(A free translation of the original in Portuguese) FEDERAL ... ITR 2T08_eng_rev.pdfcvm - brazilian securities and exchange commission itr - quarterly information commercial, industry

(A free translation of the original in Portuguese) FEDERAL PUBLIC SERVICE CVM - BRAZILIAN SECURITIES AND EXCHANGE COMMISSION ITR - QUARTERLY INFORMATION COMMERCIAL, INDUSTRY & OTHER TYPES OF COMPANY

June 30, 2008

Brazilian Corporate Law

1

REGISTRATION WITH CVM SHOULD NOT BE CONSTRUED AS AN EVALUATION OF THE COMPANY. COMPANY MANAGEMENT IS RESPONSIBLE FOR THE INFORMATION PROVIDED.

01.01 - IDENTIFICATION 1 - CVM CODE 2 - COMPANY NAME 3 - CNPJ (Corporate Taxpayer’s ID)

02060-5 JHSF PARTICIPAÇÕES S.A. 08.294.224/0001-65

4 - NIRE (Corporate Registry ID)

35300333578 01.02 - HEADQUARTERS

1 - ADDRESS

Rua Amauri, 255 2 - DISTRICT

Jardim Europa

3 - ZIP CODE

01448-000 4 - CITY

São Paulo 5 - STATE

SP

6 - AREA CODE

11 7 - TELEPHONE

3702-1900 8 - TELEPHONE

- 9 - TELEPHONE

- 10 - TELEX

11 - AREA CODE

11 12 - FAX

3702-1900 13 - FAX

- 14 - FAX -

15 - E-MAIL

01.03 - INVESTOR RELATIONS OFFICER (Company Mailing Address)

1- NAME

Eduardo Silveira Câmara

2 - ADDRESS

Rua Amauri, 255 3 - DISTRICT

Jardim Europa

4 - ZIP CODE

01448-000 5 - CITY

São Paulo 6 - STATE

SP

7 - AREA CODE

11

8 - TELEPHONE

3702-1900 9 - TELEPHONE

- 10 - TELEPHONE

- 11 - TELEX

12 - AREA CODE

11 13 - FAX

3702-1900 14 - FAX

- 15 - FAX -

15 - E-MAIL

[email protected] 01.04 - ITR REFERENCE AND AUDITOR INFORMATION

CURRENT YEAR CURRENT QUARTER PREVIOUS QUARTER 1 - BEGINNING 2 - END 3 - QUARTER 4 - BEGINNING 5 - END 6 - QUARTER 7 - BEGINNING 8 - END

1/1/2008 12/31/2008 2 4/1/2008 6/30/2008 1 1/1/2008 3/31/2008

09 - INDEPENDENT AUDITOR Terco Grant Thornton Auditores Independentes

10 - CVM CODE 00635-1

11. TECHNICIAN IN CHARGE Nelson Varandas dos Santos

12 - TECHNICIAN’S CPF (Individual Taxpayer’s Register ) 089.932.158-55


June 30, 2008


2

01.01 - IDENTIFICATION

1 - CVM CODE 02060-5

2 - COMPANY NAME JHSF PARTICIPAÇÕES S.A.

3 - CNPJ (Corporate Taxpayer’s ID) 08.294.224/0001-65

01.05 - CAPITAL STOCK

Number of Shares (Units)

1 - CURRENT QUARTER 6/30/2008

2 - PREVIOUS QUARTER 3/31/2008

3 - SAME QUARTER, PREVIOUS YEAR 6/30/2007

Paid-up Capital

1 - Common 426,374,825 426,374,825 46,217,810

2 - Preferred 0 0 0

3 - Total 426,374,825 426,374,825 46,217,810

Treasury Stock

4 - Common 0 0 0

5 - Preferred 0 0 0

6 - Total 0 0 0

01.06 - COMPANY PROFILE 1 - TYPE OF COMPANY

Commercial, Industry and Other Types of Company

2 - STATUS

Operational

3 - NATURE OF OWNERSHIP

Domestic Private

4 - ACTIVITY CODE

3110 - Holding Company - Civil Construction, Construction Material and Interior Design

5 - MAIN ACTIVITY

To rent and manage own assets and businesses and hold interest in other domestic or foreign companies as shareholder or quotaholder. 6 - CONSOLIDATION TYPE

Total 7 - TYPE OF REPORT OF INDEPENDENT AUDITORS

Unqualified opinion 01.07 - COMPANIES NOT INCLUDED IN THE CONSOLIDATED FINANCIAL STATEMENTS 1 - ITEM 2 - CNPJ (Corporate Taxpayer’s ID) 3 - COMPANY NAME

01.08 - CASH DIVIDENDS APPROVED AND/OR PAID DURING AND AFTER THE QUARTER 1 – ITEM

2 - EVENT 3 - APPROVAL 4 - TYPE 5 - DATE OF PAYMENT 6 - TYPE OF SHARE 7 - AMOUNT PER SHARE


June 30, 2008 Brazilian Corporate Law

3

01.01 - IDENTIFICATION 1 - CVM CODE 02060-5



01.09 - SUBSCRIBED CAPITAL AND CHANGES IN THE CURRENT YEAR

1 - ITEM 2 - DATE OF CHANGE 3 - CAPITAL STOCK (In thousands of reais)

4 - AMOUNT OF CHANGE

(In thousands of reais)

5 - NATURE OF CHANGE 7 - NUMBER OF SHARES ISSUED

(thousand)

8 - SHARE PRICE WHEN ISSUED

(in reais)

01 4/16/2007 445,334 376,000 Subscription of Public Offering of Shares 47,000,000 8.0000000000

02 5/3/2007 501,734 56,400 Supplementary Lot Subscription 7,050,000 8.0000000000 03 6/21/2007 705,734 204,000 Subscription Bonus 25,500,000 8.0000000000 04 7/12/2007 705,758 24 Conversion of Stock Options 82,941 0.3000000000 05 3/28/2008 705,782 24 Conversion of Stock Options 74,074 0.3162827710

01.10 - INVESTORS RELATIONS OFFICER 1 - DATE

2 - SIGNATURE


June 30, 2008


4


1 - CVM CODE 02060-5



02.01 - BALANCE SHEET - ASSETS (in thousands of Reais)

1 - CODE 2 - DESCRIPTION 3 – 6/30/2008 4 – 3/31/2008

1 Total Assets 1 ,004,270 937,332

1 .01 Current Assets 64,360 73,908

1.01.01 Cash and Cash Equivalents 61,739 71,950

1.01.02 Credits 2,621 1,958

1.01.02.01 Clients 0 0

1.01.02.02 Sundry Credits 2,621 1,958

1.01.02.02.01 Sundry Credits 536 288

1.01.02.02.02 Recoverable Taxes and Contributions 1,710 1,511

1.01.02.02.03 Dividends Receivable 267 0

1.01.02.02.04 Other 108 159

1.01.03 Inventories 0 0

1.01.04 Other 0 0

1.02 Non-current Assets 939,910 863,424

1.02.01 Long-term Assets 91,463 292,045

1.02.01.01 Sundry Credits 10,546 10,166

1.02.01.02 Credit s with Related Parties 22,131 44,210

1.02.01.02.01 With Direct and Indirect Associated Companies 0 0

1.02.01.02.02 With Subsidiaries 22,131 44,210

1.02.01.02.03 With Other Related Parties 0 0

1.02.01.03 Other 58,786 237,669

1.02.01.03.01 Advances for future capital increase 58,786 237,669

1.02.02 Permanent Assets 848,447 571,379

1.02.02.01 Investments 679,407 397,338

1 .02.02.01.01 In Direct and Indirect Associated Companies 0 0

1 .02.02.01.02 In Direct and Indirect Associated Companies - Goodwill 0 0

1.02.02.01.03 In Subsidiaries 679,407 397,338

1.02.02.01.04 In Subsidiaries - Goodwill 0 0

1.02.02.01.05 Other Investments 0 0

1.02.02.02 Property, Plant and Equipment 1,071 1,166

1.02.02.03 Intangible Assets 165,171 172,598

1.02.02.04 Deferred Charges 2,798 277


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1 - CVM CODE

02060-5 2 - COMPANY NAME

JHSF PARTICIPAÇÕES S.A. 3 - CNPJ (Corporate Taxpayer’s ID)

08.294.224/0001-65

02.02 - BALANCE SHEET - LIABILITIES (in thousands of Reais)


2 Total Liabilities 1 ,004,270 937,332

2.01 Current Liabilities 18,453 14,321

2.01.01 Loans and Financings 16,665 13,012

2.01 .02 Debentures 0 0

2.01 .03 Suppliers 757 268

2.01 .04 Taxes, Fees and Contributions 0 0

2.01.05 Dividends Payable 0 0

2.01 .06 Provisions 0 0

2.01 .07 Debts with Related Parties 0 0

2.01 .08 Other 1,031 1,041

2.01.08.01 Labor and Tax Liabilities 1,031 1,041

2.02 Non-current Liabilities 80,010 79,425

2.02.01 Long-term Liabilities 80,010 79,425

2.02.01.01 Loans and Financings 72,025 79,425

2.02.01.02 Debentures 0 0

2.02.01.03 Provisions 0 0

2.02.01.04 Debts with Related Parties 7,985 0

2.02.01.05 Advance for Future Capital Increase 0 0

2.02.01.06 Other 0 0

2.02.02 Deferred Income 0 0

2.04 Shareholders’ Equity 905,807 843,586

2.04.01 Paid-up Capital Stock 705,782 705,782

2.04.02 Capital Reserves 0 0

2.04.03 Revaluation Reserves 0 0

2.04.03.01 Own Assets 0 0

2.04.03.02 Controlled/Direct and Indirect Associated Companies 0 0

2.04.04 Profit Reserves 65,152 73,107

2.04.04.01 Legal 5,305 5,305

2.04.04.02 Statutory 0 0

2.04.04.03 For Contingencies 0 0

2.04.04.04 Unrealized Profits 0 0

2.04.04.05 Profit Retention 59,847 67,802

2.04.04.05.01 Retained Profits 67,802 0

2.04.04.05.02 Net Present Value Adjustment (5,939) 0

2.04.04.05.0 3 Equity Valuation Adjustment (2,016) 0

2.04.04.06 Special for Undistributed Dividends 0 0

2.04.04.07 Other Profit Reserves 0 0

2.04.05 Retained Earnings/Accumulated Deficit 134,873 64,697

2.04.06 Advance for Future Capital Increase 0 0



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01.01 - IDENTIFICATION 1 - CVM CODE

02060-5

2 - COMPANY NAME

JHSF PARTICIPAÇÕES S.A.

3 - CNPJ (Corporate Taxpayer’s ID)

08.294.224/0001-65 03.01 - STATEMENT OF INCOME (in thousands of Reais)

1 - CODE 2 - DESCRIPTION 3 - 4/1/2008 to 6/30/2008 4 - 1/1/2008 to 6/30/2008 5 - 4/1/2007 to 6/30/2007 6 - 1/1/2007 to 6/30/2007

3.01 Gross Revenue from Sales and/or Services 0 0 0 0

3.02 Gross Revenue Deductions 0 0 0 0

3.03 Net Revenue from Sales and/or Services 0 0 0 0

3.04 Cost of Goods and/or Services Sold 0 0 0 0

3.05 Gross Income 0 0 0 0

3.06 Operating Revenues/Expenses 70,176 134,873 (15,181) (6,104)

3.06.01 Selling 0 0 0 0

3.06.02 General and Administrative (4,722) (8,870) (2,556) (3,974)

3.06.03 Financial 1,428 13 738 618

3.06.03.01 Financial Income 4,394 6,932 4,801 4,801

3.06.03.02 Financial Expenses (2,966) (6,919) (4,063) (4,183)

3.06.04 Other Operating Revenues 0 0 52 1,142

3.06.05 Other Operating Expenses (7,880) (16,785) (26,441) (28,559)

3.06.05.01 Goodwill Amortization (7,880) (16,785) 0 0

3.06.05.02 Public Offering Expenses 0 0 (26,441) (28,559)

3.06.06 Equity in the Earnings of Controlled and Associated Companies

81,350 160,515 13,026 24,669

3.07 Operating Income 70,176 134,873 (15,181) (6,104)

3.08 Non-operating Income 0 0 0 0

3.08.01 Revenues 0 0 0 0

3.08.02 Expenses 0 0 0 0

3.09 Income Before Taxation/Holdings 70,176 134,873 (15,181) (6,104)

3.10 Provision for Income Tax and Social Contribution 0 0 0 0

3.11 Deferred Income Tax 0 0 0 0

3.12 Statutory Holdings/Contributions 0 0 0 0

3.12.01 Holdings 0 0 0 0

3.12.02 Contributions 0 0 0 0

3.13 Reversal of Interest on Own Capital 0 0 0 0



7


02060-5

2 - COMPANY NAME



08.294.224/0001-65 03.01 - STATEMENT OF INCOME (in thousands of Reais)

1 - CODE 2 - DESCRIPTION 3 - 4/1/2008 to 6/30/2008 4 - 1/1/2008 to 6/30/2008 5 - 4/1/2007 to 6/30/2007 6 - 1/1/2007 to 6/30/2007

3.15 Income/Loss for the Period 70,176 134,873 (15,181) (6,104)

NUMBER OF SHARES, EX-TREASURY (Units) 426,374,825 426,374,825 426,217,810 426,217,810

EARNINGS PER SHARE (in Reais) 0.16459 0.31632

LOSS PER SHARE (in Reais) (0.03562) (0.01432)


June 30, 2008



04.01 - EXPLANATORY NOTES

8

Explanatory notes to the quarterly information (company and consolidated) for the 3-month period ended June 30, 2008 (Amounts expressed in thousands of Reais, except when otherwise indicated) 1. Operating context

JHSF Participações S.A. (“Company”) is a publicly-held, joint stock company, established on June 29, 2006, and its main purpose is to operate as a holding company, with interest in other companies that are mainly focused on the development, purchase and sale of residential and commercial property, the construction and exploitation of shopping centers, the rental of their own commercial property, the provision of administration, contract management and other corresponding services, the exploitation of hotel and tourist activities in general, as well as interest held in other companies and the administration of their own assets.

2. Corporate structure

The Company has direct and indirect interest in the following companies, divided by business activity:

06/2008 06/2007 Business activity /Subsidiaries Interest - % Interest - % Real estate developments Direct Indirect Direct Indirect JHSF Incorporações S.A. 99.99 - 99.99 - JHSF Jardim S.A. 99.99 - 99.99 - JHSF Empreendimentos S.A. 99.99 - 99.99 - Companhia Boa Vista de Desenvolvimento Imobiliário 99.99 - 99.99 - JHSF (Uruguay) S.R.L. 99.99 - 99.99 - Aveiro Incorporações S.A. 99.99 - - - Developer Desenvolvimento e Participações Imobiliárias S.A. (See Note 10.2.1) 99.99 - - - Shopping malls JHSF Shoppings S.A. 99.99 - 99.99 - Shopping Cidade Jardim S.A. - 99.99 - 99.99 Companhia Santa Cruz 95.00 - 95.00 - SAS - Sociedade Administradora de Centros Comerciais - 95.00 - 95.00 Companhia Metrô Norte 99.99 - 99.99 - Hotels Hotéis Fasano & Resorts S.A. 60.00 - 51.00 - Hotel Marco Internacional S.A. (See Note 10.2.1) 13.90 51.66 - 50.1 Service rendering and rentals Companhia Patrimonial de Imóveis Comerciais 99.99 - 99.99 - Companhia Administradora de Empreendimentos e Serviços 99.99 - 99.99 - Sociedade Administradora de Estacionamentos e Serviços S.A. 99.99 - 99.99 -

3. Presentation of the quarterly information

The individual (JHSF Participações S.A.) and consolidated (JHSF Participações S.A. and its subsidiaries) quarterly information presents accounting information relative to the quarter ended June 30, 2008, which has been prepared in compliance with the accounting practices adopted in Brazil, consubstantiated by the Corporate Law and by the standards and instructions of the Brazilian Securities and Exchange Commission (CVM).


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4. Main accounting practices

a. Income determination a.1. Sale of real estate

For the credit sales of completed units, the income is appropriated at the time in which the sale is made effective, regardless of the term for receiving the contractual value. The prefixed interest is appropriated to the income, observing the accrual basis system, regardless of their receipt.

For the sales of units that have not been completed yet, the procedures and standards established by Resolution CFC no. 963/03 of the Federal Accounting Council were observed, which are: � The costs incurred regarding the units sold, including the cost of the land, are fully

appropriated to the income; � The percentage of the costs incurred regarding the units sold, including the land, is

calculated in relation to their total budgeted costs and that percentage is applied over the revenue of the units sold, adjusted according to the conditions of the sales agreements, thus determining the amount of the revenue to be recognized;

� The amounts of the sales revenue ascertained, including monetary restatement,

net of the installments already received, are recorded as accounts receivable, or as advances from clients, when applicable.

The balances of operations related to the sale of real estate under construction which, as per criteria established by CFC resolution no. 963/03, no longer comprise the balances of the equity accounts are detailed in Note 18.

a.2. Provision of services, rentals and other activities

The revenues, costs and expenses are recorded in compliance with the accrual basis system of the years.

b. Current and long-term assets

b.1. Cash and cash equivalents are classified according to their realization term, and are stated at their acquisition cost, plus the yield earned up to the closing dates of the years and less, when applicable, the provision for adjustment to their net realization value.

b.2. The allowance for doubtful accounts is recorded by a value considered sufficient to

cover the estimated losses with credit realization. With regards to the property sales activity, the allowance for doubtful accounts was considered unnecessary, in view of the fact that those credits have a real guarantee from the units of property sold, since the concession of the corresponding deeds occurs upon the settlement and/or negotiation of receivables from clients.

b.3. The properties for sale are stated at the acquisition cost of land and include the costs

accumulated with the construction, which does not exceed their net realization value.


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b.4. Selling expenses to be appropriated are stated at the costs and expenses incurred with the construction and maintenance of the sales stands, commissions paid, advertisement, promotion and other related commercial expenses, directly connected with each project. They are appropriated to the income by observing the same criterion adopted for recognizing the revenues and costs of the units sold (Note no. 4 (a.1.)).

b.5. The remaining assets are stated at their cost or realization values, including, when

applicable, the yields and monetary variations incurred.

c. Permanent assets

Stated at their acquisition cost, combined with the following aspects: � Investments, in subsidiaries, evaluated by the equity method of accounting; the remaining

investments are evaluated at their acquisition cost, less the provision for realization, when applicable;

� Goodwill paid in the acquisition of equity interest of Shopping Cidade Jardim S.A., Silent Partnership Residencial Cidade Jardim I and II, in addition to the preemptive rights of 30% in Shopping Metrô Tucuruvi, which will be amortized in up to 10 years at most;

� Depreciation of property, plant and equipment is calculated by the straight-line method at the yearly rates referred to in Note 12, which take into account the estimated economic-useful life of the assets;

� Amortization of the intangible and deferred assets calculated by the straight-line method at the yearly rates mentioned in Notes 11 and 13, which take into account the term estimated for recovering the investment made.

d. Current and long-term liabilities

They are stated at known or calculable values, increased, when applicable, of the corresponding charges and monetary variation or translation adjustments incurred.

e. Income tax and social contribution on net profit

As allowed by the tax legislation, the income and accounts receivable related to sales of property units are taxed based on the cash system and not based on the criterion previously described for recognizing that income. The income tax and social contribution are calculated in compliance with the criteria established by the tax legislation in force, at regular rates of 15% increased of a 10% additional rate for income tax and a 9% additional rate for social contribution. In compliance with the tax legislation, certain subsidiaries have chosen the assumed profit tax system. For those companies, the income tax basis is calculated at the rate of 8% (real estate development) and 32% (service provision and rentals), and the social contribution tax basis is at the rate of 12% (real estate development), 32% (service provision and rentals), and 100% on financial income, over which the regular rates of the respective tax and contribution are applied. The commercial and residential buildings of project “Residencial Parque Cidade Jardim”, as well as some other projects carried out by the subsidiaries, were developed into the “Affected Equity” tax system. Therefore, the taxation of their income has been chosen in compliance with the Special Taxation System (RET), in which the operating revenues from the sale of property is definitively taxed at the rate of 7% (a rate that also covers the contributions for COFINS - Tax for Social Security Financing - and for PIS/PASEP - Employees’ Profit Participation Program/Public Service Employee Savings Program). The commercial building “Capital Building” was developed on March 31, 2008, due to the


June 30, 2008




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registration under the Special Tax System (RET) at the Brazilian Federal Revenue Office (RFB); in March and April 2008, income tax and social contribution were calculated based on taxable income. For those companies in which the accounting practice differs from the tax practice, one calculates deferred liabilities or assets for income tax and social contribution in order to reflect any temporary differences, as mentioned in Note 16.

f. Contingent Assets and Liabilities and legal obligations

Accounting practices for the record and disclosure of contingent assets and liabilities and legal obligations are as follows:

� Contingent assets are recorded only when there are real guarantees or favorable judicial

decisions, final and unappealable. Contingent assets with probable success are only disclosed in a Note to the Financial Statements.

� Contingent liabilities are provisioned when losses are deemed as probable and amounts involved are measurable with a sufficient degree of confidence. Contingent liabilities deemed as probable losses are only disclosed in a Note to the Financial Statements and those deemed as having a remote probability of loss are neither provisioned nor disclosed.

� Legal obligations are recorded as mandatory, regardless of the assessment about the probability of success of proceedings in which the Company contests the unconstitutionality of taxes.

g. Use of estimates

The preparation of the accounting statements requires the adoption, by the management, of estimates and judgments that affect the liability and asset values reported, the disclosure of the contingent assets and liabilities on the date of the accounting statements and the income and expenses in the years stated. Estimates are used so as to, among other things, determine the useful life of the assets and equipment, the necessary provisions for contingent liabilities, allowance for doubtful accounts, the costs and the income budgeted for real estate ventures, taxes and other similar charges. Based on that fact, the actual income may be different from the income considered for those estimates.

h. Consolidated quarterly information

The consolidated quarterly information take into consideration the consolidation principles set forth by the Brazilian Corporate Law and CVM Instruction no. 247/96 and include the financial statements of JHSF Participações S.A. and its direct and indirect subsidiaries, the interest of which has been fully consolidated (See Note 2).

In the consolidation, minority interest was highlighted in investments in which the Company holds a percentage higher than 50% of the capital of the investee, actively participates in the management and does not share management. In addition, investments in subsidiaries, as well as balances payable and receivable and revenues and expenses resulting from operations between the companies were excluded.


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i. Statements of cash flow and of value added

With the purpose of complying with Law no. 11,638/07, which amends certain provisions in the Brazilian Corporate Law (Law no. 6,404, as of December 15, 1976), the Company presents the Statement of Cash Flow and the Statement of Value Added for the half year ended on June 30, 2008, shown in Notes 30 and 31, respectively.

5. Cash and cash equivalents

On June 30, 2008 and March 31, 2008, cash and cash equivalents are broken down as follows: Description

Individual Consolidated 06/2008 03/2008 06/2008 03/2008

Cash and banks – account transactions 283 753 22,494 17,857 Financial investments 61,456 71,197 193,874 221,468 Total 61,739 71,950 216,368 239,325

Short-term – Current 61,739 71,950 212,135 235,203

Long-term – Non-current - - 4,233 4,122

The Company and its subsidiaries have financial investments in fixed income bonds (CDB), as well as in exclusive investment funds at Unibanco Asset Management and Banco Alfa, and their portfolios consist mainly of government bonds and non-exclusive investment funds. The financial investments are remunerated at the average rate of 97% to 102.5% of the Interbank Deposit Certificate (CDI). The balance kept in non-current assets is being restated by the General Market Price Index (IGP-M) and was granted as collateral of the operation related to the issuance of Real Estate Credit Notes (CCIs) by the subsidiary Companhia Santa Cruz.

6. Accounts receivable

On June 30, 2008 and March 31 2008, the balance of accounts receivable is broken down as follows:

Description


Promising real estate purchasers (a) - - 238,438 174,624 Rentals receivable - - 2,809 1,217 Administration services - - 362 289 Other accounts receivable (b) - - 1,933 2,144 (-) Adjustment at present value (See Note 28) - - (5,108) - (-) Allowance for doubtful accounts - - (188) (233) Total - - 238,246 178,041

Short-term – Current - - 201,413 155,989



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(a) As mentioned in Note no. 4 (a.1.), the Company and its subsidiaries have adopted the procedures and rules established by Resolution CFC no. 963/03 for the accounting recognition of the income earned with the real estate operations carried out. Consequently, the balance of accounts receivable of the units sold and not yet completed is not reflected in the accounting statements, since their recording is limited to the portion of the income recognized accounting wise, net of the installments already received, as presented in Note 18;

(b) Comprised mainly of accounts receivable from clients of the subsidiary Hotel Marco

Internacional S.A. From the total amount of income from sales receivable, R$6,546 (R$6,645 on March 31, 2008), refers to the balance with related parties.

As additional information, the accounts receivable balance (appropriated and to appropriate) as of June 30 and March 31, 2008, related to the activity with the sale of property, already deducted from the installments received, may be stated as follows:

Description


Income from sales receivable - - 737,025 587,669 Short-term – Current - - 417,578 261,552 Long-term – Non-current - - 319,447 326,117

On June 30, 2008, non-current installments are scheduled to be received as follows:

Maturity Year Individual Consolidated 2009 - 115,777 2010 - 122,232 2011 - 45,285 From 2011 on - 36,153 Total - 319,447

The accounts receivable from sales of property are substantially restated by the variation of the Civil Construction National Index (INCC) up to the delivery of the keys. After which, the accounts receivable are restated by the General Market Price Index, plus market interest.

7. Properties for sale

On June 30 and March 31, 2008, properties for sale are represented at the cost of land, of units under construction and of completed projects, as shown below: Description


Land (a) - - 178,869 182,190 Real estate under construction (b) - - 48,651 45,056 Completed projects (c) - - 98,021 98,021 Total - - 325,541 325,267

Short-term – Current - - 266,849 269,564



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(a) It refers to the inventories of rural and urban land acquired for the development of future residential and commercial projects. In the purchase agreement of some of this land there are clauses for the swap with the respective units of future projects;

(b) It refers to the land, material and services cost used in real estate units, which

projects are under construction.

(c) It refers to the sale of the Metropolitan and Platinum buildings, resolved on at the Board of Executive Officers’ Meeting held on December 20, 2007. There is also a residential estate recorded, which was received in a swap for the sale of a residential unit under construction in the Residencial Parque Cidade Jardim project.

8. Sundry Credits

Description Individual Consolidated 06/2008 03/2008 06/2008 03/2008

Loans receivable (a) 7,814 7,587 9,356 9,196 Hedge operations (b) 4,256 1,670 4,256 2,727 Accounts receivable – sale of equity interest (c) - - 3,848 4,058 Loan agreements –store owners of Shopping Cidade

Jardim (d) - - 8,741 1,687

(-) Adjustment at present value (See Note 28) (2,226) - (2,706) - Other credits 1,238 1,197 3,251 2,850 Total 11,082 10,454 26,746 20,518 Short-term – Current 536 288 4,912 4,011 Long-term – Non-Current 10,546 10,166 21,834 16,507

(a) In the individual, the amount of R$7,814 is comprised by the amounts of (i)

R$2,082, related to the purchase and sale agreement of 1,822,101 shares issued by the Company Hotéis Fasano & Resorts S.A., entered into between the Company and Mr. Rogério Marco Fasano and (ii) R$5,732, related to the loan agreement provided for in the Private Instrument of Association and other Covenants entered into between the Company and Mr. Rogério Marco Fasano, which will be restated in accordance with the Broad Consumer Price Index (IPCA) variation plus interest of 3.25% p.a., whose amortization will occur by the deduction of the dividends of the subsidiary Hotéis Fasano & Resorts S.A.. In addition, in the consolidated, the amount of R$1,542 refers to the loan granted to Fabrizio Fasano Consultoria Ltda., corresponding to the activities of Fasano Group in Shopping Cidade Jardim, which has been amortized since September 2006, in 60 monthly installments restated by the INCC;

(b) It refers to the net balance of the hedge agreement for protection of the Company’s

exchange risks, in the amount of R$25,062, maturing on November 30, 2009; (c) It refers to the balance of the agreement for the sale of São Sebastião do Rio de

Janeiro Administração de Restaurantes S.A. shares, entered into between the indirect subsidiary Hotel Marco Internacional S.A. and the company Gero Participações S.A.;

(d) It refers to loan agreements entered into with store owners of Shopping Cidade

Jardim, in the amount of R$2,741 restated at IGPM variation plus compensatory interest between 8.5% and 9.0% per annum, and R$6,000 restated at IPCA variation plus interest of 6% per annum.


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15

9. Related parties 9.1. Loan operations

In the individual, balances receivable and payable mainly represent loan agreements with indeterminate maturities entered into between the Company and its subsidiaries, with the purpose of providing funds for the construction of projects, which do not have compensation as agreed upon between the parties. In the consolidated, the amounts payable mainly represent loan operations in the form of loan agreements with subsidiaries and related parties. Financial charges are not charged on these loans, as agreed upon between the parties involved. On June 30 and March 31, 2008, balances of assets and liabilities with related parties are presented as follows: � Assets:

Related parties Individual Consolidated 06/2008 03/2008 06/2008 03/2008

JHSF Incorporações S.A. 95 356 - - Shopping Cidade Jardim S.A. 21,998 18,704 - - Companhia Boa Vista de Desenvolvimento Imobiliário - 860 - - JHSF Shoppings S.A. - 18,157 - - JHSF Empreendimentos S.A. - 2,189 - - Aveiro Incorporações S.A. - 3,931 - - Socicam Administração, Projetos e Representações. (*) - - 448 898 Other 38 13 18 17 Total 22,131 44,210 466 915

(*) Minority shareholder of the subsidiary “Companhia Santa Cruz”.

� Liabilities: Related parties


JHSF Jardim S.A. 7,985 - - - José Auriemo Neto - - 770 770 Fabio Roberto Chimenti Auriemo - - 953 953 Total 7,985 - 1,723 1,723

9.2. Sale of property

The company sold two real estate units of the project Residencial Parque Cidade Jardim to related individuals, the balance receivable of which is discussed in Note 6.

10. Investments 10.1. Permanent equity interest

On June 30 and March 31, 2008, the Company’s investments comprise permanent equity interest, assessed by the equity accounting method, which were eliminated in the consolidation, as shown in Note 10.2.2.


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16

10.2. Main information on permanent equity interest 10.2.1. Investees Investees

Total common shares Shareholders’ Equity

Outstanding Held by Company 06/2008

03/2008

JHSF Incorporações S.A. 60,500,000 60,499,999 266,255 191,822 Companhia Santa Cruz 13,000,000 12,350,000 18,303 25,566 Companhia Metrô Norte 8,595,000 8,594,950 8,138 6,132 Companhia Boa Vista de Desenvolvimento Imobiliário 24,390,629 24,390,524 80,633 52,162 Companhia Patrimonial de Imóveis Comerciais 154,140,000 154,139,999 159,563 7,658 Companhia Administradora de Empreendimentos e Serviços 345,000 344,999 420 465 Sociedade Administradora de Estacionamentos e Serviços S.A. 30,000 29,999 353 471 Hotéis Fasano & Resorts S.A. 25,349,320 15,209,591 24,889 24,852 JHSF (Uruguay) S.R.L. 1,000 999 780 1,352 JHSF Shoppings S.A. 62,000,000 61,999,999 48,405 23,306 JHSF Jardim S.A. 53,490,000 53,489,999 63,616 56,940 JHSF Empreendimentos S.A. 13,490,387 13,490,386 13,000 11,964 Aveiro Incorporações S.A. 3,763,500 3,763,499 3,763 3,763 Hotel Marco Internacional S.A. (a) 30,156,223 4,191,715 15,575 15,133 Developer Desenvolvimento e Participações Imobiliárias S.A. (b) 100,010,000 100,009,998 (1) -

(a) On January 21, 2008, the Company acquired 4,191,715 registered common shares

of Hotel Marco Internacional S.A., representing 13.9% of the Company’s capital stock, for the amount of R$4,684. The Company together its direct subsidiary Hotéis Fasano & Resorts S.A., which holds 86.1% of capital stock, started to hold an interest equivalent to 65.56% of the capital stock of Hotel Marco Internacional S.A.;

(b) On May 09, 2008, the Company subscribed 100,000,000 registered common shares representing 99.99% of the capital stock of Developer Desenvolvimento e Participações Imobiliárias S.A., for a unit price of R$0.01, paid up upon capitalization of credits held by the Company, and also acquired 9,998 registered common shares for the total amount of R$9,998; the goodwill ascertained, in the amount of R$454, will be amortized within 10 years as from the date of its acquisition (See Note 11.1); other shareholders of Developer Desenvolvimento e Participações Imobiliárias S.A. hold shareholding rights based on the future performance of up to 30% of capital stock.

10.2.2. Breakdown of permanent equity interest

On June 30 and March 31, 2008, investments in permanent equity interest are broken down as follows:


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17

Breakdown on 2Q08

3/31/2008 Acquisition Acquisition Capital Dividends Equity Exchange variation - Adjustment to 6/30/2008

goodwill increase accounting Investments abroad equity valuation

JHSF Incorporações S.A. 99.99 191,822 - - 41,200 (12,000) 46,800 - (1,570) 266,252

Com panhia San t a Cruz 95.00 24,288 - - - (8,550) 1,650 - - 17,388

Com panhia Met rô Nor t e 99.99 6,132 - - 2,595 (17) (572) - - 8,138

Com panhia Boa Vist a 99.99 52,162 - - 11,539 (6,000) 24,193 - (1,261) 80,633

Com panhia Pat r im on ial de Im óveis Com erciais 99.99 7,658 - - 154,130 (5,000) 2,774 - - 159,562

Com panhia Adm in ist radora de Em preend im ent os e Serviços 99.99 465 - - 335 (300) (80) - - 420

Sociedade Adm in ist radora de Est acionam ent os e Serviços S.A. 99.99 471 - - 20 (100) (38) - - 353

Hot éis Fasano & Resor t s S.A. 60.00 14,912 - - - - 22 - - 14,934

JHSF (Uruguay) S.R.L. 99.99 1,352 - - - - (432) (140) - 780

JHSF Shopp ings S.A. 99.99 23,306 - - 26,292 - (1,112) - (80) 48,406

JHSF Jard im S.A. 99.99 56,940 - - - - 7,475 - (801) 63,614

JHSF Em preendim ent os S.A. 99.99 11,964 - - - - 1,156 - (120) 13,000

Aveiro Incorporações S.A. 99.99 3,763 - - - - 0 - - 3,763

Hot el Marco Int ernacional S.A. 13.90 2,103 - - - - 62 - - 2,165

Developer Desenvo lvim ent o e Par t icipações Im ob iliár ias S.A. 99.99 - 1,000 (454) - - (547) - - (1)

Total - 397,338 1,000 (454) 236,111 (31,967) 81,351 (140) (3,832) 679,407

Investee % - Interest

Breakdown on 2Q073/31/2007 Acquisition / Sale of Capital Dividends Equity 6/30/2007

Constitution interest increase sccounting

JHSF Incorporações S.A. 99.99 84,374 - - 19,200 - 8,218 111,792

Com panh ia Sant a Cruz 95.00 17,491 - - - (3,800) 2,512 16,203

Com panh ia Met rô Nor t e 99.99 505 - - - - 17 522

Com panh ia Boa Vist a 99.99 12,108 - - - - (235) 11,873

Com panh ia Pat r im on ial de Im óveis Com erciais 99.99 (32) - - - - 1,589 1,557

Com panh ia Adm inist radora de Em preendim ent os e Serviços 99.99 474 - - - - 770 1,244

Sociedade Adm in ist radora de Est acionam ent os e Serviços Lt da. 99.99 66 - - - - 235 301

Hot éis Fasano & Resort s S.A. 51.00 14,750 - (1,880) - - (79) 12,791

JHSF (Uruguay) S.R.L. 99.99 - 75 - - - - 75

JHSF Shoppings S.A. 99.99 - 23,353 - - - - 23,353

JHSF Jard im S.A. 99.99 - 35,090 - - - - 35,090

JHSF Em preend im ent os S.A. 99.99 - 7,883 - - - - 7,883

Total - 129,736 66,401 (1,880) 19,200 (3,800) 13,027 222,684

Investee % - Interest

11. Intangible assets

Description


Goodwill in the acquisition of investments (a) 164,171 171,598 175,672 183,428 Brands and patents (b) - - 2,449 2,448 Commercial properties (c) - - 3,655 3,655 Commercial assignments (d) - - 32,000 32,000 Other 1,000 1,000 2,749 1,115 (-) Accumulated amortization - - (242) - Total 165,171 172,598 216,283 222,646

(a) It refers to the goodwill in the acquisition of permanent equity interest, broken

down as shown in Note 11.1; (b) It refers to expenses with brands and patents registered at the National Institute

of Industrial Property – INPI, held by subsidiaries; (c) It refers to commercial properties acquired in the city of São Paulo in districts of

Jardins for operations with store owners; (d) It refers to payments to store owners to set up stores in Shopping Cidade Jardim

and other shopping malls to be developed by the Company or its subsidiaries, to be amortized as of the beginning of the operations, in compliance with the periods established for rental/exploration.


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18

11.1. Composition of goodwill in the acquisition of investments

06/2008 03/2008 Companies Historical

cost Accumulated amortization Net Net

Residencial Cidade Jardim I (a) 21,967 (20,189) 1,778 7,221 Residencial Cidade Jardim II (a) 13,723 (6,476) 7,247 8,767 Shopping Cidade Jardim (a) 101,548 (846) 100,702 101,548 Shopping Metrô Tucuruvi (a) 51,436 - 51,436 51,436 Hotel Marco Internacional S.A. (b) 2,693 (135) 2,558 2,626 Developer Desenvolvimento e Participações Imobiliárias S.A. (d) 454 (4) 450 -

Total Individual 191,821 (27,650) 164,171 171,598 Hotel Marco Internacional S.A. (c) 13,144 (1,643) 11,501 11,830 Total Consolidated 204,965 (29,293) 175,672 183,428

(a) At the Extraordinary General Meeting held on June 21, 2007, the shareholders

approved the acquisition by the amount of R$255,000 of all common shares of the following companies: (i) JHSF Shoppings S.A., (ii) JHSF Jardim S.A. and (iii) JHSF Empreendimentos S.A. by JHSF Participações S.A., as set forth in the private instrument of share purchase and sale executed on February 16, 2007 and amended on March 30, 2007. The acquired companies jointly held the minority interest of 45% in Shopping Cidade Jardim; 45% in Residencial Cidade Jardim I (Towers 1, 2, 3 and 6), 20% in Residencial Cidade Jardim II (Towers 4, 7, and 9) and equity interest of 30% in the Shopping Metrô Tucuruvi project. After this acquisition, JHSF Participações S.A. holds 100% of Parque Cidade Jardim project (residential and shopping center) and Shopping Metrô Tucuruvi project. The final acquisition amount is not higher than the value of the appraisal report prepared by BDO Trevisan Auditores Independentes, which was approved by the shareholders at the Extraordinary General Meeting of June 21, 2007. The goodwill verified in relation to Shopping Cidade Jardim and Shopping Metro Tucuruvi is formed based on the expectation of future profitability of these projects and amortized in up to 10 years, counted from the beginning of activities. The goodwill verified in relation to Residencial Cidade Jardim I and II, formed based on the expectation of result of these projects, is being proportionally amortized at the ratio of the result realized (realization period estimated at 03 years);

(b) As presented in Note 10.2.1.(a), on January 21, 2008, the Company acquired

4,191,715 registered common shares of Hotel Marco Internacional S.A., representing 13.9% of the Company’s capital stock, the goodwill of which is calculated based on the expectation of future profitability of the Hotel Marco Internacional S.A.’s operating activity, and is being amortized in up to 10 years, as of the date of its acquisition.

(c) It refers to the goodwill verified by the subsidiary Hotéis Fasano e Resorts S.A.

considered in its whole amount, arising from the consolidation, in which the Company holds a 60% interest in the subsidiary Hotéis Fasano e Resorts S.A. This goodwill results from the acquisition of the 86.1% interest by the subsidiary Hotéis Fasano e Resorts S.A. in Hotel Marco Internacional S.A., and is based on the expectation of future profitability of Hotel Marco Internacional S.A.’s operating activity, and shall be amortized in up to 10 years from the date of acquisition.


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19

(d) As mentioned in Note 10.2.1. (b), on May 09, 2008, the Company subscribed

100,000,000 registered common shares representing 99.99% of the capital stock of Developer Desenvolvimento e Participações Imobiliárias S.A., whose goodwill is based on the expectation of future profitability, and will be amortized within 10 years as from the date of its acquisition.

12. Property, plant and equipment

Description Annual depreciation %

Individual Consolidated 06/2008

03/2008

06/2008

03/2008

Shopping Cidade Jardim (a) 4 - - 199,097 162,677 Improvements in third-party leasehold - Shopping Metrô Tucuruvi (b) - - - 8,090 6,337 Improvement in third-party leasehold - Shopping Metrô Santa Cruz (b) 4 - - 50,974 50,974 Companhia Patrimonial de Imóveis Comerciais (c) 4 - - 61,656 61,656 Hotel Marco Internacional (d) 10 to 20 - - 12,762 12,535 Properties under construction - Companhia Boa Vista de Empreendimentos Imobiliários (e) - - - 8,161 5,446 Other 10 to 20 1,194 1,244 6,910 5,309 Subtotal 1,194 1,244 347,650 304,934

(-) Accumulated depreciation (123) (78) (17,214) (15,076)

Total property, plant and equipment, net 1,071 1,166 330,436 289,858

(a) Under the title “Shopping Cidade Jardim” one finds recorded the costs relative to

the land and construction of the project, which was launched on May 31, 2008; (b) Under the titles “improvement to third-party leasehold” are recorded the expenses

with improvements and infrastructure performed in the properties that belongs to Companhia Metropolitana de São Paulo – METRÔ, aiming at implementing Shopping Metrô Santa Cruz and Shopping Metrô Tucuruvi. Shopping Metrô Santa Cruz started its operations in November 2001; The construction work of Shopping Metrô Tucuruvi is at an initial stage and is expected to be concluded in the second half of 2009. The improvements made are being depreciated in the period of 25 years (estimated useful economic life), as from the beginning of the operations. The term of concession granted to Companhia Santa Cruz for commercially exploiting the project is 50 years, in Shopping Metrô Tucuruvi the concession period is 44 years as of the date of registration of the usufruct right at the Real Estate Registry Office;

(c) Commercial property intended for rent; (d) The item records the totality of the property, plant and equipment of the indirect

subsidiary Hotel Marco Internacional, which is comprised of improvement to third-party leasehold R$8,848, machinery and equipment R$1,713, furniture and fixtures R$1,459 and others R$742;

(e) The item “Properties under construction – Companhia Boa Vista de

Empreendimentos Imobiliários” records the costs related to construction, improvements and facilities (Golf Club, Spa, Helideck, Tennis Center etc), which


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20

will be explored by the Company in project Boa Vista. The construction work of the first phase of the development is expected to be completed in the second half of 2009.

13. Deferred charges

Description

Annual amortization rate %

Individual Consolidated 06/2008

03/2008

06/2008

03/2008

Pre-operating expenses – JHSF Shoppings S.A. (a) - - - 3,136 1,663

Pre-operating expenses – Shopping Cidade Jardim S.A. (a) - - -

40,646

23,547

Pre-operating expenses – Companhia Metrô Norte (a) - -

-

2,841

2,555

Pre-operating expenses – Companhia Boa Vista de Desenvolvimento Imobiliário (b) 10 -

- 3,533 3,533

Hotel Marco Internacional S.A. (c) 10 - - 13,288 13,288

Other - 2,798 277 3,412 2,371 Subtotal 2,798 277 66,856 46,957

Amortization of deferred charges - - (7,753) (6,275)

Total net deferred charges 2,798 277 59,103 40,682

(a) It refers to the pre-operating expenses incurred, since December 2005, aiming at

making viable Shopping Cidade Jardim and Shopping Metrô Tucuruvi, which are amortized within a maximum term of 10 years, the term estimated for recovering the investments, as from the beginning of their operations and the generation of revenue from the respective projects.

(b) The pre-operating expenses with Companhia Boa Vista de Desenvolvimento Imobiliário refer to the expenses incurred, intended for the study and implementation of the Boa Vista project, which are being amortized within 10 years as from the beginning of the recognition of results with referred real estate project, in November 2007;

(c) Pre-operating expenses with Hotel Marco Internacional S.A. refer to expenses incurred, with the implementation and improvement of facilities and premises of the Hotel, which will be amortized within 10 years.


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14. Loans and financing

Annual interest rate - %

Individual Consolidated

Domestic Currency Index 06/2008 03/2008 06/2008 03/2008

Financial institutions (a) CDI 0.96 to 1.50 88,690 92,437 217,686 202,242 BNDES (b) TJLP 3.55 - - 75,475 50,059 Total 88,690 92,437 293,161 252,301 Short-term – Current 16,665 13,012 27,314 21,356 Long-term – Non-current 72,025 79,425 265,847 230,945

(a) It corresponds to loans in domestic currency, for working capital, raised in regular

financial institutions, monetarily restated by the CDI (Interbank Deposit Certificate) rate variation, plus average interest of 1.19% per annum, guaranteed by promissory notes and endorsed by the parent company.

(b) It corresponds to the loan in domestic currency obtained from BNDES. This loan was granted to finance Shopping Cidade Jardim project, monetarily restated by the Long-Term Interest Rate (TJLP) variation plus interest of 3.55% per annum, the mortgage guarantee of which is the project itself.

On June 30, 2008, non-current installments had the following payment schedule: Maturity year Individual Consolidated 2009 9,721 21,517 2010 23,592 73,817 2011 24,008 75,324 From 2011 on 14,704 95,189 Total 72,025 265,847

15. Payroll and related charges

Description


PIS - Employees’ Profit Participation Program - - 162 259 COFINS- Tax for Social Security Financing - - 1,677 2,133 ISS - Services Tax - - 1,923 1,601 IRPJ- Corporate Income Tax - - 1,618 2,252 CSLL- Social Contribution on Net Profit tax - - 763 1,004 PAEX (exceptional division into installments) - - 5,513 5,601 RET - Special Taxation System - - 3,206 2,704 Social charges 62 86 2,053 1,824 Sundry obligations 969 955 6,562 4,679 Total 1,031 1,041 23,486 22,057 Short-term – Current 1,031 1,041 17,868 16,287


With the purpose of enjoying the favorable payment conditions established by the Provisory Measure no. 303 as of June 29, 2006, later converted into Law no. 11,371 as of November 28, 2006 (reduction of charges and extension of the debt), in September 2006 the indirect subsidiary SAS - Sociedade Administradora de Centros Comerciais S.A. decided to pay in


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22

installments, exceptionally, its tax debits not registered resulting from Corporate Income Tax, Social Contribution on Income, as well as from the COFINS and the PIS/PASEP. On June 30, 2008, the debt balance amounts to R$5,513 (R$5,601 on March 31, 2008), of which R$651 (R$639 on March 31, 2008) are classified in the current liabilities and R$4,862 (R$4,962 on March 31, 2008) in the long-term liabilities. Out of the remaining balance in the long term, R$2,417 will be settled in 108 monthly installments and R$2,445 in 98 monthly installments.

16. Deferred taxes and contributions

Income tax and social contribution tax are recorded in the accounting statements based on the income recognized and on the cost incurred by the accrual basis system. For tax purposes, Regulatory Instruction SRF no. 84/79 (activity related to real estate development and sales) allows the Company to defer the payment of the tax in order to equal to the proportion of sales receipts contracted. As a result, a deferred tax liability is recorded based on the difference between the profit recognized in the present accounting statements in compliance with Resolution no. 963/03, and the current tax (payable) in compliance with the cash basis system. A provision for deferred taxes and contributions on income from rentals to be appropriated, recorded in the group of deferred income (REF) has also been made:

Description Consolidated

06/2008 03/2008 Assets Liabilities Net Assets Liabilities Net

Deferred taxes and contributions (PIS, Cofins, IRPJ and CSLL) 2,534 (19,034) (16,500) 991 (12,625) (11,634) Short-term – Current 2,534 (14,473) (11,939) 991 (7,881) (6,890) Long-term – Non-current - (4,561) (4,561) - (4,744) (4,744)

16.1. Income tax and social contribution conciliation

The conciliation of Income Tax and Social Contribution amounts verified on June 30, 2008 and 2007 is as follows:


06/2008 06/2007 06/2008 06/2007 Earnings before income tax and social contribution 136,469 (6,104) 153,494 8,893 - Income from equity interest (164,009) (24,669) (573) - - Goodwill amortization 16,785 - 17,439 - - Exclusion of net effects from subsidiaries assessed at Special Tax System – Assumed Profit and RET - - (167,404) (8,360) Calculation basis of Taxable Income (10,755) (30,773) 2,956 533 Applicable rate 34% 34% 34% 34% Tax debit calculated at Taxable Income - - (1,005) (181) RET Calculation basis - - 288,980 78,498 Applicable rate 3.35% 3.35% 3.35% 3.35% Tax debit calculated at RET - - (9,681) (2,630) Calculation basis of Assumed Profit - - 16,774 6,653 Applicable rate 34% 34% 34% 34% Tax debit calculated at Assumed Profit - - (5,703) (2,262) Total - - (16,389) (5,073)


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23

17. Creditors under Committed Properties

These represent balances payable related to land acquisition agreements, with the purpose of launching new projects:

Description


Creditors under committed properties - - 28,431 29,251

Short-term – Current - - 15,791 9,351 Long-term – Non-current - - 12,640 19,900

Agreements subject to monetary restatement are updated by the Civil Construction National Index (INCC) variation. The installment recorded in non-current liabilities is expected to fall due after 2009.

18. Income from sales of real estate to be appropriated

As mentioned in Note 4 (a.1.), the procedures and rules established by Resolution CFC no. 963/03 are adopted for the accounting recognition of the income earned from real estate operations. Consequently, the balances of the budgeted costs of the units sold and the sales income relative to the sales of real estate to be appropriated, stemming from the effective projects, are not reflected in the accounting statements. (a) Income from sales of real estate to be appropriated

Effective projects (not recognized in the accounting statements) Consolidated Description 06/2008 03/2008

Income from sales to be appropriated 568,619 477,676

Cost of units sold to be appropriated (257,880) (227,011) Commercial expenses to be appropriated (24,278) (20,442)

Net 286,461 230,223

(b) Provision for budgeted costs to be incurred

Effective projects (not recognized in the accounting statements) Consolidated Description 06/2008 03/2008

Budgeted cost to be incurred - -

Current 230,458 202,872 Non-current – long-term 27,422 24,139

Total 257,880 227,011


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24

19. Advances from clients

The amounts received from clients with values higher than the credit balances receivable are recorded as advances from clients: Effective projects (not recognized in the accounting statements) Consolidated 06/2008 03/2008

Installments received 573,546 438,492 + Accounts receivable (See Note 6) 238,438 174,624 (-) Appropriated income (746,460) (548,485) Total advances from clients due to sales of properties 65,524 64,631 Advances from clients – transfer of the rights of use of stores -

Shopping Cidade Jardim (a) 9,022 8,483 Other 600 715

Total 75,146 73,829

(a) This refers to the values already received as transfer of rights of use of the stores in

Shopping Cidade Jardim (under construction), which are being appropriated to the income as from the beginning of the operations of the project, in May 2008, due to the term of lease agreements executed with store owners.

20. Provision for risks

During the regular progress of their businesses, the Company and its subsidiaries are exposed to certain risks, which include tax, labor and civil claims under discussion. The Company and its subsidiaries have the following provisions recorded in order to face fortuitous legal claims:

Individual Consolidated 06/2008 03/2008 06/2008 03/2008 Labor (a) - - 88 88 Tax (b) - - 2,514 2,514 Civil (c) - - 152 152 Total - - 2,754 2,754

(a) It refers to labor claims, claiming the recognition of salary differences, unhealthy work

premium, employment relationship and their respective reflections, severance funds, overtime and their respective social charges;

(b) It is a provision for possible risks related to federal taxes and contributions (PIS,

COFINS, IRPJ and CSLL) stemming from criteria used to calculate them; (c) It refers to civil liabilities issues in progress.


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25

21. Advances for future capital increase

It refers to the advances carried out by the Company for its subsidiaries, which will be paid in the future.

ASSETS Individual Consolidated 06/2008 03/2008 06/2008 03/2008

JHSF Incorporações S.A. (b) 3,389 29,922 - - Companhia Administradora de Empreendimentos e Serviços (b) - 335 - - Companhia Metro Norte (b) 1,860 2,595 - - Companhia Boa Vista de Desenvolvimento Imobiliário (b) 1,331 11,540 - - Companhia Patrimonial de Imóveis Comerciais (b) - 154,130 - - Sociedade Administradora de Estacionamentos e Serviços (b) 150 20 - - JHSF Shoppings S.A. (b) 19,671 17,118 - - JHSF Empreendimentos S.A. 1,790 - - - JHSF (Uruguay) S.R.L. (a) 21,002 22,009 - - Aveiro Incorporações S.A. 4,164 - - - Developer Desenvolvimento e Participações Imobiliárias S.A. (b) 5,429 - - - Total 58,786 237,669 - -

(a) In the subsidiary JHSF (Uruguay) S.R.L., due to the fact that it is a subsidiary with

headquarters abroad, the advance for future capital increase is being monetarily restated by the US dollar quotation. On March 31, 2008, the Company paid R$2,041 out of the balance of the advance for future capital increase of the subsidiary JHSF (Uruguay) S.R.L.,

(b) On April 30, 2008, capital subscriptions were carried out in said subsidiaries, as mentioned in Note 10.2.2.

22. Deferred income

In 2005 the controlled company Companhia Santa Cruz issued at B.I. Companhia Securitizadora de Créditos Imobiliários (a real estate securitization company) Real Estate Credit Notes (CCIs) representing the lease agreements (deferred income) of Shopping Metrô Santa Cruz, totaling a funding of R$50,230. B.I. Companhia Securitizadora de Créditos Imobiliários, in its turn, issued Real Estate Receivables Certificates (CRIs), to which compensation interest equivalent to 10.5% per annum is granted, plus monetary restatement by the General Market Price Index (IGP-M), as from the issuance date up to the maturity date of each CRI. The guarantees of the operation are represented by the lease agreements (deferred income), preemptive rights of the senior CRIs over the subordinated CRIs (subscribed and paid-in by Companhia Santa Cruz) and the maintenance of R$3,000, applied in a short-term fund. The terms and the maturity dates are fixed; the first due date occurred in November 2005 and the last one will occur in 2015. The appropriation of the revenues from future rentals, for which CCIs have been issued, is being made every month at the ratio of 1/120th.


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26

The balances are net from deferred taxes and contributions (PIS, COFINS, IRPJ and CSLL), as follows:

Description


Real estate receivables with rentals to be appropriated - - 36,415 37,670 (-)Deferred taxes and contributions - - (5,291) (5,473) = Deferred income - - 31,124 32,197

23. Interest held by minority shareholders in subsidiaries

It is composed of:

� Composition of liabilities:

% Individual Consolidated Interest 06/2008 03/2008 06/2008 03/2008

Companhia Santa Cruz 5.00 - - 915 1,278 Hotel Fasano & Resorts S.A. 40.00 - - 9,956 9,940 Others - - 4 3 Total - - 10,875 11,221

� Composition of the income:

% Individual Consolidated Interest 06/2008 06/2007 06/2008 06/2007 JHSF Incorporações S.A. - Silent Partnership Residencial Parque Cidade Jardim I 45.00 - - - (6,910) JHSF Incorporações S.A. - Silent Partnership Residencial Parque Cidade Jardim II 20.00 - - - (2,835) Companhia Santa Cruz 5.00 - - (231) (239) Hotel Fasano & Resorts S.A. 40.00 - - (164) 60 Total - - (395) (9,924)

24. Shareholders’ equity (Individual only)

06/2008 03/2008 Capital stock 705,782 705,782 Profit reserve 67,168 73,107 Adjustment to equity valuation (2,016) - Retained earnings 134,873 64,697 Total 905,807 843,586

Capital stock

The Board of Directors Meeting held on March 28, 2008 approved the conversion of the “Stock Option” into 74,074 new Company shares, by means of a R$24 capital stock increase. On June 30, 2008, the totally paid-in capital stock amounted to R$705,782, represented by 426,374,825 non-par registered common shares.


June 30, 2008




27

Profit reserve The legal reserve is recorded by means of the appropriation of 5% of the net income of the year. Profit retention reserve corresponds to the remaining profit after the allocation to the legal reserve and proposed dividends distribution. This reserve chiefly aims at meeting investment plans contemplated in capital budget for the development of new businesses.

Policy of Dividend Distribution The shareholders are entitled to receive, in each fiscal year, as dividends, a mandatory minimum percentage of twenty-five per cent (25%) on the net income for the year, with the following adjustments:

• The decrease of the amounts destined to the constitution of the legal reserve and reserve for contingencies in the year; and

• The increase of amounts resulting from the reversal of previous reserves for

contingencies, previously formed, in the year.

On December 31, 2007, the Company’s management proposed, subject to the approval of the Annual Shareholders Meeting, the distribution and subsequent payment of R$15,000, as dividends to its shareholders, which were fully paid on March 27, 2008.

25. Financial instruments

The main assets and liabilities financial instruments on June 30, 2008, as well as the criteria for their appreciation, are presented below:

• Cash and cash equivalents and financial investments (Note 5): balances in current

accounts and financial investments held in financial institutions approved by the Management have the same market values as accounting balances;

• Accounts receivable (Note 6): the balances of accounts receivable restated at contractual indexes used in the market are maintained at present value, pursuant to CVM Instruction 469/08;

• Related parties payable / receivable (Note 9): they are presented at accounting value and are mainly aimed at providing funds for the development of projects in the Company’s subsidiaries, with no incidence of financial charges. There are no similar instruments in the market;

• Investments in subsidiaries (Note 10) do not have a quotation on the stock exchange and, therefore, there are not enough assumptions to define its market value.

• Loans and financing (Note 14): market values for loans and financing are equal to those of the accounting balances, and the charges are consistent with the rates used in similar operations.

These instruments are managed by means of operating strategies aiming at liquidity, profitability and minimization of risks.


June 30, 2008




28

Risks to exposure related to exchange variations of assets and liabilities in foreign currency are protected by hedge financial operations (Note 8(b)), which allow the Company and its subsidiaries to swap exchange risks in US dollar for the cost related to the CDI variation.

26. Insurance

The Company and its subsidiaries have an insurance coverage for liabilities with personal damages to third parties and material damages to tangible assets, as well as for the risk of fire, lightning, electrical damages, Acts of God, and gas explosions. The coverage contracted is considered sufficient by management to cover possible risks to their assets and/or liabilities. Due to their nature and particularity, the assumptions of risks adopted were not reviewed by our independent auditors.

27. Stock Option Plan

Pursuant to Article 6, Paragraph 3 of the Company’s Bylaws, within the limit of authorized capital and in accordance with the Plan approved by the General Meeting, the Board of Directors may allow the Company to grant stock options to its managers and employees, as well as to the managers and employees of the Company’s direct and indirect subsidiaries and, also, to individuals who provide services to the Company, with no preemptive rights to shareholders. The Company approved the granting of stock options involving the Company’s common shares to its managers, employees and service providers, as well as the managers, employees and service providers of the Company’s subsidiaries in a volume equivalent to 3,222,195 shares, the total amount of which for the year was R$20,131. Out of this amount, options equivalent to 157,015 shares were granted at an exercise price corresponding to the share’s equity value, pursuant to the balance as of December 31, 2006, which had already been exercised on June 30, 2008, of which 74,074 were exercised in March 2008 (See Note 24), representing a dilution equivalent to R$440. The remaining options, equivalent to 3,065,180 shares, must comply with the grace period as provided by the approved plan, and 209,297 options could already be exercised on June 30, 2008, but had not been exercised yet. Based on the price of shares on June 30, 2008 and on its intrinsic value, the effect of the dilution and of the expenses would be R$3,861 (R$231 referring to options which could already be exercised).

28. Amendment to the Brazilian Corporate Law

On December 28, 2007, Law 11,638 was enacted, which amended the provisions in the Brazilian Corporate Law - Law 6,404/76, establishing amendments regarding the presentation and preparation of accounting statements, aiming to be in line with the international accounting standards, attributing to the Brazilian Securities and Exchange Commission (CVM) the power to issue rules for publicly-held companies, so as to regulate said matters. The amendments established by this Law shall already have an effect on the year to be ended on December 31, 2008, mandatorily. On May 02, 2008, the Brazilian Securities and Exchange Commission (CVM) issued Instruction 469, which made mandatory the application of certain matters comprised in Law 11,638/07 upon presentation of Quarterly Information. The management decided to register all material effects deriving from Instruction 469/07 that are applicable to the Company in the preparation of these Quarterly Information, and analyzed, in view of the amendments


June 30, 2008




29

resulting from these provisions, which aspects would or would not be applicable and their respective effects, in the best estimate and analysis, as shown below: CVM Instruction 469/08 and Law 11,638/07 (items applicable to the Company):

• Introduction of the concept and accounting of adjustment to present value for long-term

asset and liability operations and relevant short-term ones: On June 30, 2008, the calculation of adjustment to present value (accounts receivable and sundry credits), adopting as assumption the discount by the average funding rate (CDI + 0.48% p.a.) and the restatement of these assets due to their expected indexation and contracted interest rates (when applicable) represented a negative effect on the Company’s shareholders’ equity of R$7,815, of which R$287 was negative in the quarter and R$1,876 was negative for the half year, both ended on June 30, 2008, and these effects were recognized. The effect on the Company’s shareholders’ equity on June 30, 2007 amounted to R$4,449, which is only serving as object of disclosure.

• Inclusion of the statement of value added, which presents the value added by the Company, as well as the source and allocation of these amounts: Already implemented as from 1Q08.

• Change in the relevance parameter for the adjustment of investments in affiliated

companies by the equity accounting method (replacement of the parameter of 20% of the investee’s capital stock to 20% of the investee’s voting capital): This procedure has no impact on the Company.

Law 11,638 (items applicable to the Company):

• Compensation based on Shares: The Company already discloses its policy in a specific

note. • Creation of the new subgroup of accounts, intangible, which includes goodwill from the

future profitability. As from 1Q08, the Company already reclassified from the Investment group to the Intangible group in the consolidated quarterly information.

• Change in the concept for amounts recorded in deferred assets; Only pre-operating

expenses and restructuring costs that effectively contribute to the increase in income for more than one fiscal year, and which do not simply represent a cost reduction or higher operating efficiency, should be recorded in this item: Currently, the Company’s management believes there will be no impact resulting from this matter.

• Mandatory periodical analyses of the capability of recovering amounts recorded in

intangible and deferred assets and property, plant and equipment, so as to ensure that the loss for the non-recovery of these assets is recorded as a result from decisions to discontinue activities related to said assets, or whenever there is evidence that the results from operations will not be sufficient to ensure the realization of the assets: Currently, the Company’s management believes there will be no impact resulting from this matter.


June 30, 2008




30

• Requirements that investments in financial instruments, including derivatives, are recorded: (i) at market value or equivalent values, when the investments are destined to trade or available for sale; and (ii) at acquisition cost or issuance value, restated pursuant to legal or contractual provisions, adjusted at probable realization value, when this is lower. This matter is already addressed by the Company and described in the note on financial instruments.

• Replacement of the statement of changes in financial position for the statement of cash

flows: The Company already discloses the statement of cash flows, since December 31, 2007.

• Recording of the exchange variation on corporate investments abroad evaluated by the

equity method of accounting in a new subgroup of accounts, adjustments to equity evaluation, in shareholders’ equity: The adjustment accounted for in shareholders’ equity on June 30, 2008, was R$2,016.

29. Management compensation

At the Annual and Extraordinary Shareholders’ Meeting held on March 17, 2008, the shareholders approved the determination of the overall annual limit to the management compensation for 2008 at the maximum amount of R$6,800. On June 30, 2008, the amounts paid totaled R$1,379.


June 30, 2008




31

30. Statements of cash flow

Individual

Operating flow

OperationsNet income for the period 134,873 134,873

Depreciation and amortization 97 5,712 Goodwill amortization 16,785 17,443 Net monetary variations 5,833 12,296 Equity accounting 160,515 573 Minority interest in subsidiaries - 395 Provision for contingencies - -

Assets decrease (increase) Accounts receivable - (124,680) Real estate to be sold - (18,986) Recoverable taxes and contributions (256) (2,468) Expenses with unearned sales - (4,065) Other accounts receivable (2,387) (783) Dividends receivable - -

Liabilities increase (decrease) Suppliers 329 23,980 Labor and tax obligations 430 3,679 Advances from clients - (10,030) Deferred taxes and contributions - 10,511 Deferred income - (2,146) Provision for contingencies - -

Operating cash generation 316,219 46,303

Investment flow

Addition to investment assets (527,364) (0) Addition to fixed assets (416) (94,760) Additions to deferred assets (2,763) (29,514) Additions to intangible assets (1,569) (5,442)

(532,112) (129,716)

Financial flow

Loans and financing (2,071) 101,660 Committed property creditors - (2,303) Long-term liabilities increase (decrease) - Loan with controlled companies 7,985 75 Long-term assets decrease (increase) - Loan with controlled companies 49,312 443 Capital subscription 23 23 Adjustment at present value (7,955) (7,955) Minority interest in subsidiaries - (2,045) Advances for future capital increase 178,300 (0) Dividends paid (15,267) (15,000)

210,326 74,898

Cash surplus for the period (5,566) (8,514)

Change in cash and cash equivalents

Cash and cash equivalents in the beginning of the year 67,305 224,882 Cash and cash equivalents in the end of the year 61,739 216,368

(5,566) (8,514)

6/30/20086/30/2008

Statement of Cash Flow

(R$ thousand)

for the six-month period ended on June 30, 2008

Consolidated


June 30, 2008




32

31. Statement of Value Added


6/30/2008 6/30/2008

1. - Income - 411,623 1.1. - Income from sale of properties - 375,425 1.2. - Income from shopping malls - 13,517 1.3. - Income from hotels - 11,510 1.4. - Income from service rendering - 11,041 1.5. - Non-operating income - 130

2. - Input (4,095) (204,292) 2.1. - Costs with sale of properties - (170,167) 2.2. - Costs with shopping malls - (6,144) 2.3. - Costs with hotels - (6,886) 2.4. - Costs with service rendering - (4,078) 2.5. - Materials, outsourced services and others (4,095) (17,017)

3. - Gross value added (4,095) 207,331

4. - Retentions (16,882) (19,977) 4.1 - Depreciation and amortization (97) (2,538) 4.2 - Goodwill amortization (16,785) (17,439)

5. - Net value added (20,977) 187,353

6. - Value added received by transfer 167,447 16,081 6.1 - Financial revenues 6,932 15,903 6.2 - Income from equity interest 160,515 573 6.3 - Minority interest - (395)

7. - Value added to distribute 146,470 203,434

8. - Value added distribution 8.1 - Personnel and charges 3,924 18,111 8.2 - Taxes and contributions 943 38,429 8.3 - Interest and rentals 6,730 12,022 8.4 - Net income for the period 134,873 134,873

146,470 203,434

Statement of value addedfor the six-moth period ended on June 30, 2008

(R$ thousand)


June 30, 2008



05.01 - COMMENTS ON THE COMPANY’S PERFORMANCE IN THE QUARTER

33

JHSF Participações S.A. does not have its own cash generation for it is a holding company. Therefore, its activities result from the income of its subsidiaries, shareholders and funding in the financial market. The comments on the Company’s performance are described in the item “Comments on the Consolidated Performance in the Quarter”.


June 30, 2008


34


1 - CVM CODE 02060-5



06.01 - CONSOLIDATED BALANCE SHEET - ASSETS (in thousands of Reais)


1 Total Assets 1,448,715 1,341,698

1.01 Current Assets 720,835 689,213

1.01.01 Cash and Cash Equivalents 212,135 235,203

1.01.02 Credits 508,700 454,010

1.01.02.01 Clients 201,413 155,989

1.01 .02.02 Sundry Credits 307,287 298,021

1.01.02.02.01 Accounts Receivable 0 0

1.01.02.02.02 Properties for Sale 266,849 269,564

1.01.02.02.03 Sundry Credits 4,912 4,011

1 .01.02.02.04 Recoverable taxes and contributions 4,708 2,257

1.01.02.02.05 Deferred taxes and contributions 2,534 991

1.01.02.02.06 Selling expenses to be appropriated 25,603 20,442

1.01.02.02.07 Other Credits 2,681 756

1.01.03 Inventories 0 0

1.01.04 Other 0 0

1 .02 Non-current Assets 727,880 652,485

1.02.01 Long-term Assets 122,058 99,299

1.02.01.01 Sundry Credits 122,058 99,299

1.02.01.01.01 Financial Investments 4,233 4,122

1.02.01.01.02 Accounts Receivable 36,833 22,052

1.02.01.01.03 Properties for Sale 58,692 55,703

1.02.01.01.04 Sundry Credits 21,834 16,507

1.02.01.01.05 Related Parties 466 915

1.02.01.02 Credits with Related Parties 0 0

1.02.01.02.01 With Direct and Indirect Associated Companies 0 0

1.02.01.02.02 With Subsidiaries 0 0

1.02.01.02.03 Other Related Parties 0 0

1.02.01.03 Other 0 0

1.02.02 Permanent Assets 605,822 553,186

1.02.02.01 Investments 0 0

1 .02.02.01.01 In Direct and Indirect Associated Companies 0 0

1 .02.02.01.02 In Direct and Indirect Associated Companies - Goodwill 0 0

1.02.02.01.03 In Subsidiaries 0 0

1.02.02.01.04 In Subsidiaries - Goodwill 0 0

1.02.02.01.05 Other Investments 0 0

1.02.02.02 Property, Plant and Equipment 330,436 289,858

1.02.02.03 Intangible Assets 216,283 222,646

1.02.02.04 Deferred Charges 59,103 40,682


June 30, 2008


35


1 - CVM CODE

02060-5 2 - COMPANY NAME

JHSF PARTICIPAÇÕES S.A. 3 - CNPJ (Corporate Taxpayer’s ID)

08.294.224/0001-65

06.02 - CONSOLIDATED BALANCE SHEET - LIABILITIES (in thousands of Reais)


2 Total Liabilities 1,448,715 1,341,698

2.01 Current Liabilities 207,775 188,858

2.01.01 Loans and Financing 27,314 21,356

2.01.02 Debentures 0 0

2.01.03 Suppliers 55,106 58,616

2.01.04 Taxes, Fees and Contributions 0 0

2.01.05 Dividends Payable 0 0

2.01.06 Provisions 0 0

2.01.07 Debts with Related Parties 0 0

2.01.08 Other 125,355 108,886

2.01.08.01 Labor and Tax Liabilities 17,868 16,287

2.01.08.02 Deferred Taxes and Contributions 14,473 7,881

2.01.08.03 Creditors under Committed Properties 15,791 9,351

2.01.08.04 Sundry Debits 2,077 1,538

2.01.08.05 Advances from Clients 75,146 73,829

2.02 Non-current Liabilities 324,258 298,033

2.02.01 Long-term Liabilities 293,134 265,836

2.02.01.01 Loans and Financing 265,847 230,945

2.02.01.02 Debentures 0 0

2.02.01.03 Provisions 2,754 2,754

2.02.01.03.01 Provision for Contingences 2,754 2,754

2.02.01.04 Debts with Related Parties 0 0

2.02.01.05 Advances for Future Capital Increase 0 0

2.02.01.06 Other 24,533 32,137

2.02.01.06.01 Labor and Tax Liabilities 5,609 5,770

2.02.01.06.02 Deferred Taxes and Contributions 4,561 4,744

2.02.01.06.03 Creditors under committed properties 12,640 19,900

2.02.01.06.04 Related Parties 1,723 1,723

2.02.02 Deferred Income 31,124 32,197

2.03 Non-controlling Shareholders’ Interest 10,875 11,221

2.04 Shareholders’ Equity 905,807 843,586

2.04.01 Paid-up Capital Stock 705,782 705,782

2.04.02 Capital Reserves 0 0

2.04.03 Revaluation Reserves 0 0

2.04.03.01 Own Assets 0 0

2.04.03.02 Subsidiaries/Direct and Indirect Associated Companies 0 0

2.04.04 Profit Reserves 65,152 73,107

2.04.04.01 Legal 5,305 5,305

2.04.04.02 Statutory 0 0

2.04.04.03 For Contingencies 0 0

2.04.04.04 Unrealized Profits 0 0

2.04.04.05 Profit Retention 59,847 67,802

2.04.04.05.01 Retained Profits 67,802 0

2.04.04.05.02 Net Present Value Adjustment (5,939) 0

2.04.04.05.03 Equity Valuation Adjustment (2,016) 0

2.04.04.06 Special Reserve for Undistributed Dividends 0 0

2.04.04.07 Other Profit Reserves 0 0

2.04.05 Retained Earnings/Accumulated Deficit 134,873 64,697

2.04.06 Advances for Future Capital Increase 0 0



36


02060-5

2 - COMPANY NAME



08.294.224/0001-65 07.01 - CONSOLIDATED STATEMENT OF INCOME (in R$ thousand)

1- Code 2- Description 3 - 4/1/2008 to 6/30/2008 4 - 1/1/2008 to 6/30/2008 5 - 4/1/2007 to 6/30/2007 6 - 1/1/2007 to 6/30/2007

3.01 Gross Revenue from Sales and/or Services 216,108 411,493 63,253 107,630

3.01.01 Property Sale Revenue 196,496 375,425 41,751 78,482

3.01.02 Shopping Centers Revenue 7,752 13,517 5,250 10,583

3.01.03 Hotel Revenue 5,775 11,510 9,788 9,788

3.01.04 Services Revenue 6,085 11,041 6,464 8,777

3.02 Deductions from Gross Revenue (8,525) (16,405) (3,112) (4,962)

3.03 Net Revenue from Sales and/or Services 207,583 395,088 60,141 102,668

3.04 Cost of Goods and/or Services Sold (99,580) (187,275) (31,181) (50,712)

3.04.01 Property Sale Cost (89,716) (170,167) (20,463) (37,514)

3.04.02 Shopping Centers Cost (4,079) (6,144) (1,783) (3,341)

3.04.03 Hotel Cost (3,532) (6,886) (6,449) (6,449)

3.04.04 Services Cost (2,253) (4,078) (2,486) (3,408)

3.05 Gross Income 108,003 207,813 28,960 51,956

3.06 Operating Revenues/Expenses (29,409) (56,286) (36,357) (43,079)

3.06.01 Selling (9,255) (17,362) (1,657) (2,690)

3.06.02 General and Administrative (13,361) (24,156) (7,148) (12,052)

3.06.03 Financial 1,261 2,102 (485) (242)

3.06.03.01 Financial Income 9,106 15,903 7,044 9,113

3.06.03.02 Financial Expenses (7,845) (13,801) (7,529) (9,355)

3.06.04 Other Operating Revenues 0 0 (282) 808

3.06.05 Other Operating Expenses (8,209) (17,443) (26,785) (28,903)

3.06.05.01 Goodwill amortization (8,205) (17,439) 0 0

3.06.05.02 Public Offering Expenses 0 0 (26,785) (28,903)

3.06.05.03 Other (4) (4) 0 0

3.06.06 Equity in the Earnings of Controlled and Affiliated Companies

155 573 0 0

A free translation of the original in Portuguese) FEDERAL PUBLIC SERVICE CVM - BRAZILIAN SECURITIES AND EXCHANGE COMMISSION ITR - QUARTERLY INFORMATION COMMERCIAL, INDUSTRY & OTHER TYPES OF COMPANY


37


02060-5

2 - COMPANY NAME



08.294.224/0001-65 07.01 - CONSOLIDATED STATEMENT OF INCOME (in thousands of Reais)

1- Code 2- Description 3 - 4/1/2008 to 6/30/2008 4 - 1/1/2008 to 6/30/2008 5 - 4/1/2007 to 6/30/2007 6 - 1/1/2007 to 6/30/2007

3.07 Operating Income 78,594 151,527 (7,397) 8,877

3.08 Non-operating Income 102 130 11 16

3.08.01 Revenues 102 130 11 16

3.08.02 Expenses 0 0 0 0

3.09 Income before Taxation/Holdings 78,696 151,657 (7,386) 8,893

3.10 Provision for Income Tax and Social Contribution (8,417) (16,389) (2,781) (5,073)

3.11 Deferred Income Tax 0 0 0 0

3.12 Statutory Holdings/Contributions (103) (395) (5,014) (9,924)

3.12.01 Interest (103) (395) (5,014) (9,924)

3.12.01.01 Minority Interest (103) (395) (5,014) (9,924)

3.12.02 Contributions 0 0 0 0

3.13 Reversal on Interest on Own Capital 0 0 0 0

3.14 Non-controlling Shareholders’ Interest 0 0 0 0

3.15 Income/Loss for the Period 70,176 134,873 (15,181) (6,104)

NUMBER OF SHARES, EX-TREASURY (units) 426,374,825 426,374,825 426,217,810 426,217,810

EARNINGS PER SHARE (in Reais) 0.16459 0.31632

LOSS PER SHARE (in Reais) (0.03562) (0.01432)


June 30, 2008



08.01 - COMMENTS ON THE CONSOLIDATED PERFORMANCE IN THE QUARTER

38

Operating and Financial Performance The information below is presented in Reais and prepared according to the accounting practices adopted in Brazil, (Brazilian GAAP), except as otherwise indicated. The information reflects the consolidated financial statements. Income Statement Gross Revenue The table below sets forth revenues per business, in R$ thousand.

Real estate development gross revenue reached R$196.5 million in 2Q08 (R$41.8 million in 2Q07), mainly due to the success in the commercialization of the first two towers of Cidade Jardim Corporate Center (Capital Building and Park Tower), as well as sales of Parque Cidade Jardim residential and Fazenda Boa Vista project, followed by the rapid project building. Gross revenue from shopping malls had a growth of 45.9% on 2Q07, mainly due to the first month of operations from Shopping Cidade Jardim. The revenue from Office Rentals increased by 24.7% in comparison with 2Q07, due to the fact that office buildings were acquired in the middle of April 2007, so that 2Q07 would only present 2.5 months of rent in comparison with 2Q08, with 3 whole months of rental, in addition, the revenue benefited from rental readjustments through contractual renegotiation or renter substitution. Spaces occupied by JHSF that are no longer accounted as income from the split of Office Buildings since 4Q07 reduced the revenues. Hotels revenue decreased 41.0% in a comparison basis with 2Q07, because in that quarter, exceptionally, the billing of food and beverage section had been booked, billing which was terminated from the subsidiary that operates the hotels as from 3Q07, as this company is focused on managing hotels.

Var. Var.

2Q08 2Q072Q08 / 2Q07

(%)1H08 1H07

1H08 / 1H07 (%)

Real Estate Development 196,497 41,751 370.6% 375,425 78,482 378.4%

Shopping Malls 7,752 5,313 45.9% 13,517 10,583 27.7%

Office Rentals 3,762 3,017 24.7% 7,276 3,017 141.2%

Hotels 5,775 9,788 -41.0% 11,510 9,788 17.6%

Holding and Other 2,323 3,385 -31.4% 3,764 5,761 -34.7%

Total 216,108 63,254 241.7% 411,493 107,629 282.3%


June 30, 2008




39

Operating Costs The table below depicts our operating costs per business, in R$ thousand.

The main operation costs with Real Estate Development are: construction costs, hired under a maximum price guaranteed regime, and land cost, which are recognized based on the financial work schedule (PoC method). Real estate development costs strongly grew, reflecting the progress of the work of Parque Cidade Jardim and Fazenda Boa Vista (see comments in “Revenue Backlog”) and the recognition of land costs for the two first office towers of Cidade Jardim Corporate Center. Shopping Mall’s main operating costs are: depreciation, leasing, wages and payroll and related social charges. Shopping Mall operating costs increased 128.8% over 2Q07, mainly due to the beginning of Shopping Cidade Jardim’s operation that impacts, mainly, on the depreciation costs. To Shopping Santa Cruz there was mainly an increase in the leasing costs proportional to the increase of revenues of such mall. Office Rental’s main cost is the depreciation of property, plant and equipment, which decreased 47.2% compared to 2Q08 against 2Q07, due to the reduction in the depreciation amount, which results from the transfer of 2 office buildings (Metropolitan and Platinum) from property, plant and equipment to inventories. The main costs in Hotels are rents, maintenance and payrolls, laundry, water, energy and sewage expenses. Hotels’ costs presented a 45.2% decrease in 2Q08 in a comparison basis with 2Q07 mainly due to the costs incurred in 2Q07 with the Food and Beverage section, which was transferred from the subsidiary that operates hotels as from 3Q07, as this company is focused on managing hotels. Gross Profit In 2Q08, the gross profit of R$108.0 million represents an increase of 272.9% compared to the same period of 2007, mainly due to the strong growth of real estate development revenues (see comments on “Gross Revenue”). The gross margin reached 52.0% in 2Q08, compared to the 48.2% of 2Q07. The increase in the margin presented is mainly due to the growth of the Real Estate Development division margins (see explanation of margins in “JHSF business – Real Estate Projects”).

Var. Var.

2Q08 2Q07 2Q08 /

2Q07 (%)1H08 1H07

1H08 / 1H07 (%)

Real Estate Development (89,719) (20,463) 338.4% (170,167) (37,514) 353.6%

Shopping Malls (4,079) (1,783) 128.8% (6,144) (3,755) 63.6%

Office Rentals (544) (1,030) -47.2% (1,088) (1,030) 5.6%

Hotels (3,532) (6,449) -45.2% (6,886) (6,449) 6.8%

Holding and Other (1,709) (1,456) 17.4% (2,990) (2,377) 25.8%

Total (99,582) (31,181) 219.4% (187,275) (51,125) 266.3%


June 30, 2008




40

Operating Expenses In 2Q08, G&A expenses totaled R$13.4 million, versus R$7.4 million in 2Q07. The raise was mainly due to the increase of administrative structure to meet the company’s new level of activity. Selling expenses, including advertising campaigns, sales stands and sales commissions, amounted to R$9.3 million in 2Q08, against R$1.7 million in 2Q07, mainly due to expenses incurred in commissions (due the strong pace of contracted sales) and to advertising campaigns of Fazenda Boa Vista, Parque Cidade Jardim and Cidade Jardim Corporate Center. Other operating expenses are mainly related to the goodwill amortization of R$8.2 million in 2Q08 related mainly to the acquisition of minority interest in subsidiaries and expenses related to the R$26.8 million IPO in 2Q07. Net Financial Result The table below depicts our net financial result in the indicated periods, in R$ thousand.

Financial income in 2Q08 reached R$9.1 million, 29.3% higher than 2Q07, mainly due to the growth of the average balance of financial investments mainly as a result of funds from the IPO. Financial expenses in 2Q08 added up to R$7.9 million, a growth of 4.2% compared to 2Q07, mainly due to the increase in banking financing amount, in line with our strategy of searching an adequate capital structure, benefiting from financial leverage, in a controlled manner and adequate costs. On the other hand, a reduction in CPMF values, with the cancellation of such contribution as from 1Q08, has positively affected the financial expenses in the same period. In 2007 we carried out operations with the purpose of protecting the exchange exposure of JHSF operations by means of two hedges with a total amount of US$21.6 million, whose net income on June 30, 2008 was R$739 thousand.

Var. Var.

2Q08 2Q07 2Q08 /

2Q07 (%)1H08 1H07

1H08 / 1H07 (%)

Financial Income (9,107) (7,045) 29.3% (15,903) (8,900) 78.7%

Financial Expenses 7,845 7,530 4.2% 13,801 9,143 50.9%

.CPMF/IOF (taxes) 669 3,035 -78.0% 884 3,403 -74.0%

. Interest / Exchange Variation / Other 7,176 4,495 59.6% 12,917 5,739 125.1%

Net Financial Result (1,262) 486 n.a. (2,103) 242 n.a.


June 30, 2008




41

EBITDA The table below depicts EBITDA calculation for the indicated periods, in R$ thousand (see Glossary for EBITDA definition).

EBITDA reached R$89.2 million in 2Q08, an increase of 305.9% compared to the adjusted EBITDA for IPO expenses in 2Q07. The increase was mainly due to the growth of revenues (see comments in “Gross Revenue”). The EBITDA margin was 43.0% in 2Q08, compared to 36.5% in 2Q07, mainly due to the growth in real estate development margins and gains of scale and dilution of fixed costs in administrative and selling expenses, due to the company’s new activity level. Income Tax and Social Contribution The table below depicts our income tax and social contribution in the indicated periods, in R$ thousand.

Net Income The net income in 2Q08 was R$70.2 million, an increase of 504.8% compared to the adjusted net income for IPO expenses in 2Q07, representing an adjusted net margin of 33.8%.

2Q08 2Q07 1H08 1H07

Net Income 70,176 (15,181) 134,873 (6,104)

(+) Minority Shareholders 103 5,014 395 9,924

(+) Income Tax / Social Contribution 8,417 2,782 16,389 5,073

(+) Non-Operating Result (102) (12) (130) (16)

(+) Net Financial Result (1,262) 486 (2,103) 242

(+) Depreciation / Amortization 12,007 2,097 23,155 2,615

(+) Equity Accounting Result (155) - (573) -

(=) EBITDA 89,183 (4,814) 172,005 11,733

(-) IPO Expenses - 26,786 - 28,903

(=) Adjusted EBITDA 1 89,183 21,971 172,005 40,636

(1) IPO expenses incurred in 2007

Var. Var.

2Q08 2Q07 2Q08 /

2Q07 (%) 1H08 1H07

1H08 / 1H07 (%)


Shopping Malls (1,266) (827) 53.1% (1,912) (1,623) 17.9%

Office Rentals (491) (232) 112.0% (946) (232) 308.2%

Hotels (74) - n.a. (194) -

Holding and Other (51) (235) -78.2% (113) (405) -72.2%

Total (8,417) (2,782) 202.5% (16,389) (5,073) 223.1%

n.a.


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42

Balance Sheet The data presented below reflects the consolidated balance sheet information, in compliance with the accounting practices adopted in Brazil (BRGAAP). Assets Accounts Receivable from Real Estate JHSF real estate projects have a differentiated receivables profile. At the first phase of Fazenda Boa Vista project, for example, over 30% of the total value of units sold was received in the first 6 months as this development is targeted at the high-income segment. The table below depicts accounts receivable already recognized and accounts receivables backlog, as well as the schedule of receivables for the indicated dates, in R$ thousand.

Real Estate Inventories to be sold The real estate inventory to be sold consists of concluded units, represented by office towers of our portfolio of office rentals Platinum and Metropolitan, units under construction and land for development. The table below sets forth the above mentioned inventory, in the indicated dates, in R$ thousand.

6/30/2008 3/31/2008 Var. (%)

Promissory Real Estate Buyers (Accounts receivable) 233,330 174,624 33.6%

Sales revenue backlog (Accounts receivable backlog) 568,619 477,676 19.0%

Total accounts receivable from real estate (1) 801,949 652,300 22.9%

Receivables schedule 6/30/2008 %

Received (advances from clients) 64,924 8.1%

2008 242,578 30.2%

2009 290,777 36.3%

2010 122,232 15.2%

From 2011 on 81,438 10.2%

(1) Considers the totality of the contracts, including amounts not recorded yet

Real Estate to be sold - Book Value 30-Jun- 08 31-Mar-08 Var. (%)

Completed Units – Office Towers Platinum and Metropolitan and apartments received in payment

98,021 98,021 0.0%

Units under Construction 48,651 45,056 8.0%

Land 178,869 182,190 -1.8%

Total 325,541 325,267 0.1%


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43

Property, Plant and Equipment (PPE) The table below depicts PPE by business in the indicated dates, in R$ thousand.

Liabilities Indebtedness and Liquidity The table below sets forth bank debt per type and net debt in the indicated dates, in R$ thousand.

Advances from Clients It represents amounts received from clients in real estate transactions, which construction has not yet started, or has not yet reached the total advance received from the client as well as key money payment from future store owners of future shopping malls.

6/30/2008 3/31/2008 Var. (%)

Real Estate Development 10,528 7,596 38.6%

Shopping Malls 248,566 210,660 18.0%

Office Rentals 59,026 59,570 -0.9%

Hotels 10,150 10,159 -0.1%

Holding and Other 2,165 1,874 15.6%

Total 330,436 289,859 14.0%

Type Average Interest 6/30/2008 3/31/2008

Working Capital CDI + 1.19% p.a. 217,687 202,242

BNDES TJLP + 3.55% p.a. 75,475 50,059

Total Bank Debt 293,161 252,301

Cash and Financial Investments (216,368) (239,325)

Net Bank Debt (Cash) 76,793 12,976

6/30/2008 3/31/2008 Var. (%)

Installments Received - Accumulated 431,702 366,350 17.8%

(+) Accounts Receivable 164,916 123,950 33.1%

(-) Revenue Backlog - Accumulated 571,507 449,054 27.3%

(=) Advances from clients on real estate sales 25,111 41,246 -39.1%

(+) Key Money from future store owners – Shopping Malls 9,856 8,639 14.1%

(+) Other Advances 40,180 23,945 67.8%

Advances from Clients - Total 75,146 73,829 1.8%



44




09.01 - INTEREST IN CONTROLLED AND/OR ASSOCIATED COMPANIES

1 - ITEM 2 - NAME OF SUBSIDIARY/AFFILIATES COMPANY 3 - CNPJ (Corporate Taxpayer’s ID) 4 - CLASSIFICATION 5 - INTEREST IN CAPITAL OF INVESTEE - %

6 - INVESTOR’S SHAREHOLDERS’ EQUITY - %

7 - TYPE OF COMPANY 8 - NUMBER OF SHARES HELD IN CURRENT QUARTER (Units)

9 - NUMBER OF SHARES HELD IN PREVIOUS QUARTER (Units)

01 JHSF INCORPORAÇÕES S.A. 05.345.215/0001-68 PRIVATE CONTROLLED COMPANY 99.99 29.39

COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANY 60,499,999 19,299,999

02 COMPANHIA SANTA CRUZ 03.142.871/0001-38 PRIVATE CONTROLLED COMPANY 95.00 1.92


03 COMPANHIA METRO NORTE 07.486.185/0001-35 PRIVATE CONTROLLED COMPANY 99.99 0.90


04 COMPANHIA BOA VISTA 03.068.790/0001-35 PRIVATE CONTROLLED COMPANY 99.99 8.90

COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANY 24,390,524 1,285,076,441

05 COMPANHIA PATRIMONIAL DE IMÓVEIS COMLS 08.279.607/0001-64 PRIVATE CONTROLLED COMPANY 99.99 17.62

COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANY 154,139,999 9,999

06 COMPANHIA ADM DE EMPREEND E SERVIÇOS 07.878.951/0001-07 PRIVATE CONTROLLED COMPANY 99.99 0.05

COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANY 344,999 9,999

07 SOCIEDADE ADM DE EMPREEND E SERVIÇOS 08.280.626/0001-00 PRIVATE CONTROLLED COMPANY 99.99 0.04

COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANY 29,999 9,999

08 HOTÉIS FASANO & RESORTS S.A. 08.237.429/0001-09 PRIVATE CONTROLLED COMPANY 60.00 1.65




45




09.01 - INTEREST IN CONTROLLED AND/OR ASSOCIATED COMPANIES

1 - ITEM 2 - NAME OF SUBSIDIARY/AFFILIATES COMPANY 3 - CNPJ (Corporate Taxpayer’s ID) 4 - CLASSIFICATION 5 - PARTICIPATION IN CAPITAL OF INVESTEE - %

6 - INVESTOR’S SHAREHOLDERS’ EQUITY - %

7 - TYPE OF COMPANY 8 - NUMBER OF SHARES HELD IN CURRENT QUARTER (Units)

9 - NUMBER OF SHARES HELD IN PREVIOUS QUARTER (Units)

09 JHSF SHOPPINGS S.A. 07.275.103/0001-03 PRIVATE CONTROLLED COMPANY 99.99 5.34


10 JHSF JARDIM S.A. 07.803.203/0001-65 PRIVATE CONTROLLED COMPANY 99.99 7.02


11 JHSF EMPREENDIMENTOS S.A. 08.466.368/0001-51 PRIVATE CONTROLLED COMPANY 99.99 1.44


12 JHSF (URUGUAY) S.R.L. . . / - PRIVATE CONTROLLED COMPANY 99.99 0.09

COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANY 999 999

13 AVEIRO INCORPORAÇÕES S.A. 08.274.761/0001-43 PRIVATE CONTROLLED COMPANY 99.99 0.42


14 HOTE MARCO INTERNACIONAL S.A. 03.221.095/0001-61 PRIVATE CONTROLLED COMPANY 13.90 0.24


15 DEVELOPER DESENV PARTIC IMOBILIARIAS SA 09.027.948/0001-05 SUBSIDIARY/AFFILIATED’S INVESTEE 99.99 0.00

COMMERCIAL, INDUSTRY AND OTHER TYPES OF COMPANY 100,009,998 0


June 30, 2008



16.01 - OTHER INFORMATION DEEMED RELEVANT BY THE COMPANY

46

São Paulo, August 11, 2008 – JHSF Participações S.A. (“JHSF”) (Bovespa: JHSF3), one of the leading companies in Brazil’s real estate industry, with operations in large-scale and mixed-use residential and commercial real estate development, shopping mall development and management, commercial property leasing and high-end hotels, announces today its results for the second quarter of 2008. The information contained in this release is presented in Brazilian Reais and in accordance with Brazilian accounting practices (BR GAAP), except where stated otherwise. The information reflects the consolidated financial statements.

(1) EBITDA and Net Income in 1H07 exclude IPO expenses of R$26.9 million (2) Refers to units sold


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47

CONFERENCE CALLS English 08/12/08 – 2:00 p.m. (EST US) Tel: +1 412 858-4600 Code: JHSF Replay: +1 412 317-0088 Replay Code: 6046#1 Portuguese 08/12/2008 – 3:30 p.m. (EST US) Tel: +55 11 2188-0188 Code: JHSF Replay: +55 11 2188-0188 Live webcast available at www.jhsf.com.br/ri RI Contact [email protected] www.jhsf.com.br/ri 55 11 3702-JHSF Eduardo S. Camara Marcio Fenelon Bruno Fritsch

2Q08 HIGHLIGHTS

1H08 launches totaled R$757.0 million (R$616.3 million in 2Q08). Beginning of sales of the second tower of Cidade Jardim Corporate Center development (Park Tower) with VGV of R$160.3 million, reaching contracted sales of R$103.9 million or 64.8% of launched VGV in the first month of sales. The first tower of the Project (Capital Building), launched in March, has reached contracted sales of R$129.7 million since its launch, corresponding to 92.2% of launched VGV. Due to the successful sale of the two towers, we began, at the end of June, to trade the third tower (Continental).

Shopping Cidade Jardim was opened on May 31, 2008, with the first-phase 27,205 sq.m of Gross Leasable Area (GLA) 100% rented; the mall’s performance, measured by the sales reported by store owners, exceeded expectations.

Contracted sales reached R$497.2 million in 1H08, representing a 218.0% growth year-on-year (R$288.9 million in 2Q08 with a 38.7% increase over 1Q08 and 322.8% growth year-on-year).

In addition to the successful sales of the two towers in Cidade Jardim Corporate Center, Parque Cidade Jardim recorded total contracted sales of R$160.3 million in 1H08 (R$87.9 million in 2Q08, a 21.2% growth over 1Q08 and 28.6% over 2Q07), 87.4% of launched VGV, and Fazenda Boa Vista’s contracted sales stood at R$103.4 million (R$55.9 million, a 17.9% growth over 1Q08) or 67.4% of launched VGV.

Consolidated net operating revenue in the semester reached R$395.1 million (R$207.6 million in 2Q08), 284.8% higher than 1H07 (up by 245.2% year-on-year).

1H08 EBITDA went up by 323.3% vs. 1H07 Adjusted1 EBITDA (305.9% year-on-year), totaling R$172.0 million (R$89.2 million in 2Q08). EBITDA margin stood at 43.5% in 1H08 (43.0% in 2Q08) compared to 39.6% in 1H07 (36.5% in 2Q07).

Net income in the semester of R$134.9 million (R$70.2 million in 2Q08), up by 491.6% over the 1H07 adjusted1 net income (growth of 504.8% year-on-year).

(1) Both Adjusted Net Income and EBITDA exclude IPO expenses in 2Q07 and 1H08


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48

The estimated potential VGV of our land bank rose to R$17.1 billion, with important

improvements towards diversification of projects portfolio, geographical region and income segment, as shown in the table below:

At IPO Current VGV (R$ million) Projects

13,100 3

17,135 27

States 1 9 Municipalities 3 14 Low Income Segment (%) 0% 16%

Our shopping mall portfolio (in operation and under development) has also had a significant increase, as can be seen in the table below:

At IPO Current Shopping mall units 3 7 Own GLA (sq.m) 107 249 States 1 4 Cities 1 5

Launches

The graph below shows our launch schedule for the 2008–2010 period, in millions of Reais.

� Developer

1,940 2,200

, 2.500

300

1,200

1,900

2008 2009 2010

3,400

4,400

2,240

� JHSF

Capital Structure At the end of June 2008, cash and equivalents stood at R$216.4 million, accounts receivables from real estate developments sold1 at R$801.9 million, shareholders’ equity at R$905.8 million and gross debt at R$293.2 million. Our financing strategy is to leverage the company in a controlled manner and with competitive costs, by using the multiple financing options available in the market.

Mixed-use, large scale development in Belém – state of Pará We have laid the initial groundwork for a partnership to develop the first mixed-use development of Belém, in the state of Pará, at a 29,500 sq.m lot, which will include a high-end shopping mall with a complete and unique mix in an initial 46.4 thousand sq.m GLA, in which JHSF will keep a proprietary GLA of 28,300 sq.m., to be opened in the first half of 2010, in addition to one residential tower and one office tower, also high-end, with a R$100 million VGV, to be launched during 2009. This project will be developed in partnership with Grupo Y. Yamanda, a


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49

conglomerate with 58 years’ experience and sales of over R$1.1 billion in 2007, including the largest retail network in the Northern region of the country and the 12th largest in Brazil.

Fasano Expansões The parent company managing Hotel Fasano entered into a partnership to manage a new Hotel Fasano unit in the city of Trancoso, state of Bahia. The development comprises 40 beachfront apartments on a 700-meter site, a little over 2 kilometers south of the charming Trancoso village, yet separated from it by the Atlantic Forest, which guarantees its uniqueness. Additionally, JHSF has obtained the option to participate in the development of 40 residential units called Vilas Fasano. It was also concluded the memorandum of intent to operate a new unit of Hotel Fasano in NY. The operation is subject to certain conditions to be complied with by both parties.

Update on main ongoing projects: Real Estate Developments Parque Cidade Jardim – Largest real estate development in the city of São Paulo, located in an upscale region, with 9 residential towers, one shopping mall and 3 ‘triple A’ office towers. The residential towers reached contracted sales of R$778.2 million (87% of Launched VGV) at the end of June 2008. Fazenda Boa Vista – Launched in November 2007 with a VGV of R$450 million and R$303.6 million in contracted sales by June 2008, Fazenda Boa Vista has 2 golf courses, including the first championship golf course designed by Arnold Palmer Design Co. in South America. The development also features a complete equestrian center with horse jumping and dressage facilities, 3 polo fields, 14 tennis courts and a spa. The development will be anchored by the first Hotel Fasano in the countryside in Brazil. Launching of the second phase is scheduled for 2H08. Cidade Jardim Corporate Center – The office towers complex will have three ‘triple A’ office towers with Leadership in Energy and Environmental Design (LEED) certification (U.S. Green Building Council), ensuring the towers become one of the most upscale locations for companies in São Paulo. In line with our strategic planning, we are analyzing the possibility of retaining some of the space in the office towers for our Office Rental division. Salvador: Shopping and Real Estate Development. On a 340,000 sq.m site, there will be a mixed-use and large-scale development with a 66,000 sq.m shopping mall (55% held by JHSF), 19 residential towers, with apartments ranging from 68 sq.m to 202 sq.m and 3 office towers and one residential tower with hotel services (all 100% JHSF), with estimated potential VGV of R$700 million. The project’s infrastructure will count on a 10,000 sq.m park, school, convention center and club. The launch of the development is scheduled for 2H08. The sales office and the six decorated model units are in the final phase of construction. Parque Catarina – Development located approximately 30 minutes from São Paulo and based on the resort living concept, with the largest area dedicated to leisure in a primary home development in Brazil, with a spa, equestrian center, mini-zoo, clubs, panoramic decks, as well as a commercial center, a shopping outlet with premium brands, a hospital, an educational complex, a gym, business offices, a church, and more. The development will feature single family homes, townhouses, and apartments. The design of the units has been finalized and approved. The construction of the sales office and the six decorated model units is on schedule,

(1) Considers total real estate developments sale agreements signed, including amounts not recognized


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50

and we have begun building the roads leading to the development. The launch of Parque Catarina is scheduled for 2H08, and its overall potential VGV is estimated at R$7.9 billion. Punta del Este – Using the same resort-community concept of Fazenda Boa Vista, this development targets the high-income segment. The development features residential units ranging from 150 sq.m to 700 sq.m (1 to 5 bedrooms), all enjoying the services of Hotel Fasano and the option to be included in the rental pool, which will become a source of income for owners. With potential VGV estimated of USD430 million, the project includes a spa, an equestrian center, tennis courts, a soccer field, a paddle tennis court, a boat house, a private beach and a golf club membership option. The launching is scheduled for 4Q08. Vila Nova Conceição and Itaim Bibi – The development in the Vila Nova Conceição neighborhood will have high-end residential apartments in two contemporary style towers, on a site measuring approximately 5,000 sq.m, one of the remaining large areas in the region, located just 500 meters away from Parque do Ibirapuera. The project will include an international standard spa, a fitness Center, a library, a wine cellar, offices and a conference room, an indoor heated pool and an outdoor pool, in addition to internal squares and green areas. This project and the residential apartment complex in the Itaim neighborhood total an estimated potential VGV of R$250 million, and are scheduled to be launched in 4Q08. Manaus: Shopping and Real Estate Development. One of the largest real estate developments of the city of Manaus (state of Amazonas), the project will consist of 9 residential towers and 2 office towers with estimated potential VGV of R$400 million (R$344 million %JHSF) to be launched in 2009 and early 2010, as well as a shopping mall with an approximate 48,000 sq.m GLA (78% JHSF). Opening is scheduled for 2Q10 and construction work on the 86,500 sq.m land is scheduled to start in 3Q08. Developer. In May 2008 we acquired Developer, a company focusing on developments aimed at the low and middle income segments, with independent management and brands. Following the constitution of the initial land bank, with, presently, a potential VGV estimated at R$3.1 billion, mainly located in the Northern and Northeastern regions of Brazil. The first launch is scheduled for 3Q08 in the city of Palmas, state of Tocantins, and it will be followed by launches in many locations. Developer’s launch forecast is R$300 million in 2008, R$1,200 million in 2009, and R$1,900 million in 2010. Shopping Malls Shopping Cidade Jardim – Opened on May 31, 2008, the first phase of the Shopping Cidade Jardim mall has achieved 100% occupancy. The tenant mix includes renowned Brazilian and international brands such as Daslu, Livraria da Vila with Casa do Saber, Reebok Sports Club, Zara, Emporeo Fasano, Cinemark, Spa Cidade Jardim, Channel, Sony, Giorgio Armani, Montblanc, H. Stern, La Perla, Longchamp, Osklen, Ermenegildo Zegna, Lacoste, Louis Vuitton, Carlos Miele, Presentes Mickey, Tiffany, Ferragamo, and Bonpoint. Shopping Metrô Tucuruvi – Located in São Paulo's northern zone, this mall will be fully integrated to the subway station, the same feature of Shopping Metrô Santa Cruz, with access via three different thoroughfares. Opening is scheduled for 1H10, with GLA of 34,600 sq.m in the first phase, and a total of 49,600 sq.m after the second phase.


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51

Operational and Financial Indicators, in R$ thousands, except where stated otherwise

Results Backlog - Real State Development(4) 2Q08 1Q08Variation

2Q08 / 1Q08

Revenues Backlog 568,619 477,676 19.0%Costs Backlog (257,880) (227,011) 13.6%Gross Profit Backlog 310,739 250,665 24.0%Gross Margin Backlog 54.6% 52.5% 4.1%Selling Expenses Backlog (24,278) (20,442) 18.8%

Land Bank in R$ millions (Potential Own VGV)(%JHSF)(5)

DevelopmentsFazenda Boa Vista 4,050 Dona Catarina 7,900 Punta del Este 688 Vila Nova Conceição and Itaim Bibi 250 Salvador 700 Manaus 344 Belém 100 Developer 3,103 Total 17,135

(1) EBITDA excludes IPO related expenses on 2Q07 and 1H07

(3) Consider the total number of issued shares.(4) Refers to units sold

(6) Consider the total revenues assuming that office towers belong to JHSF since the begininng of 2006 (not revised).

(5) The Potential VGV may differ due to changes in the built area, number of built units, mix of units, evolution of lauchings and construction which are sensible to market changes and future licenses/approval evolution.

(2) Net income excludes IPO related expenses on 2Q07 and 1H07

Real Estate Development 2Q08 2Q07 Variation

2Q08 / 2Q07 1H08 1H07

Variation 1H08 / 1H07

Contracted Sales 288,922 68,335 322.8% 497,209 156,346 218.0%

Contracted Sales (m2) 201,797 8,967 2150.4% 316,159 20,826 1418.1% Gross Revenues 196,497 41,751 370.6% 375,425 78,482 378.4%

Net Revenues 189,084 40,227 370.0% 361,024 75,617 377.4%

Shopping Malls 2Q08 2Q07 Variation

2Q08 / 2Q07 1H08 1H07


Gross Revenues 7,752 5,314 45.9% 13,517 10,583 27.7%

Net Revenues 7,399 5,035 46.9% 12,889 10,037 28.4%

Gross Leasable Area (GLA) (m2) 46,771 19,566 139.0% 46,771 19,566 139.0%

Gross Monthly Revenues / GLA (R$/m2) 89.7 90.5 -0.9% 93.0 90.1 3.2%Same Store Sales – Tenants (R$ million) 81.6 49.6 64.5% 130.4 92.4 41.1%

Occupancy (%) 99.9% 99.4% 0.5% 99.9% 99.6% 0.3%

Office Rentals 2Q08 2Q07 Variation

2Q08 / 2Q07 1H08 1H07(6) Variation

1H08 / 1H07

Gross Revenues 3,762 3,017 24.7% 7,276 6,588 10.4%

Net Revenues 3,624 2,907 24.7% 7,011 6,347 10.5%Gross Leasable Area (GLA) (m2) 18,744 18,744 0.0% 18,744 18,744 0.0%

Net Monthly Revenues / GLA (R$/m2) 66.9 53.6 24.7% 64.7 63.9 1.3%

Occupancy (%) 100.0% 100.0% 0.0% 100.0% 100.0% 0.0%

Consolidated financial indicators in R$ thousand, except When indicated otherwise

2Q08 2Q07 Variation

2Q08 / 2Q071H08 1H07


Gross Revenues 216,108 63,254 241.7% 411,493 107,629 282.3%

Net Revenues 207,582 60,142 245.2% 395,088 102,667 284.8%

Gross profit 108,000 28,961 272.9% 207,813 51,542 303.2%Gross margin (%) 52.0% 48.2% 8.0% 52.6% 50.2% 4.8%

EBITDA (1) 89,183 21,971 305.9% 172,005 40,636 323.3%

EBITDA Margin (%) (1) 43.0% 36.5% 17.6% 43.5% 39.6% 10.0%

Net Earnings (2) 70,176 11,604 504.8% 134,873 22,799 491.6%

Net Margin (%) (2) 33.8% 19.3% 75.2% 34.1% 22.2% 53.7%

Total issued shares (thousand shares) (3) 426,375 426,301 0.0% 426,375 426,301 0.0%

Net Earnings per share (R$ / share) (1)(3) 0.1646 0.0272 504.7% 0.3163 0.0535 491.5%


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52

JHSF Business Divisions

Real Estate Development: The growth in real estate development revenues was due to higher contracted sales in our developments as well as the speed of construction execution. Gross margin expanded by 3.5 percentage points in 2Q08 versus 2Q07, driven by the higher revenue share in 2Q08 of Parque Cidade Jardim’s phases 2 and 3, which have higher margins than phase 1, as well as higher margins presented by Fazenda Boa Vista. The table below shows key real estate development division indicators in the specific periods, expressed in thousands of Reais, except where stated otherwise.

Launches In 1H08, we launched three towers at Cidade Jardim Corporate Center, with total VGV of R$757.0 million. The table below details JHSF launches in 2006, 2007 and 1H08, in R$ million.

2006

2007

1H08

2008E

Parque Cidade Jardim 889.6 Fazenda Boa Vista 450.0 Cidade Jardim Corporate Center 757.0 889.6 450.0 757.0 2,240.0

Contracted Sales The table below presents contracted sales of each project during the periods indicated.

2Q08 2Q07 1H08 1H07

Gross Revenues 196,497 41,751 375,425 78,482

Net Revenues 189,084 40,227 361,024 75,617

Gross Profit 99,365 19,764 190,857 38,103

Gross Margin (%) 52.6% 49.1% 52.9% 50.4%

EBITDA (2) 86,139 15,962 165,028 31,106

EBITDA Margin(%)(2) 45.6% 39.7% 45.7% 41.1%

Net Income(2) 79,745 8,206 153,598 17,275

Net Margin (%) (2) 42.2% 20.4% 42.5% 22.8%

(1) Consolidates the following companies: JHSF Incorporações, SCP1, SCP2 and Cia. Boa Vista

Real Estate Development(1)

(2) Excludes IPO expenses in 2Q07 e 1H07


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53

2Q08 2Q07 Var. (%) 2Q08 2Q07 Var. (%) 2Q08 2Q07 Var. (%)Parque Cidade Jardim 87,898 68,333 28.6% 11,082 8,968 23.6% 7,931 7,620 4.1%

Fazenda Boa Vista 55,949 - n.a. 175,332 - n.a. 319 - n.a.

Cidade Jardim Corporate Center 145,075 - n.a. 15,383 - n.a. 9,431 - n.a.

Total 288,922 68,333 322.8% 201,797 8,968 2150.2% 1,432 7,620 -81.2%

1H08 1H07 Var. (%) 1H08 1H07 Var. (%) 1H08 1H07 Var. (%)Parque Cidade Jardim 160,336 156,344 2.6% 20,273 20,827 -2.7% 7,909 7,507 5.4%

Fazenda Boa Vista 103,404 - n.a. 270,951 - n.a. 382 - n.a.

Cidade Jardim Corporate Center 233,469 - n.a. 24,935 - n.a. 9,363 - n.a.

Total 497,209 156,344 218.0% 316,159 20,827 1418.0% 1,573 7,507 -79.0%

Average Price (R$/m2)

Average Price (R$/m2)Developments Contracted Sales (R$ thousand)

Contracted Sales

Private Area (m2)

Developments Contracted Sales (R$ thousand)

Contracted Sales

Private Area (m2)

Recognized Revenue Real estate development revenue recognition in Brazil is based on the progress of construction work financial schedule, i.e., the cost incurred relative to total budgeted costs (Percentage of Completion Method or PoC) and contracted sales. Currently, all 9 towers of Parque Cidade Jardim are in different stages of construction, and the financial schedule of all phases has reached 76% of budgeted cost, with the 1st phase towers reaching 99%, the 2nd phase 59%, and the 3rd phase 48% of budgeted cost as of the end of June 2008. On the same date, the financial schedule of the Fazenda Boa Vista construction work pointed towards an incurred cost of 49% of budgeted cost, and 10% for Cidade Jardim Corporate Center. The table below shows revenue recognition during the periods indicated.

Land Bank Wit the launchings in 1H08 at Cidade Jardim Corporate Center, our current land bank has an estimated potential VGV of R$17.1 billion, with more than 26.4 million sq.m of land (including the option to acquire land adjacent to Fazenda Boa Vista). The total acquisition cost of the land represents 2.5% of estimated VGV. We made progress in terms of geographical diversification and targeted income group of our land bank, which is divided as follows:

Developments Beginning of Sales

As 06/30/2008

As 06/30/2007

As 06/30/2008

As 06/30/2007

2Q08 2Q07

778,180 465,794 75.8% 35.6% 124,818 192,242

Phase 1 (4 buildings) April-06 334,208 280,591 98.5% 56.1% 47,149 157,301

Phase 2 (3 buildings) December-06 238,030 162,980 58.7% 20.2% 24,864 32,937

Phase 3 (2 buildings)May-07 and

December-07 205,942 22,223 48.1% 7.9% 52,805 2,004

Fazenda Boa Vista November-07 303,429 - 48.7% - 56,011 -

Cidade Jardim Corporate Center March-08 and May-08

233,469 - 10.0% - 15,667 -

Parque Cidade Jardim

% of Completion (%)

Contracted Sales (R$ thousand)

Recognized Gross Revenue

(R$ thousand)


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54

Revenue and Results Backlog The revenue backlog is the difference between contracted sales and recognized revenue, while costs backlog represents total budgeted costs less recognized costs, based on the PoC method. The table below presents the backlog of revenue, costs, gross profit and gross margin during the periods indicated, expressed in thousands of Reais, except where stated otherwise.

2Q08 1Q08 Var.(%)

Revenues Backlog(1) 568,619 477,676 19.0%

Costs Backlog(1) (257,880) (227,011) 13.6%

Gross Profit Backlog(1) 310,739 250,665 24.0%

Gross Margin Backlog(1) 54.6% 52.5% 4.1%

(1) Refers to units sold

Unlike costs, selling expenses, which include commissions and advertising expenses, sales office expenses that can be directly related to a specific development project are recognized according to the progress of construction work, regardless of the project’s contracted sales. Expenses backlog arises from the difference between incurred and recognized expenses. The table below shows the expenses backlog during the periods indicated, expressed in thousands of Reais, except where stated otherwise.

2Q08 1Q08 Var.(%)

Selling Expenses Backlog (24,278) (20,442) 18.8%

Costs, results and margin backlogs are based on JHSF’s estimates. Final amounts may differ from the estimates shown here. Shopping Malls The growth in shopping mall revenue reflects the beginning of Shopping Cidade Jardim operations, on May 31, 2008, since it contributed revenues from its first month of operation, as well as the renegotiation of lease conditions and the growth of variable revenues based on stores sales performance of Shopping Santa Cruz. The margin fall is mainly due to non-recurring commercial expenses related to the launch of Shopping Cidade Jardim. The table

Geographic Reach (%) Income Segment (%)

High-

Premium

30%

Middle-

High

53%

Middle

1%

Low

16%

Southeast

71%

Northeast

14%

North

11%

Uruguay

4%


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55

below shows the key shopping mall division indicators in the periods indicated, in thousands of Reais, except where indicated otherwise.

Office Rentals We have a unique portfolio of class-A office buildings in upscale areas of São Paulo, with total GLA of 18,700 sq.m. Currently, the occupancy is 100% for all our office buildings. The market for ‘triple A’ office buildings has the highest occupancy rates in the past 4 years, according to CB Richard Ellis. Gross revenue in 2Q08 showed a 24.7% increase versus 2Q07, as the office buildings were acquired in mid-April 2007, causing 2Q07 to record only 2.5 months of rentals as compared to 2Q08, with 3 complete months of rentals. In addition, revenue benefitted from rental price increases through contract renegotiations or tenant replacements. A revenue-decreasing factor was the fact that the spaces occupied by JHSF have not been booked as Office Rental revenue since 4Q07. The table below shows key Office Rental division indicators for the periods indicated, expressed in thousands of Reais, except where stated otherwise. The pro forma and unrevised results for 1H07 are provided for comparison purposes only, given that the company that owns the office towers was acquired in April 2007.

2Q08 2Q07(2) 1H08 1H07

Gross Revenues 7,752 5,313 13,517 10,600

Net Revenues 7,399 5,035 12,889 10,054

Gross Profit 3,320 3,253 6,745 6,300

Gross Margin (%) 44.9% 64.6% 52.3% 62.7%

EBITDA (2) 3,084 3,410 6,615 6,565

EBITDA Margin(%)(2) 41.7% 67.7% 51.3% 65.3%

Net Income(2) (1,135) 2,565 1,552 4,620

Net Margin (%) (2) -15.3% 50.9% 12.0% 46.0%

Funds from Operations (FFO) 1,304 3,073 5,210 5,633

FFO Margin (%) 17.6% 61.0% 40.4% 56.0%

(1) Consolidates the following companies: SAS, CSC, and Metrô Norte

(2) Excludes IPO expenses in 2Q07 e 1H07

Shopping Malls(1)


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Hotels In 2Q08, the occupancy rate at Hotel Fasano SP was 83.9% and the average room rate reached R$950, up 9.6% over 2007. Operating revenue from room rates grew 7.9% over the same period of last year. In Hotel Fasano Rio, the occupancy rate was 58.4% with an average room rate of R$964. The following table shows key Hotel division indicators during the periods indicated, expressed in thousands of Reais, except where stated otherwise. The results of Hotel Fasano have been consolidated into JHSF’s results since the second quarter of 2007.

2Q08 1Q08

Gross Revenues 5,775 5,735

Net Revenues 5,438 5,430

Gross Profit 1,906 2,076

Gross Margin (%) 35.1% 38.2%

EBITDA 1,124 1,375

EBITDA Margin (%) 20.7% 25.3%

Net Income(2) 83 485

Net Margin (%) 1.5% 8.9%

Hotels(1)

(1) Results from controlled company Hotel Marco Internacional S.A., where we indirectly hold 65,56%

2Q08 (2) 2Q07(1) 1H08

(2) 1H07 (1)

Pro Forma Gross Revenues (3) 4,224 3,620 7,737 7,191

Gross Revenues 3,762 3,017 7,276 6,588

Net Revenues 3,624 2,907 7,011 6,347

Gross Profit 3,080 1,876 5,923 3,965

Gross Margin (%) 85.0% 64.6% 84.5% 62.5%

EBITDA 3,562 2,866 6,926 6,092

EBITDA Margin(%) 98.3% 98.6% 98.8% 96.0%

Net Income 2,775 1,589 5,361 3,081

Net Margin (%) 76.6% 54.7% 76.5% 48.5%

Funds from Operations (FFO) 3,319 2,619 6,903 5,463

FFO Margin (%) 91.6% 90.1% 98.5% 86.1%

Office Rentals

(1) CPIC´s result (pro forma) not revised taking into consideration the results from real estate that was effectively acquired in April 07, considering the results earned from January to April 07, as they had been included in the company´s result.(2) Results actually recorded by the company in 2008 (3) Pro forma gross revenue includes office space currently occupied by JHSF.


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The parent company managing Hotel Fasano entered into a partnership to manage a new Hotel Fasano unit in the city of Trancoso, state of Bahia. The development comprises 40 beachfront apartments on a 700-meter lot, a little over 2 kilometers south of the charming Trancoso village, yet separated from it by the Atlantic Forest, which guarantees its uniqueness. Additionally, JHSF has obtained the option to participate in the development of 40 residential units called Vilas Fasano. It has also concluded the memorandum of intent to operate a new unit of Hotel Fasano in NY. The operation is subject to certain conditions to be attended by both parties. Hotel Fasano units are also expected to be implemented in the Boa Vista and Punta del Este developments, to be used as anchors so that the project may benefit from the internationally-renowned Hotel Fasano brand name, which will drive the sales of our units throughout the development. Operating and Financial Performance The information below is presented in Brazilian Reais and prepared according to the accounting practices adopted in Brazil (Brazilian GAAP), except where indicated otherwise. The information reflects the consolidated income statement. Income Statement Gross Revenue The table below provides revenue breakdown by division, in thousands of Reais.

Var. Var.

2Q08 2Q072Q08 /

2Q07 (%)1H08 1H07

1H08 / 1H07 (%)

Real Estate Development 196,497 41,751 370.6% 375,425 78,482 378.4%

Shopping Malls 7,752 5,313 45.9% 13,517 10,583 27.7%

Office Rentals 3,762 3,017 24.7% 7,276 3,017 141.2%

Hotels 5,775 9,788 -41.0% 11,510 9,788 17.6%

Holding and Others 2,323 3,385 -31.4% 3,764 5,761 -34.7%

Total 216,108 63,254 241.7% 411,493 107,629 282.3%

Gross revenues from real estate developments were R$196.5 million (against R$41.8 million in 2Q07), mainly due to Cidade Jardim Corporate Center’s two first towers (Capital Building and Park Tower), as well as sales of residential units at Parque Cidade Jardim and Fazenda Boa Vista, along with the projects’ accelerated construction pace. Gross revenues from shopping malls increased by 45.9% from 2Q07, mainly due to the first month of operations of Shopping Cidade Jardim. Revenue from office rentals increased by 24.7% as compared to 2Q07, as the office buildings were acquired in mid-April 2007, causing 2Q07 to record only 2.5 months of rentals as compared to 2Q08, with 3 complete months of rentals. In addition, revenue benefitted from rental price increases through contract renegotiations or tenant replacements. A revenue-decreasing factor was the fact that the spaces occupied by JHSF have not been booked as Office Rental revenue since 4Q07.


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Hotel revenue decreased by 41.0% versus 2Q07, due to the non-recurring booking of the food and beverage sector sales in that quarter, since it was split from the subsidiary managing the hotels in 3Q07, as this company is focused on managing hotels.

Operating Costs

The table below provides a breakdown of operating costs by division in thousands of Reais.

Var. Var.

2Q08 2Q072Q08 /

2Q07 (%)1H08 1H07

1H08 / 1H07 (%)


Shopping Malls (4,079) (1,783) 128.8% (6,144) (3,755) 63.6%

Office Rentals (544) (1,030) -47.2% (1,088) (1,030) 5.6%

Hotels (3,532) (6,449) -45.2% (6,886) (6,449) 6.8%

Holding and Others (1,709) (1,456) 17.4% (2,990) (2,377) 25.8%

Total (99,582) (31,181) 219.4% (187,275) (51,125) 266.3%

The main operating costs of the Real Estate Development division are construction costs, which are contracted based on guaranteed-maximum-price system, and land cost, both recognized based on the PoC method. Real estate development costs rose sharply reflecting progress of construction work at Parque Cidade Jardim, as well as construction work at the Fazenda Boa Vista (see comment in “Recognized Revenues”) and land acquisition cost recognition at Cidade Jardim Corporate Center first two towers. The main operating costs of the Shopping Mall division are depreciation, concession fees and labor and related taxes. The operating costs related to Shopping Malls increased by 128.8% mainly due to the beginning of Shopping Cidade Jardim operations, which mainly affected depreciation costs. For Shopping Santa Cruz, the growth in leasing costs was proportional to the increase in that mall’s revenues. The main cost at Office Rentals division is property depreciation, which declined by 47.2% year-on-year, due to the reduction in the depreciation amount, which results from the transfer of two office buildings (Metropolitan and Platinum) from property, plant and equipment to inventory. The main costs in Hotels are rent, workforce and charges, laundry and expenses with water, energy and sewage consumption. Costs in Hotels presented a 45.2% reduction in 2Q08 when compared to 2Q07, mainly due to the costs incurred in 2Q07 with the Food and Beverage section, which was split from the subsidiary that operates the hotels in 3Q07, to the extent that the company’s focus is hotel management. Gross Profit Gross profit in 2Q08 was R$108.0 million, up 272.9% compared to 1Q07, driven mainly by strong growth in revenue from real estate development (see comment in “Gross Revenues”). Gross margin jumped to 52.0% in 2Q08, from 48.2% in 2Q07. This margin increase is mainly due to the growth in the Development division margins (see explanation about these margins in “JHSF Business Divisions – Real Estate Development”). Operating Expenses


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In 2Q08, G&A expenses totaled R$13.4 million, versus R$7.4 million in 2Q07. The increase was driven mainly by the expansion in the administrative structure to meet the company´s new activity levels. Selling expenses, including advertising campaigns, sales offices and sales commissions, amounted to R$9.3 million in 2Q08, against R$1.7 million in 2Q07, mainly due to expenses with brokerage commissions (given the strong pace of growth in contracted sales) and advertising campaigns for Fazenda Boa Vista, Parque Cidade Jardim and Cidade Jardim Corporate Center. Other operating expenses are mainly represented by goodwill amortization of R$8.2 million in 2Q08, mainly related to the acquisition of minority interests in subsidiaries and IPO related expenses of R$26.8 million in 2Q07. Net Financial Result The table below shows our net financial result in the periods indicated, in thousands of Reais.

In 2Q08, financial income totaled R$9.1 million, 29.3% higher than in 2Q07, driven by the increase in the average balance of cash and cash equivalents mainly as a result of IPO proceeds.

Financial expenses amounted to R$7.9 million in 2Q08, up 4.2% compared to 2Q07, mainly due to the increase in bank loans, in line with our strategy of seeking an adequate capital structure that benefits from financial leverage in a controlled manner and at a competitive cost. On the other hand, the reduction in CPMF amounts, with the extinction of such contribution in 1Q08, positively affected our financial expenses for the same period. To reduce our foreign exchange exposure, in 2007, we carried out two hedge operations totaling US$21.6 million for JHSF’s operations, whose net result on June 30, 2008 was R$739,000. EBITDA The table below shows EBITDA calculation during the periods indicated, in thousands of Reais (see “Glossary” for EBITDA definition).

Var. Var.

2Q08 2Q07 2Q08 / 2Q07 (%)

1H08 1H07 1H08 / 1H07 (%)

Financial Income (9,107) (7,045) 29.3% (15,903) (8,900) 78.7%

Financial Expenses 7,845 7,530 4.2% 13,801 9,143 50.9%

.CPMF/IOF (taxes) 669 3,035 -78.0% 884 3,403 -74.0%

. Interest / Exchange Effects and Other 7,176 4,495 59.6% 12,917 5,739 125.1%

Net Financial Result (1,262) 486 n.a. (2,103) 242 n.a.


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2Q08 2Q07 1H08 1H07

Net Earnings 70,176 (15,181) 134,873 (6,104)

(+) Minoritary Interest 103 5,014 395 9,924

(+) Income Tax / Social Contribution 8,417 2,782 16,389 5,073

(+) Non-Operational Results (102) (12) (130) (16)

(+) Financial Result (1,262) 486 (2,103) 242

(+) Depreciation / Amortization 12,007 2,097 23,155 2,615

(+) Equity Income (155) - (573) -

(=) EBITDA 89,183 (4,814) 172,005 11,733

(+) IPO Expenses - 26,786 - 28,903

(=) Adjusted EBITDA (1) 89,183 21,971 172,005 40,636

(1) IPO expenses incurred in 2Q07 and 1H07

EBITDA totaled R$89.2 million in 2Q08, an increase of 305.9% over the EBITDA adjusted for IPO expenses in 2Q07, driven mainly by higher revenues (see comment in “Gross Revenues”). EBITDA margin was 43.0% in 2Q08, compared to 36.5% in 2Q07, mainly due to growth in margins from developments and gains arising from economies of scale, leading to higher fixed cost dilution as a result of the company´s new activity levels. Income Tax and Social Contribution The table below shows income tax and social contribution by division during the periods indicated, in thousands of Reais.

Var. Var.

2Q08 2Q072Q08 /

2Q07 (%)1H08 1H07

1H08 / 1H07 (%)


Shopping Malls (1,266) (827) 53.1% (1,912) (1,623) 17.9%

Office Rentals (491) (232) 112.0% (946) (232) 308.2%

Hotels (74) - n.a. (194) - n.a.

Holding and Others (51) (235) -78.2% (113) (405) -72.2%

Total (8,417) (2,782) 202.5% (16,389) (5,073) 223.1% Net Income Net income reached R$70.2 million in the quarter, growing by 504.8% in relation to the adjusted net income for IPO expenses in 2Q07, presenting an adjusted net margin of 33.8%.

Balance Sheet The information presented below reflects the consolidated balance sheet according to the accounting practices adopted in Brazil (BRGAAP).


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Assets Accounts Receivable from Real Estate Sales JHSF’s real estate developments have a unique receivables profile. In the first phase of the Fazenda Boa Vista development, for instance, more than 30% of the sold units’ total value was received within the first six months, given that this development targets the high-income segment.

The table below shows the accounts receivable already recognized and the accounts receivables backlog, as well as the schedule of receivables for the dates shown, in thousands of Reais.

6/30/2008 3/31/2008 Var. (%)

Accounts Receivables 233,330 174,624 33.6%

Accounts Receivables Backlog 568,619 477,676 19.0%

Total Account Receivables from Real Estate(1) 801,949 652,300 22.9%

Receivables Schedule 6/30/2008 %

Received (Clients Advances) 64,924 8.1%

2008 242,578 30.2%

2009 290,777 36.3%

2010 122,232 15.2%

2011 and after 81,438 10.2%

(1) Consider the totality of the contracts, including amounts not recorded yet

Real Estate Inventory Our real estate inventory consists of units concluded in the Platinum and Metropolitan office towers of our Office Rentals division, units under construction and land for development. The table below shows real estate inventory on the dates indicated, in thousands of Reais. Real Estate Inventories to be Sold - Book Value 6/30/2008 3/31/2008 Var. (%)

Units Concluded - Office Towers Platinum and Metropolitan and apartments received in payment

98,021 98,021 0.0%

Units under Construction 48,651 45,056 8.0%

Land Bank 178,869 182,190 -1.8%

Total 325,541 325,267 0.1%


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Property, Plant and Equipment (PPE) The table below shows PPE for each business division on the dates indicated, in thousands of Reais.

6/30/2008 3/31/2008 Var (%)

Real Estate Development 10,528 7,596 38.6%

Shopping Malls 248,566 210,660 18.0%

Office Rentals 59,026 59,570 -0.9%

Hotels 10,150 10,159 -0.1%

Holding and Others 2,165 1,874 15.6%

Total 330,436 289,859 14.0%

Liabilities Debt and Liquidity The table below shows gross bank debt by type and net debt on the dates indicated, in thousands of Reais.

Advances from Clients These represent amounts received from clients in real estate transactions when construction has not yet started or has not yet covered the total advance received from the client, as well as advances received from store owners for the rental of stores in future shopping malls.

Type Average Cost 6/30/2008 3/31/2008

Working Capital Financing CDI + 1.19% p.a. 217,687 202,242

BNDES Financing TJLP + 3.55% p.a. 75,475 50,059

Total bank debt 293,161 252,301

Cash and Cash Equivalents (216,368) (239,325)

Net Debt (Net Cash) 76,793 12,976

6/30/2008 3/31/2008 Var (%)

Installments Received - Accumulated 431,702 366,350 17.8%

(+) Accounts Receivable 164,916 123,950 33.1%

(-) Recognized Revenue Accumulated 571,507 449,054 27.3%

(=) Advances from clients on real estate sales 25,111 41,246 -39.1%

(+) Key money from future store tenants - Shopping Malls 9,856 8,639 14.1%

(+) Other Advances 40,180 23,945 67.8%

Customers Advances - Total 75,146 73,829 1.8%


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Cash Flow

The consolidated operating cash flow amounted to R$46.3 million in 1H08, mainly due to the cash generation of the development business. Disbursements with investments, property, plant and equipment, deferred charges and intangible assets totaled R$129.7 million, mainly due to investments in shopping malls in the same period. Sustainability

JHSF understands that the sustainable development of its businesses involves balancing profitability and respect for the environment and social matters to include all shareholders, clients, employees, the community, suppliers and investors, and other stakeholders.

Our corporate sustainability strategy is aligned with the goal of creating value for shareholders, given our strategy of developing real estate projects in several phases and with unique features (placemaking) to capture the land price appreciation generated over time. From an environmental standpoint, all of our projects are being analyzed for the possibility of receiving LEED certification from the U.S. Green Building Council, an international entity that establishes classification parameters regarding the environmental impact of real estate developments, based on criteria that involves all phases, from the design to the construction work and to the actual operation of the project. To support dissemination of the green building concept, JHSF has become founder member of the Green Building Council of Brazil, in the Platinum category. Capital Markets

Shares on the São Paulo Stock Exchange (Bovespa) JHSF’s shares (Bovespa: JHSF3) rose 42.5% in first six months ended June 30, 2008, reaching R$8.02 per common share. Since the IPO, daily trading volume in JHSF shares has averaged R$1.9 million, and market capitalization totaled R$3.4 billion.

Operating FlowOperationsNet Income for the Period 134,873 Depreciation, amortization and other non-cash items 36,419 Subtotal 171,292

Assets and Liabilities Variations Accounts Receivable (124,680) Real Estate to be Sold (18,986) Suppliers 23,980 Others (5,302)

Operational Cash Generation 46,303

Investments Flow (129,716)

Financial Flow 74,898

Cash Surplus (Deficit) for the Period (8,514)

Cash Flow Statement

(In R$ thousand)First Half of 2008


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Governance

Besides joining the Novo Mercado, the highest level of corporate governance in Brazil, the parameters of corporate governance adopted by JHSF are in line with the best practices in Brazil and abroad. These use clear codes of conduct and standards that are superior to those required by regulations. The Board of Directors is formed of 5 members, 2 of them independent. The Audit, Risk Management and Finance Committee is composed of 3 members. Additionally, the board of directors approved a Code of Ethics, a reference for personal and professional conduct of all employees, and a Stock Trading Policy, with the purpose of preventing inappropriate use of insider information. JHSF supports the dissemination of corporate governance concepts by sponsoring the Brazilian Institute of Corporate Governance (IBGC).

Consolidated Financial Statements

ASSETS 6/30/2008 3/31/2008Current Assets Cash and cash equivalents 212,135 235,203

Accounts receivables 201,413 155,989

Real estate to be sold 266,849 269,564

Miscellaneous credits 4,912 4,011

Income tax and social contribution to recover 4,708 2,257

Deferred income tax and social contribution 2,534 991

Sales expenses backlog 25,603 20,442

Others 2,681 756 720,835 689,213

Long Term Assets Marketable securities 4,233 4,122

Accounts Receivables 36,833 22,052

Miscellaneous credits 21,834 16,507

Real estate to be sold 58,692 55,703

Related parties 466 914 122,058 99,299

Permanent Assets Intangible 216,283 222,646

Property, plant and equipment 330,436 289,859

Deferred charges 59,103 40,682 605,823 553,186

Total Assets 1,448,716 1,341,698

JHSF Participações S.A.Consolidated Balance Sheet

(Thousand Reais)


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LIABILITIES 6/30/2008 3/31/2008Current Liabilities Suppliers 55,107 58,616 Loans and financing 27,314 21,356 Labor and tax liabilities 17,868 16,287 Deferred income taxes and social contribution 14,473 7,881 Creditors arising from property purchase commitment 15,791 9,351 Advance from clients 75,146 73,829 Others 2,077 1,538

207,776 188,858

Long Term Liabilities

Labor and tax liabilities 5,609 5,770

Loans and financing 265,847 230,945 Deferred income and social contribution taxes 4,561 4,744 Related parties 1,724 1,723 Other accounts payable 12,640 19,900 Provision for contingencies 2,753 2,754

293,135 265,836

Deferred Income 31,124 32,197

Minority Interest 10,875 11,222

Shareholder's Equity Paid-in Capital 705,782 705,782

Profit Reserve 67,168 73,107

Cumulative Translation Adjustment (2,016) -

Retained Earnings (loss) 134,873 64,697 905,806 843,586

Total - Liabilities 1,448,716 1,341,698

JHSF Participações S.A.

Consolidated Balance Sheet(Thousand Reais)


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R$ Thous. % R$ Thous. % R$ Thous. % R$ Thous. % Net Revenues 207,582 100.0% 60,142 100.0% 395,088 100.0% 102,667 100.0%

Operating Costs (99,582) -48.0% (31,181) -51.8% (187,275) -47.4% (51,125) -49.8%

Gross Profit 108,000 52.0% 28,961 48.2% 207,813 52.6% 51,542 50.2%

Operational expenses (30,669) -14.8% (35,872) -59.6% (58,390) -14.8% (42,424) -41.3%

Sales expenses (9,255) -4.5% (1,658) -2.8% (17,362) -4.4% (2,690) -2.6%

Administrative expenses (13,361) -6.4% (7,429) -12.4% (24,159) -6.1% (11,973) -11.7%

IPO related expenses - 0.0% (26,785) -44.5% - 0.0% (28,903) -28.2%

Goodwill amortization (8,209) -4.0% - 0.0% (17,443) -4.4% - 0.0%

Equity income 155 0.1% - 0.0% 573 0.1% - 0.0%

Others - 0.0% - 0.0% - 0.0% 1,143 1.1%

EBITDA 89,183 43.0% (4,814) -8.0% 172,005 43.5% 11,733 11.4%

Adjusted EBITDA (1) 89,183 43.0% 21,971 36.5% 172,005 43.5% 40,636 39.6%

Operating income 77,331 37.3% (6,911) -11.5% 149,423 37.8% 9,118 8.9%

Net financial result 1,262 0.6% (485) -0.8% 2,103 0.5% (242) -0.2%

Other non-operational income 102 0.0% 11 0.0% 130 0.0% 16 0.0%

Income before taxes and social contribution 78,696 37.9% (7,386) -12.3% 151,656 38.4% 8,893 8.7%

Income taxes and social contribution (8,417) -4.1% (2,781) -4.6% (16,389) -4.1% (5,073) -4.9%

Net Income before minority interests 70,279 33.9% (10,167) -16.9% 135,268 34.2% 3,820 3.7%

Minority Interest (103) 0.0% (5,014) -8.3% (395) -0.1% (9,924) -9.7%

Net Income 70,176 33.8% (15,181) -25.2% 134,873 34.1% (6,104) -5.9%

Adjusted Net Income(1) 70,176 33.8% 11,604 19.3% 134,873 34.1% 22,799 22.2%

1H08 1H07

(1) Adjusted net income and EBITDA excludes IPO expenses in the period.

JHSF Participações S.A. Consolidated Income Statement

(Thousand Reais)

2Q07 2Q08


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Supplementary Pro Forma Income Statements (not revised) JHSF Participações S.A. was created on June 29, 2006 with the purpose of concentrating in a single company the control of real estate developments and shopping mall divisions previously controlled directly or indirectly by the current controlling shareholders of JHSF Participações S.A. In the second half of April 2007, three high-end commercial properties were added to the operations of JHSF Participações S.A., namely: Edifício Platinum, Edifício Metropolitan and 50% of Edifício Nações. To better understand the current and future businesses as well as comparison with past performance, the Supplementary Consolidated Pro Forma Income Statements (unrevised) were prepared assuming that the three commercial real estate properties were acquired on January 1, 2007. These statements do not serve as the basis for dividend distribution or any other corporate purpose.

Real State Development

Shopping Malls Office Rentals Hotels Holding and Others

Consolidated

Net Revenues 361,024 12,889 7,011 10,868 3,296 395,088

Operating Costs (170,167) (6,144) (1,088) (6,886) (2,990) (187,275)

Gross Profit 190,857 6,745 5,923 3,982 306 207,813

Gross Margin 52.9% 52.3% 84.5% 36.6% 9.3% 52.6%

Operational expenses (26,209) (3,141) (85) (2,665) (26,289) (58,390)

Sales expenses (15,686) (1,104) - (571) - (17,362)

Administrative expenses (10,523) (2,036) (85) (2,010) (9,504) (24,159)

IPO related expenses - - - - - -

Others - - - (657) (16,785) (17,443)

Equity Income - - - 573 - 573

Operating Income 164,648 3,604 5,838 1,317 (25,984) 149,423

EBITDA 165,028 6,615 6,926 2,498 (9,062) 172,005

Adjusted EBITDA (1) 165,028 6,615 6,926 2,498 (9,062) 172,005

Adjusted EBITDA Margin 45.7% 51.3% 98.8% 23.0% -275.0% 43.5%

Net financial results 2,118 95 470 (617) 38 2,103

Other non-operating income 58 (5) - 78 - 130

Income before taxes and social contribution 166,823 3,694 6,307 778 (25,946) 151,656

Income taxes and social contribution (13,224) (1,912) (946) (194) (113) (16,389)

Net Income before minority interest 153,600 1,782 5,362 584 (26,059) 135,268

Minority Interest (1) (230) (1) (164) 0 (395)

Net Income 153,598 1,552 5,361 420 (26,059) 134,873

Adjusted Net Income (1)153,598 1,552 5,361 420 (26,059) 134,873

Net Income Margin 42.5% 12.0% 76.5% 3.9% -790.6% 34.1%

JHSF Participações S.A.Supplementary Consolidated Income Statement Breakdown by Business Segment

First Half of 2008

(Thousand Reais)


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68

(1) Consolidated result with no adjustment (2) Proforma consolidated result with adjustments abovementioned

(Thousand Reais)

2Q08 (1) 2Q07 (1) 1H08 (1) 1H07 (2)

Net Revenues 207,582 60,142 395,088 106,108

Operating Costs (99,582) (31,181) (187,275) (52,063)

Gross Profit 108,000 28,961 207,813 54,045

Operational expenses (30,669) (35,872) (58,390) (43,016)

Sales expenses (9,255) (1,658) (17,362) (2,690)

Administrative expenses (13,361) (7,429) (24,159) (11,423)

IPO related expenses - (26,785) - (28,903)

Goodwill amortization (8,209) - (17,443) -

Equity income 155 - 573 -

Others - - - -

Operating Income before financial operations 77,331 (6,911) 149,423 11,029

EBITDA 89,183 (4,814) 172,005 15,161

Adjusted EBITDA (1) 89,183 21,971 172,005 44,064

Net financial results 1,262 (485) 2,103 (242)

Other non-operating income 102 11 130 16

Income before taxes and social contribution 78,696 (7,386) 151,656 10,803

Income taxes and social contribution (8,417) (2,781) (16,389) (5,455)

Net Income before minority interest 70,279 (10,167) 135,268 5,348

Minority Interest (103) (5,014) (395) (9,924)

Net Income 70,176 (15,181) 134,873 (4,576)

Adjusted Net Income(1) 70,176 11,604 134,873 29,174

Supplementary Consolidated Income Statement - Pro forma (not audited)

JHSF Participações S.A.


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69

GLOSSARY

GLA Gross Leasable Area

Boa Vista Companhia Boa Vista de Desenvolvimento Imobiliário. (Boa Vista Real Estate Development Company)

CAES Companhia Administradora de Empreendimentos e Serviços. CBRE CB Richard Ellis CPIC Companhia Patrimonial de Imóveis Comerciais. CVM Brazilian Securities & Exchange Commission Dollar, USD or US$ United States of America Currency

EBITDA

EBITDA consists of income before net financial revenue (expenses), income tax and social contribution, minority stake, depreciation and amortization. EBITDA is not a measurement according to BR GAAP, does not represent the cash flow for the periods presented, and must not be considered as a substitute for the net income as an indicator of our operating performance or substitute of cash flow as liquidity indicator. EBITDA does not have a standardized meaning, and our EBITDA definition may not be comparable to those used by other companies.

FFO Funds from Operation = Adjusted Net Income + Depreciation + Amortization + IT/SC IT Income Tax IRPJ Corporate Income Tax JHSF Incorporações

JHSF Incorporações S.A. (earlier called JHSF Incorporadora Ltda.)

Anchor Store Generally refers to stores with more than 1,000 sq.m, with a high consumer generation capacity, which increases consumer interest in the shopping center where they are located.

Satellite Store Refers to all remaining stores of a shopping mall that are not considered anchor stores. Metrô The São Paulo subway system Metrô Norte Companhia Metrô Norte. Real or R$ Brazilian Currency SAES Sociedade Administradora de Estacionamentos e Serviços S.A. Santa Cruz Companhia Santa Cruz. SAS Sociedade Administradora de Centros Comerciais S.A. SCJ Shopping Cidade Jardim S.A. TJLP Long Term Interest Rate

VGV General sale value. Represents the value obtained or to be potentially obtained from the sale of all units of a specific real estate project.

This presentation contains forward-looking statements relating to the prospects of the business of JHSF. These statements are based on assumptions and future expectations that may not happen and are no guarantee of the Company’s future performance. Investors are cautioned that such statements are, as the case may be, subject to risks, uncertainties and other factors relating to the operations and business environment of JHSF, its subsidiaries and/or associate companies, due to which actual results of the companies may substantially differ from future results, expressed or implied, in this material.

Although JHSF believes the premises and expectations used for disclosing the statements and prospective information are reasonable and based on data currently available to its management, it cannot guarantee future results or events. JHSF expressly excludes itself from the responsibility of updating any of the statements and prospective information contained in the present material.

This document does not imply any offer, invitation or request for subscription or purchase of any securities. This document and its contents do not constitute the basis for a contract or commitment of any type.


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Market Arbitration Chamber The Company is subject to arbitration by the Market Arbitration Chamber, as per the Arbitration Clause included in the Company’s Bylaws. Ownership Structure

Shareholding of holders of more than 5% of the Company’s shares of each type and class, down to the individual holder

Company: JHSF Participações S.A. Shareholding on 06/30/08

Shareholder Common shares¹

Number % JHSF Par S.A. 271,742,797 63.73% Lazard Asset Management LLC (USA – Fund Administrator) 39,789,409 9.33% Fábio Roberto Chimenti Auriemo 37,462,505 8.79% José Auriemo Neto 37,462,505 8.79% Treasury shares - 0.00% Other 39,917,609 9.36% Total 426,374,825 100.00%

(1) The capital of JHSF Participações S.A. is comprised only of common shares

Distribution of the capital stock of legal entity JHSF PAR S.A., down to the individual level Denomination: JHSF Par S.A. Shareholding on 06/30/08

Shareholder Common Shares¹

Number % F.A. Participações S.A. 2,654,215 50.00% JAN Participações S.A. 2,654,215 50.00% Total 5,308,430 100.00%

(1) The capital of JHSF Par S.A. is comprised only of common shares

Distribution of the capital stock of legal entity F.A. Participações S.A., down to the individual level

Denomination: F.A. Participações S.A. Shareholding on 06/30/08


Number % Fábio Roberto Chimenti Auriemo 2,543,967,970 100.00% Other 17,700 0.00% Total 2,543,985,670 100.00%

(1) The capital of F.A. Participações S.A. is comprised only of common shares

Distribution of the capital stock of legal entity JAN Participações S.A., down to the individual level

Denomination: JAN Participações S.A. Shareholding on 06/30/08


Number % José Auriemo Neto 33,809,732 100.00% Other 1 0.00% Total 33,809,733 100.00%

(1) The capital of JAN Participações S.A. is comprised only of common shares


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71

Consolidated Shareholding of Controlling Shareholders and Management and Outstanding Shares


06/30/2007 – after the IPO 06/30/2008 – after the IPO

Holders 346,667,807 81.34% 346,667,807 81.31%

Management

Board of Directors 3 0.00% 3 0.00%

Board of Executive Officers - 0.00% 157,015 0.03%

Fiscal Council² - 0.00% - 0.00%

Treasury Shares - 0.00% - 0.00%

Other Shareholders 79,550,000 18.66% 79,550,000 18.66%

Total 426,217,810 100.00% 426,374,825 100.00%

Outstanding Shares 79,550,000 18.66% 79,550,000 18.66%

(1) The capital of JHSF Participações is comprised only of common shares (2) The Company does not have a Fiscal Council instated.

Audit In compliance with CVM Instruction 381/03, we inform that JHSF Participações S.A. and its subsidiaries did not hire Terco Grant Thornton to perform any services other than those related to auditing in the second quarter of 2008.


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17.01 - SPECIAL REVIEW REPORT - UNQUALIFIED OPINION

72

Special review report of independent auditors

To the Management and Shareholders of JHSF Participações S.A.:

1. We have performed a special review of the individual and consolidated Quarterly Information (ITR) of JHSF Participações S.A. and its subsidiaries (“Company”) related to the quarter ended on June 30, 2008, comprising the balance sheet and the statements of income, of cash flow and of value added, accounting information contained in the performance report and the notes to the financial statements for the quarter ended on such date, prepared under the responsibility of the management of the Company.

2. Our special review was conducted in accordance with auditing standards established by

the Brazilian Institute of Independent Auditors - IBRACON and the Federal Accounting Board - CFC, which mainly comprised: (a) inquiries and discussion with managers responsible for the accounting, financial and operating areas of the Company and its subsidiaries, regarding the main criteria adopted in the preparation of the quarterly information, and (b) review of subsequent information and events, which may have a material effect on the financial position and operations of the Company.

3. Based on our special review, we are not aware of any material changes that should be

made to the accounting information in the Quarterly Information referred to above for it to be in accordance with the accounting practices adopted in Brazil, applied in accordance with the regulations issued by the Brazilian Securities and Exchange Commission, applicable to the preparation of the Quarterly Information, including CVM Instruction 469/08.

4. As mentioned in Note 28, on December 28, 2007, Law 11,638/07 was enacted, taking

effect on January 1, 2008. This Law changed, revoked and introduced new provisions to Law 6,404/76 (Brazilian Corporate Law) and caused changes in the accounting practices adopted in Brazil. Although said Law has already taken effect, some changes introduced by it depend on regulation by regulatory bodies in order to be applied by companies. Thus, during this transaction phase, CVM, by means of Instruction 469/08, authorized the non-application of all provisions in Law 11,638/07 in the preparation of the Quarterly Information (ITR). Thus, the accounting information in the Quarterly Information (ITR) of the quarter ended on June 30, 2008 were prepared in accordance with the specific instructions of CVM and do not comprise all changes in the accounting practices provided by Law 11,638/07.

5. The individual and consolidated balance sheet, drawn up on March 31, 2008, as well as

the statement of income for the quarter ended on June 30, 2007, presented for comparative purposes, were reviewed by us, on which we issued an unqualified opinion and a special review report, dated May 6, 2008 and August 13, 2007, respectively, however, they do not comprise the effects deriving from Law 11,638/07 and CVM Instruction 469/08, which were estimated or mentioned in Note 28.

São Paulo, August 7, 2008.

Auditores Independentes Nelson Varandas dos Santos CRC 2 SP 018.196/O-8 Accountant CRC 1 SP 197.110/O-3


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1 - CVM CODE 02060-5



TABLE OF CONTENTS

GROUP TABLE DESCRIPTION PAGE

01 01 IDENTIFICATION 1

01 02 HEADQUARTERS 1

01 03 INVESTOR RELATIONS OFFICER (Company Mailing Address) 1

01 04 ITR REFERENCE AND AUDITOR INFORMATION 1

01 05 CAPITAL STOCK 2

01 06 COMPANY PROFILE 2

01 07 COMPANIES NOT INCLUDED IN THE CONSOLIDATED FINANCIAL STATEMENTS 2

01 08 CASH DIVIDENDS APPROVED AND/OR PAID DURING AND AFTER THE QUARTER 2

01 09 SUBSCRIBED CAPITAL AND CHANGES IN THE CURRENT YEAR 3

01 10 INVESTORS RELATION OFFICER 3

02 01 BALANCE SHEET - ASSETS 4

02 02 BALANCE SHEET - LIABILITIES 5

03 01 STATEMENT OF INCOME 6

04 01 EXPLANATORY NOTES 8

05 01 COMMENTS ON THE COMPANY’S PERFORMANCE IN THE QUARTER 33

06 01 CONSOLIDATED BALANCE SHEET - ASSETS 34

06 02 CONSOLIDATED BALANCE SHEET - LIABILITIES 35

07 01 CONSOLIDATED STATEMENT OF INCOME 36

08 01 COMMENTS ON THE CONSOLIDATED PERFORMANCE IN THE QUARTER 38

09 01 INTEREST IN CONTROLLED AND/OR ASSOCIATED COMPANIES 44

16 01 OTHER INFORMATION DEEMED RELEVANT BY THE COMPANY 46

17 01 SPECIAL REVIEW REPORT - UNQUALIFIED OPINION 72

JHSF INCOPORAÇÕES S.A.

COMPANHIA SANTA CRUZ

COMPANHIA METRO NORTE

COMPANHIA BOA VISTA

COMPANHIA PATRIMONIAL DE IMÓVEIS COMLS

COMPANHIA ADM EMPREEND E SERVIÇOS

SOCIEDADE ADM DE EMPREEND E SERVIÇOS

HOTÉIS FASANO & RESORTS S.A.

JHSF SHOPPINGS S.A.

JHSF JARDIM S.A.

JHSF EMPREENDIMENTOS S.A.

JHSF (URUGUAY) S.R.L.

AVEIRO INCORPORAÇÕES S.A.

HOTEL MARCO INTERNACIONAL S.A.

DEVELOPER DESENV PARTIC IMOBILIARIAS SA /72

Documents

(A free translation of the original in Portuguese) FEDERAL ... ITR 2T08_eng_rev.pdfcvm - brazilian securities and exchange commission itr - quarterly information commercial, industry