3Q 2014 Results Companhia Providência

November 12, 2014

The third quarter saw resumption in production from machines and equipment that had been shutdown on Ministry of Labor orders on April 1, 2014 and gradually brought back on stream by the first week in July 2014;

During the course of the quarter, our financial performance continued to be affected by the stoppage and reallocation of production as well as a 2.8% increase in fixed costs; Sales Volume amounted to 29.2 thousand tons, down 7.1% compared to 3Q13 due to inefficiencies associated with the resumption of operations with certain machines and equipment at the São José dos Pinhais plant after the lines were shut down on the orders of the Ministry of Labor during 2Q14;

The Company posted Net Revenues of R$ 202.6 million, 4.0% less than in 3Q13, this also reflecting the impact of lower output from manufacturing operations;

Cost of goods sold were higher by R$4.4 million due to start-up costs and higher maintenance expense during the quarter.

HIGHLIGHTS 3Q14HIGHLIGHTS 3Q14

SALES VOLUME SALES VOLUME (in millions of tons)(in millions of tons)

During the quarter, the Company posted a year-on-year reduction in total sales volume of 7.1%. Sales volume of nonwovens posted a fall of 7.3% compared with 3Q13.

In relation to the 2Q14 the nonwovens volume increased 5.8 thousand tons – 27.1% - a result of the sales recover after the machines shutdown during the 2Q14.

NET REVENUE NET REVENUE (in millions of Reais)(in millions of Reais)

The Company reported total net revenue of R$ 202.6 million in 3Q14, a decrease of 4.0% when compared with 3Q13 reflecting the impact of lower output from manufacturing operations.

Increased export sales volume in 3Q14 caused a reduction in unitary sales net revenue by 3.7% against 2Q14;

Unitary net revenues are up by 12% YTD 14 x 13.

COGS - COST OF GOODS SOLD COGS - COST OF GOODS SOLD (in millions of Reais)(in millions of Reais)

Cost of Goods Sold (COGS) amounted to R$ 161.3 million in 3Q14, 2.8% higher when compared to the R$ 156.9 million reported in 3Q13;

Unitary COGS are 7.4% lower than 2Q14, as consequence of an increased sales volume of 5.8 thousand tons.

EBITDA EBITDA (in million of (in million of ReaisReais) and) and EBITDA MARGIN EBITDA MARGIN(%) (%)

EBITDA in 3Q14 amounted to R$ 15.8 million, a reduction of 60.6% when compared to the R$ 40.1 million registered in 3Q13. For the same item in 2Q14 there was an increase of R$ 8.6 million.

3Q14 EBITDA was still impacted by production inefficiencies post-NR12 and by certain costs recognized during the quarter that are not expected to continue.

NET LOSS NET LOSS ((in millions of Reaisin millions of Reais) ) and and NET MARGINNET MARGIN (%)(%)

The Company reported a net loss of R$ 7.9 million, principally due to the lower comparative output and sales volumes, combined with the higher costs.

NET DEBT NET DEBT (in million of (in million of ReaisReais))

Total Debt increased 6.2% in 3Q14 when compared with 3Q13 mainly due to the valuation of US Dollar against Real, of 9.9% in the period.

Net Debt increased by 17.6% compared with 3Q13, largely due to a reduction in cash and cash equivalents during the last two quarters. The increase was caused by lower operating performance and incremental CAPEX mainly in 2Q14.

In R$ (MM) 3Q13 2Q14 3Q14 Ch. 3Q14 / 3Q13Short Term 51,4 114,6 141,6 175,2%Long Term 523,6 449,2 469,0 -10,4%Total 575,0 563,8 610,5 6,2%Cash and l iquid hedge instruments 80,7 41,1 29,5 -63,5%Net Debt 494,3 522,7 581,1 17,6%Shareholders' Equity 662,1 619,2 610,2 -7,8%Net Debt / Adjusted EBITDA 3,86 4,72 5,95 54,1%

Consolidated Net Debt

MARKET MARKET VALUE RATIOS VALUE RATIOS

The book value of the Company shares increased 9.2% compared to 2T14 and 3.5% over the same period last year.

3.5%3.4%

PRVI3IBOVESPA

Change 3Q14 / 3Q13

R$ 7.92 R$ 7.89R$ 8.05

R$ 7.51

R$ 8.20

R$ 7

R$ 8

R$ 9

Sep-13 Dec-13 Mar-14 Jun-14 Sep-14

Share Value - IBOVESPA

STATUS – SALE OF THE COMPANY`S CONTROL TO PGISTATUS – SALE OF THE COMPANY`S CONTROL TO PGI

On July 14, 2014 there was an Extraordinary General Meeting where the following resolutions were taken:

The exit of the Company from Novo Mercado of BM&FBOVESPA was approved by majority of the present shareholders;

Also approved by majority of eligible voting shareholders representing the outstanding shares, the selection of BANCO J. SAFRA S.A., as the financial institution responsible for the drafting of the appraisal report on the economic valuation of the Company’s stock, for the purposes of the Delisting Tender Offer and the Tender Offer for the Exit of the Company from Novo Mercado;

On November 7, 2014 the draft of the Tender Offer Notice and the adjusted appraisal report were published at Itaú BBA and Company website.

CEO/CFO: Hermínio Vicente Smania de Freitas

RI : Gabriela Las Casas Danielle Cabrini

Tel: +55 (41) 3381-8673Fax: +55 (41) 3381-7656São José dos Pinhais – PRwww.providencia.com.br/riwww.twitter.com/providencia_ri

CONTACTSCONTACTS

The words “believe”, “anticipate”, “expect”, “estimate”, “will”, “plan”, “may”, “intend”, “foresee”, “project” and other similar expressions indicate forward-looking statements. These forward-looking statements involve uncertainties, risks and assumptions, since they include information related to our potential or assumed future operating results, business strategy, financing plans, competitive position in the market, industry environment, potential growth opportunities and the effects of future regulations and competition. In addition, forward-looking statements refer only to the date on which they were made and should not be taken as a guarantee of future performance. Providência is under no obligation to update this presentation with new information and/or future events.