,934 7,646 5,412 20,052 — —
Norsk Hydro ASA Norway Aluminum — — — 4,572,223 — — — 50,087 115,007 95,382
Teal Minerals Incorporated Zambia Copper 50.00 50.00 535,197 515,669 (6,369 ) (3,303 ) (12,265 ) (5,845 ) — —
Tecnored Desenvolvimento Tecnologico S.A. (a) Brazil Iron ore 49.21 49.21 94,329 78,936 (5,589 ) (12,717 ) (10,078 ) (15,568 ) — —
Thyssenkrupp CSA Companhia Siderúrgica do Atlântico Brazil Steel 26.87 26.87 965,292 1,091,633 (97,905 ) (91,433 ) (111,629 ) (155,833 ) — —
Zhuhai YPM Pellet Co China Pellets 25.00 25.00 54,108 48,313 104 321 485 645 — —
Others 113,175 110,753 975 (1,165 ) 7,224 3,809 441 —
3,042,899 7,584,743 (82,245 ) (79,307 ) (70,924 ) (66,976 ) 115,448 202,741
Total of associates and joint ventures 8,416,677 13,044,460 104,406 309,600 445,945 746,620 553,605 333,004
Total 127,288,170 121,628,958 (979,691 ) 2,808,294 (508,578 ) 5,267,315 1,276,232 333,686

20

SEQ.=1,FOLIO='20',FILE='C:\JMS\kdefran\13-16947-1\task6184698\16947-1-ba-15.htm',USER='kdefran',CD='Aug 6 16:57 2013'

Table of Contents

(A free translation of the original in Portuguese)

(i) Period adjusted according to note 4.

(a) Investment balance includes the values of advances for future capital increase;

(b) Stockholder’s equity is excluded of others investments presented in the table.

(c) Market value on June 30, 2013 was R$282 million and on December 31, 2012 was R$246 million;

(d) Merged with Vale Fertilizantes S.A. (old Mineração Naque);

(e) Company sold in June 2012;

(f) Although Vale held a majority of the voting interest of investees accounted for under the equity method, existing veto rights held by noncontrolling shareholders;

(g) Main data of Samarco: Operational Result R$ 1,641 million, Financial Result R$ (500) million, Income tax (R$ 211) million; and

(h) Market value on June 30, 2013 was R$2,978,992 and on December 31, 2012 was R$2,147,118 but its stock has no trading.

*14. Intangible Assets*

Consolidated
June 30, 2013 (unaudited) December 31, 2012
Cost Amortization Net Cost Amortization Net
Indefinite useful lifetime
Goodwill 9,578,124 — 9,578,124 9,406,549 — 9,406,549
Finite useful lifetime
Concession and subconcession 11,636,093 (3,593,039 ) 8,043,054 10,981,246 (3,306,941 ) 7,674,305
Right to use 748,949 (137,472 ) 611,477 732,416 (112,516 ) 619,900
Others 2,654,430 (1,508,482 ) 1,145,948 2,504,260 (1,382,987 ) 1,121,273
15,039,472 (5,238,993 ) 9,800,479 14,217,922 (4,802,444 ) 9,415,478
Total 24,617,596 (5,238,993 ) 19,378,603 23,624,471 (4,802,444 ) 18,822,027
Parent Company
June 30, 2013 (unaudited) December 31, 2012
Cost Amortization Net Cost Amortization Net
Indefinite useful lifetime
Goodwill 9,578,124 — 9,578,124 9,406,549 — 9,406,549
Finite useful lifetime
Concession and subconcession 6,888,394 (2,590,450 ) 4,297,944 6,409,684 (2,414,022 ) 3,995,662
Right to use 223,357 (86,324 ) 137,033 222,357 (83,406 ) 138,951
Others 2,654,430 (1,508,482 ) 1,145,948 2,504,260 (1,380,987 ) 1,123,273
9,766,181 (4,185,256 ) 5,580,925 9,136,301 (3,878,415 ) 5,257,886
Total 19,344,305 (4,185,256 ) 15,159,049 18,542,850 (3,878,415 ) 14,664,435

The useful life of the concessions and sub-concessions are not change.

The rights of use refers basically to the usufruct contract entered into with non-controlling stockholders to use the Empreendimentos Brasileiros de Mineração S.A. shares (owner of the shares of MBR) and intangible identified in business combination of Vale Canada. The amortization of the right to use will expires in 2037 and Vale Canada’s intangible will end in September 2046.

The table below shows the movement of intangible assets during the period:

Consolidated (unaudited)
Three-month period ended
June 30, 2013 June 30, 2012
Goodwill Concessions and Subconcessions Right to use Others Total Total
Balance at beginning of period 9,285,233 7,846,120 593,302 1,065,185 18,789,840 17,959,670
Addition — 354,723 — 143,428 498,151 497,191
Write off — (5,815 ) — (3,581 ) (9,396 ) (455,317 )
Amortization — (151,974 ) (12,118 ) (59,084 ) (223,176 ) (207,159 )
Translation adjustment for the period 292,891 — 30,293 — 323,184 287,185
Balance at end of period 9,578,124 8,043,054 611,477 1,145,948 19,378,603 18,081,570

21

SEQ.=1,FOLIO='21',FILE='C:\JMS\kdefran\13-16947-1\task6184698\16947-1-ba-17.htm',USER='kdefran',CD='Aug 6 16:58 2013'

Table of Contents

(A free translation of the original in Portuguese)

Consolidated (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Goodwill Concessions and Subconcessions Right to use Others Total Total
Balance at beginning of period 9,406,549 7,674,305 618,900 1,122,273 18,822,027 17,788,581
Addition — 675,640 — 160,341 835,981 878,304
Write off — (9,921 ) — (4,334 ) (14,255 ) (455,912 )
Amortization — (296,970 ) (21,858 ) (132,332 ) (451,160 ) (389,091 )
Translation adjustment for the period 171,575 — 14,435 — 186,010 259,688
Balance at end of period 9,578,124 8,043,054 611,477 1,145,948 19,378,603 18,081,570
Parent company (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Goodwill Concessions and Subconcessions Right to use Others Total Total
Balance at beginning of period 9,406,549 3,995,662 138,951 1,123,273 14,664,435 13,973,730
Addition — 499,222 — 160,341 659,563 624,433
Write off — (9,640 ) — (4,334 ) (13,974 ) (455,912 )
Amortization — (187,300 ) (2,918 ) (132,332 ) (322,550 ) (287,498 )
Translation adjustment for the period 171,575 — — — 171,575 230,892
Balance at end of period 9,578,124 4,297,944 136,033 1,146,948 15,159,049 14,085,645

*15. Property, plant and equipment*

Consolidated
June 30, 2013 (unaudited) December 31, 2012
Cost Accumulated Depreciation Net Cost Accumulated Depreciation Net
Land 2,043,333 — 2,043,333 1,380,514 — 1,380,514
Buildings 18,201,809 (4,165,182 ) 14,036,627 15,755,033 (3,304,484 ) 12,450,549
Facilities 34,837,671 (10,449,003 ) 24,388,668 33,349,628 (9,326,286 ) 24,023,342
Computer equipment 1,837,246 (1,390,068 ) 447,178 2,013,578 (1,244,805 ) 768,773
Mineral assets 48,542,037 (11,046,686 ) 37,495,351 48,439,597 (9,887,451 ) 38,552,146
Others 59,014,793 (19,008,002 ) 40,006,791 54,672,527 (17,523,598 ) 37,148,929
Construction in progress 67,844,625 — 67,844,625 59,130,367 — 59,130,367
232,321,514 (46,058,941 ) 186,262,573 214,741,244 (41,286,624 ) 173,454,620
Parent Company
June 30, 2013 (unaudited) December 31, 2012
Cost Accumulated Depreciation Net Cost Accumulated Depreciation Net
Land 1,362,340 — 1,362,340 1,161,681 — 1,161,681
Buildings 6,917,439 (1,409,351 ) 5,508,088 5,694,835 (1,319,261 ) 4,375,574
Facilities 17,528,184 (4,430,401 ) 13,097,783 16,427,951 (4,128,008 ) 12,299,943
Computer equipment 961,884 (765,251 ) 196,633 942,314 (723,799 ) 218,515
Mineral assets 2,843,442 (667,794 ) 2,175,648 4,401,616 (587,915 ) 3,813,701
Others 18,895,192 (8,098,614 ) 10,796,578 16,820,944 (7,532,274 ) 9,288,670
Construction in progress 33,192,115 — 33,192,115 30,073,238 — 30,073,238
81,700,596 (15,371,411 ) 66,329,185 75,522,579 (14,291,257 ) 61,231,322

In March 2013, the Company suspended the implementation of the Rio Colorado project in Argentina. The current underlying project parameters are not sufficiently favorable to assure the project meets the Company´s capital allocation and value creation targets. The Company will continue honoring its commitments related to the concessions and reviewing alternatives to enhance the project outcome in order to determine prospects for future project development. Based on an analysis of current expected returns and projected investments, the Company has concluded that no impairment provision is required at this time. This matter continues to be closely monitored by management.

The net property, plant and equipment given in guarantees for judicial claims in June 30, 2013 and December 31, 2012 correspond to R$195,042 and R$196,870 in consolidated and R$159,821 and R$161,338 in the parent company respectively.

The table below shows the movement of Property, plant and equipment during the period:

22

SEQ.=1,FOLIO='22',FILE='C:\JMS\kdefran\13-16947-1\task6184698\16947-1-ba-17.htm',USER='kdefran',CD='Aug 6 16:58 2013'

COMMAND=ROTATED_TABLE WIDTH="150%"

Table of Contents

(A free translation of the original in Portuguese)

Consolidated (unaudited)
Three-month period ended
June 30, 2013 June 30, 2012
Land Building Facilities Computer equipment Mineral assets Others Constructions im progress Total Total
Balance at beginning of period 1,747,104 12,886,297 23,726,343 743,833 35,205,546 37,330,280 63,211,445 174,850,848 157,088,920
Acquisitions — — — — — — 5,336,088 5,336,088 4,284,881
Disposals (58 ) (422 ) (25,355 ) — (239 ) (15,351 ) (72,182 ) (113,607 ) (669,778 )
Transfer to non-current assets held for sale — — — — — — — — (82,645 )
Depreciation and amortization — (127,222 ) (481,351 ) (39,781 ) (413,021 ) (663,635 ) — (1,725,010 ) (1,182,509 )
Translation adjustment for the period (38,679 ) 214,565 563,814 (320,930 ) 2,611,484 1,883,472 3,000,528 7,914,254 7,778,316
Transfers 334,966 1,063,409 605,217 64,056 91,581 1,472,025 (3,631,254 ) — —
Balance at end of period 2,043,333 14,036,627 24,388,668 447,178 37,495,351 40,006,791 67,844,625 186,262,573 167,217,185
Consolidated (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Land Building Facilities Computer equipment Mineral assets Others Constructions im progress Total Total
Balance at beginning of period 1,380,514 12,451,549 24,023,342 768,773 38,553,146 37,146,929 59,130,367 173,454,620 153,854,863
Acquisitions — — — — — — 12,455,380 12,455,380 9,153,309
Disposals (58 ) (1,004 ) (100,134 ) (1,085 ) (61,274 ) (17,687 ) (82,961 ) (264,203 ) (752,420 )
Transfer to non-current assets held for sale — — — — — — — — (82,645 )
Depreciation and amortization — (249,306 ) (911,907 ) (82,237 ) (899,788 ) (2,262,650 ) — (4,405,888 ) (3,016,968 )
Translation adjustment for the period (38,431 ) 135,967 356,572 (325,895 ) 954,813 1,430,943 2,508,695 5,022,664 8,061,046
Transfers 701,308 1,699,421 1,020,795 87,622 (1,051,546 ) 3,709,256 (6,166,856 ) — —
Balance at end of period 2,043,333 14,036,627 24,388,668 447,178 37,495,357 40,006,791 67,844,625 186,262,573 167,217,185
Parent company (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Land Building Facilities Computer equipment Mineral assets Others Constructions im progress Total Total
Balance at beginning of period 1,161,681 4,375,574 12,299,943 217,515 3,814,701 9,288,670 30,073,238 61,231,322 55,503,193
Acquisitions — — — — — — 6,392,101 6,392,101 6,347,088
Disposals — — (2,658 ) (68 ) — (53,507 ) (135,117 ) (191,350 ) (78,917 )
Depreciation and amortization — (90,594 ) (311,431 ) (42,843 ) (147,620 ) (510,400 ) — (1,102,888 ) (1,123,317 )
Others 200,659 1,223,108 1,111,929 22,029 (1,491,433 ) 2,071,815 (3,138,107 ) — —
Balance at end of period 1,362,340 5,508,088 13,097,783 196,633 2,175,648 10,796,578 33,192,115 66,329,185 60,648,047

23

SEQ.=1,FOLIO='23',FILE='C:\JMS\kdefran\13-16947-1\task6184728\16947-1-ba-19.htm',USER='kdefran',CD='Aug 6 17:01 2013'

Table of Contents

(A free translation of the original in Portuguese)

*16. Loans and Financing*

*a) Long-term debts*

Consolidated — Current Liabilities Non-current liabilities
June 30, 2013 December 31, 2012 June 30, 2013 December 31, 2012
(unaudited) (unaudited)
Long-term contracts abroad
Loans and financing in:
United States dollars 901,466 1,234,900 7,592,614 6,905,692
Others currencies 41,676 28,829 535,684 535,465
Fixed rates:
Notes indexed in United Stated dollars (fixed rates) 276,293 253,220 30,005,073 27,499,381
Euro — — 4,368,317 4,043,100
Accrued charges 667,334 661,753 — —
1,886,769 2,178,702 42,501,688 38,983,638
Long-term contracts in Brazil
Indexed to TJLP, TR, IGP-M e CDI 648,835 357,899 12,877,289 12,394,565
Basket of currencies 5,434 3,579 19,888 20,808
Loans in United States dollars 364,799 346,420 2,830,897 2,589,501
Non-convertible debentures into shares 4,000,000 4,000,000 813,803 774,464
Accrued charges 230,486 206,278 — —
5,249,554 4,914,176 16,541,877 15,779,338
7,136,323 7,092,878 59,043,565 54,762,976
Parent Company — Current Liabilities Non-current liabilities
June 30, 2013 December 31, 2012 June 30, 2013 December 31, 2012
(unaudited) (unaudited)
Long-term contracts abroad
Loans and financing in:
United States dollars 364,376 274,843 5,626,868 5,137,180
Fixed rates:
Notes indexed in United Stated dollars (fixed rates) — — 3,344,550 3,065,250
Euro — — 4,368,317 4,043,100
Accrued charges 178,386 211,677 — —
542,762 486,520 13,339,735 12,245,530
Long-term contracts in Brazil
Indexed to TJLP, TR, IGP-M e CDI 491,595 306,065 12,461,623 12,032,209
Loans in United States dollars 364,799 346,420 2,830,897 2,589,501
Non-convertible debentures into shares 4,000,000 4,000,000 — —
Accrued charges 208,584 188,844 — —
5,064,978 4,841,329 15,292,520 14,621,710
5,607,740 5,327,849 28,632,255 26,867,240

The long-term portion as at June 30, 2013 has maturities as follows:

(unaudited) — Consolidated Parent Company
2014 1,990,900 1,818,536
2015 2,740,359 1,749,356
2016 4,414,542 1,831,938
2017 5,212,355 1,848,590
2018 onwards 44,685,409 21,383,835
59,043,565 28,632,255

24

SEQ.=1,FOLIO='24',FILE='C:\JMS\105733\13-16947-1\task6185276\16947-1-ba-21.htm',USER='105733',CD='Aug 7 07:09 2013'

Table of Contents

(A free translation of the original in Portuguese)

As at June 30, 2013, the annual interest rates on the long-term debts were as follows:

(unaudited) — Consolidated Parent Company
Up to 3% 10,967,706 8,287,507
3,1% to 5% (a) 13,475,199 6,095,221
5,1% to 7% 27,844,085 10,211,234
7,1% to 9% (b) 2,912,285 —
9,1% to 11% (b) 5,359,551 5,044,967
Over 11% (b) 5,620,447 4,601,066
Variable 615 —
66,179,888 34,239,995

(a) Includes Eurobonds. For this operation we have entered into derivative transactions at a cost of 4.51% per year in US dollars.

(b) Includes non-convertible debentures and other Brazilian Real denominated debt that bears interest at the CDI and Brazilian Government Long-term Interest Rates (“TJLP”), plus spread. For these operations, we have entered into derivative transactions to mitigate our exposure to the floating rate debt denominated in Brazilian Real, totaling US$ 7,876,370 (R$ 17,561,942) of which US$ 4,473,874 (R$ 9,975,308) has an original interest rate above 7.1% per year. The average cost of debts not denominated in U.S. Dollars after derivatives contracting is 2.60% per year.

All the securities issued through our 100% finance subsidiary Vale Overseas Limited, are fully and unconditionally guaranteed by Vale.

*b) Funding and revolving credit lines*

In June 2013 Vale entered into a new facility with Banco Nacional de Desenvolvimento Econômico Social — BNDES for a total amount of R$ 109,307 (US$ 49,023), to finance the acquisition of domestic equipment.

In July 4, 2013 (subsequent event) the Company contracted a new 5-year revolving credit facility in the amount of R$ 4,452 million (US$ 2 billion).

Credit line
Amounts drawn on
Financial Intitution Contractual Currency Date of agreement Available until Total amount available June 30, 2013 December 31, 2012
Revolving Credit Lines
Revolving Credit Facility - Vale/ Vale International/ Vale Canada US$ April 2011 5 years 6,689,100 — —
Credit Lines
BNDES R$ April 2008 (a) 10 years 7,300,000 3,793,700 3,581,809
Loans
Export-Import Bank of China e Bank of China Limited US$ September 2010 (b) 13 years 2,739,855 2,125,350 1,710,410
Export Development Canada (“EDC”) US$ October 2010 (c) 10 years 2,229,700 2,173,958 1,992,413
BNDES
CLN 150 R$ September 2012 (d) 10 years 3,882,956 2,778,661 2,108,661
Programa de Sustentação do Investimento 2,50% (“PSI”) R$ December 2012 (e) 10 years 181,978 181,978 —
PSI 3,00% R$ June 2013 (f) 10 years 109,307 — —

The currency of total amount available and disbursed different from reporting currency is affected by exchange rate variation among periods.

(a) Memorandum of Understanding signature date, however the term of the financing projects is counted from the date of signature of each projects additive.

(b) Acquisition of twelve large ore carriers from Chinese shipyards.

(c) Financing investments in Canada and Canadian exports.

(d) Capacitação Logística Norte 150 Project (CLN 150).

(e) Acquisition of wagons by VLI Multimodal.

(f) Acquisition of a domestic equipment.

These credit lines from Nexi, JBIC, K-Sure, BNDES: Vale Fertilizantes, PSI 4.50% and 5.50% were taken off this note, because they have been used in its entirety.

*c) Guarantee*

On June 30, 2013, R$ 3,424,342 (US$ 1,535,786 thousand) of the total aggregate outstanding debt was secured by property, plant and equipment and receivables.

*d) Covenants*

Our principal covenants require us to maintain certain ratios, such as debt to EBITDA (Earnings before interests taxes, depreciation and amortization) and interest coverage. We have not identified any events of noncompliance as of June 30, 2013 .

25

SEQ.=1,FOLIO='25',FILE='C:\JMS\105733\13-16947-1\task6185276\16947-1-ba-21.htm',USER='105733',CD='Aug 7 07:09 2013'

Table of Contents

(A free translation of the original in Portuguese)

*17. Provision for litigation*

Vale is a party to labor, civil, tax and other ongoing lawsuits and is discussing these issues both administratively and in court. When applicable, these lawsuits are supported by judicial deposits, where required. Provisions for losses resulting from these processes are estimated and updated by the Company, supported by the legal advice of the legal board of the Company and by its legal consultants.

Consolidated (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Tax litigation Civil litigation Labor litigation Environmental litigation Total of litigation provision Total of litigation provision
Balance at beginning of period 2,039,287 575,227 1,534,142 69,537 4,218,193 3,144,740
Additions 200,025 71,971 332,743 23,598 628,337 444,849
Reversals (87,412 ) (86,247 ) (219,797 ) (8,680 ) (402,136 ) (221,989 )
Payments (585,813 ) (3,010 ) (120,564 ) (1,371 ) (710,758 ) (53,941 )
Monetary adjustment (54,040 ) (37,122 ) 39,887 8,504 (42,771 ) 153,738
Transfer to assets held for sale — — 4,781 — 4,781 (2,723 )
Balance at end of period 1,512,047 520,819 1,571,192 91,588 3,695,646 3,464,674
Parent company (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Non-current liabilities Tax litigation Civil litigation Labor litigation Environmental litigation Total of litigation provision Total of litigation provision
Balance at beginning of period 1,213,139 246,983 1,364,178 42,752 2,867,052 1,927,686
Additions 106,101 13,960 168,586 10,348 298,995 356,747
Reversals (73,631 ) (11,989 ) (165,565 ) (1,010 ) (252,195 ) (225,139 )
Payments (581,093 ) (1,945 ) (22,755 ) (1,371 ) (607,164 ) (40,392 )
Monetary adjustment 19,082 (16,969 ) 33,992 7,547 43,652 80,185
Balance at end of period 683,598 230,040 1,378,436 58,266 2,350,340 2,099,087

In July 10, 2013 (subsequent event) we paid R$55,854 of CFEM. During the six-month period ended on June 30, 2013, we paid R$529,714and as at June 30, 2013 and December 31, 2012, the total liability in relation to CFEM presented in the tax litigation on the table above was R$701,983 and R$1,060,022, respectively.

Judicial deposits are as follows:

Consolidated — June 30, 2013 December 31, 2012 Parent Company — June 30, 2013 December 31, 2012
(unaudited) (unaudited)
Tax litigations 948,530 888,609 582,150 549,190
Civil litigations 364,481 350,866 291,405 286,119
Labor litigations 1,972,410 1,844,550 1,754,907 1,629,107
Environmental litigations 11,203 10,952 9,912 9,661
Total 3,296,624 3,094,977 2,638,374 2,474,077

The Company is also involved in administrative and judicial litigations which the expectation of loss is considered possible, and accordingly, no provision has been recorded. These contingent liabilities are classified as follows:

Consolidated — June 30, 2013 December 31, 2012 Parent Company — June 30, 2013 December 31, 2012
(unaudited) (unaudited)
Tax litigations 37,329,110 33,701,789 32,829,331 30,675,445
Civil litigations 2,590,443 2,295,914 2,078,817 1,783,647
Labor litigations 5,240,809 3,530,686 4,272,884 3,053,240
Environmental litigations 2,773,436 3,417,055 2,740,181 3,387,977
Total 47,933,798 42,945,444 41,921,213 38,900,309

The most relevant among tax cases classified as possible loss, refers to the process against Company for the collection of Income Tax and Social Contribution on equity gain on foreign subsidiaries and questioning the deductibility of social contribution on the basis of calculation of income tax. The restated amount for the process, the added interest and penalties, totaled at June 30, 2013 and December 31, 2012, R$ 30,305,054 and R$ 31,079,970, respectively.

26

SEQ.=1,FOLIO='26',FILE='C:\JMS\105733\13-16947-1\task6185276\16947-1-ba-21.htm',USER='105733',CD='Aug 7 07:09 2013'

Table of Contents

(A free translation of the original in Portuguese)

*18. Asset retirement obligation*

The Company uses substantially the same criteria used in the financial statements of December 31, 2012 to measure the obligations concerning the discontinuation of use of fixed assets. Interest rates on long-term used to discount to present value and update the provision for June 30, 2013 and December 31, 2012 were 5.03% pa.

The change in the provision for asset retirement obligations are as follows:

Consolidated (unaudited)
Three-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
Balance at beginning of period 5,387,879 3,679,123 5,615,283 3,563,730
Increase expense 87,758 97,028 179,753 157,516
Setlement in the current period (22,311 ) (947 ) (25,437 ) (7,888 )
Revisions in estimated cash flows (303,094 ) 3,676 (558,478 ) 66,314
Translation adjustments for the period 185,246 96,823 124,357 96,031
Balance at end of period 5,335,478 3,875,703 5,335,478 3,875,703
Current 148,178 80,902 148,178 80,902
Non-current 5,187,300 3,794,801 5,187,300 3,794,801
5,335,478 3,875,703 5,335,478 3,875,703
Parent company (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Balance at beginning of period 1,625,324 1,130,923
Increase expense 67,865 44,822
Balance at end of period 1,693,189 1,175,745
Current 63,424 13,613
Non-current 1,629,765 1,162,132
1,693,189 1,175,745

*19. Deferred Income Tax and Social Contribution*

We analyze the potential tax impact associated with undistributed earnings of each our subsidiaries and affiliates. For those subsidiaries in which undistributed earnings are intended to be reinvested indefinitely, no deferred tax is recognized. Undistributed earnings of foreign consolidated subsidiaries and affiliates for which no deferred income tax has been recognized for possible future remittances to the parent company totaled R$ 58,864 (US$ 26,400) at June 30, 2013, R$ 54,766 (US$ 26,800) at December 31, 2012. These amounts are considered to be permanently reinvested in the Company’s international business. It is not practicable to determine the amount of the unrecognized deferred tax liability associated with these amounts. If we did determine to repatriate these earnings, there would be methods available to us, each with different tax consequences. There would also be uncertainty as to timing and amount, if any, of foreign tax credits that would be available, as the calculation of the available foreign tax credit is dependent upon the timing of the repatriation and projections of significant future uncertain events. The wide range of potential outcomes that could result due to these factors, among others, makes it impracticable to calculate the amount of tax that hypothetically would be recognized on these earnings if they were repatriated.

The deferred balances were as follows:

Consolidated (unaudited)
Three-month period ended
June 30, 2013 June 30, 2012
Assets Liabilities Total Assets Liabilities Total
Balance beginning of the period 8,578,269 7,074,106 1,504,163 3,909,192 10,062,562 (6,153,370 )
Net income effect 553,005 (159,599 ) 712,604 (254,713 ) (4,530 ) (250,183 )
Subsidiary acquisition (sales) — — — (172,534 ) 172,534
Translation adjustment for the period 231,456 298,716 (67,260 ) 61,467 309,991 (248,524 )
Reversal of deferred income tax — — — — (2,533,411 ) 2,533,411
Other comprehensive income 105,334 (45,967 ) 151,301 22,919 (58,233 ) 81,152
Balance at end of period 9,468,064 7,167,256 2,300,808 3,738,865 7,603,845 (3,864,980 )

27

SEQ.=1,FOLIO='27',FILE='C:\JMS\105733\13-16947-1\task6185276\16947-1-ba-21.htm',USER='105733',CD='Aug 7 07:09 2013'

Table of Contents

(A free translation of the original in Portuguese)

Consolidated (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Assets Liabilities Total Assets Liabilities Total
Balance beginning of period 8,291,074 6,918,372 1,372,702 3,549,328 10,175,546 (6,626,218 )
Net income effect 857,709 (184,836 ) 1,042,545 170,259 (89,696 ) 259,955
Subsidiary acquisition (sale) — — — — (172,534 ) 172,534
Translation adjustment for the period 168,566 437,554 (268,988 ) 47,026 243,454 (196,428 )
Reversal of deferred income tax — — — — (2,533,411 ) 2,533,411
Comprehensive income 150,715 (3,834 ) 154,549 (27,748 ) (19,514 ) (8,234 )
Balance at end of period 9,468,064 7,167,256 2,300,808 3,738,865 7,603,845 (3,864,980 )
Parent company (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Assets Ativo
Balance at beginning of period 5,714,932 2,119,056
Net income effect 101,392 22,917
Other comprehensive income 150,715 (38,791 )
Balance at end of period 5,967,039 2,103,182

There were no changes in tax rates in the countries where we operate. The table below shows the total income tax and social contribution shown in the income:

Consolidated (unaudited)
Three-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
Income before tax and social contribution 610,358 3,003,623 8,563,261 10,537,685
Results of equity investments (104,406 ) (309,600 ) (445,945 ) (746,620 )
505,952 2,694,023 8,117,316 9,791,065
Income tax and social contribution at statutory rates - 34% (172,024 ) (915,968 ) (2,759,887 ) (3,328,962 )
Adjustments that affects the basis of taxes:
Income tax benefit from interest on stockholders’ equity 626,936 670,248 1,253,872 1,340,496
Tax incentive (33,934 ) — 225,898 159,496
Results of overseas companies taxed by different rates which differs from the parent company rate (345,224 ) 76,035 (184,324 ) 732,807
Recognition of allowance for tax loss carryforward 429,295 2,533,411 365,490 2,533,411
Others (351,632 ) (180,222 ) (613,982 ) (179,336 )
Income tax and social contribution on the profit for the period 153,417 2,183,504 (1,712,933 ) 1,257,912
Parent company (unaudited)
Three-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
Income before tax and social contribution 1,377,112 5,760,596 9,394,602 13,212,423
Results of equity investments 979,691 (2,808,293 ) 508,579 (5,267,314 )
2,356,803 2,952,303 9,903,181 7,945,109
Income tax and social contribution at statutory rates - 34% (801,313 ) (1,003,783 ) (3,367,082 ) (2,701,337 )
Adjustments that affects the basis of taxes:
Income tax benefit from interest on stockholders’ equity 626,936 670,248 1,253,872 1,340,496
Tax incentive (33,934 ) — 225,898 159,385
Others (1) (336,730 ) (106,533 ) (474,589 ) 21,102
Income tax and social contribution on the profit for the period (545,041 ) (440,068 ) (2,361,901 ) (1,180,354 )

(1) Include mainly provisional tax on export sale.

During the period, there were no changes in tax incentives received by the Company.

28

SEQ.=1,FOLIO='28',FILE='C:\JMS\105733\13-16947-1\task6185276\16947-1-ba-21.htm',USER='105733',CD='Aug 7 07:09 2013'

Table of Contents

(A free translation of the original in Portuguese)

*20. Employee Benefits Obligations*

*a) Retirement Benefits Obligations*

In its 2012 financial statements the Company had announced that it expects to contribute R$827 million to its consolidated pension plan and R$286 million to the Parent Company pension plan in 2013. Through June 30, 2013 it had contributed R$ 356,682 in de Consolidated and R$ 170,086 in the Parent Company. No significant changes are expected in relation to the disbursement estimated.

Costs recognized in the income statements for the period:

Consolidated (unaudited)
Three-month period ended
June 30, 2013 June 30, 2012 (i)
Overfunded pension plans (ii) Underfunded pension plans Others underfunded pension plans Overfunded pension plans (ii) Underfunded pension plans Others underfunded pension plans
Current service cost 24 65,033 23,871 12 45,677 14,885
Interest on expense on liabilities 157,050 217,239 51,932 150,741 196,734 48,750
Interest income on plan assets (195,436 ) (174,674 ) — (228,982 ) (181,399 ) —
Interest expense on effect of (asset ceiling) onerous liabilities 38,362 — — 78,229 — —
Total of cost, net — 107,598 75,803 — 61,012 63,635
Consolidated (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012 (i)
Overfunded pension plans (ii) Underfunded pension plans Others underfunded pension plans Overfunded pension plans (ii) Underfunded pension plans Others underfunded pension plans
Current service cost 49 131,092 47,450 24 85,993 31,147
Interest on expense on liabilities 314,100 439,158 104,272 301,483 389,320 96,050
Interest income on plan assets (390,872 ) (349,553 ) — (457,964 ) (364,611 ) —
Interest expense on effect of (asset ceiling) onerous liabilities 76,723 — — 156,457 11,466 —
Total of cost, net — 220,697 151,722 — 122,168 127,197
Parent company (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012 (i)
Overfunded pension plans (ii) Underfunded pension plans Others underfunded pension plans Overfunded pension plans (ii) Underfunded pension plans Others underfunded pension plans
Current service cost 49 53,041 — 24 25,836 3,548
Interest on expense on liabilities 314,100 183,434 27,973 301,483 160,713 23,018
Interest income on plan assets (390,872 ) (174,569 ) — (457,964 ) (159,502 ) —
Interest expense on effect of (asset ceiling) onerous liabilities 76,723 — — 156,457 — —
Total of cost, net — 61,906 27,973 — 27,047 26,566

(i) Period adjusted according to note 4.

(ii) Company has not recorded in its balance sheet the assets and their counterpart from the actuarial valuation surplus plans, because there is no clear evidence in the realization of the asset.

29

SEQ.=1,FOLIO='29',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-23.htm',USER='kdefran',CD='Aug 6 17:41 2013'

Table of Contents

(A free translation of the original in Portuguese)

Costs recognized in the statements of comprehensive income for the period:

Consolidated (unaudited)
Three-month period ended
June 30, 2013 June 30, 2012
Overfunded pension plans (ii) Underfunded pension plans Others underfunded pension plans Total Overfunded pension plans (ii) Underfunded pension plans Others underfunded pension plans Total
Return on plan assets (excluding interest income) (84,670 ) (409,393 ) 10,557 (483,506 ) 343,246 (71,666 ) — 271,580
Change in asset ceiling/onerous liability 84,670 — — 84,670 (343,246 ) (38,769 ) — (382,015 )
— (409,393 ) 10,557 (398,836 ) — (110,435 ) — (110,435 )
Income tax — 133,090 (2,609 ) 130,481 — 23,868 — 23,868
Comprehensive income for the period — (276,303 ) 7,948 (268,355 ) — (86,567 ) — (86,567 )
Consolidated (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Overfunded pension plans (ii) Underfunded pension plans Others underfunded pension plans Total Overfunded pension plans (ii) Underfunded pension plans Others underfunded pension plans Total
Effect of adjustment of the experiment — — — — — (8,002 ) — (8,002 )
Return on assets (excluding interest income) (498,567 ) (337,581 ) 10,557 (825,591 ) 395,222 187,414 — 582,636
Change in asset ceiling/onerous liability 498,567 — — 498,567 (395,222 ) (77,538 ) — (472,760 )
— (337,581 ) 10,557 (327,024 ) — 101,874 — 101,874
Income tax — 126,302 (2,609 ) 123,693 — (38,620 ) — (38,620 )
Comprehensive income for the period — (211,279 ) 7,948 (203,331 ) — 63,254 — 63,254

(i) Period adjusted according to note 4.

(ii) The Company has not recorded in its balance sheet the assets and their counterparts from the actuarial valuation of overfunded plans, because there is no clear evidence in the realization of the asset.

100% of overfunded pension plans are located in Brazil and 90% of underfunded pension plans are located outside of Brazil.

*b) Incentive Plan in results*

The Company, based on the Profit Sharing Program (“PPR”) allows defining, monitoring, evaluation and recognition of individual and collective performance of their employees. The calculation methodology for the calculation of the PPR is the same adopted on December 31, 2012.

The Company accrued expenses / costs related to profit sharing as follows:

Consolidated (unaudited) — Three-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
Operational expenses 65,192 90,455 185,202 385,847
Cost of good sold 184,910 135,255 381,808 354,834
Total 250,102 225,710 567,010 740,681

*c) Long-Term stock option compensation plan*

The terms, assumptions, calculation methods and the accounting treatment applied to the ILP (long-term incentive plan) is the same as presented in the financial statements of December 31, 2012. The total number of shares subject to the plan on June 30, 2013 and December 31, 2012 are 6,089,634 and 4,426,046, the total liability recorded of R$ 128,915 and R$177,790, respectively.

30

SEQ.=1,FOLIO='30',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-23.htm',USER='kdefran',CD='Aug 6 17:41 2013'

Table of Contents

(A free translation of the original in Portuguese)

*21. Classification of financial instruments*

The classification of financial assets and liabilities is shown in the following tables:

Consolidated
June 30, 2013 (unaudited)
Financial assets Loans and receivables (a) At fair value through profit or loss (b) Derivatives designated as hedge (c) Available for sale (d) Total
Current
Cash and cash equivalents 13,126,350 — — — 13,126,350
Short-term investments 823,245 — — — 823,245
Derivative financial instruments — 495,557 — — 495,557
Accounts receivable from customers 10,952,344 — — — 10,952,344
Related parties 1,933,350 — — — 1,933,350
26,835,289 495,557 — — 27,330,846
Non current
Related parties 558,749 — — — 558,749
Loans and financing 543,861 — — — 543,861
Financial instruments - investments — — — 3,981,748 3,981,748
Derivative financial instruments — 222,210 — — 222,210
1,102,610 222,210 — 3,981,748 5,306,568
Total of Assets 27,937,899 717,767 — 3,981,748 32,637,414
Financial liabilities
Current
Suppliers and contractors 9,238,012 — — — 9,238,012
Derivative financial instruments — 1,313,137 173,617 — 1,486,754
Current portion of long-term debt 7,136,323 — — — 7,136,323
Related parties 260,242 — — — 260,242
16,634,577 1,313,137 173,617 — 18,121,331
Non current
Derivative financial instruments — 3,096,255 45,930 — 3,142,185
Loans and financing 59,043,565 — — — 59,043,565
Related parties 147,705 — — — 147,705
Debentures — 3,885,389 — — 3,885,389
59,191,270 6,981,644 45,930 — 66,218,844
Total of Liabilities 75,825,847 8,294,781 219,547 — 84,340,175

(a) Non-derivative financial instruments with determinable cash flow.

(b) Financial instruments acquired with the purpose of trading in the short term.

(c) See note 24(a).

(d) See note 12.

Consolidated
December 31, 2012
Financial assets Loans and receivables (a) At fair value through profit or loss (b) Derivatives designated as hedge (c) Available for sale (d) Total
Current
Cash and cash equivalents 11,917,717 — — — 11,917,717
Short-term investments — 505,857 — — 505,857
Derivatives financial instruments — 543,122 32,051 — 575,173
Accounts receivable from customers 13,884,663 — — — 13,884,663
Related parties 786,202 — — — 786,202
26,588,582 1,048,979 32,051 — 27,669,612
Non current
Related parties 832,571 — — — 832,571
Loans and financing 501,726 — — — 501,726
Financial instruments - investments — — — 14,378 14,378
Derivatives financial instruments — 83,190 9,377 — 92,567
1,334,297 83,190 9,377 14,378 1,441,242
Total of Assets 27,922,879 1,132,169 41,428 14,378 29,110,854
Financial liabilities
Current
Suppliers and contractors 9,255,150 — — — 9,255,150
Derivatives financial instruments — 707,540 2,182 — 709,722
Current portion of long-term debt 7,092,878 — — — 7,092,878
Related parties 423,336 — — — 423,336
16,771,364 707,540 2,182 — 17,481,086
Non current
Derivatives financial instruments — 1,600,656 — — 1,600,656
Loans and financing 54,762,976 — — — 54,762,976
Related parties 146,440 — — — 146,440
Debentures — 3,378,845 — — 3,378,845
54,909,416 4,979,501 — — 59,888,917
Total of Liabilities 71,680,780 5,687,041 2,182 — 77,370,003

(a) Non-derivative financial instruments with determinable cash flow.

(b) Financial instruments acquired with the purpose of trading in the short term.

(c) See note 24(a).

(d) See note 12.

31

SEQ.=1,FOLIO='31',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-23.htm',USER='kdefran',CD='Aug 6 17:41 2013'

Table of Contents

(A free translation of the original in Portuguese)

Parent Company
June 30, 2013 (unaudited)
Financial assets Loans and receivables (a) At fair value through profit or loss (b) Total
Current
Cash and cash equivalents 2,249,717 — 2,249,717
Short-term investments 22,556 — 22,556
Derivatives financial instruments — 436,988 436,988
Accounts receivable from customers 18,749,566 — 18,749,566
Related parties 1,977,980 — 1,977,980
22,999,819 436,988 23,436,807
Non current
Related parties 952,440 — 952,440
Loans and financing 190,609 — 190,609
1,143,049 — 1,143,049
Total of Assets 24,142,868 436,988 24,579,856
Financial liabilities
Current
Suppliers and contractors 3,630,136 — 3,630,136
Derivatives financial instruments — 787,159 787,159
Current portion of long-term debt 5,607,740 — 5,607,740
Related parties 4,468,405 — 4,468,405
13,706,281 787,159 14,493,440
Non current
Derivatives financial instruments — 2,858,819 2,858,819
Loans and financing 28,632,255 — 28,632,255
Related parties 33,278,019 — 33,278,019
Debentures — 3,885,389 3,885,389
61,910,274 6,744,208 68,654,482
Total of Liabilities 75,616,555 7,531,367 83,147,922

(a) Non-derivative financial instruments with determinable cash flow.

(b) Financial instruments acquired with the purpose of trading in the short term.

Parent Company
December 31, 2012
Financial assets Loans and receivables (a) At fair value through profit or loss (b) Total
Current
Cash and cash equivalents 688,434 — 688,434
Short-term investments — 43,428 43,428
Derivatives financial instruments — 500,293 500,293
Accounts receivable from customers 21,838,539 — 21,838,539
Related parties 1,347,488 — 1,347,488
23,874,461 543,721 24,418,182
Non current
Related parties 863,990 — 863,990
Loans and financing 187,862 — 187,862
Derivatives financial instruments — 2,928 2,928
1,051,852 2,928 1,054,780
Total of Assets 24,926,313 546,649 25,472,962
Financial liabilities
Current
Suppliers and contractors 4,178,494 — 4,178,494
Derivatives financial instruments — 558,161 558,161
Current portion of long-term debt 5,327,849 — 5,327,849
Related parties 6,433,629 — 6,433,629
15,939,972 558,161 16,498,133
Non current
Derivatives financial instruments — 1,409,568 1,409,568
Loans and financing 26,867,240 — 26,867,240
Related parties 29,362,525 — 29,362,525
Debentures — 3,378,845 3,378,845
56,229,765 4,788,413 61,018,178
Total of Liabilities 72,169,737 5,346,574 77,516,311

(a) Non-derivative financial instruments with determinable cash flow.

(b) Financial instruments acquired with the purpose of trading in the short term.

32

SEQ.=1,FOLIO='32',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-23.htm',USER='kdefran',CD='Aug 6 17:41 2013'

Table of Contents

(A free translation of the original in Portuguese)

*22. Fair Value Estimative*

The Company considered the same assumptions and calculation methods presented in the financial statements of December 31, 2012, to measure the fair value of assets and liabilities in the period.

The tables below present the assets and liabilities measured at fair value in the period.

Consolidated — June 30, 2013 (unaudited) December 31, 2012
Level 1 Level 2 Total (i) Total (i)
Financial Assets
Current
Derivatives at fair value through profit or loss 17,416 478,141 495,557 543,122
Derivatives designated as hedges — — — 32,051
17,416 478,141 495,557 575,173
Non-Current
Financial financial - investments 3,981,748 — 3,981,748 14,378
Derivatives at fair value through profit or loss 1,157 221,053 222,210 83,190
Derivatives designated as hedges — — — 9,377
3,982,905 221,053 4,203,958 106,945
Total of Assets 4,000,321 699,194 4,699,515 682,118
Financial Liabilities
Current
Derivatives at fair value through profit or loss 12,689 1,300,448 1,313,137 707,540
Derivatives designated as hedges — 173,617 173,617 2,182
12,689 1,474,065 1,486,754 709,722
Non-Current
Derivatives at fair value through profit or loss 1,233 3,095,022 3,096,255 1,600,656
Derivatives designated as hedges — 45,930 45,930 —
Stockholders’ debentures — 3,885,389 3,885,389 3,378,845
1,233 7,026,341 7,027,574 4,979,501
Total of Liabilities 13,922 8,500,406 8,514,328 5,689,223

(i) No classification according to the level 3.

Parent Company — June 30, 2013 (unaudited) December 31, 2012
Level 2 Total (i) Total (i)
Financial Assets
Current
Derivatives at fair value through profit or loss 436,988 436,988 500,293
436,988 436,988 500,293
Non-Current
Derivatives at fair value through profit or loss — — 2,928
— — 2,928
Total of Assets 436,988 436,988 503,221
Financial Liabilities
Current
Derivatives at fair value through profit or loss 787,159 787,159 558,161
787,159 787,159 558,161
Non-Current
Derivatives at fair value through profit or loss 2,858,819 2,858,819 1,409,568
Stockholders’ debentures 3,885,389 3,885,389 3,378,845
6,744,208 6,744,208 4,788,413
Total of Liabilities 7,531,367 7,531,367 5,346,574

(i) No classification according to the level 1 and 3.

33

SEQ.=1,FOLIO='33',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-23.htm',USER='kdefran',CD='Aug 6 17:41 2013'

Table of Contents

(A free translation of the original in Portuguese)

Additionally, we measure our loans and debt securities at market value and compared to the carrying amount. The assumptions and calculation methods applied are also the same as those presented in the financial statements of December 31, 2012. The fair values and carrying amounts of non-current loans (net of interest) are shown in the table below:

Consolidated
June 30, 2013 (unaudited)
Balance Fair value (a) Level 1 Level 2
Financial liabilities
Loans (long term)(i) 65,282,068 66,733,767 52,353,773 14,379,994
Perpetual notes (ii) 148,123 148,123 — 148,123

(i) Net interest of R$ 897.820

(ii) classified on “Related parties” (Non-current liabilities)

(a) No classification according to the level 3.

Consolidated
December 31, 2012
Balance Fair value (a) Level 1 Level 2
Financial liabilities
Loans (long term)(i) 60,987,822 66,872,262 52,756,817 14,115,445
Perpetual notes (ii) 146,441 146,441 — 146,441

(i) Net interest of R$ 868,031

(ii) classified on “Related parties” (Non-current liabilities)

(a) No classification according to the level 3.

Parent Company
June 30, 2013 (unaudited)
Balance Fair value (a) Level 1 Level 2
Financial liabilities
Loans (long term)(i) 33,853,025 34,310,915 23,843,763 10,467,152

(i) Net interest of R$ 386.970

(a) No classification according to the level 3.

Parent Company
December 31, 2012
Balance Fair value (a) Level 1 Level 2
Financial liabilities
Loans (long term)(i) 31,794,808 33,183,140 18,817,237 14,365,903

(i) Net interest of R$ 400,521

(a) No classification according to the level 3.

34

SEQ.=1,FOLIO='34',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-25.htm',USER='kdefran',CD='Aug 6 17:45 2013'

Table of Contents

(A free translation of the original in Portuguese)

*23. Stockholders’ Equity*

*a) Capital*

At June 30, 2013, the capital stock is R$75,000,000 as of represented below:

June 30, 2013 — ON PNA Total
Stockholders
Valepar S.A. 1,716,435,045 20,340,000 1,736,775,045
Brazilian Government (Golden Share) — 12 12
Foreign investors - ADRs 678,716,482 636,806,550 1,315,523,032
FMP - FGTS 90,033,107 — 90,033,107
PIBB - BNDES 1,699,806 2,529,136 4,228,942
BNDESPar 206,378,881 67,342,071 273,720,952
Foreign institutional investors in the local market 275,646,662 462,328,524 737,975,186
Institutional investors 163,426,022 383,748,290 547,174,312
Retail investors in the country 53,316,995 394,627,343 447,944,338
Treasure stock 71,071,482 140,857,692 211,929,174
Total 3,256,724,482 2,108,579,618 5,365,304,100

*b) Treasury stocks*

As at June 30, 2013, the amount of treasury stocks was R$7,839,512, as of represented bellow:

Shares (thousands) December 31, 2012 Addition Reduction June 30, 2013 Acquisition price (R$) — Average Low High Market value — June 30, 2013 December 31, 2012
Preferred 140,857,692 — — 140,857,692 37.50 14.02 47.44 33.52 38.50
Common 71,071,482 — — 71,071,482 35.98 20.07 54.83 35.20 39.58
Total 211,929,174 — — 211,929,174

*c) Basic and diluted earnings per share*

The basic and diluted earnings per shares were calculated as follows:

(unaudited)
Three-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
Net income from continuing operations attributable to the Company’s stockholders 832,071 5,320,528 (i) 7,032,701 12,032,069 (i)
Basic and diluted earnings per share:
Income available to preferred stockholders 317,717 2,012,188 2,685,356 4,579,249
Income available to common stockholders 514,354 3,308,340 4,347,345 7,452,820
Total 832,071 5,320,528 7,032,701 12,032,069
Weighted average number of shares outstanding (thousands of shares) - preferred shares 1,967,722 1,928,076 1,967,722 1,927,627
Weighted average number of shares outstanding (thousands of shares) - common shares 3,185,653 3,170,048 3,185,653 3,169,871
Total 5,153,375 5,098,124 5,153,375 5,097,498
Basic and diluted earnings per share
Basic earnings per preferred share 0.16 1.04 1.36 2.36
Basic earnings per common share 0.16 1.04 1.36 2.36

(i) Period adjusted according to note 4.

35

SEQ.=1,FOLIO='35',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-25.htm',USER='kdefran',CD='Aug 6 17:45 2013'

Table of Contents

(A free translation of the original in Portuguese)

*d) Remuneration of stockholders*

We present below the remuneration of stockholder paid in the six-month period ended June 30, 2013.

Remuneration attributed to Stockholders — Total amount Amount per outstanding common or preferred share
2013 prepaid amount
First installment - April 4,452,750 0.864045420
Dividends 791,600 0.153608075
Interest on capital 3,661,150 0.710437345

*24. Derivative financial instruments*

*a) Effects of Derivatives on the Balance Sheet*

Consolidated
Assets
June 30, 2013 (unaudited) December 31, 2012
Current Non-current Current Non-current
Derivatives not designated as hedge
Foreign exchange and interest rate risk
CDI & TJLP vs. US$ fixed and floating rate swap 450,318 — 509,670 2,928
Eurobonds Swap — 118,828 — 80,262
Pre dollar swap 21,707 — 33,439 —
472,025 118,828 543,109 83,190
Commodities price risk
Nickel:
Fixed price program 17,416 1,158 — —
Copper:
Purchased scrap protection program 352 — 13 —
Bunker Oil Hedge 5,764 — — —
23,532 1,158 13 —
Option SLW (note 28)
Warrants — 102,224 — —
Derivatives designated as hedge
Strategic Nickel — — 25,950 —
Foreign exchange cash flow hedge — — 6,101 9,377
— — 32,051 9,377
Total 495,557 222,210 575,173 92,567
Consolidated
Liabilites
June 30, 2013 (unaudited) December 31, 2012
Current Non-current Current Non-current
Derivatives not designated as hedge
Foreign exchange and interest rate risk
CDI & TJLP vs. US$ fixed and floating rate swap 981,699 2,872,474 695,130 1,430,575
Eurobonds Swap 68,173 — 9,008 36,637
Pre dollar swap — 216,158 — 128,967
1,049,872 3,088,632 704,138 1,596,179
Commodities price risk
Nickel:
Fixed price program 12,689 1,233 3,166 —
Natural gas — — 236 4,477
Bunker Oil Hedge 249,845 — — —
262,534 1,233 3,402 4,477
Embedded derivatives
Gas 731 6,390 — —
731 6,390 — —
Derivatives designated as hedge
Bunker Oil Hedge 112,155 — 2,182 —
Foreign exchange cash flow hedge 61,462 45,930 — —
173,617 45,930 2,182 —
Total 1,486,754 3,142,185 709,722 1,600,656

36

SEQ.=1,FOLIO='36',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-25.htm',USER='kdefran',CD='Aug 6 17:45 2013'

Table of Contents

(A free translation of the original in Portuguese)

Parent Company
Assets
June 30, 2013 (unaudited) December 31, 2012
Current Non-current Current Non-current
Derivatives not designated as hedge
Foreign exchange and interest rate risk
CDI & TJLP vs. US$ fixed and floating rate swap 415,281 — 466,854 2,928
Pre dollar swap 21,707 — 33,439 —
Total 436,988 — 500,293 2,928
Parent Company
Liabilites
June 30, 2013 (unaudited) December 31, 2012
Current Non-current Current Non-current
Derivatives not designated as hedge
Foreign exchange and interest rate risk
CDI & TJLP vs. US$ fixed and floating rate swap 787,159 2,642,661 558,161 1,280,601
Pre dollar swap — — — 128,967
Floating US$ vs. Pre Dollar swap — 216,158 — —
Total 787,159 2,858,819 558,161 1,409,568

*b) Effects of derivatives in the statement of income*

Consolidated (unaudited)
Three-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
Derivatives not designated as hedge
Foreign exchange and interest rate risk
CDI & TJLP vs. US$ fixed and floating rate swap (1,692,476 ) (790,620 ) (1,402,688 ) (425,516 )
Eurobonds Swap 83,335 (70,231 ) 5,567 (37,007 )
Treasury future — — — 15,221
Pre dollar swap (97,479 ) (30,070 ) (80,306 ) (8,975 )
(1,706,620 ) (890,921 ) (1,477,427 ) (456,277 )
Commodities price risk
Nickel
Fixed price program 2,787 16,484 5,762 8,484
Purchased scrap protection program 592 501 1,088 (134 )
Bunker Oil Hedge (210,455 ) — (240,166 ) —
(207,076 ) 16,985 (233,316 ) 8,350
Option SLW (note 28)
Warrants (97,656 ) — (111,684 ) —
(97,656 ) — (111,684 ) —
Embedded derivatives
Gas (1,099 ) — (1,612 ) —
(1,099 ) — (1,612 ) —
Derivatives designated as hedge
Bunker Oil Hedge (26,186 ) — (26,186 ) —
Strategic Nickel — 70,469 25,794 163,225
Foreign exchange cash flow hedge (8,527 ) (933 ) (513 ) (628 )
(34,713 ) 69,536 (905 ) 162,597
Total (2,047,164 ) (804,400 ) (1,824,944 ) (285,330 )
Financial income 86,714 115,469 451,194 643,174
Financial expenses (2,133,878 ) (919,869 ) (2,276,138 ) (928,504 )
Total (2,047,164 ) (804,400 ) (1,824,944 ) (285,330 )
Parent company (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Derivatives not designated as hedge
Foreign exchange and interest rate risk
CDI & TJLP vs. US$ fixed and floating rate swap (1,331,277 ) (403,474 )
Pre dollar swap (80,306 ) (8,975 )
(1,411,583 ) (412,449 )
Derivatives designated as hedge
Foreign exchange cash flow hedge 11,520 —
11,520 —
Total (1,400,063 ) (412,449 )
Financial income 294,187 272,927
Financial expenses (1,694,250 ) (685,376 )
Total (1,400,063 ) (412,449 )

37

SEQ.=1,FOLIO='37',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-25.htm',USER='kdefran',CD='Aug 6 17:45 2013'

Table of Contents

(A free translation of the original in Portuguese)

*c) Effects of derivatives as Cash Flow hedge*

Consolidated (unaudited)
(Inflows)/ Outflows
Three-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
Derivatives not designated as hedges
Exchange risk and interest rates
CDI & TJLP vs. US$ fixed and floating rate swap (190,922 ) (364,027 ) (358,217 ) (593,501 )
EuroBonds Swap — — — 6,628
Treasury future — — — (5,763 )
Pre dollar swap (9,211 ) (9,066 ) (18,616 ) (16,288 )
(200,133 ) (373,093 ) (376,833 ) (608,924 )
Risk of product prices
Nickel
Fixed price program (3,419 ) (10,608 ) — (72 )
Copper
Purchased scrap protection program (703 ) (342 ) — 50
Bunker Oil Hedge 23,636 — — (7,047 )
19,514 (10,950 ) — (7,069 )
Derivatives designated as hedges
Bunker Oil Hedge 26,186 — 26,186 —
Strategic Nickel — (70,469 ) (25,794 ) (163,225 )
Foreign exchange cash flow hedge 8,527 934 479 629
34,713 (69,535 ) 871 (162,596 )
Total (145,906 ) (453,578 ) (375,962 ) (778,589 )
Gains (losses) unrealized derivative (2,193,070 ) (1,257,978 ) (2,167,936 ) (1,063,919 )
Parent company (unaudited)
(Inflows)/ Outflows
Six-month period ended
June 30, 2013 June 30, 2012
Derivatives not designated as hedges
Exchange risk and interest rates
CDI & TJLP vs. US$ fixed and floating rate swap (314,281 ) (379,666 )
Pre dollar swap (18,616 ) (16,288 )
(332,897 ) (395,954 )
Derivatives designated as hedges
Foreign exchange cash flow hedge (11,520 ) —
(11,520 ) —
Total (344,417 ) (395,954 )
Gains (losses) unrealized derivative (1,744,480 ) (808,403 )

*d) Effects of derivatives designated as hedge*

*i. Cash Flow Hedge*

The effects of cash flow hedge impact the stockholders’ equity and are presented in the following tables:

Six-month period ended (unaudited)
Parent Company noncontrolling Consolidated
Currency Nickel Others Total stockholders Total
Fair value measurements (89,389 ) (158 ) (123,848 ) (213,395 ) — (213,395 )
Reclassification to results due to realization 479 (25,794 ) 26,186 871 — 871
Net change in June 30, 2013 (88,910 ) (25,952 ) (97,662 ) (212,524 ) — (212,524 )
Fair value measurements (56,686 ) 42,988 (26,991 ) (40,689 ) — (40,689 )
Reclassification to results due to realization 629 (163,224 ) — (162,595 ) — (162,595 )
Net change in June 30, 2012 (56,057 ) (120,236 ) (26,991 ) (203,284 ) — (203,284 )

38

SEQ.=1,FOLIO='38',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-25.htm',USER='kdefran',CD='Aug 6 17:45 2013'

Table of Contents

(A free translation of the original in Portuguese)

*Additional information about derivatives financial instruments*

*Value at Risk computation methodology*

The Value at Risk of the positions was measured using a delta-Normal parametric approach, which considers that the future distribution of the risk factors - and its correlations - tends to present the same statistic properties verified in the historical data. The value at risk of Vale’s derivatives current positions was estimated considering one business day time horizon and a 95% confidence level.

*Contracts subjected to margin calls*

Vale has contracts subject to margin calls only for part of nickel trades executed by its wholly-owned subsidiary Vale Canada Ltd. The total cash amount as of June 30, 2013 is lower than R$ 1 million.

*Initial Cost of Contracts*

The financial derivatives negotiated by Vale and its controlled companies described in this document didn’t have initial costs (initial cash flow) associated.

The following tables show as of June 30, 2013, the derivatives positions for Vale and controlled companies with the following information: notional amount, fair value, value at risk, gains or losses in the period and the fair value for the remaining years of the operations per each group of instruments.

*BRL/USD Exchange Rate Adopted in Fair Value Calculation*

According with accounting principles, the fair values of derivative instruments originally negotiated in American dollar were transform in BRL values with the objective of publish in the Vale’s official currency using PTAX (sell) published by BACEN to July 01, 2013, that is 2.2297.

*Interest Rates and Foreign Exchange Derivative Positions*

*Protection program for the Real denominated debt indexed to CDI*

· *CDI vs. USD fixed rate swap* — In order to reduce the cash flow volatility, Vale entered into swap transactions to convert the cash flows from debt instruments denominated in Brazilian Reais linked to CDI to U.S. Dollars. In those swaps, Vale pays fixed rates in U.S. Dollars and receives payments linked to CDI.

· *CDI vs. USD floating rate swap* — In order to reduce the cash flow volatility, Vale entered into swap transactions to convert the cash flows from debt instruments denominated in Brazilian Reais linked to CDI to U.S. Dollars. In those swaps, Vale pays floating rates in U.S. Dollars (Libor — London Interbank Offered Rate) and receives payments linked to CDI.

R$ Million
Notional ($ million) Average Fair value Realized Gain/Loss Value at Risk Fair value by year
Flow June 30, 2013 December 31, 2012 Index rate June 30, 2013 December 31, 2012 June 30, 2013 June 30, 2013 2013 2014 2015 2016 - 2017
CDI vs. fixed rate swap
Receivable R$ 8.184 R$ 8.184 CDI 106,33 % 8.424 8.399 287
Payable US$ 4.423 US$ 4.425 US$+ 3,64 % (10.123 ) (9.468 ) (161 )
Net (1.699 ) (1.069 ) 126 110 (861 ) 77 (311 ) (604 )
CDI vs. floating rate swap
Receivable R$ 428 R$ 428 CDI 103,50 % 445 443 16
Payable US$ 250 US$ 250 Libor + 0,99 % (569 ) (525 ) (5 )
Net (124 ) (82 ) 11 7 12 31 (167 ) —

*Type of contracts:* OTC Contracts

*Protected Item:* Debts linked to BRL

The protected items are the Debts linked to BRL because the objective of this protection is to transform the obligations linked to BRL into obligations linked to USD so as to achieve a currency offset by matching Vale’s receivables (mainly linked to USD) with Vale’s payables.

39

SEQ.=1,FOLIO='39',FILE='C:\JMS\kdefran\13-16947-1\task6184728\16947-1-ba-27.htm',USER='kdefran',CD='Aug 6 17:03 2013'

Table of Contents

(A free translation of the original in Portuguese)

*Protection program for the real denominated debt indexed to TJLP*

· *TJLP vs. USD fixed rate swap* — In order to reduce the cash flow volatility, Vale entered into swap transactions to convert the cash flows of the loans with Banco Nacional de Desenvolvimento Econômico e Social (BNDES) from TJLP(1) to U.S. Dollars. In those swaps, Vale pays fixed rates in U.S. Dollars and receives payments linked to TJLP.

· *TJLP vs. USD floating rate swap* — In order to reduce the cash flow volatility, Vale entered into swap transactions to convert the cash flows of the loans with BNDES from TJLP to U.S. Dollars. In those swaps, Vale pays floating rates in U.S. Dollars and receives payments linked to TJLP.

R$ Million
Notional ($ million) Average Fair value Realized Gain/Loss Value at Risk Fair value by year
Flow June 30, 2013 December 31, 2012 Index rate June 30, 2013 December 31, 2012 June 30, 2013 June 30, 2013 2013 2014 2015 2016-2019
Swap TJLP vs. fixed rate swap
Receivable R$ 3.215 R$ 3.268 TJLP + 1,38 % 5.514 4.585 1.355
Payable US$ 1.720 US$ 1.694 USD + 2,09 % (6.906 ) (4.960 ) (1.142 )
Net (1.392 ) (375 ) 213 98 92 (56 ) (160 ) (1.268 )
Swap TJLP vs. floating rate swap
Receivable R$ 626 R$ 626 TJLP + 0,90 % 534 576 23
Payable US$ 356 US$ 356 Libor + -1,15 % (723 ) (662 ) (3 )
Net (189 ) (86 ) 20 11 19 (84 ) 2 (126 )

*Type of contracts:* OTC Contracts

*Protected Item:* Debts linked to BRL

The protected items are the Debts linked to BRL because the objective of this protection is to transform the obligations linked to BRL into obligations linked to USD so as to achieve a currency offset by matching Vale’s receivables (mainly linked to USD) with Vale’s payables.

*Protection program for the Real denominated fixed rate debt*

· *BRL fixed rate vs. USD fixed rate swap* : In order to hedge the cash flow volatility, Vale entered into a swap transaction to convert the cash flows from loans rate with Banco Nacional de Desenvolvimento Econômico e Social (BNDES) in Brazilian Reais linked to fixed rate to U.S. Dollars linked to fixed. In those swaps, Vale pays fixed rates in U.S. Dollars and receives fixed rates in Reais.

R$ Million
Notional ($ million) Average Fair value Realized Gain/Loss Value at Risk Fair value by year
Flow June 30, 2013 December 31, 2012 Index rate June 30, 2013 December 31, 2012 June 30, 2013 June 30, 2013 2013 2014 2015 2016 - 2021
R$ fixed rate vs. US$ fixed rate swap
Receivable R$ 805 R$ 795 Fix 4,66 % 712 733 43
Payable US$ 444 US$ 442 US$- -1,01 % (906 ) (829 ) (24 )
Net (194 ) (96 ) 19 12 14 8 (52 ) (164 )

*Type of contracts:* OTC Contracts

*Protected Item:* Debts linked to BRL

The protected items are the Debts linked to BRL because the objective of this protection is to transform the obligations linked to BRL into obligations linked to USD so as to achieve a currency offset by matching Vale’s receivables (mainly linked to USD) with Vale’s payables.

*Protection program for Euro denominated debt*

· *EUR fixed rate vs. USD fixed rate swap* : In order to hedge the cash flow volatility, Vale entered into a swap transaction to convert the cash flows from debts in Euros linked to fixed rate to U.S. Dollars linked to fixed rate. This trade was used to convert the cash flows of part of debts in Euros, each one with a notional amount of € 750 million, issued in 2010 and 2012 by Vale. Vale receives fixed rates in Euros and pays fixed rates in U.S. Dollars.

R$ million
Notional ($ million) Fair value Realized Gain/Loss Value at Risk Fair value by year
Flow June 30, 2013 December 31, 2012 Index Average rate June 30, 2013 December 31, 2012 June 30, 2013 June 30, 2013 2014 2015 2016 - 2023
Receivable € 1.000 € 1.000 EUR 4,063 % 3.208 3.108 81
Payable US$ 1.288 US$ 1.288 US$ 4,511 % (3.157 ) (3.073 ) (91 )
Net 51 35 (10 ) 30 (68 ) (5 ) 124

(1) Due to TJLP derivatives market liquidity constraints, some swap trades were done through CDI equivalency.

40

SEQ.=1,FOLIO='40',FILE='C:\JMS\kdefran\13-16947-1\task6184728\16947-1-ba-27.htm',USER='kdefran',CD='Aug 6 17:03 2013'

Table of Contents

(A free translation of the original in Portuguese)

*Type of contracts:* OTC Contracts

*Protected Item:* Vale’s Debt linked to EUR

The P&L shown in the table above is offset by the hedged items’ P&L due to EUR/USD exchange rate.

*Foreign exchange hedging program for disbursements in Canadian dollars*

· *Canadian Dollar Forward* — In order to reduce the cash flow volatility, Vale entered into forward transactions to mitigate the foreign exchange exposure that arises from the currency mismatch between the revenues denominated in U.S. Dollars and the disbursements denominated in Canadian Dollars.

R$ million
Notional ($ million) Average rate Fair value Realized Gain/Loss Value at Risk Fair value by year
Flow June 30, 2013 December 31, 2012 Buy/ Sell (CAD/USD) June 30, 2013 December 31, 2012 June 30, 2013 June 30, 2013 2013 2014 2015 2016
Forward CAD 1.121 CAD 1.362 B 1,015 (107 ) 15 — 20 (33 ) (52 ) (22 ) (0 )

*Type of contracts:* OTC Contracts

*Hedged Item:* part of disbursements in Canadian Dollars

The P&L shown in the table above is offset by the hedged items’ P&L due to CAD/USD exchange rate.

*Commodity Derivative Positions*

The Company’s cash flow is also exposed to several market risks associated to global commodities price volatilities. To offset these volatilities, Vale contracted the following derivatives transactions:

*Nickel Purchase Protection Program*

In order to reduce the cash flow volatility and eliminate the mismatch between the pricing of the purchased nickel (concentrate, cathode, sinter and others) and the pricing of the final product sold to our clients, hedging transactions were implemented. The items purchased are raw materials utilized to produce refined Nickel. The trades are usually implemented by the sale of nickel forward or future contracts at LME or over-the-counter operations.

Notional (ton) Average Strike Fair value Realized Gain/Loss Value at Risk R$ million — Fair value by year
Flow June 30, 2013 December 31, 2012 Buy/ Sell (US$/ton) June 30, 2013 December 31, 2012 June 30, 2013 June 30, 2013 2013
Nickel Futures 144 210 S 17.473 0,6 0 0,5 0,1 0,6

*Type of contracts:* LME Contracts

*Protected Item:* part of Vale’s revenues linked to Nickel price.

The P&L shown in the table above is offset by the protected items’ P&L due to Nickel price.

*Nickel Fixed Price Program*

In order to maintain the exposure to Nickel price fluctuations, we entered into derivatives to convert to floating prices all contracts with clients that required a fixed price. These trades aim to guarantee that the prices of these operations would be the same of the average prices negotiated in LME in the date the product is delivered to the client. It normally involves buying Nickel forwards (Over-the-Counter) or futures (exchange negotiated). Those operations are usually reverted before the maturity in order to match the settlement dates of the commercial contracts in which the prices are fixed.

R$ million
Notional (ton) Average Strike Fair value Realized Gain/Loss Value at Risk Fair value by year
Flow June 30, 2013 December 31, 2012 Buy/ Sell (US$/ton) June 30, 2013 December 31, 2012 June 30, 2013 June 30, 2013 2013 2014
Nickel Futures 5.238 — B 15.374 (19 ) — (6,3 ) 3,6 (14 ) (5 )

*Type of contracts:* LME Contracts

*Protected Item:* part of Vale’s revenues linked to fixed price sales of Nickel.

The P&L shown in the table above is offset by the protected items’ P&L due to Nickel price.

41

SEQ.=1,FOLIO='41',FILE='C:\JMS\kdefran\13-16947-1\task6184728\16947-1-ba-27.htm',USER='kdefran',CD='Aug 6 17:03 2013'

Table of Contents

(A free translation of the original in Portuguese)

*Copper Scrap Purchase Protection Program*

This program was implemented in order to reduce the cash flow volatility due to the quotation period mismatch between the pricing period of copper scrap purchase and the pricing period of final products sale to the clients, as the copper scrap combined with other raw materials or inputs to produce copper for the final clients. This program usually is implemented by the sale of forwards or futures at LME or Over-the-Counter operations.

Notional (lbs) Average Strike Fair value Realized Gain/Loss Value at Risk R$ million — Fair value by year
Flow June 30, 2013 December 31, 2012 Buy/ Sell (US$/lbs) June 30, 2013 December 31, 2012 June 30, 2013 June 30, 2013 2013
Forward 892.872 937.517 S 3,41 0,6 0,01 0,8 0,1 0,6

*Type of contracts:* OTC Contracts

*Protected Item:* of Vale’s revenues linked to Copper price.

The P&L shown in the table above is offset by the protected items’ P&L due to Copper price

*Bunker Oil Purchase Protection Program*

In order to reduce the impact of bunker oil price fluctuation on Vale’s freight hiring/supply and consequently reducing the company’s cash flow volatility, bunker oil derivatives were implemented. These transactions are usually executed through forward purchases and zero cost-collars.

Notional (ton) Average Strike Fair value Realized Gain/Loss Value at Risk R$ million — Fair value by year
Flow June 30, 2013 December 31, 2012 Buy/ Sell (US$/mt) June 30, 2013 December 31, 2012 June 30, 2013 June 30, 2013 2013
Forward 1.770.000 — B 634 (194 ) — (37 ) (194 )
Call 690.000 — B 650 6 — — 6
Put 690.000 — S 597 (38 ) — (1 ) (38 )
(226 ) — (38 ) 40 (226 )

*Type of contracts:* OTC Contracts

*Protected Item:* part of Vale’s costs linked to Bunker Oil price.

The P&L shown in the table above is offset by the protected items’ P&L due to Bunker Oil price.

*Bunker Oil Purchase Hedging Program*

In order to reduce the impact of bunker oil price fluctuation on Vale’s freight hiring/supply and consequently reducing the company’s cash flow volatility, bunker oil derivatives were implemented. These transactions are usually executed through forward purchases.

Notional (ton) Average Strike Fair value Realized Gain/Loss Value at Risk R$ million — Fair value by year
Flow June 30, 2013 December 31, 2012 Buy/ Sell (US$/mt) June 30, 2013 December 31, 2012 June 30, 2013 June 30, 2013 2013
Forward 930.000 — B 632 (97 ) — (38,7 ) 16 (97 )

*Type of contracts:* OTC Contracts

*Protected Item:* part of Vale’s costs linked to Bunker Oil price.

The P&L shown in the table above is offset by the protected items’ P&L due to Bunker Oil price.

42

SEQ.=1,FOLIO='42',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-29.htm',USER='kdefran',CD='Aug 6 17:47 2013'

Table of Contents

(A free translation of the original in Portuguese)

*Sell of part of future gold production (subproduct) from Vale*

The company has definitive contracts with Silver Wheaton Corp. (SLW), a Canadian company with stocks negotiated in Toronto Stock Exchange and New York Stock Exchange, to sell 25% of gold payable flows produced as a sub product from Salobo copper mine during its life and 70% of gold payable flows produced as a sub product from some nickel mines in Sudbury during 20 years. For this transaction the payment was realized part in cash (US$ 1.9 billion) and part as 10 million of SLW warrants with strike price of US$ 65 and 10 years term, where this last part configures an American call option.

Notional ($million) Average Strike Fair value Realized Gain/Loss Value at Risk R$ million — Fair value by year
Flow June 30, 2013 December 31, 2012 Buy/ Sell (US$/stock) June 30, 2013 December 31, 2012 June 30, 2013 June 30, 2013 2023
Call Option 10 — B 65 102 — — 12 102

*Embedded Derivative Positions*

The Company’s cash flow is also exposed to several market risks associated to contracts that contain embedded derivatives or derivative-like features. From Vale’s perspective, it may include, but is not limited to, commercial contracts, procurement contracts, rental contracts, bonds, insurance policies and loans. The following embedded derivatives were observed in June 30, 2013:

*Raw material and intermediate products purchase*

Nickel concentrate and raw materials purchase agreements, in which there are provisions based on nickel and copper future prices behavior. These provisions are considered as embedded derivatives.

Notional (ton) Average Strike Fair value Realized Gain/Loss Value at Risk R$ million — Fair value by year
Flow June 30, 2013 December 31, 2012 Buy/ Sell (US$/ton) June 30, 2013 December 31, 2012 June 30, 2013 June 30, 2013 2013
Nickel Forwards 1.913 2.475 S 14.997 (2,9 ) 2,0 (4,3 )
Copper Forwards 4.948 7.272 7.157 (1,7 ) 0,9 (2,5 )
Total (4,8 ) 2,9 (6,8 ) 3 (4,8 )

*Gas purchase for Pelletizing Company in Oman*

Our subsidiary Vale Oman Pelletizing Company LLC has a natural gas purchase agreement in which there´s a clause that defines that a premium can be charged if pellet prices trades above a pre-defined level. This clause is considered as an embedded derivative.

R$ million
Notional (volume/month) Average Strike Fair value Realized Gain/Loss Value at Risk Fair value by year
Flow June 30, 2013 December 31, 2012 Buy/ Sell (US$/ton) June 30, 2013 December 31, 2012 June 30, 2013 June 30, 2013 2013 2014 2015 2016
Call Options 746.667 746.667 S 179,36 (7,1 ) (4,7 ) — 6 (0,2 ) (2,0 ) (3,8 ) (1,1 )

*Market Curves*

To build the curves used on the pricing of the derivatives, public data from BM&F, Central Bank of Brazil, London Metals Exchange (LME) and proprietary data from Thomson Reuters and Bloomberg were used. The derivatives prices for June 30, 2013 were calculated using June 28 market data inasmuch June 30 is not considered work day for these instruments and do not present available market data.

*1. Commodities*

*Nickel*

Maturity Price (US$/ton) Maturity Price (US$/ton) Maturity Price (US$/ton)
SPOT 13,680.00 DEC13 13,778.17 JUN14 13,900.69
JUL13 13,666.68 JAN14 13,798.31 JUN15 14,143.13
AUG13 13,690.22 FEB14 13,816.46 JUN16 14,355.29
SEP13 13,713.63 MAR14 13,838.49 JUN17 14,554.87
OCT13 13,735.65 APR14 13,858.59
NOV13 13,756.57 MAY14 13,878.99

43

SEQ.=1,FOLIO='43',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-29.htm',USER='kdefran',CD='Aug 6 17:47 2013'

Table of Contents

(A free translation of the original in Portuguese)

*Copper*

Maturity Price (US$/lb) Maturity Price (US$/lb) Maturity Price (US$/lb)
SPOT 3.05 DEC13 3.07 JUN14 3.09
JUL13 3.06 JAN14 3.07 JUN15 3.12
AUG13 3.06 FEB14 3.07 JUN16 3.15
SEP13 3.06 MAR14 3.08 JUN17 3.17
OCT13 3.06 APR14 3.08
NOV13 3.07 MAY14 3.08

*Bunker Oil*

Maturity Price (US$/ton) Maturity Price (US$/ton) Maturity Price (US$/ton)
SPOT 588.00 DEC13 583.50 JUN14 579.08
JUL13 583.74 JAN14 583.06 JUN15 568.73
AUG13 586.06 FEB14 582.65 JUN16 562.92
SEP13 585.77 MAR14 581.81 JUN17 563.67
OCT13 584.88 APR14 580.97
NOV13 583.91 MAY14 580.10

*2. Rates*

*US$-Brazil Interest Rate*

Maturity Rate (% p.a.) Maturity Rate (% p.a.) Maturity Rate (% p.a.)
08/01/13 1.00 10/01/15 1.89 04/02/18 3.20
09/02/13 0.95 01/04/16 1.96 07/02/18 3.33
10/01/13 1.29 04/01/16 2.04 10/01/18 3.46
01/02/14 1.52 07/01/16 2.10 01/02/19 3.54
04/01/14 1.59 10/03/16 2.26 04/01/19 3.64
07/01/14 1.63 01/02/17 2.40 07/01/19 3.72
10/01/14 1.70 04/03/17 2.55 10/01/19 3.82
01/02/15 1.74 07/03/17 2.67 01/02/20 3.90
04/01/15 1.80 10/02/17 2.89 01/04/21 4.18
07/01/15 1.81 01/02/18 3.06 01/03/22 4.56

*US$ Interest Rate*

Maturity Rate (% p.a.) Maturity Rate (% p.a.) Maturity Rate (% p.a.)
US$1M 0.20 US$6M 0.33 US$11M 0.35
US$2M 0.24 US$7M 0.34 US$12M 0.36
US$3M 0.27 US$8M 0.34 US$2Y 0.52
US$4M 0.30 US$9M 0.35 US$3Y 0.85
US$5M 0.32 US$10M 0.35 US$4Y 1.26

*TJLP*

Maturity Rate (% p.a.) Maturity Rate (% p.a.) Maturity Rate (% p.a.)
08/01/13 5.00 10/01/15 5.00 04/02/18 5.00
09/02/13 5.00 01/04/16 5.00 07/02/18 5.00
10/01/13 5.00 04/01/16 5.00 10/01/18 5.00
01/02/14 5.00 07/01/16 5.00 01/02/19 5.00
04/01/14 5.00 10/03/16 5.00 04/01/19 5.00
07/01/14 5.00 01/02/17 5.00 07/01/19 5.00
10/01/14 5.00 04/03/17 5.00 10/01/19 5.00
01/02/15 5.00 07/03/17 5.00 01/02/20 5.00
04/01/15 5.00 10/02/17 5.00 01/04/21 5.00
07/01/15 5.00 01/02/18 5.00 01/03/22 5.00

*BRL Interest Rate*

Maturity Rate (% p.a.) Maturity Rate (% p.a.) Maturity Rate (% p.a.)
08/01/13 8.11 10/01/15 10.46 04/02/18 11.20
09/02/13 8.24 01/04/16 10.67 07/02/18 11.23
10/01/13 8.45 04/01/16 10.81 10/01/18 11.21
01/02/14 8.93 07/01/16 10.82 01/02/19 11.20
04/01/14 9.17 10/03/16 10.93 04/01/19 11.21
07/01/14 9.41 01/02/17 11.02 07/01/19 11.23
10/01/14 9.62 04/03/17 11.05 10/01/19 11.24
01/02/15 9.87 07/03/17 11.09 01/02/20 11.25
04/01/15 10.03 10/02/17 11.13 01/04/21 11.29
07/01/15 10.27 01/02/18 11.16 01/03/22 11.34

44

SEQ.=1,FOLIO='44',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-29.htm',USER='kdefran',CD='Aug 6 17:47 2013'

Table of Contents

(A free translation of the original in Portuguese)

*EUR Interest Rate*

Maturity Rate (% p.a.) Maturity Rate (% p.a.) Maturity Rate (% p.a.)
EUR1M 0.07 EUR6M 0.34 EUR11M 0.43
EUR2M 0.11 EUR7M 0.37 EUR12M 0.44
EUR3M 0.15 EUR8M 0.39 EUR2Y 0.61
EUR4M 0.24 EUR9M 0.41 EUR3Y 0.80
EUR5M 0.30 EUR10M 0.42 EUR4Y 1.04

*CAD Interest Rate*

Maturity Rate (% p.a.) Maturity Rate (% p.a.) Maturity Rate (% p.a.)
CAD1M 1.22 CAD6M 1.40 CAD11M 1.35
CAD2M 1.25 CAD7M 1.38 CAD12M 1.34
CAD3M 1.28 CAD8M 1.37 CAD2Y 1.59
CAD4M 1.34 CAD9M 1.36 CAD3Y 1.85
CAD5M 1.37 CAD10M 1.35 CAD4Y 2.13

*Currencies - Ending rates*

CAD/US$ 0.9513 US$/BRL 2.2156 EUR/US$ 1.3005

*Sensitivity Analysis*

We present below the sensitivity analysis for all derivatives outstanding positions as of June 30, 2013 given predefined scenarios for market risk factors behavior. The scenarios were defined as follows:

· Fair Value: the fair value of the instruments as at June 28 , 2013;

· Scenario I: Potencial change in fair value of Vale’s financial instruments’ positions considering a 25% depreciation of market curves for underlying risk factors;

· Scenario II: Potencial change in fair value of Vale’s financial instruments’ positions considering a 25% appreciation of market curves for underlying risk factors;

· Scenario III: Potencial change in fair value of Vale’s financial instruments’ positions considering a 50% depreciation of market curves for underlying risk factors;

· Scenario IV: Potencial change in fair value of Vale’s financial instruments’ positions considering a 50% appreciation of market curves for underlying risk factors;

*Sensitivity Analysis — Summary of the USD/BRL fluctuation — Debt, Cash Investments and Derivatives*

Program Instrument Risk Amounts in R$ million — Scenario I Scenario II Scenario III Scenario IV
Funding Debt denominated in BRL No fluctuation — — — —
Funding Debt denominated in USD USD/BRL fluctuation (10.588 ) 10.588 (21.176 ) 21.176
Cash Investments Cash denominated in BRL No fluctuation — — — —
Cash Investments Cash denominated in USD USD/BRL fluctuation 2.546 (2.546 ) 5.093 (5.093 )
Derivatives (1) Consolidated derivatives portfolio USD/BRL fluctuation (4.883 ) 4.883 (9.768 ) 9.768
Net result (12.924 ) 12.924 (25.852 ) 25.852

(1) - Detailed information of derivatives are described below.

45

SEQ.=1,FOLIO='45',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-29.htm',USER='kdefran',CD='Aug 6 17:47 2013'

Table of Contents

(A free translation of the original in Portuguese)

Sensitivity analysis - Foreign Exchange and Interest Rate Derivative Positions Amounts in R$ million

Program Instrument Risk Fair Value Scenario I Scenario II Scenario III Scenario IV
Protection program for the Real denominated debt indexed to CDI CDI vs. USD fixed rate swap USD/BRL fluctuation (1,699 ) (2,531 ) 2,531 (5,061 ) 5,061
USD interest rate inside Brazil variation (75 ) 73 (152 ) 143
Brazilian interest rate fluctuation (21 ) 19 (43 ) 36
USD Libor variation (1 ) 1 (1 ) 1
USD/BRL fluctuation (142 ) 142 (285 ) 285
CDI vs. USD floating rate swap Brazilian interest rate fluctuation (124 ) (1 ) 0 (1 ) 1
USD Libor variation (0.03 ) 0.03 (0.06 ) 0.05
Protected Items - Real denominated debt USD/BRL fluctuation n.a. — — — —
Protection program for the Real denominated debt indexed to TJLP TJLP vs. USD fixed rate swap USD/BRL fluctuation (1,392 ) (1,726 ) 1,726 (3,453 ) 3,453
USD interest rate inside Brazil variation (146 ) 137 (304 ) 266
Brazilian interest rate fluctuation 417 (367 ) 893 (693 )
TJLP interest rate fluctuation (209 ) 205 (421 ) 406
USD/BRL fluctuation (181 ) 181 (362 ) 362
USD interest rate inside Brazil variation (16 ) 15 (33 ) 29
TJLP vs. USD floating rate swap Brazilian interest rate fluctuation (189 ) 38 (33 ) 81 (62 )
TJLP interest rate fluctuation (19 ) 19 (39 ) 37
USD Libor variation 9 (9 ) 19 (19 )
Protected Items - Real denominated debt USD/BRL fluctuation n.a. — — — —
Protection program for the Real denominated fixed rate debt USD/BRL fluctuation (226 ) 226 (453 ) 453
BRL fixed rate vs. USD USD interest rate inside Brazil variation (194 ) (12 ) 12 (26 ) 23
Brazilian interest rate fluctuation 41 (37 ) 87 (71 )
Protected Items - Real denominated debt USD/BRL fluctuation n.a. — — — —
Protection Program for the Euro denominated debt EUR fixed rate vs. USD fixed rate swap USD/BRL fluctuation 51 13 (13 ) 25 (25 )
EUR/USD fluctuation (802 ) 802 (1,604 ) 1,604
EUR Libor variation 65 (60 ) 136 (115 )
USD Libor variation (79 ) 70 (167 ) 134
Protected Items - Euro denominated debt EUR/USD fluctuation n.a. 802 (802 ) 1,604 (1,604 )
Foreign Exchange hedging program for disbursements in Canadian dollars (CAD) CAD Forward USD/BRL fluctuation (107 ) (27 ) 27 (54 ) 54
USD/CAD fluctuation (612 ) 612 (1,225 ) 1,225
CAD Libor variation 9 (8 ) 17 (17 )
USD Libor variation (3 ) 3 (6 ) 6
Protected Items - Disbursement in Canadian dollars USD/CAD fluctuation n.a. 612 (612 ) 1,225 (1,225 )

Sensitivity analysis - Commodity Derivative Positions Amounts in R$ million

Program Instrument Risk Fair Value Scenario I Scenario II Scenario III Scenario IV
Nickel purchase protection program Nickel price fluctuation 1.1 (1.1 ) 2.2 (2.2 )
Sale of nickel future/forward contracts Libor USD fluctuation 0.6 0 (0 ) 0 (0 )
USD/BRL fluctuation 0.1 (0.1 ) 0.3 (0.3 )
Protected Item: Part of Vale’s revenues linked to Nickel price Nickel price fluctuation n.a. (1.1 ) 1.1 (2 ) 2
Nickel price fluctuation (41 ) 41 (81 ) 81
Nickel fixed price program Purchase of nickel future/forward contracts Libor USD fluctuation (19 ) (0.1 ) 0.1 (0.1 ) 0.1
USD/BRL fluctuation (5 ) 5 (9 ) 9
Protected Item: Part of Vale’s nickel revenues from sales with fixed prices Nickel price fluctuation n.a. 41 (41 ) 81 (81 )
Copper Scrap Purchase Protection Program Copper price fluctuation 1.1 (1.1 ) 2.1 (2.1 )
Sale of copper future/forward contracts Libor USD fluctuation 0.6 0 (0 ) 0 (0 )
USD/BRL fluctuation 0.2 (0.2 ) 0.3 (0.3 )
Protected Item: Part of Vale’s revenues linked to Copper price Copper price fluctuation n.a. (1.1 ) 1.1 (2 ) 2
Bunker Oil Purchase Protection Program Bunker Oil price fluctuation (788 ) 744 (1,594 ) 1,543
Bunker Oil forward and Options Libor USD fluctuation (226 ) (1 ) 1 (1 ) 1
USD/BRL fluctuation (57 ) 57 (113 ) 113
Protected Item: part of Vale’s costs linked to Bunker Oil price Bunker Oil price fluctuation n.a. 788 (744 ) 1,594 (1,543 )
Bunker Oil Hedge Protection Program Bunker Oil price fluctuation (303 ) 303 (606 ) 606
Bunker Oil forward Libor USD fluctuation (97 ) (0.3 ) 0.3 (0.5 ) 0.5
USD/BRL fluctuation (24 ) 24 (49 ) 49
Protected Item: part of Vale’s costs linked to Bunker Oil price Bunker Oil price fluctuation n.a. 303 (303 ) 606 (606 )
Sell of part of future gold production (subproduct) from Vale SLW stock price fluctuation (41 ) 48 (74 ) 101
10 million of SLW warrants Libor USD fluctuation 102 (5 ) 5 (10 ) 9
USD/BRL fluctuation 26 (26 ) 51 (51 )
Sell of part of future gold production (subproduct) from Vale SLW stock price fluctuation n.a. 41 (48 ) 74 (101 )

46

SEQ.=1,FOLIO='46',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-31.htm',USER='kdefran',CD='Aug 6 17:49 2013'

Table of Contents

(A free translation of the original in Portuguese)

Sensitivity analysis - Embedded Derivative Positions Amounts in R$ million

Program Instrument Risk Fair Value Scenario I Scenario II Scenario III Scenario IV
Embedded derivatives - Raw material purchase (Nickel) Embedded derivatives - Raw material purchase Nickel price fluctuation (2.9 ) 15 (15 ) 29 (29 )
USD/BRL fluctuation (1 ) 1 (1 ) 1
Embedded derivatives - Raw material purchase (Copper) Embedded derivatives - Raw material purchase Copper price fluctuation (1.7 ) 19 (19 ) 37 (37 )
USD/BRL fluctuation (0.4 ) 0.4 (0.8 ) 0.8
Embedded derivatives - Gas purchase for Pelletizing Company in Oman Embedded derivatives - Gas purchase Pellet price fluctuation (7.1 ) 5 (10 ) 7 (27 )
USD/BRL fluctuation (1.8 ) 1.8 (3.6 ) 3.6

Sensitivity analysis - Cash Investments (Other currencies) Amounts in R$ million

Program Instrument Risk Scenario I Scenario II Scenario III Scenario IV
Cash Investments Cash denominated in EUR EUR/BRL fluctuation 12 (12 ) 24 (24 )
Cash Investments Cash denominated in CAD CAD/BRL fluctuation 66 (66 ) 131 (131 )
Cash Investments Cash denominated in GBP GBP/BRL fluctuation 5 (5 ) 10 (10 )
Cash Investments Cash denominated in AUD AUD/BRL fluctuation 36 (36 ) 71 (71 )
Cash Investments Cash denominated in Other Currencies Other Currencies fluctuation 28 (28 ) 55 (55 )

Sensitivity analysis - Summary of the USD/BRL fluctuation Amounts in R$ million

Program Instrument Risk Scenario I Scenario II Scenario III Scenario IV
Funding Debt denominated in BRL No fluctuation — — — —
Funding Debt denominated in USD USD/BRL fluctuation (10,588 ) 10,588 (21,176 ) 21,176
Cash Investments Cash denominated in BRL No fluctuation — — — —
Cash Investments Cash denominated in USD USD/BRL fluctuation 2,546 (2,546 ) 5,093 (5,093 )
Derivatives¹ Consolidated derivatives portfolio USD/BRL fluctuation (4,883 ) 4,883 (9,768 ) 9,768
Net result (12,924 ) 12,924 (25,852 ) 25,852

*Financial counterparties ratings*

Derivatives transactions are executed with financial institutions that we consider to have a very good credit quality. The exposure limits to financial institutions are proposed annually for the Executive Risk Committee and approved by the Executive Board. The financial institutions credit risk tracking is performed making use of a credit risk valuation methodology which considers, among other information, published ratings provided by international rating agencies. In the table below, we present the ratings in foreign currency published by Moody’s and S&P agencies for the financial institutions that we had outstanding trades as of June 30, 2013.

Vale’s Counterparty Moody’s* S&P*
ANZ Australia and New Zealand Banking Aa2 AA-
Banco Amazônia SA — —
Banco Bradesco Baa2 BBB
Banco de Credito del Peru Baa2 BBB
Banco do Brasil Baa2 BBB
Banco do Nordeste Baa2 BBB
Banco Safra Baa2 BBB-
Banco Santander Baa2 BBB
Banco Votorantim Baa2 BBB-
Bank of America Baa2 A-
Bank of China A1 A
Bank of Nova Scotia Aa2 A+
Banpara — —
Barclays A3 A-
BNP Paribas A2 A+
BTG Pactual Baa3 BBB-
Caixa Economica Federal Baa2 —
Canadian Imperial Bank Aa3 A+
Citigroup Baa2 A-
Credit Agricole A2 A
Goldman Sachs A3 A-
HSBC Aa3 A+
Itau Unibanco Baa1 BBB
JP Morgan Chase & Co A2 A
National Australia Bank NAB Aa2 AA-
Rabobank Aa2 AA-
Royal Bank of Canada Aa3 AA-
Standard Bank Baa2 —
Standard Chartered A2 A+
  • Long Term Rating / LT Foreign Issuer Credit

47

SEQ.=1,FOLIO='47',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-31.htm',USER='kdefran',CD='Aug 6 17:49 2013'

Table of Contents

(A free translation of the original in Portuguese)

*25. Information by Business Segment and Consolidated Revenues by Geographic Area*

The information presented to the Executive Board on the performance of each segment is derived from the accounting records adjusted for reallocations between segments.

*a) Results by segment*

Consolidated (unaudited)
Three-month period ended
June 30, 2013
Bulk Materials Base Metals Fertilizers General Cargo logistic Others Total
Results
Net operating revenue 16,454,320 3,493,128 1,564,745 762,077 597,035 22,871,305
Cost and expenses (7,452,644 ) (2,642,785 ) (1,493,475 ) (644,028 ) (899,741 ) (13,132,673 )
Depreciation, depletion and amortization (999,520 ) (913,941 ) (215,333 ) (82,237 ) (18,243 ) (2,229,274 )
Operating income 8,002,156 (63,598 ) (144,063 ) 35,812 (320,949 ) 7,509,358
Financial results, net (7,169,908 ) 49,950 (67,344 ) 34,330 149,566 (7,003,406 )
Equity results from joint venture and associates 169,297 (6,369 ) — 46,755 (105,277 ) 104,406
Income tax and social contribution 21,512 52,882 129,826 (18,178 ) (32,625 ) 153,417
Net income of the period 1,023,057 32,865 (81,581 ) 98,719 (309,285 ) 763,775
Net loss attributable to noncontrolling interests (11,519 ) (4,398 ) (10,659 ) — (41,720 ) (68,296 )
Income attributable to the company’s stockholders 1,034,576 37,263 (70,922 ) 98,719 (267,565 ) 832,071
Sales classified by geographic area:
America, except United States 389,259 494,133 27,466 — 20,717 931,575
United States of America 204 571,500 23 — 171,065 742,792
Europe 2,816,289 1,256,270 73,243 — 187 4,145,989
Middle East/Africa/Oceania 1,032,362 43,991 7,709 — — 1,084,062
Japan 2,171,129 308,577 — — — 2,479,706
China 7,031,799 385,500 — — — 7,417,299
Asia, except Japan and China 1,504,639 344,831 13,731 — 785 1,863,986
Brazil 1,508,639 88,326 1,442,573 762,077 404,281 4,205,896
Net revenue 16,454,320 3,493,128 1,564,745 762,077 597,035 22,871,305
Consolidated (unaudited)
Three-month period ended
June 30, 2012
Bulk Materials Base Metals Fertilizers Genenal Cargo Logistics Others Total
Results
Net operating revenue 18,530,064 3,487,591 1,709,169 689,261 166,787 24,582,872
Cost and expenses (8,117,178 ) (3,320,163 ) (1,401,338 ) (675,449 ) (429,453 ) (13,943,581 )
Loss on sale of assets (768,236 ) — — — — (768,236 )
Depreciation, depletion and amortization (921,632 ) (780,660 ) (224,251 ) (106,417 ) (7,023 ) (2,039,983 )
Operating income 8,723,018 (613,232 ) 83,580 (92,605 ) (269,689 ) 7,831,072
Financial results, net (5,069,154 ) 70,678 (83,873 ) (43,020 ) (11,680 ) (5,137,049 )
Equity results from join ventures and associates 381,197 (3,303 ) — 27,721 (96,015 ) 309,600
Income tax and social contribution (327,505 ) 29,326 2,478,997 5,775 (3,089 ) 2,183,504
Net income of the period 3,707,556 (516,531 ) 2,478,704 (102,129 ) (380,473 ) 5,187,127
Net loss attributable to noncontrolling interests (45,818 ) (105,130 ) 47,695 — (30,148 ) (133,401 )
Income attributable to the company’s stockholders 3,753,374 (411,401 ) 2,431,009 (102,129 ) (350,325 ) 5,320,528
Sales classified by geographic area:
America, except United States 418,860 498,615 34,282 — 6,920 958,677
United States of America 103,373 674,482 22,691 — 283 800,829
Europe 3,533,960 936,723 71,575 — 18,153 4,560,411
Middle East/Africa/Oceania 768,165 37,448 2,924 — — 808,537
Japan 2,098,575 397,341 — — 9,719 2,505,635
China 8,146,465 516,006 — — — 8,662,471
Asia, except Japan and China 1,799,870 426,192 28,372 — — 2,254,434
Brazil 1,660,796 784 1,549,325 689,261 131,712 4,031,878
Net revenue 18,530,064 3,487,591 1,709,169 689,261 166,787 24,582,872

(i) Period adjusted according to note 4.

48

SEQ.=1,FOLIO='48',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-31.htm',USER='kdefran',CD='Aug 6 17:49 2013'

Table of Contents

(A free translation of the original in Portuguese)

Consolidated (unaudited)
Six-month period ended
June 30, 2013
Bulk Materials Base Metals Fertilizers General Cargo Logistics Others Total
Results
Net operating revenue 32,194,148 7,167,129 3,002,871 1,334,025 974,097 44,672,270
Cost and expenses (14,384,701 ) (4,940,435 ) (2,766,842 ) (1,243,637 ) (1,226,984 ) (24,562,599 )
Depreciation, depletion and amortization (1,826,728 ) (1,842,876 ) (453,505 ) (160,196 ) (39,641 ) (4,322,946 )
Operating income 15,982,719 383,818 (217,476 ) (69,808 ) (292,528 ) 15,786,725
Financial results, net (7,779,555 ) 143,995 (82,739 ) (671 ) 49,561 (7,669,409 )
Equity results from joint venture and associates 499,555 (12,265 ) — 80,257 (121,602 ) 445,945
Income tax and social contribution (1,771,320 ) 2,524 133,687 (27,610 ) (50,214 ) (1,712,933 )
Net income of the period 6,931,399 518,072 (166,528 ) (17,832 ) (414,783 ) 6,850,328
Net loss attributable to noncontrolling interests (59,247 ) (60,509 ) 228 — (62,845 ) (182,373 )
Income attributable to the company’s stockholders 6,990,646 578,581 (166,756 ) (17,832 ) (351,938 ) 7,032,701
Sales classified by geographic area:
America, except United States 756,651 1,113,824 49,449 — 20,717 1,940,641
United States of America 6,501 1,145,976 23 — 221,876 1,374,376
Europe 5,637,110 2,493,696 139,503 — 207 8,270,516
Middle East/Africa/Oceania 1,897,355 78,517 22,441 — 295 1,998,608
Japan 2,894,502 579,281 — — — 3,473,783
China 15,382,456 884,934 — — — 16,267,390
Asia, except Japan and China 2,653,893 775,260 39,455 — 803 3,469,411
Brazil 2,965,680 95,641 2,752,000 1,334,025 730,199 7,877,545
Net revenue 32,194,148 7,167,129 3,002,871 1,334,025 974,097 44,672,270
Consolidated (unaudited)
Six-month period ended
June 30, 2012
Bulk Materials Base Metals Fertilizers General cargo logistic Others Total
Results
Net operating revenue 33,727,572 6,624,271 3,090,922 1,282,860 318,338 45,043,963
Cost and expenses (15,068,352 ) (5,888,218 ) (2,516,550 ) (1,286,853 ) (954,960 ) (25,714,933 )
Loss on sale of assets (768,236 ) — — — — (768,236 )
Depreciation, depletion and amortization (1,741,078 ) (1,442,957 ) (422,809 ) (220,771 ) (10,130 ) (3,837,745 )
Operating income 16,149,906 (706,904 ) 151,563 (224,764 ) (646,752 ) 14,723,049
Financial results, net (4,879,832 ) 80,379 (76,231 ) (59,943 ) 3,643 (4,931,984 )
Equity results from joint venture and associates 820,849 (5,845 ) — 80,430 (148,814 ) 746,620
Income tax and social contribution (1,173,980 ) 3,319 2,461,868 (22,995 ) (10,300 ) 1,257,912
Net income of the period 10,916,943 (629,051 ) 2,537,200 (227,272 ) (802,223 ) 11,795,597
Net loss attributable to noncontrolling interests (69,709 ) (210,388 ) 79,417 — (35,792 ) (236,472 )
Income attributable to the company’s stockholders 10,986,652 (418,663 ) 2,457,783 (227,272 ) (766,431 ) 12,032,069
Sales classified by geographic area:
America, except United States 738,999 942,898 58,084 64,646 26,363 1,830,990
United States of America 153,678 1,320,117 62,221 — 1,242 1,537,258
Europe 5,938,513 1,772,455 149,222 — 42,774 7,902,964
Middle East/Africa/Oceania 1,339,956 128,091 2,924 — — 1,470,971
Japan 4,197,884 660,224 — — 12,912 4,871,020
China 15,028,685 786,987 — — — 15,815,672
Asia, except Japan and China 2,979,237 890,352 57,447 — 3,992 3,931,028
Brazil 3,350,620 123,147 2,761,024 1,218,214 231,055 7,684,060
Net revenue 33,727,572 6,624,271 3,090,922 1,282,860 318,338 45,043,963

(i) Period adjusted according to note 4.

49

SEQ.=1,FOLIO='49',FILE='C:\JMS\kdefran\13-16947-1\task6184848\16947-1-ba-31.htm',USER='kdefran',CD='Aug 6 17:49 2013'

COMMAND=ROTATED_TABLE WIDTH="150%"

Table of Contents

(A free translation of the original in Portuguese)

June 30, 2013 (unaudited)
Three-month period ended
Net operating revenues Cost Expenses Research and Development Pre-Operating and stopped operation Operating profit Depreciation, depletion and amortization Operating income Property, plant and equipment and intangible Additions to property, plant and equipment and intangible Investments
Bulk Material
Iron ore (a) 12,607,635 (4,394,388 ) (520,049) (142,367 ) (155,761 ) 7,395,070 (716,677 ) 6,678,393 82,677,276 2,968,027 209,592
Pellets 3,013,439 (1,199,739 ) (79,606 ) (6,406 ) (70,748 ) 1,656,940 (99,305 ) 1,557,635 4,303,321 67,034 1,652,208
Ferroalloys and manganese 197,791 (160,081 ) 5,542 (283 ) — 42,969 (10,617 ) 32,352 610,938 8,673 —
Coal 526,361 (530,715 ) (112,370 ) (8,202 ) (19,267 ) (144,193 ) (99,930 ) (244,123 ) 8,495,157 499,650 684,518
Others Ferrous products and services 109,094 (62,555 ) 4,351 — — 50,890 (72,991 ) (22,101 ) — — —
16,454,320 (6,347,478 ) (702,132 ) (157,258 ) (245,776 ) 9,001,676 (999,520 ) 8,002,156 96,086,692 3,543,384 2,546,318
Base Metals
Nickel and other products (b) 2,810,719 (1,769,593 ) 214,132 (75,532 ) (390,218 ) 789,508 (825,809 ) (36,301 ) 65,767,231 1,024,183 51,283
Copper (c) 682,409 (547,785 ) (31,359 ) (37,401 ) (4,848 ) 61,016 (88,132 ) (27,116 ) 9,106,095 197,493 535,128
Others base metals products — — (181 ) — — (181 ) — (181 ) — — —
3,493,128 (2,317,378 ) 182,592 (112,933 ) (395,066 ) 850,343 (913,941 ) (63,598 ) 74,873,326 1,221,676 586,411
Fertilizers
Potash 96,010 (67,966 ) (25,074 ) (4,789 ) (154,826 ) (156,645 ) (10,952 ) (167,597 ) 5,255,403 79,689 —
Phosphates 1,164,095 (918,570 ) (37,350 ) (5,512 ) (15,076 ) 187,587 (156,004 ) 31,583 17,168,690 212,198 —
Nitrogen 259,486 (235,507 ) (24,350 ) (933 ) (3,522 ) (4,826 ) (48,377 ) (53,203 ) — — —
Others fertilizers products 45,154 — — — — 45,154 — 45,154 671,140 — —
1,564,745 (1,222,043 ) (86,774 ) (11,234 ) (173,424 ) 71,270 (215,333 ) (144,063 ) 23,095,233 291,887 —
General Cargo Logistics 762,077 (552,917 ) (86,454 ) (4,657 ) — 118,049 (82,237 ) 35,812 6,860,787 527,142 1,422,549
Others 597,035 (418,647 ) (443,983 ) (37,111 ) — (302,706 ) (18,243 ) (320,949 ) 4,725,138 249,883 3,861,399
22,871,305 (10,858,463 ) (1,136,751 ) (323,193 ) (814,266 ) 9,738,632 (2,229,274 ) 7,509,358 205,641,176 5,833,972 8,416,677

(a) The cost of Iron ore includes R$1,290,268 of freight.

(b) Includes nickel co-products and by-products (copper, precious metal, cobalt and others).

(c) Includes copper concentrate and does not include the cooper by-product of nickel.

50

SEQ.=1,FOLIO='50',FILE='C:\JMS\rcheney\13-16947-1\task6187763\16947-1-ba-33.htm',USER='rcheney',CD='Aug 7 11:03 2013'

COMMAND=ROTATED_TABLE WIDTH="150%"

Table of Contents

(A free translation of the original in Portuguese)

June 30, 2012 (unaudited)
Three-month period ended
Net operating revenues Cost Expenses Research and Development Pre-Operating and stopped operation Operating profit Depreciation, depletion and amortization Operating income Property, plant and equipment and intangible Additions to property, plant and equipment and intangible Investments
Bulk Material
Iron ore (a) 13,876,268 (4,543,516 ) (669,854 ) (296,662 ) — 8,366,236 (695,748 ) 7,670,488 65,611,050 2,356,704 211,305
Pellets 3,760,387 (1,428,013 ) — — (90,235 ) 2,242,139 (106,410 ) 2,135,729 4,154,537 330,303 1,979,490
Ferroalloys and manganese 350,865 (255,879 ) (46,142 ) (1,330 ) — 47,514 (38,780 ) 8,734 499,420 247,221 —
Coal 542,544 (536,997 ) (197,893 ) (38,877 ) (11,780 ) (243,003 ) (80,694 ) (323,697 ) 8,414,530 895,669 528,263
18,530,064 (6,764,405 ) (913,889 ) (336,869 ) (102,015 ) 10,412,886 (921,632 ) 9,491,254 78,679,538 3,829,898 2,719,058
Base Metals
Nickel and other products (b) 3,034,001 (1,995,647 ) (328,375 ) (158,836 ) (409,110 ) 142,033 (747,836 ) (605,803 ) 63,070,176 1,367,821 37,875
Copper (c) 453,590 (348,625 ) 6,329 (81,974 ) (3,927 ) 25,393 (32,824 ) (7,431 ) 8,707,019 589,683 464,472
3,487,591 (2,344,272 ) (322,046 ) (240,810 ) (413,037 ) 167,426 (780,660 ) (613,234 ) 71,777,195 1,957,503 502,348
Fertilizers
Potash 148,206 (88,963 ) (12,484 ) (29,604 ) — 17,155 (16,650 ) 505 2,803,517 87,135 —
Phosphates 1,199,692 (887,377 ) (72,010 ) (16,659 ) (25,523 ) 198,123 (163,412 ) 34,711 16,252,041 40,528 —
Nitrogen 328,285 (244,157 ) (24,561 ) — — 59,567 (44,189 ) 15,378 1,058,532 — —
Others fertilizers products 32,986 — — — — 32,986 — 32,986 672,526 — —
1,709,169 (1,220,497 ) (109,055 ) (46,263 ) (25,523 ) 307,831 (224,251 ) 83,580 20,786,615 127,663 —
General Cargo Logistics 689,261 (543,395 ) (127,941 ) (4,113 ) — 13,812 (106,417 ) (92,605 ) 10,241,094 316,119 1,301,719
Others 166,787 (141,263 ) (208,305 ) (79,883 ) — (262,664 ) (7,023 ) (269,687 ) 3,814,313 310,040 11,514,138
24,582,872 (11,013,832 ) (1,681,236 ) (707,938 ) (540,575 ) 10,639,291 (2,039,983 ) (8,599,308 ) 185,298,755 6,541,223 16,037,262
Loss on sale of assets — (768,236 ) — — (768,236 ) — (768,236 ) — — —
24,582,872 (11,013,832 ) (2,449,472 ) (707,938 ) (540,575 ) 9,871,055 (2,039,983 ) 7,831,072 185,298,755 6,541,223 16,037,262

(a) The cost of Iron ore includes R$1,166,525 of freight.

(b) Includes nickel co-products and by-products (copper, precious metal, cobalt and others).

(c) Includes copper concentrate and does not include the cooper by-product of nickel.

(i) Period adjusted according to note 4.

51

SEQ.=1,FOLIO='51',FILE='C:\JMS\kdefran\13-16947-1\task6184783\16947-1-ba-35.htm',USER='kdefran',CD='Aug 6 17:22 2013'

COMMAND=ROTATED_TABLE WIDTH="150%"

Table of Contents

(A free translation of the original in Portuguese)

June 30, 2013 (unaudited)
Six-month period ended
Net operating revenues Cost Expenses Research and Development Pre-Operating and stopped operation Operating profit Depreciation, depletion and amortization Operating income Property, plant and equipment and intangible Additions to property, plant and equipment and intangible Investments
Bulk Material
Iron ore (a) 24,844,534 (8,312,371 ) (1,190,825 ) (266,708 ) (254,612 ) 14,820,018 (1,314,390 ) 13,505,628 82,677,276 6,715,603 209,592
Pellets 5,821,114 (2,119,812 ) (79,606) (11,671 ) (142,742 ) 3,467,283 (177,897 ) 3,289,386 4,303,321 206,870 1,652,208
Ferroalloys and manganese 431,689 (310,687 ) (40,842 ) (283 ) — 79,877 (20,726 ) 59,151 610,938 30,647 —
Coal 948,588 (1,052,227 ) (420,001 ) (28,470 ) (41,061 ) (593,171 ) (183,906 ) (777,077 ) 8,495,157 739,368 684,518
Others Ferrous products and services 148,224 (164,091 ) 51,751 (443 ) — 35,441 (129,809 ) (94,368 ) — — —
32,194,149 (11,959,188 ) (1,679,523 ) (307,575 ) (438,415 ) 17,809,448 (1,826,728 ) 15,982,720 96,086,692 7,692,488 2,546,318
Base Metals
Nickel and other products (b) 5,964,344 (3,499,128 ) 129,999 (168,444 ) (784,245 ) 1,642,526 (1,671,180 ) (28,654 ) 65,767,231 2,710,376 51,283
Copper (c) 1,202,785 (942,842 ) (87,019 ) (62,769 ) (9,619 ) 100,536 (171,696 ) (71,160 ) 9,106,095 565,061 535,128
Others base metals products — — 483,632 — — 483,632 — 483,632 — — —
7,167,129 (4,441,970 ) 526,612 (231,213 ) (793,864 ) 2,226,694 (1,842,876 ) 383,818 74,873,326 3,275,437 586,411
Fertilizers
Potash 197,919 (124,119 ) (32,682 ) (7,033 ) (154,789 ) (120,704 ) (48,712 ) (169,416 ) 5,255,403 517,174 —
Phosphates 2,125,941 (1,679,608 ) (150,306 ) (11,514 ) (41,559 ) 242,954 (299,630 ) (56,676 ) 17,168,690 362,022 —
Nitrogen 599,729 (523,272 ) (26,084 ) (4,409 ) (7,262 ) 38,702 (105,029 ) (66,327 ) — — —
Others fertilizers products 79,282 — (84 ) (4,121 ) — 75,077 (134 ) 74,943 671,140 — —
3,002,871 (2,326,999 ) (209,156 ) (27,077 ) (203,610 ) 236,029 (453,505 ) (217,476 ) 23,095,233 879,196 —
General Cargo Logistics 1,334,024 (1,056,597 ) (173,170 ) (13,870 ) — 90,387 (160,196 ) (69,809 ) 6,860,787 936,660 1,422,549
Others 974,097 (655,274 ) (474,569 ) (97,140 ) (1 ) (252,887 ) (39,641 ) (292,528 ) 4,725,138 507,580 3,861,399
44,672,270 (20,440,028 ) (2,009,806 ) (676,875 ) (1,435,890 ) 20,109,671 (4,322,946 ) 15,786,725 205,641,176 13,291,361 8,416,677

(a) The cost of Iron ore includes R$2,482,391 of freight.

(b) Includes nickel co-products and by-products (copper, precious metal, cobalt and others).

(c) Includes copper concentrate and does not include the cooper by-product of nickel.

52

SEQ.=1,FOLIO='52',FILE='C:\JMS\rcheney\13-16947-1\task6187836\16947-1-ba-37.htm',USER='rcheney',CD='Aug 7 11:25 2013'

COMMAND=ROTATED_TABLE WIDTH="150%"

Table of Contents

(A free translation of the original in Portuguese)

June 30, 2012 (unaudited)
Six-month period ended
Net operating revenues Cost Expenses Research and Development Pre-Operating and stopped operation Operating profit Depreciation, depletion and amortization Operating income Property, plant and equipment and intangible Additions to property, plant and equipment and intangible Investments
Bulk Material
Iron ore (a) 25,201,844 (8,255,708 ) (1,281,375 ) (508,458 ) — 15,156,303 (1,280,801 ) 13,875,502 65,611,050 5,406,289 211,305
Pellets 6,668,250 (2,755,883 ) — — (218,762 ) 3,693,605 (204,718 ) 3,488,887 4,154,537 494,768 1,979,490
Ferroalloys and manganese 622,318 (492,588 ) (60,463 ) (3,035 ) — 66,232 (71,897 ) (5,665 ) 499,420 232,160 —
Coal 1,235,160 (1,079,807 ) (316,333 ) (72,649 ) (23,291 ) (256,920 ) (183,662 ) (440,582 ) 8,414,530 1,046,624 528,263
33,727,572 (12,583,986 ) (1,658,171 ) (584,142 ) (242,053 ) 18,659,220 (1,741,078 ) 16,918,142 78,679,538 7,179,842 2,719,058
Base Metals
Nickel and other products (b) 5,782,205 (3,671,514 ) (467,264 ) (270,101 ) (694,014 ) 679,312 (1,360,077 ) (680,765 ) 63,070,176 2,334,923 37,875
Copper (c) 842,066 (637,400 ) 1,326 (139,869 ) (9,382 ) 56,741 (82,880 ) (26,139 ) 8,707,019 1,000,953 464,472
6,624,271 (4,308,914 ) (465,938 ) (409,970 ) (703,396 ) 736,053 (1,442,957 ) (706,904 ) 71,777,195 3,335,877 502,348
Fertilizers
Potash 264,843 (154,486 ) (18,797 ) (49,144 ) — 42,416 (27,493 ) 14,923 2,803,517 119,886 —
Phosphates 2,137,628 (1,540,712 ) (91,914 ) (22,125 ) (69,905 ) 412,972 (300,548 ) 112,424 16,252,041 176,975 —
Nitrogen 625,568 (507,556 ) (61,911 ) — — 56,101 (94,768 ) (38,667 ) 1,058,532 13,321 —
Others fertilizers products 62,883 — — — — 62,883 — 62,883 672,526 1,903 —
3,090,922 (2,202,754 ) (172,622 ) (71,269 ) (69,905 ) 574,372 (422,809 ) 151,563 20,786,615 312,084 —
General Cargo Logistics 1,282,860 (1,057,551 ) (223,505 ) (5,797 ) — (3,993 ) (220,771 ) (224,764 ) 10,241,094 422,456 1,301,719
Others 318,338 (230,839 ) (560,804 ) (163,317 ) — (636,622 ) (10,130 ) (646,752 ) 3,814,313 527,121 11,514,138
45,043,963 (20,384,044 ) (3,081,040 ) (1,234,495 ) (1,015,354 ) 19,329,030 (3,837,745 ) 15,491,285 185,298,755 11,777,379 16,037,262
Loss on sale of assets — (768,236 ) — — (768,236 ) — (768,236 ) — — —
45,043,963 (20,384,044 ) (3,849,276 ) (1,234,495 ) (1,015,354 ) 18,560,794 (3,837,745 ) 14,723,049 185,298,755 11,777,379 16,037,262

(a) The cost of Iron ore includes R$2,010,782 of freight.

(b) Includes nickel co-products and by-products (copper, precious metal, cobalt and others).

(c) Includes copper concentrate and does not include the cooper by-product of nickel.

(i) Period adjusted according to note 4.

53

SEQ.=1,FOLIO='53',FILE='C:\JMS\kdefran\13-16947-1\task6184802\16947-1-ba-39.htm',USER='kdefran',CD='Aug 6 17:28 2013'

Table of Contents

(A free translation of the original in Portuguese)

*26. Cost of Goods Sold and Services Rendered, and Sales and Administrative Expenses by Nature, Other Operational Expenses (Income), net*

*The costs of goods sold and services rendered*

Consolidated (unaudited) — Three-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
(i) (i)
Personnel 1,723,932 1,770,230 3,297,639 3,242,615
Material 2,089,056 2,132,618 4,008,899 3,932,870
Fuel oil and gas 1,011,969 1,031,255 1,935,214 1,888,091
Outsourcing services 2,027,282 2,504,801 3,761,112 4,448,892
Energy 306,894 415,849 624,784 801,733
Acquisition of products 851,562 745,475 1,420,536 1,506,135
Depreciation and depletion 2,006,860 1,833,144 3,863,421 3,378,304
Freight 1,417,562 1,177,981 2,622,075 2,047,898
Royalties 293,937 299,451 519,060 529,582
Others 1,136,269 934,709 2,250,710 1,986,229
Total 12,865,323 12,845,513 24,303,450 23,762,349
Parent company (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Personnel 1,380,541 1,510,020
Material 1,597,582 1,854,231
Fuel oil and gas 1,097,743 1,105,678
Outsourcing services 2,085,648 2,831,760
Energy 357,553 528,289
Acquisition of products 360,077 870,853
Depreciation and depletion 1,036,403 1,054,978
Royalties 457,098 519,761
Others 1,411,260 1,238,923
Total 9,783,905 11,514,493

(i) Period adjusted according to note 4.

*Selling and administrative expenses*

Consolidated (unaudited) — Three-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
Personnel 286,487 380,181 591,754 736,893
Services (consulting, infrastructure and others) 136,510 231,219 280,486 424,504
Advertising and publicity 28,026 76,179 42,919 95,265
Depreciation and amortization 84,505 101,746 193,313 199,728
Travel expenses 17,409 41,851 28,013 74,717
Taxes and rents 19,788 5,571 37,251 19,748
Incentive 4,313 5,218 4,313 5,218
Others 39,617 109,643 107,946 238,928
Sales 54,499 255,117 131,529 346,127
Total 671,154 1,206,725 1,417,524 2,141,128
Parent company (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Personnel 366,427 477,568
Services (consulting, infrastructure and others) 175,329 217,814
Advertising and publicity 35,526 78,594
Depreciation and amortization 143,909 156,929
Travel expenses 15,965 39,530
Taxes and rents 11,726 14,537
Incentive 2,633 5,218
Others 4,561 96,372
Sales 6,353 57,641
Total 762,429 1,144,203

54

SEQ.=1,FOLIO='54',FILE='C:\JMS\kdefran\13-16947-1\task6184802\16947-1-ba-41.htm',USER='kdefran',CD='Aug 6 17:29 2013'

Table of Contents

(A free translation of the original in Portuguese)

*Others operational expenses (incomes), net, including research and development*

Consolidated (unaudited) — Three-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
Provision for loss with taxes credits (ICMS) 68,877 20,028 97,933 52,430
Provision for variable remuneration 65,192 90,455 185,202 385,847
Vale do Rio Doce Foundation - FVRD — 19,004 — 19,004
Provision for disposal of materials/inventories 26,556 49,587 306,052 86,711
Damage cost — 127,340 — 127,340
Research and development 323,193 707,938 676,875 1,234,495
Others 390,804 279,972 198,769 542,244
Total 874,622 1,294,324 1,464,831 2,448,071
Parent company (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
Provision for loss with taxes credits (ICMS) 83,326 49,383
Provision for variable remuneration 144,202 249,862
Vale do Rio Doce Foundation - FVRD — 19,124
Provision for disposal of materials/inventories 117,964 66,177
Research and development 379,089 665,696
Others 9,336 168,883
Total 733,917 1,219,125

*27. Financial result*

The financial results, by nature, are as follows:

Consolidated (unaudited)
Three-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
(i) (i)
Financial expenses
Interest (690,382 ) (639,017 ) (1,356,778 ) (1,237,254 )
Labor, tax and civil contingencies (97,586 ) (23,778 ) (131,896 ) (85,618 )
Derivatives (2,133,878 ) (919,869 ) (2,276,138 ) (928,504 )
Monetary and exchange rate variation (a) (5,530,196 ) (3,525,609 ) (6,132,141 ) (3,708,330 )
Stockholders’ debentures (174,623 ) (135,395 ) (515,315 ) (319,542 )
Financial taxes (907 ) (26,620 ) (4,478 ) (59,032 )
Others (151,967 ) (288,081 ) (306,859 ) (495,179 )
(8,779,539 ) (5,558,369 ) (10,723,605 ) (6,833,459 )
Financial income
Related parties — — — 27
Short-term investments 57,305 35,272 87,794 84,581
Derivatives 86,714 115,469 451,194 643,174
Monetary and exchange rate variation (b) 1,358,428 74,381 2,131,520 819,117
Others 273,686 196,198 383,688 354,576
1,776,133 421,320 3,054,196 1,901,475
Financial results, net (7,003,406 ) (5,137,049 ) (7,669,409 ) (4,931,984 )
Summary of Monetary and exchange rate
Cash and cash equivalents — 26 — 57,527
Loans and financing (5,148,460 ) (3,036,876 ) (4,525,143 ) (2,349,762 )
Related parties 14,198 54,940 21,190 36,426
Others 962,494 (469,318 ) 503,332 (633,404 )
Net (a + b) (4,171,768 ) (3,451,228 ) (4,000,621 ) (2,889,213 )

55

SEQ.=1,FOLIO='55',FILE='C:\JMS\kdefran\13-16947-1\task6184802\16947-1-ba-41.htm',USER='kdefran',CD='Aug 6 17:29 2013'

Table of Contents

(A free translation of the original in Portuguese)

Parent company (unaudited)
Six-month period ended
June 30, 2013 June 30, 2012
(i)
Financial expenses
Interest (1,394,943 ) (1,188,952 )
Labor, tax and civil contingencies (34,411 ) (81,468 )
Derivatives (1,694,250 ) (685,376 )
Monetary and exchange rate variation (a) (5,973,823 ) (3,604,315 )
Stockholders’ debentures (515,315 ) (319,542 )
Financial taxes (3,196 ) (56,973 )
Others (109,588 ) (258,325 )
(9,725,526 ) (6,194,951 )
Financial income
Related parties — 27
Short-term investments 58,237 59,190
Derivatives 294,187 272,927
Monetary and exchange rate variation (b) 2,426,438 699,492
Others 93,157 217,369
2,872,019 1,249,005
Financial results, net (6,853,507 ) (4,945,946 )
Summary of Monetary and exchange rate
Loans and financing (1,463,755 ) (544,355 )
Related parties (1,770,049 ) (2,155,504 )
Others (313,581 ) (204,964 )
Net (a + b) (3,547,385 ) (2,904,823 )

(i) Period adjusted according to note 4.

*28. Gold stream transaction*

In February 2013, the Company entered into a gold stream transaction with Silver Wheaton Corp. (“SLW”) to sell 25% of the gold extracted during the life of the mine as a byproduct of the Salobo copper mine and 70% of the gold extracted during the next 20 years as a byproduct of the Sudbury nickel mines.

We received up-front cash proceeds of US$1.9 billion (approximate R$3.8 billion) in march 2013, plus ten million warrants of SLW with exercise price of US$65 million exercisable in the next ten years, which fair value is US$ 100 million (approximate R$199 million). The amount of US$1,330 million (approximate R$2.64 million) was received for the Salobo transaction and US$570 million (approximate R$1,133 million) plus the ten million warrants of SLW were received for the Sudbury transaction.

In addition, as the gold is delivered to SLW, Vale will receive a payment equal to the lesser of: a) US$400 million per ounce of refined gold delivered, subject to an annual increase of 1% per year commencing on January 1, 2016 and each January 1st thereafter; and b) the reference market price on the date of delivery.

This transaction was bifurcated into two identifiable components of the transaction being: (i) the sale of the mineral rights for US$ 337 million and, (ii) the services for gold extraction on the portion in which Vale operates as an agent for SLW gold extraction.

The result of the sale of the mineral rights, was estimated in the amount of US$244 million (approximate R$492 million) and was recognized in the income statement under Other operating expenses, net, while the portion related to the provision of future services for gold extraction in the three month ended March 31, 2013, was estimated at US$1,393 million (approximate R$2,812 million) and is recorded as deferred revenue (liability) and will be recognized in the statement of income as the service is rendered and the gold extracted.

The deferred revenue will be recognized in the future based on the units of gold extracted compared to the total reserve of proven and probable gold reserves negotiated with SLW.

Defining the gain on sale of mineral interest and the deferred revenue portion of the transaction requires the use of critical accounting estimates as follow:

· Discount rates used to measure the present value of future inflows and outflows;

· Allocation of costs between the core products (copper and nickel) and gold based on relative prices;

· Expected margin for the independent elements (sale of mineral rights and service for gold extraction) based on our best estimative.

Changes in the assumptions above could significantly change the initial gain recognition.

56

SEQ.=1,FOLIO='56',FILE='C:\JMS\kdefran\13-16947-1\task6184802\16947-1-ba-41.htm',USER='kdefran',CD='Aug 6 17:29 2013'

Table of Contents

(A free translation of the original in Portuguese)

*29. Commitments*

*a) Nickel project — New Caledonia*

In regards to the construction and installation of our nickel plant in New Caledonia, we have provided guarantees in respect of our financing arrangements which are outlined below. In connection with the Girardin Act tax - advantaged lease financing arrangement sponsored by the French government, we provided guarantees to BNP Paribas for the benefit of the tax investors regarding certain payments due from Vale Nouvelle-Calédonie S.A.S. (“VNC”), associated with the Girardin Act lease financing. Consistent with our commitments, the assets were substantially complete as of December 31, 2012. We also committed that assets associated with the Girardin Act lease financing would operate for a five year period from then on and meet a specified production criterion which remains consistent with our current plans. We believe the likelihood of the guarantee being called upon is remote.

In October 2012, we entered into an agreement with Sumic, a stockholder in VNC, whereby Sumic agreed to a dilution in their interest in VNC from 21% to 14.5%. Sumic originally had a put option to sell to us the shares they own in VNC if the defined cost of the initial nickel project, as measured by funding provided to VNC, in natural currencies and converted to U.S. dollars at specified rates of exchange, exceeded R$10.3 billion and an agreement could not be reached on how to proceed with the project. On May 27, 2010 the threshold was reached and the put option discussion and decision period was extended. As a result of the October 2012 agreement, the trigger on the put option has been changed from a cost threshold to a production threshold. The put option has been deferred to the first quarter of 2015 which is the earliest that it can be exercised.

*b) Nickel Plant — Indonesia*

During 2012, our subsidiary PT Vale Indonesia Tbk ( PTVI), a public company in Indonesia, submitted its strategic growth plan to the local government as part of the process for the renewing its license for the Contract of Work (CoW). During the process, the government identified the following points for renegotiation: (1) size of the CoW area; (2) term and form of CoW extension; (3) financial obligations (royalties and taxes); (4) domestic processing and refining; (5) mandatory divestment; and (6) priority use of domestic goods and services. As part of the ongoing CoW renegotiations, PTVI submitted an updated growth strategy to high level government officials in June 2013. Until the renegotiation process is complete, PTVI is unable to fully determine to what extent the CoW will be affected. The operations of PTVI and the implementation of the growth strategy are partially dependent on the result of the renegotiation of the CoW.

*c) Nickel Plant — Canada*

On March 28, 2013, Vale Canada, Vale Newfoundland & Labrador Limited (“VNLL”) and the Province of Newfoundland and Labrador (“Province”) entered into a Fifth Amendment to the Voisey’s Bay Development Agreement, which governs all of our development and operations in the Province. Under the amendment, the Company has obtained additional time to complete the construction of the Long Harbour Processing Plant and reaffirmed its commitment to construct an underground mine at Voisey’s Bay, subject to certain terms and conditions. To maintain operational continuity at the Voisey’s Bay mine pending the completion of the construction and ramp-up of the Long Harbour Processing Plant, the Province has agreed to exempt an additional 84,000 tonnes of nickel-in-concentrate from the requirement to complete primary processing in the province, over and above the previous 440,000 limit. These exports may take place between 2013 and 2015. Additionally, during this period, if Vale Canada imports up to 15,000 tonnes of nickel-in-matte for early stage processing at the Long Harbour Processing Plant, then Vale Canada may be permitted a further exemption from the primary processing requirements, on a tonne-for-tonne basis. Vale has agreed to make certain payments to the Government in relation to the additional exemption utilized each year. In addition, Vale will build up a contingent liability, secured by letters of credit and other security, based on the additional exemption utilized in each year, which may become due and payable in the event that certain commitments in relation to the construction of the underground mine are delayed or not met.

In the course of our operations we have provided letters of credit and guarantees in the amount of R$1,886 million that are associated with items such as environment reclamation, asset retirement obligation commitments, insurance, electricity commitments, post-retirement benefits, community service commitments and import and export duties.

57

SEQ.=1,FOLIO='57',FILE='C:\JMS\kdefran\13-16947-1\task6184802\16947-1-ba-41.htm',USER='kdefran',CD='Aug 6 17:29 2013'

Table of Contents

(A free translation of the original in Portuguese)

*d) Participative Debentures*

During the period, there was no issuance of new debentures, or any change in the par value or the indicators affecting debentures issued.

On June 30, 2013 and December 31, 2012 the value of the debentures at fair value totaled R$3,885,389 e R$3,378,845, respectively. The Company paid on April 2013 the amount of R$13,171 as semi-annual compensation.

*e) Operating lease*

In July 2013, the Agencia Nacional de Transporte Terrestre (ANTT), under Resolution 4.131, authorized the subsidiary of general cargo, Ferrovia Centro-Atlântica S.A. (FCA) to return 3.800 km of track, which makes up the railroad under their current contract, 7 tracks are considered uneconomical and 6 tracks are economically viable. In contrast, FCA has commitment to invest in its regular rail R$ 934 million (US $ 411 million), over the remaining period of the concession.

*f) Concession Contracts and Sub–concession*

The contractual basis and deadlines for completion of concessions rail and port terminals are unchanged in the period.

*g) Guarantee issued to affiliates*

The Company provided corporate guarantees, within the limits of its participation, a line of credit acquired by associate North Energy from BNDES, Caixa Economica Federal and Banco BTG Pactual. On June 30, 2013 and December 31, 2012 the amount guaranteed by Vale was R$ 628,182 and R$ 188,272, respectively.

*30. Related parties*

The bases of transactions with relational remain the same as those disclosed in the financial statements of December 31, 2012. The balances of related party transactions and their effects on the financial statements may be identified as follows:

Consolidated
June 30, 2013 (unaudited) December 31, 2012
Assets Liabilities Assets Liabilities
Related Related Related Related
Customers parties Suppliers parties Customers parties Suppliers parties
Baovale Mineração S.A. 10,107 17,835 70,732 — 9,982 17,835 56,798 —
Companhia Coreano-Brasileira de Pelotização - KOBRASCO 6 11,129 27,605 39,203 — — 125 67,463
Companhia Hispano-Brasileira de Pelotização - HISPANOBRÁS 2,393 265 10,913 — 3,482 268 20,930 —
Companhia Ítalo-Brasileira de Pelotização - ITABRASCO 6 — — — 736 — — —
Companhia Nipo-Brasileira de Pelotização - NIBRASCO 12 — 28,998 219,426 3,642 — 1,194 355,867
Minas da Serra Geral S.A. 32 4,901 5,378 — 63 447 16,135 —
Mineração Rio do Norte S.A. 208 39,341 — — 11 10 — —
Mitsui Co. 41,325 — 25,620 — 43,974 — 93,269 —
MRS Logistica S.A. 16,848 119,422 51,923 — 17,470 68,381 81,347 —
Norsk Hydro ASA — 848,492 — 148,123 — 827,069 — 146,440
Samarco Mineração S.A. 72,831 1,082,968 54 — 67,669 369,446 — —
Others 111,371 367,746 26,769 1,195 125,694 335,317 22,688 6
Total 255,139 2,492,099 247,992 407,947 272,723 1,618,773 292,486 569,776
Current 255,139 1,933,350 247,992 260,242 272,723 786,202 292,486 423,336
Non-current — 558,749 — 147,705 — 832,571 — 146,440
Total 255,139 2,492,099 247,992 407,947 272,723 1,618,773 292,486 569,776

58

SEQ.=1,FOLIO='58',FILE='C:\JMS\kdefran\13-16947-1\task6184802\16947-1-ba-43.htm',USER='kdefran',CD='Aug 6 17:30 2013'

Table of Contents

(A free translation of the original in Portuguese)

Parent Company
June 30, 2013 (unaudited) December 31, 2012
Assets Liabilities Assets Liabilities
Related Related Related Related
Customers parties Suppliers parties Customers parties Suppliers parties
Baovale Mineração S.A. 10,107 17,835 70,732 — 9,982 17,835 56,798 —
Biopalma da Amazônia — 768,936 — — — 691,803 — —
Companhia Coreano-Brasileira de Pelotização - KOBRASCO 2 11,129 27,605 — — — 125 —
Companhia Hispano-Brasileira de Pelotização - HISPANOBRÁS 2,355 265 10,913 — 3,444 268 20,930 —
Companhia Ítalo-Brasileira de Pelotização - ITABRASCO 6 — — — 736 — — —
Companhia Nipo-Brasileira de Pelotização - NIBRASCO 12 — 28,998 21,201 3,642 — 1,194 21,201
Companhia Portuária Baía de Sepetiba - CPBS 764 269 75,933 — 807 — 256,110 —
Ferrovia Centro - Atlântica S.A. 14,827 — 11,404 6 4,724 22,728 11,024 6
Minerações Brasileiras Reunidas S.A. - MBR 8,900 239,340 234,461 — 5,361 186,072 244,290 —
Mineracao Corumbaense Reunida S.A. 155,912 330,213 — — 148,124 — — —
Mineração Rio do Norte S.A. 152 39,341 — — 323 10 12 —
Mitsui Co. — — 25,620 — — — 93,269 —
MRS Logistica S.A. 16,171 38,993 62,601 — 14,427 27,806 92,377 —
Samarco Mineração S.A. 72,793 1,082,968 54 — 67,669 369,446 — —
Salobo Metais S.A. 26,553 — 8 — 20,401 — 1,832 —
Vale International S.A. 16,981,089 153,032 981 37,522,685 20,748,674 486,328 1,147 35,764,129
Vale Manganês S.A. 19,211 341 — — 11,635 — — —
Vale Mina do Azul 109,377 14,873 — — 87,250 394 — —
Vale Operações Ferroviarias 561,833 — 26,435 201,047 110,942 — 21,509 —
Vale Potassio Nordeste 10,772 — 4,350 — 49,469 29 41,135 —
Others 134,176 232,885 132,283 1,485 154,083 408,759 129,213 10,818
Total 18,125,012 2,930,420 712,378 37,746,424 21,441,693 2,211,478 970,965 35,796,154
Current 18,125,012 1,977,980 712,378 4,468,405 21,441,693 1,347,488 970,965 6,433,629
Non-current — 952,440 — 33,278,019 — 863,990 — 29,362,525
Total 18,125,012 2,930,420 712,378 37,746,424 21,441,693 2,211,478 970,965 35,796,154
Consolidated (unaudited)
Income Cost/ expense Financial Income (expense)
Three-month period ended Three-month period ended Three-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
Baovale Mineração S.A. — — 11,145 10,367 — —
Companhia Coreano-Brasileira de Pelotização - KOBRASCO — — 19,010 41,349 — —
Companhia Hispano-Brasileira de Pelotização - HISPANOBRÁS — 186,407 6,821 234,210 5 27,060
Companhia Ítalo-Brasileira de Pelotização - ITABRASCO — — 21,174 12,745 — —
Companhia Nipo-Brasileira de Pelotização - NIBRASCO — — 1,682 21,229 — —
Log-in S.A. — 17 2,015 — — —
Mineração Rio do Norte S.A. 18 17 — — — —
Mitsui & Co Ltd 55,863 — 25,620 11,373 2 —
MRS Logistica S.A. 983 7,664 368,922 361,300 — —
Samarco Mineração S.A. 289,599 167,834 — — — 228
Vale Austrália Pty Ltd. — — — — 22,148 —
Others 188,076 — 202,364 10,497 (6,291 ) 44,103
Total 534,539 361,939 658,753 703,070 15,864 71,391
Consolidated (unaudited) — Income Cost/ expense Financial Income (expense)
Six-month period ended Six-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
Baovale Mineração S.A. — — 22,290 20,735 — —
Companhia Coreano-Brasileira de Pelotização - KOBRASCO — 267 27,568 132,213 — 7
Companhia Hispano-Brasileira de Pelotização - HISPANOBRÁS — 449,611 8,535 424,778 4 27,060
Companhia Ítalo-Brasileira de Pelotização - ITABRASCO — — 29,021 25,664 — 9
Companhia Nipo-Brasileira de Pelotização - NIBRASCO — — 11,439 55,298 — 11
Log-in S.A. — 51 3,874 — — —
Mineração Rio do Norte S.A. 40 34 — — — —
Mitsui & Co Ltd 110,183 — 71,817 28,934 2 —
MRS Logistica S.A. 5,987 14,759 657,650 680,012 — —
Samarco Mineração S.A. 446,486 338,801 — — — 168
Vale Austrália Pty Ltd. — — — — 22,148 —
Others 266,331 4,563 263,825 18,194 2,140 32,230
Total 829,027 808,086 1,096,019 1,385,828 24,294 59,485

59

SEQ.=1,FOLIO='59',FILE='C:\JMS\kdefran\13-16947-1\task6184802\16947-1-ba-43.htm',USER='kdefran',CD='Aug 6 17:30 2013'

Table of Contents

(A free translation of the original in Portuguese)

Parent Company (unaudited)
Income Cost/ expense Financial Income (expense)
Six-month period ended Six-month period ended Six-month period ended
June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012 June 30, 2013 June 30, 2012
Baovale Mineração S.A. — — 22,290 20,735 — —
Biopalma da Amazonia S.A. — — — — — 67,160
Companhia Coreano-Brasileira de Pelotização - KOBRASCO — 267 27,568 89,112 — —
Companhia Hispano-Brasileira de Pelotização - HISPANOBRÁS — 433,791 8,535 424,778 4 27,060
Companhia Ítalo-Brasileira de Pelotização - ITABRASCO — — 11,439 25,664 — —
Companhia Nipo-Brasileira de Pelotização - NIBRASCO — — 29,021 55,298 — —
Companhia Portuária Baia de Sepetiba - CPBS — — 183,509 185,420 — —
Ferrovia Centro - Atlântica S.A. 58,380 51,085 56,441 35,854 — (4,899 )
Ferrovia Norte Sul S.A. 5,788 629 327 — — —
Mineração Brasileiras Reunidas S.A. - MBR 4,499 5,248 359,370 370,510 — 4,945
Mitsui & Co Ltd — — 71,817 28,934 2 —
MRS Logistica S.A. 3,499 11,496 647,457 674,806 — —
Samarco Mineração S.A. 446,449 337,084 — — — 168
Sociedad Contractual Minera Tres Valles — — — — — 1,114
Vale Canada Limited — 3,865 — — — 1,330
Vale Colombia Holdings — — — 11,918 — —
Vale Energia S.A. 2,186 — 101,193 166,959 — —
Vale International S.A. 25,080,118 23,889,571 — — — (592,985 )
Vale Manganês 3,302 6,887 — — — —
Vale Mina do Azul 25,535 27,588 — 20,178 — —
Vale Operações Ferroviárias 493,267 114,849 — — — —
Vale Operações Portuárias 10,761 17,041 — — — —
Others 10,460 27,272 16,879 23,267 24,289 (724 )
Total 26,144,244 24,926,673 1,535,846 2,133,433 24,295 (496,831 )

Remuneration of key management personnel:

Six-month period ended — June 30, 2013 June 30, 2012
Short–term benefits: 38,407 44,217
Wages or pro–labor 11,032 9,489
Direct and indirect benefits 8,962 14,031
Bonus 18,414 20,697
Long–term benefits:
Based on stock 2,393 16,774
Termination of position 1,182 12,177
41,982 73,168

60

SEQ.=1,FOLIO='60',FILE='C:\JMS\kdefran\13-16947-1\task6184802\16947-1-ba-43.htm',USER='kdefran',CD='Aug 6 17:30 2013'

Table of Contents

(A free translation of the original in Portuguese)

*32 - Board of Directors, Fiscal Council, Advisory committees and Executive Officers*

Board of Directors Governance and Sustainability Committee
Gilmar Dalilo Cezar Wanderley
Dan Antônio Marinho Conrado Renato da Cruz Gomes
Chairman Ricardo Simonsen
Tatiana Boavista Barros Heil
Mário da Silveira Teixeira Júnior
Vice-President Fiscal Council
Fuminobu Kawashima Marcelo Amaral Moraes
João Batista Cavaglieri Chairman
José Mauro Mettrau Carneiro da Cunha
Luciano Galvão Coutinho Aníbal Moreira dos Santos
Marcel Juviniano Barros Antonio Henrique Pinheiro Silveira
Nelson Henrique Barbosa Filho Arnaldo José Vollet
Oscar Augusto de Camargo Filho
Renato da Cruz Gomes Alternate
Robson Rocha Oswaldo Mário Pêgo de Amorim Azevedo
Paulo Fontoura Valle
Alternate Valeriano Gomes
Caio Marcelo de Medeiros Melo
Eduardo de Oliveira Rodrigues Filho Executive Officers
Eduardo Fernando Jardim Pinto
Francisco Ferreira Alexandre Murilo Pinto de Oliveira Ferreira
Hidehiro Takahashi Chief Executive Officer
Hayton Jurema da Rocha
Luiz Carlos de Freitas Vânia Lucia Chaves Somavilla
Luiz Maurício Leuzinger Executive Officer (Human Resources, Health & Safety and Energy)
Marco Geovanne Tobias da Silva
Sandro Kohler Marcondes Luciano Siani Pires
Chief Financial Officer and Investors Relations
Advisory Committees of the Board of Directors
Roger Allan Downey
Controlling Committee Executive Officer (Fertilizers and Coal)
Luiz Carlos de Freitas
Paulo Ricardo Ultra Soares José Carlos Martins
Paulo Roberto Ferreira de Medeiros Executive Officer (Ferrous and Strategy)
Executive Development Committee Galib Abrahão Chaim
Laura Bedeschi Rego de Mattos Executive Officer (Capital Projects Implementation)
Luiz Maurício Leuzinger
Marcel Juviniano Barros Humberto Ramos de Freitas
Oscar Augusto de Camargo Filho Executive Officer (Logistics and Mineral Research)
Strategic Committee Gerd Peter Poppinga
Murilo Pinto de Oliveira Ferreira Executive Officer (Base Metals and Information Technology)
Dan Antônio Marinho Conrado
Luciano Galvão Coutinho
Mário da Silveira Teixeira Júnior
Oscar Augusto de Camargo Filho Marcelo Botelho Rodrigues
Global Controller Director
Finance Committee
Luciano Siani Pires Marcus Vinicius Dias Severini
Eduardo de Oliveira Rodrigues Filho Chief Officer of Accounting and Control Department
Luciana Freitas Rodrigues CRC-RJ - 093982/O-3
Luiz Maurício Leuzinger
Vera Lucia de Almeida Pereira Elias
Chief Accountant
CRC-RJ - 043059/O-8

61

SEQ.=1,FOLIO='61',FILE='C:\JMS\kdefran\13-16947-1\task6184802\16947-1-ba-43.htm',USER='kdefran',CD='Aug 6 17:30 2013'

Table of Contents

*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.
(Registrant)
By: /s/ Roberto Castello Branco
Date: August 7, 2013 Roberto Castello Branco
Director of Investor Relations

62

SEQ.=1,FOLIO='62',FILE='C:\JMS\105537\13-16947-1\task6177387\16947-1-ba-45.htm',USER='105537',CD='Aug 4 03:34 2013'

More from Vale S.A.

Report Publication Announcement 2026
May 21
Regulatory Filings 2026
May 13
Regulatory Filings 2026
May 12
Regulatory Filings 2026
May 12
Regulatory Filings 2026
Apr 30
Regulatory Filings 2026
Apr 29
Investor Presentation 2026
Apr 29
Regulatory Filings 2026
Apr 29
Regulatory Filings 2026
Apr 29
Regulatory Filings 2026
Apr 22
View all filings →