Quarterly Financial Report 1Q15

8/9/2019 Quarterly Financial Report 1Q15

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KPDS 115628

Multiplan Empreendimentos Imobiliários S.A.

Quarterly information - ITRMarch 31, 2015


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Multiplan Empreendimentos Imobiliários S.A.Quarterly information

March 31, 2015

2

Contents

Management report 3

Independent auditors' report on quarterly information 50

Balance sheets 53

Statements of income 57

Statements of comprehensive income 59

Statements of changes in shareholders’ equity 60

Statements of cash flows 62

Statements of value added 66

Notes to the quarterly information 68


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Disclaimer

This document may contain prospective statements, which are subject to risks and uncertainties as they

are based on expectations of the Company’s management and on available information. The Company is

under no obligation to update these statements.

The words "anticipate“, “wish“, "expect“, “foresee“, “intend“, "plan“, "predict“, “forecast“, “aim" and similar

words are intended to qualify statements.

Forward-looking statements refer to future events which may or may not occur. Our future financial

situation, operating results, market share and competitive position may differ substantially from those

expressed or suggested by these forward-looking statements. Many factors and values that may impact

these results are beyond the Company’s ability to control. The reader/investor should not make a decision

to invest in Multiplan shares based exclusively on the data disclosed on this report.

This document also contains information on future projects which could differ materially due to market

conditions, changes in laws or government policies, changes in operational conditions and costs, changes

in project schedules, operating performance, demands by tenants and consumers, commercial

negotiations or other technical and economic factors. These projects may be altered totally or in part by the

Company with no prior notice.

Non-accounting information has not been reviewed by external auditors.

In this release the Company has chosen to present the consolidated data from a managerial perspective,

in line with the accounting practices in force on December 31, 2012, as disclosed below.

For more detailed information, please check our Financial Statements, Reference Form (Formulário de

Referência) and other relevant information on our investor relations website www.multiplan.com.br/ir.

Managerial Report

Multiplan is presenting its quarterly results in a managerial format to provide the reader with a more

complete perspective on operational data. Please refer to the Company’s financial statements on its

website www.multiplan.com.br/ir to access the Financial Statements in compliance with the Brazilian

Accounting Standards Committee – CPC.

Please see on page 34 in this report the changes determined by Technical Pronouncements CPC18 (R2)

and CPC19 (R2), and the reconciliation of the accounting and managerial numbers.


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4

Table of Contents

01. Consolidated Financial Statements ......................................................................................... 802. Fair Value of Investment Properties According to CPC 28 .......................................................... 903. Operational Indicators ........................................................ ........................................................ 1104. Gross Revenues .................................................. ....................................................... ............... 1405. Properties Ownership Results ................................................... ................................................. 1606. Shopping Center Management Results ........................................................ ............................. 2007. Shopping Center Development Results ...................................................... ............................... 2108. Real Estate for Sale Results ................................................... ................................................. 2209. Financial Results ..................................................................................................................... 2310. Project Development ............................................................................................................... 2911. MULT3 Indicators & Stock Market ......................................................................................... . 3212. Portfolio .................................................................................................. .................................. 3413. Ownership Structure ............................................................................................................... 36

14. Operational and Financial Data .............................................................................................. 3815 Reconciliation between IFRS (with CPC 19 R2) and Managerial Report ............................. 4016. Appendices ............................................................................................................................... 4317. Glossary and Acronyms ............................................... ........................................................ ... 46

The Evolution of Multiplan's Financial Indicators

R$ Million2007

(IPO)¹2008 2009 2010 2011 2012 2013 2014

Change %(2014/2007)

CAGR %(2014/2007)

Gross Revenue 368.8 452.9 534.4 662.6 742.2 1,048.0 1,074.6 1,245.0 ▲237.6% ▲19.0%

Net Operating Income 212.1 283.1 359.4 424.8 510.8 606.9 691.3 846.1 ▲299.0% ▲21.9%

EBITDA 212.2 247.2 304.0 350.2 455.3 615.8 610.7 793.7 ▲274.0% ▲20.7%

FFO 200.2 237.2 272.6 368.2 415.4 515.6 426.2 552.9▲

176.2% ▲

15.6%Net Income 21.2 74.0 163.3 218.4 298.2 388.1 284.6 368.1 ▲1,639.7% ▲50.4%

¹2007 EBITDA adjusted for expenses related to the Company's IPO.

Historical Performance of Multiplan’s Results (R$ Million)

381218 213 214

24

474

305 256 233106

573

385 329 310166

686

441368 381

235

915

527 543 473359

948

644584

457334

1,113

708648

453296

1,254

880791

539

355

Gross Revenue Net Operating Income EBITDA FFO Net Income

LTM 1Q08 LTM 1Q09 LTM 1Q10 LTM 1Q11 LTM 1Q12 LTM 1Q13 LTM 1Q14 LTM 1Q15


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5

Overview

Multiplan Empreendimentos Imobiliários S.A is one of the leading shopping center operating companies in

Brazil, established as a full service Company that plans, develops, owns and manages one of the largest

and highest-quality mall portfolios in the country. The Company is also strategically active in the residential

and commercial real estate development sectors, generating synergies for shopping center-related

operations by creating mixed-use projects in adjacent areas. At the end of 1Q15, Multiplan owned 18

shopping centers with a total GLA of 767,554 m² - with an average interest of 73.8% -, of which 17

shopping centers were managed by the Company, with over 5,400 stores and an estimated annual traffic

of 180 million visits. Multiplan also owned - with an average interest of 92.4% - two corporate office

complexes with a total GLA of 87,558 m², for a total portfolio GLA of 855,112 m².

1Q15 Rental Revenue increases 16% toR$194 million

and NOI is up 18%, to R$219 million

Rio de Janeiro, April 29, 2015 – Multiplan Empreendimentos Imobiliários S.A. (BM&F Bovespa: MULT3) announces its earningsresults for the first quarter 2015. During fiscal year 2012, the Accounting Standards Committee (CPC) issued the followingpronouncements that impacted the Company’s activities and its subsidiaries including, among others: (i) CPC 18 (R2) – Investments inaffiliated companies, subsidiaries and in jointly controlled projects; (ii) CPC 19 (R2) – Joint business. These pronouncements required

that they be implemented for fiscal years starting January 1, 2013. The pronouncements determine, among other issues, that jointprojects be recorded on the financial statements via equity pick-up. In this case, the Company is no longer consolidating the 50% interestin Manati Empreendimentos e Participações S.A., a Company that owns a 75% stake in Shopping Santa Úrsula, and a 50% stake inParque Shopping Maceió S.A., a Company that has a 100% ownership interest in the shopping center of the same name on aproportional basis. This report adopted the managerial information format and, for this reason, does not consider the requirements ofCPCs 18 (R2) and 19 (R2) to be applicable. Thus, the information and/or performance analyses presented herein include the proportionalconsolidation of Manati Empreendimentos e Participações S.A. and Parque Shopping Maceió S.A. For additional information, pleaserefer to note 9.4 of the Financial Statements Report dated March 31, 2015.

1Q15 Highlights

Multiplan’s High Quality Malls Sustain Solid Operational Indicators and…

Shopping Center Occupancy Rate Shopping Center Occupancy Cost Shopping Center Deliquency and Rent Loss

97.5%

98.5% 98.6%

1Q13 1Q14 1Q15

8.1% 7.8% 8.1%

6.0%5.9% 5.4%

14.2% 13.7% 13.5%

1Q13 1Q14 1Q15

Rent as Sales %

Other as Sales %

2.2% 1.9%1.8%

0.2%0.5% 0.5%

1Q13 1Q14 1Q15

Delinquency Rate

Rent Loss


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1Q15MULT3

… a Continued Rental Revenue Increase …

Same Store Rent

… Which Combined with Efficient Cost Control …

Shopping center expenses andas a % of shopping center net revenues

G&A expenses andas a % of net revenues

… Resulted in Strong Net Operating Income Growth.

Net Operating Income (NOI)

Performance Highlights

Shopping center tenant sales Rental revenue NOI + Key Money

1Q15 (R$) 2,916.9 M 194.2 M 227.1 M1Q15 vs. 1Q14 +7.1% +15.7% +15.9%

OPERATIONAL AND FINANCIAL HIGHLIGHTS

In spite of the challenging economic environment in Brazil, Multiplan had strong operational

performance coming from its properties in 1Q15.

Average shopping center occupancy rate was 98.6% during the quarter, reflecting the high demand for

space in the company’s malls. Occupancy costs dropped 20 b.p. to an average of 13.5% and rent delays

(delinquency) remained at 1.8% during the quarter.

7.3% 8.8%9.6% 9.3% 7.7% 6.3% 5.7% 5.9% 6.8% 7.4% 7.6% 6.7% 5.9% 5.8% 5.9%

2.8%

4.9%5.8% 4.8%

3.9%3.9%

1.8% 2.6%4.3%

0.6%3.5%

1.2% 0.9%4.1% 2.7%

10.3%

14.1%16.0%

14.5%11.9%

10.4%

7.7% 8.6%

11.4%

8.0%

11.4%

8.0%6.8%

10.1%8.8%

1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14

IGP-DI Adjustment Effect Real SSR


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1Q15MULT3

Shopping center sales increased 7.1% in 1Q15, showing resiliency in mature operating assets as well

as a robust growth coming from malls under consolidation. The portfolio recorded average monthly sales

per square meter of R$1,376, attributable to the company’s homogeneous high quality shopping centers.

Same Area Sales increased 5.7%, on top of an already strong growth of 9.3% in 1Q14.

Gross Revenues were R$293.0 million in 1Q15, led by a 15.7% growth in rental revenue’s. Morumbi

Corporate continues to increase its revenue contribution, recording R$14.5 million in 1Q15. The shopping

center portfolio ended the quarter with a monthly rent of R$108/m². Same Store Rent grew 9.5%, implying

a real increase of 4.1%, above the simple average of 3.7% calculated since the IPO, or 3.3% in the last

five year.

Following the low mall vacancy rate and efforts by the company to reduce condominium costs,

shopping center expenses dropped 10.1% in 1Q15, and reached the lowest percentage of mall netrevenues ever recorded, of 9.3%.

The rent increase and a reduction in expenses led to Net Operating Income (NOI) + Key Money growth

of 15.9% in the quarter, with a margin of 89.7%. NOI in the twelve months ending in March 2015 was

R$914.1 million, or R$4.85 per share, equivalent to a five-year CAGR of 15.7%.

G&A expenses totaled R$25.7 million in 1Q15, representing a small 4.8% increase compared to 1Q14,

being entirely offset by services revenue of R$27.6 million in the quarter.

The consolidated EBITDA recorded R$193.7 million, with a 73.2% margin. Excluding non-recurring

results reported in 1Q14, EBITDA grew 10.6% in the quarter. The Shopping Center EBTIDA margin was

76.7% during the quarter.

On the debt side, the company ended the quarter with a net debt-to-EBTIDA ratio of 2.23x, and an

average cost of gross debt of 11.53% p.a., 122 b.p. below the SELIC basic interest rate in March 2015, of

12.75%.

Net Income was R$69.6 million in 1Q15. If “non-recurring events” is excluded from 1Q14, growth

would have been 14.2% in the quarter. In the twelve months ending in March 2015, FFO was R$539.0

million, corresponding to a FFO per share of R$2.86, equivalent to a five-year CAGR of 10.6%.

Recent Events:

General Shareholders’ Meeting: On April 29, 2015, the General Shareholders’ Meeting approved (i) the

payment of additional dividends in the amount of R$19.9 million referring to the 2014 fiscal year results,

and (ii) the election of a new board member, Mr. Salvatore Iacono, who replaces Mr. Russell Goin.


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1Q15MULT3

1. Consolidated Financial Statements – Managerial Report

(R$'000) 1Q15 1Q14 Chg. %Rental revenue 194,216 167,921 ▲15.7%Services revenue 27,617 32,187 ▼14.2%Key money revenue 7,895 10,256 ▼23.0%Parking revenue 42,492 35,416 ▲20.0%Real estate for sale revenue 11,286 25,853 ▼56.3%Straight line effect 8,690 11,411 ▼23.8%Other revenues 764 907 ▼15.8%Gross Revenue 292,961 283,952 ▲3.2%Taxes and contributions on sales and services (28,259) (26,703) ▲5.8%Net Revenue 264,702 257,249 ▲2.9%Headquarters expenses (25,664) (24,495) ▲4.8%Stock-option expenses (3,930) (3,085) ▲27.4%Shopping centers expenses (22,958) (25,544) ▼10.1%Office towers for lease expenses (3,230) (3,430) ▼5.8%

New projects for lease expenses (1,754) (6,334) ▼72.3%New projects for sale expenses (652) (3,713) ▼82.4%Cost of properties sold (8,334) (15,459) ▼46.1%Equity pickup 1 11,009 ▼100.0%Other operating income/expenses (4,482) 10,364 naEBITDA 193,700 196,560 ▼1.5%Financial revenues 11,211 9,527 ▲17.7%Financial expenses (56,161) (49,495) ▲13.5%Depreciation and amortization (39,196) (39,292) ▼0.2%Earnings Before Taxes 109,555 117,300 ▼6.6%Income tax and social contribution (34,037) (28,021) ▲21.5%Deferred income and social contribution taxes (5,906) (6,974) ▼15.3%Minority interest (18) (20) ▼10.3%Net Income 69,593 82,286 ▼15.4%

(R$'000) 1Q15 1Q14 Chg. %

NOI 219,211 185,774 ▲18.0%NOI margin 89.3% 86.5% ▲282 b.p.

NOI + Key Money 227,106 196,031 ▲15.9%NOI + Key Money margin

89.7% 87.1% ▲254 b.p.

Shopping Center EBITDA 185,221 182,687 ▲1.4%Shopping Center EBITDA margin 76.7% 79.9% ▼315 b.p.

EBITDA (Shopping Center + Real Estate) 193,700 196,560 ▼1.5%EBITDA margin 73.2% 76.4% ▼323 b.p.

Net Income 69,593 82,286 ▼15.4%Net Income margin 26.3% 32.0% ▼570 b.p.

Adjusted Net Income 75,499 89,259 ▼15.4% Adjusted Net Income margin 28.5% 34.7% ▼618 b.p.

FFO 114,695 128,551 ▼10.8%FFO margin 43.3% 50.0% ▼664 b.p.


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1Q15MULT3

2. Fair Value of Investment Properties According to CPC 28

Multiplan valued its investment properties internally and assessed their fair value based on the DiscountedCash Flow (DCF) methodology. The Company calculated the present value of the future cash flows using

a discount rate based on the Capital Asset Pricing Model (CAPM). Risk and return assumptions were

considered based on (i) studies conducted and published by Mr. Aswath Damodaran (Professor at New

York University), (ii) stock market performance of Multiplan shares (Beta), in addition to (iii)

macroeconomic projections published in the Central Bank’s Focus Report, and (iv) data on the risk

premium of the domestic market (country risk measured by the Emerging Markets Bond Index Plus Brazil).

Using these assumptions, the Company estimated a weighted average, nominal and unleveraged,

discount rate of 15.11% on of March 31, 2015, as a result of a basic discount rate of 14.66% calculated

according to CAPM, and a weighted average risk spread of 44 base points. The risk spread was calculated

according to internal analysis and added to the basic discount rate in a range between zero and 200 base

points for each shopping mall, office tower and project evaluation.

Shareholders’ cost of capital Mar-15 2014 2013 2012 Risk free rate 3.49% 3.49% 3.53% 3.57%Market risk premium 6.11% 6.11% 6.02% 5.74%

Adjusted beta 0.72 0.72 0.77 0.74Sovereign risk 230 b.p. 230 b.p. 205 b.p. 184 b.p.Spread 44 b.p. 44 b.p. 43 b.p. 59 b.p.Shareholders’ cost of capital - US$ nominal 10.65% 10.65% 10.66% 10.25%

Inflation assumptionsInflation (Brazil) 6.53% 6.53% 5.98% 5.47%

Inflation (USA) 2.40% 2.40% 2.30% 2.30%Shareholders’ cost of capital – BRL nominal 15.11% 15.11% 14.64% 13.66%

The investment properties valuation reflects the market participant concept. Therefore, the Company does

not consider in the discounted cash flows calculation taxes on revenues, income taxes, revenue and

expenses relating to management and brokerage services.

The future cash flow of the model was estimated based on the properties’ individual cash flows, including

the net operating income (NOI), recurring Key Money (based only on mix changes, except for projects

under development and future projects), revenues from transfer fees, investments in revitalization, and

investments in constructions in progress. Perpetuity was calculated assuming a real growth rate of 2.0%

for shopping centers and zero for office towers.


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The Company classified its investment properties in accordance with their status. The table below

describes the fair value calculated for each category of property and presents the amounts in the

Company’s share:

Fair Value of investment properties Mar-15 2014 2013 2012

Shopping malls and office towers in operation ¹ ,² ³ R$ 16,049 M R$ 15,683 M R$ 14,089 M R$ 13,418 M

Projects under development (disclosed) ¹,² ³ R$ 35 M R$ 32 M R$ 123 M R$ 715 M

Future projects (not disclosed) R$ 312 M R$ 284 M R$ 430 M R$ 569 M

Total R$ 16,396 M R$ 15,999 M R$ 14,642 M R$ 14,702 M

¹ In 2012, the JundiaíShopping, ParkShopping Campo Grande, Village Mall, ParkShopping Corporate, and Expansion VI of theRibeirãoShopping projects were completed and their assets transferred from the line Projects under development to Shopping malls andoffice towers in operation.² In 2013, the Expansion VII and Expansion VIII projects of RibeirãoShopping and Morumbi Corporate were completed, and their assetswere transferred from the line Projects under development to Shopping malls and office towers in operation.³ In 2014, the BarraShopping Expansion VII project was completed, and the assets were transferred from the line Projects underdevelopment to Shopping malls and office towers in operation.

Following the pronouncement CPC 19 (R2) – Joint business, issued by the Accounting Standards

Committee (CPC), the 37.5% ownership interest in Shopping Santa Úrsula and 50.0% in Parque Shopping

Maceió project through the joint controlled investees were not considered in the fair value calculation.

Evolution of Fair Value¹ (R$) Fair Value¹ per share (R$)

Growth of Fair Value¹, NOI and owned GLA

(Base 100: 2010)

Market Cap² vs. Enterprise Value³ vs. Fair Value¹ –

March 31, 2015

-

2.5 B

5.0 B

7.5 B

10.0 B12.5 B

15.0 B

17.5 B

2010 2011 2012 2013 2014 Mar-15

Future projects (not disclosed)Properties under development (disclosed)Properties in operation

FairValue

16.4

68.8773.21

82.4578.06

84.99 87.1

2010 2011 2012 2013 2014 Mar-1

100111 138

145

162 166

120

143

163

197204

111

140

160

166 167

2010 2011 2012 2013 2014 Mar-15

Fair Value - properties in operationNOI - properties in operation

Owned GLA - properties in operation

10.6 B12.4 B

16.4 B

Valor deMercado

EnterpriseValue (EV)

Fair Value

∆ 32%


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Enterprise Value³ and Fair Value¹ (R$)

¹ Calculated according to CPC 28² Based on stock price on March 31, 2015, of R$56.05³ The sum of Market Cap and Net Debt

3. Operational Indicators

3.1 Tenant Sales

Positive figures in spite of the economic downturn

Multiplan’s shopping centers sales reached R$2.9 billion in 1Q15, an increase of 7.1% when compared to

the same period during the previous year. The result follows a strong 12.1% growth in sales achieved in

2014, and again shows the operating resiliency of matured assets as well as a robust growth coming from

malls under consolidation.

In 1Q15 the portfolio recorded average sales per square meter of R$1,376, attributable to the company’s

homogeneous and high quality shopping centers. Multiplan believes that its strategy of having the best

assets in the cities where it is located, with an intensive mall management and a diversified mix of retailers,

should continue to lead the company to record strong operating metrics.

As expected, the younger shopping centers

under consolidation have outperformed the

average growth rate recorded by the portfolio.

The four malls opened since 4Q12

(JundiaíShopping,

ParkShoppingCampoGrande, VillageMall and

Parque Shopping Maceió), presented a

combined sales increase of 21.0%. Their

combined average monthly sales/m² reached

R$925 in 1Q15, up from R$757 in 1Q14. Sales

per square meter in the newer assets have

considerably reduced the gap with regard to

the rest of the portfolio (a gap of 88.9% in

1Q14 compared to 59.7% in 1Q15), even

though mature assets continue to improve their

numbers.

Shopping Center Sales (100%) Opening 1Q15 1Q14 Chg.%

BH Shopping (1979) 253.4 M 246.2 M ▲2.9%RibeirãoShopping (1981) 173.9 M 165.6 M ▲5.1%BarraShopping (1981) 417.8 M 391.7 M ▲6.7%MorumbiShopping (1982) 345.7 M 332.0 M ▲4.1%ParkShopping (1983) 249.1 M 232.5 M ▲7.1%DiamondMall (1996) 132.9 M 131.2 M ▲1.3%New York City Center (1999) 54.9 M 58.1 M ▼5.5%Shopping Anália Franco (1999) 217.9 M 207.0 M ▲5.3%ParkShoppingBarigüi (2003) 195.9 M 186.1 M ▲5.3%

Pátio Savassi (2007)¹ 85.0 M 79.5 M ▲6.9%Shopping Santa Úrsula (2008)² 41.3 M 42.4 M ▼2.7%BarraShoppingSul (2008) 171.0 M 157.8 M ▲8.4%Shopping Vila Olímpia (2009) 90.9 M 77.8 M ▲16.9%ParkShoppingSãoCaetano (2011) 116.6 M 109.2 M ▲6.8%JundiaíShopping (2012) 95.1 M 84.4 M ▲12.7%ParkShoppingCampoGrande (2012) 88.2 M 79.8 M ▲10.5%VillageMall (2012) 108.5 M 92.4 M ▲17.4%Parque Shopping Maceió (2013) 78.9 M 49.4 M ▲59.7%Total 2,916.9 M 2,723.0 M ▲7.1%

¹ Pátio Savassi opened in 2004 and was acquired by Multiplan in June, 2007.2 Shopping Santa Úrsula opened in 1999 and was acquired by Multiplan in April,2008.

12.3 B 13.0 B14.7 B 14.6 B 16.0 B

16.4 B

6.4 B7.3 B

12.3 B 11.3 B 10.9 B12.4 B

48.2% 44.0%

16.4% 22.6%31.9% 24.3%

2010 2011 2012 2013 2014 Mar-15

Fair Value Enterprise Value (EV) Discount of Enterprise Value (EV) / Fair Value


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1Q15MULT3

In terms of total sales productivity, mature

malls remain at the top of the list, led by

MorumbiShopping, with monthly sales of

R$2,153/m², and followed closely by

BarraShopping and DiamondMall, with the

same numbers for the quarter: R$2,103/m².

Twelve month Sales/m² analysis

In the 12 months ending in March 2015, portfolio sales/m²

totaled R$19,098. Stores with less than 1,000 m² posted

sales of R$25,817/m² whereas the majority of stores, with

200 m² or less, had sales of R$29,808/m².

Methodology: Sales/m² calculation considers only the

GLA from stores that report sales, and excludes sales

from kiosks, since they are not counted in the total

GLA. Sales/m² – March 2015 (LTM)

Same Area Sales reach monthly average of R$1,292 per square meter in 1Q15, growing 5.7%

In spite of the challenging economic environment in Brazil, Same Area Sales (SAS) and Same Store Sales(SSS) metrics presented growth on top of an already strong sales base in 1Q14. SAS hit monthly rate of

R$1,292/m², increasing 5.7% in the quarter, after having increased 9.3% in 1Q14, while SSS recorded

growth of 4.3% in 1Q15, reaching R$1,295/m², on top of a 8.3% growth recorded in 1Q14. The spread

reinforces the success of the tenant mix improvement strategy, increasing the leverage of the pace of

sales growth in Multiplan shopping centers.

SAS and SSS Evolution (year/year)

Same Store Sales for anchor stores increased 7.0% in 1Q15, highlighted by a strong increases in the

Apparel (+12.0%) and Services (+15.4%) segments and despite the weak performance of the Home &

Office segment (-10.1%), after a strong growth recorded in 1Q14 (+9.0%). The latter segment, being

more affected by the domestic economic environment and by the end of tax subsidies also weighted (-

4.9%) over the satellite stores SSS growth of 3.4%, which was offset by solid increases coming from

Services (+10.8%) and Food Court & Gourmet Area (+9.5%).

19.098/m²25.817/m²

29.808/m²

Sales(Anchors &Satellites)

Sales -stores under

1,000m²

Sales -stores under

200m²

7.0%

10.3%

7.7%10.0% 9.7% 9.5% 9.4%

7.4%8.8%

5.7%7.7% 8.0%

9.3%

12.0%

6.7%8.8%

5.7%

6.6% 9.4% 7.5% 8.3% 8.2% 8.1% 8.5% 6.8% 8.1% 5.8% 8.4% 7.6% 8.3% 9.4% 6.1% 7.9% 4.3%

1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15

Same Area Sales Same Store Sales


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1Q15MULT3

For illustration purposes only, if the Home & Office segment was excluded from the calculation, the SAS

and SSS would have increased 7.3% and 6.0%, respectively.

By having 32% of the GLA occupied by Food and Services operations, the company reinforces the

portfolio’s defensive position, which is leveraged by its premium locations and intensive management.

Same Store Sales 1Q15 x 1Q14

Anchor Satellite Total

Food Court & Gourmet Area - ▲9.5% ▲9.5%

Apparel ▲12.0% ▼0.1% ▲2.9%

Home & Office ▼10.1% ▼4.9% ▼6.9%

Miscellaneous ▲8.3% ▲7.3% ▲7.5%

Services ▲15.4% ▲10.8% ▲12.1%

Total ▲7.0% ▲3.4% ▲4.3%

Same Store Sales growth breakdown by segment Same base sales and IPCA (Inflation Index) - Base 100: 1Q09

3.2 Operational Indicators

The highest first quarter occupancy rate since the IPO

The average shopping center occupancy rate maintained its high level and stood at 98.6% in 1Q15, even

considering the addition of 51,700 m² of total GLA in the last two years, spread between the opening ofthree expansions – Expansion VII and VIII in RibeirãoShopping and Expansion VII in BarraShopping, and

a new mall, Parque Shopping Maceió. At the end of the first quarter of 2015, 14 out of 18 malls had an

occupancy rate of 98% or better with two malls fully occupied and eight malls with over 99.0% occupancy

rate. The lowest occupancy rate in the portfolio was 94.0%, due to a change in the tenant mix. Taking into

account only malls in operation for more than five years, the average rate was 98.9%, showing the

successful process of consolidation in these shopping centers. The high occupancy rate is an indication of

attractiveness of the Multiplan portfolio.

Evolution of shopping center occupancy rate: 1Q10 – 1Q15

172

162

100

144

1Q09 1Q10 1Q11 1Q12 1Q13 1Q14 1Q15

SAS SSS IPCA

97.9% 98.4% 97.2% 97.5%98.5% 98.6%

100.0% 99.8% 100.0% 100.0% 100.0% 100.0%

70.4%

85.8%82.8%

88.3%91.4%

94.0%

1Q10 1Q11 1Q12 1Q13 1Q14 1Q15

Occupancy Rate Highest / Lowest Occupancy Rate


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Healthy indicators reflect quality

asset

Occupancy costs were 13.5% in

1Q15, lower by 20 b.p. compared to

the same period in the previous

year, and lowest first-quarter figure

recorded in the last five years. This

decline is the result of the

combination of sales growth and an

effort to reduce common

condominium expenses. Occupancy cost breakdown 1Q10 – 1Q15

In spite of the additions to GLA over

the last year, the delinquency rate of

Multiplan’s malls (rental payments

more than 25 days overdue) was

1.8% in 1Q15, in line with the same

period in 2014, when it was 1.9%.

Rent loss was flat at 0.5% in 1Q15.

Historical delinquency rates and rent losses: 1Q10- 1Q15

4. Gross Revenue

Gross Revenue was R$293.0 million in 1Q15, led

by 15.7% growth in rental revenue

Gross revenue totaled R$293.0 million in 1Q15,

and had growth of 3.2% compared to 1Q14, a

strong result considering that the latter quarter

benefited from real estate for sale revenues R$14.6

million greater than in 1Q15.

As the construction cycle for the two real estate for

sale projects comes to an end, the accrual of

revenues and expenses related to these projects

was reduced, therefore impacting first quarter

revenue comparison.

Gross revenue breakdown –1Q15

7.7% 8.0% 8.2% 8.1% 7.8% 8.1%

5.8%5.7% 5.8%

6.0%5.9% 5.4%

13.5% 13.7%14.0% 14.2%

13.7%13.5%

1Q10 1Q11 1Q12 1Q13 1Q14 1Q15

Rent as Sales % Other as Sales %

3.2%

1.7%2.1% 2.2% 1.9% 1.8%

0.6%0.4% 0.3% 0.2%

0.5% 0.5%

1Q10 1Q11 1Q12 1Q13 1Q14 1Q15

Delinquency Rate Rent Loss

Straight Line Effect3.0%

Services9.4%

Key Money2.7%

Parking14.5%

Real Estate forSale3.9%

Others0.3%

Base Rent

90.2%

Overage3.6%

Merchandising6.1%

Rental Revenue66.3%


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Rental revenue was the main source for the quarterly results, which increased from 15.7% to R$194.2 million,

followed by parking revenue, which grew by 20.0% to reach R$42.5 million.

Rental revenue is composed of base rent, merchandising and overage rent, which represent 90.2%, 6.1%, and

3.6% of total rent, respectively.

The March 2015 12-month gross revenue was R$1,254.0 million, an increase of 12.7% compared to the

previous period.

1Q15 Gross revenue growth breakdown (Y/Y) (R$)

Twelve months ended March 2015 - Gross revenue growth breakdown (Y/Y) (R$)


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5. Property Ownership Results

5.1 Rental Revenue

Base rent grows 16.5% to R$175.2 million in 1Q15, led by new malls

Rental revenue grew by 15.7% in 1Q15, when compared to the same period in the previous year, reaching

R$194.2 million. The portfolio’s average monthly rent was R$108/m² in the quarter, reflecting Multiplan’s

malls high productivity, which continued to increase in spite of the strong rent base.

Base (or fixed) rent recorded growth

of 16.5% in 1Q15 over the same

period of the previous year. Base

rent has benefited from thecontractual rent step-ups applied to

three malls that entered the third

year in operation, as well as the

increase in rental revenue coming

from Morumbi Corporate.

Overage rent and merchandising

increased 16.0% and 4.3%

respectively in the quarter.

1Q15

Rental revenue growth breakdown (Y/Y) (R$)

Using the straight-line effect, which corresponded to R$8.7 million in 1Q15, the rental increase would have

been 13.1% in 1Q15. It is worth mentioning that the straight-line effect does not represent a cash event.

Newer assets: another step towards consolidation

As mentioned above, the three malls opened in

4Q12 entered the third year in operation and,

therefore, had rent adjustments (step-ups)

executed according to the terms of the lease

agreements. As a result, the rent/m² gap between

new shopping centers and the consolidated

portfolio declined from 68.4% in 1Q14 to 60.6% in

1Q15.

Additional data on shopping centers results can be

downloaded from the Fundamentals Spreadsheet

on Multiplan’s investor relations website:

(www.multiplan.com.br/ir ).

Rental revenue per m²/month in 1Q15¹Shopping centers in operation over 5 years.

²Shopping centers in operation for less than 5 years.

108/m²

74/m²

118/m²

Portfolio New ShoppingCenters¹

ConsolidatedShoppingCenters²

∆ 60.6%


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The four malls opened since 2012 increase rental revenue by 22.7% in 1Q15

Morumbi Corporate records R$14.5 million rent in 1Q15

Morumbi Corporate, the two-tower office complex located

across from MorumbiShopping, contributed with R$14.5

million in rental revenue in 1Q15, an increase of 8.2%

over 4Q14, and 157.3% compared to 1Q14. As of April

2015, 76% of the tower area had been leased. Morumbi Corporate rental revenue evolution

Resiliency check: SSR grows 9.5%, implying a real increase of 4.1% in 1Q15

1.3 M5.6 M

10.1 M 11.1 M13.4 M 14.5 M

4Q13 1Q14 2Q14 3Q14 4Q14 1Q15

2014: 40.2 M

Rental revenue grew by 15.7% in 1Q15,

compared to the same period in the

previous year. The portfolio’s average

monthly rent was R$108/m² in the

quarter, reflecting the high productivity,

which continued to increase in spite of

the strong rent base.

The four malls opened since 4Q12

reported a combined growth of 22.7% in

1Q15. The two main highlights wereVillageMall and Parque Shopping

Maceió, with rental revenue increases of

43.5% and 23.7% respectively.

Malls with more than 30 years in

operation, despite having the highest

rent/m² among the portfolio properties (a

monthly average of R$148/m² in the

quarter) were able to achieve another

solid quarter of combined growth - 9.2%in 1Q15, highlighted by the

BarraShopping and ParkShopping rental

increases of 16.0% and 14.6%

respectively.

BarraShoppingSul, in its seventh year of

operations, recorded rental growth of

13.7%, up to R$12.8 million in the

quarter.

Rental Revenue (R$) Opening 1Q15 1Q14 Chg.%

BH Shopping (1979) 18.4 M 17.2 M ▲6.7%

RibeirãoShopping (1981) 11.3 M 10.3 M ▲9.4%

BarraShopping (1981) 23.5 M 20.2 M ▲16.0%

MorumbiShopping (1982) 23.7 M 23.1 M ▲2.5%

ParkShopping (1983) 12.0 M 10.5 M ▲14.6%

DiamondMall (1996) 9.8 M 9.0 M ▲8.9%

New York City Center (1999) 2.0 M 1.6 M ▲24.7%

Shopping Anália Franco (1999) 6.1 M 5.7 M ▲6.0%

ParkShoppingBarigüi (2003) 11.6 M 10.7 M ▲8.6%

Pátio Savassi (2007)¹ 6.4 M 6.0 M▲

7.3%Shopping Santa Úrsula (2008)² 1.2 M 1.3 M ▼5.4%

BarraShoppingSul (2008) 12.8 M 11.2 M ▲13.7%

Shopping Vila Olímpia (2009) 4.3 M 4.1 M ▲3.9%

ParkShoppingSãoCaetano (2011) 9.8 M 9.4 M ▲4.8%

JundiaíShopping (2012) 7.4 M 6.3 M ▲17.6%

ParkShoppingCampoGrande (2012) 8.0 M 7.3 M ▲9.6%

VillageMall (2012) 8.7 M 6.1 M ▲43.5%

Parque Shopping Maceió (2013) 2.9 M 2.3 M ▲23.7%

Morumbi Corporate (2013) 14.5 M 5.6 M ▲157.3%

ParkShopping Corporate (2014) 0.0 M - n.a.

Subtotal 194.2 M 167.9 M ▲15.7%

Straight line effect 8.7 M 11.4 M ▼23.8%

Total 202.9 M 179.3 M ▲13.1%

¹ Pátio Savassi opened in 2004 and was acquired by Multiplan in June,20072 Shopping Santa Úrsula opened in 1999 and was acquired by Multiplanin April, 2008


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Same Store Rent (SSR) reported a monthly average of R$102/m² in 1Q15, an increase of 9.5% over the

same metric in 1Q14, and accelerating over the SSR growth in 4Q14 of 9.2%, even with lower inflation

adjustment in 1Q15. In March 2015, the IGP-DI inflation index increased 3.5% over March 2014, compared

to a 7.6% growth recorded in March 2014 over the same period in the previous year. Considering the IGP-

DI adjustment effect in 1Q15 of 5.2%, real rental growth in the quarter was 4.1%. Same Area Rent (SAR)

increased by 7.7% in 1Q15.

Same Store Rent (SSR) breakdown - Nominal and real growth

Real SSR above the five-year average

The reported real SSR of 4.1% in 1Q15 came in higher than the five-year average of 3.3% as well as the

average figure since the IPO, of 3.7%. The result reinforces the quality of Multiplan’s shopping center

portfolio.

Same Store Rent (SSR) real growth

5.2 Parking Revenue

Parking revenue increases 20.0% to R$42.5 million

in 1Q15

Parking revenue grew 20.0% in 1Q15, reaching

R$42.5 million. The delivery of a new parking facilityin BarraShopping, as well as the increase in traffic

in new malls and organic growth, were the main

reasons for this evolution.Parking revenue evolution (R$)

7.3% 8.8%9.6% 9.3% 7.7% 6.3% 5.7% 5.9% 6.8% 7.4% 7.6% 6.7% 5.9% 5.8% 5.9% 5.6% 5.2%

2.8%

4.9%5.8% 4.8%

3.9%3.9%

1.8% 2.6%4.3%

0.6%3.5%

1.2% 0.9%4.1% 2.7% 3.4% 4.1%

10.3%

14.1%16.0%

14.5%11.9%

10.4%

7.7% 8.6%

11.4%

8.0%

11.4%

8.0%6.8%

10.1%8.8% 9.2% 9.5%


IGP-DI Adjustment Effect Real SSR

2.8%

4.9%5.8%

4.8%3.9% 3.9%

1.8%2.6%

4.3%

0.6%

3.5%

1.2%0.9%

4.1%

2.7%3.4%

4.1%

Average:3.3%



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5.3 Shopping Center and Office Tower Expenses

Shopping center expenses drop 10.1% in 1Q15, and reach the lowest percentage of mall net revenues

ever recorded

The company was able to hold shopping center

expenses at R$23.0 million in 1Q15, 10.1% less than

in 1Q14. The result was driven by lower marketing

investments due to a more consolidated portfolio,

added to lower vacancy costs as a result of the higher

occupancy rate.

As a percentage of shopping center net revenue, mall

expenses declined 180 b.p. from 11.5% in 1Q14 to

9.3% in 1Q15. This is the lowest percentage recorded

since the company’s IPO. It is also worth noting that

this drop was achieved in spite of the delivery of new

areas.

Shopping center expenses evolution (R$)and as % of shopping center net revenue¹

¹(excluding real estate for sale revenue and taxes, andstraight-line effect)

Office tower expenses totaled R$3.2 million in 1Q15, 5.8% lower than in 1Q14. Morumbi Corporate

currently has 76% of its GLA leased, and as the project occupancy rate improves, the operating margin is

expected to increase.

5.4 Net Operating Income – NOI

NOI + Key Money increases by 15.9% in 1Q15, and margin reaches 89.7%

The company recorded a strong Net Operating Income (NOI) + Key Money (KM) of R$227.1 million in

1Q15, an increase of 15.9% over 1Q14. The NOI + Key Money margin improved 254 b.p. to 89.7%,

resulting from the combination of solid shopping center revenue growth and a reduction in mall expenses

in the quarter.

NOI Calculation (R$) 1Q15 1Q14 Chg.%Mar-15(LTM)

Mar-14(LTM)

Chg.%

Rental revenue 194.2 M 167.9 M ▲15.7% 827.6 M 692.5 M ▲19.5%

Straight l ine effect 8.7 M 11.4 M ▼23.8% 6.5 M 7.0 M ▼7.7%

Parking revenue 42.5 M 35.4 M ▲20.0% 164.6 M 136.8 M ▲20.3%

Operational revenue 245.4 M 214.7 M ▲14.3% 998.8 M 836.4 M ▲19.4%

Shopping center expenses (23.0 M) (25.5 M) ▼10.1% (104.0 M) (125.2 M) ▼17.0%

Office for lease expenses (3.2 M) (3.4 M) ▼5.8% (15.2 M) (3.4 M) ▲344.2%

NOI 219.2 M 185.8 M ▲18.0% 879.6 M 707.8 M ▲24.3%

NOI margin 89.3% 86.5% ▲282 b.p. 88.1% 84.6% ▲345 b.p

Key Money 7.9 M 10.3 M ▼23.0% 34.5 M 50.3 M ▼31.5%

Operational revenue + Key Money 253.3 M 225.0 M ▲12.6% 1,033.3 M 886.7 M ▲16.5%

NOI + Key Money 227.1 M 196.0 M ▲15.9% 914.1 M 758.1 M ▲20.6%

NOI + Key Money margin 89.7% 87.1% ▲254 b.p. 88.5% 85.5% ▲297 b.p


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In the last 12 months as of March 2015, NOI + Key Money increased to R$914.1 million, 20.6% higher

than in the previous period, with a margin of 88.5%, better by 297 b.p.

The NOI + Key Money per share reached R$1.20 in 1Q15, implying a five-year CAGR of 14.2%. In the 12-

month period ending in March 2015, NOI + Key Money was R$4.85 per share, equivalent to a five-year

CAGR of 15.7%.

NOI + Key Money per share* evolution (R$)*Shares outstanding adjusted for shares held in treasury

NOI + Key Money (R$) and margin

NOI + Key Money (R$)

6. Shopping Center Management Results

6.1 Services Revenue

Services revenue reaches R$27.6 million in 1Q15, once again greater than headquarters expenses in

1Q15

Services revenue, composed of portfolio management, brokerage and store transfer fees, recorded R$27.6 million in

1Q15, and was equivalent to 108% of the general and administrative expenses (G&A). Compared to 1Q14, when a

one-time construction management fee was paid to the company, services revenue fell 14.2%.

0.62 0.70 0.791.02 1.05 1.20

2.342.66

3.183.85 4.06

4.85

1Q10 /Mar-10(LTM)

1Q11 /Mar-11(LTM)

1Q12 /Mar-12(LTM)

1Q13 /Mar-13(LTM)

1Q14 /Mar-14(LTM)

1Q15 /Mar-15(LTM)

NOI + Key Money per share (1Q)

NOI + Key Money per share (LTM)CAGR:15.7%

CAGR:14.2%


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Services revenue/G&A (x) Quarterly services revenue evolution (R$)

6.2 General and Administrative Expenses (Headquarters)

G&A expenses increase 4.8% to R$25.7 million,

representing 9.7% of net revenue

General and Administrative (G&A) expenses increased 4.8%

in 1Q15 when compared to 1Q14, below the national

inflation rate for the same period, mainly due to higher

services and payroll expenses, which were partially offset by

lower marketing, travel expenses and provisions reversals.

G&A expenses as a percentage of net revenue remained in

the single-digit figure of 9.7% in the quarter.Quarterly G&A evolution (R$)and as a % of net revenues (%)

7. Shopping Center Development Results

7.1 Key Money Revenue

Key money revenue totals R$7.9 million in 1Q15

Key money revenue recognized and reported in 1Q15 decreased 23.0% to R$7.9 million, impacted by

lower recognition from Shopping Vila Olímpia which completed its first five years in operation (the

accounting accrual period for most key money contracts), and partially compensated by the key moneyfrom BarraShopping Expansion VII, delivered in 2Q14.

1.00 x

1.31 x

0.87 x

1.02 x0.94 x

1.08 x

1Q14 2Q14 3Q14 4Q14 1Q15

Key Money Revenue (R$) 1Q15 1Q14 Chg. %

Operational (Recurring) 1.4 M 1.3 M ▲7.7%

Projects opened in the last 5 years (Non-recurring) 6.5 M 9.0 M ▼27.8%

Key Money Revenue 7.9 M 10.3 M ▼23.0%


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7.2 New Projects for Lease Expenses

New Projects for Lease expenses decline 72.3% in 1Q15

New projects for lease expenses totaled R$1.8 million in 1Q15, a

drop of 72.3% when compared to 1Q14. New projects for lease

expenses were related to new greenfield and mall expansion

projects under development in the pre-operational phase, mainly

expenses associated with ParkShoppingCanoas, a new

shopping center in the south of Brazil where construction work

has begun. Quarterly New Projects for Lease Expenses (R$)

These expenses are incurred mostly in the planning, launching and opening of projects, and represent an

important tool to implement the Company’s strategy of attracting the best tenants and creating the ideal mix foreach mall.

8. Real Estate for Sale Results

Real estate for sale revenue contribution of R$11.3 million in 1Q15

The BarraShoppingSul Complex forthcoming towers,

Résidence du Lac and Diamond Tower, are mostly

concluded and therefore generated a real estate for

sale revenue of R$11.3 million in 1Q15, reducing by

56.3% the contribution when compared to the

previous quarters.

When both towers were launched in 4Q11, the

combined potential sales value (PSV) was R$223.5

million or R$9.385/m². Close to the project’s delivery

date and considering that 98% of the units have been

sold, the Company expects to reach an average of

R$11,275/m², or a PSV of R$267.9 million, equal to a

19.9% improvement on an already high initial value.

Real Estate for Sale Revenues (R$)

New projects for sale expenses drop to R$0.6 million

Multiplan recorded cost of properties sold of R$8.3 million in 1Q15, mainly due to the evolution of

contruction projects at the towers for sale in BarraShoppingSul. New projects for sale expenses,

composed mainly of brokerage fees and property taxes (IPTU) for the land bank (shown in topic 10.3),

decreased to R$0.6 million in 1Q15, compared to R$3.7 million in 1Q14.

Real estate for sale activities added R$2.3 million to the Company’s results in 1Q15, following a strong

R$37.1 million net contribution in 2014.


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9. Financial Results

9.1 EBITDA

Excluding non-recurring items in 1Q14, EBITDA would grow 10.6%

Consolidated EBITDA presented a small decline (-1.5%) in 1Q15, compared to 1Q14, mainly due to (i) a

slight net revenue growth (+2.9%), highlighted by rental (+15.7%) and parking (+20.0%) revenues, partially

offset by lower real estate for sale

(-56.3%) and services (-14.2%) revenues, (ii) a decline in the expenses account of 12.6%, driven by

shopping centers

(-10.1%) and new projects (-76.1%) expenses; which were fully offset (iii) by one-time non-recurring

revenues (real estate project legal settlement and air rights sale) in 1Q14, which summed R$21.4 million.

In 1Q15 the Consolidated EBITDA margin was 73.2%. The

1Q14 margin, impacted by non-recurring items mentioned

above, was 76.4%. For illustrative purposes only, adjusting

the EBITDA margin in 1Q14 for non-recurring items (R$21.4

million) would result in a margin of 68.1%, representing an

increase of 508 b.p. comparing 1Q15 to 1Q14 and a

Consolidated EBITDA growth of 10.6%.

Consolidated EBITDA (R$)

Consolidated EBITDA (R$) 1Q15 1Q14 Chg. %Mar-15

(LTM)

Mar-14

(LTM)

Chg. %

Net Revenue 264.7 M 257.2 M ▲2.9% 1,137.8 M 1,011.9 M ▲12.4%

Headquarters expenses (25.7 M) (24.5 M) ▲4.8% (118.1 M) (112.7 M) ▲4.8%

Stock-option expenses (3.9 M) (3.1 M) ▲27.4% (15.5 M) (11.8 M) ▲31.6%

Shopping centers expenses (23.0 M) (25.5 M) ▼10.1% (104.0 M) (125.2 M) ▼17.0%

Office towers for lease expenses (3.2 M) (3.4 M) ▼5.8% (15.2 M) (3.4 M) ▲344.2%

New projects for lease expenses (1.8 M) (6.3 M) ▼72.3% (8.6 M) (25.2 M) ▼65.9%

New projects for sale expenses (0.7 M) (3.7 M) ▼82.4% (5.7 M) (13.8 M) ▼58.4%

Cost of properties sold (8.3 M) (15.5 M) ▼46.1% (64.2 M) (68.5 M) ▼6.3%

Equity pickup 0.0 M 11.0 M na (0.6 M) 10.9 M na

Other operating income (expenses) (4.5 M) 10.4 M na (15.0 M) (14.3 M) ▲5.3%

Consolidated EBITDA 193.7 M 196.6 M ▼1.5% 790.9 M 648.0 M ▲22.1%

Consolidated EBITDA Margin 73.2% 76.4% ▼323 b.p. 69.5% 64.0% ▲547 b.p.

In the last 12 months Consolidated EBITDA reached R$790.9 million, implying a five-year CAGR of 19.2%. In

the same period, the CAGR of shopping center owned GLA reached 10.3% and Consolidated EBITDA

margin increased 597 b.p. to 69.5% when compared to March 2010 (LTM), showing the efficiency gains.


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Shopping Center EBITDA reached R$185.2 million, growing 7.5% excluding non-recurring items

In 1Q15 Multiplan reported a 1.4% growth in Shopping Center EBITDA (excluding real estate for sale

results), benefitting from a shopping center net revenue increase of 5.5% in the same period. G&A and

mall related expenses had a significant decline

(-12.6%), driven by shopping center expenses (-10.1%) and new projects for lease expenses (-72.3%);

partially offset by non-recurring result in 1Q14 (air rights sale), which summed R$10.4 million. Shopping

Center EBITDA margin remained strong at 76.7%.

For illustrative purposes only, if non-recurring

items (mentioned above) were excluded from

Shopping Center EBITDA, the margin in 1Q15

(76.7%) would present an increase of 139 b.p.

when compared to 1Q14 (75.3%), while growing

7.5%, as shown on the right.

Shopping Center EBITDA (R$)

EBITDA Evolution


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1Q15MULT3

Shopping Center EBITDA (R$) 1Q15 1Q14 Chg. %Mar-15

(LTM)

Mar-14

(LTM)Chg. %

Shopping Center Gross Revenue ¹ 267.2 M 252.5 M ▲5.8% 1,102.1 M 996.8 M ▲10.6%

Taxes and contributions on sales and services (25.8 M) (23.7 M) ▲8.5% (102.1 M) (90.2 M) ▲13.2%

Shopping Center Net Revenue 241.4 M 228.7 M ▲5.5% 1,000.0 M 906.6 M ▲10.3%

Headquarters expenses ² (23.4 M) (21.8 M) ▲7.5% (103.8 M) (100.9 M) ▲2.9%

Stock-option expenses ² (3.6 M) (2.7 M) ▲30.6% (13.6 M) (10.6 M) ▲29.1%

Shopping centers expenses (23.0 M) (25.5 M) ▼10.1% (104.0 M) (125.2 M) ▼17.0%

New projects for lease expenses (1.8 M) (6.3 M) ▼72.3% (8.6 M) (25.2 M) ▼65.9%

Other operating income (expenses) (4.5 M) 10.4 M na (15.0 M) (14.3 M) ▲5.3%

Shopping Center EBITDA ³ 185.2 M 182.7 M ▲1.4% 755.0 M 630.5 M ▲19.8%

Shopping Center EBITDA Margin 76.7% 79.9% ▼315 b.p. 75.5% 69.5% ▲596 b.p.

(+) New projects for lease expenses 1.8 M 6.3 M ▼72.3% 8.6 M 25.2 M ▼65.9%

SC EBITDA before New Projects Expenses 4 187.0 M 189.0 M ▼1.1% 763.6 M 655.6 M ▲16.5%

SC EBITDA before New Projects Expenses 77.5% 82.6% ▼519 b.p. 76.4% 72.3% ▲404 b.p.

(1) Shopping Center Gross Revenue: does not consider real estate for sale and office towers for lease revenues.(2) Headquarters expenses and stock options: proportional to the shopping centers revenues as a percentage of gross revenue.(3) Shopping Center EBITDA: does not consider Real Estate: revenues, taxes, costs and expenses.(4) Shopping Center EBITDA before New Projects for Lease Expenses: the same methodology of Shopping Center EBITDA addingback new projects for lease expenses, as the expenses refers to shopping centers and office towers still not in operation.

9.2 Financial Results, Debt and Cash

Further decrease in leverage, maintaining the desired range

Multiplan finished 1Q15 with a net debt of R$1,759.8 million, compared to R$1,876.2 million in the previous

quarter. The current figure represents a net debt-to-EBITDA (last 12 months) ratio of 2.23x and the net

debt was equivalent to 10.7% of the investment property fair value, 99 b.p. lower when compared to 4Q14

(11.7%).

In 1Q15, financial revenue reached R$11.2 million, being fully offset by financial expenses, which reached

R$56.2 million, generating a negative financial result of R$45.0 million.

Financial Position Breakdown (R$) March 31, 2015 December 31, 2014 Chg. %Current Liabilities 259.9 M 248.6 M ▲4.6%Loans and financing 211.5 M 206.5 M ▲2.4%Debentures 21.9 M 9.7 M ▲124.5%Obligations from acquisition of goods 26.6 M 32.4 M ▼17.9% Non Current Liabilities 1,912.7 M 1,965.9 M ▼2.7%Loans and financing 1,501.0 M 1,550.2 M ▼3.2%Debentures 398.2 M 398.2 M ▲0.0%Obligations from acquisition of goods 13.5 M 17.5 M ▼22.7%Gross Debt 2,172.7 M 2,214.5 M ▼1.9%Cash and Cash Equivalents 412.9 M 338.3 M ▲22.0%Net Debt 1,759.8 M 1,876.2 M ▼6.2%

EBITDA LTM 790.9 M 793.7 M ▼0.4%

Fair Value of Investment Properties 16,396.3 M 15,999.3 M ▲2.5%


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Cash and Cash Equivalents were impacted mainly by the cash outflows of (i) CAPEX of R$30.3 million in

the period, (ii) amortization of R$50.4 million in short term debt, (iii) payment of R$10.6 million in

obligations from acquisition of goods; which were fully offset by (iv) cash generation of current operations.

Multiplan’s debt amortization schedule on March 31, 2015 (R$)

Deleveraging driven by strong cash generation

When compared to 4Q14, the increase

in Cash and Cash Equivalents (22.0%)

combined with a decrease in Gross Debt

(1.9%), contributed to reduce the net

debt-to-EBITDA (LTM) ratio from 2.36x

in December 2014, to 2.23x in March

2015. In 2Q15, the company’s leverage

should be impacted by planned cash

disbursements related to (i) payment of

additional dividends approved in the

General Shareholders’ Meeting, to be

paid by May 31, 2015, (ii) payment of

Interest on Shareholders’ Equity

announced in December 2014, to be

paid by May 31, 2015, and (iii) potential

CAPEX.

* EBITDA and F inancial Expenses are the sum of the last 12 months.

Financial Position Analysis* Mar. 31, 2015 Dec. 31, 2014

Net Debt/EBITDA (LTM) 2.23x 2.36x

Gross Debt/EBITDA (LTM) 2.75x 2.79x

EBITDA/Financial Expenses (LTM) 3.73x 3.86x

Net Debt/Fair Value 10.7% 11.7%

Net Debt/Equity 42.3% 46.1%

Net Debt/Market Cap 16.5% 20.8%

Weighted Average Maturity (Months) 52 54

Additionally, Net Debt/Fair Value dropped to 10.7% in 1Q15, driven by a 2.5% increase in fair value,

combined with a 6.3% decrease in Net Debt position. The weighted average maturity of the Company debt

at the end of 1Q15 was of 52 months, compared to 54 months in the previous quarter.


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The spread between the average cost of indebtedness and Selic keeps increasing

While the basic interest rate increased 100 b.p. in the quarter to 12.75%, weighted average cost-of-debt

increased 57 b.p. to 11.53% p.a. on March 31, 2015, up from 10.96% p.a. on December 31, 2014,

presenting a spread between the Company’s weighted average cost of funding and the Selic basic interest

rate of 122 b.p.

Multiplan’s weighted average cost-of-debt remained below the Selic rate for the sixth consecutive quarter,

as a consequence of the financing strategy implemented in 3Q13, increasing the share of gross debt

indexed to TR, up from 30.9% in 2Q13 to 42.6%, in 1Q15. Thus, Multiplan´s indebtedness continues to

show a wide selection of indices, with debt linked to the TR and the CDI indexes representing the largest

share of the total debt outstanding. Multiplan´s Indebtedness is in local currency only (Real).

Indebtedness interest indices on March 31, 2015

IndexPerformance

AverageInterest Rate

Cost ofDebt

Gross Debt(R$)

TR ² 0.90% 8.93% 9.89% 925.8 M

CDI 12.75% 1.02% 13.77% 1,003.2 M

TJLP 5.50% 3.25% 8.80% 138.5 M

IGP-M ² 3.16% 1.62% 4.78% 40.4 M

IPCA ² 8.13% 7.62% 15.75% 19.8 M

Others 0.00% 8.03% 8.03% 44.9 M

Total 6.75% 4.75% 11.53% 2,172.7 M¹ Weighted average annual interest rate.² Index performance for the last 12 months.

Multiplan Debt Indices on

March 31, 20159.3 Net Income and Funds From Operations (FFO)

Net Income up 14.2% in 1Q15, excluding non-recurring items

Weighted average cost of funding (% p.a.)

11.08% 10.52% 9.98% 9.48% 9.08% 8.95% 9.20% 9.34%

9.87%10.41% 10.50% 10.54% 10.96%

11.53%11.00%9.75%

8.50%7.50% 7.25% 7.25% 8.00%

9.00%

10.00%10.75% 11.00% 11.00%

11.75%12.75%

Dec-11 Mar-12 Jun-12 Set-12 Dez-12 Mar-13 Jun-13 Set-13 Dez-13 Mar-14 Jun-14 Set-14 Dez-14 Mar-15

Multiplan Cost of Funding (gross debt) Selic Rate


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Net Income decreased 15.4% in 1Q15, compared to 1Q14,

reaching R$69.6 million, mainly due to (i) one-time results (realestate project legal settlements and air rights sale) in 1Q14,

which totaled R$21.4 million, combined with a (ii) higher tax

burden, impacted by non-deductible expenses in 1Q15. This

result was partially offset by higher (iv) net revenues and (v)

lower expenses, highlighted by shopping center expenses (-

10.1%) and a decline in new project for lease expenses

(-72.3%). Net Income (R$)

* Impact on taxes not considered

For illustrative purposes only, if non-recurring items were excluded, the Net Income would present a 14.2%

growth, as shown on the right, and a margin increase of 261 b.p. when compared to 1Q14.

Net Income & FFO Calculation (R$) 1Q15 1Q14 Chg. %Mar-15(LTM)

Mar-14(LTM)

Chg. %

Net revenue 264.7 M 257.2 M ▲2.9% 1,137.8 M 1,011.9 M ▲12.4%

Operating expenses (71.0 M) (60.7 M) ▲17.0% (347.0 M) (364.0 M) ▼4.7%

Financial results (44.9 M) (40.0 M) ▲12.5% (170.0 M) (122.3 M) ▲39.0%

Depreciation and amortization (39.2 M) (39.3 M) ▼0.2% (161.5 M) (136.1 M) ▲18.6%

Income tax and social contribution (34.0 M) (28.0 M) ▲21.5% (81.9 M) (72.9 M) ▲12.3%

Minori ty interest (0.0 M) (0.0 M) ▼10.3% 0.0 M (0.1 M) na

Adjusted net income 75.5 M 89.3 M ▼15.4% 377.6 M 316.6 M ▲19.2%

Deferred income and social contribution (5.9 M) (7.0 M) ▼15.3% (22.2 M) (20.2 M) ▲10.0%

Net income 69.6 M 82.3 M ▼15.4% 355.4 M 296.4 M ▲19.9%

Depreciation and amortization 39.2 M 39.3 M ▼0.2% 161.5 M 136.1 M ▲18.6%

Deferred income and social contribution 5.9 M 7.0 M ▼15.3% 22.2 M 20.2 M ▲10.0%

FFO 114.7 M 128.6 M ▼10.8% 539.0 M 452.7 M ▲19.1%

FFO LTM reaches a 11.7% five-year CAGR

Funds From Operations (FFO) reached R$114.7 million in 1Q15, 10.8% lower than in 1Q14, impacted by

the non-recurring items mentioned above. However, in the last 12 months (LTM) FFO increased 19.1%,

reaching R$539.0 million, and a five-year CAGR of 11.7%. FFO per share (LTM) reached R$2.86 in 1Q15,

representing a five year CAGR of 10.6%.

FFO evolution FFO (R$) per share evolution 1 Shares outstanding at the end of each period, adjusted for

shares held in treasury


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10. Project Development

R$30.3 million invested during 1Q15

Multiplan invested R$30.3 million in the first quarter

of 2015, of which R$11.9 million was for mall

expansions, R$9.6 million was for renovation, IT and

others, R$4.1 million went towards mall

development, R$4.2 million was earmarked for land

acquisition and R$0.3 million went to office towers.

Mall expansions, 39% of the total CAPEX, includes

the final stage of BarraShopping Medical Center

Expansion and small expansions in

BarraShoppingSul and PatioSavassi, adding new

operations and convenience to consumers.

Investment (R$) 1Q15 % of total

Mall Development 4.1 M 13.7%

Mall Expansion 11.9 M 39.5%

Office Towers 0.3 M 1.1%

Renovation, IT & Others 9.6 M 31.8%

Land Acquisition 4.2 M 14.0%

Investment 30.3 M 100.0%

10.1 Greenfield

ParkShoppingCanoas: under construction

ParkShoppingCanoas, located in the state of Rio Grande do Sul, in the city of Canoas, is Multiplan´s 19th

shopping center. The project will feature an innovative architectural project and a large area for leisure and

services distributed among 258 stores in its 48,000 m² of Gross Leasable Area (GLA). The project offers a

hypermarket, an ice-skating rink, a gym center, an indoor amusement park, five stadium-type movie

theaters, a food court with 28 operations and six gourmet restaurants with a deck overlooking Getúlio

Vargas municipal park.

The mall will have 2,500 parking places, of which approximately 1,000 will be covered. The area also

offers the potential for future developments of mixed-use projects. Multiplan will hold an 80% interest in the

shopping center. Due to a land swap the Company’s stake in the project’s development costs (CAPEX) will

be 94.7%.


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10.2 Mixed-use: Office and Residential Towers for Sale

Towers in Porto Alegre: ready to be delivered in a few days

Résidence du Lac, a 9,960m² residential tower sold for an average price of R$12,348/m² and Diamond Tower,

a condo-office tower, has sold its units with an average price of R$10,501/m². Their combined potential sales

value (PSV) is R$267.9 million. Both projects were scheduled to be delivered in the second quarter of 2015,

and need only an occupancy permit.

BarraShoppingSul Complex: Crystal Tower, Diamond Tower (delivery estimated to 2Q15)and Résidence du Lac (delivery estimated to 2Q15)

Artist’s rendering for illustration purposes only – Project subject to changes without previous notice


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1 Potential Sales Value

Towers for Sale

Project Location Type Opening Area %Mult. PSV¹ Averageprice/m²

Diamond Tower BarraShoppingSul Condo Offices 2Q15 13,800 m² 100.0% 144.9 M 10,501

Résidence du Lac BarraShoppingSul Residential 2Q15 9,960 m² 100.0% 123.0 M 12,348

Total 23,760 m² 100.0% 267.9 M 11,275

10.3 Future Growth and Land Bank

Multiplan currently holds 874,000 m² of land for future mixed-use development projects

Multiplan owns 873,819 m² of land for future mixed-use projects. All projects below are integrated with the

Company’s shopping centers and will be used to develop mixed-use projects, primarily for sale. Based on

current internal project assessments, the Company estimated a total of one million m² of private area for

sale¹. The Company also sees a potential GLA increase of 150,000 m² through mall expansions, which are

not included in the table below.

Shopping Attached to LandLocation

LandArea

PrivateArea

Project type%Multiplan

BarraShoppingSul 159,587 m² 304,515 m²Hotel, Apart-Hotel, Office,Residential

100%

JundiaíShopping 4,500 m² 11,616 m² Office 100%

ParkShoppingBarigüi 28,214 m² 43,376 m² Apart-Hotel, Office 94%

ParkShoppingCampoGrande 317,755 m² 92,774 m² Office, Residential 90%

ParkShoppingCanoas 18,721 m² 22,457 m² Hotel, Apart-Hotel, Office na

ParkShoppingSãoCaetano 36,948 m² 138,000 m² Office 100%

Parque Shopping Maceió 140,000 m² 164,136 m² Office, Residential 50%

RibeirãoShopping 102,295 m² 138,749 m²Hotel, Apart-Hotel, Office,Residential

100%

Shopping AnáliaFranco 29,800 m² 89,600 m² Residential 36%

VillageMall 36,000 m² 36,077 m² Office 100%

Total 873,819 m²1,041,299

m² 86%


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Mixed-use ParkShoppingBarigüi project illustration Artist’s rendering for illustrative purposes only – Project subject to changes without previous notice

1 This information is merely informative for the better understanding of the Company’s growth potential and should not be considered as acommitment to develop the aforementioned projects, which may be changed or cancelled without prior notice.

11. MULT3 Indicators & Stock Market

Multiplan is included in the Ibovespa

The Company joined the new portfolio of the Ibovespa, which is valid for a four-month-period from January

to April of 2015, with a weight of 0.414%, corresponding to the 47 th most representative position in the

index, of a total of 68 listed assets.

Ibovespa is the most important indicator of the average performance of the more actively traded and mostrepresentative shares on the Brazilian stock market. The index is composed of shares of BM&FBOVESPA-

listed issuers that meet the criteria for liquidity, financial volume, and trading session presence.

Average daily traded volume of R$44.3 million in 1Q15

Multiplan’s stock (MULT3 at BM&FBOVESPA; MULT3 BZ on

Bloomberg) in the first quarter of 2015 was quoted at R$56.05/share,

15.8% higher than at the end of 1Q14. Multiplan’s average daily

traded volume was R$44.3 million in 1Q15, 59.7% higher than in

1Q14 (R$27.7 million). The daily number of traded shares in 1Q15

increased 35.5% over 2014.

Multiplan’s shares are listed in the following indexes: Bovespa Index

(IBOV), Brazil Index (IBRX), Tag Along Index (ITAG), Corporate

Governance Index (IGC), Real Estate Index (IMOB), Mid-Large Cap

Index (MLCX), MSCI Brazil Index Fund, FTSE EPRA/NAREIT Global

Index, FTSE All World Emerging Index, FTSE All World EX US Index

Fund, MSCI Emerging Markets Index, MSCI BRIC Index Fund, SPL

Total International Stock Index, S&P Global ex-US Property Index,

Market Vectors Brazil Index, Total Return and Market Vectors Brazil

Index Price.

Evolution of daily averagenumber of shares traded

8.9 M

17.4 M 26.5 M

31.7 M

44.3 M

264,490

359,710

492,683

640,868

868,082

2011 2012 2013 2014 1Q15

Average daily traded volume in BRL

Average daily traded volume in number of shares


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One year analysis: MULT3, MULT3 volume and Ibovespa Index

Base 100 = March 31, 2014

On March 31, 2015, 29.1% of the Company’s shares were owned directly and indirectly by Mr. and Mrs.

Peres. Ontario Teachers’ Pension Plan (OTPP) owned 28.8% and the free-float was equivalent to 41.3%.Shares held by management and in treasury totaled 0.8% of the outstanding shares. Total shares

outstanding are 189,997,214.

18

23

28

33

38

43

48 53

58

60.0 M

70.0 M

80.0 M

90.0 M

100.0 M

110.0 M

120.0 M

Mar-14 Apr-14 May-14 Jun-14 Jul-14 Aug-14 Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15

Traded Volume (15 day average) Multiplan Ibovespa

MULT3 at BM&FBOVESPA 1Q15 1Q14 Chg. %

Average Closing Price (R$) 51.32 45.80 ▲12.1%

Closing Price (R$) 56.05 48.42 ▲15.8%

Average Daily Traded Volume (R$) 44.3 M 27.7 M ▲59.7%

Market Cap (R$) 10,649.3 M 9,199.7 M ▲15.8%

Shareholders’ capital stock breakdown on March 31, 2015. OTPP – Ontario Teachers’ Pension Plan


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12. Portfolio

Portfolio – 1Q15 Opening StateMultiplan

%Total GLA

Rent(month)1

Sales(month)2

Avg.Occupancy

Rate

Operating ShoppingCentersBHShopping 1979 MG 80.0% 47,097 m² 158 R$/m² 1,829 R$/m² 99.3%RibeirãoShopping 1981 SP 80.0% 68,640 m² 72 R$/m² 928 R$/m² 99.3%BarraShopping 1981 RJ 51.1% 74,759 m² 194 R$/m² 2,103 R$/m² 99.9%MorumbiShopping 1982 SP 65.8% 55,512 m² 199 R$/m² 2,153 R$/m² 99.5%ParkShopping 1983 DF 61.7% 53,524 m² 119 R$/m² 1,637 R$/m² 98.8%DiamondMall 1996 MG 90.0% 21,386 m² 165 R$/m² 2,103 R$/m² 99.3%New York City Center 1999 RJ 50.0% 22,271 m² 54 R$/m² 866 R$/m² 100.0%Shopping AnáliaFranco 1999 SP 30.0% 51,501 m² 127 R$/m² 1,522 R$/m² 98.7%ParkShoppingBarigüi 2003 PR 84.0% 50,650 m² 85 R$/m² 1,402 R$/m² 99.7%

Pátio Savassi 2004 MG 96.5% 17,998 m² 116 R$/m² 1,579 R$/m² 100.0%Shopping Santa Úrsula 1999 SP 62.5% 23,057 m² 28 R$/m² 642 R$/m² 95.8%BarraShoppingSul 2008 RS 100.0% 73,113 m² 58 R$/m² 1,122 R$/m² 99.7%Shopping Vila Olímpia 2009 SP 60.0% 28,369 m² 90 R$/m² 1,141 R$/m² 95.6%ParkShoppingSãoCaetano 2011 SP 100.0% 39,274 m² 84 R$/m² 1,036 R$/m² 99.2%JundiaíShopping 2012 SP 100.0% 34,385 m² 71 R$/m² 960 R$/m² 98.2%ParkShoppingCampoGrande 2012 RJ 90.0% 42,794 m² 69 R$/m² 766 R$/m² 94.0%VillageMall 2012 RJ 100.0% 25,685 m² 97 R$/m² 1,470 R$/m² 99.8%Parque Shopping Maceió 2013 AL 50.0% 37,540 m² 53 R$/m² 700 R$/m² 94.7%Subtotal operatingShopping Centers

73.8% 767,554 m² 108 R$/m² 1,376 R$/m² 98.6%

Operating office tower

ParkShopping Corporate 2012 DF 50.0% 13,360 m² - -Leasingphase

Morumbi Corporate 2013 SP 100.0% 74,198 m² - - 76%Subtotal operating officetowers

92.4% 87,558 m²

Malls under developmentParkShoppingCanoas TBA RS 80.0% 48,000 m²Subtotal malls underdevelopment

80.0% 48,000 m²

Expansion underdevelopmentBarraShopping MedicalCenter Exp.

2015 RJ 51.1% 3,522 m²

Subtotal expansion underdevelopment

51.1% 3,522 m²

Total portfolio 75.8% 906,634 m²

¹ Rent per m²: Sum of base and overage rents charged from tenants divided by its occupied GLA. It is worth notingthat this GLA includes stores that are already leased but are not yet operating (i.e., stores that are being readied foropening).

² Sales per m²: Sales/m² calculation considers only the GLA from stores that report sales, and excludes sales fromkiosks, since they are not counted in the total GLA.


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13. Ownership Structure

Multiplan’s ownership structure on March 31, 2015, is described in the chart below. Of a total of 189,997,214

shares issued, 178,138,867 are common voting shares and 11,858,347 are preferred shares held exclusively by

Ontario Teachers’ Pension Plan and are not listed or traded on any stock exchange.

Multiplan’s ownership interests in Special Purpose Companies (SPCs) are as follows:

MPH Empreendimento Imobiliário Ltda.: Owns 60.0% interest in Shopping Vila Olímpia, located in the

city of São Paulo, State of São Paulo. Multiplan holds directly and indirectly a 100.0% interest in MPH.

Manati Empreendimentos e Participações S.A.: Owns 75.0% interest in Shopping Santa Úrsula, located

in the city of Ribeirão Preto, State of São Paulo. Multiplan holds a 50.0% interest in Manati.

Parque Shopping Maceió S.A.: Owns 100.0% interest in Parque Shopping Maceió, located in the city of

Maceió, State of Alagoas, in which Multiplan has a 50/50 partnership.

Danville SP Empreendimento Imobiliário Ltda.: SPC established to develop real estate project in the

city of Ribeirão Preto, State of São Paulo.


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Multiplan Holding S.A.: Multiplan’s wholly-owned subsidiary; holds interest in other companies and

assets.

Ribeirão Residencial Empreendimento Imobiliário Ltda.: SPC established to develop real estate

project in the city of Ribeirão Preto, State of São Paulo.

Multiplan Greenfield I Empreendimento Imobiliário Ltda.: SPC established to develop an office tower

in the city of Porto Alegre, State of Rio Grande do Sul.

BarraSul Empreendimento Imobiliário Ltda.: SPC established to develop a residential building in the

city of Porto Alegre, State of Rio Grande do Sul.

Morumbi Business Center Empreendimento Imobiliário Ltda.: SPC established to develop real estate

project in the city of São Paulo, State of São Paulo, holding a 30.0% indirect stake in Shopping Vila

Olímpia via 50.0% holdings in MPH, which in turn holds 60.0% of Shopping Vila Olímpia.

Multiplan Greenfield II Empreendimento Imobiliário Ltda.: Owns a 46.88% interest in MorumbiCorporate, an office tower in the city of São Paulo, State of São Paulo.

Multiplan Greenfield III Empreendimento Imobiliário Ltda.: SPC established to develop real estate

projects in the city of Rio de Janeiro, State of Rio de Janeiro.

Multiplan Greenfield IV Empreendimento Imobiliário Ltda.: Owns a 53.12% interest in Morumbi

Corporate. Multiplan indirectly owns 100.0% interest in MorumbiCorporate.

Jundiaí Shopping Center Ltda.: Owns a 100.0% interest in JundiaíShopping, located in the city of

Jundiaí, State of São Paulo. Multiplan holds a 100.0% interest in Jundiaí Shopping Center Ltda.

ParkShopping Campo Grande Ltda.: Owns a 90.0% interest in ParkShoppingCampoGrande, located in

the city of Rio de Janeiro, State of Rio de Janeiro.

ParkShopping Corporate Empreendimento Imobiliário Ltda.: Owns a 50.0% interest in ParkShopping

Corporate, an office tower located in the city of Brasília, Federal District.

ParkShopping Canoas Ltda.: a SPC established to develop real estate project in the city of Canoas,

State of Rio Grande do Sul.

Pátio Savassi Administração de Shopping Center Ltda.: a SPC established to manage the parking

operation at Shopping Pátio Savassi, located in the city of Belo Horizonte, State of Minas Gerais.

ParkShopping Global Ltda.: a SPC established to develop real estate projects in the city of São Paulo,

State of São Paulo.

ParkShopping Jacarepaguá Ltda.: a SPC established to develop real estate projects in the city of Rio de

Janeiro, State of Rio de Janeiro.


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14. Operational and Financial Data

Operational and Financial Highlights

Perfomance

Financial (MTE %) 1Q15 1Q14 Chg.%Gross revenue R$'000 292,961 283,952 ▲3.2%Net revenue R$'000 264,702 257,249 ▲2.9%

Net revenue R$/m² 490.5 469.0 ▲4.6%Net revenue USD/sq. foot 14.3 19.2 ▼25.7%

Rental revenue (with straight line effect) R$'000 202,906 179,332 ▲13.1%Rental revenue R$/m² 376.0 327.0 ▲15.0%Rental revenue USD/sq. foot 10.9 13.4 ▼18.3%Monthly rental revenue R$/m² 120.0 102.0 ▲17.6%Monthly rental revenue USD/sq. foot 3.5 4.2 ▼16.5%

Net Operating Income (NOI) R$'000 219,211 185,774 ▲18.0%Net Operating Income R$/m² 406.2 338.7 ▲19.9%Net Operating Income USD/sq. foot 11.8 13.8 ▼14.8%Net Operating Income margin 89.3% 86.5% ▲282 b.p

NOI/share 1.16 0.99 ▲17.3%NOI + Key Money (KM) R$'000 227,106 196,031 ▲15.9%

NOI + KM R$/m² 420.8 357.4 ▲17.8%NOI + KM USD/sq. foot 12.2 14.6 ▼16.3%NOI + KM margin 89.7% 87.1% ▲254 b.p

NOI + Key money/share 1.20 1.05 ▲15.2%Headquarter expenses R$'000 25,664 24,495 ▲4.8%

Headquarter expenses/Net revenues 9.7% 9.5% ▲17 b.pEBITDA R$'000 193,700 196,560 ▼1.5%

EBITDA R$/m² 358.9 358.4 ▲0.2%EBITDA USD/sq. foot 10.4 14.7 ▼28.8%EBITDA margin 73.2% 76.4% ▼323 b.pEBITDA per Share R$ 1.03 1.05 ▼2.0%

Adjusted net income R$'000 75,499 89,259 ▼15.4% Adjusted net income R$/m² 139.9 162.7 ▼14.0% Adjusted net income USD/sq. foot 4.1 6.7 ▼38.9% Adjusted net income margin 28.5% 34.7% ▼618 b.p Adjusted net income per share R$ 0.40 0.48 ▼15.9%

FFO R$'000 114,695 128,551 ▼10.8%FFO R$/m² 212.5 234.4 ▼9.3%

FFO US$'000 35,875 56,581 ▼36.6%FFO USD/sq. foot 6.2 9.6 ▼35.6%FFO margin 43.3% 50.0% ▼13.3%FFO per share R$ 0.61 0.69 ▼11.3%

Dollar (USD) end of quarter 3.1971 2.2720 ▲40.7%¹Values in R$/m² and US$/sqf consider adjusted owned mall GLA


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Operational and Financial Highlights

Performance

Market Performance 1Q15 1Q14 Chg.%Number of shares 189,997,214 189,997,214 ▲0.0%

Common shares 178,138,867 178,138,867 ▲0.0%Preferred shares 11,858,347 11,858,347 ▲0.0%

Average share closing price 51.32 45.80 ▲12.1%Closing share price 56.05 48.42 ▲15.8%

Average daily traded volume (R$ '000) 44,309 27,737 ▲59.7%Market cap (R$ ‘000) 10,649,344 9,199,665 ▲15.8%

Total debt (R$ ‘000) 2,172,675 2,158,306 ▲0.7%Cash (R$ ‘000) 412,875 253,759 ▲62.7%Net debt (R$ ‘000) 1,759,800 1,904,547 ▼7.6%P/FFO (Last 12 months) 19.8 x 20.3 x ▼2.7%EV/EBITDA (Last 12 months) 15.7 x 17.1 x ▼8.2%Net Debt/EBITDA (Last 12 months) 2.2 x 2.9 x ▼23.3%

Performance

Operational (100%) 1Q15 1Q14 Chg.%Final total mall GLA (m²) 767,554 756,694 ▲1.4%Final owned mall GLA (m²) 566,455 559,197 ▲1.3%

Owned mall GLA % 73.8% 73.9% ▼10 b.p Adjusted total mall GLA (avg.)¹ (m²) 731,238 742,219 ▼1.5% Adjusted owned mall GLA (avg.)¹ (m²) 539,654 548,500 ▼1.6%Final total office towers GLA 87,558 87,558 ▼0.0%Final owned office towers GLA 80,878 80,878 ▼0.0%Final total GLA (m²) 855,112 844,252 ▲1.3%Final owned GLA (m²) 647,333 640,075 ▲1.1%Total sales R$'000 2,916,949 2,723,015 ▲7.1%

Total sales R$/m² ² 4,128 3,924 ▲5.2%Total sales USD/sq. foot ² 120 160 ▼25.2%Satellite stores sales R$/m² ² 5,727 5,506 ▲4.0%Satellite stores sales USD/sq. foot ² 166 225 ▼26.1%

Total Rent R$/m² 324 300 ▲8.0%Total Rent USD/sq. foot 9.4 12.3 ▼23.3%Same Store Sales ▲4.3% ▲8.3% ▼400 b.pSame Area Sales ▲5.7% ▲9.3% ▼360 b.pSame Store Rent ▲9.5% ▲6.8% ▲270 b.pSame Area Rent ▲7.7% ▲6.3% ▲140 b.pIGP-DI effect ▲5.2% ▲5.9% ▼70 b.pOccupancy costs 13.5% 13.7% ▼20 b.p

Rent as sales % 8.1% 7.8% ▲30 b.pOther as sales % 5.4% 5.9% ▼50 b.p

Turnover 0.6% 0.7% ▼10 b.pOccupancy rate 98.6% 98.5% ▲10 b.pDelinquency (25 days delay) 1.8% 1.9% ▼5 b.pRent loss 0.5% 0.5% ▼1 b.p

¹ Adjusted GLA corresponds to the period’s average GLA excluding the area of BIG supermarket at BarraShoppingSul.

² Considers only the GLA from stores that report sales, and excludes sales from kiosks, since they are not counted in the totalGLA.


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15. Reconciliation between IFRS (with CPC 19 R2) and Managerial Report

15.1 - Variations on the Financial Statement – IFRS with CPC 19 (R2) and Managerial Report

IFRS with CPC 19 R2

Financial Statements CPC 19 R2 Managerial Effect

(R$ '000) 1Q15 1Q15 Difference

Rental revenue 190,589 194,216 3,628

Services 27,658 27,617 (40)

Key money 7,480 7,895 415

Parking 41,866 42,492 626

Real estate 11,286 11,286 -

Straight line effect 8,439 8,690 251Others 759 764 6

Gross Revenue 288,075 292,961 4,886

Taxes and contributions on sales and services (27,957) (28,259) (302)

Net Revenue 260,118 264,702 4,584

Headquarters expenses (25,624) (25,664) (40)

Stock-option expenses (3,930) (3,930) -

Shopping centers expenses (21,754) (22,958) (1,204)

Office towers for lease expenses (3,230) (3,230) -

New projects for lease expenses (1,754) (1,754) -

New projects for sale expenses (652) (652) -

Cost of properties sold (8,334) (8,334) -

Equity pickup 1,285 1 (1,284)

Other operating income/expenses (4,483) (4,482) 1

EBITDA 191,643 193,700 2,057

Financial revenues 10,737 11,211 474

Financial expenses (55,211) (56,161) (950)

Depreciation and amortization (38,257) (39,196) (939)

Earnings Before Taxes 108,912 109,555 643

Income tax and social contribution (33,928) (34,037) (109)

Deferred income and social contribution taxes ² (5,372) (5,906) (534)

Minority interest (18) (18) -Net Income 69,593 69,593 -

The differences between CPC 19 (R2) and the managerial reports are the 37.5% interest in Shopping

Santa Úrsula, through a 50.0% interest in Manati Empreendimentos e Participações S.A., and the 50.0%

interest in Parque Shopping Maceió, through Parque Shopping Maceió S.A.


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The main differences in 1Q15 are: (i) increase of R$3.6 M in Rental Revenues; (ii) increase of R$1.2 M in

Shopping Center Expenses, (iii) increase of R$0.5 M in Financial Results, and (iv) increase of R$0.9 M in

Depreciation and Amortization. Accordingly and as a result of the variations mentioned above, there were

decreases of R$1.3 M in the result which was recorded in the equity pickup line, given that the results of

these companies are recorded on this line as determined by CPC 19 (R2).

15.2 - Variations on the Balance Sheet: Total Assets

IFRS with CPC 19 R2

CPC 19 R2 Managerial Effect

ASSETS 03/31/2015 03/31/2015 Difference

Current assets

Cash and cash equivalents 146,447 160,152 13,705

Short term investments 252,723 252,723 -

Accounts receivable 316,878 321,297 4,419

Land and properties held for sale 158,462 158,462 -

Related parties 2,139 2,139 -

Recoverable taxes and contributions 2,865 3,175 310

Sundry advances 1,516 1,516 -

Other 27,855 28,429 574

Total current assets 908,885 927,894 19,009

Noncurrent asset

Accounts receivable 51,653 51,664 11

Land and properties held for sale 197,450 197,450 -

Related parties 10,527 10,527 -Deposits in court 13,332 13,962 631

Deferred income and social contribution taxes 16,240 18,533 2,294

Other 16,418 20,241 3,823

Investments 136,412 6,671 (129,741)

Investment properties 4,965,208 5,122,282 157,074

Property and equipment 31,999 31,999 -

Intangible 348,984 349,990 1,006

Total non current assets 5,788,223 5,823,320 35,097

Total assets 6,697,108 6,751,214 54,106

The differences in total assets regarding the 37.5% interest in Shopping Santa Úrsula, and the 50.0%interest in Parque Shopping Maceió are (i) increase of R$157.1 M in investment properties; (ii) increase of

R$13.7 M in cash and cash equivalents; and (iii) increase of R$4.4 M in accounts receivable.

As a result of the variations mentioned above, there was a decrease of R$129.7 M in investments given

that the assets and liabilities of these companies are now recorded on this line as determined by CPC 19

(R2).


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15.3 - Variations on the Balance Sheet: Total Liabilities and Shareholders' Equity

IFRS with CPC 19 R2

CPC 19 R2 Managerial Effect

LIABILITIES 03/31/2015 03/31/2015 Difference

Current liabilities

Loans and financing 208,075 211,505 3,430

Debentures 21,851 21,851 -

Accounts payable 90,023 90,785 762

Property acquisition obligations 26,586 26,586 -

Taxes and contributions payable 49,568 50,233 665

Dividends to pay 73,059 73,059 -

Deferred incomes 18,493 18,555 62

Other 7,042 7,054 12

Total current liabilities 494,697 499,628 4,931

Non current liabilities

Loans and financing 1,459,754 1,500,968 41,214

Debentures 398,223 398,223 -

Deferred income and social contribution taxes 163,406 165,686 2,280

Property acquisition obligations 13,542 13,542 -

Others 5 5 -

Provision for contingencies 10,354 10,974 620

Deferred

Documents

Quarterly Financial Report 1Q15