31 March 2013 Americas/&Chile& Equity Research Strategy

LatAm Equity Strategy Research Analysts STRATEGY Andrew T. Campbell, CFA 55 11 3701 6313 [email protected] Returning to brazilian large caps; April Daniel Federle 55 11 3701 6311 monthly portfolio [email protected] Andrei Sabah ■ More positive on Brazil large caps. In recent weeks, the bottoms-up views 52 55 5283 3810 of our analyst team on several large caps stocks have come more into [email protected] alignment with our strategy view on Brazil (upgraded to Overweight in a LatAm context in January). These stocks included (upgraded to Outperform), Itau Unibanco (upgraded), and Vale (still Neutral, but with more attractive risk/reward). This more supportive outlook on large caps could diminish the discount that large caps have suffered to small caps in Brazil, which currently exceeds 20% on a forward P/E basis. Our index target for yearend remains 70,000 for the Ibovespa. ■ Shifting model portfolio exposure to PBR and Itau. In the cases of both Petrobras and Itau Unibanco, our teams highlighted potential inflection points in operations that are difficult to time precisely but likely to occur over the next year, in their view. With such improvements likely to be priced in advance by the market, we move already in April to Overweight in Banks and Energy. To finance this, we shift away from names with more defensive and domestic characteristics, including CETIP, Telefonica Brasil and Arteris. ■ Mexico: thinking outside the index. We argued at the beginning of this year that many of the best equity ideas in Mexico would likely come outside major index components. In this line of thinking, for April, we add fresh ideas to our Mexico model portfolio by including department store Grupo Sanborns and bottler Cultiba, while also adding exposure to Fibra Uno. On the other hand, we widen our Underweight on AMX due to the long process ahead of implementing regulatory reform which we believe will create an overhang for the shares. We maintain our year-end MEXBOL target of 46,000. Exhibit 1: Brazil: Small and Mid/Large Cap Indexes performance (based to 100) 115 15 Diff. (Rhs) MLCXBV Index SMLLBV Index 110 105 10 100 5 95

90 0 85 80 -5 29-Mar 29-Apr 29-May 29-Jun 29-Jul 29-Aug 29-Sep 29-Oct 29-Nov 29-Dec 29-Jan 28-Feb Source: Company data, Credit Suisse estimates

DISCLOSURE APPENDIX CONTAINS ANALYST CERTIFICATIONS AND THE STATUS OF NON US ANALYSTS. FOR OTHER IMPORTANT DISCLOSURES, visit www.credit-suisse.com/researchdisclosures or call +1 (877) 291-2683 US Disclosure: Credit Suisse does and seeks to do business with companies covered in its research reports. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only a single factor in making their investment decision.

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31 March 2013

Brazil equities: Time for the large caps? Small cap have commanded substantial premium for past three years Until about three years ago, small caps and larger caps in Brazil traded on roughly the same valuation multiples. In the middle of 2010, small cap valuations opened up a gaping premium over large caps, which reached as high as 60% on several occasions. The premium has persisted over the last three years and at the current time small caps trade on a higher forward P/E multiple of 14.6x vs. 11.1x for larger caps. We attribute this premium to index composition with small caps more exposed to domestic growth, while larger caps were penalized by an uncertain global scenario and outlook for commodity prices.

Exhibit 2: Brazil 12m fwd P/E ratios: small cap index vs. mid/large cap index

20.0 SMLLBV 140% 18.0 120% 16.0 100% 14.0 80% 12.0 MLCXBV 60% 10.0

8.0 40%

6.0 20% Premium: SMLL / MLCX (Rhs) 4.0 0%

2.0 -20%

0.0 -40% Sep-08 Mar-09 Sep-09 Mar-10 Sep-10 Mar-11 Sep-11 Mar-12 Sep-12 Mar-13

Source: Company data, Credit Suisse estimates Case is building for valuation gap to narrow We believe the case is building for the valuation gap to narrow. YTD, larger caps have performed slightly better than small cap, possibly hinting at the start of a trend. The Bovespa’s mid- and large-cap index (MLCXBV) declined by only 2% in 1Q13 while the small-cap index (SMLLBV) declined by 4%. We believe some of the factors that could drive large caps are diminished risk of hard landing in China, strong employment figures in the USA, and potential for a re-acceleration in global IP in the second half of this year after an expected breather in 2Q13.

Large cap discount not warranted based on ROEs Our view is that the current valuation gap is not supported by superior ROEs of small cap companies. In fact, we believe ROEs in 2012 were actually lower for small caps than larger caps. While it is true that large cap returns have deteriorated in recent years in some of the key sectors, such as Materials, Energy and Banks, we believe several important index components in small caps, such as Homebuilders and Railroads, have also suffered substantial ROE compression.

LatAm Equity Strategy 2 31 March 2013

Exhibit 3: Brazil 2013 EPS: Small and Mid/Large Cap Indexes (based to 100)

106 20

18 104 16 SMLLBV 102 14

12 100 MLCXBV 10 98 8

96 6 4 94 Diff.: SMLL - MLCX 2

92 0 2-Jan 16-Jan 30-Jan 13-Feb 27-Feb 13-Mar 27-Mar

Source: Company data, Credit Suisse estimates Bottom-up calls more positive on large caps One of the key reasons we believe the case for large caps is gaining momentum is because of a shift in view from our analyst team on a number of the large cap stocks over the past month. The three largest index components (when considering both ON and PN shares) are Petrobras, Vale and Itau Unibanco (including Itausa). These three names alone count for roughly 30% of the mid- and large-cap index and in each case our research team has become more positive in recent weeks.  Analysts Emerson Leite and Andre Sobreira upgraded PBR after being cautious for the past 2.5 years on the basis that we are approaching an inflection point on production profile, cost optimization, etc.  Marcelo Telles upgraded Itau Unibanco during the month on the basis we will see meaningful improvement in provisioning and costs in 2014 and the market will start to price this ahead of time.  In March, analyst Ivano Westin retained his Neutral rating on Vale but in his report he highlighted that risk-reward has improved in light of weak performance of the shares and encouraging evidence that management has the right focus on divestments, capital allocation, and cost reduction.

LatAm Equity Strategy 3 31 March 2013

Brazil model portfolio Brazil – Main Changes to April Portfolio Banks. We increase our exposure to Banks to Overweight, substantially increasing our position in Itau Unibanco, following Marcelo Telles’ upgrade of the name to Outperform in his latest report “More constructive on sector outlook; Itau Unibanco the new top pick.” His more constructive view is backed by: (i) less pressure from the government, (ii) more evidence that recovery is underway, (iii) a potential increase in the interest rate (our Economics team expects a first Selic rate increase of 25bps already in April), and (iv) more disciplined cost controls and tighter credit, possibly reducing provisions in the coming years. The TP of R$44/share for Itau Unibanco implies upside of 22%; the shares are trading at 10.8x P/E13, below Brasdesco’s and Santander’s multiples. Oil & Gas/Cyclicals. Following analysts Emerson Leite’s and Andre Sobreira’s more positive view on Petrobras, recently upgraded to Outperform in their report “It is now. Upgrade to Outperform”, we increase our exposure to PETR4 to Overweight, based on: (i) management’s confidence in a turnaround, (ii) cost optimization and production efficiency programs, (iii) stronger capacity additions, (iv) an improving pre-salt production mix, (v) possible farm-outs and divestments, and (vi) discounted P/B multiples compared to global peers. Our increase in PETR4 is partially funded removing from the portfolio. Despite our view that Gerdau is a good play for exposure to infrastructure investments, we believe shares may stay in sidelines in April, since 1Q13 results are unlikely to be a positive catalyst. Utilities. We maintain our Market Weight on the sector but shift our exposure to CESP from Energias do Brasil. Analyst Vinicius Canheu upgraded CESP in his report “A Geared Play to High Spot Prices”, on March 8th. CESP is expected to post strong results in upcoming quarters, benefiting from the current hydrology scenario and possibly high re- contracting prices. It is also poised to a re-rate in the short-term on the back of a favorable outlook for the pricing of its un-contracted capacity. On the other hand, Energias do Brasil performed well in March for no specific reason, thus we prefer to take profits. Telecom/Petrochemicals. Telefonica Brasil has posted the best performance YTD among telcos, achieving its all-time high price. As a more defensive play, and since 1Q13 results are not likely to be a catalyst, we preferred to remove our exposure to the stock, consistent with our more constructive view for the index’s overall performance. We use these proceeds to include in our April portfolio. Braskem is trading at a compelling multiple (11x P/E14), while a positive momentum in pricing is likely to bring an upward earnings revision in upcoming months. Tobacco/Foods. We shift our exposure from Souza Cruz to Minerva, for which coverage was recently resumed by Gustavo Wigman with an Outperform rating. As a pure Brazilian beef player, Minerva is benefiting the most from the cattle cycle recovery underway in Brazil. According to Wigman, the illegal blend of horsemeat into beef in the EU deserves special attention, reflecting the continent’s inability to keep production costs under control and suggesting significant upside to Brazil’s long-term growth in global trade. Minerva trades at 9.8x P/E13 representing a discount of 49% to Brasil Foods; however, we keep Brasil Foods in our portfolio in the expectation that changes in board composition in April could bring positive momentum for shares. Homebuilders. We shift our exposure in the sector to Cyrela from Even. Although we still like Even as a healthy homebuilder, we believe Cyrela enjoys interesting short-term trading momentum and offers compelling 18% upside from current levels. Our analyst Guilherme Rocha has recently upgraded the stock to Outperform on the back of the company’s positive 4Q12 results. Rocha sees Cyrela as probably the only homebuilder in good enough shape to resume growth in 2013. Toll Roads/Properties. We remove Arteris from the portfolio on the back of its strong performance in March and in light of a possible interest rate increase in April. Although we

LatAm Equity Strategy 4 31 March 2013 believe most of the potential increase in the basic interest rate has already been priced in, we prefer to reduce our defensive exposure and keep only our position in BR Properties, which fell 9% in March. Our trading team expects BRPR to enter in Ibovespa index in April.

Exhibit 4: Brazil – CS portfolio summary CS Currenc Last Target Upside Mkt Cap 13 13E 14E 13E 14E 13E Company Ticker Rating Weight y Close Price (%) (mn) P / B P / E EV / EBITDA ROE ITAUUNIBANCO ITUB4 O 15.0% BRL 35.99 44.00 22% 81,085 1.9x 10.8x 9.0x 1.9x 1.7x 18% PETROBRAS PETR4 O 14.0% USD 16.57 25.00 51% 108,073 0.5x 7.1x 6.6x 5.8x 5.1x 7% VALE VALE5 N 12.0% USD 17.29 22.00 27% 90,479 1.1x 8.1x 15.9x 5.6x 6.7x 14% BRADESCO BBDC4 N 8.0% BRL 34.14 36.36 7% 72,008 1.7x 11.1x 9.7x 1.7x 1.5x 15% CIELO CIEL3 O 4.0% BRL 59.53 71.00 19% 19,293 12.0x 14.7x 13.3x 9.1x 8.4x 82% BMFBOVESPA BVMF3 O 4.0% BRL 13.64 16.00 17% 13,733 1.3x 20.3x 17.1x 15.1x 13.3x 7% ESTÁCIO ESTC3 O 3.0% BRL 43.90 48.00 9% 4,267 4.0x 18.0x 12.5x 11.4x 8.5x 23% TEGMA TGMA3 O 3.0% USD 32.00 40.00 25% 1,047 3.9x 13.8x 11.8x 8.1x 7.1x 28% MARISA AMAR3 O 3.0% BRL 30.10 40.00 33% 2,762 4.6x 18.1x 14.9x 9.1x 7.8x 25% TRACTEBEL TBLE3 O 3.0% BRL 34.74 38.00 9% 11,186 3.5x 13.5x 12.0x 7.6x 7.1x 26% SUZANO PAPEL SUZB5 N 3.0% BRL 7.75 7.60 -2% 3,506 0.8x n.a 25.0x 10.1x 7.0x 0% QUALICORP QUAL3 O 3.0% BRL 20.31 22.50 11% 2,659 2.5x 18.7x 16.4x 13.5x 11.7x 13% S/A KLBN4 O 3.0% BRL 13.95 13.00 -7% 6,217 2.2x 18.5x 17.4x 9.4x 9.1x 12% CYRELA REALT CYRE3 O 3.0% BRL 17.33 20.50 18% 3,552 1.3x 8.7x 7.6x 9.3x 7.9x 15% CESP CESP6 O 3.0% BRL 20.35 24.00 18% 3,107 0.6x 5.2x 3.9x 3.1x 2.8x 12% BRF FOODS BRFS3 O 3.0% BRL 44.60 45.00 1% 19,346 2.4x 19.4x 16.1x 10.8x 9.3x 13% AMBEV AMBV4 N 3.0% BRL 84.33 83.00 -2% 187,619 9.0x 23.8x 22.0x 21.6x 19.7x 38% MINERVA BEEF3 O 2.0% BRL 13.10 18.00 37% 947 1.8x 9.8x 8.3x 5.4x 4.7x 19% METAL LEVE LEVE3 N 2.0% BRL 28.00 30.00 7% 1,749 2.5x 16.5x 13.9x 8.6x 7.9x 15% DURATEX DTEX3 O 2.0% BRL 16.30 19.00 17% 4,436 2.0x 16.9x 15.3x 8.3x 7.6x 12% BR PROPERT BRPR3 O 2.0% BRL 22.40 31.50 41% 3,455 0.9x 17.9x 14.4x 13.1x 11.0x 5% BRASKEM BRKM5 O 2.0% BRL 13.65 17.00 25% 5,187 1.2x 16.8x 11.0x 6.3x 5.4x 7% Portfolio mean 2.4x 12.2x 12.2x 7.1x 6.4x 17% Ibov espa 1.0x 11.5x 10.1x 7.4x 7.1x 14% Source: Company data, Credit Suisse estimates Note: For Banks, EV/EBITDAfields stands for P/B

LatAm Equity Strategy 5 31 March 2013

Exhibit 5: Brazil – CS portfolio for April IBX100 CS Active Sectors Rating Portfolio Weight Weight Weight Financials 25.3% 27.0% 1.7% OVERWEIGHT Banks 22.1% 23.0% 0.9% OVERWEIGHT Bradesco (8.0% ), Itaú (15.0% ) Exchanges 3.2% 4.0% 0.8% OVERWEIGHT BVMF (4.0% ) Utilities 6.0% 6.0% 0.0% MARKETWEIGHT CESP (3.0% ), Tractebel (3.0% ) Telecom 2.6% 0.0% -2.6% UNDERWEIGHT No exposure Transportation 1.8% 0.0% -1.8% UNDERWEIGHT Aerospace 1.2% 0.0% -1.2% UNDERWEIGHT No exposure Airlines 0.1% 0.0% -0.1% UNDERWEIGHT No exposure Car Rental 0.5% 0.0% -0.5% UNDERWEIGHT No exposure Media/Technology/Services 0.7% 0.0% -0.7% UNDERWEIGHT No exposure Healthcare 1.4% 3.0% 1.6% OVERWEIGHT Qualicorp (3.0% ) Education 1.0% 3.0% 2.0% OVERWEIGHT Estacio (3.0% ) Industrials 0.7% 2.0% 1.3% OVERWEIGHT Mahle Metal Leve (2.0% ) Agribusiness 0.5% 0.0% -0.5% UNDERWEIGHT No exposure Oil & gas 12.9% 14.0% 1.1% OVERWEIGHT Petrobras (14.0% ) Cyclicals 17.3% 18.0% 0.7% OVERWEIGHT Mining 12.3% 12.0% -0.3% UNDERWEIGHT Vale (12.0% ) Pulp & paper 1.5% 6.0% 4.5% OVERWEIGHT Klabin (3.0% ), Suzano (3.0% ) Steel 3.5% 0.0% -3.5% UNDERWEIGHT No exposure Consumption 19.8% 17.0% -2.8% UNDERWEIGHT 4.9% 3.0% -1.9% UNDERWEIGHT Lojas Marisa (3.0% ) Beverage & Tobacco 9.3% 3.0% -6.3% UNDERWEIGHT Ambev (3.0% ) Foods 3.8% 5.0% 1.2% OVERWEIGHT Brasil Foods (3.0% ), Minerva (2.0% ) Payment Process 1.5% 4.0% 2.5% OVERWEIGHT Cielo (4.0% ) Building Materials 0.3% 2.0% 1.7% OVERWEIGHT Duratex (2.0% ) Real Estate 4.3% 5.0% 0.7% OVERWEIGHT Homebuilder 2.0% 3.0% 1.0% OVERWEIGHT Cyrela (3.0% ) Properties 2.3% 2.0% -0.3% UNDERWEIGHT BR Properties (2.0% ) Infrastructure 2.7% 3.0% 0.3% MARKETWEIGHT Logistics 0.4% 3.0% 2.6% OVERWEIGHT Tegma (3.0% ) Toll Roads 2.3% 0.0% -2.3% UNDERWEIGHT No exposure Petrochemical 0.4% 2.0% 1.6% OVERWEIGHT Braskem (2.0% ) Fuel Distribution 2.5% 0.0% -2.5% UNDERWEIGHT No exposure Total 100.0% 100.0%

Source: Company data, Credit Suisse estimates

LatAm Equity Strategy 6 31 March 2013

Mexico model portfolio Mexico – Main changes to April portfolio We are making three broad changes in April: (i) updating our stock selection in the Consumer sector to make room for two recently-listed stocks; (ii) increasing exposure to REITs, at the expense of Telecom after announcement of telecom reform; and (iii) increasing exposure to Cyclicals via Petrochemicals. Retail. We add Grupo Sanborns after analyst Antonio González recently initiated coverage on GSanborns with an Outperform rating and 32% upside from current level, a high level of upside for the Mexican market. Sanborns should benefit from structural trends in consumer credit and consumer sophistication that are driving consumers away from supermarkets and towards department stores. To finance Sanborns, we are taking profits and removing from our portfolio. Alsea shares are +39% YTD and no longer show upside to our target price. Beverages. We include Pepsi bottler Cultiba after analyst Antonio González started coverage with an Outperform rating and 20% upside. As per his recent initiation, Cultiba is poised to benefit from an operational turnaround, a strong portfolio of soft drinks, and substantial opportunities to capture synergies via M&A. To finance this exposure, we make a tactical reduction to Femsa, which trades at a premium valuation to Cultiba on 2014 figures and is rated Neutral by our analyst. Telecom / Real Estate. We increase our underweight in Telecom after analyst Andrew T. Campbell recently downgraded AMX shares to Neutral in light of the high degree of uncertainty on the regulatory front. We believe the government’s sector reform proposal is likely to maintain an overhang on the shares and keep them from outperforming in the coming months. We shift exposure to REIT and more specifically Fibra Uno, after the company completed a secondary offering that should facilitate the announcement of M&A activity at attractive cap rates over the short-term. Cyclicals. We add back Mexichem to our portfolio, rated Outperform by analyst Vanessa Quiroga with an upside of 21%. She believes the recent PolyOne transaction announcement confirms Mexichem’s focus on accretive M&A, while maintaining a disciplined vertical integration model. She believes this transaction could be the beginning of a wave of positive acquisitions throughout the year. To finance Mexichem, we reduce Peñoles to market weight after analyst Santiago Pérez-Teuffer recently assumed coverage of the shares with a Neutral rating (versus Outperform previously). He rates the shares Neutral on the back of high valuations, with the stock trading at 11% premium to NAV (vs. an average discount of 29% in the last three years).

LatAm Equity Strategy 7 31 March 2013

Exhibit 6: Mexico – CS portfolio summary CS Currenc Last Target Upside Mkt Cap 13 13E 14E 13E 14E 13E Company Ticker Rating Weight y Close Price (%) (US$ mn) P / B P / E EV / EBITDA ROE América Móv il AMXL N 13.2% USD 20.96 30.00 43% 78,253 2.8x 11.9x 10.7x 5.3x 5.0x 23% Grupo Mex ico GMEXICOB O 11.5% USD 49.89 55.00 10% 31,447 3.4x 14.0x 13.9x 6.4x 6.0x 24% GFNORTEO O 11.5% MXN 98.68 110.00 11% 18,587 2.5x 16.8x 13.6x 2.5x 2.1x 15% Telev isa TLEVICPO O 9.1% USD 26.61 32.00 20% 15,200 2.8x 21.7x 18.4x 7.5x 6.8x 13% CEMEXCPO O 8.5% USD 12.21 12.00 -2% 13,498 1.2x n.a 38.1x 9.7x 8.7x -2% Femsa FEMSAUBD N 7.3% MXN 138.97 105.00 -24% 40,262 2.4x 25.3x 21.3x 11.8x 10.5x 9% Walmex WALMEXV U 5.7% MXN 40.40 37.00 -8% 57,968 5.1x 26.6x 22.2x 14.7x 12.8x 18% Fibra Uno FUNO11 U 4.0% MXN 40.75 N.A. N.A. 5,187 1.7x 20.1x 18.3x 12.1x 10.7x 9% Compartamos COMPARC* O 3.8% MXN 22.78 27.00 19% 2,979 3.8x 16.7x 14.3x 3.8x 3.2x 23% Mex ichem MEXCHEM* O 3.1% MXN 66.25 N.A. N.A. 9,719 1.7x 20.1x 18.3x 12.1x 10.7x 9% ICA ICA* O 2.7% MXN 41.21 40.00 -3% 2,018 1.2x 5.7x 6.1x 5.5x 5.5x 21% Peñoles PENOLES N 2.7% USD 586.42 650.00 11% 18,872 4.9x 26.0x 23.7x 10.0x 9.4x 19% Vesta VESTA* O 2.0% MXN 26.80 22.00 -18% 842 1.5x 24.9x 22.4x 16.7x 15.8x 6% Sanborns GSNBRB1.MX O 2.0% MXN 28.00 37.00 32% 9,778 4.0x 20.0x 16.6x 20.5x 18.0x 12% Cultiba CULTIBAB.MX O 2.0% MXN 35.05 42.00 20% 2,056 2.5x 32.9x 18.4x 12.0x 9.0x 6% ALFAA* ALFAA N.C 4.2% Kimberly -Clark * KIMBERA N.C 2.2% * BIMBOA N.C 1.8% * ELEKTRA* N.C 1.5% Liv erpool LIVEPOLC N.C 1.1% Portfolio mean (cov ered companies) 2.3x 13.5x 14.8x 6.5x 5.8x 13% Mex bol Mex bol 2.3x 18.7x 16.2x 8.1x 7.3x 17% Source: Company data, Credit Suisse estimates Note: For Banks, EV/EBITDAfields stands for P/B

LatAm Equity Strategy 8 31 March 2013

Exhibit 7: Mexico – CS Portfolio for April IPC CS Active Sectors Rating Portfolio Weight Weight Weight Telecom 25.2% 22.3% -2.9% UNDERWEIGHT Telecom 18.2% 13.2% -5.0% UNDERWEIGHT América Móvil (13.2% ) Media 7.0% 9.1% 2.1% OVERWEIGHT (9.1% ) Conglomerates 4.2% 4.2% 0.0% MARKETWEIGHT Alfa (4.2% ) Airports 1.7% 0.0% -1.7% UNDERWEIGHT No exposure Cement & Construction 6.3% 17.2% 10.8% OVERWEIGHT Cement 4.5% 8.5% 4.0% OVERWEIGHT Cemex (8.5% ) Homebuilder & Real Estate 0.5% 6.0% 5.5% OVERWEIGHT Fibra Uno (4.0% ), Vesta (2.0% ) Infrastructure 1.3% 2.7% 1.4% OVERWEIGHT ICA (2.7% ) Consumption 36.6% 23.7% -12.8% UNDERWEIGHT Retail 14.0% 10.3% -3.6% UNDERWEIGHT Walmex (5.7% ), Grupo Sanborns (2.0% ), Elektra (1.5% ), (1.1% ) Packaged goods 5.4% 4.1% -1.3% UNDERWEIGHT Grupo Bimbo (1.8% ), Kimberly (2.2% ) Beverage 17.2% 9.3% -7.9% UNDERWEIGHT Femsa (7.3% ), Cultiba (2.0% ) Financials 11.5% 15.3% 3.8% OVERWEIGHT Banks 11.0% 15.3% 4.3% OVERWEIGHT Banorte (11.5% ), Compartamos (3.8% ) Exchanges 0.5% 0.0% -0.5% UNDERWEIGHT No exposure Cyclicals 14.5% 17.3% 2.8% OVERWEIGHT Metals&Mining 11.6% 14.2% 2.6% OVERWEIGHT Grupo Mexico (11.5% ), Peñoles (2.7% ) Petrochemicals 3.0% 3.1% 0.2% MARKETWEIGHT Mexichem (3.1% )

Total 100.0% 100.0% Source: Company data, Credit Suisse estimates Performance Analysis Brazil. In March, the IBX-100 index increased by 0.77%, based on our fixed-weight index, in local currency terms, slightly outperforming Mexico. The three top-performing sectors in March were: (1) Oil & Gas (+11%), boosted by a 16% gain by PETR3 and 10% by PETR4, after the government authorized diesel price increases; (2) Pulp & Paper (+9.0%), explained by Suzano’s performance +16% on the back of strong 4Q12 results and turnaround optimism, and Fibria +9%; and (3) Aerospace (+8%), with fully explaining the result. The worst three sectors were (1) Education (-10%), driven by a very weak performance of Anhanguera (-20%), (2) Mining (-9%), impacted by MMX (-34%) and Vale (-9%) on weaker iron ore prices; and (3) Services/Tech (-8%), mostly impacted by Multiplus drop of 18% due to overhang from potential share offering. Our March model portfolio outperformed its benchmark by 63bps, increasing 1.40% in the month. Sector allocation yielded a positive result, adding 11bps to our portfolio's performance, while stock selection and the interaction between stock and sector allocation brought the biggest contribution, adding 52bps to our performance. The largest positive contribution to the sector selection performance came from our overweight position in Pulp & Paper (adding 37bps), while the biggest drag came from our underweight position in Oil & Gas, cutting 39bps from our performance. Stock selection plus the interaction between it and sector allocation’s main positive contributions came from the Education space (+34bps), due to the better performance of Kroton compared to Estacio and Anhanguera. Another stock pick that did very well was Even in the Homebuilders space adding plus 17bps.

LatAm Equity Strategy 9 31 March 2013

Exhibit 8: Performance Analysis – CS Portfolio for March – Brazil IBX W * R W * R Excess Sector Stock Sector + Sectors CS Return Performance Return (IBX) (CS) Return Selection Selection Stock Financials 4.62% 1.17% 4.09% 1.10% -0.53% -0.06% -0.01% -0.01% -0.08% Banks 5.06% 1.12% 5.07% 1.01% 0.00% -0.09% 0.00% 0.00% -0.09% Exchanges 1.53% 0.05% 1.28% 0.09% -0.24% 0.03% -0.01% -0.01% 0.01% Utilities 0.72% 0.04% 2.17% 0.13% 1.45% 0.00% 0.09% 0.00% 0.09% Telecom 0.00% 0.00% 3.47% 0.09% 3.47% 0.00% 0.09% 0.00% 0.09% Transportation 3.72% 0.07% 0.00% 0.00% -3.72% -0.05% -0.07% 0.07% -0.05% Aerospace 7.90% 0.09% 0.00% 0.00% -7.90% -0.08% -0.09% 0.09% -0.08% Airlines -6.13% -0.01% 0.00% 0.00% 6.13% 0.01% 0.01% -0.01% 0.01% Car Rental -3.64% -0.02% 0.00% 0.00% 3.64% 0.02% 0.02% -0.02% 0.02% Media/Technology/Services -7.68% -0.06% 0.00% 0.00% 7.68% 0.06% 0.06% -0.06% 0.06% Healthcare -6.14% -0.08% -8.22% -0.25% -2.08% -0.11% -0.03% -0.03% -0.17% Education -10.40% -0.11% 0.88% 0.03% 11.28% -0.22% 0.12% 0.22% 0.12% Industrials 6.62% 0.04% 8.58% 0.17% 1.96% 0.08% 0.01% 0.03% 0.12% Agribusiness -3.44% -0.02% 0.00% 0.00% 3.44% 0.02% 0.02% -0.02% 0.02% Oil & gas 10.57% 1.37% 10.48% 0.94% -0.09% -0.39% -0.01% 0.00% -0.39% Cyclicals -6.27% -1.08% -2.94% -0.63% 3.34% 0.40% -0.06% 0.08% 0.42% Mining -8.93% -1.10% -9.06% -1.09% -0.13% 0.03% -0.02% 0.00% 0.02% Pulp & paper 8.92% 0.13% 10.67% 0.64% 1.76% 0.37% 0.03% 0.08% 0.47% Steel -3.34% -0.12% -5.29% -0.18% -1.94% 0.00% -0.07% 0.00% -0.07% Consumption -1.92% -0.37% -1.94% -0.29% -0.02% 0.29% -0.31% 0.14% 0.12% Retail -1.12% -0.06% -9.61% -0.29% -8.49% 0.04% -0.42% 0.16% -0.22% Beverage & Tobacco -4.26% -0.39% -4.28% -0.21% -0.02% 0.21% 0.00% 0.00% 0.21% Foods 0.99% 0.04% 3.84% 0.12% 2.86% 0.00% 0.11% -0.02% 0.08% Payment Process 2.41% 0.04% 2.41% 0.10% 0.00% 0.04% 0.00% 0.00% 0.04% Real Estate -5.49% -0.25% -4.78% -0.24% 0.72% -0.05% 0.00% 0.06% 0.01% Homebuilder -7.67% -0.18% -2.00% -0.06% 5.67% -0.06% 0.13% 0.04% 0.11% Properties -3.36% -0.08% -8.94% -0.18% -5.59% 0.01% -0.13% 0.02% -0.10% Infrastructure 3.53% 0.10% 5.77% 0.35% 2.24% 0.08% 0.08% 0.06% 0.23% Logistics 3.26% 0.01% 4.92% 0.15% 1.66% 0.06% 0.01% 0.04% 0.11% Toll Roads 3.58% 0.08% 6.62% 0.20% 3.04% 0.02% 0.07% 0.02% 0.11% Petrochemical -6.38% -0.02% 0.00% 0.00% 6.38% 0.03% 0.02% -0.02% 0.03% Fuel Distribution -0.39% -0.01% 0.00% 0.00% 0.39% 0.03% 0.01% -0.01% 0.03% Total 0.77% 0.77% 1.40% 1.40% 0.63% 0.11% 0.01% 0.51% 0.63%

Source: Company data, Credit Suisse estimates Mexico. The IPC was flattish in March, contracting very slightly to end at 44,077 points, with a highly varied performance across sectors. The sector which pulled index returns down the most was Beverages, down 3.8%, mainly due to KOF and Femsa, which retreated from very high valuations. Telecom (AMX down 2.1%) and Media (-4.3%, mainly on Televisa) were the next biggest drags on performance in light of the government’s proposal to reform the sector. On the other hand, the best three contributors to the index

LatAm Equity Strategy 10 31 March 2013 were Packaged Goods (+8.4%, mainly on Bimbo), Cement (CX up 9.6%) and Banks (+3.6% on Banorte and Compartamos). In March, our model portfolio outperformed its benchmark by a healthy margin of 178bps. The positive read came mainly on the back of our overweight in the Banks (Compartamos up 12.1% and Banorte +4.1%) and in Cemex. Being underweight Beverages also contributed positively, especially because of our lack of exposure to KOF, which fell 7.4%. On the negative side, our slight OW in Televisa (-4.4%) and our lack of exposure to the Petrochemicals sector (Mexichem +3.5% and +2.7%) were the chief drags on our performance. Performance analysis shows that sector selection took 56bps off our performance, while our stock picking generated +81bps. The most important factor behind our results was the interaction between sector and stock selection, which enhanced our performance by 153bps. The positive contribution came from our positioning within the Homebuilder and Real Estate segment, by staying away from the Homebuilders (huge drop in March) and being positioned in Vesta (+5.7%) and Fibra Uno (+2.9%).

Exhibit 9: Performance Analysis – CS Portfolio for March – Mexico W * R W * R Sector Sectors IPC Return CS Return Excess Return Stock Selection Sector + Stock Performance (IPC) (CS) Selection Telecom -2.71% -0.68% -2.97% -0.72% -0.27% -0.03% -0.01% 0.00% -0.04% Telecom -2.09% -0.38% -2.09% -0.32% 0.00% 0.06% 0.00% 0.00% 0.06% Media -4.29% -0.30% -4.43% -0.40% -0.14% -0.09% -0.01% 0.00% -0.10% Conglomerates -2.06% -0.09% -2.06% -0.09% 0.00% 0.00% 0.00% 0.00% 0.00% Airports -3.99% -0.07% 0.00% 0.00% 3.99% 0.07% 0.07% -0.07% 0.07% Cement & Construction 6.19% 0.39% 8.19% 1.33% 2.00% -0.75% 0.21% 1.47% 0.94% Cement 9.55% 0.43% 9.55% 0.81% 0.00% 0.38% 0.00% 0.00% 0.38% Homebuilder & Real Estate -27.76% -0.14% 3.97% 0.20% 31.73% -1.24% 0.17% 1.42% 0.35% Infrastructure 8.14% 0.11% 11.74% 0.32% 3.60% 0.11% 0.05% 0.05% 0.21% Consumption -0.34% -0.13% 1.53% 0.38% 1.87% 0.17% 0.47% -0.14% 0.50% Retail 0.52% 0.07% 2.07% 0.24% 1.56% -0.01% 0.22% -0.04% 0.16% Packaged goods 8.43% 0.45% 9.88% 0.40% 1.45% -0.11% 0.08% -0.02% -0.05% Beverage -3.76% -0.65% -2.76% -0.26% 1.00% 0.29% 0.17% -0.08% 0.38% Financials 4.05% 0.46% 6.04% 0.92% 2.00% 0.09% 0.20% 0.17% 0.46% Banks 3.61% 0.40% 6.04% 0.92% 2.43% 0.16% 0.27% 0.10% 0.53% Exchanges 13.77% 0.07% 0.00% 0.00% -13.77% -0.07% -0.07% 0.07% -0.07% Cyclicals 0.41% 0.06% -0.57% -0.09% -0.98% -0.11% -0.12% 0.09% -0.14% Metals&Mining -0.36% -0.04% -0.57% -0.09% -0.21% -0.01% -0.02% -0.01% -0.04% Petrochemicals 3.42% 0.10% 0.00% 0.00% -3.42% -0.10% -0.10% 0.10% -0.10% Total -0.05% -0.05% 1.74% 1.74% 1.78% -0.56% 0.81% 1.53% 1.78% Source: Company data, Credit Suisse estimates

LatAm Equity Strategy 11 31 March 2013

Appendix 1 – Brazil and Mexico stocks performance Exhibit 10: Brazil – Top 10 Leaders/Laggards MTD (%) Exhibit 11: Mexico – Top 10 Leaders/Laggards MTD (%)

SUZB5 16.5 GRUMAB 21.4 PETR3 16.3 BIMBOA 13.9 CESP6 11.0 BOLSAA 13.8 PETR4 10.5 COMPARC* 12.1 USIM5 10.4 ICA* 11.7 BBDC3 10.0 ALSEA* 11.0 FIBR3 8.8 CEMEXCPO 9.5 POMO4 8.6 CHDRAUIB 7.4 USIM3 8.6 KIMBERA 6.6 EMBR3 7.9 LIVEPOLC 5.6 MRFG3 -14.3 GMODELOC -2.1 DASA3 -14.4 FEMSAUBD -2.8 ELPL4 -17.2 AC* -3.8 MPLU3 -18.2 TLEVICPO -4.4 BISA3 -20.3 KOFL -7.4 AEDU3 -20.5 GAPB -7.8 OGXP3 -26.7 ELEKTRA* -8.1 MMXM3 -33.8 URBI* -26.2 MRVE3 -33.9 HOMEX* -26.5 OSXB3 -42.7 GEOB -29.9

Source: Company data, Credit Suisse estimates Source: Company data, Credit Suisse estimates

LatAm Equity Strategy 12 31 March 2013

Appendix 2 – Brazil and Mexico sectors performance

Exhibit 12: Brazil: Sector Performance (March) 10.6% 7.9% 8.9% 5.1% 6.6% 2.4% 3.3% 3.6% 0.0% 0.7% 0.8% 1.0% 1.5%

-1.1%-0.4% -4.3%-3.6%-3.4%-3.4%-3.3% -7.7%-7.7%-6.4%-6.1%-6.1%

-10.4%-8.9%

Steel

Retail

Banks

Mining

Foods

Utilities

Airlines IBX100

Telecom

Logistics

Oil & gas & Oil

Education

Properties Industrials

Car Rental Car

Toll Roads Toll Aerospace

Healthcare

Exchanges

Homebuilder

Agribusiness

Pulp & paper & Pulp

Petrochemical

FuelDistribution

PaymentProcess Beverage & Tobacco & Beverage

Media/Technology/Services Source: Company data, Credit Suisse estimates

Exhibit 13: Mexico: Sector Performance (March) 8.1% 8.4% 9.5% 13.8% 3.4% 3.6% 0.5%

0.0% -2.1% -2.1% -0.4% -4.3% -4.0% -3.8%

-27.8%

IPC

Retail

Media

Banks

Airports

Cement

Telecom

Beverage

Exchanges

Infrastructure

Metals&Mining

Conglomerates

Petrochemicals Packagedgoods

Homebuilder & Real Estate HomebuilderReal & Source: Company data, Credit Suisse estimates

LatAm Equity Strategy 13 31 March 2013

Exhibit 14: Brazil: Sector Performance YTD 24.9% 16.6% 11.8% 9.4% 7.3% 8.2% 8.7% 8.9% 5.3% 6.1% 3.0% 3.1% 5.0%

-2.0%-0.8% -5.0%-3.8%-3.3%-3.1% -8.5%-8.1% -11.2% -15.2%

-18.7%

Steel

Retail

Banks

Mining

Foods

Utilities

Airlines IBX100

Telecom

Logistics

Oil & gas & Oil

Industrials

Car Rental Car

TollRoads Aerospace

Healthcare

Exchanges

Real Real Estate

Agribusiness

Pulp & paper & Pulp

Petrochemical

FuelDistribution PaymentProcess

Beverage & Tobacco & Beverage Source: Company data, Credit Suisse estimates

Exhibit 15: Mexico: Sector Performance YTD 18.3% 23.4% 25.7% 10.9% 11.2% 6.8% 8.5% 0.8% 1.9% 4.4%

-3.6% -3.2% -12.1% -8.9%

-46.3%

IPC

Retail

Media

Banks

Airports

Cement

Telecom

Beverage

Exchanges

Infrastructure

Metals&Mining

Conglomerates

Petrochemicals Packagedgoods

HomebuilderEstate Real & Source: Company data, Credit Suisse estimates

LatAm Equity Strategy 14 31 March 2013

Companies Mentioned (Price as of 28-Mar-2013) ALSEA, S.A.B. DE C.V (ALSEA.MX, $35.48) Alfa (ALFAA.MX, $30.16) AmBev (AMBV4.SA, R$84.33) America Movil (AMX.N, $20.96) Anhanguera Educacional (AEDU3.SA, R$32.6) BM&F Bovespa SA (BVMF3.SA, R$13.64) BR Properties (BRPR3.SA, R$22.4) (BBAS3.SA, R$27.45) Bolsa Mexicana de Valores (BOLSAA.MX, $35.37) Bradesco (BBDC4.SA, R$34.14) Brasil Foods S.A. (BRFS3.SA, R$44.6) Braskem (BRKM5.SA, R$13.65) Cemex (CX.N, $12.21) Cesp (CESP6.SA, R$20.35) Cetip (CTIP3.SA, R$24.0) Cielo (CIEL3.SA, R$59.53) Companhia Siderurgica Nacional (CSNA3.SA, R$9.13) Compartamos SAB de CV (COMPARC.MX, $22.78) (CYRE3.SA, R$17.33) Duratex (DTEX3.SA, R$16.3) EVEN CONSTRUCTORA E INCORPORADORA (EVEN3.SA, R$9.8) Embraer (EMBR3.SA, R$18.0) Empresas ICA (ICA.MX, $41.21) Energias do Brasil (ENBR3.SA, R$12.62) Estacio Participacoes (ESTC3.SA, R$43.9) Fibra Uno Administracion S A (FUNO11.MX, $40.75) Fomento Economico Mexicano SAB de CV (FMSAUBD.MX, $138.97) GRUPO SANBORNS, S.A.B. DE CV (GSNBRB1.MX, $28.0) Gerdau (GGBR4.SA, R$15.56) Grupo Bimbo (BIMBOA.MX, $39.49) Grupo Elektra (ELEKTRA.MX, $486.65) Grupo Financiero Banorte (GFNORTEO.MX, $98.68) Grupo Mexico (GMEXICOB.MX, $49.89) Industrias Penoles S.A.B. DE C.V. (PENOLES.MX, $586.42) International Meal Company Holdings (IMCH3.SA, R$25.5) Itau Unibanco (ITUB4.SA, R$35.99) JSL (JSLG3.SA, R$16.4) Kimberly-Clark (KIMBERA.MX, $43.11) Klabin (KLBN4.SA, R$13.95) Kroton (KROT3.SA, R$25.95) MMX (MMXM3.SA, R$2.21) Marcopolo (POMO4.SA, R$14.35) Marisa S.A. (AMAR3.SA, R$30.1) Mexichem (MEXCHEM.MX, $66.25) Minerva (BEEF3.SA, R$13.1) OGX (OGXP3.SA, R$2.31) OHL Brasil (ARTR3.SA, R$22.71) ORGANIZACION CULTIBA, S.A.B. DE CV (CULTIBAB.MX, $35.05) Petrobras (PBR.N, $16.57) Promotora y Operadora de Infraestructura, S.A.B. d (PINFRA.MX, $99.83) QGEP Participacoes SA (QGEP3.SA, R$11.99) QUALICORP (QUAL3.SA, R$20.31) Santos Brasil S.A. (STBP11.SA, R$30.2) Soriana (SORIANAB.MX, $48.35) Souza Cruz (CRUZ3.SA, R$29.54) Suzano (SUZB5.SA, R$7.75) Tegma (TGMA3.SA, R$32.0) Telefonica Brasil (VIVT4.SA, R$53.95) Televisa (TV.N, $26.61) Tractebel Energia (TBLE3.SA, R$34.74) Vale (VALE.N, $17.29) Vesta, S.AB. De C.V (VESTA.MX, $26.8) Walmex (WALMEXV.MX, $40.4)

Disclosure Appendix

Important Global Disclosures The analysts identified in this report each certify, with respect to the companies or securities that the individual analyzes, that (1) the views expressed in this report accurately reflect his or her personal views about all of the subject companies and securities and (2) no part of his or her compensation was, is or will be directly or indirectly related to the specific recommendations or views expressed in this report. The analyst(s) responsible for preparing this research report received Compensation that is based upon various factors including Credit Suisse's total revenues, a portion of which are generated by Credit Suisse's investment banking activities

LatAm Equity Strategy 15 31 March 2013

As of December 10, 2012 Analysts’ stock rating are defined as follows: Outperform (O) : The stock’s total return is expected to outperform the relevant benchmark*over the next 12 months. Neutral (N) : The stock’s total return is expected to be in line with the relevant benchmark* over the next 12 months. Underperform (U) : The stock’s total return is expected to underperform the relevant benchmark* over the next 12 months. *Relevant benchmark by region: As of 10th December 2012, Japanese ratings are based on a stock’s total return relative to the analyst's coverage universe which consists of all companies covered by the analyst within the relevant sector, with Outperforms representing the most attractiv e, Neutrals the less attractive, and Underperforms the least attractive investment opportunities. As of 2nd October 2012, U.S. and Canadian as well as European ratings are based on a stock’s total return relative to the analyst's coverage universe which consists of all companies covered by the analyst within the relevant sector, with Outperforms representing the most attractive, Neutrals the less attractive, and Underperforms the least attractive investment opportunities. For Latin American and non -Japan Asia stocks, ratings are based on a stock’s total return relative to the average total return of the relevant country or regional b enchmark; Australia, New Zealand are, and prior to 2nd October 2012 U.S. and Canadian ratings were based on (1) a stock’s absolute total return potential to its current share price and (2) the relative attractiveness of a stock’s total return potential within an analyst’s coverage universe. For Australian and New Zealand stocks, 12-month rolling yield is incorporated in the absolute total return calculation and a 15% and a 7.5% threshold replace the 10-15% level in the Outperform and Underperform stock rating definitions, respectively. The 15% and 7.5% thresholds replace the +10-15% and -10-15% levels in the Neutral stock rating definition, respectively. Prior to 10th December 2012, Japanese ratings were based on a stock’s total return relative to the average total return of the relevant country or regional benchmark. Restricted (R) : In certain circumstances, Credit Suisse policy and/or applicable law and regulations preclude certain types of communications, including an investment recommendation, during the course of Credit Suisse's engagement in an investment banking transaction and in certain other circumstances.

Volatility Indicator [V] : A stock is defined as volatile if the stock price has moved up or down by 20% or more in a month in at least 8 of the past 24 months or the analyst expects significant volatility going forward.

Analysts’ sector weightings are distinct from analysts’ stock ratings and are based on the analyst’s expectations for the fundamentals and/or valuation of the sector* relative to the group’s historic fundamentals and/or valuation: Overweight : The analyst’s expectation for the sector’s fundamentals and/or valuation is favorable over the next 12 months. Market Weight : The analyst’s expectation for the sector’s fundamentals and/or valuation is neutral over the next 12 months. Underweight : The analyst’s expectation for the sector’s fundamentals and/or valuation is cautious over the next 12 months. *An analyst’s coverage sector consists of all companies covered by the analyst within the relevant sector. An analyst may cover multiple sectors.

Credit Suisse's distribution of stock ratings (and banking clients) is:

Global Ratings Distribution Rating Versus universe (%) Of which banking clients (%) Outperform/Buy* 43% (54% banking clients) Neutral/Hold* 39% (46% banking clients) Underperform/Sell* 16% (40% banking clients) Restricted 3% *For purposes of the NYSE and NASD ratings distribution disclosure requirements, our stock ratings of Outperform, Neutral, an d Underperform most closely correspond to Buy, Hold, and Sell, respectively; however, the meanings are not the same, as our stock ratings are determined on a relative basis. (Please refer to definitions above.) An investor's decision to buy or sell a security should be based on investment objectives, current holdings, and other individual factors.

Credit Suisse’s policy is to update research reports as it deems appropriate, based on developments with the subject company, the sector or the market that may have a material impact on the research views or opinions stated herein. Credit Suisse's policy is only to publish investment research that is impartial, independent, clear, fair and not misleading. For more detail please refer to Credit Suisse's Policies for Managing Conflicts of Interest in connection with Investment Research: http://www.csfb.com/research and analytics/disclaimer/managing_conflicts_disclaimer.html Credit Suisse does not provide any tax advice. Any statement herein regarding any US federal tax is not intended or written to be used, and cannot be used, by any taxpayer for the purposes of avoiding any penalties.

Please refer to the firm's disclosure website at www.credit-suisse.com/researchdisclosures for the definitions of abbreviations typically used in the target price method and risk sections.

See the Companies Mentioned section for full company names The subject company (ALFAA.MX, AMBV4.SA, AMX.N, BBAS3.SA, BBDC4.SA, BRPR3.SA, FMSAUBD.MX, COMPARC.MX, CSNA3.SA, CTIP3.SA, CX.N, CYRE3.SA, FUNO11.MX, GFNORTEO.MX, IMCH3.SA, ITUB4.SA, JSLG3.SA, KLBN4.SA, PBR.N, GGBR4.SA, GMEXICOB.MX, ICA.MX, KROT3.SA, MEXCHEM.MX, MMXM3.SA, PENOLES.MX, PINFRA.MX, QUAL3.SA, STBP11.SA, SUZB5.SA, TBLE3.SA, TV.N, VALE.N, VESTA.MX, WALMEXV.MX, OGXP3.SA, GSNBRB1.MX, CULTIBAB.MX, ESTC3.SA, BEEF3.SA) currently is, or was during the 12-month period preceding the date of distribution of this report, a client of Credit Suisse. Credit Suisse provided investment banking services to the subject company (ALFAA.MX, AMBV4.SA, AMX.N, BBAS3.SA, BRPR3.SA, FMSAUBD.MX, CX.N, FUNO11.MX, IMCH3.SA, PBR.N, GMEXICOB.MX, ICA.MX, KROT3.SA, MEXCHEM.MX, MMXM3.SA, PENOLES.MX,

LatAm Equity Strategy 16 31 March 2013

PINFRA.MX, QUAL3.SA, VALE.N, VESTA.MX, WALMEXV.MX, OGXP3.SA, GSNBRB1.MX, CULTIBAB.MX, ESTC3.SA, BEEF3.SA) within the past 12 months. Credit Suisse provided non-investment banking services to the subject company (AMX.N, BBAS3.SA, BBDC4.SA, CSNA3.SA, GFNORTEO.MX, ITUB4.SA, KLBN4.SA, GGBR4.SA, GMEXICOB.MX, STBP11.SA, TBLE3.SA, VALE.N) within the past 12 months Credit Suisse has managed or co-managed a public offering of securities for the subject company (ALFAA.MX, AMX.N, BBAS3.SA, FMSAUBD.MX, FUNO11.MX, PBR.N, GMEXICOB.MX, ICA.MX, KROT3.SA, MEXCHEM.MX, PINFRA.MX, QUAL3.SA, VESTA.MX, GSNBRB1.MX, CULTIBAB.MX, ESTC3.SA) within the past 12 months. Credit Suisse has received investment banking related compensation from the subject company (ALFAA.MX, AMBV4.SA, AMX.N, BBAS3.SA, BRPR3.SA, FMSAUBD.MX, CX.N, FUNO11.MX, IMCH3.SA, PBR.N, GMEXICOB.MX, ICA.MX, KROT3.SA, MEXCHEM.MX, MMXM3.SA, PENOLES.MX, PINFRA.MX, QUAL3.SA, VALE.N, VESTA.MX, WALMEXV.MX, OGXP3.SA, GSNBRB1.MX, CULTIBAB.MX, ESTC3.SA, BEEF3.SA) within the past 12 months Credit Suisse expects to receive or intends to seek investment banking related compensation from the subject company (ALFAA.MX, ALSEA.MX, AMBV4.SA, AMX.N, BBAS3.SA, BBDC4.SA, BOLSAA.MX, BRPR3.SA, FMSAUBD.MX, COMPARC.MX, CRUZ3.SA, CSNA3.SA, CTIP3.SA, CX.N, CYRE3.SA, FUNO11.MX, GFNORTEO.MX, IMCH3.SA, JSLG3.SA, KLBN4.SA, PBR.N, GGBR4.SA, GMEXICOB.MX, ICA.MX, KROT3.SA, MEXCHEM.MX, MMXM3.SA, PENOLES.MX, PINFRA.MX, QUAL3.SA, SUZB5.SA, TV.N, VALE.N, VESTA.MX, WALMEXV.MX, OGXP3.SA, GSNBRB1.MX, CULTIBAB.MX, ESTC3.SA, BEEF3.SA) within the next 3 months. Credit Suisse has received compensation for products and services other than investment banking services from the subject company (AMX.N, BBAS3.SA, BBDC4.SA, CSNA3.SA, GFNORTEO.MX, ITUB4.SA, KLBN4.SA, GGBR4.SA, GMEXICOB.MX, STBP11.SA, TBLE3.SA, VALE.N) within the past 12 months As of the date of this report, Credit Suisse makes a market in the following subject companies (AMX.N, CX.N, PBR.N, TV.N, VALE.N). As of the end of the preceding month, Credit Suisse beneficially own 1% or more of a class of common equity securities of (CIEL3.SA, CTIP3.SA, FUNO11.MX, IMCH3.SA, ICA.MX, KROT3.SA, QGEP3.SA, VESTA.MX, TGMA3.SA, GSNBRB1.MX, BEEF3.SA). Credit Suisse has a material conflict of interest with the subject company (CSNA3.SA). The analyst Ivano Westin has a relationship with a natural person who may provide remunerated services to one or more of the companies covered in this report. I, Ivano Westin, hold directly or indirectly, securities referenced in the research reports I prepare [VALE, CSNA3]. Credit Suisse has a material conflict of interest with the subject company (GGBR4.SA). The analyst Ivano Westin has a relationship with a natural person who may provide remunerated services to one or more of the companies covered in this report Credit Suisse has a material conflict of interest with the subject company (MMXM3.SA). The analyst Ivano Westin has a relationship with a natural person who may provide remunerated services to one or more of the companies covered in this report Credit Suisse has a material conflict of interest with the subject company (VALE.N). The analyst Ivano Westin has a relationship with a natural person who may provide remunerated services to one or more of the companies covered in this report. I, Ivano Westin, hold directly or indirectly, securities referenced in the research reports I prepare [VALE]. Credit Suisse has a material conflict of interest with the subject company (CESP6.SA). Credit Suisse or its controlled entities, controlling entities, or entities under common control hold directly or indirectly a relevant participation in the capital stock of the subject company/companies. [CESP6]. For purposes of this report, a relevant participation means a participation of 5% or more in a type or class of shares of the capital stock of a company. Important Regional Disclosures Singapore recipients should contact Credit Suisse AG, Singapore Branch for any matters arising from this research report. The analyst(s) involved in the preparation of this report have not visited the material operations of the subject company (ALFAA.MX, ALSEA.MX, AMAR3.SA, AMBV4.SA, AMX.N, ARTR3.SA, BBAS3.SA, BBDC4.SA, BOLSAA.MX, BRFS3.SA, BRKM5.SA, BRPR3.SA, CIEL3.SA, EVEN3.SA, FMSAUBD.MX, BVMF3.SA, COMPARC.MX, CRUZ3.SA, CSNA3.SA, CTIP3.SA, CX.N, CYRE3.SA, ENBR3.SA, FUNO11.MX, GFNORTEO.MX, IMCH3.SA, ITUB4.SA, JSLG3.SA, KLBN4.SA, PBR.N, POMO4.SA, GGBR4.SA, GMEXICOB.MX, ICA.MX, KROT3.SA, MEXCHEM.MX, MMXM3.SA, PENOLES.MX, PINFRA.MX, QGEP3.SA, QUAL3.SA, SORIANAB.MX, STBP11.SA, SUZB5.SA, TBLE3.SA, TV.N, VALE.N, VESTA.MX, VIVT4.SA, WALMEXV.MX, TGMA3.SA, OGXP3.SA, AEDU3.SA, GSNBRB1.MX, CULTIBAB.MX, DTEX3.SA, CESP6.SA, ESTC3.SA, BEEF3.SA) within the past 12 months Restrictions on certain Canadian securities are indicated by the following abbreviations: NVS--Non-Voting shares; RVS--Restricted Voting Shares; SVS--Subordinate Voting Shares. Individuals receiving this report from a Canadian investment dealer that is not affiliated with Credit Suisse should be advised that this report may not contain regulatory disclosures the non-affiliated Canadian investment dealer would be required to make if this were its own report. For Credit Suisse Securities (Canada), Inc.'s policies and procedures regarding the dissemination of equity research, please visit http://www.csfb.com/legal_terms/canada_research_policy.shtml. As of the date of this report, Credit Suisse acts as a market maker or liquidity provider in the equities securities that are the subject of this report. Principal is not guaranteed in the case of equities because equity prices are variable. Commission is the commission rate or the amount agreed with a customer when setting up an account or at any time after that.

LatAm Equity Strategy 17 31 March 2013

Andrew T. Campbell, CFA & Daniel Federle each certify that (1) The views expressed in this report solely and exclusively reflect my personal opinions and have been prepared independently, including with respect to Banco de Investimentos Credit Suisse (Brasil) S.A. or its affiliates ("Credit Suisse"). (2) Part of my compensation is based on various factors, including the total revenues of Credit Suisse, but no part of my compensation has been, is, or will be related to the specific recommendations or views expressed in this report. In addition, Credit Suisse declares that: Credit Suisse has provided, and/or may in the future provide investment banking, brokerage, asset management, commercial banking and other financial services to the subject company/companies or its affiliates, for which they have received or may receive customary fees and commissions, and which constituted or may constitute relevant financial or commercial interests in relation to the subject company/companies or the subject securities. Andrew T. Campbell, CFA is the responsible analyst for this report according to Instruction CVM 483 Please find the full reports, including disclosure information, on Credit Suisse's Research and Analytics Website (http://www.researchandanalytics.com)

For Credit Suisse disclosure information on other companies mentioned in this report, please visit the website at www.credit- suisse.com/researchdisclosures or call +1 (877) 291-2683.

LatAm Equity Strategy 18 31 March 2013

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Model_Portfolio_April13_FINAL LatAm Equity Strategy .doc19