Page 273 - Evento Guatemala 2012

Surety bonds in Brazil: premium and annual growth

600,000 05-06 06-07 07-08 08-09 09-10 10-11* 100%
500,000 90%
400,000 90% 487,075 80%
300,000 70%
'000 USD 200,000 75% 58% 392,646 24% 60%
100,000 38% 18% 50%
13% 40%
- 46% 347,511 0% 2011* 30%
270,310 20%
27% 2010 10%
14% 171,582 29% 0%
-10%
71,251 90,179

2005 2006 2007 2008 2009

Surety Premiums Growth in USD dollars Growth of local currency
*Figures at December 2011.

In the trend shown in the last four or five quarters, quarterly average growth was 4%-5%, with
improved underwriting results. The combined ratio rose a bit, but I understand this was due
to the incidence of expenses.

Surety bond represented 0.64% of the premiums of all lines, and steadily decreased in the last
two years. This means that there were other lines that were growing faster.

Surety bonds in Brazil: surety bond premiums (percentage of all lines)

0.80% 0.61% 0.73% 0.63% 0.64%
0.70%
0.60% 0.31% 0.31% 0.47% 2008 2009
0.50%
0.40% 2005 2006 2007
0.30%
0.20%
0.10%
0.00%

2010 2011*

*Figures at December 2011.

This trend is depicted in the following chart showing that surety bond growth was higher
before 2009 and then declined. However, in the last year the figures were practically similar.

271XXIV Asamblea General / XXIV General Assembly