BofA Merrill Lynch's Brazil Conference March 22, 2012

DISCLAIMER

The Company makes forward looking statements that are subject to risks anduncertainties. These statements are based on the beliefs and assumptions of our management as wellas on information currently available to us. Forward-looking statements include information regarding ourcurrent intent, beliefs or expectations, in addition to those of the members of the Board of Directors andExecutive Officers of the Company.

Forward-looking statements also include information regarding our possible or assumed future operatingresults, as well as statements preceded or followed by, or that include, the words ''believes”, ''may”,''will”, ''continues”, ''expects”, ''anticipates”, ''intends”, ''plans”, ''estimates”, or similarexpressions.

Forward-looking statements are not guarantees of performance. They involve risks, uncertainties andassumptions, for they relate to future events, thus depending on circumstances that may or may notoccur. Our future results and the creation of value to shareholder s may differ significantly from thoseexpressed in or suggested by these forward-looking statements. Many factors determining theseresults and values are beyond Cielo’s ability to control or predict.

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BRAZIL | CARD INDUSTRY

3

17.1%18.9%

20.7%22.5%

24.3%

26.9%

2006 2007 2008 2009 2010 2011*

Penetration Of Cards as Means of Payment in the Private Consumption Expenditure (PCE)

Source: ABECS e IBGE* 2011 ( the Q4 numbers are estimated)

28.6%

28.6%

42.4%

0.3%

Banco Bradesco Banco do Brasil

Free-float Treasury

545.913.520 common shares

4

CIELO | OWNERSHIP

UPCOMING SOON

VO

UC

HER

CR

EDIT

AN

D D

EBIT

CIELO | PORTFOLIO OF BRANDS

5

CIELO | PLANNING MATRIX

6

Partnership with

Cybersource

Cielo Fidelidadeis the only loyaltyprogram developedexclusively to merchants

Scheme: accrual of pointsbased on the merchant’svolume with Cielo andredemption of points formore than 20 thousand products

Cielo Fidelidadeis the largest B2Bloyalty program inLatin America

CIELO | LOYALTY PROGRAM

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CIELO PREMIA IS THE MOST

AND BRINGS AN ADVANCED TECHNOLOGYCHANGING THE CULTURE OF CARRYING OUTPROMOTIONS AT THE POINT S OF SALES

FLEXIBLE AND THE EASIEST TO USE

PROMOTIONAL MARKETING TOOL

IN THE MARKET

CIELO INNOVATES ONE MORE TIME

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CIELO | ADDING VALUE TO MERCHANTS

SURPRISES

ENGAGES

SEGMENTS

MANAGES

The card owner with a differentiatedpayment experience

The card owner through multiplegifts and discounts

The promotion according to your needs (Bank/Card Brand/Card type/Purchasing option: Debit or Credit)

The promotion automaticallyreducing operational costs strongly

CIELO | PREMIA’S MAIN ADVANTAGES

9

IT GIVES THE CLIENT

ON A SPECIFIC DAY / TIMEA GIFT OR A DISCOUNT

ADVANTAGES TO

IT INCREASES THE RETURN

FREQUENCY ON A DAYWITH LOW MOVEMENT

CIELO CLIENT

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CIELO | FIXED DAY AND TIME

*** CONGRATULATIONS!***

DISCOUNT TO YOU

10% discount

At the end of the day

On Mondays

PRIZE BALANCE

--------------------------

EXPIRING DATE: 01/31/2011

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CIELO | FIXED DAY AND TIME

CIELO | INNOVATIVE PRODUCTS

12

Unprecedented payment solution

application in Brazil for iPhone, iPad and

iPod touch as well as Android system

Devices used as POS terminal for mobile

payment with Visa, MasterCard,

American Express and Elo cards

In April Cielo Mobile Blackberry will be

launched

CIELO | ORIZON AQUISITION

Founded in 2006

Ownership interest of 40.95%;

Interconnection between healthcare and dental operators and services

providers

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Financial Indicators 4Q11 4Q10 4Q11 X 4Q10 3Q11 4Q11 X 3Q11

Financial Volume(R$ million)

91,252.7 74,079.8 23.2% 79,775.2 14.4%

Transaction(million)

1,301.8 1,108.3 17.5% 1,167.0 11.6%

Net Revenue*(R$ million)

1,383.1 1,147.9 20.5% 1,210.9 14.2%

Cost of Services(R$ million)

(405.7) (354.6) 14.4% (365.6) 11.0%

Operating Expenses(R$ million)

(207.9) (130.4) 59.4% (165.8) 25.4%

Adjusted EBITDA(R$ million)

833.2 715.9 16.4% 741.2 12.4%

Net Income(R$ million)

504.5 443.3 13.8% 457.5 10.3%

Blended Net MDR (bps)

105 110 (5) 103 2

Credit Net MDR (bps) 119 132 (12) 118 1

Debit Net MDR (bps) 81 77 4 77 4

CIELO | FINANCIAL INDICATORS

14* Including prepayment of receivables present value adjusted

Financial Indicators 2011 2010 2011 X 2010

Financial Volume(R$ million)

315,856.2 261,675.3 20.7%

Transaction(million)

4.621,6 4,038.7 14.4%

Net Revenue*(R$ million)

4.795,4 4.354,4 10.1%

Cost of Services(R$ million)

(1.425,2) (1.180,8) 20.7%

Operating Expenses(R$ million)

(632.7) (441.0) 43.5%

Adjusted EBITDA(R$ million)

2,975.2 2,925.8 1.7%

Net Income(R$ million)

1,810.3 1,829.3 -1.0%

Blended Net MDR (bps) 103 119 (16)

Credit Net MDR (bps) 119 142 (23)

Debit Net MDR (bps) 77 80 (3)

CIELO | FINANCIAL INDICATORS

15* Including prepayment of receivables present value adjusted

CIELO | OPERATING PERFORMANCE

16

5.2%

CAGR: 23.3%CAGR: 17.9%

136,500

315,856

175,552

213,958

261,675

23.2%

74,080 91,2531,108

2,389

2,952

3,427

4,622

4,039

1,302

17.5%

1.403 1.720 2.003 2.323 2.658

621 730

9871,232

1.4241.716

1.964

487 572

2007 2008 2009 2010 2011 4Q10 4Q11

Cielo- Number of Transactions (millions)

Credit Debit

87.966 110.897 134.792 162.933

197.541

44.917 56.034

48.534

64.655

79.166

98.742

118.315

29.163 35.219

2007 2008 2009 2010 2011 4Q10 4Q11

Cielo- Financial Volume (R$ millions)

Credit cards Debit cards

824

9961.133 1.140

1.1991.140

1.199

2007 2008 2009 2010 2011 4T10 4T11

Cielo- Number of Active Merchants ( 1 transaction in the last 60 days)

CIELO | MERCHANTS BREAKDOWN

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61% 60% 61% 59% 59%

39% 40% 39% 41% 41%

4Q10 1Q11 2Q11 3Q11 4Q11

Financial Volume

Large Merchants Small and Medium Merchants

33% 33% 34% 33% 32%

67% 67% 66% 67% 68%

4Q10 1Q11 2Q11 3Q11 4Q11

Revenue(*)

Large Merchants Small and Medium Merchants

(*) Comissions revenue (credit, debit and equipment rental)

CIELO | FAIR SHARE

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Source : Earnings reported by the acquiring companiesOthers = Redecard e Santander/GetNet

Financial Volume Breakdown (in R$)

Considering the 2 main participants, Cielo gained 1.6 p.p. quarter-on-quarter

Considering the top three participants, Cielo gained 1.3 p.p. quarter-on-quarter

59,6% 56,9% 57,2% 57,7% 57,9% 59,5%

40,4% 43,1% 42,8% 42,3% 42,1% 40,5%

3Q10 4Q10 1Q11 2Q11 3Q11 4Q11

Cielo Redecard

59.4% 56.3% 56.4% 56.7% 56.7% 58,0%

40.6%43.7% 43.6% 43.3%

43.3%42,0%

3Q10 4Q10 1Q11 2Q11 3Q11 4Q11

Cielo Others

CIELO | REVENUES BREAKDOWN

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5.5% 6.1% 6.3% 6.6% 6.4%

8.6% 9.8% 11.0% 11.6% 11.7%

21.7% 22.5% 21.5% 20.4% 19.4%

17.7% 16.4% 16.6% 16.9% 18.7%

46.5% 45.2% 44.6% 44.6% 43.8%

4Q10 1Q11 2Q11 3Q11 4Q11

Revenue- Activity (%)

Credit cards Debit cardsPOS Rental Prepayment of ReceivablesOther revenues

4.6% 3.9% 3.4% 3.9% 6.3%0.0% 0.5% 4.5% 7.5%

11.1%

27.8% 27.9%26.4%

24.3%20.8%

15.0% 16.0% 15.8% 16.3%17.3%

52.6% 51.6% 49.9% 48.1% 44.5%

2007 2008 2009 2010 2011

Revenue- Activity (%)

Credit cards Debit cardsPOS Rental Prepayment of ReceivablesOther revenues

CIELO | REVENUES

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POS 4Q10 1Q11 2Q11 3Q11 4Q11

AverageRental(R$/month)

72 69 65 65 67

Installed POS (thousand) 1,277 1,293 1,351 1,402 1,484

MDR 4Q10 1Q11 2Q11 3Q11 4Q11

Net MDR Debit

77 76 74 77 81

Net MDR Credit

132 122 117 118 119

CAGR: 15.9%

17.1%

CAGR: 10.2%

7.5%

1,810.7

2,184.8

2,649.9

3,103.2

815.8955.4

3,268.4

1.409,31.666,9

2.012,02.317,8 2.354,6

590,8 669,0

401,3

517,9

637,9

785,4913,8

225,1286,4

2007 2008 2009 2010 2011 4Q10 4Q11

Commissions Revenues (R$ million)

Credit Debit

745,9

903,1

1.067,1

1.169,9

1.101,9

275,5 296,1

2007 2008 2009 2010 2011 4Q10 4Q11

Equipment Rental (R$ million)

CIELO | PREPAYMENT OF RECEIVABLES

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61.7%

20.8%

3.016,73.236,9 3.376,9

3.894,6

4.899,2

6,7%7,3%

7.2%7,7%

8.7%

0,0%

1,0%

2,0%

3,0%

4,0%

5,0%

6,0%

7,0%

8,0%

9,0%

10,0%

11,0%

12,0%

13,0%

14,0%

15,0%

16,0%

17,0%

18,0%

19,0%

20,0%

-

1.000,0

2.000,0

3.000,0

4.000,0

5.000,0

6.000,0

4Q10 1Q11 2Q11 3Q11 4Q11

Prepayment of Receivables

Financial prepayment volume

% Prepayment over Credit Financial Volume

66,162,9

58,5 56,0 55,8

4Q10 1Q11 2Q11 3Q11 4Q11

Average Term (days)

119,4 120,8137,7

159,9

193,1

4Q10 1Q11 2Q11 3Q11 4Q11

Revenue of Prepayment of Receivables ex Adjustments (R$ million)

CIELO | COSTS

22

The impact of the unit costexcluding the subsidiaries andthe additional brands fee wasa reduction of 9.6%

If the impact of depreciation is eliminated in the sameanalysis, the reduction wouldhave been 11.8%

Costs of services rendered

Depreciation and amortization

0.312 0.264 0.291

Unit per transaction

0.027 0.021

The impact of the unit costexcluding the subsidiaries andthe additional brands fee wasa increase of 2.0%

If the impact of depreciation is eliminated in the sameanalysis, the increase wouldhave been 4.1%

0.312 0.283 0.2770.027 0.002

405.8

343.2323.1

405.8

323.3367.8

343,4 280,8 271,0

62,4 35,7

26,8 62,4 52,1

4Q11 Reported Costs related to subsidiaries

Additional brands fee

4Q11 Adjusted 4Q10 Adjusted

Costs Comparison 4Q11 X 4Q10 (R$ million)

343,4 305,4

262,9

62,4 35,7

2,2 62,4

60,4

4Q11 Reported Costs related to subsidiaries

Additional brands fee

4Q11 Adjusted 3Q11 Adjusted

Costs Comparison 4Q11 X 3Q11 (R$ million)

9.6%

2.0%

6.2%

13.7%

CIELO | COSTS

23

The impact of the unit costexcluding the subsidiaries andthe additional brands fee was a reduction of 7.1%

If the impact of depreciation is eliminated in the same analysis, the reduction would have been10.0%

Costs of services rendered

Depreciation and amortization

0.308 0.256 0.275

Unit per transaction

0.033 0.020

1,425.2

1,181.9

1,111.3

1.192,2

948,8 921,2

233,0

152,7

90,6 233,0 190,1

2011 Reported Costs related to subsidiaries

Additional brands fee 2011 Adjusted 2010 Adjusted

Costs Comparison 2011 X 2010 (R$ million)

7.1%

6.4%

CIELO | OPERATING EXPENSES

24

In both comparison(4Q10 x 4Q11 and3Q11 x 4Q11), themain impact for theincrease was due to marketing and salesexpenses:

• campaigns withpartner banks;•Joint Cielo/Elo campaigns;•Actions with major gas station chains;•Actions withfranchisers;•Cielo Fidelidade;•Institutionalmarketing in different media

130,4

207.9

43,815,7

11,8 5,8 0.4

4Q10 Marketing and Sales Expenses

Other Expenses Personnel General and Administratives

Depreciation and

Amortization

4Q11

Operating Expenses Composition- 4Q10 to 4Q11 (R$ million)

165,8207.9

37,0 8,23,2 0,2

(6.5)

3Q11 Marketing and Sales Expenses

General and Administratives

Personnel Depreciation and

Amortization

Other Expenses 4Q11

Operating Expenses Composition- 3Q11 to 4Q11 (R$ million)

CIELO | OPERATING EXPENSES

25

In the comparison(2011 x2010),themain impact for theincrease in theexpenses were dueto:

• other expenses –provisions for taxand labor contingencies;

• marketing andsales–campaignswith partners (banksand clients) andloyalty programs to clients

441,0

632.8

61,2 51,2

40,537,3 1.5

2010 Marketing and Sales Expenses

Other Expenses General and Administratives

Personnel Depreciation and

Amortization

2011

Operating Expenses Composition- 2010 to 2011 (R$ million)

CIELO | FINANCIAL PERFORMANCE

26

16.4%

CAGR:19.6%

Adjusted EBITDA (R$ million) Net Income (R$ million)

13.8%

CAGR: 20.5%

1.409,5

1.764,3

2.450,7

2.925,92.975,2

59%61%

68% 67%

62%

45,00%

50,00%

55,00%

60,00%

65,00%

70,00%

75,00%

0,0

500,0

1.000,0

1.500,0

2.000,0

2.500,0

3.000,0

3.500,0

2007 2008 2009 2010 2011

Adjusted EBITDA

715,9

833,2

62%

60%

45,00%

50,00%

55,00%

60,00%

65,00%

70,00%

75,00%

0,0

100,0

200,0

300,0

400,0

500,0

600,0

700,0

800,0

900,0

4Q10 4Q11Adjusted EBITDA Margin

883,9

1.115,3

1.536,7

1.829,3 1.810,3

37%39%

42% 42%

38%

25,00%

30,00%

35,00%

40,00%

45,00%

50,00%

55,00%

60,00%

0,0

200,0

400,0

600,0

800,0

1.000,0

1.200,0

1.400,0

1.600,0

1.800,0

2.000,0

2007 2008 2009 2010 2011

Net Income

443,3

504,5

39%37%

25,00%

30,00%

35,00%

40,00%

45,00%

50,00%

55,00%

60,00%

0,0

100,0

200,0

300,0

400,0

500,0

600,0

4Q10 4Q11

Net Margin

Investor Relations Contacts:

www.cielo.com.br/ri

Email: ri@cielo.com.br

Phone.: + 55 11 2596 1701