Banco Bradesco Announces First Half 2009 Earnings Results

SAO PAULO, Aug. 3 /PRNewswire-FirstCall/ -- Banco Bradesco S.A. (NYSE: BBD) announces First Half 2009 Earnings Results.

The main figures obtained by Bradesco in 1H09 are presented below:

1. Net Income for 1H09 totaled R$4.020 billion (a 2.8% variation relative to the adjusted net income of R$3,909 billion y-o-y), corresponding to EPS of R$2.52 (accumulated over 12 months) and a 23.7% annualized return on Average Shareholders' Equity (1).

2. Net income comprised R$2.732 billion from financial activities, which represented 68% of the total, and R$1.288 billion from Insurance and Private Pension Plan activities, which accounted for 32% of total Net Income.

3. Bradesco's market capitalization as of June 30, 2009 stood at R$81.301 billion. We highlight that its preferred shares increased by 28.7% during 1H09.

4. Total Assets reached R$482.478 billion in June 2009, an increase of 19.7% vis-a-vis 2008. Annualized return on average Assets reached 1.7%, vis-a-vis 2.1% in the same period of last year.

5. The Total Loan Portfolio(2) stood at R$212.768 billion in June 2009, 18.1% higher on a y-o-y analysis. Operations with individuals totaled R$74.288 billion (up by 13.2%), while loans to corporations totaled R$138.480 billion (up by 20.9%).

6. Assets under Management reached R$647.574 billion, an increase of 17.6% vis-a-vis R$550.582 billion of June 2008.

7. Shareholders' Equity stood at R$37.277 billion in June 2009, a 10.6% y-o-y growth. The Capital Adequacy Ratio (Basel II) stood at 17.0% in June 2009, 14.3% of which being Tier I Capital.

8. In 1H09, shareholders were paid, in the form of Interest on Shareholders' Capital and Dividends, R$3.253 billion, R$1.372 million of which referred to income generated in the period (R$210 million paid monthly and R$1.162 million provisioned) and R$1.881 billion referred to the year 2008 (monthly payment of R$39 million paid on January 1st, 2009 and supplementary payments of R$1.842 billion paid on March 9, 2009).

9. The Efficiency Ratio(3) in June 2009 stood at 42.0% (42.6% in June 2008).

10. In the half-year, investments in infrastructure, IT and telecommunications amounted to R$1.616 billion, up by 43.4% y-o-y.

11. In the period, taxes and contributions, including social security, paid or provisioned, calculated based on the main activities developed by the Bradesco Organization in 1H09, amounted to R$4.185 billion, equivalent to 104.1% of Net Income. Financial intermediation taxes withheld and paid by the Organization amounted to R$2.950 billion.

12. Bradesco has a comprehensive distribution network of 4,598 Branches (3,406 branches + 1,192 mini-branches-PABs), 30,191 ATMs in the Bradesco Dia&Noite (Day&Night) Network, 17,699 Bradesco Expresso outlets, 6,011 Banco Postal (Postal Bank) Branches, 2,788 PAEs and 64 branches of Finasa Promotora de Vendas. In addition, 6,239 ATMs in the Banco24Horas (24HourBank) Network are available to Bradesco clients.

13. In the half-year ended in June 2009, fixed personnel compensation plus charges and benefits totaled R$3.285 billion. Social benefits provided to the 85,871 employees of Bradesco Organization and their dependents stood at R$719.485 million. Regarding investments in development and training programs, expenditures reached R$42.943 million.

14. In June 2009, Banco Bradesco partially sold its participation in the Companhia Brasileira de Meios de Pagamento (VisaNet Brasil), in the process related to the Secondary Public Offering of Common Shares, regarded as Brazil's biggest ever IPO.

15. In June 2009, Banco Bradesco, entered into a "Private Instrument of Share Merger and Other Covenants" with controlling shareholders of Banco ibi S.A., aiming at the acquisition of all its capital stock and, at the same time, signed a 20-year Partnership Agreement with C&A Modas Ltda. to jointly trade, on an exclusive basis, financial products and services of Bradesco in C&A stores. The completion of the operation is subject to the approval by the relevant bodies. The amount of operation, nearly R$1.4 billion, will be paid upon the delivery of shares issued by Bradesco.

16. Awards and Acknowledgements received in 2Q09:

* Brazilian financial institution best ranked among the world's top 500 largest companies (Fortune Magazine);

* Single Brazilian brand included in the ranking of the world's top 100 most valuable brands and for the 3rd consecutive year, Bradesco is Brazil's most valuable brand (Millward Brown consulting firm);

* Single bank among Brazil's 25 most leading-edge companies (Epoca magazine);

* Bradesco is Brazil's leading IT company (INFO Exame magazine);

* Ranked 1st in E-finance 2009 Award (Executivos Financeiros magazine);

* Bradesco Seguros e Previdencia (Insurance Group) was elected "Brazil's Best Insurance Company in 2009" (Euromoney magazine);

* For the 2nd consecutive year, Bradesco Seguros e Previdencia was elected the Best Insurance Company in South America (World Finance magazine);

* Grupo Bradesco Seguros e Previdencia (Insurance Group) was elected Brazil's Best Insurance Group and the best company in the Sustainability and Social Responsibility category (Fundacao Getulio Vargas); and

* Bradesco Saude earned the Best Health Insurance Company award (Fundacao Getulio Vargas).

17. Regarding Sustainability, we have directed Bradesco's actions into three pillars: (i) Sustainable Finances, aimed at bank inclusion, social and environmental variables for loan granting and offer of social and environmental products; (ii) Responsible Management, with emphasis in employee valuation, work environment improvement and eco-efficient practices; and (iii) Social and Environmental Investments, aimed at education, the environment, culture and sports. We highlight Fundacao Bradesco, which has been developing a broad social and educational program for over 52 years, maintaining 40 schools in Brazil. In 2009, with a budget estimated at R$231.3 million, Fundacao Bradesco will be able to service over 642 thousand people, 111 thousand (4) of which are students who will receive free-of-charge quality education.

(1) Excluding the assets valuation adjustment recorded in Shareholders' Equity;

(2) Considering Sureties and Guarantees, advance of credit cards receivables and loan assignment (Receivables Securitization Funds - FIDC and Certificates of Real Estate Receivables - CRI);

    (3) Accumulated over 12 months; and
    (4) Forecast.

    Contact:
    Jean Philippe Leroy
    4823.jean@bradesco.com.br

    Ivani Benazzi de Andrade
    4823.ivani@bradesco.com.br

    Banco Bradesco S/A
    55 11 2178.6201
    55 11 2178.6218

SOURCE Banco Bradesco S.A.