Brazil Market Update and Trade Show Webinar July 25, 2006.

Brazil Market Update and Trade Show Webinar

July 25, 2006

WEBINAR AGENDAIntroduction Mario WintersteinMarket Update Mario WintersteinFEIMAFE 2007 Mario WintersteinAMT Show Services John KriskoMarketing Services Mario WintersteinQ & A

Brazilian Market Update

Agricultural Equipment

44339

52010

61026

96418

52871

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Agricultural Machinery

Production (Units)

Aerospace

Source: Embraer Annual Report, 2004

Source: Embraer Annual Report, 2004

Cars and Trucks

1501586214936

1520285179861

1505139216702

1862780318351

2009484365648

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Cars

Light Trucks

Production (Units)

Cars and Trucks

Trucks and Buses

7743123163

6855822826

7896026990

10733828758

11789235266

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Trucks

Buses

Production (Units)

Trucks and Buses

Motorcycles

753159

841469

954620

1057333

1213517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Motorcycles

Production (Units)

Transportation Pie Chart

2009484

365648

117892

35266

1213517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Transportation Industry Production (Units) 2005

Electronics

687686978653

167012062424231

124211533816180

84261031911607

87601300616971

Source: Brazil Electrical and Electronics Industry Association (07/19/06)

2003

2004

2005 (Estimate)

Revenues (R$ Millions)

Electronics and Appliances

Data

Brazil End User Statistics

Transportation

Production (Units)20012002200320042005

Cars1,501,5861,520,2851,505,1391,862,7802,009,484

Light Trucks214,936179,861216,702318,351365,648

Trucks77,43168,55878,960107,338117,892

Buses23,16322,82626,99028,75835,266

Agricultural Machinery44,33952,01061,02696,41852,871

Motorcycles753,159841,469954,6201,057,3331,213,517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Electronics - Revenues by Segment (R$ millions)

200320042005*05*/04(%)

Components6,8768,6978,653-1

Computers16,70120,62424,23117

Electrical Supplies4,5935,9476,57110

Home Appliances12,42115,33816,1805

Industrial Automation1,7212,0902,45617

Industrial Equipment8,42610,31911,60712

Power Generation, Transmission and Distribution4,4495,5817,28230

Telecommunications8,76013,00616,97130

Source: Brazil Electrical and Electronics Industry Association (07/19/2006)

Agricultural Equipment

44339

52010

61026

96418

52871

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Agricultural Machinery

Production (Units)

Aerospace

Source: Embraer Annual Report, 2004

Source: Embraer Annual Report, 2004

Cars and Trucks

1501586214936

1520285179861

1505139216702

1862780318351

2009484365648

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Cars

Light Trucks

Production (Units)

Cars and Trucks

Trucks and Buses

7743123163

6855822826

7896026990

10733828758

11789235266

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Trucks

Buses

Production (Units)

Trucks and Buses

Motorcycles

753159

841469

954620

1057333

1213517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Motorcycles

Production (Units)

Transportation Pie Chart

2009484

365648

117892

35266

1213517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Transportation Production (Units) 2005

Electronics

687686978653

167012062424231

124211533816180

84261031911607

87601300616971

Source: Brazil Electrical and Electronics Industry Association (07/19/06)

2003

2004

2005 (Estimate)

Revenues (R$ Millions)

Electronics and Appliances

Data

Brazil End User Statistics

Transportation

Production (Units)20012002200320042005

Cars1,501,5861,520,2851,505,1391,862,7802,009,484

Light Trucks214,936179,861216,702318,351365,648

Trucks77,43168,55878,960107,338117,892

Buses23,16322,82626,99028,75835,266

Agricultural Machinery44,33952,01061,02696,41852,871

Motorcycles753,159841,469954,6201,057,3331,213,517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Electronics - Revenues by Segment (R$ millions)

200320042005*05*/04(%)

Components6,8768,6978,653-1

Computers16,70120,62424,23117

Electrical Supplies4,5935,9476,57110

Home Appliances12,42115,33816,1805

Industrial Automation1,7212,0902,45617

Industrial Equipment8,42610,31911,60712

Power Generation, Transmission and Distribution4,4495,5817,28230

Telecommunications8,76013,00616,97130

Source: Brazil Electrical and Electronics Industry Association (07/19/2006)

Agricultural Equipment

44339

52010

61026

96418

52871

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Agricultural Machinery

Production (Units)

Aerospace

Source: Embraer Annual Report, 2004

Source: Embraer Annual Report, 2004

Cars and Trucks

1501586214936

1520285179861

1505139216702

1862780318351

2009484365648

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Cars

Light Trucks

Production (Units)

Cars and Trucks

Trucks and Buses

7743123163

6855822826

7896026990

10733828758

11789235266

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Trucks

Buses

Production (Units)

Trucks and Buses

Motorcycles

753159

841469

954620

1057333

1213517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Motorcycles

Production (Units)

Transportation Pie Chart

2009484

365648

117892

35266

1213517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Transportation Production (Units) 2005

Electronics

687686978653

167012062424231

124211533816180

84261031911607

87601300616971

Source: Brazil Electrical and Electronics Industry Association (07/19/06)

2003

2004

2005 (Estimate)

Revenues (R$ Millions)

Electronics and Appliances

Data

Brazil End User Statistics

Transportation

Production (Units)20012002200320042005

Cars1,501,5861,520,2851,505,1391,862,7802,009,484

Light Trucks214,936179,861216,702318,351365,648

Trucks77,43168,55878,960107,338117,892

Buses23,16322,82626,99028,75835,266

Agricultural Machinery44,33952,01061,02696,41852,871

Motorcycles753,159841,469954,6201,057,3331,213,517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Electronics - Revenues by Segment (R$ millions)

200320042005*05*/04(%)

Components6,8768,6978,653-1

Computers16,70120,62424,23117

Electrical Supplies4,5935,9476,57110

Home Appliances12,42115,33816,1805

Industrial Automation1,7212,0902,45617

Industrial Equipment8,42610,31911,60712

Power Generation, Transmission and Distribution4,4495,5817,28230

Telecommunications8,76013,00616,97130

Source: Brazil Electrical and Electronics Industry Association (07/19/2006)

Automotive Production Forecast 2006-2011In UnitsFonte: Grupo de Forecast Sindipeas (reviso abril de 2006).

Agricultural Equipment

44339

52010

61026

96418

52871

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Agricultural Machinery

Production (Units)

Aerospace

Source: Embraer Annual Report, 2004

Source: Embraer Annual Report, 2004

Cars and Trucks

1501586214936

1520285179861

1505139216702

1862780318351

2009484365648

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Cars

Light Trucks

Production (Units)

Cars and Trucks

Trucks and Buses

7743123163

6855822826

7896026990

10733828758

11789235266

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Trucks

Buses

Production (Units)

Trucks and Buses

Motorcycles

753159

841469

954620

1057333

1213517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Motorcycles

Production (Units)

Transportation Pie Chart

2009484

365648

117892

35266

1213517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Transportation Production (Units) 2005

Electronics

687686978653

167012062424231

124211533816180

84261031911607

87601300616971

Source: Brazil Electrical and Electronics Industry Association (07/19/06)

2003

2004

2005 (Estimate)

Revenues (R$ Millions)

Electronics and Appliances

Data

Brazil End User Statistics

Transportation

Production (Units)20012002200320042005

Cars1,501,5861,520,2851,505,1391,862,7802,009,484

Light Trucks214,936179,861216,702318,351365,648

Trucks77,43168,55878,960107,338117,892

Buses23,16322,82626,99028,75835,266

Agricultural Machinery44,33952,01061,02696,41852,871

Motorcycles753,159841,469954,6201,057,3331,213,517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Electronics - Revenues by Segment (R$ millions)

200320042005*05*/04(%)

Components6,8768,6978,653-1

Computers16,70120,62424,23117

Electrical Supplies4,5935,9476,57110

Home Appliances12,42115,33816,1805

Industrial Automation1,7212,0902,45617

Industrial Equipment8,42610,31911,60712

Power Generation, Transmission and Distribution4,4495,5817,28230

Telecommunications8,76013,00616,97130

Source: Brazil Electrical and Electronics Industry Association (07/19/2006)

Agricultural Equipment

44339

52010

61026

96418

52871

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Agricultural Machinery

Production (Units)

Aerospace

Source: Embraer Annual Report, 2004

Source: Embraer Annual Report, 2004

Cars and Trucks

1501586214936

1520285179861

1505139216702

1862780318351

2009484365648

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Cars

Light Trucks

Production (Units)

Cars and Trucks

Trucks and Buses

7743123163

6855822826

7896026990

10733828758

11789235266

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Trucks

Buses

Production (Units)

Trucks and Buses

Motorcycles

753159

841469

954620

1057333

1213517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Motorcycles

Production (Units)

Transportation Pie Chart

2009484

365648

117892

35266

1213517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Transportation Production (Units) 2005

Electronics

687686978653

167012062424231

124211533816180

84261031911607

87601300616971

Source: Brazil Electrical and Electronics Industry Association (07/19/06)

2003

2004

2005 (Estimate)

Revenues (R$ Millions)

Electronics and Appliances

Data

Brazil End User Statistics

Transportation

Production (Units)20012002200320042005

Cars1,501,5861,520,2851,505,1391,862,7802,009,484

Light Trucks214,936179,861216,702318,351365,648

Trucks77,43168,55878,960107,338117,892

Buses23,16322,82626,99028,75835,266

Agricultural Machinery44,33952,01061,02696,41852,871

Motorcycles753,159841,469954,6201,057,3331,213,517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Electronics - Revenues by Segment (R$ millions)

200320042005*05*/04(%)

Components6,8768,6978,653-1

Computers16,70120,62424,23117

Electrical Supplies4,5935,9476,57110

Home Appliances12,42115,33816,1805

Industrial Automation1,7212,0902,45617

Industrial Equipment8,42610,31911,60712

Power Generation, Transmission and Distribution4,4495,5817,28230

Telecommunications8,76013,00616,97130

Source: Brazil Electrical and Electronics Industry Association (07/19/2006)

Aircraft IndustryEMBRAER

EMBRAER

Agricultural Equipment

44339

52010

61026

96418

52871

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Agricultural Machinery

Production (Units)

Aerospace

Source: Embraer Annual Report, 2004

Source: Embraer Annual Report, 2004

Cars and Trucks

1501586214936

1520285179861

1505139216702

1862780318351

2009484365648

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Cars

Light Trucks

Production (Units)

Cars and Trucks

Trucks and Buses

7743123163

6855822826

7896026990

10733828758

11789235266

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Trucks

Buses

Production (Units)

Trucks and Buses

Motorcycles

753159

841469

954620

1057333

1213517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Motorcycles

Production (Units)

Transportation Pie Chart

2009484

365648

117892

35266

1213517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Transportation Production (Units) 2005

Electronics

687686978653

167012062424231

124211533816180

84261031911607

87601300616971

Source: Brazil Electrical and Electronics Industry Association (07/19/06)

2003

2004

2005 (Estimate)

Revenues (R$ Millions)

Electronics and Appliances

Data

Brazil End User Statistics

Transportation

Production (Units)20012002200320042005

Cars1,501,5861,520,2851,505,1391,862,7802,009,484

Light Trucks214,936179,861216,702318,351365,648

Trucks77,43168,55878,960107,338117,892

Buses23,16322,82626,99028,75835,266

Agricultural Machinery44,33952,01061,02696,41852,871

Motorcycles753,159841,469954,6201,057,3331,213,517

Sources: Abeiva, Anfavea, Denatran (07/19/2006)

Electronics - Revenues by Segment (R$ millions)

200320042005*05*/04(%)

Components6,8768,6978,653-1

Computers16,70120,62424,23117

Electrical Supplies4,5935,9476,57110

Home Appliances12,42115,33816,1805

Industrial Automation1,7212,0902,45617

Industrial Equipment8,42610,31911,60712

Power Generation, Transmission and Distribution4,4495,5817,28230

Telecommunications8,76013,00616,97130

Source: Brazil Electrical and Electronics Industry Association (07/19/2006)

Sales - Auto Parts Manufacturers Observao: Faturamento em valores nominais divididos pelo dlar mdio.(US$ billion)preliminaryforecast

(US$ billion)Investment - Auto Parts Manufacturers preliminaryforecast

New Investments

Brazil is not a Market for EveryoneCons Needs a Firm Commitment Requires Intense Follow-up (Bureaucracy)

Pros Easy to Build Relationships Partnership with Representatives (Let your rep do the work)

But you cannot afford to ignore it. Large consumption of Manufacturing Technology Equipment Most of your major customers here have plants in Brazil A place where you can still keep your market share

Brazil is the place to be in 2007!

FEIMAFE SHOW

A Marketing Tool

FEIMAFEParque Anhembi Sao Paulo, BrazilMay 21 27, 2007In 2005: Total Area: 420,000 sq ft 1,342 Exhibitors: 703 Brazilian 639 from 31 countries Attendance: 61,819 visitors 1,285 from 42 countriesBrazilian Business Practices & Culture

Why Exhibit in AMT/USA Pavilion

John Krisko, Director - Exhibitions

AMT/USA Pavilion provides an excellent sales environment to conduct business

Synergy of presenting American made technology with other AMT member companies

Exhibiting area of the AMT/USA Pavilion features common, easily recognizable, visible identification American Made Technology

AMT on-site coordination of freight, rigging, display, utility services and overall in-hall logistical support

Complete exhibit package plan includes floor space, carpeting, spotlights, information desk, walls, directory listing, security, cleaning, chairs, signs and basic electrical service.

Complete international freight/shipping coordination

Support from AMTs Business Development department

AMT exhibitor lounge provides networking opportunities in a relaxed business atmosphere

In-pavilion conference room available on scheduled basis

Bilingual receptionist at pavilion reception desk

Pre-show publicity

AMT publishes pavilion directory, show manual and exhibitor bulletins

Business services area with fax, copy and internet services

Opportunity to establish new geographic area presence with other companies familiar with and experienced in that international marketing region

AMT sponsored reception lets you provide hospitality to potential customers

All of this without any conflict with your representative or distributor

Marketing Services

Mario Winterstein

Marketing ServicesBefore the Show:Customer ListsDistributor SelectionCustom Advertising CampaignNewsletter with tips and new investments ------------------Trade Show Workshop (Brazilian Business Practices, How to Attract Audiences to Your Booth, Body Language, etc.)Comprehensive Sales and Marketing Strategy Planning

Marketing ServicesDuring the Show:One-on-One MeetingsCustomersDistributorsService OrganizationsOutsourcing SuppliersFinancing ServicesMeetings Facilitation and/or Interpretation

Marketing ServicesAfter the Show:Lead Qualification and Follow-upThank You Notes and Literature ShipmentDistributors ManagementPost Show Critique

Full Support of AMT Staff and Relationships In Place in Brazil

Q & A

Feedback Yes, I am interested in FEIMAFE 2007. Send me an application. No, I am not interested in FEIMAFE 2007. Not Sure Yet. Please contact me for further discussion.