JBS S.A. Corporate Taxpayer's ID (CNPJ/ME): 02.916.265

JBS S.A. Corporate Taxpayer’s ID (CNPJ/ME): 02.916.265/0001-60 Company Registry (NIRE): 35.300.330.587

MANAGEMENT’S PROPOSAL FOR THE ANNUAL AND EXTRAORDINARY SHAREHOLDERS’ MEETING TO BE HELD ON APRIL 28, 2021

Dear Shareholders,

The Management of JBS S.A., a corporation headquartered at Av. Marginal Direita do Tietê, n.° 500, Bloco I, CEP 05118-100, in the city and state of São Paulo, enrolled in the register of corporate taxpayers (CNPJ/ME) under number 02.916.265/0001-60, registered with the Brazilian Securities and Exchange Commission (“CVM”) as a category “A” publicly held company with its shares traded on the Novo Mercado segment of B3 S.A. – Brasil, Bolsa, Balcão (“B3”) under the ticker “JBSS3” (“Company” or “JBS”) pursuant to Law 6404, of December 15, 1976, as amended (“Brazilian Corporation Law”) and CVM Instruction 481, of June 17, 2009, as amended (“CVMI 481”), hereby submits the Management’s Proposal (“Proposal” or “Management’s Proposal”) with its recommendations on the matters included in the Annual and Extraordinary Shareholders’ Meeting’s agenda convened for April, 28, 2021 at the Auditorium in Block 2, ground floor, at the Company’s headquarters (“AESM”).

At the Annual Shareholders’ Meeting:

1. To resolve on the financial statements and management accounts for the fiscal year ended December 31, 2020.

The Company’s the financial statements for the fiscal year ended December 31, 2020, as disclosed on March 24, 2021 on the CVM and B3 websites, through the IPE Module of the Empresas.NET system, and published in the Official Gazette of the State of São Paulo and in the newspaper Valor Econômico on March 26, 2021 (“Financial Statements”), were approved by the Company’s Board of Directors at a meeting held on March 24, 2021, under the terms of article 19, VI of its Bylaws.

JBS’ Fiscal Council reviewed the Financial Statements and issued an opinion on March 23, 2021, indicating that the Financial Statements are fit to be disclosed by the Company. In addition, the Company’s Statutory Audit Committee, in a meeting held on March 23, 2021, recommended that the Financial Statements be forwarded for evaluation by the Company’s Board of Directors.

Management’s comments on the Company’s financial situation, referring to the fiscal year ended on December 31, 2020 are in Exhibit I of this Proposal.

Grant Thorton Auditores Independentes, headquartered at Av. Engenheiro Luis Carlos Berrini, 105, 12th floor, CEP 04571-900, in the city and state of São Paulo (“Grant Thorton”) issued an opinion in favor of the approval of the Financial Statements.

In compliance with the provisions above and the documents and information made available, management proposes to the General Meeting the full approval of the Financial Statements and the management accounts for the fiscal year ended on December 31, 2020, without reservations.

2. To resolve on the allocation of net income for the fiscal year ended December 31, 2020 and the distribution of dividends.

Management proposes to shareholders the approval of the allocation of net income for the fiscal year ended on December 31, 2020 indicated in the Financial Statements, as detailed in Exhibit II of this Proposal, prepared in accordance with Exhibit 9-1-II of ICVM 481.

Accordingly, management proposes the distribution to shareholders of (i) mandatory minimum dividends in the amount of R$1,092,098,920.27 (one billion, ninety-two million, ninety-eight thousand, nine hundred and twenty reais and twenty-seven cents) and (ii) additional dividends in the amount of R$1,419,036,849.73 (one billion, four hundred and nineteen million, thirty-six thousand, eight hundred and forty-nine reais and seventy-three cents), making up a total global dividend in the amount of R$2,511,135,770.00 (two billion, five hundred and eleven million, one hundred and thirty-five thousand, seven hundred and seventy reais), equivalent to R$ 1.00 (one real) per common share issued by the Company, except shares kept in treasury, according to the shareholding base of March 15, 2021, and this amount may undergo adjustments due to the movement of shares kept in treasury.

In addition, management also proposes: (i) the allocation of 5.00% (five percent) of net income, equivalent to R$229,915,562.16 (two hundred and twenty-nine million, nine hundred and fifteen thousand, five hundred and sixty-two reais and sixteen cents), for the legal reserve; and (ii) the allocation of profits that remain after legal and statutory deductions, in the amount of R$1,862,210,477.59 (one billion, eight hundred and sixty-two million, two hundred and ten thousand, four hundred and seventy-seven reais and fifty-nine cents), to make up a statutory investment reserve, and this reserve may not exceed the capital stock, as provided for in article 37(e) of the Company’s Bylaws.

3. To resolve on the number of members who will make up the Company’s Board of Directors for the next term of office.

In compliance with the provisions of article 16 of JBS’ Bylaws, the Company’s management proposes the approval of 9 (nine) seats on the Board of Directors, with a unified mandate of 2 (two) years, until the annual shareholders’ meeting that examines, discusses, and votes on the management accounts and financial statements for the fiscal year ended December 31, 2022.

4. To elect the sitting members of the Company’s Board of Directors.

In compliance with the Brazilian Corporate Law and CVM Instructions no. 165/1991 and 282/1998, the minimum percentage of participation in the voting capital necessary to request the adoption of the multiple voting system for the election of the Board of Directors is 5.00% (five percent) of the capital stock entitled to vote. As determined by article 141, paragraph 1, of the Brazilian Corporate Law, the request for the multiple voting process must be sent to the Company, up to 48 (forty-eight) hours in advance from the AESM. Once the multiple voting process has been adopted, votes cast by shareholders who, via the remote voting form, have chosen to “abstain” in the item of previous distribution of votes for the candidates informed in the form, will be considered as abstention in the respective vote resolution of the meeting, so that the votes of such shareholders will not be counted in the resolution quorum and, therefore, these shareholders will not participate in the election of the members of the board of directors.

JBS’ management appointed the following candidates to form the Board of Directors:

Jeremiah Alphonsus O’Callaghan José Batista Sobrinho Wesley Mendonça Batista Filho Aguinaldo Gomes Ramos Filho Alba Pettengill(*) Gelson Luiz Merisio(*) Gilberto Meirelles Xandó Baptista(*) Leila Abraham Loria (*) Márcio Guedes Pereira Júnior(*)

(*) meet the independence criteria established in B3’s Novo Mercado Regulations.

The management proposes to the AESM the election of the candidates indicated above to make up the Board of Directors.

Under the terms of the legal and statutory provisions referred to above, in the event of vacancy in the position of a member of the Board of Directors or his/her alternate, the substitute may be appointed by the remaining members, and such appointment shall occupy the position until the first shareholders’ meeting of the Company, which will resolve on their election of the members of the Board of Directors.

The Company’s Board of Directors expressed a favorable opinion regarding (i) the qualification of the candidates Messrs. and Mmes. Alba Pettengill, Gelson Luiz Merisio, Gilberto Meirelles Xandó Baptista, Leila Abraham Loria and Márcio Guedes Pereira Júnior in the independence criteria established in the Novo Mercado Regulations, in view of the statements sent by such candidates attesting to said framework, and (ii) the adherence of each candidate to the position of member of the Board of Directors to the Policy for the

Nomination and Training of Members of the Board of Directors, the Executive Board and the Committees.

Management clarifies that, according to article 10 of ICVM 481, the information regarding the professional experience and independence of candidates for the positions of members of the Board of Directors mentioned above are detailed in Exhibit III of this Proposal.

5. To resolve on the number of members who will make up the Company’s Fiscal Council for the next term of office.

In compliance with the provisions of article 32 et seq. of the Company’s Bylaws, the management proposes the establishment of a maximum number of 4 (four) sitting members to compose the Fiscal Council and an equal number of alternates, and such number may be increased by 1 (one) member, that is, 5 (five) members in total, in event of a request for a separate vote under the terms of the Brazilian Corporation Law, all with a term of office of 1 (one) year, until the annual shareholders’ meeting that examines, discusses and votes on the management accounts and the financial statements for the fiscal year ended December 31, 2021.

6. To elect the sitting members and their respective alternates for the Company’s Fiscal Council.

JBS’ management appointed the following sitting members and respective alternates to form the Fiscal Council:

(a) Adrian Lima Da Hora, Brazilian, married, business administrator, holder of Identity Card no. 3789, issued by CRA / PE and inscribed in the Individual Taxpayers Register (CPF / ME) under no. 372.365.394-49, resident and domiciled in the municipality of São Paulo, state of São Paulo, at Rua dos Pinheiros, 801, ap. 241, CEP 05422-011, with André Alcantara Ocampos, Brazilian, married, accountant, holder of Identity Card no. 30883622-4 SSP / SP, inscribed in the Individual Taxpayers Register (CPF / ME) under no. 273.340.808-90, resident and domiciled in the municipality of São Paulo, state of São Paulo, with business address in the same municipality, at Av. Marginal Direita do Tietê, 500, Vila Jaguara, CEP 05118-000; (b) Demetrius Nichele Macei, Brazilian, married, lawyer, holder of the Identity Card no. 19.526.517 SESP / SP, inscribed in the Individual Taxpayers Register (CPF / ME) under no. 787.870.509-78 and resident and domiciled in the city of Curitiba, state do Paraná, at Av República Argentina, 1336, conj. 1107, in the City of Curitiba, State of Paraná, CEP 80620-010, with alternate Marcos Godoy Brogiato, Brazilian, married, accountant, holder of the Identity Card no. 7.469.921-0 SSP / SP, inscribed in the Individual Taxpayers Register (CPF / ME) under no. 949.583.438-49, resident and domiciled in the municipality of São Paulo, state of São Paulo, at Rua Isette Caiubi Ariane, 54, CEP 02914-100; (c) José Paulo da Silva Filho, Brazilian, married, accountant, holder of the Identity Card no. 55.837.704-X SSP / SP, inscribed in the Individual Taxpayers Register (CPF / ME) under no. 386.730.294-49, resident and

4 domiciled in the municipality of Santana de Parnaíba, state of São Paulo, at Alameda Dourado, no. 206, Residencial 11, Alphaville, with alternate Sandro Domingues Raffai, Brazilian, single, of age, accountant, holder of Identity Card no. 13.541.060 SSP / SP, inscribed in the Individual Taxpayers Register (CPF / ME) under no. 064.677.908-71 and resident and domiciled in the municipality of São Paulo, state of São Paulo, at Rua Santa Francisca, 155, Vila Jaguara; (d) Roberto Lamb, Brazilian, married, physicist, holder of Identity Card no. 300421202, inscribed in the Individual Taxpayers Register (CPF / ME) under no. 009.352.630-04, resident and domiciled in the city of Porto Alegre, state of Rio Grande do Sul, with business address in the same city, at Avenida Carlos Gomes 777 sala 402, 90480 003, with alternate Orlando Octávio de Freitas Júnior, Brazilian, divorced, accounting auditor, holder of Identity Card no. 9.128.418 SSP / SP, inscribed in the Individual Taxpayers Register (CPF / ME) under no. 084.911.368-78, resident and domiciled in the City of São Paulo, State of São Paulo, at Rua Caiowaa, 1575, apto. 162, CEP 01258-011.

Management proposes to the Shareholders’ Meeting the election of the sitting members and respective alternates indicated above to make up the Fiscal Council.

Management clarifies that, according to article 10 of ICVM 481, the information regarding the professional experience of candidates for the positions of members of the Fiscal Council mentioned above is detailed in Exhibit III of this Proposal, according to items 12.5 to 12.10 of the Reference Form.

7. To set the overall annual compensation of the members of Management, Fiscal Council and Statutory Audit Committee of the Company for the fiscal year 2021.

Management proposes the approval of the global amount of the annual compensation of the Company’s managers for the fiscal year 2021, on an accrual basis, in the amount of up to R$131,842,325.74 (one hundred and thirty-one million, eight hundred and forty-one two thousand, three hundred and twenty-five reais and seventy-four cents). Management informs shareholders and the market in general that it has used the Índice Geral de Preços – Mercado (“IGP-M”) index as a basis for updating the amount now proposed.

Regarding the global compensation of the members of the Company’s Fiscal Council, the management proposes that it be established by the shareholder’s meeting, and cannot be lower, for each member in office, than 0.1 (one tenth) of the compensation that, on average, is attributed to each director, profit sharing not computed in it, until the next Annual Shareholders’ Meeting of the Company, an amount that may change only in compliance with article 162, paragraph 3, of the Corporation Law. We clarify that the alternates will receive compensation only in the absence of the respective sitting member.

We clarify that the information listed in item 13 of the Reference Form, necessary for the proper analysis of the proposal for the managers’ annual global compensation, can be found in Exhibit IV of this Proposal, in compliance with article 12 of ICVM 481.

The amount proposed for the global management compensation for the fiscal year 2021 is compatible with the amounts usually paid by the market and with the criteria and conditions adopted by the Company for the makeup of managers’ compensation.

In addition, management informs that the JBS Annual Shareholders’ Meeting, held on April 28, 2020, approved a global limit for managers’ compensation for the fiscal year 2020 in the total amount of R$107,250,000.00 (one hundred and seven million and two hundred and fifty thousand reais), having effectively paid the total amount of R$86,013,068.85 (eighty-six million, thirteen thousand and sixty-eight reais and eighty- five cents).

The difference between the amount approved and the amount actually paid is mainly due to the amounts paid as variable compensation, which are linked to specific performance targets of the managers.

Statutory Committee Board of Directors Fiscal Council

12/31/2020 12/31/2019 12/31/2018 12/31/2020 12/31/2019 12/31/2018 12/31/2020 12/31/2019 12/31/2018

Total number of 5 5 4 9 8,33 8,33 4 4 4 members

Number of paid 5 5 4 9 8,33 8,33 4 4 4 members

Highest compensation 33,783,980 26,542,620 20,490,944.00 1,224,000 1,080,000 904,400.00 443,984 443,984 348,142.80 value (Reais)

Lowest compensation 6,252,083 7,643,874 6,016,005.31 558,000.00 568,755.51 432,000.00 443,984 443,984 348,142.80 value (Reais)

Average amount of 15,632,665.97 13,609,545.86 12,223,977.20 674,867 504,000 539,015.61 443,984 443,984 348,142.80 compensation (Reais)

At the Extraordinary Shareholders’ Meeting:

1. To resolve on amendments to articles 1, 2, 5, 6, 10, 11, 12, 13, 14, 15, 18, 19, 20, 21, 27, 29, 30, 32 and 54 as well as the exclusion of article 25 of the Company’s Bylaws as proposed by management.

A. The Company’s management proposes that specific changes be made to articles 1, 2, 6, 10, 13, 21, 27 and 54 of the Company’s Bylaws, as detailed in the comparative table contained in Exhibit V of this Proposal, in order to reflect cross-reference adjustments and clarifications in the wording of those provisions. If the amendments now proposed are approved by the Extraordinary Shareholders’ Meeting, these provisions will become effective with the new wording also indicated in the comparative table mentioned above.

B. The Company’s management proposes to amend article 5, main provision, of the Company’s Bylaws, as detailed in the comparative table contained in Exhibit V of this

Proposal, in order to reflect the cancellations of treasury shares decided by the Board of Directors in meetings held on December 16, 2020 and March 24, 2021. If the proposed amendment is approved by the Extraordinary Shareholders’ Meeting, said provision will become effective with the new wording also indicated in the comparative table mentioned above.

C. The Company’s management proposes to amend article 11, main provision, of the Company’s Bylaws, as detailed in the comparative table contained in Exhibit V of this Proposal, in order to provide for the possibility of the Chairman of the Board of Directors being responsible for appointing, in the event of his absence or impediment, the Board Member, Officer or shareholder who may install and preside over the Shareholders’ Meeting. If the proposed amendment is approved by the Extraordinary Shareholders’ Meeting, said provision will become effective with the new wording also indicated in the comparative table mentioned above.

D. The Company’s management proposes to amend articles 12, item II, and 14, main provision, of the Company’s Bylaws, as detailed in the comparative table contained in Exhibit V of this Proposal, in order to include an express mention of the Statutory Audit Committee’s compensation. If the amendments now proposed are approved by the Extraordinary Shareholders’ Meeting, these provisions will become effective with the new wording also indicated in the comparative table mentioned above.

E. The Company’s management proposes to amend Article 15, sole paragraph, of the Company’s Bylaws, as detailed in the comparative table contained in Exhibit V of this Proposal, in order to clarify that votes of members of the Board of Directors cannot be submitted in advance by fax, considering that such sending option is no longer adopted. If the proposed amendment is approved by the Extraordinary Shareholders’ Meeting, said provision will become effective with the new wording also indicated in the comparative table mentioned above.

F. The Company’s management proposes to amend article 18, main provision and first paragraph, of the Company’s Bylaws, as detailed in the comparative table contained in Exhibit V of this Proposal, in order to clarify the way to deliver call notices for Board of Directors’ meetings. Management also proposes the inclusion of a third paragraph in article 18 of the Company’s Bylaws, as detailed in the comparative table contained in Exhibit V of this Proposal, in order to clarify that the formalities for calls are waived for meetings that all the members of the Board of Directors attend. If the amendments now proposed are approved by the Extraordinary Shareholders’ Meeting, these provisions will become effective with the new wording also indicated in the comparative table mentioned above.

G. The Company’s management proposes adjustments to the main provision and to items I, VII, XI, XII, XIII, XIV, XXIII, XXIX and XXXI of article 19 of the Company’s Bylaws, as detailed in the comparative table contained in Exhibit V of this Proposal, in order to clarify the wording of said provisions and adapt them to the practices adopted by

JBS. Management also proposes the inclusion of new items XV, XXIV and XXVI in article 18 of the Company’s Bylaws, as detailed in the comparative table contained in Exhibit V of this Proposal, in order to clarify the Board of Directors duty to (i) deliberate on the repurchase of debentures, in the light of CVM Instruction no. 620/2020, (ii) approve the Company’s policies, in the light of the Novo Mercado Regulations, and (iii) express its opinion on Public Acquisition Offers concerning shares issued by the Company, considering the provisions of article 21 of the Novo Mercado Regulations. Management also proposes the exclusion of items XVII and XVIII XX XXI XXII XXIV XXV XXVII of article 18 of the Company’s Bylaws, as detailed in the comparative table contained in Exhibit V of this Proposal, in order to simplify the provisions related to the jurisdictions of the Company’s Executive Board, which are now brought together in the new item XXV of Article 19. If the amendments now proposed are approved by the Extraordinary Shareholders’ Meeting, these provisions will become effective with the new wording also indicated in the comparative table mentioned above.

H. The Company’s management proposes to amend article 20, main provision, and exclude article 25 of the Company’s Bylaws, as detailed in the comparative table contained in Exhibit V of this Proposal, in order to reflect the exclusion of the specific title for the position of Executive Director of Institutional Relations among the members of the Board. If the amendments are approved by the Extraordinary Shareholders’ Meeting, these provisions will become effective with the new wording also indicated in the comparative table mentioned above.

I. The Company’s management proposes that a single paragraph be included in Article 29 of the Company’s Bylaws, as detailed in the comparative table contained in Exhibit V of this Proposal, in order to expressly provide for the waiver of formalities when calling the meetings that all members of the Executive Board attend. If the amendment now proposed is approved by the Extraordinary Shareholders’ Meeting, said provision will become effective with the new wording also indicated in the comparative table mentioned above.

J. The Company’s management proposes to amend article 29, main provision, of the Company’s Bylaws, as detailed in the comparative table contained in Exhibit V of this Proposal, in order to clarify the way to deliver call notices for Executive Board’s meetings. If the amendment now proposed is approved by the Extraordinary Shareholders’ Meeting, said provision will become effective with the new wording also indicated in the comparative table mentioned above.

K. The Company’s management proposes to amend article 29, main provision and paragraph 2 of the Company’s Bylaws, as detailed in the comparative table contained in Exhibit V of this Proposal, in order to (i) clarify the rules for the Company’s representation and (i) simplify the wording about null and inoperative acts related to the Company. If the amendments now proposed are approved by the Extraordinary Shareholders’ Meeting,

8 these provisions will become effective with the new wording also indicated in the comparative table mentioned above.

The comparative table that highlights all the proposed amendments to the Bylaws with revision marks, as well as their justifications, as required by ICVM 481, can be found in Exhibit V of this Proposal.

Finally, management clarifies that (i) the changes now proposed will not have significant economic effects, and (ii) the legal effects of such changes are indicated in the comparative table contained in Exhibit V of this Proposal.

2. To resolve on the consolidation of the Company’s Bylaws.

Management proposes to consolidate the Company’s Bylaws, in order to reflect the changes mentioned above, according to Exhibit VI of this Proposal.

General Information:

The management informs that the shareholders’ participation in the AESM may be in person or by a duly constituted proxy or via remote voting form, according to the document made available on CVM and B3 websites, through the IPE Module of the Empresas.NET system, under the terms of article 6 of ICVM 481, and are available to the shareholders at the Company’s headquarters, on the Company’s Investor Relations website (www.jbs.com.br/ri), and on B3 SA - Brasil, Bolsa, Balcão (www.b3.com.br) and CVM (www.cvm.gov.br) websites.

Considering the current guidelines for preventing and coping with the Coronavirus (COVID-19), the Company suggests that, if possible, preference should be given to the use of the remote voting form for participation in the AESM, mainly by sending it to service providers able to collect and send instructions for filling out the form (custodian or bookkeeper), given the greater simplicity of such procedure.

JBS informs that it will accept, exceptionally, in this AESM, as a way to facilitate the participation of its shareholders, mandate instruments, remote voting forms and other documents only by e-mail, without notarization or consularization, sent preferably up to 72 (seventy-two) hours in advance of the AESM, in addition to the identity document and / or pertinent corporate documents that prove the legal representation, as the case may be.

São Paulo, March 26, 2021.

JBS S.A. Jeremiah Alphonsus O’Callaghan Chairman of the Board of Directors

ANNEX I TO THE MANAGEMENT PROPOSAL TO THE ANNUAL AND EXTRAORDINARY GENERAL MEETING OF JBS S.A. TO BE HELD ON APRIL 28, 2021

10.1 - General financial and equity conditions

(a) comments by the Directors on the general financial and equity conditions

The Company's Executive Board believes that, through its product diversification strategy, its growth potential and its global production and distribution platform, combined with its positioning as a leader in the global animal protein market, JBS has sufficient financial and equity conditions to continue with its business plan and meet its short and long-term obligations, including loans and financing, as well as to meet the financing of its activities and cover its funding needs for at least the next 12 months.

The Company states that it has been monitoring the unfolding of the coronavirus outbreak around the world, aiming to preserve the safety of its employees and map the reflexes of the pandemic on its business. In this regard, the Company formed a global crisis committee in 2020 to address the impacts of the Corona Virus Disease 2019 (Covid-19) pandemic on its operations, consisting of Mr. Gilberto Tomazoni (Global CEO), Guilherme Cavalcanti (Global CFO), André Nogueira (CEO United States), Wesley Mendonça Batista Filho (CEO South America), Brent Eastwood (CEO Australia), Eduardo Noronha (Global Human Resources) and Cameron Bruett (JBS USA Institutional Relations).

Certain preventive and reactive measures and protocols have been adopted by the Company in its corporate offices and production units in order to protect the health and well-being of all stakeholders. Given the characteristics of the operation and manufacturing footprint, JBS has the flexibility to redirect part of the products that previously served the food service sector (restaurants, hotels etc.) to retail, as well as an increase in online selling, with both purchase channels in growing use by quarantined consumers. Looking ahead, disruptions in the supply chain as well as labor shortages could potentially impact production facilities, generating reduced protein processing as well as impacting the price of live animals. The Company reiterates that, through its diversified production footprint, it will maintain its efforts to continuously meet the demand for food around the world. At this time, it is not possible to specify the medium and long-term impacts on the economic scenario and the Company's operations.

On May 14, 2018, an agreement ("Normalization Agreement") was entered into with financial institutions that guaranteed the maintenance of credit lines in the amount of approximately R$12.2 billion for a period of 36 months starting in July 2018. In September 2019, the Company and its subsidiary Seara, completed the prepayment of all loans and financing under the Normalization Agreement.

As of December 31, 2020, the debt-to-equity ratio was 2.76x (represented by current liabilities plus non-current liabilities and divided by shareholders' equity), a reduced level compared to the ratio of 2.89x as of December 31, 2019. The decrease presented in the fiscal year ended December 31, 2020 is mainly due to the increase in shareholders’ equity due to the positive impact in the amount of R$2,254.7 million in profit reserves and R$8,440.6 million in comprehensive income due mainly to accumulated translation adjustments and exchange variation on investments abroad. As of December 31, 2019, the debt-to-equity ratio was 2.89x (represented by current liabilities plus non-current liabilities and divided by shareholders' equity), a reduction compared to the ratio of 3.08x as of December 31, 2018. The decrease shown in 2019 is mainly due to the increase in shareholders' equity because of the positive impact in the amount of R$2,745.5 million in profit reserves and R$1,230.6 million in comprehensive income due mainly to accumulated translation adjustments and exchange variation on investments abroad.

Fiscal Year ended on December 31,

2020 2019 2018

Debt Ratio 2.76x 2.89x 3.08x

(b) comments by the Directors on the capital structure

The Company's Executive Board believes that the current capital structure presents adequate levels of leverage, taking into consideration its product diversification and its global production and distribution platform. The ratio of net debt (represented by current loans and financing plus non- current loans and financing and decreased by cash and cash equivalents) and shareholders’ equity at December 31, 2020 was 106.1%, at December 31, 2019 was 132.4% and at December 31, 2018 was 169.0%.

This decrease is mainly due to a reduction in net debt due to the Company's cash generation during the fiscal year ended December 31, 2020 and an increase in shareholders’ equity due mainly to the impact due to the positive impact of R$2,745.5 million in profit reserves and R$1,230.6 million in comprehensive income due mainly to accumulated translation adjustments and exchange variation on foreign investments.

Fiscal Year ended on December 31, (R$ million, except %) 2020 2019 2018 4,562.1 2,078.9 2,922.6 Current loans and financing 61,344.6 50,949.1 53,230.9 Non-current loans and financing 65,906.7 53,028.0 56,153.5 Total loans and financing 19,679.7 10,034.0 8,935.8 (-) Cash and Cash Equivalents 46,227.0 42,994.1 47,217.7 (=) Net debt 43,550.9 32,482.0 27,946.2 Shareholders’ equity 106.1% 132.4% 169.0% Net debt to shareholders’ equity ratio

In light of the reduction in loans and financing made in the fiscal years ended December 31, 2020 and 2019, the Company presented a balanced capital structure between equity and third-party capital in the proportion shown in the table below:

Fiscal Year ended on December 31, (R$ million, except %) 2020 2019 2018 Third-party capital (current liabilities + non-current 120,259.7 93,857.3 86,199.6 liabilities) Shareholders’ equity (equity) 43,550.9 32,482.0 27,946.2 Total Capital (third-party + equity) 163,810.6 126,339.4 114,145.8 Share of third-party capital 73.4% 74.3% 75.5% Share of shareholders’ equity 26.6% 25.7% 24.5%

As of December 31, 2020, the company had no redeemable shares.

The Company's need for resources refers mainly to: (i) purchase of raw materials, with the acquisition of animals and grain to feed animals for processing representing an important portion of this account; (ii) tax, labor and social obligations; (iii) payment of interest and principal on loans and financing; (iv) payment of taxes; and (v) capital expenditures related to the acquisition and maintenance of fixed assets.

The Company's main sources of funds are: (i) cash generated from operating activities and (ii) loans and financing.

The Directors believe that available cash, cash generation from operating activities and the refinancing of the Company's existing loans and financing will be sufficient to cover its liquidity requirements and financial commitments for the next 12 months.

Adjusted EBITDA for the period from January 1, 2020 to December 31, 2020, was R$29,554.6 million and net financial expenses for the same period were R$12,238.9 million. Thus, the Adjusted EBITDA presented a coverage ratio of 2.4 times the net financial expenses. The net debt balance, composed of loans and financing less cash and cash equivalents, at December 31, 2020 was R$46,227.0 million, corresponding to 1.56 times Adjusted EBITDA.

Adjusted EBITDA for the period from January 1, 2019 to December 31, 2019, was R$19,881.1 million and net financial expenses for the same period, were R$5,985.1 million. Thus, the Adjusted EBITDA presented a coverage ratio of 3.3 times the net financial expenses. The net debt balance, composed of loans and financing less cash and cash equivalents, as of December 31, 2019, was R$42,994.1 million, corresponding to 2.2 times Adjusted EBITDA.

Adjusted EBITDA for the period from January 1, 2018 to December 31, 2018, was R$14,849.8 million and net financial expenses for the same period, were R$8,282.2 million. Thus, the Adjusted EBITDA presented a coverage ratio of 1.8 times the net financial expenses. The net debt balance, composed of loans and financing less cash and cash equivalents, as of December 31, 2018, was R$47,217.7 million, corresponding to 3.2 times Adjusted EBITDA.

(d) sources of financing for working capital and for investments in non-current assets used by the company

The Directors believe that the Company's cash generation from operating activities is sufficient to meet working capital obligations and investments in non-current assets. In the event of any mismatching of cash and cash equivalents with amounts due in the short term, the Company has credit lines in the main commercial banks operating in Brazil, the United States, and other countries. The Company may also use debt issues in the local and international capital markets. e) funding sources for working capital and investment in non-current assets that the company plans to use to cover liquidity deficiencies

(f) levels of debt and the characteristics of such debt

(i) relevant loan and financing agreements

Loans and Financing

As of December 31, 2020, the loans and financing contracts totaled R$65,906.7 million, of which R$4,562.1 million represented short-term loans and R$61,344.6 million corresponded to long-term loans. On this date loans and financing agreements represented 54.8% of the current and non- current liabilities, which totaled R$120,259.7 million.

As of December 31, 2019, loans and financing agreements totaled R$53,028.0 million, of which R$2,078.9 million represented short-term loans and R$50,949.1 million corresponded to long-term loans. On this date loans and financing agreements represented 56.5% of the current and non- current liabilities, which totaled R$93,857.3 million.

As of December 31, 2018, loans and financing agreements totaled R$56,153.5 million, of which R$2,922.6 million represented short-term loans and R$53,230.9 million corresponded to long-term loans. On this date loans and financing agreements represented 65.1% of the current and non- current liabilities, which totaled R$86,199.6 million.

The Company borrows money in order to finance its operating activities as well as to adjust its capital structure to levels that the Executive Board believes to be reasonable. Long-term debt was incurred to finance the Company's growth, either through acquisitions or organic growth.

The table below shows the composition of debt as of December 31, 2020 and 2019.

Rate Current Non-current Modality Annual Currency 12.31.20 12.31.19 12.31.20 12.31.19 Average

In foreign currency ACC - Advance on exchange 3.57% US$ 703,870 - - - contract Prepayment 2.77% US$ 767,607 314,063 2,236,916 2,306,399 Notes 6.25% JBS S.A 2023 - - - 43,124 - 1,713,048 FINIMP 3.46% US$ and EUR 150,456 32,354 167,587 22,138 Credit Line - Scott 4.97% US$ 1,803 1,447 6,454 6,618 Credit Line - White Stripe 3.48% US$ 3,955 - - - Working capital - Dollar 3.64% US$ 1,971 - 17,721 - 1,629,662 390,988 2,428,678 4,048,203 In national currency FINAME 5.65% BRL 8,513 10,816 12,799 21,061 FINEP 7.39% BRL 18,138 25,575 16,345 34,367 Notes 5.875% JBS Lux 2024 - - - 97,680 - 3,619,806 Notes 5.75% JBS Lux 2025 5.75% US$ 11,329 10,141 5,442,125 4,218,570 Notes 5.75% PPC 2025 5.75% US$ 85,491 67,599 5,179,666 4,014,395 Notes 7.00% JBS Lux 2026 7.00% US$ 162,174 132,325 5,162,836 3,999,409 Notes 5.875% PPC 2027 5.87% US$ 63,436 50,319 4,358,389 3,373,784 Notes 5.75% JBS Lux 2028 5.75% US$ 99,884 74,358 3,868,766 2,996,451 Notes 6.75% JBS Lux 2028 6.75% US$ 116,635 91,823 4,644,120 3,598,496 Notes 6.50% JBS Lux 2029 6.50% US$ 95,895 76,414 7,290,513 5,656,083 Notes 5.50% JBS Lux 2030 5.50% US$ 161,768 110,844 6,444,043 4,993,702 Term loan JBS Lux 2026 2.15% US$ 115,414 101,465 9,535,082 7,448,644 Credit Line PPC - Term loan 1.40% US$ 132,448 105,149 2,188,746 1,778,933 Working capital - Reais 7.73% BRL 587 14,899 136,168 37,946 Working capital - Euros 0.84% EUR 67,058 77,552 5,407 3,828 Credit note - export 5.82% BRL 784,154 62,867 1,812,616 140,000 CDC - Direct Consumer Credit 8.91% BRL 76,063 92,119 60,983 164,072 Livestock Costing - Pre 3.46% BRL 40,178 - 59,739 - Livestock Costing 3.47% BRL 788,286 405,176 - 100,000 CRA - Certificate of 5.51% BRL 34,214 6,104 2,354,875 552,041 Agribusiness Receivables US$, EUR and Credit Line - Scott 4.53% 44,240 52,693 2,515 2,289 AUD Credit Line - Beardstown Pace 2.77% US$ 1,169 - 85,517 - JBS Australia Confinement 7.00% AUD - - 197,615 109,816 Agreement Other 1.51% Miscellaneous 25,365 21,993 57,061 37,248 2,932,439 1,687,911 58,915,926 46,900,941

4,562,101 2,078,899 61,344,604 50,949,144

The table below presents the debt payment schedule in the total amount of R$61,344.6 million, as of December 31, 2020:

Maturity 12.31.20

2022 2,615,765 2023 3,526,654 2024 1,440,808 2025 10,740,957 2026 14,279,929 Maturity after 2026 28,740,491 61,344,604 The table below shows the composition of debt as of December 31, 2019 and 2018. Current Non-current Rate Annual Average 12.31.19 12.31.18 12.31.19 12.31.18 Modality

In foreign currency ACC - Advance on exchange contract — — 634.9 — 3,095.0 Prepayment 4.50% 314.1 1,275.2 2,306.4 5,694.4 Notes 6.25% JBS S.A 2023 (1) 6.25% 43.1 75.6 1,713.0 2,993.9 Notes 7.25% JBS S.A 2024 (1) — — 53.4 — 2,901.7 Notes 7.00% JBS S.A 2026 (2) 7.00% 132.3 29.8 3,999.4 1,896.6 Notes 5.75% JBS S.A 2028 (2) 5.75% 74.4 — 2,996.5 — Credit note - import — — 2.9 — 114.8 FINIMP 3.51% 32.4 5.4 22.1 — Credit Line - Scott 4.97% 1.4 1.3 6.6 7.2 Working capital - Euro — — 22.5 — 49.5

597.7 2,101.0 11,044.1 16,753.1

In national currency ACC - Advance on exchange contract — — — — 1.1 FINAME 5.87% 10.8 35.0 21.1 55.8 FINEP 6.62% 25.6 26.9 34.4 60.2 Notes 7.25% JBS Lux 2021 (3) — — 15.0 — 2,548.1 Notes 5.875% JBS Lux 2024 (3) 5.88% 97.7 78.7 3,619.8 2,891.8 Notes 5.75% JBS Lux 2025 (3) 5.75% 10.1 8.9 4,218.6 3,465.9 Notes 5.75% PPC 2025 (4) 5.75% 67.6 65.6 4,014.4 3,856.2 Notes 5.875% PPC 2027 (4) 5.88% 50.3 48.9 3,373.8 3,236.9 Notes 6.75% JBS Lux 2028 (3) 6.75% 91.8 88.9 3,598.5 3,455.8 Notes 6.50% JBS Lux 2029 (3) 6.50% 76.4 — 5,656.1 — Notes 5.50% JBS Lux 2030 (3) 5.50% 110.8 — 4,993.7 — Term loan JBS Lux 2026 3.70% 101.5 172.5 7,448.6 12,418.6 Credit Line PPC - Term loan 2.93% 105.1 110.6 1,778.9 1,799.4 Working capital - Reais 9.10% 14.9 4.6 37.9 135.7 Working Capital - US Dollars — — — — 174.1 Working capital - Euros 1.04% 77.6 56.2 3.8 5.0 Credit note - export 5.96% 62.9 28.7 140.0 1,811.4 CDC - Direct Consumer Credit 11.24% 92.1 28.0 164.1 127.2 Livestock Costing 4.79% 405.2 10.2 100.0 315.5 Credit Line - Scott 4.95% 52.7 16.9 2.3 3.8 JBS Australia Confinement Agreement 7.00% — — 109.8 73.7 CRA - Agribusiness Receivables 5.58% 6.1 — 552.0 — Certificates Other 1.65% 22.0 25.9 37.2 41.7

1,481.2 821.6 39,905.1 36,477.8

2,078.9 2,922.6 50,949.1 53,230.9 ______(1) These notes were issued by JBS Investments GmbH and are fully and unconditionally guaranteed by the Company.

(2) These notes were issued by JBS Investments II GmbH and are fully and unconditionally guaranteed by the Company.

(3) These notes were issued by JBS USA, JBS USA Food Company and JBS USA Finance, Inc. and are fully and unconditionally guaranteed by the Company, certain of the intermediate parents of JBS USA and certain subsidiaries of JBS USA.

(4) These notes were issued by PPC and are guaranteed by Pilgrim's Pride Corporation of West Virginia, Inc., Gold'n Plump Poultry, LLC, Gold'n Plump Farms, LLC and JFC LLC. The table below shows the debt payment schedule for the total amount of R$53,028.0 million, calculated as of December 31, 2019:

Consolidated Maturity 12.31.2019 AV Current 2,078.9 3.9% 2021 988.4 1.9% 2022 930.1 1.8% 2023 4,060.6 7.7% 2024 4,861.9 9.2% 2025 8,314.7 15.7% Maturity after 2025 2,078.9 3.9% 53,028.0 100.0%

The table below shows the debt payment schedule for the total amount of R$56,153.5 million, calculated as of December 31, 2018:

Consolidated Maturity 12/31/2018 AV

Current 2,922.6 5.2% 2020 483.7 0.9% 2021 13,120.0 23.4% 2022 13,294.7 23.7% 2023 4,535.4 8.1% Maturity after 2023 21,797.1 38.8% 56,153.5 100%

The Directors believe that the funds available to the Company at December 31, 2020 are sufficient to meet liquidity requirements for the next 12 months.

Financial Contracts

As of the date of this Reference Form, the most relevant financial contracts in effect are described in the table below, including with regard to any contractual restrictions imposed on the Company. To date, and to the best of management's understanding, these clauses are being complied with by the Company.

Issuers and Modality Default Events Guarantors

- JBS S.A.; - JBS Global Luxembourg S.à r.l.; - JBS Global Meat Holdings Pty. Limited (successor to Burcher Pty. Limited); - JBS USA Food Company Holdings; - JBS USA Food Company; - JBS Ansembourg Holding Default events (1) and includes failure to maintain collateral documents and priority. JBS Lux Senior Secured S.à r.l.; If a default event occurs, debtors may, among other options, terminate the Credit Line - JBS Luxembourg S.à r.l.; commitment, declare the entire balance due and paid, along with the accrued

- JBS USA Holding Lux; interest. - JBS Australia Pty Ltd; - JBS Food Canada ULC; - All national subsidiaries (American) of JBS USA (with the exception of JBS Wisconsin Properties LLC and some other non-material subsidiaries).

- JBS S.A; - - JBS Global Luxembourg S.à - r.l.; - - JBS Global Meat Holdings - Pty. Limited (successor to - Burcher Pty. Limited); - - JBS USA Food Company - Holdings; - - JBS USA Food Company; Term loan JBS Lux 2026 Default events (1), listed under the Amended and Restated Revolving Line. - - JBS Ansembourg Holding - S.à r.l; - - JBS Luxembourg S.à r.l.; and - - Each subsidiary - that guarantee the JBS Lux - Senior Secured Credit Line - (subject to certain - exceptions).

- - JBS S.A.; Notes 5.75% - - JBS Global Luxembourg S.à JBS Lux 2025 - r.l.; - - JBS Global Meat Holdings Notes 7.00% - Pty. Limited (successor to JBS Lux 2026 Burcher Pty. Limited); - - - JBS Investments II GmbH; Notes 5.75% The indenture to the Notes provides for the usual default events (1). If an event that - JBS USA Food Company JBS LUX 2028 - default occurs, the trustee or the holders of at least 25% of the total principal - Holdings; amount of the notes then outstanding may declare immediately due the principal Notes 6.75% - - JBS USA Food Company; and accrued interest on the notes. JBS Lux 2028 - - JBS Ansembourg Holding; The notes are unsecured debts. - S.à r.l Notes 6.50% - - JBS Luxembourg S.à r.l.; JBS Lux 2029 - - Each of the subsidiaries guaranteeing the JBS Lux Notes 5.50% Senior Secured Credit Facility JBS Lux 2030 (subject to certain - exceptions). Notes 5.75% Default events(1). PPC 2025 - PPC; If an event that default occurs, the trustee or the holders of at least 25% of the total One of the PPC subsidiaries. principal amount of the notes then outstanding may declare immediately due the Notes 5.875% principal and accrued interest on the notes. PPC 2027 The notes are unsecured debts.

Credit Line PPC - Term loan - PPC; (1) - Some of the PPC Default events . PPC credit line - subsidiaries. Revolving credit - - Moy Park Limited - - Moy Park (NewCo) Limited - - Moy Park (Bondco) plc Moy Park credit line - - Kitchen Range Foods - Default events(1). Revolving Credit Limited - - Moy Park Holdings (Europe) - Limited.

- - P&M Quality Small Goods - Pty. Ltd. - - Australian Consolidated Food - Holdings Pty Limited - - Australian Consolidated Food Default events(1). Upon the occurrence of a default event, the lenders, among other Primo ANZ Credit Line - Investments Pty Limited options, can cancel the commitments under the credit line, declare the entire loan - - Primo Group Holdings Pty and accrued interest due, or change the terms of the credit line. - Limited - - Primo Meats Pty. Ltd. - - Certain subsidiaries of Primo - Meats Pty Ltd.

(1) Practical default events include breach or non-compliance with terms, contractual restrictions or other covenants provided for in such credit facility, default on other debt if the effect is to cause prepayment, default on other debt forgiven or extended within the limits of the applicable grace period, issuance of court judgments or unfavorable rulings against the issuer or its subsidiaries, and certain events related to bankruptcy and insolvency matters.

The Company presents below the main features of the relevant loan and financing agreements in force as of December 31, 2020:

ABL Revolving Facility

On October 12, 2018, JBS USA, JBS USA Food Company, JBS Australia and JBS Canada entered into a senior secured revolving credit facility, or ABL Revolving Facility, with Royal Bank of Canada, as administrative and guarantor agent, and other lenders. The ABL Revolving Facility has a maximum loan availability of US$900.0 million, available in three tranches of US$650.0 million, US$175.0 million and US$75.0 million, subject to a borrowing base. The ABL Revolving Facility expires on October 12, 2023. Up to US$250.0 million from the ABL Revolving Facility is available for the issuance of letters of credit. The loans bear interest at the applicable floating rate or at the applicable base interest rate or prime rate plus applicable margins that are based on the use of the ABL Revolving Facility.

The availability of the ABL Revolving Facility is subject to a borrowing base. The borrowing base is based on the assets of all American subsidiaries of JBS USA, excluding certain subsidiaries. The borrowing base consists of percentages of eligible accounts receivable, inventory and supplies less certain eligibility and availability reserves. As of December 31, 2020, there was U$44.0 million in letters of credit and loan availability of US$853.2 million. As of December 31, 2020, the interest rate on the ABL Revolving Facility was 3.5%. The loans under the ABL Revolving Facility are guaranteed by the Company, certain of JBS USA's intermediate parent companies and certain of its U.S. subsidiaries. The loans in the ABL Revolving Facility are secured by a first priority lien of receivables, finished goods and supply inventories of certain subsidiaries of JBS USA and a second priority lien of the assets securing the Senior Secured Term Loan.

Senior Secured Term Loan

On May 1, 2019 (as amended on December 12, 2019), JBS USA entered into a new loan agreement that allowed borrowings in the principal amount of US$1.9 billion and had a final maturity date of May 2026.

The Senior Secured Term Loan is guaranteed by the Company, certain of JBS USA's intermediate parent companies and each of the subsidiaries in the USA that guarantee the ABL Revolving Facility (subject to certain exceptions). The Senior Secured Term Loan is secured by an interest in all of the fixed assets of JBS USA and certain of the subsidiaries of JBS USA and 100% of the capital stock of JBS USA and the capital stock of certain subsidiaries of JBS USA and a second asset collateral securing the ABL Revolving Facility.

Loans under the terms of the Senior Secured Term Loan can have an Alternate Base Rate (Alternate Base Rate or ABR), loans or Eurodollar loans. Interest on ABR loans is based on ABR plus 1.50% with an ABR floor of 1.00% or interest on Eurodollar loans is based on LIBOR plus 2.50% with a LIBOR floor of 0.00%. Interest on ABR loans is paid on the last day of each calendar quarter, while interest on Eurodollar loans is paid at the end of the associated interest period.

As of December 31, 2020, the interest rate was 2.1%. The principal balance of the Senior Secured Term Loan will mature in 2026.

PPC Credit Facility

On July 20, 2018, PPC and certain of its subsidiaries entered into the Fourth Amended and Restated Credit Agreement, or the PPC Credit Facility, with CoBank, ACB, as administrative and guarantor agent, and other creditors. The PPC Credit Facility provides: (1) a revolving credit facility in the aggregate principal amount of US$750.0 million, subject to a borrowing base, or the 2023 Revolving Loan; and (2) a term loan commitment of up to US$500.0 million, or the 2023 Term Loan. The PPC Credit Facility also includes a feature that allows PPC, at any time, to increase aggregate revolving loan and term loan commitments by up to an additional US$1.25 billion, subject to the satisfaction of certain conditions, including obtaining the agreement of lenders to participate in the increase. The 2023 Revolving Loan under the PPC Credit Facility matures on July 20, 2023. From January 3, 2019, the 2023 Term Loan is payable in quarterly installments equal to 1.25% of the principal outstanding at closing, with the remaining principal and interest due at maturity.

The PPC Credit Facility includes a US$75.0 million sublimit for balance sheet line loans and a US$125.0 million sublimit for letters of credit. The balance of loans under the 2023 Revolving Loan and the 2023 Term Loan bear interest at an annual rate equal to (1) in the case of LIBOR loans, the applicable LIBOR plus applicable margins based on PPC's net senior secured leverage ratio between LIBOR plus 1.25% and LIBOR plus 2.75%, and (2) in the case of loans alternative to the prime rate, applicable prime rate plus applicable margins based on PPC's net senior secured leverage ratio (PPC's net senior secured leverage ratio), between the prime rate plus 0.25% and the prime rate plus 1.75%. All obligations under the PPC Credit Facility are unconditionally guaranteed by certain subsidiaries of PPC and by a priority lien of: (1) receivables and inventory of PPC and its non-Mexico subsidiaries; (2) 100% of the equity interests in PPC's domestic subsidiaries, To-Ricos, Ltd. and To- Ricos Distribution Ltd, and 65% of the equity interests in PPC's direct foreign subsidiaries; (3) substantially all of the properties and intangibles of the borrowers and guarantors under the New PPC Credit Facility and (4) substantially all of the real estate and fixed assets of PPC and the guarantors of the New PPC Credit Facility.

As of December 31, 2020, PPC had balances under the 2023 Term Loans totaling US$450.0 million and the amount available for borrowing under the revolving loan commitment was US$710.3 million. PPC had letters of credit of $39.7 million and no balance under the revolving loan commitment as of December 31, 2020.

Seara Export Prepayment Facility

On September 23, 2016, Seara, as debtor, and the Company, as guarantor, entered into the Seara Export Prepayment Facility Agreement. The loans under the Seara Export Prepayment Facility Agreement were disbursed in two tranches, one in September 2019, and one in October 2019, in the aggregate amount of US$650.0 million. The loans bear interest at an annual rate equivalent to LIBOR (six-month duration) plus an applicable margin ranging from 2.5% to 5.0% depending on the ratio of the Company's net debt to EBITDA. The outstanding principal amount of the loan will be paid back in nine semiannual installments, beginning the year following the date of disbursement. The loans mature in September 2024. The Seara Export Prepayment Facility Agreement contains customary obligations (negative covenants) that may limit the ability of the Company and its subsidiaries, including Seara, to incur additional indebtedness, create certain additional liens, and sell, lease or dispose of certain assets, among others. The contract also provides for customary events of default, such as default in payments, failure to fulfill obligations or terms provided for in the contract. The loans are guaranteed by pledge of Seara's inventories and biological assets. As of December 31, 2020, the aggregate principal amount outstanding related to the Seara Export Prepayment Facility Agreement was US$582.1.0 million.

Contractual Obligations

The following table summarizes the loans and financing, estimated interest on loans and financing, payments related to plant acquisition, finance lease obligation, operating lease obligations and other purchase obligations as of December 31, 2020 that have a significant impact on the Company's liquidity.

Contractual Obligations Less than 1 Between 1 Between 4 More than 5 Total (in millions of Reais) year and 3 years and 5 years years (in millions of Reais) Loans and financing (1)...... 4,562.1 6,142.4 12,181.8 43,020.4 65,906.7 Estimated interest on loans and financing 3,014.9 6,217.8 5,573.8 5,868.0 20,674.5 (2)......

Derivatives...... 287.5 - - - 287.5 Commitments to third parties (3)...... 45.6 5.0 - - 50.6 Purchase obligations (4)...... 41,702.5 46,209.5 35,898.0 42,498.9 166,309.0 Total...... 49,612.6 58,574.7 53,653.6 91,387.3 253,228.3 (1) Includes accrued and unpaid interest as of December 31, 2020. (2) Includes interest on all loans and financing. The payments are estimated considering variable rates and terms based on the effective interest as of December 31, 2020 and the expected payment dates. (3) Includes obligations related to the acquisition of industrial units and/or obligations arising from the acquisition of companies. (4) It includes contracts for the purchase of goods or services that are enforceable and legally binding and that specify all significant terms, including minimum or fixed purchase quantities; minimum or variable price provisions; and the approximate schedule. The purchase obligation amounts include items such as future purchases of live animals, grains, and payments to integrators. The amounts exclude future commitments from contracts that are authorized, cancelable or contain termination clauses without penalties. Future minimums of non-cancelable bonds with terms over one year.

(ii) other long-term relationships with financial institutions

The Company has other long-term relationships with financial institutions in order to maintain the normal conduction of its business, such as agreements with financial institutions with the objective of promoting access to credit for rural producer partners responsible for raising poultry and swine to finance the expansion and improvement of its operations, as well as agreements with financial institutions for the payment of salaries and benefits of its employees.

Additionally, the Company has agreements with some financial institutions with the objective of improving its working capital management through the selling of credits held by the Company against certain clients in the domestic and foreign markets, and also by facilitating the anticipation of credits that its suppliers have against the Company.

The Company may also use derivative transactions in order to hedge its exposure to certain market variations.

(iii) level of subordination between the Company's debts

There is no level of contractual subordination among the Company's unsecured loans and financing. The loans and financing that have real guarantees count on the preferences and prerogatives foreseen by law.

As of December 31, 2020, a portion of the loans and financing, in the amount of R$12,413.7 million presented real guarantees, which can be classified basically into three types: (i) trade bills receivable and inventories; (ii) letter of guarantee; (iii) mortgage and pledge on fixed assets. On the same date, a portion of the loans and financing, in the amount of R$53,493.0 million, was made up of unsecured contracts.

(iv) restrictions imposed on the Company, particularly, in relation to limits of debt and assumption of new debts, payment of dividends, sale of assets, issue of new securities and sale of company control, as well as whether the issuer has been complying with these restrictions.

As of the date of this Reference Form, we are in compliance with all obligations under our loan and financing agreements.

These obligations refer to certain restrictions, including compliance with financial ratios, distribution of dividends, disposal of assets and disposal of corporate control, among other usual market clauses, as described below:

Modality: JBS Lux Senior Secured Credit Line Issuers and Guarantors: . JBS S.A.; . JBS Global Luxembourg S.àr.l.; . JBS Global Meat Holdings Pty. Limited (successor to Burcher Pty. Limited); . JBS USA Food Company Holdings; . JBS USA Food Company; . JBS Ansembourg Holding S.à r.l.; . JBS Luxembourg S.à r.l.; . JBS USA Holding Lux; . JBS Australia Pty Ltd; . JBS Food Canada ULC; . All national (American) subsidiaries of JBS USA (with the exception of JBS Wisconsin Properties LLC and certain other non-material subsidiaries).

Covenants / Guarantees: . The loans contain first priority liens over receivables, finished goods inventories, and input inventories. . The loans contain customary representations and a restrictive clause that requires a minimum debt service coverage ratio of 1.00 to 1.00. This index is applicable only if the availability of the loans is less than the greater of 10% of the maximum loan amount and US$70 million. . Additionally, there are covenants that may restrict JBS Lux and some of its subsidiaries, among other things, in: o incurring additional debt; o creating encumbrances on fixed assets, revenues and assets; o making certain investments and loans; o selling or disposing of assets; o declaring or paying any dividends or making any distributions in connection with securities issued by the Company (excluding debt instrument convertible into or exchangeable for such securities), if: (i) there has been no event of default on the Notes; (ii) the Company can incur at least US$1.00 of debt under the net debt/EBITDA test set forth in the indenture to the Notes; and (iii) the total amount to be paid does not exceed a. US$30 million; b. 50% of the aggregate net income calculated on a cumulative basis during the period (as stated in the indenture), or if the aggregate net income is a loss, less 100% of the amount of the loss; c. 100% of the cash received from the issuance or selling of its equity interests or other capital contributions subsequent to the date of issuance of the Notes; d. 100% of the fair market value of properties, other than cash, received as of the date of issuance or selling of its equity interests or other capital contributions subsequent to the date of issuance of the Notes; o paying off or canceling certain debts early; o consolidating or merging or selling all assets to another company; o entering into joint ventures (except where permitted) or creating other subsidiaries; o creating new lines of business; o entering into transactions with related parties; o restricting subsidiaries from distributing dividends; o giving real guarantees in favor of other creditors; and o entering into sale leaseback transactions. Modality: Term loan JBS Lux 2026 Issuers and Guarantors: . JBS S.A.; . JBS Global Luxembourg S.àr.l.; . JBS Global Meat Holdings Pty. Limited (successor to Burcher Pty. Limited); . JBS USA Food Company Holdings; . JBS USA Food Company; . JBS Ansembourg Holding S.à r.l.; . JBS Luxembourg S.à r.l.; . Each of the subsidiaries guaranteeing the JBS Lux Senior Secured Credit Facility (subject to certain exceptions).

Covenants / Guarantees: . First priority liens on all fixed assets of JBS Lux and certain subsidiaries of JBS Lux. . Additionally, there are covenants that may restrict JBS Lux and some of its subsidiaries, among other things, in: o incurring additional debt; o creating encumbrances on fixed assets, revenues and assets; o making certain investments and loans; o selling or disposing of assets; o declaring or paying any dividends or make any distributions in connection with securities issued by the Company (excluding debt instrument convertible into or exchangeable for such securities), if: (i) there has been no event of default on the Notes; (ii) the Company can incur at least US$1.00 of debt under the net debt/EBITDA test set forth in the indenture to the Notes; and (iii) the total amount to be paid does not exceed a. US$30 million; b. 50% of the aggregate net income computed on a cumulative basis during the period (as stated in the indenture), or if the aggregate net income is a loss, less 100% of the amount of the loss; c. 100% of the cash received from the issuance or selling of its equity interests or other capital contributions subsequent to the date of issuance of the Notes; d. 100% of the market value of property, other than cash, received as of the date of issuance or selling of its equity interests or other capital contributions subsequent to the date of issuance of the Notes; o paying off or canceling certain debts early; o consolidating or merging or selling all assets to another company; o entering into joint ventures (except where permitted) or creating other subsidiaries; o creating new lines of business; o entering into transactions with related parties; o restricting subsidiaries from distributing dividends; o giving real guarantees in favor of other creditors; and o entering into sale leaseback transactions.

Modality: . Notes 5.75% JBS Lux 2025 . Notes 7.00% JBS Lux 2026 . Notes 5.75% JBS Lux 2028 . Notes 6.75% JBS Lux 2028 . Notes 6.50% JBS Lux 2029 . Notes 5, 05% JBS Lux 2030

Issuers and Guarantors: . JBS S.A.; . JBS Global Luxembourg S.àr.l.; . JBS Global Meat Holdings Pty. Limited (successor to Burcher Pty. Limited); . JBS Investments II GmbH; . JBS USA Food Company Holdings; . JBS USA Food Company; . JBS Ansembourg Holding S.à r.l.; . JBS Luxembourg S.à r.l.; . Each of the subsidiaries guaranteeing the JBS Lux Senior Secured Credit Facility (subject to certain exceptions).

Covenants / Guarantees: There are covenants that may restrict JBS Lux and some of its subsidiaries, among other things in: . incurring additional debt; . creating ecumbrances; . selling or disposing of assets; . declaring or paying any dividends or make any distributions in connection with securities issued by the Company (excluding debt instrument convertible into or exchangeable for such securities), if: (i) there has been no event of default on the Notes; (ii) the Company can incur at least US$1.00 of debt under the net debt/EBITDA test set forth in the indenture to the Notes; and (iii) the total amount to be paid does not exceed a. US$30 million; b. 50% of the aggregate net income computed on a cumulative basis during the period (as stated in the indenture), or if the aggregate net income is a loss, less 100% of the amount of the loss; c. 100% of the cash received from the issuance or selling of its equity interests or other capital contributions subsequent to the date of issuance of the Notes; d. 100% of the market value of property, other than cash, received as of the date of issuance or selling of its equity interests or other capital contributions subsequent to the date of issuance of the Notes; . allowing the restriction of the distribution of dividends or other restricted payments by its restricted subsidiaries; . paying off or canceling certain debts early; . entering into transactions with related parties; . entering into sale leaseback transactions; and . carrying out a change of control without making a repurchase offer for the notes.

Modality: . Notes 5.75% PPC 2025 . Notes 5.875% PPC 2027

Issuers and Guarantors: . PPC . One of the PPC subsidiaries

Covenants / Guarantees: There are covenants that may restrict PPC and some of its subsidiaries, among other things in: . incurring additional debt; . creating encumbrances; . declaring or paying any dividends or make any distributions in connection with securities issued by the Company (excluding debt instrument convertible into or exchangeable for such securities), if: (i) there has been no event of default on the Notes; (ii) the Company can incur at least US$1.00 of debt under the net debt/EBITDA test set forth in the indenture to the Notes; and (iii) the total amount to be paid does not exceed a. US$30 million; b. 50% of the aggregate net income computed on a cumulative basis during the period (as stated in the indenture), or if the aggregate net income is a loss, less 100% of the amount of the loss; c. 100% of the cash received from the issuance or selling of its equity interests or other capital contributions subsequent to the date of issuance of the Notes; d. 100% of the market value of property, other than cash, received as of the date of issuance or selling of its equity interests or other capital contributions subsequent to the date of issuance of the Notes; . selling or disposing of assets; . entering into transactions with determined related parties; and . consolidating or merging or substantially disposing of all of PPC's assets.

Modality: . Credit Line PPC - Term loan . PPC credit line - Revolving Credit

Issuers and Guarantors: . PPC . One of the PPC subsidiaries

Covenants / Guarantees:

. First priority lien on: i) accounts receivable and inventories of PPC and its non-Mexican subsidiaries, ii) 100% ownership interest in PPC's domestic subsidiaries, To-Ricos Ltd. E To-Ricos Distribution Ltd. and 65% of PPC's equity interests in foreign direct subsidiaries, iii) substantially all of the personal property and intangibles of the lenders and guarantors and iv) substantially all of the property and equipment of PPC and the guarantors.

Additionally, there are covenants that may restrict PPC and some of its subsidiaries, among other things in: . incurring additional debt; . creating encumbrances; . paying certain dividends and other restricted payments; . selling or disposing of determined assets; . entering into transactions with determined related parties; and . consolidating or merging or substantially disposing of all of PPC's assets.

In addition, it is required that funds received from the selling of certain assets and borrowings under certain lines of indebtedness, must be used to pay down the balance of the US Credit Line - PPC. Further, PPC cannot incur capital expenditures in excess of US$500 million in any fiscal year.

Modality: . Moy Park credit line - Revolving Credit

Issuers and Guarantors: . Moy Park Limited . Moy Park (NewCo) Limited . Moy Park (Bondco) plc . Kitchen Range Foods Limited . Moy Park Holdings (Europe) Limited.

Covenants / Guarantees:

The credit line contains contractual restrictions that may limit the ability of Moy Park and certain of its subsidiaries, among other things, in:

. incurring additional debt; . creating encumbrances; . paying certain dividends and other restricted payments; . selling or disposing of determined assets; . entering into transactions with determined related parties; and . consolidating, merging or substantially disposing of all of Moy Park's assets.

Modality: . Primo ANZ Credit Line

Issuers and Guarantors: . P&M Quality Small Goods Pty. Ltd. . Australian Consolidated Food Holdings Pty Limited . Australian Consolidated Food Investments Pty Limited . Primo Group Holdings Pty Limited . Primo Meats Pty. Ltd. . Certain subsidiaries of Primo Meats Pty Ltd.

Covenants / Guarantees:

The credit line contains contractual restrictions that may limit the ability of Primo and certain of its subsidiaries, among other things, in:

. selling or disposing of certain assets; . changing the general nature of the company's main business . incurring additional debt; . creating encumbrances; . paying certain dividends, share premiums or share buybacks.

(g) limits on the use of financing contracted and percentages already used

As of December 31, 2020, JBS had a total of R$65.9 billion in loans and financing. Additionally, JBS USA has US$2.0 billion available in revolving and secured credit facilities, equivalent to R$10.4 billion at the December 31, 2020 exchange rate.

h) significant changes in each item of the accounting statements

Fiscal year ended December 31, 2020 compared to fiscal year ended December 31, 2019

Var 12.31.2020 %NR 12.31.2019 %NR Var (R$) Consolidated Statement of Income (R$ million) (%)

103.2 103.2 GROSS OPERATING REVENUE FROM SELLING 278,734.5 % 211,163.1 % 32.0% 67,571.4 Domestic market 208,377.4 77.1% 156,947.2 76.7% 32.8% 51,430.2 Foreign market 70,357.1 26.0% 54,215.9 26.5% 29.8% 16,141.1

SELLING DEDUCTIONS (8,530.3) -3.2% (6,639.5) -3.2% 28.5% (1,890.7)

Returns and discounts (5,862.1) -2.2% (4,583.2) -2.2% 27.9% (1,279.0)

Taxes on selling (2,668.1) -1.0% (2,056.4) -1.0% 29.8% (611.8)

100.0 100.0 NET REVENUE 270,204.2 % 204,523.6 % 32.1% 65,680.6

Cost of goods sold (224,985.9) -83.3% (172,577.2) -84.4% 30.4% (52,408.7) GROSS PROFIT 45,218.3 16.7% 31,946.4 15.6% 41.5% 13,272.0

OPERATING REVENUE (EXPENSES) (24,768.7) -9.2% (18,497.6) -9.0% 33.9% (6,271.1)

General and administrative (10,792.3) -4.0% (7,313.1) -3.6% 47.6% (3,479.2)

With selling (14,481.5) -5.4% (11,468.9) -5.6% 26.3% (3,012.5) 101.4 Other expenses (333.6) -0.1% (165.6) -0.1% % (167.9) Other revenues 838.6 0.3% 450.0 0.2% 86.4% 388.6 OPERATING PROFIT (LOSS) 20,449.6 7.6% 13,448.7 6.6% 52.1% 7,000.9

Financial revenue 3,557.4 1.3% 2,081.8 1.0% 70.9% 1,475.6

Financial expenses (15,796.3) -5.8% (8,066.9) -3.9% 95.8% (7,729.4) 104.5 Net Financial Result (12,238.9) -4.5% (5,985.1) -2.9% % (6,253.8)

Equity income 53.5 0.0% 34.2 0.0% 56.5% 19.3

RESULT BEFORE INCOME TAX AND SOCIAL CONTRIBUTION PROVISION 8,264.2 3.1% 7,497.8 3.7% 10.2% 766.4

115.0 Current income tax and social contribution (2,387.0) -0.9% (1,110.0) -0.5% % (1,277.0)

Deferred income tax and social contribution (1,222.2) -0.5% 77.1 0.0% - -

NET INCOME 4,654.9 1.7% 6,464.9 3.2% -28.0% (1,809.9)

ATTRIBUTED TO:

Controlling interest 4,598.3 1.7% 6,068.4 3.0% -24.2% (1,470.1)

Non-controlling interest 56.6 0.0% 396.5 0.2% -85.7% (339.8)

Consolidated Results of Operations Net Income

Net Income

Fiscal Year ended on December Variation (R$ million, except %) 31, 2019 2019 %

Net income 4,654.9 6,464.9 (1,809.9) -28.0%

Gross profit as a percentage of net revenue 16.7% 15.6% 1.1 p.p. -

Net income as percentage of net revenue 1.7% 3.2% -1.5 p.p. -

For the reasons described below, the Company recorded net income of R$4,654.9 million in the fiscal year ending December 31, 2020 and net income of R$6,464.9 million in 2019. Net income as a percentage of revenue was 1.7% for the fiscal year ended December 31, 2020. For the fiscal year ending December 31, 2019, net income as a percentage of revenue was 3.2%.

Net Revenue Fiscal Year ended on December Variation (R$ million, except %) 31, 2020 2019 %

Net revenue...... 270,204.2 204,523.6 65,680.6 32.1%

Organic net revenue...... 214,075.2 193,603.1 21,734.7 11.3%

Impact of acquisitions...... 8,416.1 1,262.7 7,153.4 566.5%

Impact of divestitures...... - - - -

Effect of exchange rate variation...... 47,713.0 10,920.4 36,792.6 336.9%

The Company's net revenue increased by R$65,680.6 million or 32.1% for the fiscal year ended December 31, 2020 compared to 2019. Net revenue was impacted by:

 Organic Net Revenue - Organic net revenue was positively impacted by average price increases in all segments in which the Company operates, coupled with increases in volumes sold from the Seara, Pork USA and Chicken USA segments, partially offset by lower volumes sold from the JBS Brazil and Beef USA segments;

 Impact of Acquisitions - Net revenue was positively impacted by the acquisition of Tulip's operations in the United Kingdom, completed on October 15, 2019, Marba and Bunge's margarine unit, completed on December 23, 2019 and November 30, 2020, and the acquisition of Empire Packing in the United States, completed on June 6, 2020.

 Effect of Exchange Variation - Net revenue increased by R$47,713.0 million, mainly as a result of the depreciation of the Brazilian Real against the US dollar resulting in gains in the consolidation of operations in the United States.

Cost of Goods Sold

Fiscal Year ended on December Variation (R$ million, except %) 31, 2020 2019 %

Cost of Goods Sold 224,985.9 172,577.2 52,408.7 30.4%

Gross Profit 45,218.3 31,946.4 13,272.0 41.5%

Cost of goods sold as a percentage of net 83.3% 84.4% - - revenue

The Company's cost of goods sold increased by R$52,408.7 million, or 30.4% in the fiscal year ended December 31, 2020 compared to 2019. The cost of goods sold was mainly impacted by: (1) effect of exchange rate variation, mainly as a result of the depreciation of the Brazilian Real against the US dollar and its impacts on the consolidation of operations in the United States; (2) an increase in operating costs related to the increase in volume produced; (3) an increase in operating costs, mainly as a result of the increase in raw material prices in some regions where the Company operates; and (4) by the increase related to acquisitions completed over 2019 and 2020.

For a discussion of operating costs by segment, see "Segment Results." General and Administrative and Other Expenses

Fiscal Year ended on December Variation (R$ million, except %) 31, 2020 2019 %

General and administrative expenses 10,792.3 7,313.1 3,479.2 47.6%

General and administrative expenses as a 4.0% 3.6% - - percentage of net revenue

The Company's general and administrative expenses increased by R$3,479.2 million, or 47.6% in the fiscal year ended December 31, 2020 compared to 2019. The growth in general and administrative expenses is due, in addition to the impact of exchange rate variation on the consolidation of the United States operations, to the donations in the “Doing Good Does Good” program, which totaled R$300.5 million, and to the agreements signed by the Company and its subsidiary Pilgrim's Pride Corporation with the SEC and the US Department of Justice, DoJ, totaling R$1,150.9 million, as well as to the acquisitions completed at the end of 2019 and throughout 2020.

Selling Expenses

Fiscal Year ended on December Variation (R$ million, except %) 31, 2020 2019 %

Selling expenses 14,481.5 11,468.9 3,012.5

Selling expenses as a percentage of selling 5.4% 5.6% - - revenue

The Company's selling expenses increased by R$3,012.5 million, or 26.3% in the fiscal year ended December 31, 2020 compared to 2019. Selling expenses were impacted by: (1) an increase in freight expenses; (2) an increase in advertising and marketing expenses; (3) the effect of exchange rate variation, mainly as a result of the depreciation of the Brazilian Real against the US dollar and its impacts on the consolidation of operations in the United States; and (4) by the increase related to acquisitions completed at the end of 2019 and throughout 2020.

Net Financial Expenses

Fiscal Year ended on December Variation (R$ million, except %) 31, 2020 2019 %

Net financial expenses (12,238.9) (5,985.1) (6,253.8) 104.5%

Result of active and passive exchange (7,846.1) (1,393.3) (6,452.7) 463.1% variations

Fair value adjustment of derivatives (319.3) (91.3) (228.0) 249.8%

Interest liabilities (4,770.3) (4,532.1) (238.1) 5.3%

Interest income 1,004.7 465.1 539.5 116.0%

Taxes, contributions, tariffs and others (308.0) (433.5) 125.5 -29.0%

Net financial expenses increased by R$6,253.8 million, or 104.5% for the fiscal year ended December 31, 2020 compared to 2019, primarily by:

 Exchange Variation - exchange variation expense during the fiscal year ended December 31, 2019 was R$1,393.3 million compared to an exchange variation expense of R$7,846.1 million in 2020, as a result of the depreciation of the Brazilian Real against foreign currencies in these periods;

 Risk Management Activities - the expense for results from derivative transactions was R$91.3 million during the fiscal year ended December 31, 2019 and R$319.3 million in 2020. These amounts result from operations with derivatives related to the practice of protecting exposure against the devaluation of the real adopted by the Company;

 Interest Liabilities - a 5.3% increase in interest expense, mainly due to the exchange rate impact of the translation of interest on the Company's US dollar-denominated debts; considering the interest on dollarized debts, the "interest liabilities" item would have had a reduction of US$107.2 million.

 Interest Income - a 116.0% increase in interest income; and

 Taxes, Contributions, Charges and others - a 29% increase in bank charges and other expenses, mainly as a result of the payment of premiums related, in the Parent Company, to the redemption of notes due in 2023 in the amount of R$23.7 million and, in Consolidated, to the redemption of notes due in 2024 in the amount of R$71 million.

Current and Deferred Income Tax and Social Contribution

Fiscal Year ended on December Variation (R$ million, except %) 31, 2020 2019 % Result before provision for income tax and 8,264.2 7,497.8 766.4 10.2% social contribution

Nominal rate (34%) (34%) - -

Expected benefit (expense) (2,809.8) (2,549.3) 260.5 10.2%

Current income tax and social contribution (2,378.2) (1,110.0) 1,277.0 115.0%

Deferred income tax and social contribution (1,222.2) 77.1 - -

Total tax expenses (3,600.4) (1,032.9) (2,567.5) 248.6%

The nominal income tax rate in Brazil is 34%, however the Company's effective tax rate may vary from period to period based primarily on fluctuations in taxable income generated by each of its foreign subsidiaries, as well as differences in nominal rates and tax credits generated from taxes paid in each of these foreign subsidiaries, which can be used to offset income tax and social contribution on profit due in Brazil.

In the fiscal years ending December 31, 2020 and 2019, the effective income tax rates were different from the nominal income tax rate in Brazil due to the recognition of some permanent differences, such as credits from paid guides arising from foreign subsidiaries, deductions due to intercompany financing resulting from the reorganization that occurred at JBS USA, difference in rates on results earned by foreign subsidiaries, and non-taxable interest in foreign subsidiaries. The Company expects that its effective rate will continue to fluctuate in the future because of the impacts of deductions for intercompany financing and other items.

Segment Results

Fiscal Year ended on December 31, Variation (R$ million, except %) 2020 2019 % 270,204.2 204,523.6 65,680.6 32.1% Net revenue

Brazil Segment...... 41,707.3 31,960.1 9,747.2 30.5%

Seara Segment...... 26,730.8 20,360.9 6,369.9 31.3%

Beef USA Segment...... 112,120.3 87,202.6 24,917.7 28.6%

Pork USA Segment...... 32,171.1 23,469.0 8,702.0 37.1%

Chicken USA Segment...... 62,227.7 45,005.9 17,221.8 38.3%

Other Segment...... 2,899.9 2,432.2 467.7 19.2%

Eliminations...... (7,652.7) (5,907.1) (1,745.7) 29.6%

Operating costs 248,546.8 190,955.5 57,591.3 30.2%

Brazil Segment...... 39,449.9 30,987.6 8,462.3 27.3%

Seara Segment...... 23,487.1 19,291.1 4,196.0 21.8%

Beef USA Segment...... 100,565.6 80,181.6 20,384.0 25.4%

Pork USA Segment...... 29,633.9 21,513.8 8,120.1 37.7%

Chicken USA Segment...... 60,113.3 42,338.8 17,774.5 42.0%

Other Segment...... 2,947.9 2,548.4 399.5 15.7%

Eliminations...... (7,650.9) (5,905.8) (1,745.1) 29.5%

Operating profit 21,657.4 13,568.1 8,089.3 59.6%

Brazil Segment...... 2,257.4 972.5 1,284.9 132.1%

Seara Segment...... 3,243.7 1,069.8 2,173.9 203.2%

Beef USA Segment...... 11,554.6 7,021.0 4,533.7 64.6%

Pork USA Segment...... 2,537.1 1,955.2 581.9 29.8%

Chicken USA Segment...... 2,114.3 2,667.1 (552.7) -20.7% Other Segment...... (48.0) (116.2) 68.2 -58.7%

Eliminations...... (1.8) (1.3) -0.5 39.6%

The Company measures its profitability of the segments by operating profit, which does not include financial income (expense), the share of profit or loss of investees in shareholders' equity or income taxes. To calculate the Company's operating costs, which are adjusted for restructuring, reorganization and other costs, the Company subtracts operating profit from its net revenues. The Company regularly reviews total operating costs on a segment-by-segment basis.

Brazil Segment

Fiscal Year ended on December Variation (R$ million, except %) 31, 2020 2019 %

Net revenue 41,707.3 31,960.1 9,747.2 30.5%

Organic net revenue...... 38,581.9 29,727.3 8,854.6 29.8%

Effect of eliminations...... 3,125.4 2,232.8 892.6 40.0%

Operating costs 39,390.1 30,987.6 8,402.4 27.1%

Operating profit 2,317.2 972.5 1,344.8 138.3%

Operating margin (% of net revenue) 5.6% 3.0% 2.37 p.p. -

Net Revenue. The changes in net revenues for the Brazil segment for the fiscal year ending December 31, 2020 compared to 2019 are due to the following factors:

 Organic net revenue: organic net revenue was primarily impacted by: (1) increase in selling prices in both domestic and international markets; partially offset (2) by the reduction in volume sold as a result of the decrease in the number of animals processed.

 Effect of eliminations - intercompany selling increased by R$892.6 million, or 40.0%, from R$2,232.8 million in the fiscal year ended December 31, 2019 to R$3,125.4 million in the corresponding period of 2020.

Operating Costs. Operating costs increased by R$8,402.4 million, or 27.1% for the fiscal year ended December 31, 2020 compared to 2019, primarily impacted by: (1) the increase in raw material costs; (2) the increase in production costs related to Covid-19 and (3) the donations under the “Doing Good Does” Good Program.

Operating Profit. As a result of the above, the Brazil segment's operating profit increased by R$1,344.8 million, or 138.3%, from R$972.5 million in the fiscal year ended December 31, 2019 to R$2,317.2 million in the corresponding period of 2020.

Seara Segment Fiscal Year ended on December Variation (R$ million, except %) 31, 2020 2019 %

Net revenue 26,730.8 20,360.9 6,369.9 31.3%

Organic net revenue...... 26,046.2 20,054.2 5,992.0 29.9%

Effect of eliminations...... 386.7 306.7 80.0 26.1%

Impact of acquisitions...... 298.0 - - -

Operating costs 23,487.1 19,291.1 4,196.0 21.8%

Operating profit 3,243.7 1,069.8 2,173.9 203.2%

Operating margin (% of net revenue) 12.1% 5.3% - -

Net Revenue. The changes in the Seara segment net revenue for the fiscal year ended December 31, 2020 compared to 2019 are primarily due to:

 Organic net revenue: organic net revenue was impacted primarily by (1) increased volumes and prices in the domestic market as a consequence of a gain in penetration and consumer preference; and (2) increased volumes and prices in the international market, with an emphasis on increased revenue from selling to China.

 Effect of eliminations: intercompany selling increased by R$80.0 million, or 26.1%, from R$306.7 million in the fiscal year ended December 31, 2019 to R$386.7 million in 2020.

 Impact of acquisitions: Seara's revenue was impacted by the acquisition of Bunge's margarine business and Marba's operations, completed in 2019 and 2020.

Operating Costs. Operating costs increased by R$4,196.0 million, or 21.8% for the fiscal year ended December 31, 2020 compared to 2019, primarily impacted by: (1) increase in the cost of production due to the increase in the volume produced; (2) increase in the cost of raw materials, notably corn and soybeans; and (3) increase in selling expenses, especially investments in advertising and marketing.

Operating Profit. As a result of the above, the Seara segment operating profit increased by R$2,173.9 million, or 203.2%, from R$1,069.8 million in the fiscal year ended December 31, 2019 to R$3,243.7 million in 2020. Beef USA Segment

Fiscal Year ended on December Variation (R$ million, except %) 31, 2020 2019 %

Net revenue 112,120.3 87,202.6 24,917.7 28.6%

Organic net revenue...... 81,568.0 84,337.8 (2,769.8) -3.3%

Effect of eliminations...... 3,017.0 2,864.8 152.2 5.3%

Impact of acquisitions...... 1,089.2 - - -

Effect of exchange variation (1) 26,446.1 - - -

Operating costs 100,565.6 80,181.6 20,384.0 25.4%

Operating profit 11,554.6 7,021.0 4,533.7 64.6%

Operating margin (% of net revenue) 10.3% 8.1% 2.25 p.p.

(1) The impact of the exchange rate effect is calculated for the fiscal year ending December 31, 2020 as the intention is to show the organic revenue variation between the fiscal years ending December 31, 2020 and 2019, thus the 2019 net revenue considers the exchange rate effect related to the previous fiscal year.

Net Revenue. The changes in the Beef USA segment's net revenues for the fiscal year ended December 31, 2020 compared to December 31, 2019 result primarily from the following factors:

 Effect of Exchange Variation- Net revenue increased by R$26,446.1 million, mainly as a result of the depreciation of the Brazilian Real against the US dollar resulting in gains in the consolidation of operations in the United States;

 Organic Net Revenue- Organic net revenue was impacted by: (1) a reduction in the volume produced in Australia, partially offset by (2) strong economic fundamentals in the North American domestic market, which boosted beef consumption in the region; and

 Effect of eliminations- intercompany selling increased by R$152.2 million, or 5.3%, from R$2,864.8 million in the fiscal year ended December 30, 2019 to R$3,017.0 million in the corresponding period of 2020.

 Impact of acquisitions – net revenue for the Beef USA segment was impacted by the acquisition of Empire Packing in the United States, completed in 2020.

Operating Costs. The Company's operating costs increased by R$20,384.0 million, or 25.4%, from R$80,181.6 million in the year ended December 31, 2019 to R$100,565.6 million in 2020, and were primarily impacted b: (1) the effect of exchange rate variation, mainly as a result of the depreciation of the Brazilian Real against the US dollar and its impacts on the consolidation of operations in the United States; (2) the increase in operating costs related to the increase in production volume and (3) costs related to covid-19.

Operating Profit. As a result of the above, the Beef USA segment's operating profit increased by R$4,533.7 million, or 64.6%, from R$7,021.0 million for the fiscal year ended December 31, 2019 to R$11,554.6 million in 2020.

Pork USA Segment Fiscal Year ended on December Variation (R$ million, except %) 31, 2020 2019 %

Net revenue 32,171.1 23,469.0 8,702.0 37.1%

Organic net revenue...... 24,159.2 23,073.5 1,085.7 4.7%

Effect of eliminations...... 442.1 395.5 46.6 11.8%

Effect of exchange variation (1) 7,569.8 - - -

Operating costs 29,633.9 21,513.8 8,120.1 37.7%

Operating profit 2,537.1 1,955.2 581.9 29.8%

Operating margin (% of net revenue) 7.9% 8.3% -0.44 p.p.

Net Revenue. Changes in net revenues for the Pork USA segment for the fiscal year ended December 31, 2020 compared to 2019, result from:

 Effect of Exchange Variation- Net revenue increased by R$7,569.8 million, mainly as a result of the depreciation of the Brazilian Real against the US dollar resulting in gains in the consolidation of operations in the United States;

 Effect of eliminations - intercompany selling increased by R$46.6 million, or 11.8%, from R$395.5 million in the fiscal year ended December 31, 2019 to R$442.1 million in the corresponding period of 2020.

 Organic Net Revenue- Organic net revenue was impacted primarily by an increase in volume and prices in the domestic and export markets, with an emphasis on demand from China. The higher export volumes, together with favorable economic conditions in the domestic market, contributed positively to the absorption of the growing pork supply in the American industry.

Operating Costs. The Company's operating costs increased by R$8,120.1 million, or 37.7%, from R$21,513.8 million in the fiscal year ended December 31, 2019 to R$29,633.9 million in 2020, and were primarily impacted by (1) the effect of foreign exchange variation as a result primarily of the depreciation of the Brazilian Real against the US dollar and its impacts on the consolidation of operations in the United States; (2) the volatility of the price of live swine; (3) the increase in processing volume; and (4) costs related to Covid-19.

Operating profit. As a result of the above, operating profit for the Pork USA segment increased by $581.9 million, or 29.8%, from $1,955.2 million for the fiscal year ended December 31, 2019 to $2,537.1 million in 2020. Chicken USA Segment

Fiscal Year ended on December Variation (R$ million, except %) 31, 2020 2019 %

Net revenue 62,227.7 45,005.9 17,221.8 38.3%

Organic net revenue...... 40,417.0 43,682.5 (3,265.5) -7.5%

Effect of eliminations...... 219.1 60.7 158.4 261.0%

Impact of acquisitions...... 7,028.9 1,262.7 5,766.2 456.7%

Effect of exchange variation (1) 14,562.6 - - -

Operating costs 60,113.3 42,338.8 17,774.5 42.0%

Operating profit 2,114.3 2,667.1 (552.7) -20.7%

Operating margin (% of net revenue) 3.4% 5.9% -2.53 p.p. -

Net Revenue. The changes in the Chicken USA segment's net revenue for the fiscal year ending December 31, 2020 compared to 2020 result primarily from the following factors:

 Effect of Exchange Variation- Net revenue increased by R$14,562.6 million, mainly as a result of the depreciation of the Brazilian Real against the US dollar resulting in gains in the consolidation of operations in the United States;

 Impact of Acquisitions - Net revenue was positively impacted by the acquisition of the Tulip operations, which was completed on October 15, 2019; and

 Organic Net Revenue- Organic net revenue was impacted by a reduction in selling prices in the United States coupled with the unfavorable impact on the conversion of the Mexican Peso into US dollars and a reduction in volume sold in Mexico.

Operating Costs. The Company's operating costs increased by R$17,774.5 million, or 42.0%, from R$42,338.8 million in the fiscal year ended December 31, 2019 to R$60,113.3 million in 2020, being impacted primarily by the effect of foreign exchange variation, mainly as a result of the depreciation of the Brazilian Real against the US dollar and the British pound, as well as to the effect of the acquisition of Tulip in 2019 and also the reduction in the volume produced in Mexico and in the increase in costs related to Covid-19.

Operating profit. As a result of the above, the Chicken USA segment's operating profit decreased by R$552.7 million, or -20.7%, from R$ 2,667.1 million in the fiscal year ended December 31, 2019 to R$ 2,114.3 million in 2020. Other Segment

Fiscal Year ended on December Variation (R$ million, except %) 31, 2020 2019 %

Net revenue 2,899.9 2,432.2 467.7 19.2%

Organic net revenue...... 2,124.6 2,385.6 (261.0) (10.9%)

Effect of eliminations...... 101.9 46.6 55.3 118.6%

Effect of exchange variation 673.4 - - -

Operating costs 2,947.9 2,548.4 399.5 15.7%

Operating loss (48.0) (116.2) 68.2 -

Operating margin (% of net revenue) (1.7%) (4.8%) 3.2 p.p. - n.m. = non-material

Net Revenue. The changes in net revenues of the Other segment in the fiscal year ending December 31, 2020 compared to 2019 are due to:

 Effect of eliminations- intercompany selling grew by US$55.3 million, or 118.6%, from US$46.6 million in the fiscal year ended December 31, 2019 to US$101.9 million in 2020.

This effect was partially offset by:

 Organic Net Revenue- Organic net revenue was reduced by 10.9% from US$2,385.6 million in 2019 to US$2,124.6 million in 2020.

Operating Costs. The Company's operating costs grew by R$399.5 million, or 15.7%, impacted mainly by the exchange rate variation.

Operating Loss. As a result of the above, the operating loss of the Other segment reduced by R$68.2 million, from R$116.2 million in the fiscal year ended December 31, 2019 to R$48 million in the corresponding period of 2020.

Comparison of balance sheet accounts as of December 31, 2020 and December 31, 2019

December 31, 2020 December 31, 2019 2020/2019

Balance Sheets (in R$ million) Consolidated AV% Consolidated AV% AH%

CURRENT ASSETS

Cash and cash equivalents 19,679.7 12.0% 10,034.0 7.9% 96.1%

Trade receivables 14,001.2 8.5% 11,136.6 8.8% 25.7%

Inventories 17,586.7 10.7% 13,439.6 10.6% 30.9%

Biological assets 5,115.7 3.1% 3,906.0 3.1% 31.0%

Taxes recoverable 2,849.9 1.7% 2,351.2 1.9% 21.2%

Derivatives receivable 228.8 0.1% 62.1 0.0% 268.8% Other current assets 1,075.1 0.7% 995.0 0.8% 8.1%

TOTAL CURRENT ASSETS 60,537.3 37.0% 41,924.4 33.2% 44.4%

NON-CURRENT ASSETS

Taxes recoverable 8,546.5 5.2% 7,001.5 5.5% 22.1%

Credits with related companies 382.0 0.2% 275.2 0.2% 38.8%

Deferred income tax and social contribution 1,590.2 1.0% 1,506.1 1.2% 5.6%

Other non-current assets 1,135.9 0.7% 932.0 0.7% 21.9%

Biological assets 1,778.6 1.1% 1,382.6 1.1% 28.6%

Investments in subsidiaries, joint ventures and associates 171.1 0.1% 93.6 0.1% 82.7%

Fixed assets 46,926.6 28.6% 38,099.8 30.2% 23.2%

Right of use of leases 5,784.7 3.5% 4,573.5 3.6% 26.5%

Intangible assets 7,702.3 4.7% 6,053.0 4.8% 27.2%

Goodwill 29,246.6 17.9% 24,497.8 19.4% 19.4%

TOTAL NON-CURRENT ASSETS 103,264.5 63.0% 84,415.0 66.8% 22.3%

TOTAL ASSETS 163,801.8 100.0% 126,339.4 100.0% 29.7%

December 31, 2020 December 31, 2019 2020/2019

Balance Sheets (in R$ million) Consolidated AV% Consolidated AV% AH%

CURRENT LIABILITIES

Trade accounts payable 22,197.4 13.6% 15,438.8 12.2% 43.8%

Trade payables debtor risk 2,101.0 1.3% 2,011.5 1.6% 4.5%

Loans and financing 4,562.1 2.8% 2,078.9 1.6% 119.4%

Income tax and social contribution payable 206.4 0.1% 384.6 0.3% -46.3%

Tax liabilities 676.6 0.4% 559.0 0.4% 21.0%

Labor and social liabilities 5,677.4 3.5% 4,051.8 3.2% 40.1%

Provision payable on lease agreements 1,293.1 0.8% 945.8 0.7% 36.7%

Dividends declared 1,093.2 0.7% 1,442.6 1.1% -24.2%

Commitments to third parties for investments 45.6 0.0% 45.7 0.0% -0.2%

Derivatives payable 287.5 0.2% 252.0 0.2% 14.1%

Other current liabilities 1,603.3 1.0% 1,247.0 1.0% 28.6%

TOTAL CURRENT LIABILITIES 39,743.8 24.3% 28,457.7 22.5% 39.7%

NON-CURRENT ASSETS

Loans and Financing 61,344.6 37.5% 50,949.1 40.3% 20.4%

Tax liabilities 840.2 0.5% 978.0 0.8% -14.1%

Labor and social liabilities 4,115.1 2.5% 3,653.0 2.9% 12.6%

Provision payable on lease agreements 4,811.4 2.9% 3,769.7 3.0% 27.6%

Commitments to third parties for investments 78.7 0.0% 104.8 0.1% -24.9% Deferred income tax and social contribution 6,186.7 3.8% 4,093.6 3.2% 51.1%

Provisions for contingent liabilities 2,504.9 1.5% 1,315.8 1.0% 90.4%

Other non-current liabilities 632.3 0.4% 535.6 0.4% 18.1%

TOTAL NON-CURRENT LIABILITIES 80,513.8 49.2% 65,399.6 51.8% 23.1%

SHAREHOLDERS’ EQUITY

Capital stock 23,576.2 14.4% 23,576.2 18.7% 0.0%

Capital reserves -434.9 -0.3% -233.7 -0.2% 86.1%

Revaluation reserve 49.4 0.0% 54.4 0.0% -9.1%

Profit reserve 6,862.7 4.2% 4,614.8 3.7% 48.7%

Other comprehensive results 10,065.9 6.1% 1,625.3 1.3% 519.3%

Retained earnings - - - - -

Attributed to the controlling interest 40,119.3 24.5% 29,637.0 23.5% 35.4%

Non-controlling interest 3,424.9 2.1% 2,845.1 2.3% 20.4%

TOTAL SHAREHOLDERS’ EQUITY 43,544.2 26.6% 32,482.0 25.7% 34.1%

TOTAL LIABILITIES AND SHAREHOLDERS’ 163,801.8 100.0% 126,339.4 100.0% 29.7% EQUITY

In general, the balance sheet accounts were impacted by the depreciation of the Brazilian Real against the US dollar from R$/US$4.03 at December 31, 2019 to R$/US$5.20 at December 31, 2020.

Current Assets

Current assets increased 44.4% from R$41,924.4 million as of December 31, 2019 to R$60,537.3 million as of December 31, 2020. The main changes were:

 A 96.1% increase in cash and cash equivalents, from R$10,034.0 million as of December 31, 2019 to R$19,679.7 million as of December 31, 2020, primarily as a result of cash generated by operating activities in the fiscal year ending December 31, 2020;

 A 25.7% increase in trade receivables, from R$11,136.6 million as of December 31, 2019 to R$14,001.2 million as of December 31, 2019. Despite the increase in the balance of trade receivables, impacted mainly by exchange rate variation, the average term of trade receivables fell from about 19.6 days on average in 2019 to 18.7 days in 2020; and

 A 30.9% increase in inventories, from R$13,439.6 million as of December 31, 2019 to R$17,586.7 million as of December 31, 2019, stemming mainly from increased production volume.

Non-current Assets

Non-current assets recorded a 22.3% increase from R$84,415.0 million at December 31, 2019 to R$103,264.5 million at December 31, 2020. The main changes were:

 A 23.2% increase in fixed assets from $38,099.8 million as of December 31, 2019 to $46,926.6 million as of December 31, 2020, resulting mainly from: (1) the impact of the depreciation of the Brazilian Real against the US dollar on the consolidation of fixed assets outside Brazil; (2) the combination of fixed assets related to the acquisition of the Empire Packing operations and Bunge's margarine business, which will be completed in 2020; and (3) investments in plant and equipment maintenance;

 Increase of 22.1% in Taxes Recoverable, from R$7,001.5 million at December 31, 2019 to R$8,546.5 million in 2020, especially the line of IRPJ and IRRF recoverable, which corresponds to income tax paid by subsidiaries abroad, income tax withheld on financial investments and negative balance of income tax, and increased from R$3,761.6 million in 2019 to R$4,507.3 million in 2020 as a result of the growth in profit ascertained by the Company's subsidiaries abroad.

 A 19.4% increase in goodwill, from R$24,497.8 million at December 31, 2019 to R$29,246.6 million at December 31, 2020, resulting mainly from exchange rate variation and its impacts on the consolidation of goodwill in foreign companies, as well as the business combination related to the acquisition of Bunge's margarine business and Empire Packing in 2020.

Current Liabilities

The current liabilities balance increased by 39.7%, from R$28,457.7 million as of December 31, 2019 to R$39,743.8 million as of December 31, 2010. The main changes were:

 43.8% increase in suppliers, from R$ 15,438.8 million as of December 31, 2019 to R$ 22,197.4 million as of December 31, 2020, due primarily to increased production volume; and

 A 40.1% increase in labor and social obligations, from R$ 4,051.8 million as of December 31, 2019 to R$ 5,677.4 million as of December 31, 2020, impacted by the devaluation of the Brazilian Real compared to the US dollar and the increase in the Company's headcount from about 234,000 employees in 2019 to 247,000 in 2020.

Non-Current Liabilities

The balance of non-current liabilities increased by 23.1%, from R$65,399.6 million as of December 31, 2019 to R$80,513.8 million as of December 31, 2020. The main changes were:

 20.4% increase in non-current loans and financing, from $50,949.1 million at December 31, 2019 to $ 61,344.6 million at December 31, 2020, mainly resulting from the impact of exchange rate variation;

 Increase of 51.1% Deferred income and social contribution taxes, from R$4,093.6 million at December 31, 2019 to R$6,186.7 at December 31, 2020; and

 A 27.6% increase in Leases payable, from R$ 3,769.7 million in 2019 to R$ 4,811.4 million at December 31, 2020, impacted by exchange rate variation and acquisitions completed at the end of 2019 and throughout 2020.

Shareholders’ Equity

Shareholders' equity recorded an increase of 34.1% from R$32,482.0 million as of December 31, 2019 to R$43,544.2 million as of December 31, 2020 due mainly to the increase in the profit reserve of R$2,248.0 million for the fiscal year ended December 31, 2020 and R$8,440.6 million in comprehensive income due mainly to accumulated translation adjustments and exchange variation on foreign investments.

Fiscal year ended December 31, 2019 compared to fiscal year ended December 31, 2018 CONSOLIDATED STATEMENT OF 12/31/2019 12/31/2018 %NR Var(%) Var(R$) INCOME (in BRL million) %NR

GROSS OPERATING REVENUE 211,163.1 103.2 187,162.7 103.0% 12.8% 24,000.4 FROM SELLING % Domestic market 156,947.2 76.7% 140,054.0 77.1% 12.1% 16,893.2 Foreign market 54,215.9 26.5% 47,108.7 25.9% 15.1% 7,107.2 SELLING DEDUCTIONS (6,639.5) (3.2)% (5,482.4) (3.0)% 21.1% 1,157.1 Returns and discounts (4,583.2) (2.2)% (3,784.0) (2.1)% 21.1% (799.2) Taxes on selling (2,056.4) (1.0)% (1,698.5) (0.9)% 21.1% (357.9) NET OPERATING REVENUE 204,523.6 100.0 181,680.2 100.0% 12.6% 22,843.4 % Cost of goods sold (172,577.2) (84.4) (155,340.1) (85.5) 11.1% (17,237.1) % % GROSS PROFIT 31,946.4 15.6% 26,340.2 14.5% 21.3% 5,606.2 OPERATING REVENUE (18,497.6) (9.0)% (19,182.8) (10.6) (3.6)% 685.2 (EXPENSES) % General and administrative (7,313.1) (3.6)% (8,587.6) (4.7)% (14.8)% 1,274.5 With selling (11,468.9) (5.6)% (10,422.0) (5.7)% 10.0% (1,046.9) Other expenses (165.6) (0.1)% (388.1) (0.2)% (57.3)% 222.5 Other revenues 450.0 0.2% 214.9 0.1% 109.4% 235.1 Net financial result (5,985.1) (2.9)% (8,282.2) (4.6)% (27.7)% 2,297.1 Equity result 34.2 0.0% 26.5 0.0% 29.1% 7.7 7,497.8 3.7% (1,098.4) (0.6)% (782.6)% 8,596.2 RESULT BEFORE PROVISION FOR INCOME TAX AND SOCIAL CONTRIBUTION Current income tax and social contribution (1,110.0) (0.5)% 247.4 0.1% (548.7)% (1,357.4) Deferred income tax and social contribution 77.1 0.0% 1,061.1 0.6% (92.7)% (984.0) NET INCOME (LOSS) FOR THE PERIOD 6,464.9 3.2% 210.1 0.1% 2,977.1% 6,254.8 Attributed to: Participation of controlling interest 6,068.4 3.0% 25.2 0.0% 23,981.0% 6,043.2 Participation of non-controlling interest 396.5 0.2% 184.9 0.1% 114.4% 211.6

Consolidated Results of Operations Net Income

Net Income

Fiscal Year ended on December Variation (R$ million, except %) 31, 2019 2018 %

Net income 6,464.9 210.1 6,254.8 2,977.1%

Gross profit as a percentage of net revenue 15.6% 14.5% 1.1 p.p. -

Net income as percentage of net revenue 3.2% 0.1% 3.1 p.p. -

For the reasons described below, the Company recorded net income of R$6,464.9 million for the fiscal year ended December 31, 2019 and net income of R$210.1 million for the same period in 2018. Net income as a percentage of revenue was 3.2% for the fiscal year ended December 31, 2019. For the fiscal year ended December 31, 2018, net income as a percentage of revenue was 0.1%.

Net Revenue

Fiscal Year ended on December Variation (R$ million, except %) 31, 2019 2018 % Net revenue...... 204,523.6 181,680.2 22,843.3 12.6%

Organic net revenue...... 193,603.1 181,280.6 12,322.6 6.8%

Impact of acquisitions...... 1,262.7 - 1,262.7 -

Impact of divestitures...... - 399.7 (399.7) -

Effect of exchange rate variation...... 10,920.4 - 10,920.4 -

The Company's net revenue increased by R$22,843.3 million or 12.6% for the fiscal year ended December 31, 2019 compared to the same period in 2018. Net revenue was impacted by:

 Organic Net Revenue - Organic net revenue was positively impacted by average price increases in all segments in which the Company operates, coupled with increases in volumes sold from the Brazil, Seara, Beef USA and Pork USA segments; partially offset by lower volumes sold from the Chicken USA segment;

 Impact of Acquisitions - Net revenue was positively impacted by the acquisition of the Tulip operations, which was completed on October 15, 2019; and

 Effect of Exchange Variation - Net revenue increased by R$10,920.4 million mainly as a result of the depreciation of the Brazilian Real against the US dollar resulting in gains in the consolidation of operations in the United States.

These effects were partially offset by:

 Impact of Divestitures - Net revenue was negatively impacted by the selling of the JBS Five Rivers operations, which was completed in the first quarter of 2018.

Cost of Goods Sold

Fiscal Year ended on December Variation (R$ million, except %) 31, 2019 2018 %

Cost of Goods Sold 172,577.2 155,340.1 17,237.2 11.1%

Gross Profit 31,946.4 26,340.2 5,606.2 21.3%

Cost of goods sold as a percentage of net 84.4% 85.5% (1.1)p.p. - revenue

The Company's cost of goods sold increased by R$17,237.2 million, or 11.1% in the fiscal year ended December 31, 2019 compared to the same period in 2018. The cost of goods sold was mainly impacted by: (1) effect of exchange rate variation, as a result primarily of the depreciation of the Brazilian Real against the US dollar and its impacts on the consolidation of operations in the United States; (2) an increase in operating costs related to the increase in volume produced; (3) an increase in operating costs, as a result primarily of higher raw material prices in some regions where the Company operates; and (4) by the increase related to the acquisition of Tulip, which was completed on October 15, 2019.

For a discussion of operating costs by segment, see "Segment Results." General and Administrative and Other Expenses

Fiscal Year ended on December Variation (R$ million, except %) 31, 2019 2018 %

General and administrative expenses 7,313.1 8,587.6 (1,274.5) (14.8%)

General and administrative expenses as a 3.6% 4.7% (1.2)p.p. - percentage of net revenue

The Company's general and administrative expenses decreased by R$1,274.5 million, or 14.8% in the fiscal year ended December 31, 2019 compared to the same period in 2018. General and administrative expenses decreased mainly due to adherence to the Rural Tax Regularization Program related to the installment payment of Funrural debts in Brazil in the third quarter of 2018. This reduction was partially offset by the effect of exchange rate changes, mainly as a result of the depreciation of the Brazilian Real against the US dollar and its impacts on the consolidation of operations in the United States, and by the increase related to the acquisition of Tulip, which was completed on October 15, 2019.

Selling Expenses

Fiscal Year ended on December Variation (R$ million, except %) 31, 2019 2018 %

Selling expenses 11,468.9 10,422.0 1,046.9 10.0%

Selling expenses as a percentage of selling 5.6% 5.7% - - revenue

The Company's selling expenses increased by R$1,046.9 million, or 10.0% in the fiscal year ended December 31, 2019 compared to the same period in 2018. Selling expenses were impacted by: (1) an increase in freight expenses; (2) an increase in marketing and product promotion expenses; (3) the effect of exchange rate variation, mainly as a result of the depreciation of the Brazilian Real against the US dollar and its impacts on the consolidation of operations in the United States; and (4) by the increase related to the acquisition of Tulip, which was completed on October 15, 2019.

Net Financial Expenses

Fiscal Year ended on December Variation (R$ million, except %) 31, 2019 2018 %

Net financial expenses (5,985.1) (8,282.2) 2,297.1 27.7%

Result of active and passive exchange (1,393.3) (4,337.6) 2,944.3 67.9% variations

Fair value adjustment of derivatives (91.3) 57.8 — —

Interest liabilities (4,532.1) (3,935.2) (596.9) 15.2%

Interest income 465.1 288.4 176.7 61.3%

Taxes, contributions, tariffs and others (433.5) (355.6) (77.9) 21.9%

Net financial expenses decreased by R$2,297.1 million, or 27.7% in the fiscal year ended December 31, 2019 compared to the same period in 2018, mainly by:

 Exchange Variation - exchange variation expense during the fiscal year ended December 31, 2018 was R$4,337.6 million compared to an exchange variation expense of R$1,393.3 million in the corresponding period in 2019, as a result of the depreciation of the Brazilian Real against foreign currencies in these periods;

 Risk Management Activities - income from results of derivative transactions was R$57.8 million during the fiscal year ended December 31, 2018. In the corresponding period in 2019, there was an expense with results from operations with derivatives of R$91.3 million, substantially all related to the practice of hedging exposure against the devaluation of the Brazilian Real and against the fluctuation of grain prices adopted by the Company;

 Interest Liabilities - a 15.2% increase in interest expense, primarily as a result of increased finance costs related to tax installment payments and the selling of receivables against certain domestic and foreign market customers; partially offset by lower interest expense on loans and financing;

 Interest Income - a 61.3% increase in interest income; and

 Bank charges - a 21.9% increase in bank charges and other expenses, primarily as a result of premium payments related to the prepayment made during the fiscal year ended December 31, 2019 of the debt payment under the Normalization Agreement and the notes due 2021 and Term Loan 2022.

Current and Deferred Income Tax and Social Contribution

Fiscal Year ended on December Variation (R$ million, except %) 31, 2019 2018 % Result before provision for income tax and 7,497.8 (1,098.4) - - social contribution

Nominal rate (34%) (34%) - -

Expected benefit (expense) (2,549.3) 373.5 - -

Current income tax and social contribution (1,110.0) 247.4 - -

Deferred income tax and social contribution 77.1 1,061.1 (984.0) (92.7%)

Total tax expenses (1,032.9) 1,308.5 - -

The nominal income tax rate in Brazil is 34%, but our effective tax rate may vary from period to period based primarily on fluctuations in the taxable income generated by each of our foreign subsidiaries, as well as differences in nominal rates and tax credits generated from taxes paid in each of these foreign subsidiaries, which may be used to offset income tax and social contribution on profits due in Brazil.

Additionally, permanent differences generated during the period can also impact the Company's effective tax rate. Such amounts generally refer to non-taxable interest in foreign subsidiaries, tax credits paid abroad, amortization of goodwill in Brazil and tax paid abroad on dividends received by non-wholly-owned subsidiaries. In the fiscal years ending December 31, 2018 and 2019, the effective income tax rates were different from the nominal income tax rate in Brazil due to the recognition of some permanent differences, such as credits from paid guides arising from foreign subsidiaries, deductions due to intercompany financing resulting from the reorganization that occurred at JBS USA, difference in rates on results earned by foreign subsidiaries, and non-taxable interest in foreign subsidiaries. The Company expects that its effective rate will continue to fluctuate in the future because of the impacts of deductions for intercompany financing and other items.

Segment Results

Fiscal Year ended on December 31, Variation (R$ million, except %) 2019 2018 % 204,523.6 181,680.2 22,843.4 12.6% Net revenue

Brazil Segment...... 31,960.1 27,578.9 4,381.2 15.9%

Seara Segment...... 20,360.9 17,670.1 2,690.8 15.2%

Beef USA Segment...... 87,202.6 78,644.1 8,558.5 10.9%

Pork USA Segment...... 23,469.0 20,774.7 2,694.3 13.0%

Chicken USA Segment...... 45,005.9 39,881.0 5,124.9 12.9%

Other Segment...... 2,432.2 2,423.7 8.5 0.4%

Eliminations...... (5,907.1) (5,292.3) (614.8) 11.6%

Operating costs 190,955.5 171,748.3 19,207.2 11.2%

Brazil Segment...... 30,987.6 27,110.5 3,877.1 14.3%

Seara Segment...... 19,291.1 17,223.2 2,067.9 12.0%

Beef USA Segment...... 80,181.6 73,012.9 7,168.7 9.8%

Pork USA Segment...... 21,513.8 19,099.9 2,413.9 12.6%

Chicken USA Segment...... 42,338.8 38,127.3 4,211.5 11.0%

Other Segment...... 2,548.4 2,466.8 81.6 3.3%

Eliminations...... (5,905.8) (5,292.3) (613.5) 11.6%

Operating profit 13,568.1 9,931.9 3,636.2 36.6%

Brazil Segment...... 972.5 468.4 504.1 107.6%

Seara Segment...... 1,069.8 446.9 622.9 139.4%

Beef USA Segment...... 7,021.0 5,631.2 1,389.8 24.7%

Pork USA Segment...... 1,955.2 1,674.8 280.4 16.7%

Chicken USA Segment...... 2,667.1 1,753.7 913.4 52.1%

Other Segment...... (116.2) (43.1) (73.1) 169.6% Eliminations...... (1.3) 0.0 — —

Brazil Segment

Fiscal Year ended on December Variation (R$ million, except %) 31, 2019 2018 %

Net revenue 31,960.1 27,578.9 4,381.2 15.9%

Organic net revenue...... 29,727.3 25,526.2 4,201.1 16.5%

Effect of eliminations...... 2,232.8 2,052.7 180.1 8.8%

Operating costs 30,987.6 27,110.5 3,877.1 14.3%

Operating profit 972.5 468.4 504.1 107.6%

Operating margin (% of net revenue) 3.0% 1.7% 1.3 p.p. -

Net Revenue. The changes in the net revenues in the Brazil segment for the fiscal year ended December 31, 2019, when compared to the corresponding period of 2018, were positively impacted by:

 Organic net revenue: organic net revenue was primarily impacted by: (1) increased selling prices and volume sold in the domestic market in the fiscal year ended December 31, 2019 compared to the corresponding period of 2018; and (2) increased selling prices and volume sold from exports, mainly to China.

 Effect of eliminations - intercompany selling increased by R$180.1 million, or 8.8%, from R$2,052.7 million in the fiscal year ended December 31, 2018 to R$2,232.8 million in the corresponding period of 2019.

Operating Costs. Operating costs increased by R$3,877.1 million, or 14.3% in the fiscal year ended December 31, 2019 when compared to the corresponding period of 2018, impacted primarily by: (1) increase in operating costs related mainly to the increase in the number of animals processed; and (2) increase in raw material costs mainly in regions where slaughter capacity has been expanded by the industry. These impacts were partially offset by (1) adequate utilization of production capacity, diluting fixed costs and (2) adherence to the Rural Tax Regularization Program related to the installment payment of Funrural debts in Brazil that negatively impacted general and administrative expenses in the fiscal year ended December 31, 2018.

Operating Profit. As a result of the above, the Brazil segment's operating profit increased by R$504.1 million, or 107.6%, from R$468.4 million for the fiscal year ended December 31, 2018 to R$972.5 million for the corresponding period of 2019.

Seara Segment Fiscal Year ended on December Variation (R$ million, except %) 31, 2019 2018 %

Net revenue 20,360.9 17,670.1 2,690.8 15.2%

Organic net revenue...... 20,054.2 17,387.8 2,666.4 15.3%

Effect of eliminations...... 306.7 282.3 24.4 8.6%

Operating costs 19,291.1 17,223.2 2,067.9 12.0%

Operating profit 1,069.8 446.9 622.9 139.4%

Operating margin (% of net revenue) 5.3% 2.5% - -

Net Revenue. The changes in the net revenues in the Seara segment for the fiscal year ended December 31, 2019, when compared to the corresponding period of 2018, were positively impacted by:

 Effect of eliminations - intercompany selling increased by R$24.4 million, or 8.6%, from R$282.3 million in the fiscal year ended December 31, 2018 to R$306.7 million in the corresponding period of 2019.

Operating Costs. Operating costs increased by R$2,067.9 million, or 12.0% in the fiscal year ended December 31, 2019 as compared to the corresponding period of 2018, impacted primarily by: (1) increase in depreciation and amortization as a consequence of the adoption of IFRS 16 starting in the first quarter of 2019; (2) increase in contingencies mainly related to a favorable court decision obtained, which reversed a provision, positively impacting administrative expenses in 2018; (3) increase with labor costs and maintenance of plants and equipment; and (4) increase with product marketing and promotion expenses.

Operating Profit. As a result of the above, Seara segment’s operating profit increased by R$622.9 million, or 139.4%, from R$446.9 million in the fiscal year ended December 31, 2018 to R$1,069.8 million in the corresponding period of 2019. Beef USA Segment

Fiscal Year ended on December Variation (R$ million, except %) 31, 2019 2018 %

Net revenue 87,202.6 78,644.1 8,558.5 10.9%

Organic net revenue...... 78,280.4 75,691.6 2,588.8 3.4%

Effect of eliminations...... 2,864.8 2,552.9 311.9 12.2%

Effect of divestitures - 399.7 (399.7) -

Effect of exchange variation (1) 6,057.4 - 6,057.4 -

Operating costs 80,181.6 73,012.9 7,168.7 9.8%

Operating profit 7,021.0 5,631.2 1,389.8 24.7%

Operating margin (% of net revenue) 8.1% 7.2% 0.9 p.p. -

(1) The impact of the exchange rate effect is computed for the fiscal year ending December 31, 2019 as the intent is to show the change in organic revenue between the fiscal years ending December 31, 2019 and 2018.

Net Revenue. Changes in the Beef USA segment net revenues for the fiscal year ending December 31, 2019, as compared to December 31, 2018, were positively impacted by:

 Effect of Exchange Variation- Net revenue increased by R$6,057.4 million as a result mainly of the depreciation of the Brazilian Real against the US dollar resulting in gains in the consolidation of operations in the United States;

 Organic Net Revenue- Organic net revenue was impacted by: (1) in North America due to (i) strong economic fundamentals in the domestic market that leveraged beef consumption; and (ii) improved product mix from innovation in value-added programs; and (2) in Australia due to (i) increased direct exports of beef and lamb to China; and (ii) the Company's focus on higher value-added products from Primo Smallgoods; and

 Effect of eliminations- intercompany selling increased by R$311.9 million, or 12.2%, from R$2,552.9 million in the fiscal year ended December 30, 2018 to R$2,864.8 million in the corresponding period of 2019.

These effects were partially offset by:

 Impact of Divestitures - A net decrease of R$399.7 million, due to the selling of the JBS Five Rivers operations, which was completed in the first quarter of 2018.

Operating Costs. The Company's operating costs increased by R$7,168.7 million, or 9.8%, from R$73,012.9 million in the year ended December 31 in 2018 to R$80,181.6 million in the corresponding period of 2019, and were primarily impacted: (1) the effect of exchange rate variation as a result mainly of the depreciation of the Brazilian Real against the US dollar and its impacts on the consolidation of operations in the United States; and (2) the increase in operating costs related to the increase in production volume. This increase was offset by the net reduction related to the divestiture of JBS Five Rivers.

Operating Profit. As a result of the above, the Beef USA segment's operating profit increased by R$1,389.8 million, or 24.7%, from R$5,631.2 million in the fiscal year ended December 31, 2018 to R$7,021.0 million in the corresponding period of 2019. Pork USA Segment

Fiscal Year ended on December Variation (R$ million, except %) 31, 2019 2018 %

Net revenue 23,469.0 20,774.7 2,694.3 13.0%

Organic net revenue...... 21,417.2 20,478.7 938.5 4.6%

Effect of eliminations...... 395.5 296.0 99.5 33.6%

Effect of exchange variation (1) 1,656.3 - 1,656.3 -

Operating costs 21,513.8 19,099.9 2,413.9 12.6%

Operating profit 1,955.2 1,674.8 280.4 16.7%

Operating margin (% of net revenue) 8.3% 8.1% 0.3p.p. -

Net Revenue. Changes in the Pork USA segment's net revenues for the fiscal year ended December 31, 2019, when compared to the corresponding period of 2018, were positively impacted by:

 Effect of Exchange Variation- Net revenue increased by R$1,656.3 million as a result mainly of the depreciation of the Brazilian Real against the US dollar resulting in gains in the consolidation of operations in the United States;

 Effect of eliminations- intercompany selling increased by R$99.5 million, or 33.6%, from R$296.0 million in the fiscal year ended December 31, 2018 to R$395.5 million in the corresponding period of 2018; and

 Organic Net Revenue- Organic net revenue was impacted primarily by an increase in volume and prices in the domestic and export markets, with an emphasis on demand from China that accelerated significantly in the second half of the year. The higher export volumes, together with favorable economic conditions in the domestic market, contributed positively to the absorption of the growing pork supply in the American industry.

Operating Costs. The Company's operating costs increased by R$2,413.9 million, or 12.6%, from R$19,099.9 million in the fiscal year ended December 31, 2018 to R$21,513.8 million in the corresponding period of 2019, and were primarily impacted by (1) the effect of foreign exchange variation as a result primarily of the depreciation of the Brazilian Real against the US dollar and its impacts on the consolidation of operations in the United States; (2) the volatility of the live hog price; and (3) the increase in processing volume.

Operating profit. As a result of the above, operating profit for the Pig USA segment increased by R$280.4 million, or 16.7%, from R$1,674.8 million for the fiscal year ended December 31, 2018 to R$1,955.2 million for the corresponding period in 2019. Chicken USA Segment

Fiscal Year ended on December Variation (R$ million, except %) 31, 2019 2018 %

Net revenue 45,005.9 39,881.0 5,124.9 12.9%

Organic net revenue...... 40,475.8 39,805.4 670.4 1.7%

Effect of eliminations...... 60.7 75.6 (14.9) (19.7%)

Impact of acquisitions...... 1,262.7 - 1,262.7 -

Effect of exchange variation (1) 3,206.7 - 3,206.7 -

Operating costs 42,338.8 38,127.3 4,211.5 11.0%

Operating profit 2,667.1 1,753.7 913.4 52.1%

Operating margin (% of net revenue) 5.9% 4.4% 1.5 p.p. -

(1) The impact of the exchange rate effect is computed for the fiscal year on December 31, 2019 as the intent is to show the change in organic revenue between the fiscal years ending December 31, 2019 and 2018.

Net Revenue. Changes in the Chicken USA segment's net revenues for the fiscal year ended December 31, 2019, as compared to the corresponding period of 2018, were positively impacted by:

 Effect of Exchange Variation- Net revenue increased by R$3,206.7 million as a result mainly of the depreciation of the Brazilian Real against the US dollar resulting in gains in the consolidation of operations in the United States;

 Impact of Acquisitions - Net revenue was positively impacted by the acquisition of the Tulip operations, which was completed on October 15, 2019; and

 Organic Net Revenue- Organic net revenue was impacted by an increase in prices primarily due to improved pricing of drumsticks, thighs and wings. This increase was partially offset by lower volumes sold.

These effects were partially offset by:

 Effect of eliminations- intercompany selling decreased by R$14.9 million, or 19.7%, from R$75.6 million in the fiscal year ended December 31, 2018 to R$60.7 million in the corresponding period of 2019.

Operating Costs. The Company's operating costs increased by R$4,211.5 million, or 11.0%, from R$38,127.3 million in the fiscal year ended December 31, 2018 to R$42,338.8 million in the corresponding period of 2019, and were primarily impacted by the effect of foreign exchange variation as a result primarily of the depreciation of the Brazilian Real against the US dollar and the British pound. This increase was partially offset by lower operating costs related to reduced production.

Operating profit. As a result of the above, the Chicken USA segment's operating profit increased by R$913.4 million, or 52.1%, from R$1,753.7 million for the fiscal year ended December 31, 2018 to R$2,667.1 million for the corresponding period of 2019. Other Segment

Fiscal Year ended on December Variation (R$ million, except %) 31, 2019 2018 %

Net revenue 2,432.2 2,423.7 8.5 0.4%

Organic net revenue...... 2,383.5 2,390.8 (7.3) (0.3%)

Effect of eliminations...... 46.6 32.9 13.7 41.8%

Effect of exchange variation 2.1 0.0 2.1 -

Operating costs 2,548.4 2,466.8 81.6 3.3%

Operating loss (116.2) (43.1) (73.1) 169.6%

Operating margin (% of net revenue) (4.8%) (1.8%) (3.0)p.p. - n.m. = non-material

Net Revenue. The changes in net revenues of the Other segment for the fiscal year ended December 31, 2019, as compared to the corresponding period of 2018, were positively impacted by:

 Effect of eliminations- intercompany selling increased by R$13.7 million, or 41.8%, from R$32.9 million in the fiscal year ended December 31, 2018 to R$46.6 million in the corresponding period of 2019.

This effect was partially offset by:

 Organic Net Revenues- Organic net revenues from selling of the global units for leather produced in Argentina, Uruguay, Italy, Mexico and Vietnam and from global sales of beef products by trading companies in the UK and Belgium had a small reduction of 0.3%.

Operating Costs. The Company's operating costs grew by R$81.6 million, or 3.3%.

Operating Loss. As a result of the above, the operating loss of the Other segment increased by R$73.1 million, from R$43.1 million in the fiscal year ended December 31, 2018 to R$116.2 million in the corresponding period of 2019.

Comparison of balance sheet accounts as of December 31, 2019 and December 31, 2018

December 31, 2019 December 31, 2018 2019/2018

Balance Sheets (in R$ million) Consolidated AV% Consolidated AV% AH%

CURRENT ASSETS

Cash and cash equivalents 10,034.0 7.9% 8,935.8 7.8% 12.3%

Trade receivables 11,136.6 8.8% 9,657.0 8.5% 15.3%

Inventories 13,439.6 10.6% 11,311.7 9.9% 18.8%

Biological assets 3,906.0 3.1% 3,191.0 2.8% 22.4%

Taxes recoverable 2,351.2 1.9% 2,210.0 1.9% 6.4%

Derivatives receivable 62.1 0.0% 52.8 0.0% 17.6% Credits with related companies 0.0 0.0% 701.3 0.6% -

Other current assets 995.0 0.8% 840.0 0.7% 18.5%

TOTAL CURRENT LIABILITIES 41,924.4 33.2% 36,899.5 32.3% 13.6%

NON-CURRENT ASSETS

Biological assets 1,382.6 1.1% 1,168.5 1.0% 18.3%

Taxes recoverable 7,001.5 5.5% 9,073.3 7.9% (22.8%)

Investments in associates, subsidiaries and joint 93.6 0.1% 85.0 0.1% 10.1% ventures

Fixed assets 38,099.8 30.2% 35,109.2 30.8% 8.5%

Right of use of commercial leasing 4,573.5 3.6% 0.0 0.0% -

Credits with related companies 275.2 0.2% 0.0 0.0% -

Deferred income tax and social contribution 1,506.1 1.2% 1,159.4 1.0% 29.9%

Intangible assets 6,053.0 4.8% 5,819.3 5.1% 4.0%

Goodwill 24,497.8 19.4% 23,775.6 20.8% 3.0%

Other non-current assets 932.0 0.7% 1,056.0 0.9% (11.7%)

TOTAL NON-CURRENT LIABILITIES 84,415.0 66.8% 77,246.3 67.7% 9.3%

TOTAL ASSETS 126,339.4 100.0% 114,145.8 100.0% 10.7%

December 31, 2019 December 31, 2018 2019/2018

Balance Sheets (in R$ million) Consolidated AV% Consolidated AV% AH%

CURRENT LIABILITIES

Trade accounts payable 15,438.8 12.2% 12,165.4 10.7% 26.9%

Trade payables debtor risk 2,011.5 1.6% 910.2 0.8% 121.0%

Loans and financing 2,078.9 1.6% 2,922.6 2.6% (28.9%)

Income tax and social contribution payable 384.6 0.3% 202.7 0.2% 89.7%

Tax liabilities 559.0 0.4% 525.5 0.5% 6.4%

Labor and social liabilities 4,051.8 3.2% 3,508.6 3.1% 15.5%

Provision payable on lease agreements 945.8 0.7% 0.0 0.0% -

Dividends declared 1,442.6 1.1% 7.3 0.0% 19,661.6%

Commitments to third parties for investments 45.7 0.0% 45.5 0.0% 0.4%

Derivative liabilities 252.0 0.2% 210.0 0.2% 20.0%

Liabilities classified as held for sale 0.0 0.0% 0.0 0.0% -

Other current liabilities 1,247.0 1.0% 1,103.8 1.0% 13.0%

TOTAL CURRENT LIABILITIES 28,457.7 22.5% 21,601.7 18.9% 31.7%

NON-CURRENT ASSETS

Loans and Financing 50,949.1 40.3% 53,230.9 46.6% (4.3%)

Tax liabilities 978.0 0.8% 842.3 0.7% 16.1% Labor and social liabilities 3,653.0 2.9% 3,740.5 3.3% (2.3%)

Provision payable on lease agreements 3,769.7 3.0% 0.0 0.0% -

Commitments to third parties for investments 104.8 0.1% 23.7 0.0% 342.7%

Deferred income tax and social contribution 4,093.6 3.2% 3,483.5 3.1% 17.5%

Provisions for contingent liabilities 1,315.8 1.0% 2,696.6 2.4% (51.2%)

Other non-current liabilities 535.6 0.4% 580.3 0.5% (7.7%)

TOTAL NON-CURRENT LIABILITIES 65,399.6 51.8% 64,597.9 56.6% 1.2%

SHAREHOLDERS’ EQUITY

Capital stock 23,576.2 18.7% 23,576.2 20.7% 0.0%

Capital reserves (233.7) -0.2% (255.7) -0.2% (8.6%)

Revaluation reserve 54.4 0.0% 62.5 0.1% (13.0%)

Profit reserve 4,614.8 3.7% 1,869.3 1.6% 146.9%

Other comprehensive results 1,625.3 1.3% 394.7 0.3% 311.8%

Retained earnings - - - - -

Attributed to the controlling interest 29,637.0 23.5% 25,647.0 22.5% 15.6%

Non-controlling interest 2,845.1 2.3% 2,299.2 2.0% 23.7%

TOTAL SHAREHOLDERS’ EQUITY 32,482.0 25.7% 27,946.2 24.5% 16.2%

TOTAL LIABILITIES AND SHAREHOLDERS’ 126,339.4 100.0% 114,145.8 100.0% 10.7% EQUITY

In general, the equity accounts were impacted by the depreciation of the Brazilian Real against the US dollar from R$/US$3.87 as of December 31, 2018 to R$/US$4.03 as of December 31, 2019.

Current Assets

Current assets increased 13.6% from R$36,899.5 million as of December 31, 2018 to R$41,924.4 million as of December 31, 2019. The main changes were:

 12.3% increase in cash and cash equivalents, from R$8,935.8 million as of December 31, 2018 to R$10,034.0 million as of December 31, 2019, primarily as a result of cash generated by operating activities in the fiscal year ended December 31, 2019;

 15.3% increase in trade receivables, from R$9,657.0 million as of December 31, 2018 to R$11,136.6 million as of December 31, 2019, resulting mainly from the increase in exports that have a longer term of receipt;

 18.8% increase in inventories, from R$11,311.7 million as of December 31, 2018 to R$13,439.6 million as of December 31, 2019, resulting mainly from increased production volume; and

 reduction of all receivables with current connected companies in the amount of R$701.3 million during the fiscal year ended December 31, 2019 with J&F Oklahoma arising from the line of credit granted in the context of the cattle acquisition operations in the USA.

Non-current Assets Non-current assets recorded a 9.3% increase from R$84,415.0 million at December 31, 2018 to R$103,264.5 million at December 31, 2019. The main changes were:

 8.5% increase in fixed assets, which increased from R$35,109.2 million as of December 31, 2018 to R$38,099.8 million as of December 31, 2019, mainly arising from: (1) the impact of the depreciation of the Brazilian Real against the US dollar on the consolidation of fixed assets outside Brazil; (2) from the combination of fixed assets related to the acquisition of the Tulip operations, which was completed on October 15, 2019; and (3) from investments in plant and equipment maintenance;

 recording of R$4,573.5 million as of December 31, 2019 related to the right of use of leasing due to the adoption of IFRS 16, using the modified retrospective approach, that is, the effects were recognized on January 1, 2019, with no change for comparability purposes of 2018 balances; and

 a 3.0% increase in goodwill, from R$23,775.6 million as of December 31, 2018 to R$24,497.8 million as of December 31, 2019, arising mainly from exchange rate variation and its impacts on the consolidation of goodwill in foreign companies, partially offset by the negative goodwill arising from the business combination related to the Tulip acquisition.

Current Liabilities

The current liabilities balance increased by 31.7%, from R$21,601.7 million as of December 31, 2018 to R$28,457.7 million as of December 31, 2019. The main changes were:

 26.9% increase in suppliers, from $12,165.4 million as of December 31, 2018 to $15,438.8 million as of December 31, 2019, due primarily to increased production volume;

 121.0% increase in trade payables debtor risk, from R$910.2 million as of December 31, 2018 to R$2,011.5 million as of December 31, 2019, arising primarily from the increased availability of trade payables debtor risk transactions with financial institutions with suppliers in the domestic market in Brazil;

 reduction of 28.9% in current loans and financing, from R$2,922.6 million as of December 31, 2018 to R$2,078.9 million as of December 31, 2019, resulting mainly from the payment of credit lines held with banking institutions in Brazil;

 19,661.6% increase in dividends declared, from $7.3 million as of December 31, 2018 to $1,442.6 million as of December 31, 2019, primarily resulting from the increase in net income for the fiscal year ended December 31, 2019; and

 recording of R$945.8 million as of December 31, 2019 related to provision payable for leasing due to the adoption of IFRS 16, using the modified retrospective approach, that is, the effects were recognized on January 1, 2019, with no change for comparability purposes of 2018 balances.

Non-Current Liabilities

The balance of non-current liabilities increased 1.2% from $64,597.9 million at December 31, 2018 to $ 65,399.6 million at December 31, 2019. The main changes were:

 4.3% decrease in non-current loans and financing, from R$53,230.9 million as of December 31, 2018 to R$50,949.1 million as of December 31, 2019, resulting mainly from the payment of loans, among them loans and financing with financial institutions governed by the Normalization Agreement, partially offset by the impact of exchange rate variation on;  recording of R$3,769.7 million as of December 31, 2019 related to the provision payable for leasing due to the adoption of IFRS 16, using the modified retrospective approach, that is, the effects were recognized as of January 1, 2019, with no change for comparability purposes of 2018 balances; and

 51.2% reduction in provision for procedural risks, from R$2,696.6 million as of December 31, 2018 to R$1,315.8 million as of December 31, 2018, mainly due to the reduction related to tax and social security risks.

Shareholders’ Equity

Shareholders' equity recorded a 16.2% increase from R$27,946.2 million as of December 31, 2018 to R$32,482.0 million as of December 31, 2019 due mainly to the increase in profit reserve of R$2,745.5 million in the fiscal year ended December 31, 2019 and R$1,230.6 million in comprehensive income due mainly to accumulated translation adjustments and exchange variation on foreign investments.

Fiscal year ended December 31, 2018 compared to fiscal year ended December 31, 2017

CONSOLIDATED STATEMENT OF INCOME (in BRL million) 2018 %NR 2017 %NR Var(%) Var(R$)

GROSS OPERATING REVENUE FROM SELLING 187,162.7 103.0% 168,873.4 103.5% 10.8% 18,289.3 Domestic market 140,054.0 77.1% 123,583.1 75.7% 13.3% 16,470.9 Foreign market 47,108.7 25.9% 45,290.4 27.8% 4.0% 1,818.3 SELLING DEDUCTIONS (5,482.4) (3.0)% (5,703.4) (3.5)% (3.9)% 221.0 Returns and discounts (3,784.0) (2.1)% (3,697.0) (2.3)% 2.4% (87.0) Taxes on selling (1,698.5) (0.9)% (2,006.5) (1.2)% (15.4)% 308.0 NET OPERATING REVENUE 181,680.2 100.0% 163,170.0 100.0% 11.3% 18,510.2 Cost of goods sold (155,340.1) (85.5)% (139,397.7) (85.4)% 11.4% -(15,942.4) GROSS PROFIT 26,340.2 14.5% 23,772.2 14.6% 10.8% 2,568.0 OPERATING REVENUE (EXPENSES) (19,182.8) (10.6)% (17,043.8) (10.4)% 12.6% (2,139.0) General and administrative (8,587.6) (4.7)% (8,216.3) (5.0)% 4.5% (371.3) With selling (10,422.0) (5.7)% (8,862.0) (5.4)% 17.6% (1,560.0) Other expenses (388.1) (0.2)% (525.2) (0.3)% (26.1)% 137.1 Other revenues 214.9 0.1% 559.7 0.3% (61.6)% (344.8) Net financial result (8,282.2) (4.6)% (5,595.3) (3.4)% 48.0% (2,686.9) Equity income 26.5 0.0% 18.6 0.0% 42.0% 7.9

RESULT BEFORE PROVISION FOR INCOME TAX AND 0.7% (195.4)% SOCIAL CONTRIBUTION (1,098.4) (0.6)% 1,151.8 (2,250.2) Current income tax and social contribution 247.4 0.1% (1,274.7) (0.8)% - 1,522.1 Deferred income tax and social contribution 1,061.1 0.6% 1,148.4 0.7% (7.6)% (87.3) NET INCOME (LOSS) FOR THE PERIOD 210.1 0.1% 1,025.5 0.6% (79.5)% (815.4) Attributed to: 25.2 0.0% 534.2 0.3% (95.3)% (509.0) Participation of controlling interest Participation of non-controlling interest (62.4)% 184.9 0.1% 491.3 0.3% (306.4)

Consolidated Results of Operations Net Income

For the reasons described below, the Company recorded net income of R$210.1 million for the year ended December 31, 2018, a decrease of 79.5% compared to net income of R$1,025.5 million for the year ended December 31, 2017. Net income as a percentage of revenue was 0.1% for the year ended December 31, 2018. For the fiscal year ended December 31, 2017, net income as a percentage of revenue was 0.6%.

Net Revenue

Fiscal Year ended on December Variation (R$ million, except %) 31, 2018 2017 %

Net income 210.1 1,025.5 (815.4) (79.5%)

Gross profit as a percentage of net revenue 14.5% 14.6% (0.1)p.p. -

Net income as percentage of net revenue 0.1% 0.6% (0.5)p.p. -

Net revenue...... 181,680.2 163,170.0 18,510.3 11.3%

Organic net revenue (unaudited) (1)...... 162,473.6 158,421.7 4,051.9 2.6%

Impact of acquisitions (unaudited) (2)...... 1,742.9 1,081.9 661.1 61.1%

Impact of divestitures (unaudited).... 399.7 3,666.4 (3,266.7) (89.1%)

Effect of exchange rate variation 17,064.0 — 17,064.0 — (unaudited) (2).. (1) Organic net revenues for the years ended December 31, 2018 and 2017 include revenues related to GNP operations for the period from January 6, 2017 and for the year ended December 31, 2018. (2) The impact of acquisitions and the effect of exchange rate changes are computed for the period ended December 31, 2018 as the intention is to show the change in organic revenue between 2018 and 2017.

The Company's net revenue increased by R$18,510.3 million or 11.3% in 2018 compared to 2017. Net revenue was impacted by:

 Effect of Exchange Variation - Net revenue increased by R$17,064.0 million as a result mainly of the depreciation of the Brazilian Real against the US dollar resulting in gains in the consolidation of operations in the United States;

 Organic Net Revenue - Organic net revenue was positively impacted by average price increases in all segments in which the Company operates, except for the Beef USA and Pork USA segments, coupled with increases in volumes sold from the Brazil, Beef USA and Chicken USA segments; partially offset by lower volumes sold from the Seara and Pork USA segments; and

Impact of Acquisitions - The Company's results of operations for the year ended December 31, 2018 were positively impacted by the acquisition of Plumrose, which was completed on May 1, 2017.These effects were partially offset by:

 Impact of Divestitures - Net revenue was negatively impacted by the divestiture of all shares in beef operating subsidiaries: JBS Argentina S.A., JBS Paraguay S.A. and Frigorífico Canelones S.A. (Uruguay) completed in the first half of 2017, and by the selling of the JBS Five Rivers operations, which was completed in the first quarter of 2018.

Cost of Goods Sold

Fiscal Year ended on December Variation (R$ million, except %) 31, 2018 2017 %

Cost of Goods Sold 155,340.1 139,397.7 15,942.3 11.4%

Gross Profit 26,340.2 23,772.2 2,568.0 10.8%

Cost of goods sold as a percentage of net 85.5% 85.4% 0.1 p.p. - revenue

The Company's cost of goods sold increased by R$15,942.3 million, or 11.4% in 2018 compared to 2017. The cost of goods sold was mainly impacted by: (1) effect of exchange rate changes, as a result primarily of the depreciation of the Brazilian Real against the US dollar and its impacts on the consolidation of operations in the United States; (2) an increase in operating costs, as a result primarily of higher raw material prices, live animals and labor costs; and (3) the impacts of acquisitions, primarily the acquisition of Plumrose, which was completed on May 1, 2017. These increases were partially offset by the net reduction resulting from the divestiture of the beef operations in Argentina, Paraguay and Uruguay, which was completed in the first half of 2017, and the divestiture of JBS Five Rivers, which was completed in the first quarter of 2018.

For a discussion of operating costs by segment, see "—Segment Results."

General and Administrative and Other Expenses

Fiscal Year ended on December Variation (R$ million, except %) 31, 2018 2017 %

General and administrative expenses 8,587.6 8,216.3 371.3 4.5%

General and administrative expenses as a 4.7% 5.0% (0.3)p.p. - percentage of net revenue

The Company's general and administrative expenses increased by R$371.3 million, or 4.5% in 2018 compared to 2017. General and administrative expenses were impacted primarily by (1) adherence to the Rural Tax Regularization Program related to the installment payment of Funrural debts in Brazil; (2) the effect of exchange rate variation, as a result primarily of the depreciation of the Brazilian Real against the US dollar and its impacts on the consolidation of operations in the United States; and (3) the addition of several administrative departments in connection with acquisitions that were completed, primarily the acquisition of Plumrose, completed on May 1, 2017. These increases were partially offset by: (i) a reduction in contingencies related to a favorable decision obtained by a subsidiary, which reversed a provision, positively impacting administrative expenses; and (ii) a net reduction resulting from the divestiture of the beef operations in Argentina, Paraguay and Uruguay, completed in the first half of 2017, and the divestiture of JBS Five Rivers, which was completed in the first quarter of 2018.

Selling Expenses

Fiscal Year ended on December Variation (R$ million, except %) 31, 2018 2017 %

Selling expenses 10,422.0 8,862.0 1,560.0 17.6% Selling expenses as a percentage of selling 5.7% 5.4% 0.3 p.p. - revenue

The Company's selling expenses increased by R$1,560.0 million, or 17.6% in 2018 compared to 2017. Selling expenses were impacted by: (1) an increase in freight expenses, mainly due to the growth in volumes in the United States and in the beef operations in Brazil; (2) the effect of exchange rate changes, as a result mainly of the depreciation of the Brazilian Real against the US dollar and its impacts on the consolidation of operations in the United States; (3) the addition of several selling departments in connection with the acquisitions that were completed, mainly the acquisition of Plumrose, which was completed on May 1, 2017. These increases were partially offset by a net decrease resulting from the divestiture of the beef operations in Argentina, Paraguay and Uruguay, which was completed in the first half of 2017, and the divestiture of JBS Five Rivers, which was completed in the first quarter of 2018.

Net Financial Expenses Fiscal Year ended on December Variation (R$ million, except %) 31, 2018 2017 %

Net financial expenses (8,282.2) (5,595.3) (2,686.9) 48.0%

Result of active and passive exchange (4,337.6) (962.4) (3,375.2) 350.7% variations

Fair value adjustment of derivatives 57.8 28.6 29.2 102.1%

Interest liabilities (3,935.2) (4,761.0) 825.9 (17.3%)

Interest income 288.4 258.0 30.4 11.8%

Taxes, contributions, tariffs and others (355.6) (158.5) (197.1) 124.4%

Net financial expenses increased by R$2,686.9 million, or 48.0% in 2018 compared to 2017, mainly by:

 Exchange Variation - exchange variation expense during the year ended December 31, 2017 was R$962.4 million compared to a foreign exchange variation expense of R$4,337.6 million in the corresponding period in 2018, as a result of the depreciation of the Brazilian Real against foreign currencies in these periods;

 Risk Management Activities - income from results of derivative transactions was R$28.6 million during the year ended December 31, 2017. In the corresponding period in 2018, there was income with results from derivative operations of R$57.8 million, substantially all related to the practice of hedging exposure against the devaluation of the real and against the fluctuation of grain prices adopted by the Company;

 Interest Liabilities - a 17.4% decrease in interest expense, primarily as a result of certain companies in Brazil paying off loans and financing at higher interest rates, partially offset by the depreciation of the Brazilian Real against foreign currencies in 2018 and its impact on US dollar-denominated debt. In the period ended December 31, 2017 there was recognition of a non-recurring expense of R$927.1 million of interest related to the Company's adhesion to the Special Program for Tax Regularization (PERT), related to the Company's INSS, PIS, COFINS, and IR/CSLL debts registered or not in the federal active debt;

 Interest Income - a 11.8% increase in interest income; and

 Bank charges - a 124.4% increase in bank charges and other expenses, primarily as a result of the repayment of the JBS S.A. 2020 Notes and part of the JBS USA 2021 Notes during the fourth quarter of 2018. Current and Deferred Income Tax and Social Contribution

Fiscal Year ended on December Variation (R$ million, except %) 31, 2018 2017 % Result before provision for income tax and (1,098.4) 1,151.8 - - social contribution

Nominal rate (34%) (34%) - -

Expected benefit (expense) 373.4 (391.6) - -

Current income tax and social contribution 247.4 (1,274.7) - -

Deferred income tax and social contribution 1,061.1 1,148.4 (87.3) (7.6%)

Total tax expenses 1,308.5 (126.3) - -

Additionally, permanent differences generated during the period can also impact the Company's effective tax rate. These permanent differences generally refer to allowances on investments in Brazil and abroad, differences in tax rates in foreign subsidiaries, deferred taxes not recognized in the current year, non-taxable interest income in foreign subsidiaries and the impact of taxation of companies with dual jurisdictions.

Segment Results

Fiscal Year ended on December Variation (R$ million, except %) 31, 2018 2017 %

Net revenue 181,680.2 163,170.0 18,510.3 11.3% Brazil Segment...... 27,578.9 23,560.0 4,018.9 17.1%

Seara Segment...... 17,670.1 17,473.1 197.0 1.1%

Beef USA Segment...... 78,644.1 69,188.9 9,455.2 13.7%

Pork USA Segment...... 20,774.7 19,830.1 944.6 4.8%

Chicken USA Segment...... 39,881.0 34,333.2 5,547.8 16.2%

Other Segment...... 2,423.7 3,757.3 (1,333.6) (35.5%)

Eliminations...... (5,292.3) (4,972.6) (319.7) 6.4%

Operating costs 171,864.8 154,225.7 17,639.0 11.4%

Brazil Segment...... 27,226.9 24,316.5 2,910.3 12.0%

Seara Segment...... 17,223.2 16,889.3 333.9 2.0% Beef USA Segment...... 73,013.0 65,718.4 7,294.6 11.1%

Pork USA Segment...... 19,099.9 17,587.2 1,512.7 8.6%

Chicken USA Segment...... 38,127.3 30,838.4 7,288.9 23.6%

Other Segment...... 2,466.9 3,848.5 (1,381.6) (35.9%)

Eliminations...... - - - -

Operating profit 9,931.9 8,944.3 987.6 11.0%

Brazil Segment...... 468.4 (756.6) 1,225.0 (161.9%)

Seara Segment...... 446.9 583.7 (136.8) (23.4%)

Beef USA Segment...... 5,631.2 3,470.5 2,160.7 62.3%

Pork USA Segment...... 1,674.8 2,242.9 (568.1) (25.3%)

Chicken USA Segment...... 1,753.7 3,494.8 1,741.1 (49.8%)

Other Segment...... (43.1) (91.1) 48.0 (52.7%)

Eliminations...... - - - -

Brazil Segment

Fiscal Year ended on December Variation (R$ million, except %) 31, 2018 2017 %

Net revenue 27,578.9 23,560.0 4,018.9 17.1% Organic net revenue 25,526.2 21,826.0 3,700.2 17.0% (unaudited)...... Effect of eliminations 2,052.7 1,734.0 318.7 18.4% (unaudited)...... Operating costs 27,110.5 24,316.5 2,794.0 11.5%

Operating profit 468.4 (756.6) 1,225.0 (161.9%)

Operating margin (% of net revenue) 1.7% (3.2%) 4.9 p.p. -

Net Revenue. The changes in the net revenues in the Brazil segment in 2018 when compared to 2017 were positively impacted by:

 Organic net revenue: organic net revenue was primarily impacted by: (1) increased sales volume in 2018 compared to 2017; (2) by positive export performance; (3) higher profitability in the mix of products sold as a result of strategic partnerships with key customers in the domestic and international markets; and (4) a more diversified portfolio of products and brands.

 Effect of eliminations- intercompany selling grew by $318.7 million, or 18.4%, from $1,734.0 million in 2017 to $2,052.7 million in 2018.

Operating Costs. Operating costs increased R$2,794.0 million, or 11.5%, from R$24,316.5 million in 2017 to R$27,110.5 million in 2018, mainly impacted by: (i) increase in operating costs related mainly to the increase in the number of animals processed; and (ii) increase in raw material costs mainly in the regions where slaughter capacity was expanded by the industry. These impacts were partially offset by adequate capacity utilization, diluting fixed costs.

Operating Profit. As a result of the aforementioned, the operating profit of the Brazil segment ranged from a loss of R$756.6 million in 2016 to a profit of R$468.4 million in 2018.

Seara Segment

Fiscal Year ended on December Variation (R$ million, except %) 31, 2018 2017 %

Net revenue 17,670.1 17,473.1 197.0 1.1% Organic net revenue 17,387.7 17,248.1 139.6 0.8% (unaudited)...... Effect of eliminations 282.3 225.0 57.4 25.5% (unaudited)...... Operating costs 17,223.2 16,889.3 333.9 2.0%

Operating profit 446.9 583.7 (136.8) (23.4%)

Operating margin (% of net revenue) 2.5% 3.3% - -

Net Revenue. The changes in the net revenues in the Seara segment in 2018 when compared to 2017 were positively impacted by:

 Organic Net Revenue- Organic net revenue was mainly impacted by: (1) the national truck drivers' strike in Brazil, resulting in fewer shipments to the international market; (2) the temporary suspension of the selling of Brazilian pork to the Russian market; and (3) the reduction in prices of fresh chicken in the domestic market due to excess supply because of an increase in production and due to lower exports.

 Effect of eliminations-intercompany selling grew by $57.4 million, or 25.5%, from $225.0 million in 2017 to $282.3 million in 2018.

Operating Costs. The Company's operating costs increased by R$333.8 million, or 2.0%, from R$16,889.3 million in 2017 to R$17,223.2 million in 2018, impacted primarily by: (1) increased grain costs, mainly corn and soybean meal; and (2) the impact of the national truck drivers' strike in Brazil that mainly resulted in increased waste, lower animal productivity, as well as higher industrial and logistics costs and also the reduced the number of animals available for processing in the second half of 2018.

Operating profit. As a result of the above, Seara segment operating profit decreased by R$136.8 million, or 23.4%, from R$583.7 million in 2017 to R$446.9 million in 2018.

Beef USA Segment Fiscal Year ended on December Variation (R$ million, except %) 31, 2018 2017 %

Net revenue 78,644.1 69,188.9 9,455.2 13.7% Organic net revenue 65,983.2 64,582.2 1,401.0 2.2% (unaudited)...... Effect of eliminations 2,552.9 2,458.9 94.0 3.8% (unaudited)...... Impact of divestitures (unaudited) 399.7 2,147.8 (1,748.1) (81.4%)

Effect of exchange variation 9,708.4 - 9,708.4 -

Operating costs 73,013.0 65,718.4 7,294.6 11.1%

Operating profit 5,631.2 3,470.5 2,160.7 62.3%

Operating margin (% of net revenue) 7.2% 5.0% 2.1 p.p. - (1) The impact of acquisitions and the effect of foreign exchange rate changes are computed for the period ended December 31, 2018 as the intent is to show the change in organic revenue between 2018 and 2017.

Net Revenue. Changes in the Beef USA segment's net revenue in 2018 compared to 2017 were positively impacted by:

 Effect of Exchange Variation- Net revenue increased by R$9,708.4 million as a result mainly of the depreciation of the Brazilian Real against the US dollar resulting in gains in the consolidation of operations in the United States;

 Organic Net Revenue- Organic net revenue was impacted by: (1) in North America due to: (i) strong economic fundamentals in the domestic market that leveraged beef consumption; (ii) production growth supported by favorable demand in both domestic and international markets; and (iii) the Company's focus on product diversification and customer segmentation; (2) in Australia due to: (i) improved operations as a result of higher cattle availability and higher fresh beef exports; and (ii) the Company's focus on operational efficiencies and portfolio diversification, which includes higher value-added beef products and Primo Smallgoods products; and

 Effect of eliminations – intercompany selling grew by R$94.0 million, or 3.8%, from R$2,458.9 million in 2017 to R$2,552.9 million in 2018.

These effects were partially offset by:

 Impact of Divestitures - A net decrease of R$1,748.1 million, due to the disposal of JBS Five Rivers.

Operating Costs. The Company's operating costs increased by R$7,294.5 million, or 11.1%, from R$65,718.4 million in 2017 to R$73,012.9 million in 2018, and were primarily impacted by the effect of foreign exchange variation as a result primarily of the depreciation of the Brazilian Real against the US dollar and its impacts on the consolidation of operations in the United States. This increase was offset by a net decrease related to the divestiture of JBS Five Rivers, a net decrease resulting from a strong cattle supply, coupled with the Company's focus on operational efficiencies.

Operating profit. As a result of the above, the Beef USA segment's operating income increased by R$2,160.7 million, or 62.3%, from R$3,470.5 million in 2017 to R$5,631.2 million in 2018. Pork USA Segment

Fiscal Year ended on December Variation (R$ million, except %) 31, 2018 2017 %

Net revenue 20,774.7 19,830.1 944.6 4.8% Organic net revenue 16,391.1 18,492.8 (2,101.7) (11.4%) (unaudited)...... Effect of eliminations 296.0 255.4 40.6 15.9% (unaudited)...... Effect of acquisitions (unaudited) 1,742.9 1,081.9 661.1 61.1%

Effect of exchange variation (unaudited) 2,344.6 - 2,344.6 -

Operating costs 19,099.9 17,587.2 1,512.7 8.6%

Operating profit 1,674.8 2,242.9 (568.1) (25.3%)

Operating margin (% of net revenue) 8.1% 11.3% (3.2)p.p. - (1) The impact of acquisitions and the effect of foreign exchange rate changes are computed for the period ended December 31, 2018 as the intent is to show the change in organic revenue between 2018 and 2017.

Net Revenue. Changes in the Pork USA segment's net revenue in 2018 compared to 2017 were positively impacted by:

 Effect of Exchange Variation- Net revenue increased by R$2,344.6 million as a result mainly of the depreciation of the Brazilian Real against the US dollar resulting in gains in the consolidation of operations in the United States;

 Impact of Acquisitions- Net revenue in the year ended December 31, 2018 was positively impacted by the acquisition of Plumrose, which was completed on May 1, 2017, and which was recorded only eight months into 2017. Plumrose continues to successfully implement its strategy of growth and innovative product launches; and

 Effect of eliminations-intercompany selling grew by R$40.6 million, or 15.9%, from R$255.4 million in 2017 to R$296.0 million in 2018.

These effects were partially offset by:

 Organic Net Revenue- Organic net revenue was impacted by: (1) an increase in the supply of pork, which contributed to a reduction in the selling prices; partially offset by: (i) an increase in revenues from exports considering that relevant markets such as Mexico, Japan and Canada maintained the same level of purchases, while other markets such as South Korea increased volumes significantly, coupled with the Company's focus on new regions such as Colombia and Central America; and (ii) our strategy of growing volumes of products with higher added value in the domestic market, coupled with partnerships with key customers. Despite tariffs on the United States set by China and Mexico, the sector's export revenues increased.

Operating Costs. The Company's operating costs increased by R$1,512.7 million, or 8.6%, from R$17,587.2 million in 2017 to R$19,099.9 million in 2018, and were primarily impacted by (1) the effect of foreign exchange variation as a result mainly of the depreciation of the Brazilian Real against the US dollar and its impacts on the consolidation of operations in the United States; and (2) the increase related to the acquisition of Plumrose, which was completed on May 1, 2017, and which was recorded only eight months in 2017. This increase was partially offset by the net decrease related to lower raw material costs.

Operating profit. As a result of the above, the operating profit of the Pork USA segment decreased by R$568.1 million, or 25.3%, from R$2,242.9 million in 2017 to R$1,674.8 million in 2018.

Chicken USA Segment

Fiscal Year ended on December Variation (R$ million, except %) 31, 2018 2017 %

Net revenue 39,881.0 34,333.2 5,547.8 16.2% Organic net revenue 34,794.5 34,185.1 609.4 1.8% (unaudited)...... Effect of eliminations 75.6 148.2 (72.6) (49.0%) (unaudited)...... Effect of exchange variation (unaudited) 5,011.0 - 5,011.0 -

Operating costs 38,127.3 30,838.4 7,288.9 23.6%

Operating profit 1,753.7 3,494.8 (1,741.1) (49.8%)

Operating margin (% of net revenue) 4.4% 10.2% (5.8)p.p. - (1) Organic net revenues for the years ended December 31, 2018 and 2017 include revenues related to GNP operations for the period from January 6, 2017 and for the year ended December 31, 2018.

(2) The impact of acquisitions and the effect of foreign exchange rate changes are computed for the period ended December 31, 2018 as the intent is to show the change in organic revenue between 2018 and 2017.

Net Revenue. Changes in the Chicken USA segment's net revenue in 2018 compared to 2017 were positively impacted by:

 Effect of Exchange Variation- Net revenue increased by R$5,011.0 million as a result mainly of the depreciation of the Brazilian Real against the US dollar resulting in gains in the consolidation of operations in the United States;

 Organic Net Revenue- Organic net revenue was impacted by: (1) an increase in prepared products volumes, including significant growth in organic products in the United States, offset by adverse commodity market conditions; (2) strong results in Mexico in the first half of 2018, excess chicken in the third quarter and a better fourth quarter; and (3) better-than-expected integration of Moy Park's European operations.

These effects were partially offset by:

 Effect of eliminations - intercompany selling decreased by R$72.6 million, or 49.0%, from R$148.2 million in 2017 to R$75.6 million in 2018 primarily as a result of the integration of Moy Park.

Operating Costs. The Company's operating costs increased by R$7,288.8 million, or 23.6%, from R$30,838.4 million in 2017 to R$38,127.2 million in 2018, and were mainly impacted by (1) the increase in raw material costs, particularly in Europe; and (2) the effect of exchange rate variation as a result mainly of the depreciation of the Brazilian Real against the US dollar and the British pound. These increases were partially offset by: (i) the result of strategic investments that have increased efficiencies in operations; and (ii) positive results from the integration of Moy Park and operational improvements, which are generating synergies faster than expected. Operating profit. As a result of the above, the Chicken USA segment's operating profit decreased by R$1,741.0 million, or 49.8%, from R$3,494.8 million in 2017 to R$1,753.8 million in 2018.

Other Segment

Fiscal Year ended on December Variation (R$ million, except %) 31, 2018 2017 %

Net revenue 2,423.7 3,757.3 (1,333.6) (35.5%) Organic net revenue 2,390.9 2,087.5 303.4 14.5% (unaudited)...... Effect of eliminations 32.9 151.3 (118.4) (78.3%) (unaudited)...... Effect of exchange variation (unaudited) 0.0 1,518.6 (1,518.6) (100.0%)

Operating costs 2,466.9 3,848.5 (1,381.6) (35.9%)

Operating profit (43.1) (91.1) 48.0 (52.7%)

Operating margin (% of net revenue) n.m. n.m. n.m. - n.m. = non-material

Net Revenue. Changes in net revenues in the "Other" segment in 2018 compared to 2017 were negatively impacted by:

 Effect of eliminations - intercompany selling decreased by R$118.4 million, or 78.3%, from R$151.3 million in 2017 to R$32.9 million in 2018.

These effects were partially offset by:

 Organic Net Revenues- Organic net revenues were positively impacted by increased selling revenues from the global leather units produced in Argentina, Uruguay, Italy, Mexico and Vietnam; and from global selling of beef products by the trading companies in the UK and Belgium.

Operating Costs. The Company's operating costs decreased by R$1,381.6 million, or 35.9%, from R$3,848.5 million in 2017 to R$2,446.9 million in 2018, and were primarily impacted by (1) a decrease related to the divestiture of all shares in the beef operating subsidiaries in Argentina, Paraguay and Uruguay; and (2) an increase in operating costs primarily related to increased costs at the global leather units and the trading companies.

Operating Loss. As a result of the above, the Other segment's operating loss decreased by R$48.0 million, or 52.7%, from R$91.1 million in 2017 to R$43.1 million in 2018.

Comparison of balance sheet accounts for the years ended December 31, 2018 and December 31, 2017

December 31, 2018 December 31, 2017 2018/2017

Balance Sheets (in R$ million) Consolidated AV% Consolidated AV% AH%

CURRENT ASSETS 8,935.8 7.8% 11,741.3 10.8% (23.9)%

Cash and cash equivalents 9,657.0 8.5% 9,333.3 8.6% 3.5%

Trade receivables 11,311.7 9.9% 9,684.9 8.9% 16.8%

Inventories 3,191.0 2.8% 2,767.3 2.5% 15.3%

Biological assets 2,210.0 1.9% 974.4 0.9% 126.8%

Taxes recoverable 52.8 0.0% 30.8 0.0% 71.6%

Derivatives receivable 701.3 0.6% 0.0 0.0% -

Credits with related companies 0.0 0.0% 817.7 0.8% (100.0)%

Assets available for selling 840.0 0.7% 755.9 0.7% 11.1%

Other current assets 8,935.8 7.8% 11,741.3 10.8% (23.9)%

TOTAL CURRENT LIABILITIES 36,899.5 32.3% 36,105.5 33.2% 2.2%

NON-CURRENT ASSETS

Biological assets 1,168.5 1.0% 967.8 0.9% 20.7%

Taxes recoverable 9,073.3 7.9% 7,521.1 6.9% 20.6%

Credits with related companies 0.0 0.0% 897.5 0.8% (100.0)%

Investments in associates, subsidiaries and joint 85.0 0.1% 64.0 0.1% 32.7% ventures

Fixed assets 35,109.2 30.8% 33,563.1 30.9% 4.6%

Deferred income tax and social contribution 1,159.4 1.0% 434.9 0.4% 166.6%

Intangible assets 5,819.3 5.1% 5,512.1 5.1% 5.6%

Goodwill 23,775.6 20.8% 22,488.2 20.7% 5.7%

Other non-current assets 1,056.0 0.9% 1,141.7 1.1% (7.5)%

TOTAL NON-CURRENT LIABILITIES 77,246.3 67.7% 72,590.4 66.8% 6.4%

TOTAL ASSETS 114,145.8 100.0% 108,696.0 100.0% 5.0%

December 31, 2018 December 31, 2017 2018/2017

Balance Sheets (in R$ million) Consolidated AV% Consolidated AV% AH%

CURRENT LIABILITIES

Trade accounts payable 13,075.6 11.5% 9,992.8 9.2% 30.9%

Loans and financing 2,922.6 2.6% 13,526.1 12.4% (78.4)%

Income tax and social contribution payable 202.7 0.2% 905.5 0.8% (77.6)%

Tax liabilities 525.5 0.5% 461.0 0.4% 14.0% Labor and social liabilities 3,508.6 3.1% 3,034.1 2.8% 15.6%

Dividends declared 6.6 0.0% 127.5 0.1% (94.8)%

Commitments to third parties for investments 45.5 0.0% 73.2 0.1% (37.8)%

Derivative liabilities 210.0 0.2% 118.7 0.1% 77.0%

Liabilities classified as held for sale 0.0 0.0% 23.3 0.0% (100.0)%

Other current liabilities 1,104.6 1.0% 917.3 0.8% 20.4%

TOTAL CURRENT LIABILITIES 21,601.7 18.9% 29,179.3 26.8% (26.0)%

NON-CURRENT ASSETS

Loans and Financing 53,230.9 46.6% 43,498.6 40.0% 22.4%

Tax liabilities 842.3 0.7% 787.2 0.7% 7.0%

Labor and social liabilities 3,740.5 3.3% 1,848.2 1.7% 102.4%

Commitments to third parties for investments 23.7 0.0% 39.9 0.0% (40.6)%

Deferred income tax and social contribution 3,483.5 3.1% 3,697.2 3.4% (5.8)%

Provisions for contingent liabilities 2,696.6 2.4% 2,888.2 2.7% (6.6)%

Other non-current liabilities 580.3 0.5% 616.7 0.6% (5.9)%

TOTAL NON-CURRENT LIABILITIES 64,597.9 56.6% 53,375.9 49.1% 21.0%

SHAREHOLDERS’ EQUITY

Capital stock 23,576.2 20.7% 23,576.2 21.7% 0.0%

Capital reserves -255.7 -0.2% -289.3 -0.3% (11.6)%

Revaluation reserves 62.5 0.1% 67.9 0.1% (8.0)%

Profit reserves 1,869.3 1.6% 2,277.2 2.1% (17.9)%

Other comprehensive results 394.7 0.3% -1,344.4 -1.2% (129.4)%

Attributed to the participation of the controlling 25,647.0 22.5% 24,287.6 22.3% 5.6% interest

Participation of non-controlling interest 2,299.2 2.0% 1,853.1 1.7% 24.1%

TOTAL SHAREHOLDERS’ EQUITY 27,946.2 24.5% 26,140.7 24.0% 6.9%

TOTAL LIABILITIES AND SHAREHOLDERS’ 114,145.8 100.0% 108,696.0 100.0% 5.0% EQUITY

Overall, the equity accounts were impacted by (i) the depreciation of the Brazilian Real against the US dollar from R$/US$3.31 as of December 31, 2017 to R$/US$3.87 as of December 31, 2018; and (ii) the divestiture of JBS Five Rivers.

Current Assets Current assets increased by 2.2%, from R$36,105.5 million as of December 31, 2017 to R$36,899.5 million as of December 31, 2018. The main changes were:

 23.9% decrease in cash and cash equivalents, from R$11,741.3 million as of December 31, 2017 to R$8,935.8 million as of December 31, 2018, due primarily to the repayment of loans and financing during the period ended December 31, 2018;

 3.5% increase in trade receivables, from R$9,333.3 million as of December 31, 2017 to R$9,657.0 million as of December 31, 2017, stemming mainly from the increase in receivables related to cattle operations in Brazil due to increased selling volumes;

 16.8% increase in inventories, from R$9,684.9 million as of December 31, 2017 to R$11,311.7 million as of December 31, 2018, resulting mainly from increased inventories in the Brazil and Seara segments;

 126.8% increase in recoverable taxes, from R$974.4 million as of December 31, 2017 to R$2,210.0 million as of December 31, 2018, mainly arising from recoverable taxes arising from income taxes paid by foreign subsidiaries and to income tax withheld at source.

 increase of R$701.3 million due to the transfer of receivables with related companies from long-term to short-term during the period ended December 31, 2018.

 reduction of R$817.7 million in JBS Five Rivers assets classified as available for selling on December 31, 2017 and which were sold in the first quarter of 2018.

Non-current Assets

Non-current assets recorded a 6.4% increase from R$72,590.4 million as of December 31, 2017 to R$77,246.3 million as of December 31, 2018. The main changes were:

 20.7% increase in non-current biological assets, from R$967.8 million at December 31, 2017 to R$1,168.5 million at December 31, 2018, as a consequence of the increase in biological assets in the chicken operations in the United States;

 20.6% increase in recoverable taxes, from R$7,521.1 million as of December 31, 2017 to R$9,073.3 million as of December 31, 2018, arising mainly from recoverable taxes arising from income taxes paid by foreign subsidiaries and withheld income tax.

 4.6% increase in fixed assets, which increased from R$33,563.1 million as of December 31, 2017 to R$35,109.2 million as of December 31, 2018, stemming mainly from the impact of the depreciation of the Brazilian Real against the US dollar on the consolidation of fixed assets outside Brazil and investments in plant and equipment maintenance;

 166.6% increase in deferred income and social contribution taxes, from R$434.9 million as of December 31, 2017 to R$1,159.4 million as of December 31, 2018, arising mainly from tax losses and negative basis of social contribution generated in certain subsidiaries; and

 5.7% increase in goodwill, from R$22,488.2 million as of December 31, 2017 to R$23,775.6 million as of December 31, 2018, resulting mainly from exchange rate variation and its impacts on the consolidation of goodwill in foreign companies.

Current Liabilities

The current liabilities balance decreased by 26.0%, from R$29,179.3 million as of December 31, 2017 to R$21,601.7 million as of December 31, 2018. The main changes were:  30.9% increase in suppliers, from R$9,992.8 million as of December 31, 2017 to R$13,075.6 million as of December 31, 2018, resulting mainly from the increase in risk transactions drawn with financial institutions with suppliers in the domestic market in Brazil and the increase in the volume of accounts payable for services and materials;

 78.4% decrease in current loans and financing, from R$13,526.1 million as of December 31, 2017 to R$2,922.6 million as of December 31, 2018, resulting mainly from the Normalization Agreement entered into on May 14, 2018 with bank creditors that guarantees the maintenance of credit lines in the amount of approximately R$12.2 billion for a period of 36 months counted from July 2018, with amortization of approximately 25% of the principal starting in January 2019 and until the end of the term of the Normalization Agreement in July 2021. In September 2018, the Company, and its subsidiary Seara brought forward the payment of R$2.0 billion of the installments of the Normalization Agreement, which were due in 2019 and 2020; and

 77.6% decrease in income tax and social contribution payable tax liabilities, from R$905.5 million as of December 31, 2017 to R$202.7 million as of December 31, 2018, due to income tax and social contribution paid during the period ended December 31, 2018.

Non-Current Liabilities

The balance of non-current liabilities increased by 21.0%, from R$53,375.9 million as of December 31, 2017 to R$64,597.9 million as of December 31, 2018. The main changes were:

 22.4% increase in non-current loans and financing, from R$43,498.6 million as of December 31, 2017 to R$53,230.9 million as of December 31, 2018, stemming mainly from the Normalization Agreement that lengthened the debt profile; and

 102.4% increase in labor and social obligations, from R$1,848.2 million as of December 31, 2017 to R$3,740.5 million as of December 31, 2017, stemming mainly from the Company's adherence to the PRR (Funrural Installments) and the consequent increase in social charge installments.

Shareholders’ Equity

Shareholders' equity recorded an increase of 6.9% from R$26,140.7 million as of December 31, 2017 to R$27,946.2 million as of December 31, 2018 due mainly to the increase of R$1,720.7 million related to accumulated translation adjustments and exchange variation on investment abroad.

Cash Flow

The table below shows the cash flow from operating, investing, and financing activities for the periods indicated:

Fiscal Year ended on December 31, (R$ million) 2020 2019 2018 Net cash generated by operating 23,784.3 13,768.5 7,442.5 activities

Net cash used in investing activities (7,833.1) (5,854.5) (1,742.7)

Net cash provided by (used in) (9,022.1) (6,444.4) (9,989.1) financing activities

Exchange variation on cash and cash 2,716.8 (371.5) 1,483.8 equivalents

Net change in cash and cash 9,645.8 1,098.2 (2,805.5) equivalents Initial cash and cash equivalents 10,034.0 8,935.8 11,741.3 Final cash and cash equivalents 19,679.7 10,034.0 8,935.8

Operating Activities

The cash flow generated by operating activities can vary according to the fluctuation of revenues from selling, cost of goods sold, operating expenses, changes in operating activities, interest paid and received, and income and social contribution taxes paid.

Net cash generated from operating activities in the fiscal year ended December 31, 2020 was R$23,784.3 million, compared to cash generated from operating activities of R$13,768.5 million in the same period in 2019. The change in cash flow from operating activities between these periods is mainly due to:

 adjustments to net income, especially (i) the net financial result, in the amount of R$12,238.9 million; and (ii) the amounts recorded with income tax and social contribution totaling R$3,609.2 million.

 cash related to changes in assets and liabilities, which went from utilization of R$3,148.8 million in the fiscal year ended December 31, 2019 to utilization of R$2,686.0 million in the corresponding period in 2020, mainly due to the increase in supplier and vendor accounts drawn risk and reduction in accounts receivable;

 changes in interest paid, which reduced from R$3,605.0 million in the fiscal year ending December 31, 2019 to R$3,504.7 million in the corresponding period in 2020; and

 changes in interest received, which increased from R$275.1 million in the fiscal year ended December 31, 2019 to R$284.9 million in the corresponding period in 2020.

Net cash generated from operating activities in the fiscal year ended December 31, 2019 was R$13,768.5 million, compared to cash generated from operating activities of R$7,442.5 million in the same period in 2018. The change in cash flow from operating activities between these periods is mainly due to:

 increase in the net income recorded by the Company from R$210.1 million in the fiscal year ended December 31, 2018 to R$6,464.9 million in the corresponding period in 2019, which after adjustments, resulted in a generation of R$15,260.8 million in the fiscal year ended December 31, 2018, compared to a generation of R$20,247.2 million in the corresponding period in 2019;

 to cash related to changes in assets and liabilities, which increased from a utilization of R$3,794.2 million in the fiscal year ended December 31, 2018 to a utilization of R$3,148.8 million in the corresponding period in 2019, mainly due to the increase in the accounts of suppliers and supplier debtor risk;

 changes in interest paid, which reduced from R$4,395.0 million in the fiscal year ended December 31, 2018 to R$3,605.0 million in the corresponding period in 2019; and

 changes in interest received, which decreased from R$370.9 million in the fiscal year ended December 31, 2018 to R$275.1 million in the corresponding period in 2019.

Net cash generated from operating activities in the year ended December 31, 2018 was R$7,442.5 million, compared to cash generated from operating activities of R$5,204.0 million in the corresponding period in 2017. The change in cash flow from operating activities between these periods is mainly due to:

 net income recorded by the Company of R$1,025.5 million in the year ended December 31, 2017, compared to net income of R$210.1 million in the corresponding period in 2018, which after adjustments, resulted in a generation of R$13,748.2 million in the year ended December 31, 2017, compared to a generation of R$15,260.8 million in the corresponding period in 2018;

 cash related to changes in assets and liabilities, which increased from a use of R$5,049.8 million in the year ended December 31, 2017 to a use of R$3,794.2 million in the corresponding period in 2018, mainly due to the use of cash related to the payment of taxes and income and purchase of biological assets, partially offset by the reduction co use of cash in the payment of accounts payable;

 changes in interest paid, which increased from R$3,910.7 million in the year ended December 31, 2017 to R$4,395.0 million in the corresponding period in 2018; and

 changes in interest received, which decreased from R$416.3 million in the year ended December 31, 2017 to R$370.9 million in the corresponding period in 2018.

Investment activities

Cash flow provided by (applied in) investing activities are mainly related to: (1) acquisitions of subsidiaries less the cash position at the time of acquisition; (2) acquisition of fixed assets; (3) acquisition of intangible assets; and (4) the receipt for the selling of fixed assets. In the years ended December 31, 2018, 2019 and 2020, cash invested in investing activities totaled R$1,742.7 million, R$5,854.5 million and R$7,833.1 million, respectively.

For the year ended December 31, 2020, R$5,986.8 million was cash used in the acquisition of fixed assets and R$2,185.5 million was cash used in acquisitions of subsidiaries, net of cash obtained on acquisition, partially offset by R$364.3 million in cash received from selling fixed assets.

For the year ended December 31, 2019, R$4,265.7 million was cash used in the acquisition of fixed assets and R$2,240.2 million was cash used in acquisitions of subsidiaries, net of cash obtained in the acquisition, partially offset by R$450.5 million in cash generated in related party transactions related to receivables under the credit facility between the Company and J&F Oklahoma, and by R$194.5 million in cash generated from the write-off of fixed assets. For the year ended December 31, 2018, R$2,896.8 million was cash used in the acquisition of fixed assets and R$45.1 million was cash used in acquisitions of subsidiaries, net of cash obtained on acquisition, partially offset by R$622.2 million received from the disposal of assets held for sale; and by R$254.1 million in cash generated in related party transactions related to receivables under the credit facility between the Company and J&F Oklahoma.

Financing Activities

Cash flow generated from financing activities includes mainly funds from new loans and financing and cash-settled derivatives. Cash flow applied in financing activities mainly includes principal payments on loans and financing, payments related to cash-settled derivatives, payment for shares held in treasury and dividend payments. In the years ended December 31, 2018, 2019 and 2020, net cash used in financing activities totaled R$9,989.1 million, R$6,444.4 million and R$9,022.1 million, respectively.

In the year ended December 31, 2020, R$15,051.2 million referred to cash used in the payment of loans and financing, R$1,574.9 million was cash used in the payment of leasing and R$1,441.2 million was used in the payment of dividends, such amounts being partially offset by R$11,030.4 million in loans and financing raised.

In the year ended December 31, 2019, R$40,056.7 million relates to cash used in the payment of loans and financing and R$1,357.0 million was cash used in lease payments, partially offset by R$35,014.1 million in loan and financing proceeds.

For the fiscal year ended December 31, 2018, R$20,424.6 million related to cash used to pay loans and financing, R$126.9 million was cash used to pay dividends, and R$498.2 million was cash used to purchase treasury shares, partially offset by R$10,925.3 million in loan and financing proceeds, and R$132.1 million in payments received related to derivatives.

10.2 - Operating and financial results

(a) results of the Company's operations

(i) description of any major revenue components

Net Revenue.

As of January 1, 2018

As of January 1, 2018, the Company changed its executive structure and began reporting six business segments. Accordingly, the Company's net revenue (revenue after deductions corresponding to cancellations, discounts and selling taxes) for the period ended December 31, 2018 (and for comparison purposes, for the period ended December 31, 2017) consists primarily of:

 Revenue from selling beef in Brazil (Brazil Segment). Revenue from selling beef in the domestic market and exports of the following products produced in Brazil: (1) chilled and frozen beef cuts, including traditional cuts, prime cuts and offal; (2) value-added, branded beef products, including frozen cooked and precooked beef, cooked canned beef, diced beef and ready-to-eat products such as burgers and sausages. Additionally, the beef operations in Brazil sell hides and other animal by-products (including collagen, biodiesel, hygiene and cleaning products, metal packaging and wrapping) and count on a carrier, a disposal management company and a trading company for products used as raw material.

 Revenue from selling Seara products (Seara Segment). Revenue from selling in the domestic and export markets of the following products produced in Brazil: (1) chilled and frozen chicken, including whole chicken and cuts; (2) chilled and frozen pork, including carcass, cuts on the bone, boneless cuts, belly, and offal; and (3) value-added and branded chicken and pork products, including nuggets, chicken strips, ham, bacon, sausages, cold cuts, and ready meals; and (3) prepared products (including ready meals, frozen pizza, lasagna, and margarine. Additionally, the Seara segment revenues consist of a variety of prepared products produced by the Company and third parties and sold in the retail market.)

 Revenue from selling beef in the United States (Beef USA Segment). Revenue from selling beef in the domestic market and export of the following products produced in the United States, Canada, and Australia: (1) chilled and frozen beef cuts, including traditional cuts, prime cuts and offal; (2) value-added, branded beef products, including frozen cooked and precooked beef, cooked canned beef, diced beef and ready-to-eat products such as hamburgers and sausages. Additionally, the Company sells chilled and frozen lamb, sheep and pork produced in Australia and value-added and branded lamb and pork products produced in Australia and New Zealand.

 Revenue from selling pork in the United States (Pork USA Segment). Revenue from selling pork in the domestic market and export of the following products produced in the United States: (1) chilled and frozen pork products, cuts on the bone, boneless cuts, and offal; and (2) value-added and branded pork products, including ham, bacon, sausages, cold cuts, and canned meat.

 Revenue from selling chicken in the United States (Chicken USA Segment). Revenue from selling in the domestic and export markets of the following products: (1) chilled and frozen chicken, including whole chicken and cuts produced in the United States, Mexico, Puerto Rico and the United Kingdom; (2) chilled and frozen pork; (3) value-added and branded chicken products, including chilled and frozen controlled portions of chicken breast fillets, chicken fillets and strips, nuggets, chicken strips, and chicken cuts on the bone produced in the United States, Mexico and the United Kingdom; (4) value-added and branded pork products, including bacon, sausages, ham, cooked meat, and canned meat; and (3) prepared products (including ready meals, frozen pizza, lasagna) produced in the United States, Mexico, the United Kingdom, Ireland, France, and the Netherlands.

 Other (Other Segment). (1) Revenue from domestic selling and export of our global leather products produced in Argentina, Uruguay, Italy, Mexico and Vietnam; (2) revenue from selling and value-added, branded deli products produced in Italy; and (3) revenue from sales of our protein products by trading companies in the United Kingdom and Belgium.

Before January 1, 2018

Before January 1, 2018, the Company reported four business segments. Accordingly, the Company's net revenue (revenue after deductions corresponding to cancellations, discounts and selling taxes) for the period ended December 31, 2017 consisted primarily of:

 Revenue from selling beef. In Brazil, the United States, Canada, and Australia, revenues from selling beef in the domestic market and export include: (1) chilled and frozen beef cuts, including traditional cuts, prime cuts and offal; (2 value-added and branded beef products, including frozen cooked and pre-cooked beef, cooked canned beef, diced beef and ready- to-eat products such as burgers and sausages. Additionally, the Company sells chilled and frozen lamb, mutton and pork produced in Australia and value-added, branded lamb, mutton and pork products produced in Australia and New Zealand.

 Revenue from selling pork. Revenue from selling: (1) chilled and frozen pork products, bone- in cuts, boneless cuts, and offal, produced in the States and Brazil; and (2) value-added, branded pork products, including ham, bacon, sausages, and others produced in the United States, in each case for the domestic and export markets.

 Revenue from selling chicken. In Brazil, the United States, Mexico, Puerto Rico, and the United Kingdom, domestic and export sales include revenues from selling: (1) chilled chicken products, including chilled or frozen whole or in parts chicken, prepackaged and ready-to- eat chicken; and (2) prepared chicken products, including chilled and frozen chicken breast portions, chicken strips, nuggets, and chicken cuts on the bone.

 Other. In Brazil and Europe (UK, Ireland, France and the Netherlands), domestic and export sales include selling: (1) value-added and branded pork products, including ham, bacon, sausages; (2) value-added and branded chicken products, including nuggets and chicken strips; and (3) other value-added and branded products (including ready meals, frozen pizza, lasagna). Additionally, the Company's operations in Brazil sell hides and other animal by- products (including collagen, biodiesel, hygiene and cleaning products, metal packaging and wrapping) and has a carrier, a waste management company and a trading company.

Cost of Goods Sold. A significant part of the cost of goods sold consists of the purchase costs of raw materials used in the production of biological assets and the purchase of live animals (cattle, lambs and pigs) ready for slaughter. Raw material costs are generally influenced by fluctuations in the prices of corn and soybeans, which are the ingredients for the feed consumed in the Company's verticalized operations. In addition to the costs of live animals and feed, the cost of goods sold also consists of other production costs (including packaging and other raw materials) and labor. The main drivers of cost per product are as follows:  Beef in Brazil. The Company generally buys live cattle on the spot market, since it does not breed animals for slaughter. The beef business is indirectly influenced by price fluctuations on the spot market based on the availability of cattle supply. In Brazil, cattle operations are mainly impacted by the supply of pasture-raised cattle. Reductions in breeding herds can affect supply, and as a consequence costs, over a period of years.

 Beef in the United States. The Company generally buys live cattle on the spot market or under contracts which fluctuate according to market conditions, since it does not breed the animals for slaughter. The beef business is indirectly influenced by price fluctuations on the spot market based on the availability of cattle supply. In Australia, beef operations are impacted primarily by the supply of pasture-raised cattle and in North America by the supply of feedlot-raised cattle. The Company's operations are indirectly impacted by the price of feed ingredients.

 Pork in the United States. In North America, the Company generally buys live animals on the spot market or under contracts that fluctuate with market conditions, and raises only about 15% of its pig requirement. The Company's operations are directly impacted by the price of feed ingredients.

 Chicken in the United States. The Company's chicken operations are vertically integrated and are primarily impacted by the price of feed ingredients. The Company raises about 50% of its pig requirement and buys live pigs for slaughter within a few days from numerous independent producers in the UK. The Company's operations are directly impacted by the price of feed ingredients.

 Seara. In Brazil, the chicken and pork business is vertically integrated. Our chicken and pork business is directly affected by fluctuations in the price of feed ingredients.

 Other. The leather business is impacted by the prices of raw leather that indirectly depends on its supply. The deli and branded product business in Italy is impacted by the price of beef, which is indirectly impacted by the price of feed ingredients. Protein products sold by trading companies in the United Kingdom are affected by products purchased for resale.

Operating expenses. The Company's operating expenses mainly consist of:

 General and Administrative Expenses. This item mainly includes expenses related to payroll for corporate employees, utilities, and maintenance of the Company's corporate offices and headquarters.

 Selling Expenses. This item includes expenses related to advertising, payment of commissions and salaries for employees who are part of the sales teams, and provision for bad debtors.

 Net Financial Expense. This item includes expenses related to interest on loans and financing, interest income, bank fees, foreign exchange gains and losses, and adjustments to the fair value of derivative transactions. The majority of the gains and losses in all years presented relate to the Company's previous practice of entering into derivatives to hedge against the depreciation of the Brazilian Real against foreign currencies, and have been reported as a component of financial revenue (expense).

(ii) factors materially impacting operating results

Main factors affecting the Company's operating results The Company's management monitors various metrics and indicators that affect operations in its business, including the following:

 production volume;

 utilization of the plant's capacity;

 sales volume;

 selling prices for beef, pork and chicken;

 demands and preferences of the client;

 future commodity prices for livestock and raw materials;

 the difference between livestock prices and the selling prices of finished products;

 prices and service trends;

 availability of livestock and food ingredients;

 production yield;

 seasonality;

 availability of labor;

 the economic performance of the countries where the Company sells its products;

 competition and industry consolidation;

 taxation;

 value of the brands owned by the Company;

 exchange rate fluctuations; and

 trade barriers, exchange controls, political risks and other risks associated with exporting and operations.

Other factors that may impact the Company's results of operations include outbreaks of animal disease, product contamination or recall, the Company's ability to implement its business plan (including ability to arrange financing when necessary and on reasonable terms) and the implementation of the Company's financing strategy and expense plan.

The Company continues to monitor the unfolding of the coronavirus outbreak around the world, aiming to preserve the safety of its employees and map the effects of the pandemic on its business. In this regard, the Company has formed a global crisis committee to address the impacts of the Corona Virus Disease 2019 (Covid-19) pandemic on its operations, consisting of Mr. Gilberto Tomazoni (Global CEO), Guilherme Cavalcanti (Global CFO), André Nogueira (CEO United States), Wesley Mendonça Batista Filho (CEO South America), Brent Eastwood (CEO Australia), Eduardo Noronha (Global Human Resources), and Cameron Bruett (Institutional Relations). Certain preventive and reactive measures and protocols have been adopted by the Company in its corporate offices and production units in order to protect the health and well-being of all stakeholders.

In 2020, the Covid-19 pandemic is still active, although many restrictions imposed by the Brazilian authorities have been relaxed. The effects of the pandemic on the global economy, as well as the course of the pandemic, is still uncertain despite the various actions to combat the proliferation of the new Coronavirus. Given the characteristics of its operations and geographic manufacturing diversity, the Company initially redirected a portion of the products that previously served the food service sector (restaurants, hotels, etc.) to retail, as well as noting an increase in online selling, both of which are increasingly used by consumers. Also, as the restrictions are relaxed, the company is able to meet its demand, which is quite diversified. The Company reiterates that it will maintain its efforts to meet the continuous demand for food in the world. At this time, it is not possible to specify the medium and long-term impacts on the economic scenario and the Company's operations.

The company continues with its program Fazer o Bem Faz Bem (”Doing Good Does Good”), which has benefited 280 municipalities in 26 Brazilian states, impacting some 77 million people. The program has built 2 permanent hospitals, with 131 beds, and 15 expansion works in hospitals, medical centers, and health posts, besides the donation of 88 ambulances, 365 respirators, 1,479 multiparameter monitors, 1,880 clinical and ICU beds, 560,000 basic food baskets, 1 million liters of hygiene and cleaning products, and 18 million pieces of PPE. In addition, through the program, 40 pulmonary physiotherapists have been hired, 39 scientific and technological researches have been supported, and more than 2 million people have been assisted by the 80 benefited NGOs. Furthermore, during the months of January and February 2021, the Company donated 400 oxygen cylinders to the city of Manaus, due to the crisis faced by the city in the second wave of the pandemic, and R$5,000 to Instituto Butantan to contribute to the construction of a new vaccine factory.

In Brazil, donations total approximately R$400,000. Overseas, JBS USA, together with Pilgrim's Pride Corporation ("PPC"), is investing more than US$200 million (equivalent to R$1.039 billion as of December 31, 2020) in initiatives to support its employees and the communities where it is present in the United States, in line with its ongoing efforts in sustainability and social responsibility.

The initiatives to combat the proliferation of the new Coronavirus remain rigorous given the various investments made by the Company in order to protect its employees, including greater hygiene and disinfection of offices and units, health and temperature checks, training, social distancing, speed reduction in production lines, and air purification in the ventilation systems of the units, among others.

In the United States, during the first quarter of 2020 the Cares Act was enacted, which included changes to the limit on tax deductions in addition to extending the payment of payroll taxes. The new limit on tax deductions decreased the current IRPJ expense by US$154.2 million (equivalent to R$801.3 million as of December 31, 2020) and conversely there was a reduction of deferred tax credit in the same amount, with no effect on the effective tax rate for the period. The Company estimates that US$133.4 million (equivalent to R$693,240 as of December 31, 2020) of payroll taxes will be settled 50% by December 31, 2021 and the other 50% by December 31, 2022.

Lastly, as highlighted in note 31 of financial instruments of the Annual Financial Statements, in the period there was greater volatility in exchange rates and commodity prices, in part due to the uncertainties arising from Covid-19, as well as due to measures taken by governments and central banks. The Company's management expects the volatility of foreign exchange rates and commodity prices to continue throughout 2021, but is unable to estimate the duration, extent or impacts of such volatility, although the Company may make use of financial instruments in order to mitigate such volatility exposures.

Also, considering all the subsequent events that occurred until the date of issue of these financial statements, no significant effects were identified that could affect the recoverability of the assets, or alter the measurement of expected losses in these statements.

Main factors that affect the comparability of the financial results

Acquisitions The Company's consolidated results for the fiscal year ended December 31, 2020 have limited comparability with the consolidated results for the fiscal year ended December 31, 2019, primarily as a result of the acquisition of Tulip, which was completed on October 15, 2019, Marba and Bunge's margarine unit, completed on December 23, 2019 and November 30, 2020, and the acquisition of Empire Packing in the United States, completed on June 6, 2020.

The Company's consolidated results for the fiscal year ended December 31, 2019 have limited comparability with the consolidated results for the fiscal year ended December 31, 2019 primarily as a result of the acquisition of Tulip, which was completed on October 15, 2019.

The Company's consolidated results of operations for the year ended December 31, 2018 are of limited comparability to the consolidated results of operations for the year ended December 31, 2017 primarily due to the acquisition of Plumrose, which was concluded on May 1, 2017.

In the Company's analysis of operating results, net revenues from acquisitions are deducted from organic net revenues. The Company calculates net revenue from acquisitions as the amount of revenue from acquired entities that have been under the Company's control for less than 12 months and for the entire measurement period.

Exchange Variation

As a global company with more than 80% of gross revenues generated outside of Brazil in the fiscal year ended December 31, 2020, the Company's results of operations and financial condition have been and will continue to be affected by the rate of depreciation or appreciation of the Brazilian Real against foreign currencies. Any depreciation or appreciation of the Brazilian Real against foreign currencies can affect the Company's revenues, causing a monetary increase or decrease, as long as the other variables remain unchanged. Furthermore, a substantial portion of the Company's loans and financing are denominated in foreign currencies. For this reason, any depreciation of the Brazilian Real against foreign currencies could significantly increase the Company's financial expenses and its current and non-current loans and financing denominated in the Brazilian Real. On the other hand, any appreciation of the Brazilian real against foreign currencies can significantly decrease financial expenses, current and non-current loans and financing determined in the Brazilian Real.

The effect of currency conversion affects the consolidated revenues and expenses generated by the Company's subsidiaries that have functional currencies other than the Brazilian Real, mainly JBS USA. The revenue adjustment is such that organic net revenue is presented on a constant currency basis, which isolates the effect of currency changes during the period. The effect of currency conversion is calculated by multiplying the income or expense line determined in the functional currency in the current period by the difference in the average exchange rates used to translate the income or expense line in the periods presented.

The average Brazilian Real/dollar exchange rate was R$5.16 per US$1.00 in the fiscal year ending December 31, 2020, representing a depreciation of the Brazilian Real of 23.5% compared to the corresponding period in 2019. The average Brazilian Real/dollar exchange rate was R$3.946 per US$1.00 in the fiscal year ended December 31, 2019, representing a depreciation of the Brazilian Real of 7.4% compared to the corresponding period in 2018.

The final real/dollar exchange rate at December 31, 2020 was R$5.20 per US$1.00, representing a 22.4% depreciation of the real against the exchange rate at December 31, 2019. The final Brazilian Real/dollar exchange rate at December 31, 2019 was R$4.031 per US$1.00, representing a depreciation of the real of 3.9% from the exchange rate at December 31, 2018. b) variations in revenues attributable to changes in prices, exchange rates, inflation, changes in volumes and introduction of new products and services

In the fiscal year ended December 31, 2020, the Company's consolidated net operating revenue showed an increase of 32.1% compared to the same period of the previous year, totaling R$270,204.2 million. The changes in net revenue are discussed in the section above: 10.1 (h) significant changes in each item of the financial statements.

In the fiscal year ended December 31, 2019, the Company's consolidated net operating revenue showed a 12.6% increase over the same period of the previous year, totaling R$204,523.6 million. The changes in net revenue are discussed in the section above: 10.1 (h) significant changes in each item of the financial statements.

In the fiscal year ended December 31, 2018, the Company's consolidated net operating revenue showed an 11.3% year-over-year increase to R$181,680.2 million. The changes in net revenue are discussed in the section above: 10.1 (h) significant changes in each item of the financial statements.

Comments on the changes in revenues attributable to changes in prices, exchange rates, inflation, changes in volumes and introduction of new products and services are made above in section 10.1 (h) - significant changes in each item of the financial statements.

Sensitivity analysis

In order to provide information on how the exchange rate risks of the Brazilian Real against the US dollar to which the Company is exposed at December 31, 2020 would behave, possible changes of 25% and 50% in the relevant risk variables, in relation to the closing quotations used in the measurement of its financial assets and liabilities at the base date of these interim financial statements, are presented below. For the calculation of the effect on the result in a probable scenario, the Company deems appropriate the use of the Value at Risk (VaR) methodology, for a 99% confidence interval and a one-day horizon. The results of this analysis are presented below:

In R$ thousand

In the note to the 2020 Annual Financial Statements number 31 - Financial Instruments and Risk Management - of the Interim Financial Statements for the fiscal years ended December 31, 2020 and 2019, the Company presents sensitivity analysis of its foreign exchange risks associated with its exposures to other foreign currencies and also sensitivity analysis of its exposures to major commodities. c) the impact of inflation, the variation in prices of the main inputs and products, the exchange rate and the interest rate on the Company's operating and financial results, when relevant

Operating Results The Company's operating performance can be affected by the acquisition cost of live animals and grains for chicken and pork feed, which in turn are impacted by supply and demand, and consequently by inflation, prevailing in the markets where the Company operates. Raw material cost accounted for approximately 74.2%, 75.6% and 76.5% of production cost in 2020, 2019 and 2018, respectively.

Gross selling revenue is affected by inflation since the Company generally passes on part, or all, of the cost increases to its customers in the domestic markets in which it operates through price increases. However, the Company cannot predict whether it will be able to pass on the increased costs to its customers in the future. Selling in the domestic markets where the Company operates directly represented 74.8%, 74.3%, and 74.8% of gross selling revenues in 2020, 2019, and 2018, respectively.

Gross selling revenues can also be affected by the exchange rate, since a significant portion of the Company's sales is destined for the foreign market. Sales in the domestic markets where the Company operates directly represented 25.2%, 25.7%, and 25.2% of gross selling revenues in 2020, 2019, and 2018, respectively.

Financial Result

Exchange rate variations have affected and may continue to affect the financial result and debt in the future, since the Company has a significant part of its debt denominated in foreign currency. As of December 31, 2020, 2019, and 2018, foreign currency denominated debt was R$4,058.3 million, R$4,439.2 million, and R$21,881.9 million, respectively and represented 2.5%, 3.5%, and 20.1% of liabilities and shareholders’ equity, respectively.

The Company's market risk exposures are constantly monitored, especially the risk factors related to variations in exchange rates, interest rates and commodity prices that potentially affect the value of financial assets and liabilities, future cash flows and net investments in foreign operations. In these cases, the Company and its subsidiaries employ financial hedging instruments, including derivatives, as long as they are approved by the Risk Management Committee.

In 2020, the Company had derivative financial expenses of R$319.3 million and foreign exchange expenses of R$7,846.1 million. In 2019, the Company had derivative financial expenses of R$91.3 million and foreign exchange expenses of R$1,393.3 million. In 2018, the Company had derivative financial revenues of R$57.8 million and foreign exchange expenses of R$4,337.6 million.

As of December 31, 2020, a portion of the Company's total debt was subject to fluctuations in interest rates, specifically the London Interbank Offered Rate, or LIBOR, and the Brazilian interbank deposit rate (Certificado de Depósito Interbancário), or CDI, as published by CETIP and the Long-Term Interest Rate, or TJLP. 10.3 - Events with relevant effects, occurred and expected, on the financial statements

(a) introduction or disposal of operating segment

There was no introduction or disposal of an operating segment during the years ended December 31, 2020, December 31, 2019 and December 31, 2018. Furthermore, during the year ended December 31, 2018 there was a reclassification of the operating segments, as detailed in item 10.2 above.

(b) incorporation, acquisition or disposal of ownership interest

It is part of the Company's business strategy to acquire companies, but the company maintains its current focus on gaining both operational and financial efficiency in its operations. Since its foundation, the Company has made different acquisitions that have added revenues from these companies.

Relevant operating events:

The Company uses the acquisition cost allocation method of accounting to record business combinations that are not under common control. The consideration transferred in a business combination is measured at fair value, which is calculated by adding together the fair values of the assets transferred, the liabilities incurred at the acquisition date to the former controllers of the acquired entity, and the equity interests issued in exchange for control of the acquired entity. Generally, all assets acquired and liabilities incurred and contingent liabilities assumed are measured initially at fair value from the acquisition date. The Company recognizes any non- controlling interest in the acquired entity in an acquisition on an acquisition basis, either at fair value or at the non-controlling interest's proportionate share of the recorded amounts of net assets. Acquisition-related costs are recognized in the income statement when incurred.

The excess of i) the consideration transferred; ii) the amount of any non-controlling interest in the acquired entity (when applicable); and iii) the acquisition-date fair value of any previous equity interest in the acquired entity over the fair value of the net assets acquired is recorded as goodwill. When the sum of the three items above is less than the fair value of the net assets acquired, the gain is recognized directly in the income statement for the period as 'Bargain gain'.

During the period ended December 31, 2018, the Company made the following disposals:

 On January 17, 2018, the divestiture of the entirety of Five Rivers Cattle Feeding's feedlot operations to affiliates of Pinnacle Asset Management, L.P. was completed. ("Pinnacle- Arcadia"), for approximately US$200 million, including the market value of silage and grain inventory. In conjunction with the acquisition of the assets of Five Rivers USA, the buyer has signed a long-term contract to supply cattle to the slaughter units of the JBS group in the North American territory.

In October 2019, the Company's indirect subsidiary Pilgrim's Pride Corporation, acquired 100% of the equity interest in Tulip Ltd. for cash consideration of approximately R$1,624.2 million (US$290.0 million), subject to working capital adjustments. Tulip is a leading pork and prepared foods producer with operations in the United Kingdom and expands the prepared foods portfolio in Europe from PPC's global sales. The transaction resulted in an estimated advantageous purchase gain of approximately R$235.9 million (US$56.9 million). In December 2019, the Company's direct subsidiary Seara Alimentos, acquired 100% of the equity interest in Frigorífico Marba Ltda. ("Marba") for cash consideration of R$129.9 million, subject to working capital adjustments. Marba operates in meat processing, marketing products such as sausages, smoked meats, cold cuts, beef jerky, mortadella and sausages in Brazil. The estimated goodwill generated in this business combination of R$62.8 million is only eligible for tax deductibility upon incorporation or disposal of the assets and liabilities assumed.

The assets acquired and liabilities assumed in these business combinations were initially measured at their fair values, as set out below:

In R$ thousand

On April 6, 2020, the Company's indirect subsidiary JBS USA Food Company, acquired prepackaged meat production units (case ready) and the Ledbetter brand from Empire Packing Company, L.P. ("Empire"), for cash consideration of approximately US$250.7 million (equivalent to R$1.315 billion on the transaction date), subject to working capital adjustments. Empire expands its offering of "case-ready" products and other various categories. The goodwill generated in the operation is US$55.4 million (equivalent to R$290.8 million on the transaction date) and is partially deductible in the United States

On November 30, 2020, the Company's indirect subsidiary Seara Alimentos, acquired assets of the margarine business ("Margarines"), for cash consideration of approximately R$844 million, subject to working capital adjustments. The Margarines business strengthens Seara's position in the margarine market in Brazil by optimizing its distribution platform and is in line with the strategy of expanding the portfolio of branded, higher value-added products. The goodwill generated in the operation of R$374.1 million is only eligible for tax deductibility by the incorporation or disposal of the assets and liabilities assumed.

The assets acquired and liabilities assumed in these business combinations were initially measured at their fair values, as set out below:

Presented below are the net revenue and net income on the acquisition date through the end of the fiscal year of these acquisitions:

c) unusual events or operations

There are no unusual events or operations practiced by the Company.

10.4 - Significant changes in the accounting practices - Exceptions and emphasis in the auditor’s opinion

a) significant changes in accounting practices

There were no significant changes among the accounting practices adopted in the Company's financial statements for the years ended December 31, 2020, 2019 and 2018. b) significant effects of changes in accounting practices

IFRS 16 - Leases Requires the recognition of operating leases in the same formats as finance leases (effective for annual fiscal years beginning on or after January 1, 2019). The standard impacted the recording of outstanding operating leases as per note 14 - Operating Leases.

IFRIC 23/ICPC22 16 - Uncertainties over income tax treatment: Clarifies how to apply the recognition and measurement requirements in CPC 32 (IAS 12) when there is uncertainty in the treatment of income taxes. The standard impacted the recording of taxes on income as per note 11 - Income Tax and Social Contribution.

There are no other standards, amendments to standards and interpretations that are not yet effective that the Company expects to have a material impact from their application on its financial statements. c) considerations and emphases present in the auditor's opinion

There were no considerations or emphases in the report of the Company's independent auditor regarding the Financial Statements for the fiscal year ending December 31, 2019 and 2020. 10.5 – Critical accounting policies

The Company's management adopts critical accounting practices in order to describe its financial position and results. Determining these practices requires management to make difficult, subjective, and complex judgments about relevant issues whose uncertainties are inherent. As the number of variables and assumptions regarding such uncertain and future issues increase, these determinations become even more subjective and complex.

The Company's management understands that in order to prepare the financial statements according to the IFRS and in accordance with the CPCs, the Company must make certain judgments and use assumptions in determining the value and recording of accounting estimates regarding the effects of issues that are, by nature, uncertain and that impact the value of assets and liabilities. The management also points out that actual results may differ from these estimates.

The principal accounting policies considered in forming management's judgment and estimates of certain future events relate to: (a) accounting estimates; (b) financial instruments; (c) investments in associate, subsidiaries and jointly controlled entities (joint ventures); (d) intangible assets (e) leased assets; (f) biological assets; (g) provision for impairment; (h) contingent assets and liabilities; (i) deferred taxes; (j) stock option plan; (k) foreign currency conversion; and (l) income statement. Below is a breakdown of each of these critical accounting practices:

Accounting estimates

In the process of applying the Company's accounting policies, management has made the following judgments, which could eventually have a material impact on the amounts recognized in the financial statements:

 loss in the recoverable value of financial and non-financial assets;

 losses in the recoverable value of recoverable taxes;

 measuring the fair value of items related to business combinations;

 provisions for tax, civil and labor liabilities;

 biological assets; and

 useful life of fixed assets.

The Company reviews the accounting estimates and assumptions used on a quarterly basis. Revisions to accounting estimates are recognized in the financial statements of the period in which the revision occurs.

The settlement of transactions involving these estimates may result in amounts different from those estimated arising from possible inaccuracies inherent in the process of their determination.

Financial instruments

The Company and its subsidiaries recognize their financial assets and liabilities at fair value upon initial recognition, with the exception of receivables that are measured at transaction price and subsequently measured at amortized cost or fair value through profit or loss based on the business model for managing their assets and the contractual cash flow characteristics of the financial asset.

The Company and its subsidiaries classify their financial assets according to the business model adopted to manage their financial assets, as amended by CPC 48/IFRS 9, measured at fair value through profit or loss and at amortized cost as follows: (1) Financial assets recorded at fair value through profit or loss; (2) Amortized cost. The Company has not designated any derivatives as cash flow hedges, and therefore the entire fair value adjustment is recognized in income for the period.

Financial assets recorded at fair value through profit or loss:

Financial assets at fair value through profit or loss include financial assets held for trading and financial assets designated upon initial recognition at fair value through profit or loss. In this category the Company classifies, mainly, "CDBs and government bonds" and "Derivative financial instruments".

Amortized cost

These represent financial assets and liabilities whose business model is to hold financial assets in order to receive contractual cash flows and which, exclusively, constitute payments of principal and interest on the principal amount outstanding. Financial assets at amortized cost are subsequently measured using the effective interest method and are subject to impairment. Gains and losses are recognized in the income statement when the asset is written off, modified, or impaired. In this category the Company classifies, mainly, "Trade receivables", "Cash and cash equivalents", "Suppliers" and "Loans and financing".

Financial assets and liabilities are offset and the net amount is presented in the balance sheet when there is a legal right to offset the recognized amounts and there is an intention to settle them on a net basis, or to realize the asset and settle the liability simultaneously. The legal right should not be contingent on future events and should apply in the normal course of business and in the event of default, insolvency or bankruptcy of the company or counterpart.

Investments in associates, subsidiaries and joint ventures

In the Company's individual financial statements investments in associates and joint ventures are accounted for using the equity method. Associates are those in which the Company has significant influence, but not control. Joint ventures are those in which control is exercised jointly by the Company and one or more partners.

Exchange rate changes on foreign currency investments are recognized in shareholders’ equity, under accumulated conversion adjustments.

Intangible Assets

It is mostly composed of goodwill arising from expected future profitability, recorded at cost of acquisition or formation, less amortization and accumulated impairment losses (loss in recoverable value). Amortization, when applicable, is recognized on a straight-line basis based on the estimated useful life of the assets. The estimated useful life and amortization method are reviewed at the end of each fiscal year and the effect of any changes in estimates is accounted for prospectively.

Goodwill arising from business combination:

Goodwill arising from a business combination is stated at cost on the business combination date, net of accumulated impairment loss, if any.

Goodwill is tested for impairment annually, or more frequently when there is an indication that it may be impaired. If the recoverable amount is lower than the book value, an impairment loss is recorded. Any goodwill impairment loss is recognized directly in the statement of income. The impairment loss is not reversed in subsequent periods. Upon the disposal of a particular asset with related goodwill allocated, the attributable amount of goodwill is included in the determination of the profit or loss on disposal.

Impairment of tangible and intangible assets, excluding goodwill:

The items of fixed assets and intangible assets with defined useful life and other assets (current and non-current), when applicable, are tested for impairment at least annually, in case there are indicators of loss of value. Intangible assets with indefinite useful lives are tested for impairment when there are potential indicators of impairment or annually, regardless of whether there are indicators of impairment.

At the end of each fiscal year, the book value of tangible and intangible assets is reviewed to determine whether there is any indication that these assets have suffered any impairment loss. If there is such an indication, the recoverable amount of the asset is estimated in order to measure the amount of this loss, if any.

The recoverable amount is the higher of fair value less selling costs or the value in use. In evaluating the value in use, the estimated future cash flows are discounted to present value at the pre-tax discount rate that reflects a current market assessment of the time value of money and the risks specific to the asset for which the estimate of future cash flows has not been adjusted.

If the recoverable amount of a calculated asset is less than its book value, the book value of the asset is reduced to its recoverable amount. The impairment loss is recognized immediately in the result and is reversed if there are changes in the estimates used to determine the recoverable value. When the impairment loss is subsequently reversed, the book value of the asset is increased to the revised estimate of its recoverable amount, provided that it does not exceed the book value as if no impairment loss had been recognized for the asset in previous periods. Reversal of impairment loss is recognized directly in income.

Right of use of commercial leasing

The Company recognizes a right-of-use asset and a lease liability on the lease commencement date. The right-of-use asset is measured initially at cost and subsequently at cost less any accumulated depreciation and impairment losses, and adjusted for certain re-measurements of the lease liability.

Lease liabilities are measured initially at the present value of lease payments that have not been paid at the inception date, discounted using the interest rate implicit in the lease or, where this rate cannot be determined immediately, generally the average borrowing rate as the discount rate.

The nature of the expenses related to these leases is recorded as depreciation cost of the right-of- use lease assets. Financial expenses on leasing obligations are recognized and reported as interest expenses.

The Company does not recognize a lease asset and liability for contracts with a term of less than 12 months, and/or of low value.

Biological assets

The Company has agricultural activities such as increasing the herd (cattle confinement operations or cattle grazing), developing poultry and swine grandparents and matrices for breeding, and developing poultry and swine for slaughter at maturity.

The valuation is recognized in the income statement, in a specific line of the income statement as gross revenue through market value, in the beef operations in Brazil and in the pork operations in the United States, because it is possible to measure it reliably due to the existence of active markets. Live animals are separated into consumables and production animals. The animals for slaughter are destined for the production of meat “in natura” and/or elaborated and processed products and until they reach the appropriate weight for slaughter they are classified as immature. The slaughter and production processes occur sequentially in a very short period of time and, as a consequence, only live animals transferred to slaughterhouses are classified as mature. Production animals (breeding stock) are those that have the function of producing other biological assets. While they have not reached breeding age they are classified as immature, and when they are able to start the reproductive cycle they are classified as mature.

The Company determined that the cost approach is the most appropriate valuation technique to calculate the fair value of its live animals, as provided in IFRS 13 / CPC 46, mainly because of the short life span of biological assets, as well as the price that would be received for selling in an active market based on the cost to produce an animal at the same level of maturity in its life cycle. In the case of animals kept for production, this cost is reduced over time by taking into account the reduction in value over their lifetime.

Provision for impairment

Expected losses are estimated based on historical analyses and recorded when the receivable is recognized. The estimated losses on doubtful receivables, as well as their reversals, are recorded in the income statement under the caption “Selling Expenses”

Contingent assets and liabilities

Contingent assets are recognized only when their success is "virtually certain" or based on favorable final and unappealable court decisions. Only contingent assets with probable successes are disclosed.

Contingent liabilities are accrued when losses are assessed as probable and the amounts involved can be measured with sufficient certainty. Contingent liabilities assessed as possible losses are only disclosed and contingent liabilities assessed as remote losses are neither accrued nor disclosed.

Deferred taxes

Deferred income tax and social contribution (deferred taxes) are calculated on tax amortization of goodwill and revaluation reserves, temporary differences between the tax bases of assets and liabilities and their carrying amounts. Deferred taxes are determined using the tax rates in effect at the balance sheet dates and which are to be applied when the respective deferred tax assets are realized or the deferred income tax and social contribution liabilities are settled.

Deferred tax assets are recognized only to the extent that it is probable that future taxable profit will be available against which the temporary differences, tax expenses, and tax credits can be utilized.

Deferred tax assets and liabilities are offset if there is a legal right to offset current tax liabilities and assets, and they relate to income taxes levied by the same tax authority on the same taxable entity.

Stock option plan

The Company operates a stock-based compensation plan, settled with stock. The Company grants stock options to employees with the purpose of awakening a sense of ownership and personal involvement in the development and financial success of JBS. Statutory directors, officers and general managers are eligible for the plan. The Company's CEO establishes the criteria for granting the options, defining the participating employees. The amount of stock authorized to be granted under the plan is limited to 2% of the Company's capital stock, and is also limited to increasing the Company's capital stock by 0.4% per year. The fair value of the employee’s services, received in exchange for the stock option, is recognized as an expense against the capital reserve. The total amount of the expense is recognized over the period in which the right vests and is determined by reference to the fair value of the options granted, excluding the impact of any non-market service and performance based vesting conditions. The number of options to which each beneficiary is entitled is calculated based on the average stock price in the three months preceding the date of the grant. The stock option plan has a maximum term of ten years, varying according to each individual contract. All options must be settled by the physical delivery of stock.

At the balance sheet date, the Company revises its estimates of the number of options whose rights are to be acquired and, if necessary, recognizes the impact of the revision of the initial estimates in the income statement, with a corresponding adjustment to shareholders’ equity. The weighted average fair value of each option granted was estimated on the option date based on the Black&Scholes-Merton option pricing model.

Foreign currency conversion

Transactions in foreign currencies are converted into the respective functional currencies of each of the subsidiaries. Monetary assets and liabilities denominated in foreign currency at the date of the financial statements are translated into the functional currency at the exchange rate corresponding to the balance sheet closing date. The positive and negative exchange rate changes of monetary items is the difference between amortized cost in foreign currency translated at the exchange rate at the end of the period.

The items included in the financial statements of each one of the subsidiaries are measured using the currency of the main economic environment in which the companies operate ("functional currency"), and are converted to the accounting practices - IFRS and to Brazilian Reais at the exchange rate corresponding to the balance sheet closing date for assets and liabilities, at the historical rate for movements in shareholders' equity and at the average exchange rate for the period for income and expense accounts, when applicable, and with the recording in shareholders' equity of the effects of exchange variation, under "Cumulative conversion adjustments".

Income statement

The result of the operations is determined according to accrual accounting. Revenue comprises the fair value of the consideration received or receivable for the trading of products and services in the ordinary course of the Company's and its subsidiaries' activities.

In the income statements, revenue is presented net of taxes, returns, rebates, and discounts, as well as after eliminating intercompany selling.

The Company and its subsidiaries recognize revenue when, and only when:

 the amount of revenue can be measured reliably;

 the entity has transferred to the buyer the most significant risks and rewards of ownership of the asset;

 it is probable that future economic benefits will flow to the Company and its subsidiaries;

 the entity retains neither continuing involvement in the management of the goods sold to the level normally associated with ownership nor effective control of those goods;

 the expenses incurred or to be incurred in connection with the transaction can be reliably measured.

10.6 - Material items not evidenced in the financial statements

(a) the assets and liabilities held by the Company, directly or indirectly, that do not appear in its balance sheet (off-balance sheet items)

(i) operating leases involving assets and liabilities

As shown in the note "Leasing", the Company does not recognize a leasing asset and liability for contracts with a term of less than 12 months and/or of low value.

(ii) portfolios of receivables written off regarding which the entity still retains risks and responsibilities, indicating the related liabilities

The Directors of the Company clarify that there were no written-off receivables portfolios over which the Company held risks and liabilities not evidenced in the Company's balance sheets as of December 31, 2020 and 2019.

(iii) agreements for future purchase and sale of products or services

The Company's Directors clarify that there were no future purchase and sale agreements for products or services, likely to generate a material effect, not evidenced in the Company's balance sheets as of December 31, 2020 and 2019.

(iv) uncompleted construction contracts

The Directors of the Company clarify that there was no uncompleted construction not evidenced in the Company's balance sheets as of December 31, 2020 and 2019.

(v) future financing agreements

The Directors of the Company clarify that there were no future financing receivables contracts not evidenced in the Company's balance sheets as of December 31, 2020 and 2019.

(b) other items not evidenced in the financial statements

The Directors inform us that there are no other relevant items that are not evidenced in our financial statements. 10.7 - Items not evidenced in the financial statements

(a) how these items change or may change revenues, expenses, operating income, financial expenses or other items of the Company’s financial statements

With the exception of operating leases, the Company had no assets or liabilities, directly or indirectly, that have not been reported in its financial statements for the fiscal year ended December 31, 2018. As of January 1, 2019, with the adoption of IFRS 16, lease liabilities are recognized in the financial statements as described in item 10.4.

The Company estimates that the future minimum payments for non-cancelable operating leases with a term of more than one year presented in item 10.6 of this Reference Form will be converted into income, as an expense over the lease period, for leases with a term of less than 12 months and/or of low value.

(b) nature and purpose of the transaction

The Parent Company has operating lease agreements for industrial complexes, tanneries, and distribution centers in the states of Bahia, Goiás, Maranhão, Mato Grosso, Mato Grosso do Sul, Pará, Rio de Janeiro, and São Paulo.

JBS USA has operating leases for warehouses, commercial offices, and vehicle maintenance facilities in the United States, as well as marketing offices in Asia; distribution centers, feedlots, and warehouses in Australia; mills, distribution centers, hatcheries, and offices in Mexico; farms, processing plants, and offices in the United Kingdom; and, offices in France, Luxembourg, and the United Arab Emirates. Additionally, JBS USA leases equipment, trucking vehicles, and other assets.

Seara Alimentos leases production units in the states of São Paulo, Santa Catarina, and Rio Grande do Sul through its subsidiary JBS Aves.

The Company has operational leasing contracts for confinement units, real estate, vehicles and aircraft, machinery and equipment, bare land and plots, industrial plants, IT equipment, furniture and utensils, among others, which are used in the Company's operational activities during the term of the contract.

See item 10.6.

10.8 - Business plan

(a) investments

(i) quantitative and qualitative description of ongoing investments and planned investments

The company intends to invest R$8 billion in Brazil over the next five years in order to be prepared to meet the increased demand for meat in the country and abroad.

(ii) funding sources for investments

The funding sources for the Company's investments are mainly the cash generated from the Company's operating activities and the raising of loans and financing from commercial banks and the capital market.

(iii) relevant ongoing and planned divestitures

There are no relevant divestitures planned for plants, equipment, patents or other assets other than investments to maintain the assets already owned by the Company.

(b) provided that it has already been disclosed, indicate the acquisition of plants, equipment, patents or other assets that could materially affect the Company’s production capacity

There is no acquisition of plants, equipment, patents or other relevant assets in progress or planned.

The Company constantly invests in research and development of new products related to its existing business units, but to date there is no research that has been disclosed to the general market.

(i) description of ongoing research already disclosed

The Company constantly invests in research related to its existing business units, but to date there are no surveys that have been released to the market in general.

(ii) the total amounts spent on research for development of new products or services

The Company constantly invests in research for the development of new products related to its existing business units, but to date there is no research that has been disclosed to the market in general.

(iii) projects in development already disclosed

The Company constantly invests in developing new products related to its existing business units, but to date there are no projects that have been disclosed to the market in general.

(iv) total amounts spent on the development of new products or services

The Company constantly invests in research and development of new products related to its existing business units, but to date there is no research that has been disclosed to the general market. 10.9 - Other factors with relevant influence

The Directors report that there are no other material items that are not evidenced in our financial statements or that have not been identified or commented on in the other items of this section 10. ANNEX II TO THE MANAGEMENT PROPOSAL TO THE ANNUAL AND EXTRAORDINARY GENERAL MEETING OF JBS S.A. TO BE HELD ON APRIL 28, 2021

ALLOCATION OF NET INCOME

Reference date: 12.31.2020 (as per Annex 9-1-II of ICVM Instruction No. 481, of December 17, 2009)

1. Inform the net income for the year: The Company's net income for the year ended December 31, 2020 was BRL R$4,598,311,243.24 (four billion, five hundred and ninety-eight million, three hundred and eleven thousand, two hundred and forty-three reais, twenty-four cents). 2. Inform the overall amount and the value per share of the dividends, including early dividends and interest on equity already declared: The global amount of the proposed dividends is BRL R$2,511,135,770.00 (two billion, five hundred and eleven million, one hundred and thirty-five thousand, seven hundred and seventy reais), as detailed below:

Description1 Amount Gross Per share Total Amount (R$)22 Mandatory Dividend BRL R$ 0.434902 BRL R$ 1,092,098,920.27 Additional dividend BRL R$ 0.565098 R$ 1,419,036,849.73 Total BRL R$1.00 R$ 2,511,135,770.00 (1) At a meeting held on March 24, 2021, the Company's Board of Directors approved the submission to the General Meeting of a proposal for the payment of (i) a mandatory dividend in the amount of R$ 1,092,098,920.27 (one billion, ninety-two million, ninety-eight thousand, nine hundred and twenty reais, twenty-seven cents), and (ii) an additional dividend in the amount of R$ 1. 419,036,849.73 (one billion, four hundred and nineteen million, thirty- six thousand, eight hundred and forty-nine reais, seventy-three cents), total global dividend of R$ 2,511,135,770.00 (two billion, five hundred and eleven million, one hundred and thirty-five thousand, seven hundred and seventy reais). (2) According to the share base as of March 15, 2021, except for treasury shares, noting that the amounts shown may be adjusted as a result of changes in treasury shares.

The Company will not pay interest on equity capital. 3. Inform the percentage of net income for the year distributed: The percentage of net income for the year distributed is 54.6%. 4. Inform the overall amount and amount per share of dividends distributed based on prior year earnings: The Company did not distribute dividends based on profits from previous years. 5. Inform, less anticipated dividends and interest on equity, already declared: a) The gross value of dividends and interest on equity, segregated by share of each type and class. The gross amount of dividends corresponds to (i) mandatory dividend, in the amount of BRL R$ 1,092,098,920.27 (one billion, ninety-two million, ninety-eight thousand, nine hundred and twenty reais, twenty-seven cents), and (ii) additional dividend, in the amount of BRL R$ 1,419,036. 849.73 (one billion, four hundred and nineteen million, thirty-six thousand, eight hundred and forty-nine Reais, seventy-three cents)], total global dividend amounting to BRL R$ 2,511,135,770.00 (two billion, five hundred and eleven million, one hundred and thirty-five thousand, seven hundred and seventy Reais), as detailed below:

Description Gross Amount per Share Gross Total Amount (R$)1 Mandatory Dividend BRL R$ 0.434902 BRL R$ 1,092,098,920.27 Additional dividend BRL R$ 0.565098 R$ 1,419,036,849.73 Total BRL R$1.00 R$ 2,511,135,770.00 (1) According to the share base as of March 15, 2021, except for treasury shares, noting that the amounts shown may be adjusted as a result of changes in treasury shares.

The Company will not pay interest on equity capital. b) The type and term of payment of dividends and interest on equity. If approved, both the mandatory dividend and the additional dividend will be paid by bank credit, and the payment will be made on 5 of May 2021, at the bank address provided by the shareholder to Banco Bradesco S.A., the depositary institution of the Company's book-entry shares. No interest on equity will be paid. c) Possible incidence of restatement and interest on dividends and interest on equity capital. Not applicable. d) Date of the declaration of payment of dividends and interest on equity considered for identification of the shareholders who will be entitled to receive them. The date of the declaration of payment of dividends will be the date of the AGOE, that is, April 28, 2021. Thus, dividends, if approved, will be paid according to the existing shareholding positions at the close of B3's trading session on April 28, 2021 (base date), in compliance with the negotiations held up to that day (inclusive), and the shares of the Company will be negotiated ex-dividends as of April 29, 2021. The Company will not pay interest on equity capital. The Company will not pay interest on equity capital. 6. In the event of declaration of dividends or interest on equity based on income calculated in semi-annual balance sheets or shorter periods: a) Inform the amount of dividends or interest on equity already declared. Not applicable. b) Inform the date of the respective payments. Not applicable. 7. Provide a comparative table informing the following values per share of each type and class: a) Net income for the year and the 3 (three) previous years

2020 2019 2018 Net income for the Fiscal Year (BRL 4,598,311,243.24 6,068,367,473.22 25,199,594.35 R$) Earnings per Share (BRL R$) 1.83117 2.27619 0.00946

b) Dividend and interest on equity distributed in the three (3) previous fiscal years.

2020 Gross Amount per Description Type of Shares Gross Total Amount Share Dividends Common Shares BRL R$ 1.0000 BRL R$ 2,511,135,770.00 IoE (gross) Not applicable Not applicable Not applicable IoE (Net) Not applicable Not applicable Not applicable Total COMMON BRL R$ 1.0000 R$ 2,511,135,770.00 SHARES

2019 Gross Amount per Gross Total Description Type of Shares Share Amount Dividends Common Shares BRL R$ 1,441,237,274.89 R$ 0.54059514 IoE (gross) Not applicable Not applicable Not applicable IoE (Net) Not applicable Not applicable Not applicable Total COMMON BRL R$ 1,441,237,274.89 SHARES R$ 0.54059514

2018 Gross Amount per Gross Total Description Type of Shares Share Amount Dividends Common Shares BRL BRL R$ 0.00224572 R$ 5,984,903.66 IoE (gross) Not applicable Not applicable Not applicable IoE (Net) Not applicable Not applicable Not applicable Total COMMON BRL BRL SHARES R$ 0.00224572 R$ 5,984,903.66

8. In the event of allocation of income to the legal reserve: a) Identify the amount allocated to the legal reserve. R$ 229,915,562.16 (two hundred and twenty-nine million, nine hundred and fifteen thousand, five hundred and sixty-two reais, sixteen cents), equivalent to 5% (five percent) of net income. b) Provide details of the calculation of the legal reserve. In the terms of article 36, line "a", of the Bylaws, the legal reserve is constituted by the destination of 5% of the net income for the year, already deducting eventual losses and the provision for income tax, as demonstrated below (in R$):

2020 Net income for the Fiscal Year 4,598,311,243.24 Legal reserve – (5%) 229,915,562.16

The total amount allocated to the Legal Reserve cannot exceed 20% of the Company's capital stock, as per the provisions of article 36, line "a", of the Bylaws. Furthermore, in the fiscal year in which the balance of the Legal Reserve plus the amounts of the capital reserves referred to in paragraph 1 of article 182 of the Corporation Law exceeds thirty percent (30%) of the capital stock, it will not be mandatory to allocate part of the net income for the year to the Legal Reserve. 9. 9.If the company has preferred shares with right to fixed or minimum dividends: a) Describe the calculation of fixed or minimum dividends. Not applicable. b) Inform whether the profit for the year is sufficient for the full payment of fixed or minimum dividends. Not applicable. c) Identify if any unpaid portion is cumulative. Not applicable. d) Identify the overall amount of fixed or minimum dividends to be paid to each class of preferred shares. Not applicable. e) Identify the fixed or minimum dividends to be paid per preferred share of each class. Not applicable. 10. Regarding mandatory dividend: a) Describe the calculation provided for in the Bylaws. According to article 38, line "c", of the Company's Bylaws, after the legal and statutory deductions (including the constitution of the Legal Reserve), at least 25% of the remaining profits, adjusted by the constitution of contingency reserves and the respective reversal, if applicable, will be destined to the payment of the mandatory dividend due to the shareholders.

In the fiscal year when the amount of mandatory dividends, calculated pursuant paragraph 3 to this Article, surpasses the portion of the profit realized in the fiscal year, the Shareholders’ Meeting may, if so proposed by the management bodies, allocate the surplus to the unrealized profit reserve, in compliance with Article 197 of Brazilian Corporate Law; b) Inform whether it is being paid in full. The mandatory dividends will be paid in full. It is also important to point out that it is proposed to distribute 54.6% of the net income for the year. c) Inform the amount eventually withheld. Not applicable. 11. In the event of retention of mandatory dividend because of the company’s financial situation: a) Inform the amount retained. Not applicable. b) Describe, in detail, the Company's financial condition, including aspects related to liquidity analysis, working capital and positive cash flows. Not applicable. c) Justify the reason for retaining dividends. Not applicable. 12. In the event of allocation of profit to the contingencies reserve: a) Identify the amount allocated to the legal reserve. Not applicable. b) Identify the probable loss and what have caused it. Not applicable. c) Explain why the loss was deemed as probable. Not applicable. d) Justify the creation of the reserve. Not applicable. 13. In the event of allocation of profit to the unrealized profit reserve: a) Inform the amount allocated to the unrealized profit reserve. Not applicable. b) Inform the nature of unrealized profit that originated the reserve. Not applicable. 14. In the event of allocation of profit to statutory reserves: a) Describe the statutory clauses that establish the reserve. According to article 38 of the Company's Bylaws, after the legal and statutory deductions (including the constitution of the Legal Reserve), the remaining profits, adjusted by the constitution of contingency reserves and the respective reversal, if any, shall be allocated in the following order: (i) 25%, at least, shall be allocated to the payment of the mandatory dividend due to shareholders (which may be limited to the amount of net income for the fiscal year that has been realized, provided that the difference is recorded as a reserve of unrealized profits), pursuant to article 38, "c" and "d" of the Company's Bylaws; and (ii) the remaining profits will be destined to the constitution of a Statutory Investment Reserve, which will have the purpose of financing the investment in operational assets and/or the repurchase of own shares (for treasury permanence or cancellation), under the terms of article 38, item "e", of the Company's Bylaws. The total amount allocated to the Statutory Investment Reserve cannot exceed the Company's capital stock. b) Identify the amount allocated to the reserve. It is proposed that the amount of R$1,862,210,477.59 (one billion, eight hundred and sixty-two million, two hundred and ten thousand, four hundred and seventy-seven reais, fifty-nine cents) be allocated to the statutory investment reserve. c) Describe how the amount was calculated. In line with article 38, line "e", of the Company's Bylaws, it is proposed that the remaining profits after legal and statutory deductions be allocated to an investment reserve, as calculated below (in R$):

Net income for the Fiscal Year 4,598,311,243.24

Legal reserve (5%) (229,915,562.16)

Adjusted dividend calculation basis 4,368,395,681.08

Mandatory dividends (25%) (1,092,098,920.27)

Additional dividend (1,419,036,849.73)

Realization of the revaluation reserve 4,943,688.38

Dividends received 6,878.13

Balance for allocation of statutory Investment Reserve 1,862,210,477.59

15. In the event of profit retention provided for in capital budget. a) Identify the amount retained. Not applicable. b) Provide a copy of the capital budget. Not applicable. 16. Where there is an allocation of income to the tax incentive reserve: a) Inform the amount allocated to the reserve. Not applicable. b) Explain the nature of the allocation. Not applicable.

ANNEX III TO THE MANAGEMENT PROPOSAL TO THE ANNUAL AND EXTRAORDINARY GENERAL MEETING OF JBS S.A. TO BE HELD ON APRIL 28, 2021

INFORMATION CONCERNING PROFESSIONAL EXPERIENCE AND INDEPENDENCE OF CANDIDATES FOR THE OFFICE OF MEMBERS OF THE BOARD OF DIRECTORS AND FISCAL COUNCIL

(as per items 12.5 to 12.10 of Annex24 of ICVM No 480, of December 07, 2009)

BOARD OF DIRECTORS

12.5. (a) to (I) Members appointed by controlling shareholders for Composition of the Board of Directors a. name Jeremiah Alphonsus O'Callaghan b. date of birth 08/02/1953 c. profession Engineer d. CPF or passport number 012.266.188-55 e. elective position held Sitting Member of the Board of Directors f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 2 (two) years (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2022). i. other Positions or Duties Performed at the Coordinator of the Governance, Issuer Compensation and Nominating Committee, coordinator of the Social and Environmental Responsibility Committee and Director with no specific designation. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what It is not an independent member. was the criterion used by the issuer to establish independence l. number of consecutive terms of office 2 (two) consecutive terms. m. Information on: An Engineering graduate from University College Cork, he (i) main professional experiences in the immigrated to Brazil in 1979. He last 5 years, indicating: (a) name joined the meat industry in 1983, and sector of activity of the developing global trade strategies company; (b) position and functions for the Brazilian beef sector. He inherent to the position; and (c) initially worked at Mouran (1983 main activity of the company in to 1989), then at Bordon (1989 to which such experiences occurred, 1995), and joined the JBS Group highlighting the companies or in 1996 to develop the organizations that integrate, (c.1) International Business area. He the issuer's economic group, or (c.2) has served as the Company's if it is controlled by a shareholder of Investor Relations Officer and is the issuer that holds, directly or currently an Officer without indirectly, participation equal or specific designation in the superior to 5% of the same class or Company. species of securities of the issuer; and

(ii) indication of all management positions held in other companies or third-sector organizations n. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (i) any criminal conviction; administrative proceedings and unappealable judicial or (ii) any conviction in a sanctioning administrative conviction, administrative proceeding at the suspending or disqualifying CVM and the penalties applied; and him/her from practicing a professional or legal commercial (iii) any final conviction, in the judicial activity. or administrative sphere, which has suspended or disqualified him for the practice of any professional or (iv) commercial activity

a. name José Batista Sobrinho b. date of birth 03/23/1933 c. profession Entrepreneur d. CPF or passport number 052.970.871-04 e. elective position held Sitting Member of the Board of Directors f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 2 (two) years (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2022). i. other Positions or Duties Performed at the He does not hold any other Issuer positions or professions in the Company. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what It is not an independent member. was the criterion used by the issuer to establish independence l. number of consecutive terms of office 6 (six) consecutive terms. m. Information on: Current Vice President of the Board of Directors, he is the (iii) main professional experiences in the founder of the JBS Group, with last 5 years, indicating: (a) name more than 50 years of experience and sector of activity of the in beef production. company; (b) position and functions inherent to the position; and (c) main activity of the company in which such experiences occurred, highlighting the companies or organizations that integrate, (c.1) the issuer's economic group, or (c.2) if it is controlled by a shareholder of the issuer that holds, directly or indirectly, participation equal or superior to 5% of the same class or species of securities of the issuer; and

(iv) indication of all management positions held in other companies or third-sector organizations n. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (v) any criminal conviction; administrative proceedings and unappealable judicial or (vi) any conviction in a sanctioning administrative conviction, administrative proceeding at the suspending or disqualifying CVM and the penalties applied; and him/her from practicing a professional or legal commercial (vii) any final and unappealable activity. conviction in the judicial or administrative sphere that has suspended or disqualified him/her for engaging in any professional or commercial activity

a. name Wesley Mendonça Batista Filho b. date of birth 12/04/1991 c. profession Entrepreneur d. CPF or passport number 389.569.918-71 e. elective position held Sitting Member of the Board of Directors f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 2 (two) years (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2022). i. other Positions or Duties Performed at the Coordinator of the Finance and Issuer Risk Management Committee, member of the Social and Environmental Responsibility Committee, and Officer without specific designation. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what It is not an independent member. was the criterion used by the issuer to establish independence l. number of consecutive terms of office 2 (two) consecutive terms. m. Information on: With a career started as a Trainee at the Greeley plant of JBS USA (v) main professional experiences in the in Colorado, he moved to Brazil last 5 years, indicating: (a) name after completing the Trainee and sector of activity of the Program, joining JBS. company; (b) position and functions inherent to the position; and (c) In South America, he worked in main activity of the company in several leadership positions, which such experiences occurred, being responsible for exports to highlighting the companies or Asia, later assuming the organizations that integrate, (c.1) the presidency of the operations of issuer's economic group, or (c.2) if it JBS Uruguay and JBS Paraguay. is controlled by a shareholder of the In 2014, he assumed the issuer that holds, directly or presidency of JBS’s operations in indirectly, participation equal or Canada and, since 2016, he led superior to 5% of the same class or the beef operations in Canada and species of securities of the issuer; the United States. and Today he is an Officer without (vi) indication of all management specific designation in the positions held in other companies or Company and President of JBS' third-sector organizations operations in South America. n. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (viii) any criminal conviction; administrative proceedings and unappealable judicial or (ix) any conviction in a sanctioning administrative conviction, administrative proceeding at the suspending or disqualifying CVM and the penalties applied; and him/her from practicing a professional or legal commercial (x) any final and unappealable activity. conviction in the judicial or administrative sphere that has suspended or disqualified him/her for engaging in any professional or commercial activity

a. name Aguinaldo Gomes Ramos Filho b. date of birth 04/17/1993 c. profession Entrepreneur d. CPF or passport number 394.840.458-55 e. elective position held Sitting Member of the Board of Directors f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 2 (two) years (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2022). i. other Positions or Duties Performed at the He holds no other positions or Issuer functions at the issuer. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what It is not an independent member. was the criterion used by the issuer to establish independence l. number of consecutive terms of office 2 (two) consecutive terms. m. Information on: He has accumulated experience in the beef industry in Brazil and (vii) main professional experiences in the Latin America, acting in several last 5 years, indicating: (a) name functions. and sector of activity of the company; (b) position and functions inherent to the position; and (c) He began his career as a member main activity of the company in of the commercial team at JBS which such experiences occurred, Carnes, working in the domestic highlighting the companies or and export areas. He presided organizations that integrate, (c.1) over the operations of JBS the issuer's economic group, or (c.2) Uruguay and later held the if it is controlled by a shareholder of the issuer that holds, directly or position of President of JBS indirectly, participation equal or Paraguay, where he was superior to 5% of the same class or responsible for the consolidation species of securities of the issuer; of JBS as the main player in the and country and led the project to build the most modern (viii) indication of all management slaughterhouse in Latin positions held in other companies or third-sector organizations America.

He is currently the executive director of VL Participações, which operates in the agribusiness segment. n. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (xi) any criminal conviction; administrative proceedings and unappealable judicial or (xii) any conviction in a sanctioning administrative conviction, administrative proceeding at the suspending or disqualifying CVM and the penalties applied; and him/her from practicing a professional or legal commercial (xiii) any final and unappealable activity. conviction in the judicial or administrative sphere that has suspended or disqualified him/her for engaging in any professional or commercial activity

a. name Alba Pettengill b. date of birth 08/08/1955 c. profession Psychologist d. CPF or passport number 063.417.737-06 e. elective position held Sitting Member of the Board of Directors f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 2 (two) years (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2022). i. other Positions or Duties Performed at the He holds no other positions or Issuer functions at the issuer. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what Yes, using B3's Novo Mercado was the criterion used by the issuer to establish Regulation as criteria. independence l. number of consecutive terms of office 1 (one) consecutive term. m. Information on: She joined the meat processing industry in 1985, as Director of (ix) main professional experiences in the Frigorífico Guarani, where she last 5 years, indicating: (a) name was responsible for and sector of activity of the company; (b) position and functions implementing the ISO9000 inherent to the position; and (c) Quality standards. main activity of the company in which such experiences occurred, Dedicated for more than 30 highlighting the companies or (thirty) years to the meat organizations that integrate, (c.1) the industry, she is knowledgeable in issuer's economic group, or (c.2) if production processes. Alba was it is controlled by a shareholder of founder and president of the the issuer that holds, directly or Paraguayan Meat Chamber and indirectly, participation equal or was awarded by the Paraguayan superior to 5% of the same class or species of securities of the issuer; government for the and implementation of renewable energy. Currently, Alba owns (x) indication of all management and manages land in Paraguay, positions held in other companies or dedicating herself to cattle third-sector organizations breeding with the improvement of genetic production.

In addition, he is a member of the Board of Directors of the Rural Association of Paraguay and the Animal Health Commission of Paraguay. n. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (xiv) any criminal conviction; administrative proceedings and unappealable judicial or (xv) any conviction in a sanctioning administrative conviction, administrative proceeding at the suspending or disqualifying CVM and the penalties applied; and him/her from practicing a professional or legal commercial (xvi) any final and unappealable activity. conviction in the judicial or administrative sphere that has suspended or disqualified him/her for engaging in any professional or commercial activity

a. name Gelson Luiz Merisio b. date of birth 01/31/1966 c. profession Business administrator d. CPF or passport number 464.643.529-20 e. elective position held Sitting Member of the Board of Directors f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 2 (two) years (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2022). i. other Positions or Duties Performed at the Member of the Statutory Audit Issuer Committee. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what Yes, using B3's Novo Mercado was the criterion used by the issuer to establish Regulation as criteria. independence l. number of consecutive terms of office 1 (one) consecutive term. m. Information on: With a degree in Business Administration from (xi) main professional experiences in the Universidade do Oeste de Santa last 5 years, indicating: (a) name Catarina (Unoesc), he was and sector of activity of the president of the Associação company; (b) position and functions Comercial e Industrial de inherent to the position; and (c) Xanxerê (ACIX), of the main activity of the company in Federação das Associações which such experiences occurred, Comerciais e Industriais de Santa highlighting the companies or Catarina (FACISC), of the organizations that integrate, (c.1) the Conselho Deliberativo do issuer's economic group, or (c.2) if SEBRAE/SC, and vice-president it is controlled by a shareholder of of the Confederação das the issuer that holds, directly or Associações Comerciais do indirectly, participation equal or Brasil (CACB). Representing the superior to 5% of the same class or Santa Catarina business class, he species of securities of the issuer; was a state deputy in the Santa and Catarina Legislative Assembly from 2005 to 2018. (xii) indication of all management positions held in other companies or In 2010, he became president of third-sector organizations the Legislative Assembly by unanimous vote, a feat he repeated in two more terms (2011/12 and 2015/16). n. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (xvii) any criminal conviction; administrative proceedings and unappealable judicial or (xviii) any conviction in a sanctioning administrative conviction, administrative proceeding at the suspending or disqualifying CVM and the penalties applied; and him/her from practicing a professional or legal commercial (xix) any final and unappealable activity. conviction in the judicial or administrative sphere that has suspended or disqualified him/her for engaging in any professional or commercial activity

a. name Gilberto Meirelles Xandó Baptista b. date of birth 08/24/1965 c. profession Business administrator d. CPF or passport number 090.973.728-28 e. elective position held Sitting Member of the Board of Directors f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 2 (two) years (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2022). i. other Positions or Duties Performed at the Coordinator of the Related- Issuer Parties Committee and of the Statutory Audit Committee, and member of the Finance and Risk Management Committee and of the Governance, Compensation and Nominating Committee. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what Yes, using B3's Novo Mercado was the criterion used by the issuer to establish Regulation as criteria. independence l. number of consecutive terms of office 2 (two) consecutive terms. m. Information on: Graduated and post-graduated in Business Administration at (xiii) main professional experiences in the Fundação Getúlio Vargas and last 5 years, indicating: (a) name FGV GEAG, with a Master's and sector of activity of the company; (b) position and functions degree in Retail at USP/FEA and inherent to the position; and (c) specialization in PGA Business main activity of the company in Management at Fundação Dom which such experiences occurred, Cabral/INSEAD, in France. highlighting the companies or organizations that integrate, (c.1) He was CEO of Vigor Alimentos the issuer's economic group, or (c.2) S.A. for 9 years, and is currently if it is controlled by a shareholder of the issuer that holds, directly or an independent member of the indirectly, participation equal or Board of Directors of JSL S.A., superior to 5% of the same class or Química Amparo Ltda. (Ypê) species of securities of the issuer; and Grupasso S.A. He has a and strong multidisciplinary experience in a career developed (xiv) indication of all management in the areas of Finance, positions held in other companies or third-sector organizations Controlling, Trade Marketing, Marketing, Commercial (Brazil and abroad) and Business Unit Management in the companies Natura, Sadia S.A. and Coopers & Lybrand. n. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (xx) any criminal conviction; administrative proceedings and unappealable judicial or (xxi) any conviction in a sanctioning administrative conviction, administrative proceeding at the suspending or disqualifying CVM and the penalties applied; and him/her from practicing a professional or legal commercial (xxii) any final and unappealable activity. conviction in the judicial or administrative sphere that has suspended or disqualified him/her for engaging in any professional or commercial activity

a. name Leila Abraham Loria b. date of birth 01/26/1954 c. profession Administrator d. CPF or passport number 375.862.707-91 e. elective position held Sitting Member of the Board of Directors f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 2 (two) years (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2022). i. other Positions or Duties Performed at the He holds no other positions or Issuer functions at the issuer. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what Yes, using B3's Novo Mercado was the criterion used by the issuer to establish Regulation as criteria. independence l. number of consecutive terms of office 0 (zero) m. Information on: Bachelor's degree in Business Administration from Fundação (xv) main professional experiences in the Getúlio Vargas - FGV, with post- last 5 years, indicating: (a) name graduate studies in and sector of activity of the Administration from COPPEAD- company; (b) position and functions UFRJ (1978); Post-MBA in inherent to the position; and (c) Corporate Governance and main activity of the company in which such experiences occurred, Capital Markets for executives highlighting the companies or from B.I. International (2015); organizations that integrate, (c.1) course for Board Members from the issuer's economic group, or (c.2) IBGC (2015); International if it is controlled by a shareholder of Executive MBA from Amana the issuer that holds, directly or Key Advanced Management indirectly, participation equal or Program (1994). superior to 5% of the same class or species of securities of the issuer; and He is currently a member of the Board of Directors and the (xvi) indication of all management Statutory Audit Committee of positions held in other companies or Companhia Paranaense de third-sector organizations Energia - COPEL; member of the Advisory Board of Casas Pernambucanas (since 2018); member of the Board of the Brazilian Institute of Corporate Governance - IBGC (since 2018); member of the Board of Directors (since 2017) and the Investigation Committee (since 2018) of Madeira Energia - MESA and Santo Antônio Energia - SAE; member of the Advisory Board of INPLAC Indústria de Plástico (since 2016); and member of the Advisory Board of Costão do Santinho Resort (since 2016). Previously, she was Executive Director of the Telefonica Brasil group and member of the Board of Directors of Telefônica Vivo (2010-2015); President and General Director of TVA (Abril Group) and Member of the Board of Directors of Tevecap (1997- 2006); General Director and member of the Board of Directors of Direct TV (1997-1999); Commercial Director of Walmart (1994-1997); and Director of Marketing, Sales, Business, Purchasing and Human Resources of Mesbla (1978- 1994). n. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (xxiii) any criminal conviction; administrative proceedings and unappealable judicial or (xxiv) any conviction in a sanctioning administrative conviction, administrative proceeding at the suspending or disqualifying CVM and the penalties applied; and him/her from practicing a professional or legal commercial (xxv) any final and unappealable activity. conviction in the judicial or administrative sphere that has suspended or disqualified him/her for engaging in any professional or commercial activity

a. name Márcio Guedes Pereira Júnior b. date of birth 10/25/1961 c. profession Business administrator d. CPF or passport number 050.958.058-04 e. elective position held Sitting Member of the Board of Directors f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 2 (two) years (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2022). i. other Positions or Duties Performed at the Member of the Governance, Issuer Compensation and Nominating Committee. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what Yes, using B3's Novo Mercado was the criterion used by the issuer to establish Regulation as criteria. independence l. number of consecutive terms of office 1 (one) consecutive term. m. Information on: He graduated in Business Administration from Fundação (xvii) main professional experiences in the Getúlio Vargas and completed his last 5 years, indicating: (a) name MBA at FGV after studying at the and sector of activity of the Stern School of Business at New company; (b) position and functions York University. inherent to the position; and (c) main activity of the company in which such experiences occurred, He is currently a partner at highlighting the companies or Pangea and director of Anbima - organizations that integrate, (c.1) the Brazilian Association of issuer's economic group, or (c.2) if Financial and Capital Market it is controlled by a shareholder of Entities. the issuer that holds, directly or indirectly, participation equal or Previously, he led the Investment superior to 5% of the same class or Banking group at Banco J. Safra, species of securities of the issuer; and and was director of investment banking at Unibanco, Citigroup, (xviii) indication of all management and Credit Suisse. He has positions held in other companies or extensive experience in M&A third-sector organizations and Capital Markets transactions, including both debt and equity transactions. n. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (xxvi) any criminal conviction; administrative proceedings and unappealable judicial or (xxvii) any conviction in a sanctioning administrative conviction, administrative proceeding at the suspending or disqualifying CVM and the penalties applied; and him/her from practicing a professional or legal commercial (xxviii)any final and unappealable activity. conviction in the judicial or administrative sphere that has suspended or disqualified him/her for engaging in any professional or commercial activity

FISCAL COUNCIL a. name Adrian Lima Da Hora b. date of birth 02/02/1964 c. profession Business administrator d. CPF or passport number 372.365.394-49 e. elective position held Sitting Member of the Board of Directors f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 1 (one) year (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2021). i. other Positions or Duties Performed at the He holds no other positions or Issuer functions at the issuer. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what It is not an independent member. was the criterion used by the issuer to establish independence l. number of consecutive terms of office 5 (five) consecutive terms. m. Information on: He has a degree in Business Administration and Accounting (xix) main professional experiences in the Sciences from Universidade last 5 years, indicating: (a) name and Católica de Pernambuco, and an sector of activity of the company; intensive MBA from Ahold (b) position and functions inherent Retail Academy, Cornell, and to the position; and (c) main activity Provar - USP. Strong experience of the company in which such in the animal protein industry, experiences occurred, highlighting with a relevant background in the the companies or organizations that industry and in external auditing integrate, (c.1) the issuer's economic (Ernst & Young). He has served group, or (c.2) if it is controlled by a as CFO, CAO and controller in shareholder of the issuer that holds, large multi-location directly or indirectly, participation organizations and as a member of equal or superior to 5% of the same the Board of Directors of class or species of securities of the companies in Italy and Monaco. issuer; and He has knowledge of the debt issuing market and of the (xx) indication of all management proceedings before CADE. He positions held in other companies or was CFO of Seara (2015 to 2016) third-sector organizations and CAO of Rodopa (2011 to 2015).

He is currently an effective member of the Fiscal Council of JBS, Eldorado Brasil Celulose S.A. and Excelsior Alimentos S.A., of the Audit Committee of Biosev S.A. and of the Board of Directors of International School, Serviços de Ensino, Treinamento, Editoração

Excelsior Alimentos S.A. is indirectly controlled by JBS; and Eldorado Brasil Celulose S.A. is directly controlled by J&F Investimentos S.A., parent company of JBS. n. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (xxix) any criminal conviction; administrative proceedings and unappealable judicial or (xxx) any conviction in a sanctioning administrative conviction, administrative proceeding at the suspending or disqualifying CVM and the penalties applied; and him/her from practicing a professional or legal commercial (xxxi) any final and unappealable activity. conviction in the judicial or administrative sphere that has suspended or disqualified him/her for engaging in any professional or commercial activity a. name André Alcantara Ocampos b. date of birth 04/14/1980 c. profession Accountant d. CPF or passport number 273.340.808-90 e. elective position held Alternate Member of the Fiscal Council f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 1 (one) year (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2021). i. other Positions or Duties Performed at the He holds no other positions or Issuer functions at the issuer. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what It is not an independent member. was the criterion used by the issuer to establish independence l. number of consecutive terms of office 4 (four) consecutive terms. m. Information on: More than 20 years of experience in accounting and controlling in (xxi) main professional experiences in the medium and large companies. last 5 years, indicating: (a) name Worked as Controller Manager at and sector of activity of the Flora S.A. (September/2011 to company; (b) position and functions October/2012) and Accounting inherent to the position; and (c) Coordinator at Syngenta main activity of the company in (April/2001 to September/2011). which such experiences occurred, He has been a Fiscal Councilor highlighting the companies or for companies in the energy organizations that integrate, (c.1) sector. the issuer's economic group, or (c.2) if it is controlled by a shareholder of He is currently Corporate Vice the issuer that holds, directly or President of J&F Investimentos indirectly, participation equal or S.A. superior to 5% of the same class or species of securities of the issuer; JBS is controlled directly by J&F and Investimentos S.A.

(xxii) indication of all management positions held in other companies or third-sector organizations n. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (xxxii) any criminal conviction; administrative proceedings and unappealable judicial or administrative conviction, suspending or disqualifying (xxxiii)any conviction in a sanctioning him/her from practicing a administrative proceeding at the professional or legal commercial CVM and the penalties applied; and activity.

(xxxiv) any final and unappealable conviction in the judicial or administrative sphere that has suspended or disqualified him/her for engaging in any professional or commercial activity a. name Demetrius Nichele Macei b. date of birth 12/26/1970 c. profession Attorney d. CPF or passport number 787.870.509-78 e. elective position held Sitting Member of the Board of Directors f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 1 (one) year (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2021). i. other Positions or Duties Performed at the He holds no other positions or Issuer functions at the issuer. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what It is not an independent member. was the criterion used by the issuer to establish independence l. number of consecutive terms of office 11 (eleven) consecutive terms. o. Information on: Lawyer, Post-Doctorate from USP (2015), Doctor in Tax Law (xxiii) main professional experiences in the from the Pontifical Catholic last 5 years, indicating: (a) name University of São Paulo (2012), and sector of activity of the Master in Economic and Social company; (b) position and functions Law (2004) and Specialist in inherent to the position; and (c) Business Law from the Pontifical main activity of the company in Catholic University of Paraná which such experiences occurred, (2000), Bachelor of Laws from highlighting the companies or the Federal University of Paraná organizations that integrate, (c.1) (1994). He is a professor of Tax the issuer's economic group, or (c.2) Law at the undergraduate, if it is controlled by a shareholder of specialization, master's, and the issuer that holds, directly or doctorate levels of the Curitiba indirectly, participation equal or School of Law (UNICURITIBA), superior to 5% of the same class or and was a professor at the species of securities of the issuer; Autonomous School of Law of and São Paulo (2006-2007) and at PUC/PR (2000-2006). He held (xxiv) indication of all management the positions of Legal Director at positions held in other companies or JBS Argentina S.A., Manager at third-sector organizations Deloitte Auditores Independentes, and also legal advisor at OCEPAR and on the Fiscal Council of UNIMED Curitiba. He took an Extension Course in North American Law at Fordham University, New York, USA (2010). He published the books "Tributação do Ato Cooperativo" and "A Verdade Material no Direito Tributário". He is a member of the Thematic Council of Tax Affairs of the Federation of Industries of Paraná (FIEP), of the Tax Law Commission of the Brazilian Bar Association, and is a member and certified counselor of the Brazilian Institute of Corporate Governance (IBGC). Participated until 2016 in the Fiscal Council of Vigor Alimentos S.A. Served as a full member in the Superior Chamber of Tax Appeals of the Administrative Council of Tax Appeals/Ministry of Economy CARF/MO (2015/2019).

He is currently a member of the Fiscal Council of Apsen Farmacêutica S.A., Companhia Paranaense de Energia COPEL (president), JBS, Eldorado Brasil Celulose S.A., and Excelsior Alimentos S.A.

Excelsior Alimentos S.A. is indirectly controlled by JBS; and Eldorado Brasil Celulose S.A. is directly controlled by J&F Investimentos S.A., parent company of JBS. p. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (xxxv) any criminal conviction; administrative proceedings and unappealable judicial or administrative conviction, (xxxvi) any conviction in a sanctioning suspending or disqualifying administrative proceeding at the him/her from practicing a CVM and the penalties applied; and professional or legal commercial activity. (xxxvii) any final and unappealable conviction in the judicial or administrative sphere that has suspended or disqualified him/her for engaging in any professional or commercial activity a. name Marcos Godoy Brogiato b. date of birth 09/19/1958 c. profession Accountant d. CPF or passport number 949.583.438-49 e. elective position held Alternate Member of the Fiscal Council f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 1 (one) year (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2021). i. other Positions or Duties Performed at the He holds no other positions or Issuer functions at the issuer. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what It is not an independent member. was the criterion used by the issuer to establish independence l. number of consecutive terms of office 15 (fifteen) consecutive terms. m. Information on: Technician in Accounting and graduated in Business (xxv) main professional experiences in the Administration from the last 5 years, indicating: (a) name and Pontifical Catholic University of sector of activity of the company; São Paulo - PUC. He was an (b) position and functions inherent employee of the Bordon Group to the position; and (c) main activity (1973 - 2001), the last positions of the company in which such held being as follows: General experiences occurred, highlighting Accounting Manager (1996 - the companies or organizations that 1998), reporting to the Planning integrate, (c.1) the issuer's economic and Control Directory; Financial group, or (c.2) if it is controlled by a Manager (1998 - 2001), reporting shareholder of the issuer that holds, to the CEO. Between 2001 and directly or indirectly, participation 2006 he provided advisory equal or superior to 5% of the same services for the Bordon Group, class or species of securities of the and since then he has coordinated issuer; and the accounting for a company linked to the group. Participated (xxvi) indication of all management until 2016 in the Fiscal Council positions held in other companies or of Vigor Alimentos S.A. third-sector organizations He is currently an alternate member of the Fiscal Council at JBS and Excelsior Alimentos S.A.

Excelsior Alimentos S.A. is indirectly controlled by JBS. n. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (i) any criminal conviction; administrative proceedings and unappealable judicial or (ii) any conviction in a sanctioning administrative conviction, administrative proceeding at the suspending or disqualifying CVM and the penalties applied; and him/her from practicing a professional or legal commercial (iii) any final and unappealable activity. conviction in the judicial or administrative sphere that has suspended or disqualified him/her for engaging in any professional or commercial activity a. name José Paulo da Silva Filho b. date of birth 04/12/1963 c. profession Accountant d. CPF or passport number 386.730.294-49 e. elective position held Sitting Member of the Board of Directors f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 1 (one) year (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2021). i. other Positions or Duties Performed at the He holds no other positions or Issuer functions at the issuer. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what It is not an independent member. was the criterion used by the issuer to establish independence l. number of consecutive terms of office 8 (eight) consecutive terms. m. Information on: He has a degree in Accounting Sciences from the Catholic (xxvii) main professional experiences in the University of Pernambuco and a last 5 years, indicating: (a) name and post-graduate degree in Business sector of activity of the company; Management from the Getúlio (b) position and functions inherent Vargas Foundation. Experience to the position; and (c) main activity of 17 years as an independent of the company in which such auditor and more than 10 years as experiences occurred, highlighting a director in the areas of the companies or organizations that administration and finance, integrate, (c.1) the issuer's economic where he served as Director of group, or (c.2) if it is controlled by a Administration and Control of shareholder of the issuer that holds, JBS (2009 - 2011) of J&F directly or indirectly, participation Investimentos S.A. (2012 - equal or superior to 5% of the same 2014), holding company of the class or species of securities of the JBS Group and Fiscal Council issuer; and Member of Vigor Alimentos S.A. (2014 – 2016). (xxviii)indication of all management positions held in other companies or He is currently a member of the third-sector organizations Fiscal Council of JBS, Eldorado Brasil Celulose S.A. and Companhia Paranaense de Energia - Copel.

Eldorado Brasil Celulose S.A. is directly controlled by J&F Investimentos S.A., parent company of JBS. n. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (iv) any criminal conviction; administrative proceedings and unappealable judicial or (v) any conviction in a sanctioning administrative conviction, administrative proceeding at the suspending or disqualifying CVM and the penalties applied; and him/her from practicing a professional or legal commercial (vi) any final and unappealable activity. conviction in the judicial or administrative sphere that has suspended or disqualified him/her for engaging in any professional or commercial activity

a. name Sandro Domingues Raffai b. date of birth 01/02/1965 c. profession Accountant d. CPF or passport number 064.677.908-71 e. elective position held Alternate Member of the Fiscal Council f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 1 (one) year (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2021). i. other Positions or Duties Performed at the He holds no other positions or Issuer functions at the issuer. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what It is not an independent member. was the criterion used by the issuer to establish independence l. number of consecutive terms of office 15 (fifteen) consecutive terms. m. Information on: He has a degree in Accounting from Faculdade Oswaldo Cruz (i) main professional experiences in the and a post-graduate degree in Tax last 5 years, indicating: (a) name and Management from Escola de sector of activity of the company; Comércio Álvares Penteado - (b) position and functions inherent FECAP. Since 2006 he has been to the position; and (c) main activity assistant controller at Escritório of the company in which such de Contabilidade F.F. Ltda. experiences occurred, highlighting the companies or organizations that He is currently an alternate integrate, (c.1) the issuer's economic member of the Fiscal Council of group, or (c.2) if it is controlled by a JBS and Eldorado Brasil shareholder of the issuer that holds, Celulose S.A. directly or indirectly, participation equal or superior to 5% of the same Eldorado Brasil Celulose S.A. is class or species of securities of the directly controlled by J&F issuer; and Investimentos S.A., parent company of JBS. (ii) indication of all management positions held in other companies or third-sector organizations o. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (vii) any criminal conviction; administrative proceedings and unappealable judicial or (viii) any conviction in a sanctioning administrative conviction, administrative proceeding at the suspending or disqualifying CVM and the penalties applied; and him/her from practicing a professional or legal commercial (ix) any final and unappealable activity. conviction in the judicial or administrative sphere that has suspended or disqualified him/her for engaging in any professional or commercial activity

a. name Roberto Lamb b. date of birth 06/06/1948 c. profession Physicist. d. CPF ou number de passport 009.352.630-04 e. elective position held Sitting Member of the Board of Directors f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 1 (one) year (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2021). i. other Positions or Duties Performed at the He holds no other positions or Issuer functions at the issuer. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what Yes. was the criterion used by the issuer to establish independence l. number of consecutive terms of office 0 (zero) m. Information on: Graduated in Physics from the Federal University of Rio Grande (iii) main professional experiences in the do Sul - UFRGS; holds a last 5 years, indicating: (a) name and specialization degree in sector of activity of the company; Monetary Economics (Regional (b) position and functions inherent Economics Foundation FRE-RS) to the position; and (c) main activity and a Master's degree in Business of the company in which such Administration (UFRGS). experiences occurred, highlighting the companies or organizations that He is an IBGC certified fiscal integrate, (c.1) the issuer's economic councilor; has served on the group, or (c.2) if it is controlled by a Fiscal Council of several shareholder of the issuer that holds, Brazilian companies, such as directly or indirectly, participation RGE, Marcopolo, Gerdau, Seara, equal or superior to 5% of the same MARFRIG, AES Eletropaulo, class or species of securities of the AES Tiete. Currently it is: Fiscal issuer; and Director at Ouro Fino Saúde Animal, Member of the Board of (iv) indication of all management Directors at CADAM S.A. and positions held in other companies or member of the audit committees third-sector organizations at BB Seguridade and Dataprev. He is a professor of Finance and author of the Brazilian versions of "Fundamentals of Corporate Finance" by Ross, Westerfield, Jordan (Ross, Westerfield, Jordan and Lamb, AMGH McGraw Hill Bookman, 2013) and "Corporate Finance, by Ross, Westerfield, Jaffe (Ross, Westerfield, Jaffe and Lamb, AMGH McGraw Hill Bookman, 2015) and co-author of "Corporate Investment Decisions" by Galesne, Fensterseifer and Lamb (Atlas, 1999); has led editions of the IBGC's Best Practices guides for the Fiscal Council and the Audit Committee. p. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (i) any criminal conviction; administrative proceedings and unappealable judicial or (ii) any conviction in a sanctioning administrative conviction, administrative proceeding at the suspending or disqualifying CVM and the penalties applied; and him/her from practicing a professional or legal commercial (iii) any final and unappealable activity. conviction in the judicial or administrative sphere that has suspended or disqualified him/her for engaging in any professional or commercial activity

a. name Orlando Octávio de Freitas Júnior b. date of birth 09/16/1962 c. profession Accountant d. CPF or passport number 084.911.368-78 e. elective position held Alternate Member of the Fiscal Council f. election date 04/28/2021 g. Investiture date until 05/28/2021 h. end of term of office 1 (one) year (until the Annual General Meeting that deliberates on the financial statements for the year ending December 31, 2021). i. other Positions or Duties Performed at the Member of the Statutory Audit Issuer Committee and the Related- Parties Committee. j. elected by the controlling shareholder Yes, elected by the controlling shareholder. k. In case of an independent member, what Yes. was the criterion used by the issuer to establish independence l. number of consecutive terms of office 1 (one) consecutive term. m. Information on: Bachelor's degree in accounting from Universidade Mackenzie, (i) main professional experiences in the registered with CRC-SP and last 5 years, indicating: (a) name and IBRACON-Institute of sector of activity of the company; independent auditors in Brazil. (b) position and functions inherent He has 35 years of experience as to the position; and (c) main activity an auditing professional in of the company in which such external audit firms, Peat experiences occurred, highlighting Marwick Mitchel, Trevisan the companies or organizations that Auditores and KPMG, with 23 integrate, (c.1) the issuer's economic years as partner and technical group, or (c.2) if it is controlled by a responsible for the audit work. shareholder of the issuer that holds, Member of the executive directly or indirectly, participation committee of Trevisan and equal or superior to 5% of the same KPMG for 15 years. class or species of securities of the issuer; and

(ii) indication of all management positions held in other companies or third-sector organizations n. description of any of the following events In the last five years, has not been that have occurred over the last five years: subject to criminal conviction, conviction in CVM’s (i) any criminal conviction; administrative proceedings and unappealable judicial or (ii) any conviction in a sanctioning administrative conviction, administrative proceeding at the suspending or disqualifying CVM and the penalties applied; and him/her from practicing a professional or legal commercial (iii) any final and unappealable activity. conviction in the judicial or administrative sphere that has suspended or disqualified him/her for engaging in any professional or commercial activity

12.6. In relation to each of the persons who acted as a member of the Board of Directors or the Fiscal Council in the last fiscal year, inform, in table format, the percentage of participation in meetings held by the respective body in the same period, which after taking office

Board of Directors Percentage of attendance in the meetings Jeremiah Alphonsus O'Callaghan 100% José Batista Sobrinho 100% Wesley Mendonça Batista Filho 100% Aguinaldo Gomes Ramos Filho 100% Alba Pettengill 100% Gelson Luiz Merisio 100% Gilberto Meirelles Xandó Baptista 100% Márcio Guedes Pereira Júnior 100%

Fiscal Council Percentage of attendance in the meetings Adrian Lima Da Hora 100% André Alcantara Ocampos 0% Demetrius Nichele Macei 100% Marcos Godoy Brogiato 0% José Paulo da Silva Filho 100% Sandro Domingues Raffai 0% Orlando Octávio de Freitas Júnior 0%

12,7 Provide the information mentioned in Item 12.5 referring to the members of statutory committees, as well as audit, risk, financial and compensation committees, even if these committees or structures are not statutory.

Socio Environmental Responsibility Policy

Number of Date of Investiture End of term Name Consecutive election date of office Terms of Office Jeremiah 1 (one) 12/14/2018 12/14/2018 Indefinite O’Callaghan. consecutive term. Wesley Mendonça 1 (one) 11/13/2017 11/13/2017 Indefinite Batista Filho consecutive term.

Statutory Audit Committee

Number of Date of Investiture End of term Name Consecutive election date of office Terms of Office Gelson Luiz 11/11/2020 11/11/2020 10 years 0 Merisio Gilberto Meirelles 11/11/2020 11/11/2020 10 years 0 Xandó Baptista Orlando Octávio de 11/11/2020 11/11/2020 10 years 0 Freitas Júnior

Financial and risk management committee

Number of Date of Investiture End of term Name Consecutive election date of office Terms of Office Wesley Mendonça 1 (one) 11/13/2017 11/13/2017 Indefinite Batista Filho consecutive term. Gilberto Meirelles 11/13/2017 11/13/2017 Indefinite 0 Xandó Baptista

Governance, Compensation and Nominating Committee

Number of Date of Investiture End of term Name Consecutive election date of office Terms of Office Jeremiah 1 (one) 11/13/2017 11/13/2017 Indefinite O’Callaghan. consecutive term. Gilberto Meirelles 1 (one) 02/07/2018 02/07/2018 Indefinite Xandó Baptista consecutive term. Marcio Guedes 05/14/2020 05/14/2020 Indefinite 0 Pereira Junior

Related Party Committee

Number of Date of Investiture End of term Name Consecutive election date of office Terms of Office Gilberto Meirelles 1 (one) 08/14/2018 08/14/2018 Indefinite Xandó Baptista consecutive term. Orlando Octávio de 05/13/2019 05/13/2019 Indefinite 0 Freitas Júnior

Further information about the candidates is contained in item 12.5 above.

12,8 For each of the people who served as a member of the statutory committees, as well as the audit, risk, financial, and compensation committees, even if such committees or structures are not statutory, inform, in table format, the percentage of participation in meetings held by the respective body in the same period, which occurred after taking office.

Socio Environmental Responsibility Percentage of attendance in the Policy meetings Jeremiah O’Callaghan. 100% Wesley Mendonça Batista Filho 100%

Statutory Audit Committee Percentage of attendance in the meetings Gelson Luiz Merisio 100% Gilberto Meirelles Xandó Baptista 100% Orlando Octávio de Freitas Júnior 100%

Financial and risk management Percentage of attendance in the committee meetings Wesley Mendonça Batista Filho 100% Gilberto Meirelles Xandó Baptista 100%

Governance, Compensation and Percentage of attendance in the Nominating Committee meetings Jeremiah O’Callaghan. 100% Gilberto Meirelles Xandó Baptista 100% Marcio Guedes Pereira Junior 100%

Related Party Committee Percentage of attendance in the meetings Gilberto Meirelles Xandó Baptista 100% Orlando Octávio de Freitas Júnior 100%

12.9. Inform the existence of marital relationships, stable union or kinship up to the second degree between: (a) administrators of the issuer; (b) (i) administrators of the issuer and (ii) administrators of direct or indirect subsidiaries of the issuer; (c) (i) administrators of the issuer or its direct or indirect subsidiaries and (ii) direct or indirect controllers of the issuer; and (d) (i) administrators of the issuer and (ii) administrators of the direct and indirect parent companies of the issuer.

Mr. Wesley Mendonça Batista Filho (Member of the Board of Directors) and Mr. Aguinaldo Gomes Ramos Filho (Member of the Board of Directors) are cousins (4th degree by consanguinity). Both are grandchildren (2nd degree by consanguinity) of Mr. José Batista Sobrinho (Member of the Company's Board of Directors).

12.10. State any subordination, service or control relationship in the last three fiscal years between the members of the issuer’s management and: a. direct or indirect subsidiary of the issuer, except those in which the issuer holds, directly or indirectly, the entire share capital.

Adrian Lima da Hora and Demetrius Nichele Macei are effective members and Marcos Godoy Brogiato is an alternate member of Excelsior Alimentos S.A.'s Fiscal Council.

Excelsior Alimentos S.A. is indirectly controlled by JBS. b. direct or indirect controller of the issuer

Demetrius Nichele Macei served as Manager of Investigative Processes at the Compliance Department of J&F Investimentos S.A. (2017 – 2018).

André Alcântra Ocampos is currently Corporate Vice President of J&F Investimentos S.A.

JBS is controlled directly by J&F Investimentos S.A. c. if relevant, supplier, client, debtor or creditor of the issuer, its subsidiary or controlling shareholders or subsidiaries of any of these persons

None.

EXHIBIT IV TO THE MANAGEMENT PROPOSAL OF THE ANNUAL AND EXTRAORDINARY SHAREHOLDERS’ MEETING OF JBS S.A. TO BE HELD ON APRIL 28, 2021

OVERALL ANNUAL COMPENSATION OF MANAGEMENT

(as per item 13 of Exhibit 24 of CVM Instruction 480, of December 07, 2009)

13.1 - Description of the compensation policy or procedure of the board of directors, statutory and non-statutory executive board, fiscal council, statutory, risk, financial and compensation committees, discussing the following aspects:

(a) objectives of the compensation policy or practice, informing if the compensation policy was formally approved, the body responsible for its approval, approval date and, if the issuer discloses the policy, websites where the document may be consulted.

The Company's compensation policy for its managers, including members of the Board of Directors, members of the Fiscal Council, and statutory and non-statutory officers, in accordance with the best corporate governance practices, aims to select and retain professionals in the market who have qualifications, skills and profile consistent with JBS' practices and business.

The compensation is established based on market research and is directly related to the alignment of the interests of the executives involved and the Company's objectives. The Company's compensation policy is approved by the Board of Directors, according to the recommendation of the Governance, Compensation and Nominating Committee, and the variable compensation policy (PLR) is based on the agreement with the union.

The JBS Governance, Compensation and Nomination Committee analyzes, according to requirements and demands, the evaluation metrics of the management members.

The Company's compensation guidelines were formally approved at the Board of Directors Meeting on November 11, 2020.

(b) compensation structure

(i) description of compensation elements and each one’s objectives

Board of Directors

The members of the Board of Directors receive fixed monthly compensation for the performance of their functions.

Fiscal Council

All members of the Fiscal Council are entitled to fixed monthly compensation. The compensation of the members of the Fiscal Council is established at the respective shareholders' meeting that elects them and, under the terms of article 162, of the Brazilian Corporate Law, corresponds to at least 10% (ten percent) of the average compensation of the Company's statutory executive officers, excluding benefits and other variable items. The alternate members of the Fiscal Council receive compensation for each meeting they attend.

Executive Board

The annual global compensation of the members of the statutory executive board is established by the Board of Directors and is composed of a fixed and a variable portion.

The fixed part is composed of the salary and the health plan.

The variable portion of the compensation of the executive officers is paid as follows: (i) a variable compensation in the form of participation in the Company's results (“PLR”), composed of a portion in cash (“Short-Term Variable Compensation”), and (ii) in the form of Company's results, a portion in cash indexed to the price of the shares issued by the Company on B3 S.A. - Brasil, Bolsa, Balcão (“B3”), paid on a deferred basis, at the rate of 1/3 per year, during three years (“Long-Term Variable Compensation”).

The purpose of each component of management compensation is to promote the alignment of management goals with the Company's objectives in order to stimulate their commitment and also to attract and retain highly qualified professionals.

Committees

The external members that participate in the committees are entitled to a fixed monthly compensation. The members of the Board of Directors who participate in the committees receive an additional fixed compensation for participation in the meetings.

(ii) in relation to the last three fiscal years, which is the proportion of each element in total compensation

The Executive Board's compensation for 2020 was made up of 73% variable compensation and 27% fixed compensation.

The Executive Board's compensation for 2019 was made up of 66.3% variable compensation and 33.7% fixed compensation.

The Executive Board's compensation for 2018 was made up of 67.5% variable compensation and 32.5% fixed compensation.

(iii) methodology of calculation and adjustment of each compensation element

There is no specific calculation methodology for each compensation component.

The fixed monthly compensation of the statutory and non-statutory executive board is readjusted, in all fiscal years, according to the percentages of the union agreements and there may also be adjustments for merit in the performance of their activities. The compensation of the members of the Company's Board of Directors was modified for the year 2021, based on the General Price Index - Market, as well as the compensation of the members of the Company's Fiscal Council, in order to comply with the provisions of article 162, paragraph 3 of the Brazilian Corporate Law.

The compensation of the statutory executive board is structured in a fixed part and a variable part, the latter considering the adjusted net income calculated by the Company and an individual assessment, 360º model, in which are verified the behavioral performance and results in the activity and the valuation of the shares issued by JBS.

The health care plan for the statutory executive board, granted by the Company, does not have a specific calculation and adjustment methodology, and its adjustment is made based on a determination by the insurance company.

The compensation plan based on share price evolution, granted to the members of the Company's Executive Board, has a specific methodology.

(iv) reasons to justify the compensation structure

The fixed compensation is in line with market practices and is annually reviewed based on surveys conducted by specialized consultants.

The variable compensation stimulates the improvement of the Company's management and the retention of the best professionals in the market, delivering gains through commitment to long-term results and short-term performance.

(v) existence of non-compensated members by the issuer and the reason for this fact

There are no non-compensated members.

main performance indicators which are taken into account in determining each compensation element

Regarding fixed compensation, JBS relies on market research carried out by specialized consultants.

Similarly, as for all the Company's employees, the management's performance indicators are the achievement of operational and financial goals and individual performance.

The variable compensation of the Company's executive officers takes into consideration the adjusted net income calculated by the Company, as well as a process of individual performance evaluation, 360º model, where are verified behavioral performances and business results.

The indicators used to measure individual performance have been, depending on the hierarchical levels and areas of operation: (i) free cash flow generation; (ii) operating cash flow generation; (iii) EBITDA; (iv) gross profit; (v) net revenue; and (vi) performance of the beneficiary's business unit.

(d) how the compensation is structured in order to reflect the change in the performance indicators

The variable compensation indicators are linked to the Company's performance (global targets) and to the evaluation of the professionals' individual performance. Once the Company's global targets are reached, the professionals will be eligible for individual performance evaluation to determine the variable compensation (PPR and/or share-based, as the case may be) of each of them.

(e) how the compensation policy or practice is aligned to the issuer’s interests in the short, medium and long term

The compensation format described above is aligned with the Company's short-, medium- and long-term objectives. As described in item 13.1. (b) item "i" above, the compensation policy, with a fixed component and a variable component, aims at stimulating improvements in the Company's management and retaining the best professionals in the market, providing gains by stimulating commitment to long-term results and short-term performance.

The variable compensation system is based on share valuation that ensures the commitment of the executives, aligned with the Company's best long-term interests.

(f) existence of compensation supported by direct or indirect subsidiaries, affiliates or controlling shareholders

The total compensation paid to management is paid directly by the Company, with no members of the Fiscal Council, the Board of Directors or the Executive Board receiving compensation supported by direct or indirect subsidiaries, controlled or controlling companies.

(g) existence of any compensation or benefit connected with the occurrence of a certain corporate event, such as the sale of issuer’s corporate control

The Company does not have any kind of compensation or benefit related to the occurrence of a specific corporate event.

(h) practices and procedures adopted by board of directors to determine the individual compensation of the board of directors and board of executive officers

(i) bodies and committees that take part in the decision-making process and how they do so

Compensation policies and practices are recommended and reviewed by the Company's Statutory Audit Committee and Governance, Compensation and Nominating Committee, which submit to the Board of Directors the annual global management compensation proposal. After approval by the Company's Board of Directors, the proposal is submitted to the Shareholders' Meeting for approval. After approval by the shareholders at the Shareholders' Meeting, the global annual management compensation is segmented by the Board of Directors among the management members (Board of Directors and Statutory Management).

(ii) criteria and methodology used for setting the individual compensation

We use the market's compensation methodology (salary survey) based on the analysis made by the main specialized consulting companies recognized by the market.

(iii) periodicity and form of evaluation of the board of directors for compliance with the compensation policy

Upon request, the Governance, Compensation and Nominating Committee, an advisory body to the Board of Directors, evaluates the Company's compensation guidelines and practices.

13.2 - Total compensation of the board of directors, statutory board and fiscal council

Total compensation for the current fiscal year (2021) – Annual Amounts Board of Statutory Board Fiscal Council Total Directors Total number of members 9 5 4 18 Number of paid members 9 5 4 18 Fixed annual compensation Salaries or officers’ 4,320,000.00 18,068,296.88 1,479,946.00 23,868,244.88 compensation Direct and indirect 0.00 0.00 0.00 benefits Attendance at committees 932,500.00 0.00 0.00 932,500.00 Other 1,050,500.00 5,235,834.93 295,989.60 6,582,324.53 INSS Charges Description of other fixed (5,059,123.13) and INSS Charges INSS Charges compensations Healthcare Plan (176,711.80) Variable compensation Bonus 0.00 0.00 0.00 0.00 100,459,256.3 Profit sharing 0.00 100,459,256.30 0.00 0 Attendance at meetings 0.00 0.00 0.00 0.00 Commissions 0.00 0.00 0.00 0.00 Other 0.00 0.00 0.00 0.00 Description of other variable

compensation Post-employment 0.00 0.00 0.00 0.00 Termination of office 0.00 0.00 0.00 0.00 Share-based compensation, 0.00 0.00 0.00 0.00 including options The number of members The number of The number of corresponds to members members corresponds the annual corresponds to the to the annual average average of the annual average of Note of the number of number of the number of members of each members of members of each body, calculated on a each body, body, calculated on monthly basis. calculated on a a monthly basis. monthly basis.

Total compensation 6,303,000.00 123,763,388.14 1,775,937.60 131,842,325.74

Total compensation for the fiscal year ended December 31, 2020 - Annual Amounts Board of Statutory BoardFiscal Council Total Directors Total number of members 9 5 4 18 Number of paid members 9 5 4 18 Fixed annual compensation Salaries or officers’ 4,129,000.00 16,480,941.13 1,479,948.00 22,089,889.13 compensation Direct and indirect 0.00 0.00 0.00 0.00 benefits Attendance at 932,500.00 0.00 0.00 932,500.00 committees Other 1,012,300.00 4,791,375.32 295,989.60 6,099,664.92 INSS Charges (R$4,614,642,538) Description of other and Healthcare INSS Charges INSS Charges fixed compensations Plan (R$176,711.80)

Variable compensation Bonus 0.00 0.00 0.00 0.00 56,891,013.42 Profit sharing 0.00 0.00 56,891,013.42

Attendance at 0.00 0.00 0.00 0.00 meetings Commissions 0.00 0.00 0.00 0.00 Other 0.00 0.00 0.00 0.00 Description of other

variable compensation Post-employment 0.00 0.00 0.00 0.00 Termination of office 0.00 0.00 0.00 0.00 Share-based compensation, including 0.00 0.00 0.00 0.00 options The number of The number of The number of members members corresponds members corresponds corresponds to the annual to the annual average to the annual average average of the number of of the number of of the number of Note members of each body, members of each members of each calculated on a monthly body, calculated on a body, calculated on a basis. monthly basis. monthly basis. Total compensation 6,073,800.00 78,163,329.87 1,775,937.60 86,013,067.47

Total compensation for the fiscal year ended December 31, 2019 - Annual Amounts Board of Statutory BoardFiscal Council Total Directors Total number of members 9 5 4 18 Number of paid members 9 5 4 18 Fixed annual compensation Salaries or officers’ 3,605,000.00 14,210,837.54 1,479,948.00 19,295,785.54 compensation Direct and indirect 0.00 0.00 0.00 0.00 benefits Attendance at 660,666.33 0.00 0.00 660,666.33 committees Other 853,133.27 4,136,891.77 295,989.60 5,286,014.64 INSS Charges (R$3,979,034.51) Description of other INSS Charges and Healthcare INSS Charges fixed compensations Plan (R$157,857.26) Variable compensation Bonus 0.00 0.00 0.00 0.00 Profit sharing 0.00 44,700,000.00 0.00 44,700,000.00 Attendance at 0.00 0.00 0.00 0.00 meetings Commissions 0.00 0.00 0.00 0.00 Other 0.00 5,000,000.00 0.00 5,000,000.00 Description of other Hiring Bonus variable compensation Post-employment 0.00 0.00 0.00 0.00 Termination of office 0.00 0.00 0.00 0.00 Share-based compensation, including 0.00 0.00 0.00 0.00 options The number of The number of The number of members members corresponds members corresponds corresponds to the annual to the annual average to the annual average average of the number of of the number of of the number of Note members of each body, members of each members of each calculated on a monthly body, calculated on a body, calculated on a basis. monthly basis. monthly basis. Total compensation 5,118,799.60 68,047,729.31 1,775,937.60 74,942,466.51

Total compensation for the fiscal year ended December 31, 2018 - Annual Amounts Board of Statutory Board Fiscal Council Total Directors Total number of members 8.33 4.00 4.00 16.33 Number of paid 8.33 4.00 4.00 16.33 members Fixed annual compensation Salaries or 1,160,476.0 officers’ 2,966,666.67 12,254,048.04 16,381,190.71 0 compensation Direct and 0.00 0.00 0.00 0.00 indirect benefits Attendance at 775,000.00 0.00 0.00 775,000.00 committees Other 748,333.33 3,641,860.76 232,095.20 4,622,289.29 INSS Charges Description of INSS (3,431,133.45) and INSS other fixed Charges Healthcare Plan Charges compensations (210,727.31) Variable compensation Bonus 0.00 0.00 0.00 0.00 Profit sharing 0.00 33,000,000.00 0.00 33,000,000.00 Attendance at 0.00 0.00 0.00 0.00 meetings Commissions 0.00 0.00 0.00 0.00 Other 0.00 0.00 0.00 0.00 Description of other variable compensation Post- 0.00 0.00 0.00 0.00 employment Termination of 0.00 0.00 0.00 0.00 office Share-based compensation, 0.00 0.00 0.00 0.00 including options The number of The number of The number of members members members corresponds corresponds to the corresponds to the to the annual average annual average of annual average of of the number of Note the number of the number of members of each members of each members of each body, calculated on a body, calculated on body, calculated on monthly basis. a monthly basis. a monthly basis. Total 4,490,000.00 48,895,908.80 1,392,571.20 54,778,480.00 compensation

13.3 - Variable compensation of the board of directors, statutory board and fiscal council

The company does not have any variable compensation plan for the Board of Directors and the Fiscal Council.

Scheduled for Board of December 31, Statutory Board Fiscal Council Total Directors 2021 Total number 0 5 0 5 of members Number of 0.00 5 0.00 5 paid members Bonus Minimum amount foreseen in the None 0 None 0 compensation plan Maximum amount foreseen in the None 0 None 0 compensation plan Amount foreseen in the compensation None 0 None 0 plan - goals achieved Profit sharing Minimum amount foreseen in the None 0 None 0 compensation plan Maximum amount foreseen in the None 100,459,256.34 None 100,459,256.34 compensation plan

Amount foreseen in the compensation None 100,459,256.34 None 100,459,256.34 plan - goals achieved

Scheduled for Board of December 31, Statutory Board Fiscal Council Total Directors 2020 Total number 0 5 0 5 of members Number of 0.00 5 0.00 5 paid members Bonus Minimum amount foreseen in the None 0 None 0 compensation plan Maximum amount foreseen in the None 0 None 0 compensation plan Amount foreseen in the compensation None 0 None 0 plan - goals achieved Profit sharing Minimum amount foreseen in the None 0 None 0 compensation plan Maximum amount foreseen in the None 56,891,013.42 None 56,891,013.42 compensation plan

Amount foreseen in the compensation None 56,891,013.42 None 56,891,013.42 plan - goals achieved

December 31, Board of Statutory Board Fiscal Council Total 2019 Directors Total number 0.00 5 0.00 5 of members Number of 0.00 5 0.00 5 paid members Bonus Minimum amount foreseen in the None 0.00 None 0.00 compensation plan Maximum amount foreseen in the None 0.00 None 0.00 compensation plan Amount foreseen in the compensation None 0.00 None 0.00 plan - goals achieved Profit sharing Minimum amount foreseen in the None 0 None 0 compensation plan Maximum amount foreseen in the None 44,700,000.00 None 44,700,000.00 compensation plan

Amount foreseen in the compensation None 44,700,000.00 None 44,700,000.00 plan - goals achieved

December 31, Board of Statutory Board Fiscal Council Total 2018 Directors Total number 0.00 4 0.00 4 of members Number of 0.00 4 0.00 4 paid members Bonus Minimum amount foreseen in the None 0.00 None 0.00 compensation plan Maximum amount foreseen in the None 0.00 None 0.00 compensation plan Amount foreseen in the compensation None 0.00 None 0.00 plan - goals achieved Profit sharing Minimum amount foreseen in the None 0 None 0 compensation plan Maximum amount foreseen in the None 33,000,000.00 None 33,000,000.00 compensation plan

Amount foreseen in the

compensation None None 33,000,000.00 33,000,000.00 plan - goals achieved

13.4 - Share-based compensation plan for the board of directors and statutory board

(a) General terms and conditions

The Company's Stock Option Plan was approved at the Annual and Extraordinary Shareholders' Meeting held on April 30, 2014 (“Plan”), and is managed by the Board of Directors, which has exclusive authority to resolve on the issuance of the shares that are the subject matter of the Plan, and is also responsible for ensuring that all necessary and appropriate measures are adopted for the interpretation, detailing and application of the general rules and guidelines established in the Plan.

However, since fiscal year 2018, no new options have been granted under the Plan, and as of this date, no new grants are anticipated.

In addition, as mentioned in item 13.1 above, since fiscal year 2019, the Company's executive officers and key executives have been granted, on an exceptional and occasional basis, a Long-Term Variable Compensation based on the Company's share price and paid on a deferred basis at the rate of 1/3 per year over three years.

(b) Main objectives of the plan

Regarding the Long Term Variable Compensation mentioned in items 13.1 and 13.4 (a) above, the establishment of the unit value equivalent to the number of shares to be used in the calculation basis of said variable compensation is defined by reference to the monthly salary of the eligible employee, a salary multiple and the average of the closing prices of the common shares issued by the Company traded at B3 in the last 30 trading sessions prior to the disclosure of the annual results.

The Long Term Variable Compensation aims to stimulate in such employees a sense of ownership and personal involvement in the development and financial success of the Company, motivating them to dedicate their best efforts to the company's business, thus contributing to the implementation of the Company's and its shareholders' objectives.

Regarding the Long-Term Variable Compensation mentioned in 13.1 and 13.4 (a) above, by allowing certain key employees of the Company to have part of their variable compensation linked to the appreciation of JBS shares, it is expected that they will be strongly encouraged to commit themselves effectively to the creation of value, as well as to perform their duties in a way that integrates the shareholders' objectives to the corporate objectives and our development plans, thus maximizing profits and generating a long-term relationship between these professionals and the Company. Additionally, the implemented model is expected to be effective as a retention mechanism for managers and employees, mainly due to the sharing of the appreciation of the Company's shares.

(d) How the plan fits in the issuer’s compensation policy

Regarding the Long-Term Variable Compensation mentioned in items 13.1 and 13.4 (a) above, the Company understands that part of the variable compensation is related to the appreciation of JBS shares and consists of a long-term incentive instrument for its key employees, since it aims at stimulating in such employees a sense of ownership and personal involvement in the Company's development and financial success, making them participate in the business risk.

(e) How the plan aligns the interests of the managers with those of the issuer in the short, medium and long term

Regarding the Long-Term Variable Compensation mentioned in 13.1 and 13.4 (a) above, it aligns the interests of the managers and of the Company to the extent that it aims to stimulate a sense of ownership and personal involvement in the development and financial success of the Company in the managers and participating employees, encouraging them to devote their best efforts to the Company's business, thus contributing to the implementation of the short-, medium-, and long-term objectives of the Company and its shareholders.

(f) Maximum number of shares covered

Not applicable.

(g) Maximum number of options to be granted

Not applicable.

(h) Conditions of share acquisition

Not applicable.

(i) Criteria for setting the price of acquisition or exercise

Not applicable.

(j) Criteria for setting exercise period

Not applicable.

(k) Settlement method

The settlement is made in cash in the terms provided for in items 13.1 and 13.4(a) above, in the payroll jointly with the payment of the Profit Sharing Program.

(l) Restrictions to share transfer

Not applicable.

(m) Criteria and events which, when confirmed, will result in the suspension, change or annulment of the plan

Regarding the variable compensation as PLR, mentioned in items 13.1 and 13.4 (a) above, in the event of dismissal, death, disability, retirement, the terms and conditions contained in the 2019 Profit Sharing Program and in JBS's Labor Collective Agreement shall be observed. Also, in the cases of early maturity mentioned in the JBS Union Labor Agreement, the terms and conditions of payment mentioned in the respective long-term variable compensation plans will apply.

(n) Effects of a manager’s leave from the issuer’s entities on his/her rights foreseen in the share-based compensation plan

Regarding the variable compensation as profit sharing, mentioned in items 13.1 and 13.4 (a) above, in the event of dismissal of the executive officer by the Company's decision due to justified reasons, the Long Term Variable Compensation that has been granted to him/her, according to the rules of reservation of rights, shall be automatically extinguished by right, regardless of prior notice or compensation on any basis.

13.5 - Share-based compensation for the board of directors and statutory board

This item does not apply to the compensation of the Board of Directors, which is composed exclusively of a fixed monthly compensation, as described in the previous items.

Regarding the share-based compensation recognized in the result of the statutory management, the information is as follows:

Estimated compensation for the current fiscal year - 2021 Statutory Board b. total number of members 5.00 c. number of paid members 0.00 d. regarding each stock option grant: i. grant date N/A ii. number of shares granted N/A iii. term for options to become exercisable N/A iv. maximum term for exercising the options N/A v. lock-up period for share transfer N/A vi. weighted average exercise price of each of the following N/A option groups • outstanding at the beginning of the fiscal year N/A • lost during the fiscal year N/A • exercised during the fiscal year N/A • expired during the fiscal year N/A e. fair value of options on each grant date N/A f. potential dilution in case of exercise of all options granted 0.00

Compensation for the fiscal year ended December 31, 2020 Statutory Board b. total number of members 5.00 c. number of paid members 0.00 d. regarding each stock option grant: i. grant date N/A ii. number of shares granted N/A iii. term for options to become exercisable N/A iv. maximum term for exercising the options N/A v. lock-up period for share transfer N/A vi. weighted average exercise price of each of the following N/A option groups • outstanding at the beginning of the fiscal year N/A • lost during the fiscal year N/A • exercised during the fiscal year N/A • expired during the fiscal year N/A e. fair value of options on each grant date N/A f. potential dilution in case of exercise of all options granted 0.00

Compensation for the fiscal year ended December 31, 2019

Statutory Board b. total number of members 5.00 c. number of paid members 0.00 d. regarding each stock option grant: i. grant date N/A ii. number of shares granted N/A iii. term for options to become exercisable N/A iv. maximum term for exercising the options N/A v. lock-up period for share transfer N/A vi. weighted average exercise price of each of the following N/A option groups • outstanding at the beginning of the fiscal year N/A • lost during the fiscal year N/A • exercised during the fiscal year N/A • expired during the fiscal year N/A e. fair value of options on each grant date N/A f. potential dilution in case of exercise of all options granted 0.00

Compensation for the fiscal year ended December 31, 2018 Statutory Board

b. total number of members 4.00 c. number of paid members 0.00 d. regarding each stock option grant: i. grant date N/A ii. number of shares granted N/A iii. term for options to become exercisable N/A iv. maximum term for exercising the options N/A v. lock-up period for share transfer N/A vi. weighted average exercise price of each of the following N/A option groups • outstanding at the beginning of the fiscal year N/A • lost during the fiscal year N/A • exercised during the fiscal year N/A • expired during the fiscal year N/A e. fair value of options on each grant date N/A f. potential dilution in case of exercise of all options granted N/A

13.6 - Information on outstanding options held by the board of directors and the statutory board

Not applicable.

13.7 - Options exercised and shares delivered related to share-based compensation of the board of directors and the statutory board

December 31, 2020 Board of Directors Statutory Board Total number of members N/A 5 Number of paid members N/A 1 Options Exercised Number of shares N/A 65,335 Weighted average exercise N/A R$9.75 price Difference between the N/A exercise value and the market value of shares related to options exercised Shares delivered Number of shares delivered N/A N/A Weighted average price of N/A N/A acquisition Difference between the N/A N/A acquisition value and the market value of the acquired shares

December 31, 2019 Board of Directors Statutory Board Total number of members N/A 5 Number of paid members N/A 2 Options Exercised Number of shares N/A 110,299 Weighted average exercise N/A R$10.91 price Difference between the N/A R$15.82 exercise value and the market value of shares related to options exercised Shares delivered

Number of shares delivered N/A N/A Weighted average price of N/A N/A acquisition Difference between the N/A N/A acquisition value and the market value of the acquired shares

December 31, 2018 Board of Directors Statutory Board Total number of members N/A 4 Number of paid members N/A 2 Options Exercised Number of shares N/A 100,684 Weighted average exercise N/A R$11.62 price Difference between the N/A R$8.62 exercise value and the market value of shares related to options exercised Shares delivered Number of shares delivered N/A 153,846 Weighted average price of N/A R$9.75 acquisition Difference between the N/A R$0.65 acquisition value and the market value of the acquired shares

13.8 - Information necessary for understanding the data disclosed in items 13.5 to 13.7 - Method for pricing the value of shares and options

(a) Pricing model

The value for calculating the long-term variable remuneration is given by the average of the last 30 previous trading sessions, weighted by volume, of JBS' share prices at the closing of the announcement of the annual results.

(b) Data and assumptions used in the pricing model, including the weighted average share price, strike price, expected volatility, option life, expected dividends and the risk-free interest rate

The assumption used in the pricing model is the weighted average share price: weighted average of the Company's share price on the B3, weighted by the trading volume in the last 30 (thirty) trading sessions prior to the date of the release of the annual results.

Not applicable.

(d) Means of determining expected volatility

The unit value of the long-term incentive is established by the average of the last 30 (thirty) trading sessions before the publication date of the result and is not influenced by the share's volatility.

(e) If any other option characteristic was incorporated into the measurement of its fair value

The long-term variable compensation is linked to the appreciation of JBS shares, in the form of a unit value equivalent to a number of shares and no longer in the form of stock options.

13.9 - Share holdings, quotas and other convertible securities held by executives and fiscal council members - by body

Company Body Shares or Quotas Interest (%) Board of Directors 222,817 0,008 Statutory Board 11,735,776 0,447 Fiscal Council 0 0.00 Total

The Company is directly controlled by J&F Investimentos S.A. (“J&F”). Currently, J&F is controlled by ZMF Participações Ltda., WWMB Participações Ltda., JJMB Participações Ltda. and Pinheiros Fundo de Investimento em Participações Multiestratégia.

The following tables show the number of shares issued by each of these entities that are held by the Company's managers:

ZMF Participações Ltda. Body Shares or Quotas Interest (%) Board of Directors 655.583.372* 100.00% Statutory Board 0 0.00% Fiscal Council 0 0.00% Total 655.583.372* 100.00% *Quotas in usufruct.

WWMB Participações Ltda. Body Shares or Quotas Interest (%) Board of Directors 0 0.00% Statutory Board 0 0.00% Fiscal Council 0 0.00% Total 0 0.00%

JJMB Participações Ltda. Body Shares or Quotas Interest (%) Board of Directors 0 0.00% Statutory Board 0 0.00% Fiscal Council 0 0.00% Total 0 0.00%

Tierra Fundo de Investimento em Participações Multiestratégia Body Shares or Quotas Interest (%) Board of Directors 0 0.00% Statutory Board 0 0.00% Fiscal Council 0 0.00% Total 0 0.00%

13.10 - Information about pension plans granted to the members of the board of directors and statutory officers

Not applicable, since the Company does not offer a pension plan to the members of the board of directors and statutory officers.

13.11 Maximum, minimum and average individual compensation of the board of directors, statutory board and fiscal council Annual Amounts

Statutory Board Board of Directors Fiscal Council December 31, December 31, December 31, December December December December December December

2020 2019 2018 31, 2020 31, 2018 31, 2017 31, 2020 31, 2019 31, 2018 Total number of 5 5 4 9 8.33 8.33 4 4 4 members Number of paid 5 5 4 9 8.33 8.33 4 4 4 members Highest compensation 33,783,980 26,542,620 20,490,944.00 1,224,000 1,080,000 904,400.00 443,984 443,984 348,142.80 (R$) Lowest compensation 6,252,083 7,643,874 6,016,005.31 558,000.00 568,755.51 432,000.00 443,984 443,984 348,142.80 (R$) Average compensation 15,632,665.97 13,609,545.86 12,223,977.20 674,867 504,000 539,015.61 443,984 443,984 348,142.80 (R$)

Note

Statutory Board The average compensation corresponds to the division of the total annual compensation of this body by the number of members December 31, indicated in letter ‘b’ of item 13.2. 2020 These figures take into account the INSS paid by the employer. The average compensation corresponds to the division of the total annual compensation of this body by the number of members December 31, indicated in letter ‘b’ of item 13.2. 2019 These figures take into account the INSS paid by the employer. The average compensation corresponds to the division of the total annual compensation of this body by the number of members December 31, indicated in letter ‘b’ of item 13.2. 2018 These figures take into account the INSS paid by the employer.

Board of Directors The average compensation corresponds to the division of the total annual compensation of this body by the number of members December 31, indicated in letter ‘b’ of item 13.2. 2020 These figures take into account the INSS paid by the employer. The average compensation corresponds to the division of the total annual compensation of this body by the number of members December 31, indicated in letter ‘b’ of item 13.2. 2019 These figures take into account the INSS paid by the employer. The average compensation corresponds to the division of the total annual compensation of this body by the number of members December 31, indicated in letter ‘b’ of item 13.2. 2018 These figures take into account the INSS paid by the employer.

Fiscal Council

The average compensation corresponds to the division of the total annual compensation of this body by the number of members December 31, indicated in letter ‘b’ of item 13.2. 2020 These figures take into account the INSS paid by the employer. The average compensation corresponds to the division of the total annual compensation of this body by the number of members December 31, indicated in letter ‘b’ of item 13.2. 2019 These figures take into account the INSS paid by the employer. The average compensation corresponds to the division of the total annual compensation of this body by the number of members December 31, indicated in letter ‘b’ of item 13.2. 2018 These figures take into account the INSS paid by the employer.

13.12 - Mechanisms of compensation or indemnification for managers in case of removal from office or retirement

Not applicable, since the Company has no mechanisms for compensating or indemnifying directors in the event of removal from the position or retirement.

13.13 - Percentage of total compensation of management and members of the fiscal council that are related parties to controlling shareholders

Body 2019 2018 2017 Board of Directors 0% 0% 0% Statutory Board 0% 0% 0% Fiscal Council 25.00% 25.00% 0%

13.14 - Compensation of managers and fiscal council members, by body, received for any reason other than the position they hold

Fiscal year ended Board of Statutory Fiscal Council Directors Board December 31, 2019 R$0.00 R$0.00 R$0.00 December 31, 2018 R$0.00 R$0.00 R$0.00 December 31, 2017 R$0.00 R$0.00 R$0.00

13.15 – Compensation of management and members of the fiscal council recognized in the results of direct or indirect controlling shareholders, companies under common control and controlled companies of the issuer

No compensation was paid to directors and fiscal council members recognized in the results of direct or indirect controlling shareholders, companies under common control, and subsidiaries due to their position in the Company.

13.16 - Other relevant information

There is no other information that the Company deems relevant in relation to this section 13.

EXHIBIT V TO THE MANAGEMENT PROPOSAL OF THE ANNUAL AND EXTRAORDINARY SHAREHOLDERS’ MEETING OF JBS S.A. TO BE HELD ON APRIL 28, 2021

ORIGINAL AND COMPARED WRITING WITH JUSTIFICATIONS OF THE CHANGES PROPOSED TO THE BYLAWS OF JBS S.A.

Comments / Justifications on the Current Writing Comparative Writing Proposed Changes BYLAWS BYLAWS OF Wording Adjustment.

JBS S.A. JBS S.A. Corporate Taxpayer's ID (CNPJ/MF) Corporate Taxpayer’s ID (CNPJ/ME): 02.916.265/0001-60 02.916.265/0001-60 State Registry (NIRE) 35.300.330.587 Company Registry (NIRE): 35.300.330.587

CHAPTER I CHAPTER I CORPORATE NAME, HEADQUARTERS, NAME, HEADQUARTER, PURPOSE AND PURPOSE AND TERM DURATION

Article 1 JBS S.A. (“Company”) is a limited liability Article 1 JBS S.A. (“Company”) is a limited liability company governed by these Bylaws and by the applicable company governed by these Bylaws and by the applicable law. law.

Article 2 The Company is headquartered in the City Article 2 The Company is headquartered in the City Not Applicable. of São Paulo, at Avenida Marginal Direita do Tietê, 500, and state of São Paulo, at Avenida Marginal Direita do Bloco I, 3º Andar, CEP 05118-100. Tietê, 500, Bloco I, 3º Andar, CEP 05118-100.

Sole Paragraph The Company may open, close and Sole Paragraph The Company may open, close and Cross-reference adjustment. change the address of branches, agencies, warehouses, change the address of branches, agencies, warehouses, distribution centers, offices and any other establishments distribution centers, offices and any other establishments in Brazil or abroad by resolution of the Executive Board, in the country or abroad by resolution of the Executive in compliance with the provisions of Article 19, Item XI, Board, pursuant to the provisions of article26, item IVof herein. these Bylaws.

Article 3 The corporate purpose of the company is: Article 3 The corporate purpose of the company is: Not Applicable. (a) administrative office; (b) exploring, on its own account, (a) administrative office; (b) exploring, on its own account, cattle slaughtering and refrigeration, manufacturing, cattle slaughtering and refrigeration, manufacturing, distributing and trading fresh or industrialized food distributing and trading fresh or industrialized food products and animal and vegetable products, by-products products and animal and vegetable products, by-products and their derivatives (including, but not limited to, cattle, and their derivatives (including, but not limited to, cattle, pigs, sheep and fish in general); (c) processing, preserving swine, sheep and fish in general); (c) processing, and producing canned vegetables, preserves, fats, feed, preserving and producing canned vegetables, preserves, canned goods, importing and exporting derived products; fats, feed, canned goods, importing and exporting derived (d) manufacturing pet products, nutritional additives for products; (d) manufacturing pet products, nutritional animal feed, balanced feed and prepared animal feed; (e) additives for animal feed, balanced feed and prepared buying, selling, breeding, fattening and slaughtering cattle, animal feed; (e) buying, selling, breeding, fattening and in its own and third-party establishments; (f) slaughtering cattle, in its own and third-party slaughterhouse with slaughter of cattle and preparing meat establishments; (f) slaughterhouse with slaughter of cattle

for third parties; (g) manufacturing, trading, importing, and preparing meat for third parties; (g) manufacturing, exporting beef tallow, meat meal, bone meal and feed; (h) trading, importing, exporting beef tallow, meat meal, bone purchasing and selling, distributing and representing meal and feed; (h) purchasing and selling, distributing and foodstuffs, uniforms and clothes with provision of clothing representing food stuffs, uniforms and clothes with services in general; (i) processing, wholesale trade, provision of clothing services in general; (i) processing, importing and exporting hides and skins, horns, bones, wholesale trade, importing and exporting hides and skins, hooves, manes, wool, raw hair and bristles, feathers and horns, bones, hooves, manes, wool, raw hair and bristles, plumes and animal protein; (j) distributing and trading feathers and plumes and animal protein; (j) distributing and drinks, sweets and barbecue utensils; (k) manufacturing, trading drinks, sweets and barbecue utensils; (k) distributing and trading sanitizing-cleaning and hygiene manufacturing, distributing and trading sanitizing- products; (l) manufacturing, distributing, trading, cleaning and hygiene products; (l) manufacturing, importing, exporting, processing, representing perfumery distributing, trading, importing, exporting, processing, products and toilet Articles, cleaning and domestic hygiene representing perfumery products and toilet articles, products, cosmetic products and products for personal use; cleaning and domestic hygiene products, cosmetic (m) importing and exporting, as long as related to the products and products for personal use; (m) importing and activities listed in items “b”, “d”, and “k” of the Company's exporting, as long as related to the activities listed in items corporate purpose; (n) manufacturing, leasing and selling “b”, “d”, and “k” of the Company's corporate purpose; (n) machinery and equipment in general and assembing manufacturing, leasing and selling machinery and electrical panels, as long as related to the activities listed equipment in general and assembling electrical panels, as in items “b”, “d”, “i”, “j”, “k”, “ l ”and “m” of the long as related to the activities listed in items “b”, “d”, “i”, Company’s corporate purpose and to the extent necessary “j”, “k”, “ l ”and “m” of the Company’s corporate purpose to exercise them, and this activity may not represent more and to the extent necessary to exercise them, and this than 0.5% of the Company's annual revenue; (o) trading activity may not represent more than 0.5% of the chemical products, as long as related to the activities listed Company's annual revenue; (o) trading chemical products, in items “b”, “d”, “i”, “j”, “k”, “l” and “m” of the as long as related to the activities listed in items “b”, “d”, Company's corporate purpose; (p) manufacturing, trading, “i”, “j”, “k”, “l” and “m” of the Company's corporate importing and exporting plastics, plastic products, scraps purpose; (p) manufacturing, trading, importing and in general, corrective fertilizers, organic and mineral exporting plastics, plastic products, scraps in general,

fertilizers for agriculture, removal and biological treatment corrective fertilizers, organic and mineral fertilizers for of organic residues, as long as related to the activities agriculture, removal and biological treatment of organic mentioned in items “b”, “d”, “i”, “j”, “k”, “l” and “m” of residues, as long as related to the activities mentioned in the Company's corporate purpose and to the extent items “b”, “d”, “i”,“j”, “k”, “l” and “m” of the Company's necessary to exercise them; (q) stamping, manufacturing corporate purpose and to the extent necessary to exercise cans, preparing steel coils (flanders and chrome) and them; (q) stamping, manufacturing cans, preparing steel varnishing steel sheets, as long as related to the activities coils (flanders and chrome) and varnishing steel sheets, as in items “b”, “d”, “i”, “j”, “k”, “l” and “m” of the long as related to the activities in items “b”, “d”, “i”, “j”, Company's corporate purpose; (r) providing closed and “k”, “l” and “m” of the Company's corporate purpose; (r) goods warehouse for third parties, except general stores providing closed and goods warehouse for third parties, and furniture storage; (s) providing general warehouse, except general stores and furniture storage; (s) providing according to Federal Decree 1102, of November 21, 1903, general warehouse, according to Federal Decree 1102, of to secure and preserve perishable goods from third parties; November 21,1903, to secure and preserve perishable (t) road transportation of cargo in general, municipal, goods from third parties; (t) road transportation of cargo in intercity, interstate and international; (u) producing, general, municipal, intercity, interstate and international; generating and trading electricity, and cogenerating energy (u) producing, generating and trading electricity, and and storing hot water for heating with or without cogenerating energy and storing hot water for heating with authorization from the due Government; (v) producing, or without authorization from the due Government; (v) trading, importing and exporting biofuel, biodiesel, producing, trading, importing and exporting biofuel, glycerin, organic waste resulting from biodiesel biodiesel, glycerin, organic waste resulting from biodiesel manufacturing process (sludge), soluble alcohol, additives, manufacturing process (sludge), soluble alcohol, additives, vegetable oils, organic additives for mixing, recycled oil, vegetable oils, organic additives for mixing, recycled oil, esters, chemicals and derivatives; (w) manufacturing, esters, chemicals and derivatives; (w) manufacturing, distributing, trading and storing chemical products in distributing, trading and storing chemical products in general; (x) producing, trading biodiesel from animal fat, general; (x) producing, trading biodiesel from animal fat, vegetable oil and by-products and bioenergy, importing; vegetable oil and by-products and bioenergy, importing; (y) trading agricultural raw materials in general; (z) (y) trading agricultural raw materials in general; (z) manufacturing, distributing, trading and storing animal and manufacturing, distributing, trading and storing animal and

vegetable products and by-products and its derivatives, vegetable products and by-products and its derivatives, glycerin and animal and vegetable by-products; (aa) glycerin and animal and vegetable by-products; (aa) providing intermediation and agency services and business providing intermediation and agency services and business in general, except real estate; (ab) providing laboratory in general, except real estate; (ab) providing laboratory analysis, testing and technical analysis services; (ac) analysis, testing and technical analysis services; (ac) manufacturing margarine and other vegetable fats and manufacturing margarine and other vegetable fats and inedible oils from animals; (ad) manufacturing ice cream inedible oils from animals; (ad) manufacturing ice cream and other types of edible ice creams; (ae) wholesale trade and other types of edible ice creams; (ae) wholesale trade of other chemical and petrochemical products not of other chemical and petrochemical products not otherwise specified; (af) manufacturing additives for otherwise specified; (af) manufacturing additives for industrial use; (ag) manufacturing refined vegetable oils, industrial use; (ag) manufacturing refined vegetable oils, except corn oil; (ah) manufacturing synthetic soaps and except corn oil; (ah) manufacturing synthetic soaps and detergents; (ai) wheat milling and manufacturing detergents; (ai) wheat milling and manufacturing derivatives; (aj) manufacturing organic chemical products derivatives; (aj) manufacturing organic chemical products not previously specified; (ak) processing, manufacturing, not previously specified; (ak) processing, manufacturing, distributing, trading, importing, exporting, distributing, trading, importing, exporting, commissioning, consigning and representing milk and its commissioning, consigning and representing milk and its derivatives; (al) processing, manufacturing, distributing, derivatives; (al) processing, manufacturing, distributing, trading, importing, exporting, commissioning, consigning trading, importing, exporting, commissioning, consigning and representing food products of any kind; (am) and representing food products of any kind; (am) manufacturing, distributing, trading, importing, exporting, manufacturing, distributing, trading, importing, exporting, commissioning, consigning and representing agricultural commissioning, consigning and representing agricultural products, machinery, equipment, parts and supplies products, machinery, equipment, parts and supplies necessary for the manufacture and sale of the Company’s necessary for the manufacture and sale of the Company’s products; (an) distributing, trading, importing, exporting, products;(an) distributing, trading, importing, exporting, commissioning, consigning and representing vinegars, commissioning, consigning and representing vinegars, beverages in general, sweets and preserves; (ao) providing beverages in general, sweets and preserves; (ao) providing services and technical support to rural livestock farmers; services and technical support to rural livestock farmers;

(ap) having an interest in other companies in the country (ap) having an interest in other companies in the country and abroad, as partner, shareholder or associate; (ar) and abroad, as partner, shareholder or associate; (ar) producing, generating and trading electricity; (aq) producing, generating and trading electricity; (aq) manufacturing hides, skins and their derivatives, their manufacturing hides, skins and their derivatives, their preparation and finishing, manufacturing upholstery and preparation and finishing, manufacturing upholstery and other leather artifacts; (ar) road transport of dangerous other leather artifacts; (ar) road transport of dangerous products; (as) exploring the industrialization, trade, export products; (as) exploring the industrialization, trade, export and import of food ingredients and products and the and import of food ingredients and products and the representation of products in general; (at) recovering representation of products in general; (at) recovering plastic materials; (au) recovering materials not previously plastic materials; (au) recovering materials not previously specified; (av) treating and disposing non-hazardous specified; (av) treating and disposing non-hazardous waste; (aw) treating hazardous waste for disposal; (ax) waste; (aw) treating hazardous waste for disposal; (ax) manufacturing plastic artifacts for other uses not manufacturing plastic artifacts for other uses not previously specified; (ay) wholesale trade of slaughtered previously specified; (ay) wholesale trade of slaughtered poultry and by-products; (az) creating other types of poultry and by-products; (az) creating other types of poultry, except for cuts; (aaa) producing eggs; (aab) poultry, except for cuts; (aaa) producing eggs; (aab) producing day-old chicks; (aac) manufacturing medicines producing day-old chicks; (aac) manufacturing medicines for veterinary use; and (aad) manufacturing tanned, for veterinary use; and (aad) manufacturing tanned, varnished, metallized leather, suede, tanned, chrome; (aaa) varnished, metallized leather, suede, tanned, chrome; (aaa) regenerating, dyeing and painting leather; (aaf) loading regenerating, dyeing and painting leather; (aaf) loading and unloading; and (aag) monitoring electricity. and unloading; and (aag) monitoring electricity.

Sole Paragraph The Company may explore other Sole Paragraph The Company may explore other Not Applicable. activities related to the purpose in Article 3, as well as have activities related to the purpose in Article 3, as well as have an interest in other companies, in the country or abroad. an interest in other companies, in the country or abroad.

Article 4 The term of the Company is indefinite. Article 4 The Company’s duration is undetermined. Not Applicable.

CHAPTER II CHAPTER II Wording adjustment to reflect the CAPITAL STOCK SHARE CAPITAL cancellations of treasury shares decided by the Board of Directors at Article 5 The capital stock is twenty-three billion, six Article 5 The capital stock is twenty-three billion, six meetings held on December 16, 2020 hundred and thirty-one million, seventy-one thousand, hundred and thirty-one million, seventy-one thousand, and March 24, 2021. three hundred and four reais and twenty-four cents three hundred and four reais and twenty-four cents (R$23,631,071,304.24), fully subscribed and paid-in, (R$23,631,071,304.24), fully subscribed and paid-in, divided into two billion, six hundred sixty six million, divided into two billion, five hundred and eleven million, seventy nine thousand and twenty three (2,666,079,023) one hundred and thirty-five thousand, seven hundred and registered, book-entry, common shares with no par value. seventy (2,511,135,770) registered, book-entry, common shares with no par value. Article 6 The Company is authorized to increase its Article 6 The Company is authorized to increase its Not Applicable. capital stock, regardless of statutory reform, by up to one capital stock, regardless of statutory reform, by up to one billion, three hundred and seventy-five million, eight billion, three hundred and seventy-five million, eight hundred and fifty-three thousand, one hundred and eighty- hundred and fifty-three thousand, one hundred and eighty- three (1,375,853,183) registered, book-entry, common three (1,375,853,183) registered, book-entry, common shares with no par value shares with no par value.

Paragraph 1 Within the limit authorized herein, the Paragraph 1 Within the limit authorized herein, the Wording Adjustment. Company may, by resolution of the Board of Directors, Company may, by resolution of the Board of Directors, increase the capital stock regardless of statutory increase the share capital regardless of statutory amendment, as per Paragraph 2 of Article 166 of the amendment, in compliance with the provisions of Brazilian Corporation Law. The Board of Directors shall paragraph 2 of article 166 of the Law 6,404, of December 15, 1976, as amended (“Brazilian Corporate Law”). The

establish the number, price, payment term and other Board of Directors shall establish the number, price, conditions to issue shares. payment term and other conditions to issue shares.

Paragraph 2 Within the limit of the authorized capital, Paragraph 2 Within the authorized capital limit, the Not Applicable. the Board of Directors may resolve on issuing subscription Board of Directors can resolve on the issue of subscription bonus and debentures convertible into common shares. warrant and debentures convertible into common shares.

Paragraph 3 Within the limit of the authorized capital Paragraph 3 Within the limit of the authorized capital Not Applicable. and according to the plan approved by the Shareholders’ and according to the plan approved by the Shareholders’ Meeting, the Company may grant a stock option to Meeting, the Company may grant a stock option to members of the management, employees or individuals members of the management, employees or individuals who provide services to it, or the members of the who provide services to it, or the members of the management, employees or individuals who provide management, employees or individuals who provide services to subsidiaries, except the right of first refusal of services to subsidiaries, except the right of first refusal of shareholders when granting and exercising stock options. shareholders when granting and exercising stock options.

Paragraph 4 The Company is prohibited from issuing Paragraph 4 The Company is prohibited from issuing Not Applicable. founders' shares. founders' shares.

Paragraph 5 The Company may not issue preferred Paragraph 5 The Company shall not issue preferred Not Applicable. shares. shares.

Paragraph 6 Whenever the Board of Directors approves Paragraph 6 Whenever the Board of Directors approves Not Applicable. the capital increase within the limit of the authorized the capital increase within the limit of the authorized capital, the consolidation of Articles 5 and 6 of the Bylaws capital, the consolidation of Articles 5 and 6 of the Bylaws

shall appear in the agenda of the ensuing Shareholders’ shall appear in the agenda of the subsequent Shareholders’ Meeting. Meeting.

Article 7 The capital stock shall be represented Article 7 The share capital shall be exclusively Not Applicable. exclusively by common shares and each common share represented by common shares and each share entitles to shall entitle the holders to one vote in the resolutions of the one vote in the resolutions taken at the Shareholders' Shareholders' Meeting. Meeting.

Article 8 All the Company's shares are book-entry Article 8 All the Company's shares are book-entry Not Applicable. shares, kept in a deposit account in a financial institution shares, kept in a deposit account in a financial institution authorized by the Brazilian Securities and Exchange authorized by the Brazilian Securities and Exchange Commission (“CVM”) designated by the Board of Commission (“CVM”) designated by the Board of Directors, on behalf of the holders, without issuing Directors, on behalf of the holders, without issuing certificates. certificates.

Sole Paragraph The cost for the transfer and Sole Paragraph The cost of transfer and registration Not Applicable. registration, as well as the cost of the service relating to may be charged directly from shareholders by the book-entry shares may be charged directly to the depositary institution, as defined in the share bookkeeping shareholder by the bookkeeping institution, as defined in agreement. the stock bookkeeping agreement.

Article 9 At the discretion of the Board of Directors, Article 9 Upon the discretion of the Board of Not Applicable. the right of first refusal when issuing shares, debentures Directors, the right of first refusal when issuing shares, convertible into shares and subscription bonus, placed debentures convertible into shares and subscription bonus, through the sale on the stock exchange or by public placed through the sale on the stock exchange or by public subscription, or by exchanging shares or public offer, may subscription, or by exchanging shares or public offer, may

be deleted or reduced as established by law, within the be deleted or reduced as established by law, within the limits of the authorized capital. limits of the authorized capital.

CHAPTER III CHAPTER III Wording Adjustment. SHAREHOLDERS’ MEETING SHAREHOLDERS’ MEETING

Article 10 The Shareholders’ Meeting shall be held, Article 10 The Shareholders’ Meeting shall be held, ordinarily, once a year and, extraordinarily, whenever ordinarily, once a year and, extraordinarily, whenever necessary, according to Law 6404, of December 15, 1976 necessary, according to the Brazilian Corporate Law or (“Brazilian Corporation Law”) or these Bylaws. these Bylaws.

Paragraph 1 The Shareholders' Meeting shall be Paragraph 1 The Shareholders' Meeting shall be Not Applicable. convened by the Chairman of the Board of Directors or, in convened by the Chairman of the Board of Directors or, in the cases provided for by law, by shareholders or by the the cases provided for by law, by shareholders or by the Fiscal Council, after a notice is published. The first call Fiscal Council, after a notice is disclosed. The first call shall be made, at least, fifteen (15) days in advance and the shall be made, at least, fifteen (15) days in advance and the second call, at least, eight (8) days in advance. second call, at least, eight (8) days in advance.

Paragraph 2 Resolutions of the Shareholders’ Meeting Paragraph 2 Resolutions of the Shareholders’ Meeting Not Applicable. shall be approved by a majority of the votes of those shall be approved by a majority of the votes of those attending. attending.

Paragraph 3 The Shareholders' Meeting shall solely Paragraph 3 The Shareholders' Meeting shall only Not Applicable. resolve on matters stated in the agenda of the decide on the agenda matters included in the respective call

corresponding call notice, except for cases provided for in notice, excluding the exceptions set forth by the Brazilian the Brazilian Corporation Law. Corporation Law. Paragraph 4 At the Shareholders’ Meetings, the Paragraph 4 At the General Meetings, shareholders must Not Applicable. shareholders shall submit, at least, seventy-two (72) hours present, at least seventy-two (72) hours in advance, in in advance, in addition to the applicable identity card addition to the identity document and/or relevant corporate and/or corporate instruments evidencing the legal acts evidencing legal representation, as the case may be: (i) representation, as the case may be: (i) evidence issued by certificate issued by the bookkeeping institution no later the bookkeeping institution, no more than five (5) days than five (5) days prior to the date of the Shareholders' before the Shareholders’ Meeting; (ii) the power of Meeting; (ii) the proxy instrument with the grantor's attorney with notarization of the granting party’s signature; signature notarized; and/or (iii) with respect to and/or (iii) in relation to shareholders that are part of the shareholders participating in the fungible custody of fungible custody of registered shares, the statement with registered shares, the statement containing the respective the corresponding equity interest, issued by the applicable shareholding, issued by the applicable body. body.

Paragraph 5 The minutes of Shareholders’ Meetings Paragraph 5 The minutes of Shareholders’ Meetings Wording Adjustment. shall be drawn up on the Minutes Book of the Board of shall be drawn up in the book of Minutes of the Directors of the Shareholders’ Meetings summarizing the Shareholders’ Meetings as a summary of the facts occurred facts occurred and published without the signatures. and published without signatures.

Article 11 The Shareholders’ Meeting shall be Article 11 The Shareholders’ Meeting shall be Wording adjustment in order to declared open and chaired by the Chairman of the Board declared open and chaired by the Chairman of the Board predict for the possibility of the of Directors or, in his/her absence or impediment, by of Directors or, in his/her absence or impediment, by Chairman of the Board of Directors to another Board Member, Officer or shareholder designated another Board Member, Officer or shareholder designated be responsible for appointing, in case in writing by the Vice-Chairman of the Board of Directors. in writing by the Chairman of the Board of Directors. The of his absence or impediment, the The Chairman of the Shareholders’ Meeting shall appoint Chairman of the Shareholders’ Meeting shall indicate up board of Directors, Director or up to two (2) secretaries. to two (2) Secretaries. shareholder who may install and

preside over the Shareholder’s Meeting. Article 12 The Shareholders' Meeting shall have the Article 12 In addition to the duties set forth by law, the Not Applicable. following assignments, in addition to any duties provided Shareholders' Meeting shall: for by law: I. electing and dismissing the members of the Board I. elect and remove the members of the Board of Not Applicable. of Directors and of the Fiscal Council; Directors and the Fiscal Council;

II. setting the global annual compensation of the II. establish the overall annual compensation of the Inclusion of an express mention to the members of the Management and Fiscal Council; Company’s Management, as well as the members of the Statutory Audit Committee. Fiscal Council and Statutory Audit Committee;

III. renewing the Bylaws; III. amend the Bylaws; Not Applicable.

IV. resolving on the dissolution, liquidation, merger, IV. resolve on the dissolution, liquidation, merger, Not Applicable. split, incorporation of the Company, or of any company spin-off, incorporation of the Company, or any company thereunder; in the Company;

V. assigning bonus in shares and resolving about any V. grant share-based bonuses and decide on any stock Not Applicable. grouping and splitting of shares; splits or reverse-splits;

VI. approving stock option plans intended for members VI. approving stock option plans intended for members Not Applicable. of the management, employees or individuals providing of the management, employees or individuals providing services to the Company or to any subsidiary; services to the Company or to any subsidiary;

VII. resolving, pursuant to the proposal presented by the VII. resolve, in accordance with the proposal submitted Not Applicable. management, on the allocation of the net income of the by management, on the income allocation for the year and fiscal year and distribution of dividends; the distribution of dividends;

VIII. electing and dismissing the liquidator, as well as the VIII. elect and remove the liquidator, as well as the Not Applicable. Fiscal Council that shall operate during the liquidation; Fiscal Council that shall operate during the liquidation period; and

IX. resolving on any matter submitted by the Board of IX. resolve on any matter submitted to it by the Board Not Applicable. Directors. of Directors.

CHAPTER IV CHAPTER IV Not Applicable. MANAGEMENT BODIES MANAGEMENT BODIES

Section I – General Provisions to the Management Section I - General Provisions to the Management Bodies Bodies

Article 13 The Company shall be managed by the Article 13 The Company shall be managed by the Board of Directors and Executive Board. Board of Directors and the Executive Board.

Paragraph 1 The investiture shall be drawn up in a Paragraph 1 The investiture of the members of the Wording and cross-reference proper book per instrument of investiture, which shall have Company's management in their respective positions will adjustment. an express commitment clause, as set forth in Article 49 be conducted through an instrument of investiture drawn herein, signed by the member of the management taking up in the appropriate book per instrument of investiture, up office, waiving the need for any management guarantee. which shall have an express commitment clause, as set

forth in Article 48 herein, signed by the member of the management taking up office, waiving the need for any management guarantee.

Paragraph 2 The members of the management shall Paragraph 2 The managers shall remain in their offices Not Applicable. remain in office until their alternates are invested, unless until the investiture of their alternates, unless otherwise otherwise decided by the Shareholders' Meeting or Board resolved by the Shareholders' Meeting or Board of of Directors, as the case may be. Directors, as the case may be.

Article 14 The Shareholders' Meeting shall set the total Article 14 The Shareholders' Meeting shall set the Inclusion of express mention to the remuneration of the members of the management, and the overall compensation of the directors, and the Company’s members of the Statutory Audit Company’s Management shall set the individual Management shall set the individual compensation of Committee. remuneration of the Board Members and Executive Board. Directors, members of the Statutory Audit Committee and the Executive Board. Article 15 Except as provided herein, any of the Article 15 Except as provided herein, any of the Not Applicable. management bodies shall validly meet with the attendance management bodies shall validly meet with the attendance of a majority of its members and shall resolve with the vote of a majority of its members and shall resolve with the vote of the qualified majority of those members attending. of the qualified majority of those members attending.

Sole Paragraph The previous call notice for the Sole Paragraph The prior call notice for the meeting Wording update, since the option of meeting as a condition for its validity shall be waived only is only waived as a condition of its effectiveness if all its transmitting by fax is no longer with the attendance of all its members. The members of the members are present. Members of the management body adopted. management bodies who vote by power of attorney issued are considered as attendees of the meetings if they express on behalf of another member of the body, in writing, in their vote through delegation made in the name of another advance, and by written vote transmitted by facsimile, member of said body, by a written vote cast in advance or

electronic mail or any other means of communication, shall by a written vote sent by email or any other means of be construed as attending the meeting. communication.

Section II – Board of Directors Section II – Board of Directors Not Applicable.

Article 16 The Board of Directors shall have, at least, Article 16 The Board of Directors shall comprise at five (5) members and at most eleven (11) members, which least five (5) and no more than eleven (11) members, all shall all be elected by the shareholders and dismissed by elected and dismissible by the Shareholders' Meeting, with the Shareholders’ Meeting, for unified terms of office of a unified term of office of two (2) years. Each year is two (2) years, and each year is the period between two (2) considered as the period between 2 (two) Annual Annual Shareholders’ Meetings. The reelection is allowed. Shareholders' Meetings and re-election is authorized.

Paragraph 1 At the Shareholders' Meeting that has the Paragraph 1 At the Shareholders' Meeting that has the Not Applicable. purpose to elect members of the Board of Directors, purpose to elect members of the Board of Directors, shareholders must establish, first, the actual number of shareholders must establish, first, the actual number of members of the Board of Directors to be elected. members of the Board of Directors to be elected.

Paragraph 2 At least two (2) or twenty percent (20%), Paragraph 2 At least two (2) or twenty percent (20%), Not Applicable. whichever is higher, of the members of the Board of whichever is higher, of the members of the Board of Directors shall be independent board members, as per the Directors shall be independent board members, as per the Novo Mercado Regulations of B3 S.A. – Brasil, Bolsa e Novo Mercado Regulations of B3 S.A. – Brasil, Bolsa e Balcão (respectively, “Novo Mercado Regulations” and Balcão (respectively, “Novo Mercado Regulations” and “B3”). The compliance of those indicated to the Board of “B3”). The compliance of those indicated to the Board of Directors as independent board members has to be Directors as independent board members has to be resolved at the Shareholders' Meeting that elects them. resolved at the Shareholders’ Meeting that elects them.

Paragraph 3 Whenever a fractional number results from Paragraph 3 When, as a result of the calculation of the Not Applicable. the calculation of the percentage referred to in the previous percentage referred to in the above paragraph, the result paragraph, the Company shall proceed with the rounding generates a fractional number, the Company shall round it to the whole number immediately higher. up to the next whole number.

Paragraph 4 For the purposes of compliance, an Paragraph 4 For the purposes of compliance, an Not Applicable. independent board member: (i) is not a direct or indirect independent board member, it is not considered an controlling shareholder of the company; (ii) does not independent director if: (i) is not a direct or indirect exercise his/her voting rights at meetings of the board of controlling shareholder of the Company; (ii) does not directors bound by a Shareholders’ Agreement that has exercise his/her voting rights at meetings of the Board of matters related to the Company; (iii) is not a spouse, Directors bound by a Shareholders’ Agreement that has partner or relative, in a direct or collateral manner, up to matters related to the Company; (iii) is not a spouse, the second degree, of the controlling shareholder, member partner or relative, in a direct or collateral manner, up to of the management of the company or member of the the second degree, of the controlling shareholder, management of the controlling shareholder; and, (iv) has Company administrator or administrator of the controlling not been, in the last three (3) years, an employee or shareholder; and (iv) was, in the last three (3) years, an executive officer of the company or its controlling employee or director of the Company or its controlling shareholder. For the purposes of compliance, the situations shareholder. For the purposes of verifying the independent described below must be evaluated to verify if they lead to board member status, the situations described below must the loss of independence of the independent board member be analyzed in order to verify whether they involve a loss due to the characteristics, magnitude and extent of the of independence by the independent director due to the relationship: (i) the board member is a relative up to the characteristics, magnitude and extent of the relationship: second degree of the controlling shareholder, member of (i) is a relative to the second degree of the controlling the management of the company or member of the shareholder, a manager of the Company or an management of the controlling shareholder; (ii) the board administrator of the controlling shareholder; (ii) over the member has been, in the last three (3) years, an employee past three (3) years he/she was an employee or officer of or executive officer of an affiliated companies, subsidiaries associated companies, subsidiaries or companies under

or under common control companies; (iii) the board common control; (iii) he/she has business relations with member has business relations with the company, its the company, the controlling shareholder or associated controlling shareholder or affiliated companies, companies, subsidiaries or companies under common subsidiaries or under common control companies; (iv) the control; (iv) he/she holds a position in the company or board member holds a position in a company or entity that entity with business relations with the company or has business relations with the company or its controlling controlling shareholder with decision-making power in the shareholder that has decision-making power in the activities of said company or entity; (v) he/she receives activities of the said company or entity; or (v) the board another compensation from the company, its controlling member receives other remuneration from the company, its shareholder, associated companies, subsidiaries or controlling shareholder, affiliated companies, subsidiaries companies under common control besides that one or jointly controlled companies other than the referring to the work as member of the Board of Directors remuneration concerning the activities carried as member or committees of the company, its controlling shareholder, of the board of directors or of committees of the company, associated companies, subsidiaries or companies under its controlling shareholder, its affiliated companies, common control, except cash dividends deriving from subsidiaries or under common control, except cash interest in the Company’s share capital and benefits from earnings arising from an equity interest in the company’s additional private pension plan. Furthermore, the share capital and benefits arising from supplementary independent board member is considered to be the one pension plans. Furthermore, the independent board elected under the terms of article 141, Paragraphs 4 and 5, member is the one elected according to Article 141, of the Brazilian Corporate Law, in case there is a Paragraphs 4 and 5, of the Brazilian Corporation Law, in controlling shareholder. the case of having a controlling shareholder.

Paragraph 5 At the end of the term of office, the Paragraph 5 At the end of the term, the members of the Not Applicable. members of the Board of Directors shall remain in their Board of Directors shall remain in the exercise of their positions until the new elected members are invested. positions until the new elected members are invested.

Paragraph 6 The Shareholders' Meeting may elect one or Paragraph 6 The Shareholders' Meeting may elect one or Not Applicable. more alternates for the members of the Board of Directors. more alternates for the members of the Board of Directors.

Paragraph 7 The member of the Board of Directors or Paragraph 7 The member of the Board of Directors or Not Applicable. alternate may not have access to information or participate alternate may not have access to information or participate in Board of Directors’ meetings related to matters on which in Board of Directors’ meetings related to matters on which he/she has an interest that conflicts with the interests of the he/she has an interest that conflicts with the interests of the Company. Company.

Paragraph 8 The Board of Directors, to better perform its Paragraph 8 In order to improve the performance of its Not Applicable. duties, may create committees or workgroups with defined duties, the Board of Directors may create committees or purposes, to operate as ancillary bodies without resolution working groups with specified purposes, which shall powers, aiming at all times at advising the Board of function as advisory bodies without any decision-making Directors, and shall have as members persons designated power, for the sole purpose of assisting the Board of among the members of the management and/or other Directors, comprising persons appointed from among the persons directly or indirectly related to the Company. management members and/or other persons related, either directly or indirectly, to the Company.

Paragraph 9 In case of vacancy of the position of Board Paragraph 9 In case of vacancy of the position of Board Not Applicable. Member, the alternate, if any, shall take his/her place; if Member, the alternate, if any, shall take his/her place; if there is no alternate, his/her replacement shall be appointed there is no alternate, his/her replacement shall be appointed by the remaining board members, and shall occupy the by the remaining board members, and shall occupy the position until the first shareholders’ meeting. position until the first Shareholders’ Meeting. Article 17 The Board of Directors shall have one (1) Article 17 The Board of Directors shall have one (1) Not Applicable. Chairman and one (1) Vice-Chairman, who shall be elected Chairman and one (1) Vice-Chairman, who shall be elected by a majority of the votes present at the first meeting of the by a majority of the votes present at the first meeting of the

Board of Directors held immediately after the investiture Board of Directors held immediately after the investiture of said members, or whenever there is any resignation or of said members, or whenever there is any resignation or vacancy of said positions. vacancy of said positions.

Paragraph 1 The Chairman of the Board of Directors Paragraph 1 The Chairman of the Board of Directors Not Applicable. shall convene and chair the meetings of the body and the shall convene and chair the meetings of the body and the Shareholders’ Meeting, except, in the case of the Shareholders’ Meeting, except, in the case of the Shareholders’ Meeting, in the cases in which he/she Shareholders’ Meeting, in the cases in which he/she appoints, in writing, another board member, officer or appoints, in writing, another board member, officer or shareholder to chair the meeting, subject to the provisions shareholder to chair the meeting, subject to the provisions of Article 11 herein. of Article 11 herein.

Paragraph 2 In the resolutions of the Board of Directors, Paragraph 2 In the deliberations of the Board of Not Applicable. the Chairman will have, in addition to his/her own vote, the Directors, the Chairman of the body will have, in addition casting vote in case of a tie in the vote due to a possible to his own vote, the casting vote, in case of a tie in the vote even number of members of the Board of Directors. Each as a result of the eventual composition of an even number board member shall be entitled to one (1) vote in the of members of the Board of Directors. Each board member resolutions of the body. The resolutions of the Board of shall be entitled to one (1) vote in the resolutions of the Directors shall be taken by majority vote of its members. body. The resolutions of the Board of Directors shall be taken by majority vote of its members.

Paragraph 3 The Vice-Chairman shall exercise the Paragraph 3 The Vice-Chairman shall perform the duties Not Applicable. position of Chairman in his/her absences and temporary of the Chairman in the event of his/her absence and impediments, regardless of any formality. In case of temporary impediment, regardless of any formality. In the absence or temporary impediment of the Chairman and event of absence or temporary impediment of the Vice-Chairman, the duties of the Chairman will be Chairman or Vice-Chairman, the duties of the Chairman

exercised by another member of the Board of Directors shall be performed by another Board Member appointed by designated by the other members of the Board of Directors. the majority of members of the Board of Directors.

Paragraph 4 The positions of Chairman of the Board of Paragraph 4 The positions of Chairman of the Board of Not Applicable. Directors and Chief Executive Officer or main executive Directors and Chief Executive Officer or main executive of the company cannot be occupied by the same person, of the Company may not be held by the same person, except in cases foreseen in the Novo Mercado Regulations. except in the cases established in the Novo Mercado.

Article 18 The Board of Directors shall meet (i) at least Article 18 The Board of Directors will convene, (i) at Wording Adjustment. once every quarter; and (ii) in special meetings at any time. least once a quarter; and (ii) in special meetings, at any Board meetings shall be convened by the Chairman of the time. The Board of Directors’ meetings shall be held upon Board of Directors or of any other member, in writing, at call by the Chairman of the Board of Directors or any other least seven (7) days in advance, and stating the date, time, member, in writing, at least seven (7) days in advance, and place, detailed agenda and documents to be considered at indicating the date, time, place, detailed agenda, and that meeting, if any. Any Board Member may include documents to be considered at that meeting, if any. Any items in the agenda upon written request to the Chairman. board member may, by written request to the President, The Board of Directors may resolve by unanimous votes include items in the agenda. The Board of Directors may on any other matter not included in the agenda of the resolve, unanimously, on include any other matter in the meeting. The Board meetings may be held via conference meeting's agenda. The Board of Directors’ meetings may call, videoconference or any other means of be held by conference call, videoconference or any other communication that allow the identification of the member communication media that enables identification of the and simultaneous communication with all other persons member and simultaneous communication of all other attending the meeting. attendees.

Paragraph 1 The call notices of meetings shall be made Paragraph 1 The call notices of meetings shall be made Adjustment of wording in order to through a written notice delivered to each member of the through a written notice delivered by electronic mail or any clarify the system of delivery of the Board of Directors, at least, seven (7) business days in other means of communication to each member of the call notices. advance, unless a majority of board members in office Board of Directors, at least, seven (7) business days in establishes a shorter term, which shall be not shorter than advance, unless a majority of board members in office forty-eight (48) hours. establishes a shorter term, which shall be not shorter than forty-eight (48) hours.

Paragraph 2 All resolutions of the Board of Directors Paragraph 2 All resolutions of the Board of Directors Not Applicable. shall be recorded in minutes drawn up at the Minutes Book shall be recorded in minutes drawn up at the Minutes Book of the Board of the Directors’ Meetings, and a copy of the of the Board of the Directors’ Meetings, and a copy of the said minutes shall be delivered to each of the members said minutes shall be delivered to each of the members after such meeting. after such meeting.

Paragraph 3 Regardless of any formalities, it shall be Inclusion of an express prevision for considered regularly called the meeting to which appear all waiving the formality of calling for the members of the Board of Directors. the meetings in which all the members of the Board of Directors attend. Article 19 The Board of Directors shall have the Article 19 The Board of Directors shall have, besides Wording Adjustment. following assignments, in addition to any other other attributions that may be established by law or by the assignments set forth by law or by these Bylaws: Bylaws: I. establishing the general guidance of the I. to determine the general direction of the Company's Adjustment of wording to reflect Company’s businesses; business, considering people's safety, social development, practices already adopted by the and respect for the environment; Board of Directors, in the sense that the general orientation of the business

observes social issues, people's safety and respect for the environment. II. electing and dismissing Officers, as well as II. to elect and dismiss Executive Officers, as well as Not Applicable. establishing their assignments, subject to the provisions establishing their assignments, subject to the provisions herein; herein;

III. setting the compensation, indirect benefits and III. to determine their compensation, indirect benefits Not Applicable. any other incentives of the Officers, up to the global limit and other incentives, within the overall limit of of compensation for the management approved by the management compensation approved by the Shareholders’ Shareholders’ Meeting; Meeting;

IV. inspecting the management of the Officers; IV. to supervise the Executive Officers’ management, Not Applicable. examining the Company's books and documents at any examine at any time, the Company’s books and time; requesting for information on agreements entered documents; request information on contracts entered into into or about to be entered into, and on any other acts; or to be entered into, as well as on any other acts;

V. selecting and dismissing the independent V. to choose and dismiss the independent auditors and Not Applicable. auditors and conveing them to provide any clarifications convening them to provide any clarifications that may be that may be deemed required on any matter; deemed required on any matter;

VI. examining the Management’s Report, the VI. to examine the Management’s Report, the Not Applicable. accounts of the Executive Board and the Company's Executive Board’s accounts and the Company’s financial financial statements, and resolving on the submission statements and resolve on their submission to the thereof to the Shareholders' Meeting; Shareholders’ Meeting;

VII. approving and reviewing the annual budget, the VII. to approve and review the annual budget, the Wording adjustment to clarify the fact capital budget, the business plan and the pluriannual plan, capital budget, and Company’s business plan, which shall that the Company's business plan is which shall be reviewed and approved on a yearly basis, be reviewed and approved on a yearly basis, and preparing also reviewed and approved annually. and preparing the capital budget proposal to be submitted the capital budget proposal to be submitted to the to the Shareholders’ Meeting for purposes of profit Shareholders’ Meeting for purposes of profit retention; retention;

VIII. resolving on the call notice for the Shareholders' VIII. to resolve on calling a Shareholders' Meeting when Not Applicable. Meeting, when considered convenient, or in the case of necessary, or as established in Article 132 of Brazilian Article 132 of the Brazilian Corporation Law; Corporate Law;

IX. submiting a proposal to the Annual IX. to submit a proposal to the Annual Shareholders’ Not Applicable. Shareholders’ Meeting for allocation of the net profit for Meeting for allocation of the net income for the fiscal year, the fiscal year, and resolving on the time to prepare balance and resolving on the time to prepare balance sheets for six- sheets for six-month periods or shorter, and payment of month periods or shorter, and payment of dividends or dividends or interest on shareholders’ equity resulting from interest on shareholders’ equity resulting from such such balance sheets, and resolving on the payment of balance sheets, and resolving on the payment of interim or interim or periodical dividends deducted from retained periodical dividends deducted from retained profits or profits or reserves of retained profits from the last annual reserves of retained profits from the last annual or half-year or half-year balance sheet; balance sheet;

X. submiting to the Shareholders’ Meeting the X. to submit to the Shareholders’ Meeting the Not Applicable. proposed amendment to the Bylaws; proposed amendment to the Bylaws;

XI. submiting a proposal to the Shareholders' XI. to submit a proposal to the Shareholders' Meeting Section exclusion, since the Meeting for dissolution, consolidation, spin-off and for dissolution, merger, spin-off or incorporation of the authorization for the constitution,

merger by and into the Company of any other companies, Company and the incorporation, by the Company, of other dissolution or liquidation of and authorizing the organization, dissolution or liquidation companies subsidiaries and the installation and of any subsidiaries and the installation and closure of closing of industrial plants, in the industrial plants, in Brazil or abroad; country or abroad, is not the responsibility of the Shareholder’s Meeting. XII. issuing an opinion in advance about any subject XII. to issue an opinion in advance about any subject Section exclusion, since the corporate to be submitted to the Shareholders' Meeting; approving to be submitted to the Shareholders' Meeting; rules applicable to each of its the company's vote on any resolution concerning corporate subsidiaries or affiliates will be subsidiaries or affiliates of the company; observed.

XIII. authorizing the issue of shares of the Company XIII. to authorize the issue of shares of the Company Wording Adjustment. within the limits authorized by Article 6 herein, within the limits authorized by Article 6 herein, establishing the price, the payment term and the conditions establishing the price, the payment term and the conditions to issue the shares, with authority to exclude the right of to issue the shares, with authority to exclude the right of first refusal or reduce the term for its exercise in the issues first refusal or reduce the term for its exercise in the issues of shares, subscription warrants and debenture stock, the of shares, subscription warrants and debenture stock, the placement of which is made by means of trading in stock placement of which is made by means of trading in stock exchange or public subscription or in any public offering exchange or public subscription or in any public offering of Control acquisition, as provided for by law; of Control acquisition, as provided for by law;

XIV. resolving on: (i) the issuance of subscription XIV. to resolve on the issuance: (i) of subscription Wording Adjustment. bonus and debentures convertible into common shares, as bonus and debentures convertible into common shares, as provided for in Paragraph 2 of Article 6 hereof, specifying provided for in Paragraph 2 of Article 6 hereof, specifying the limit of increase of capital arising from conversion of the limit of increase of capital arising from conversion of debentures, in capital stock amount or number of shares debentures, in capital stock amount or number of shares or and (ii) simple debentures, not convertible into shares, with (ii) of common debentures, not convertible into shares,

or without collateral, establishing, by delegation of the with or without collateral, establishing, by delegation of Shareholders' Meeting, when the issue of debentures the Annual Shareholders' Meeting, when the issue of convertible and non-convertible into common shares held debentures regarding this section XIV, the time and under this section XIV, regarding the time and conditions conditions of maturity, amortization or redemption, the of maturity, amortization or redemption, the time and the time and the conditions for payment of interest, of profit conditions for payment of interest, of profit sharing and sharing and repayment premium, if any, and the manner of repayment premium, if any, and the manner of subscription subscription or placement, as well as the types of or placement, as well as the types of debentures; debentures;

XV. to resolve on the trading of debentures issued by the Inclusion to clarify the competence of company for purposes of cancellation or maintenance in the Board of Directors to deliberate treasury and corresponding disposal, in compliance with on the repurchase of debentures, in the appropriate legal provisions; view of (i) the omission of the Social Bylaws in relation to the matter and (ii) the edition, in 2020, of CVM Instruction 620 / 2020, referring to the repurchase of debentures. XV. granting stock options to members of the XVI. to grant stock options to members of the Item renumbering. management, employees or individuals providing services management, employees or individuals providing services to the Company or to any companies controlled by the to the Company or to any companies controlled by the Company, without any right of first refusal for the Company, without any right of first refusal for the shareholders, in accordance with plans approved at the shareholders, in accordance with plans approved at the Shareholders’ Meeting; Shareholders’ Meeting;

XVI. resolving on the trading of shares issued by the XVII. to resolve on the trading of shares issued by the Item renumbering. company for purposes of cancellation or maintenance in company for purposes of cancellation or maintenance in

treasury and corresponding disposal, with due regard for treasury and corresponding disposal, in compliance with the applicable legal provisions; the appropriate legal provisions;

XVII. establishing the amount of authority of the Suggested grouping of provisions Executive Board for issue of any fund raising credit related to the Executive Board's instruments, either bonds, notes, promissory notes, jurisdiction in item XXV of article 19 certificate of receivables, commercial papers or any other (reallocation to item (a) of the instruments commonly used in the market, and establish referred item). their issue and redemption conditions, with the possibility, in the cases defined by it, to demand prior authorization of the Board of Directors as a condition of validity of such act;

XVIII. establishing the amount of profit sharing for the Exclusion of the express competence officers and employees of the Company and of companies of the Board of Directors to establish controlled by the Company, with authority to decide not to the profit sharing value of directors attribute any equity interest thereto; and employees of the Company and its subsidiaries.

XIX. resolving on the payment or interest credit on XVIII. to resolve on the payment or credit of Item renumbering. own capital to shareholders, pursuant to the applicable interest on equity to shareholders, as per the applicable legislation. law;

XX. establishing the scope of the Executive Board’s Suggested grouping of provisions work, limited, by operation, to five percent (5%) of the related to the Executive Board's consolidated shareholders’ equity reported on recent jurisdiction in item XXV of article 19

standardized financial statements available and within the (reallocation to item (b) of the fiscal year, to 10% of the consolidated shareholders’ equity referred item). in recent standardized financial statements available for acquisition or disposal of investments in equity interests, rentals of industrial plants, corporate associations or strategic alliances with third parties, as well as authorize the acquisition or disposal of investments in equity interests, rentals of industrial plants, corporate associations or strategic alliances with third parties;

XXI. authorizing the acquisition or disposal of Suggested grouping of provisions permanent assets and real estate, except for the related to the Executive Board's assumptions included in the annual budget of the jurisdiction in item XXV of article 19 Company, as well as establish the value of the purview of (reallocation to item (c) of the the Executive Board for the acquisition or disposal of referred item). permanent assets and real estate;

XXII. establishing the scope of the Executive Board’s Suggested grouping of provisions work to establish collaterals and the provision of related to the Executive Board's guarantees, sureties and guarantees for its own obligations jurisdiction in item XXV of article 19 and/or of its controlled companies and the provision of (reallocation for items (d) and (f) of surety, by the Company, for leasing contracts on behalf of the referred item). its employees and/or employees of companies controlled directly or indirectly for the duration of the contract of employment as well as authorize the establishment of collaterals and the provision of endorsements, sureties and

guarantees for its obligations of value greater than the value of the purview of the Executive Board;

XXIII. approving the conclusion, amendment or XIX. to approve the execution, amendment or Exclusion of section to adapt to the termination of any contracts, or agreements between the termination of any contracts, agreements or arrangements New Market Regulation and the Company or Subsidiaries and any related parties in between the Company or its controlled companies and any practices already adopted by the amounts equal to or exceeding one hundred million reais related parties in amounts equal to or exceeding one Company. (R$100,000,000.00) considered individually or hundred million reais (R$100,0000,000.00) considered cumulatively, in the period of the last twelve (12) months individually or cumulatively, in the period of the last and any other transactions with related parties indicated in twelve (12) months and any other transactions with related the Policy of Related Parties, approved by the Board of parties indicated in the Related-Party Policy; Directors; and establish the values of the purview of the Executive Board to approve the signing, amendment or termination of any contracts, accords or agreements between the Company or Subsidiaries and any related parties and any other transactions with related parties observed in the Policy of Related Parties, approved by the Board of Directors;

XXIV. establishing the scope of the Executive Board’s Suggested grouping of provisions work to contract indebtedness in the form of loan or issue related to the Executive Board's of notes or assumption of debt, or any other legal business jurisdiction in item XXV of article 19 that affects the Company's capital structure, and authorize (reallocation to item (e) of the the contracting of indebtedness in the form of loan or issue referred item). of notes or assumption of debt, or any other legal business that affects the Company's capital structure in any amount in excess of the authority amount of the Executive Board;

XXV. providing, in special cases, specific authorization for certain documents to be signed by a Exclusion of item, since the specific single Officer (other than the Chief Executive Officer), rules of representation of the which shall be recorded in minutes drawn up on the proper Company will be observed. book;

XXVI. approving the hiring of firm to provide XX. to approve the hiring of the institution providing share Item renumbering. bookkeeping services; bookkeeping services;

XXVII. approving the Company’s policies of market Relocation to item XXIV. information disclosure and securities trading;

XXVIII. resolving on any matter that may be submitted XXI. to resolve on any matter submitted by the Executive Item renumbering. thereto by the Executive Board, and convening the Board, as well as to call the members of the Executive members of the Executive Board for joint meetings Board for joint meetings whenever deemed as necessary; whenever deemed convenient;

XXIX. implementing Committees and establishing the XXII.to implement Committees, establishes the respective Inclusion of reference (i) the election respective charters and duties; regulations and competencies, elect and dismiss their /dismissal of the members of the members, and monitor the activities developed by the Committees, and (ii) the monitoring Committees; of the activities developed by the Committees to clarify the Board's competences. XXX. providing, with due regard for the rules herein XXIII. to dispose, observing the rules in these Bylaws and Item renumbering. and the applicable law, for the order of its works and in the legislation in effect, about the order of its work and adopting or revoking regulation rules for its operation; and to adopt or revoke regulatory norms for its operation;

XXIV. to approve the policies of (a) disclosure of Inclusion of an express provision for information to the market, (b) trading in the Company's the Board of Directors' competence to securities, (c) compensation, (d) nomination of members approve the Company's policies, in of the Board of Directors, of the Committees and of the the light of the New Market Executive Board, (e) risk management, and (f) related- Regulation. party transactions, or equivalent formal documents; and

XXXI. establishing the scope of the Executive Board’s XXV. to establish the Board of Directors' authority to: Suggested work to sign any contract, agreement or other instrument of assumption of rights and obligations which (a) cannot be terminated by the Company or its subsidiaries, at the discretion of the Company or its subsidiaries, within ninety (a) the issuance of any credit instruments for fund (90) days of the date on which it notifies the other party of raising, be they "bonds", “notes”, “promissory notes”, its intention of terminating the contractual relationship; or “certificate of receivables”, “commercial papers”, or (b) entails the payment of any modality of sanction or others commonly used in the market, as well as to set the conditions for their issuance and redemption; pecuniary obligation by the Company or its subsidiaries, including, but not limited to, fines, loss of profits, take or (b) the acquisition or disposal of equity interests, joint pay clause and/or commitment of the Company or its subsidiaries to remain with the obligation of paying ventures, or strategic partnerships with third parties; installments not yet due in an amount equal to or higher than three (3) months of pecuniary obligations signed (c) the acquisition or disposal of permanent assets and between the Company and any one of its direct or indirect real estate; subsidiaries, on its behalf, and in accordance with the other provisions and limitations established by the Law and by (d) the constitution of in rem guarantees and the rendering of sureties, guarantees and assurances for its own the present Bylaws. obligations and/or those of its controlled companies;

(e) to contract debt, in the form of loans or issue of debt instruments or assumption of debt, or any legal transaction that affects the Company’s capital structure;

(f) the provision of surety, by the Company, in lease agreements in favor of its employees and/or employees of companies directly or indirectly controlled by the Company, for the duration of their labor contract;

(g) the execution of any contract, agreement or other instrument that (i) prevents the Company or its subsidiaries from carrying out its unilateral termination with prior notice of less than ninety (90) days or that (ii) requires the payment of any type of penalty or pecuniary obligation to the Company or its subsidiaries, including but not limited to fines, loss of profits, take or pay clause or that establishes the commitment of the Company or its subsidiaries to remain with the obligation to pay maturing installments whose value is equal or superior to the equivalent to three (3) months of the pecuniary obligations ordinarily established by the same instrument; and

XXVI. to express a favorable or contrary opinion regarding Inclusion of the competence of the any tender offer of Company shares, through a Board of Directors to express its

substantiated preliminary report published within fifteen opinion on the OPA that has shares (15) days of the publication of the call notice for the tender issued by the Company as object, in offer, which should address, at least, (i) the convenience view of the provisions of article 21 of and opportunity of the tender offer regarding the interests the New Market Regulation. of the Company and its shareholders, including in terms of price and potential impacts on the liquidity of your securities; (ii) the strategic plans disclosed by the offer or related to the Company; (iii) possible alternatives to the acceptance of the public offer for the acquisition of shares available in the market.

Sole Paragraph. The Company will have a permanent Sole Paragraph. The Company will have a permanent Not Applicable. Statutory Audit Committee as an advisory body to the Statutory Audit Committee, as an advisory body to the Board of Directors. The rules regarding the structure, Board of Directors. The rules regarding the composition, assignments, operation, remuneration of its members, attributions, operation, and compensation of its members, among other aspects, will be governed by its charter, to be among other aspects, will be regulated in its own internal approved by the Board of Directors, observing the regulations, to be approved by the Board of Directors, provisions of the applicable regulations. observing the provisions of the applicable regulations.

Section III – Executive Board Section III – Board of Executive Officers Exclusion of the specific denomination of the post of Executive Article 20 The Executive Board, whose members shall Article 20 The Executive Board, whose members will Director of Institutional Relations be elected and removed from Office at any time by the be elected and dismissible at any time by the Board of among the members of the Board. Board of Directors, shall have at least two (2) and a Directors, will consist of at least two (2) and at most seven maximum of seven (7) members, who shall be appointed (7) members, who will be designated Chief Executive as Chief Executive Officer, Administration and Control Officer, Director of Administration and Control, Financial Officer, Chief Finance Officer, Investor Relations Officer, Officer, Investor Relations Officer, and the other Officers

Institutional Relations Officer and the others as Officers with no specific designation. The positions of Chief without specific designation. The positions of Chief Executive Officer and Investor Relations Officer must be Executive Officer and Investor Relations Officer are filled. The directors will have a combined term of office of mandatory. The officers shall have unified term of office three (3) years, with the period between two (2) Annual of three (3) years, provided that one year shall mean the Shareholders' Meetings being considered a year, reelection period between two (2) Annual Shareholders’ Meetings, being permitted. reelection permitted.

Paragraph 1 Except in the case of vacancy in the Paragraph 1 Except in the case of vacancy in the Not Applicable. position, the election of Executive Officers shall take place position, the election of Executive Officers shall take place within thirty (30) business days after the Annual within thirty (30) business days after the Annual Shareholders’ Meeting. Shareholders’ Meeting. Paragraph 2 In case of resignation or dismissal of the Paragraph 2 In case of resignation or dismissal of the Not Applicable. Chief Executive Officer, or in case of the Investor Chief Executive Officer, or in case of the Investor Relations Officer, where such fact results in non- Relations Officer, where such fact results in non- compliance with the minimum number of Officers, the compliance with the minimum number of Officers, the Board of Directors shall be called to elect an alternate, who Board of Directors shall be called to elect an alternate, who shall complete the term of office of the replaced officer. shall complete the term of office of the replaced officer. Paragraph 3 In cases of vacancy of the position of any Paragraph 3 In cases of vacancy of the position of any Not Applicable. member of the Executive Board, the duties performed by member of the Executive Board, the duties performed by the replaced member shall be assigned to another member the replaced member shall be assigned to another member of the Executive Board chosen by the remaining Officers. of the Executive Board chosen by the remaining Officers. Article 21 Without prejudice to cases in which it is Article 21 Except as otherwise specifically authorized Adjustment aimed at clarifying the necessary a specific authorization by law or by the present by the Brazilian Corporate Law or by these Bylaws, the jurisdiction of the Chief Executive Bylaws, the Chief Executive Officer is exclusively Chief Executive Officer shall be responsible, exclusively, Officer, as well as adapting to the responsible, with the possibility to delegate by proxy ad with the possibility to delegate by means of power of wording of article 19, item VII. hoc, for the following activities: (i) executing and attorney, for the following activities: (i) execute and to

enforcing the resolutions of Shareholders' Meeting and enforce the resolutions of the Shareholders' Meetings and meetings of the Board of Directors; (ii) establishing goals of the Board of Directors; (ii) establish goals and and targets for the company; (iii) supervising the objectives for the Company; (iii) supervise the elaboration preparation of the annual budget, the capital budget, and execution of the Company's annual budget, capital business plan, and the multiannual plan; (iv) coordinating, budget and Company’s business plan; (iv) coordinate, managing, directing and supervising all the Company's manage, conduct and supervise all businesses and operations and business in Brazil and abroad; (v) operations of the Company, in Brazil and abroad; (v) coordinating the activities of the other Officers of the coordinate the activities of the other Officers of the Company and its subsidiaries, in Brazil or abroad, subject Company and its subsidiaries, in Brazil or abroad, subject to specific assignments provided for in these by-laws; (vi) to the specific duties provided for in these Bylaws; (vi) directing, at the highest level, the Company's public coordinating, at the highest level, the Company's public relations and institutional advertising; (vii) convening and relations and guiding institutional publicity; (vii) chairing the meetings of the Executive Board; (viii) convening and presiding over meetings of the Executive representing, personally or by representative appointed, Board; (viii) representing the Company personally or by the company meetings or other corporate acts of proxy in the shareholders' meetings or other corporate acts companies of which the Company participates; and (ix) of companies in which the Company holds an equity other duties as established by the Board of Directors. interest; and (ix) other duties established by the Board of Directors at any time.

Article 22 The Administration and Control Officer is Article 22 The Director of Administration and Control Not Applicable. responsible for: (i) coordinating, managing, directing and is responsible for: (i) coordinating, managing, directing supervising the departments of Accounting, Information and supervising the departments of Accounting, Technology, Accounts Receivable/Credit, Accounts Information Technology, Accounts Receivable/Credit, Payable, and Administration; and (ii) other duties Accounts Payable, and Management; and (ii) other duties established by the Chief Executive Officer. established by the Chief Executive Officer. Article 23 The Chief Finance Officer is responsible Article 23 The Chief Financial Officer is responsible Not Applicable. for: (i) coordinating, managing, directing and supervising for: (i) coordinating, managing, directing and supervising

the Finance department of the Company; (ii) directing and the Finance department of the Company; (ii) directing and instructing the preparation of the annual budget and the instructing the preparation of the annual budget and the capital budget; (iii) directing and instructing the treasury capital budget; (iii) directing and instructing the treasury activities of the Company, including fundraising and activities of the Company, including fundraising and management, as well as the hedge policies previously management, as well as the hedge policies previously defined by the Chief Executive Officer; and (iv) any other defined by the Chief Executive Officer; and (iv) any other duties established by the Chief Executive Officer. duties established by the Chief Executive Officer.

Article 24 The Investor Relations Officer is Article 24 The Investor Relations Officer is Not Applicable. responsible for: (i) coordinating, managing, directing and responsible for: (i) coordinating, managing, directing and supervising the Company’s Investor Relations department; supervising the Company’s Investor Relations department; (ii) representing the Company before shareholders, (ii) representing the Company before shareholders, investors, market analysts, the Brazilian Securities investors, market analysts, the Brazilian Securities Commission, the Stock Exchanges, the Central Bank of Commission, the Stock Exchanges, the Brazilian Central Brazil and any other control bodies and other institutions Bank and any other control bodies and other institutions related to the activities performed in the capital market in related to the activities performed in the capital market in Brazil and abroad; and (iii) any other duties established by Brazil and abroad; and (iii) any other duties established by the Chief Executive Officer. the Chief Executive Officer.

Article 25 The Institutional Relations Officer is Excluded due to exclusion from the responsible for: (i) coordinating, managing, directing and post of Executive Director of supervising Legal, Institutional Marketing, Press Institutional Relations. Relations, and Tax areas of the Company; (ii) coordinating, managing and directing the Company's public relations and institutional advertising; (iii) coordinating activities of the Board of Directors of the Company; (iv) planning, proposing and implementing

policies and actions of the Company relating to the areas referred to in item (i) above; (v) supervising and coordinating the legal services of the Company; (vi) issuing opinions on contracting of outside counsel; (vii) representing, in isolation, the Company, in court or out of court, actively and passively, vis-à-vis third parties, any public agencies, Federal, State and Municipal authorities, as well as local authorities, mixed economy companies, parastatal entities, and private entities and companies; and (viii) other duties established by the Chief Executive Officer.

Article 26 The Officers without specific designation, if Article 25 The Officers without specific designation, if Renumbering the article. elected, are responsible for assisting the CEO in the elected, are responsible for assisting the CEO in the coordination, management, direction and supervision of coordination, management, direction and supervision of the Company's business, according to the assignments the Company's business, according to the assignments established by the Chief Executive Officer. established by the Chief Executive Officer.

Article 27 The Executive Board holds all powers to Article 26 The Executive Board is vested with all Renumbering the article. carry out any acts required for the regular operation of the powers to perform the acts necessary for the regular Company and the achievement of the business purpose, no operation of the Company and the achievement of the matter how special they may be, including powers to waive corporate purpose, no matter how special, including to rights, settle and enter into agreements, with due regard for waive rights, settle and agree, in compliance with the the applicable legal or statutory provisions. With due relevant legal or statutory provisions. Subject to the limits regard for the authority amounts of the Board of Directors set by the Board of Directors for the Board of Executive established by the Board of Directors in the cases set forth Officers in the cases described in article 19 of these in Article 19 herein, it is incumbent upon the Executive

Board to administer and manage the Company’s business, Bylaws, the Board is responsible for the administration and in particular: management of the Company's business, especially:

I. complying with and enforcing these Bylaws and I. to comply with and enforce these Bylaws and Not Applicable. the resolutions taken by the Board of Directors and the the resolutions of the Board of Directors and the Shareholders’ Meeting; Shareholders’ Meetings;

II. on a yearly basis, preparing the Management’s II. on a yearly basis, prepare the Management’s Not Applicable. Report, the accounts of the Executive Board and the Report, the accounts of the Executive Board and the Company's financial statements together with the report of Company's financial statements together with the report of the independent auditors and a proposal for allocation of the independent auditors and a proposal for allocation of the profits ascertained in the previous fiscal year for the profits as certified in the previous fiscal year for evaluation by the Board of Directors and the Shareholders' evaluation by the Board of Directors and the Shareholders' Meeting; Meeting;

III. proposing to the Board of Directors the annual III. to propose to the Board of Directors the annual Adjustment to adapt to the wording of budget, the capital budget, the business plan and the budget, the capital budget and the Company’s business article 19, item VII. pluriannual plan, which shall be reviewed and approved on plan, which must be reviewed and approved annually; a yearly basis;

IV. resolving on the installation and closure of IV. to resolve on the installation and closure of Not Applicable. branches, warehouses, distribution centers, offices, branches, warehouses, distribution centers, offices, sections, agencies, representations by itself or third parties, sections, agencies, representations by itself or third parties, anywhere in Brazil or abroad; anywhere in Brazil or abroad;

V. resolving on any matter that is not exclusively V. to resolve on any matter that is not exclusively Not Applicable. incumbent upon the Shareholders’ Meeting or the Board of incumbent upon the Shareholders’ Meeting or the Board of Directors; and Directors;

VI. convening the Shareholders' Meeting, in case of VI. to convene the Shareholders' Meeting, in case of Not Applicable. vacancy of all the positions of the Board of Directors. vacancy of all the positions of the Board of Directors.

Article 28 The Executive Board shall validly meet Article27 The Executive Board legitimately meets Renumbering the article. upon attendance of two (2) Officers, one of whom shall be with the presence of two (2) Executive Officers, one of the Chief Executive Officer at all times, and shall pass them always being the Chief Executive Officer, and resolutions upon majority vote of those present, provided deliberates by the vote of the majority of those present. that the Chief Executive Officer shall have the casting vote in case of tie. Article 29 The Executive Board shall meet whenever Article28 The Executive Board shall meet whenever Renumbering the article. called by the Chief Executive Officer or by a majority of called by the Chief Executive Officer or by a majority of its members. Meetings of Executive Board may be held by its members. The Board of Directors’ meetings may be means of conference call, videoconference or any other held via conference call, video conference or any other communication means that enable identification and means of communication that allows the identification and simultaneous communication among the Officers and all simultaneous participation of attending members of the other persons present at the meeting. Board and any other individuals attending the meeting.

Sole Paragraph Regardless of any formalities, it Inclusion of an express prevision for shall be considered regularly called the meeting to which waiving the formality of calling the appear all the members of the Executive Board. meetings in which all the members of the Executive Board attend.

Article 30 Call notices of meetings shall be made by Article29 Call notices of meetings shall be made by Renuneration of the article and means of a written communication delivered, at least, means of a written communication delivered, at least, adjustment of wording in order to forty-eight (48) hours in advance, with the agenda, date, forty-eight (48) hours in advance, with the agenda, date, clarify the system of delivery of the time and place of the meeting. time and place of the meeting. call notices.

Article 31 All resolutions of the Executive Board shall Article30 All resolutions of the Executive Board shall Renumbering the article. be recorded in minutes drawn up on the Minutes Book of be recorded in minutes drawn up on the Minutes Book of the Executive Board' Meetings and signed by the attending the Executive Board' Meetings and signed by the attending Officers. Officers. Article 32 The Company shall always be represented, Article31 The Company shall always be represented, Article renumbering and wording in all acts, by the signature of the Chief Executive Officer; in all acts, by the signature of the Chief Executive Officer; adjustment to (i) clarify the and, in his absence, by the signature of two (2) Officers or by the signature of two (2) Officers jointly or, the Company's representation rules and jointly or, if absent, the signature of one or more proxies signature of one or more proxies specially appointed to do (ii) exclude non-existent cross- specially appointed to do so in accordance with Paragraph so in accordance with Paragraph 1 below.. references. 1 below, subject to the provisions of Article 19, XXV, herein. Paragraph 1 All powers of attorney shall be granted by Paragraph 1 All powers of attorney shall be granted by Not Applicable. the Chief Executive Officer individually, or, failing that, the Chief Executive Officer individually, or, failing that, by two (2) officers jointly, through mandate with specific by two (2) officers jointly, through mandate with specific powers and term, except in the case of ad judicia powers powers and term, except in the case of ad judicia powers of attorney, in which case the mandate can be for an of attorney, in which case the mandate can be for an indeterminate period, through a public or private indeterminate period, through a public or private instrument. instrument.

Paragraph 2 The acts of any Officer, proxies, agents and Paragraph 2 The acts of any Executive Officers, Adjustment aimed at (i) simplifying employees that involve or relate to operations or business attorneys-in-fact, representatives and employees that and clarifying wording about null and

outside the corporate purpose and corporate interests, such involve or concern operations or business that are inoperative acts in relation to the as sureties, pledges, endorsements and any third-party unrelated to the corporate purpose and corporate interests Company and (ii) excluding non- favor, are expressly forbidden, being null and inoperative or that are practiced in non-compliance with these Bylaws existent cross-reference. in relation to the Company, except as provided for in are expressly forbidden, being null and void in relation to Article 19, XXII herein and/or when expressly approved the Company, , except when expressly approved by the by the Board of Directors. Board of Directors.

CHAPTER V CHAPTER V Renumbering the article. FISCAL COUNCIL FISCAL COUNCIL

Article 33 The Supervisory Council shall operate in a Article32 The Fiscal Council shall operate in a permanent manner, with the powers and duties conferred permanent manner, with the powers and duties conferred to it by law. to it by law.

Article 34 The Fiscal Council shall have at least three Article33 The Fiscal Council will be composed of at Renumbering the article. (3) and a at most five (5) actual members and the same least 3 (three) and at most 5 (five) effective members and number of deputy members, shareholders or not, elected substitutes in equal number, shareholders or not, elected and dismissed by the Shareholders' Meeting at any time. and dismissible at any time by the Annual Shareholders' Meeting.

Paragraph 1 The members of the Fiscal Council will Paragraph 1 The members of the Fiscal Council will Not Applicable. have a unified terms of office of one (1) year and may be have a unified terms of office of one (1) year and may be reelected. reelected. Paragraph 2 The members of the Fiscal Council shall Paragraph 2 The members of the Fiscal Council shall Not Applicable. elect their Chairman at their first meeting. elect their Chairman at their first meeting.

Paragraph 3 The investiture of the members of the Paragraph 3 The investiture of the members of the Fiscal Cross-reference adjustment. Supervisory Board, effective and alternate, depends upon Board, effective and alternate, depends upon the signing of the signing of the term of consent drawn up in the the term of consent drawn up in the appropriate book, appropriate book, which shall be subject to the arbitration which shall be subject to the arbitration clause referred to clause referred to in Article 49 herein. in Article 48 herein. Paragraph 4 The members of the Fiscal Council shall be Paragraph 4 The members of the Fiscal Council shall be Not Applicable. replaced in their absences and impediments by their replaced in their absences and impediments by their respective deputies. respective alternates. Paragraph 5 Any vacant position of member of the Paragraph 5 If a position in the Fiscal Council becomes Not Applicable. Fiscal Council shall be occupied by the respective deputy vacant, the respective alternate member shall hold such member; if there is no deputy member, the Shareholders' position; should there be no alternate member, the Meeting shall be called to elect a member for the vacant Shareholders' Meeting shall be called to elect a member for position. the vacant position.

Article 35 The Fiscal Council, when in place, shall Article34 The Fiscal Council, when in place, shall Renumbering the article. meet whenever required and have all duties established by meet whenever required and have all duties established by law. law.

Paragraph 1 Regardless of any formalities, it shall be Paragraph 1 Regardless of any formalities, it shall be Not Applicable. considered regularly called the meeting to which appear all considered regularly called the meeting to which appear all the members of the Fiscal Council. the members of the Fiscal Council.

Paragraph 2 The Fiscal Council manifests by absolute Paragraph 2 The Fiscal Council manifests by absolute Not Applicable. majority of votes, present the majority of its members. majority of votes, present the majority of its members.

Paragraph 3 All resolutions of the Fiscal Council shall Paragraph 3 All resolutions of the Fiscal Council shall Not Applicable. be included in minutes drawn up at the Minutes and be included in minutes drawn up at the Minutes and Opinions Book of the Tax Committee and signed by the Opinions Book of the Fiscal Council and signed by the members present. members present.

Article 36 The compensation of the members of the Article 35 The compensation of the Fiscal Council Renumbering the article. Fiscal Council shall be set by the Shareholders' Meeting members shall be fixed by the Shareholders' Meeting at that elects them, with due regard for paragraph 3 of Article which they are elected, in compliance with paragraph 3 of 162 of the Brazilian Corporation Law. Article 162 of the Brazilian Corporate Law. CHAPTER VI CHAPTER VI Renumbering the article. DISTRIBUTION OF PROFITS DISTRIBUTION OF PROFITS

Article 37 The fiscal year shall begin on January 1 and Article36 The fiscal year shall begin on January 1 and end on December 31 of each year. end on December 31 of each year.

Sole Paragraph At the end of each fiscal year the Sole Paragraph At the end of each fiscal year the Not Applicable. Executive Board shall cause the Company’s financial Executive Board shall cause the Company’s financial statements to be prepared in compliance with the statements to be prepared in compliance with the applicable legal provisions. applicable legal provisions.

Article 38 The Board of Directors shall submit to the Article37 The Board of Directors shall submit to the Renumbering the article. Annual Shareholders' Meeting the financial statements for Annual Shareholders’ Meeting the financial statements for the fiscal year, together with a proposal for allocation of the fiscal year, together with a proposal for allocation of the net profit of the fiscal year, calculated after deduction the net income of the fiscal year, calculated after deduction of the equity interests referred to in Article 190 of the of the equity interests referred to in Article 190 of the Brazilian Corporation Law, as provided for by paragraph 1 Brazilian Corporate Law, as provided for by paragraph 1

of this Article, adjusted for purposes of calculation of of this Article, adjusted for purposes of calculation of dividends in accordance with Article 202 of the same law, dividends in accordance with Article 202 of the same law, in the following order of deduction: in the following order of deduction:

(a) five percent (5%) shall be applied before any other (a) 5% (five percent) will be invested, before any other Not Applicable. destination, for the constitution of the legal reserve, which allocation, in the legal reserve constitution, which will not shall not exceed twenty percent (20%) of the capital stock. exceed 20% (twenty percent) of the share capital. In the In the exercise where the balance of the legal reserve in fiscal year in which the balance of the Legal Reserve plus addition to the amounts of the capital reserves, set forth in the amounts of the capital reserves referred to in paragraph Paragraph 1 of Article 182 of the Brazilian Corporation 1 of article 182 of the Corporate Law exceeds thirty percent Law exceed thirty percent (30%) of the capital stock, it (30%) of the share capital, it will not be mandatory to shall not be mandatory the destination of part of the net allocate part of the net income for the year to the legal profit of the year to the legal reserve; reserve;

(b) a portion, by proposal of the management bodies, (b) a portion may be allocated to the reserve for Not Applicable. may be destined to the constitution of reserve for contingencies and reversal of the amounts recorded in contingencies and reversal of such reserves formed in previous years, if so proposed by the management bodies, previous years, under the terms of Article 195 of the pursuant to Article 195 of Brazilian Corporate Law; Brazilian Corporation Law;

(c) From the balance of the net profit remaining after (c) From the balance of the net profit remaining after Not Applicable. the allocations of legal reserve and reserve for the allocations of legal reserve and reserve for contingencies as determined in (a) and (b) above, a parcel contingencies as determined in (a) and (b) above, a portion allocated for the payment of a minimum mandatory allocated for the payment of a minimum mandatory dividend of not less than, in each fiscal year, 25% (twenty- dividend of not less than, in each fiscal year, 25% (twenty- five percent); five percent);

(d) In any financial year in which the amount of the (d) In the fiscal year when the amount of minimum Not Applicable. minimum mandatory dividend calculated under to the term mandatory dividends, calculated pursuant to letter (c) (c) above, exceeds the realized portion of the net profits of abovementioned, surpasses the portion of the net income the financially year the Shareholders’ Meeting may, as realized in the fiscal year, the Shareholders’ Meeting may, suggested by the management bodies, allocate the surplus if so proposed by the management bodies, allocate the to the formation of a realizable profit reserve, with due surplus to the unrealized profit reserve, in compliance with regard for the provisions of Article 197 of the Brazilian Article 197 of Brazilian Corporate Law; and Corporation Law; and

(e) The profits that remain after legal deductions and (e) The profits that remain after legal deductions and Renumbering the article. minimum dividends referred to in paragraph (c) of this minimum dividends referred to in paragraph (c) of this Article 38 shall be allocated in an annual installment, not Article 37 shall be allocated in an annual installment, not exceeding 90% (ninety percent) of the net profit adjusted exceeding 90% (ninety percent) of the net profit adjusted for the formation of the Statutory Reserve of investment, for the formation of the Statutory Reserve of investment, which shall eventually finance the implementation in which shall eventually finance the implementation in operational assets, and this reserve may not exceed the operational assets, and this reserve may not exceed the capital stock. share capital.

Paragraph 1 The Shareholders’ Meeting may attribute Paragraph 1 The Shareholders’ Meeting may attribute Not Applicable. profit sharing to the members of the Board of Directors and profit sharing to the members of the Board of Directors and of the Executive Board, not to exceed ten percent (10%) of of the Executive Board, not to exceed ten percent (10%) of the remaining profit of the fiscal year, limited to the global the remaining profit of the fiscal year, limited to the global annual compensation of the members of the management, annual compensation of the members of the management, after deduction of accrued losses and the provision for after deduction of accrued losses and the provision for income tax and social contribution, as provided for by

Article 152, paragraph 1, of the Brazilian Corporation income tax and social contribution, as provided for by Law. Article 152, paragraph 1, of the Brazilian Corporate Law. Paragraph 2 The distribution of profit sharing to the Paragraph 2 The distribution of profit sharing to the Not Applicable. members of the Board of Directors and of the Executive members of the Board of Directors and of the Executive Board shall solely take place in the fiscal years in which Board shall solely take place in the fiscal years in which the shareholders are ensured payment of the minimum the shareholders are ensured payment of the minimum mandatory dividend provided for by these Bylaws. mandatory dividend provided for by these Bylaws. Article 39 By a proposal of the Executive Board, Article 38 If so proposed by the Executive Board, Renumbering the article. approved by the Board of Directors, “ad referendum” of approved by the Board of Directors, and subject to the Shareholders' Meeting, the Company may pay or credit approval by the Shareholders’ Meeting, the Company shall interest to the shareholders by way of remuneration of their pay or credit interest on equity to shareholders, in equity, with due regard for the applicable law. The compliance with applicable legislation. Any amounts thus occasional amounts so disbursed may be imputed to the disbursed may be considered in the minimum mandatory amount of the mandatory dividend set forth herein. dividend set forth herein.

Paragraph 1 In case of recording of credit of interest to Paragraph 1 In the event of credit of interest to Not Applicable. the shareholders during the fiscal year and their attribution shareholders during the fiscal year and attribution thereof to the amount of mandatory dividend, the shareholders to the mandatory dividend amount, the shareholders shall shall be compensated with the dividends to which they are receive the dividends they are entitled to and be guaranteed entitled, being ensured the payment of any outstanding the payment of any outstanding balance. Should the balance. Should the value of the dividends be smaller than dividend amount be lower than what was paid, the the amount credited to them, the Company may not collect Company cannot charge the surplus balance from the the surplus from the shareholders. shareholders.

Paragraph 2 The actual payment of interest on equity, in Paragraph 2 Interest on equity recognized in the fiscal Not Applicable. case of recording of credit during the fiscal year, shall be year will be effectively paid upon resolution by the Board made by resolution of the Board of Directors, in the course

of the fiscal year or in the subsequent fiscal year, but never of Directors, during the current or the following year, but after the dates of payment of the dividends. never after the dividend payment dates.

Article 40 The Company may prepare balance sheets Article39 The Company may prepare balance sheets Renumbering the article. on a semester basis or shorter periods and declare the on a semester basis or shorter periods and declare the following by resolution of the Board of Directors: following by resolution of the Board of Directors: (a) the payment of dividends or interest on equity by (a) the payment of dividends or interest on equity by Not Applicable. way of the profit ascertained in the half-year balance sheet, way of the profit as certained in the half-year balance sheet, attributed to the amount of the mandatory dividend, if any; attributed to the amount of the mandatory dividend, if any;

(b) the distribution of dividends in periods shorter than (b) the distribution of dividends in periods shorter than Not Applicable. six (6) months, or interest on equity, attributed to the six (6) months, or interest on equity, attributed to the amount of mandatory dividend, if any, provided that the amount of mandatory dividend, if any, provided that the total dividends paid in each semester of the fiscal year shall total dividends paid in each semester of the fiscal year shall not exceed the amount of the capital reserves; and not exceed the amount of the capital reserves; and

(c) the payment of interim dividend or interest on (c) the payment of interim dividend or interest on equity Not Applicable. equity by way of retained profits or reserve of retained by way of retained profits or reserve of retained earnings earnings existing in the last annual or half-year balance existing in the last annual or half-year balance sheet, sheet, attributed to the amount of the mandatory dividend, attributed to the amount of the mandatory dividend, if any. if any. Article 41 The Shareholders’ Meeting may resolve on Article40 The Shareholders’ Meeting may resolve on Renumbering the article. the capitalization of reserve of retained earnings or capital the capitalization of profit or capital reserve, including reserve, including those established in interim balance those recognized in interim balance sheets, pursuant to sheets, with due regard for the applicable law. applicable legislation.

Article 42 Any dividends not received or claimed shall be Article 41 Unclaimed or unpaid dividends will Not Applicable. forfeited within three (3) years as from the date they are prescribe within three (3) years after the date they were made available to the shareholder and be reverted to the made available to shareholders, and will be reversed to the benefit of the Company. Company.

CHAPTER VII CHAPTER VII Renumbering the article. TRANSFER OF SHAREHOLDING CONTROL, DISPOSAL OF SHARE CONTROL, DELISTING THE COMPANY, CANCELLATION OF THE REGISTRATION AS A DELISTING FROM NOVO MERCADO AND PUBLICLY-HELD COMPANY, PROTECTION OF SHAREHOLDING BASE WITHDRAWAL FROM THE NOVO MERCADO AND Section I – Disposal of the Company's Control PROTECTION AGAINST DISPERSION OF THE SHAREHOLDING BASE

Article 43 The direct or indirect disposal of the control Section I – Disposal of the Company's Control of the Company, either through a single transaction or through a number of successive transactions, shall be contracted on the condition that the new controlling Article42 The direct or indirect disposal of the control shareholder undertakes to make a public offer for the of the Company, either through a single transaction or acquisition of the shares, having as object the shares issued through a number of successive transactions, shall be by the company held by the other shareholders, subject to contracted on the condition that the new controlling the terms and conditions provided for by the legislation and shareholder undertakes to make a public offer for the in the Novo Mercado Regulations, so as to ensure them acquisition of the shares, having as object the shares issued equal treatment as compared to the grantor. by the company held by the other shareholders, subject to the terms and conditions provided for by the legislation and in the Novo Mercado Regulations, so as to ensure them equal treatment as compared to the grantor.

Section II – Delisting the Company Section II – Cancellation of the registration as a Renumbering the article. and Delisting from Novo Mercado Publicly-Held Company; withdrawal from Novo Mercado.

Article 44 With the entry of the Company in the Novo Mercado of B3 the Company, its shareholders, including Article43 Following the Company's admission on the controlling shareholders, members of the management and B3’s Novo Mercado, the Company, its shareholders, members of the Fiscal Board are subject to Novo Mercado including controlling shareholders, management and Regulations. members of the Fiscal Council are subject to the provisions of the Novo Mercado Regulation.

Article 45 In the public offering for acquisition of Article44 In the public offering for acquisition of Renumbering the article. shares to be made effective, necessarily, by the controlling shares to be made effective, necessarily, by the controlling shareholder or by the Company for the deregistration as a shareholder or by the Company for the cancellation of the publicly-held company, the minimum price to be offered registration as a publicly-held company, the minimum shall correspond to the economic value determined in the price to be offered shall correspond to the economic value appraisal report, respecting the legal and regulatory rules determined in the appraisal report, respecting the legal and applicable. regulatory rules applicable.

Section III – Protection Against Dispersion of the Section III – Protection Against Dispersion of the Renumbering the article. Shareholding Base Shareholding Base

Article 46 Any Buyer (as defined in paragraph 11 of Article 45 Any Buyer (as defined in paragraph 11 of this Article) that purchases of becomes the holder of shares this article), who acquires or becomes the holder of shares issued by the Company or of any other rights, including issued by the Company or of other rights, including usufruct or trust over shares issued by the Company in an usufruct or trust on shares issued by the Company in any quantity equal to or greater than twenty percent (20%) of amount equal to or greater than 20% (twenty percent) of its

its capital stock shall carry out a public offering of shares share capital, shall conduct a public offering for the for purchase of all shares issued by the Company, with due acquisition of all shares issued by the Company, with due regard for the provisions of the applicable regulations of regard for the provisions of the applicable CVM the CVM, the B3 regulations, and the provisions of this regulations, the regulations of B3 and the terms of this Article. The Buyer shall request the registration of said article. The Buyer shall request the registration of said offering within thirty (30) days as from the date of offering within thirty (30) days as from the date of purchase or as from the event that resulted in the title to the purchase or as from the event that resulted in the title to the shares or rights in any quantity equal to or greater than shares or rights in any quantity equal to or greater than twenty percent (20%) of the Company’s capital stock. twenty percent (20%) of the Company’s share capital.

Paragraph 1 The public offering of shares shall be (i) Paragraph 1 The public offering of shares shall be (i) Not Applicable. indistinctively addressed to all shareholders of the indistinctively addressed to all shareholders of the Company; (ii) made in an auction to be held at B3; (iii) Company; (ii) made in an auction to be held at B3; (iii) launched at the price determined in accordance with the launched at the price determined in accordance with the provisions in paragraph 2 of this Article; and (iv) paid in provisions in paragraph 2 of this Article; and (iv) paid in cash, in Brazilian currency, upon purchase in the offering cash, in Brazilian currency, upon purchase in the offering of shares issued by the Company. of shares issued by the Company.

Paragraph 2 The purchase price in the public offering of Paragraph 2 The purchase price in the public offering of Not Applicable. each share issued by the Company shall not be smaller than each share issued by the Company shall not be smaller than the greatest amount between: (i) one hundred and thirty- the greatest amount between: (i) one hundred and thirty- five percent (135%) of the fair price ascertained in a five percent (135%) of the fair price as certified in a valuation report; (ii) one hundred and thirty-five percent valuation report; (ii) one hundred and thirty-five percent (135%) of the issue price of shares obtained in any capital (135%) of the issue price of shares obtained in any capital increase made upon public distribution occurred in the increase made upon public distribution occurred in the period of twenty-four (24) months preceding the date when period of twenty-four (24) months preceding the date when it becomes mandatory to carry out the public offering of it becomes mandatory to carry out the public offering of

shares in accordance with this Article, an amount which shares in accordance with this Article, an amount which shall be duly restated by the Extended National Consumer shall be duly restated by the Extended National Consumer Price Index (IPCA) from the date of issue of shares for the Price Index (IPCA) from the date of issue of shares for the Company’s capital increase to the time of financial Company’s capital increase to the time of financial settlement of the public offering of shares under this settlement of the public offering of shares under this Article; (iii) one hundred and thirty-five percent (135%) of Article; (iii) one hundred and thirty-five percent (135%) of the average unit quotation of the shares issued by the the average unit quotation of the shares issued by the Company during the period of ninety (90) days before the Company during the period of ninety (90) days before the offering, weighted by the volume of trading at the stock offering, weighted by the volume of trading at the stock exchange in which the greatest volume of negotiations of exchange in which the greatest volume of negotiations of the shares issued by the Company occurs; and (iv) one the shares issued by the Company occurs; and (iv) one hundred and thirty-five percent (135%) of the highest unit hundred and thirty-five percent (135%) of the highest unit price paid by the Buyer at any time for any share or lot of price paid by the Buyer at any time for any share or lot of shares issued by the Company. If the CVM regulations shares issued by the Company. If the CVM regulation applicable to the offering set forth in this case provides for applicable to the offer foreseen in this case determines the the adoption of a calculation criterion for setting the adoption of a calculation criterion for fixing the acquisition purchase price of each share in the Company in the offering price of each share in the Company in the offer that results that results in a greater purchase price, the purchase price in a higher acquisition price, that acquisition price calculated in accordance with the CVM regulations shall calculated pursuant to the CVM regulation shall prevail in prevail in the offering. the effectiveness of the offer contemplated.

Paragraph 3 The public offering of shares referred to in Paragraph 3 The public offering of shares referred to in Not Applicable. the main provision of this Article shall not exclude the the main provision of this Article shall not exclude the possibility of another shareholder of the Company or, as possibility of another shareholder of the Company or, as applicable, the Company itself, making a competing applicable, the Company itself, making a competing offering under the applicable regulations. offering under the applicable regulations.

Paragraph 4 The Buyer shall be required to meet any Paragraph 4 The Buyer shall be required to meet any Not Applicable. requests or requirements of the CVM based on the requests or requirements of the CVM based on the applicable law in relation to the public offering of shares, applicable law in relation to the public offering of shares, within the maximum terms established by the applicable within the maximum terms established by the applicable regulations. regulations.

Paragraph 5 If the Buyer fails to comply with the Paragraph 5 If the Buyer fails to comply with the Not Applicable. obligations imposed by this Article, including as regards obligations imposed by this Article, including as regards compliance with the maximum terms: (i) to carry out or compliance with the maximum terms: (i) to carry out or request registration of the public offering of shares; or (ii) request registration of the public offering of shares; or (ii) to meet any requests or requirements of the CVM, the to meet any requests or requirements of the CVM, the Company’s Board of Directors shall call a Extraordinary Company’s Board of Directors shall call a Extraordinary Shareholders’ Meeting, at which the Buyer shall not vote, Shareholders’ Meeting, at which the Buyer shall not vote, to resolve on the suspension of exercise of the rights of the to resolve on the suspension of exercise of the rights of the Buyer that fails to comply with any obligation imposed by Buyer that fails to comply with any obligation imposed by this Article, as provided for by Article 120 of the Brazilian this Article, as provided for by Article 120 of the Brazilian Corporation Law, without prejudice to the liability of the Corporate Law, without prejudice to the liability of the Buyer for damages and losses caused to the other Buyer for damages and losses caused to the other shareholders as a result of the default of the obligations shareholders as a result of the default of the obligations imposed by this Article. imposed by this Article.

Paragraph 6 The provisions of this Article shall not Paragraph 6 The provisions of this Article shall not Not Applicable. apply if a person becomes the holder of shares issued by apply if a person becomes the holder of shares issued by the Company in a quantity greater than twenty percent the Company in a quantity greater than twenty percent (20%) of the total shares issued by the Company as a result (20%) of the total shares issued by the Company as a result of: (i) legal succession, under the condition that the of: (i) legal succession, under the condition that the shareholder shall dispose of the surplus of shares within shareholder shall dispose of the surplus of shares within

thirty (30) days as from the concerned event; (ii) merger of thirty (30) days as from the concerned event; (ii) merger of another company into the Company; (iii) merger of shares another company into the Company; (iii) merger of shares of another company into the Company; or (iv) subscription of another company into the Company; or (iv) subscription of the Company’s shares in a single primary issue of the Company’s shares in a single primary issue approved at a Shareholders’ Meeting of the Company, approved at a Shareholders’ Meeting of the Company, called by its Board of Directors, the capital increase called by its Board of Directors, the capital increase proposal of which has determined that the shares issue proposal of which has determined that the shares issue price should be set based on the fair price ascertained in an price should be set based on the fair price as certified in an economic and financial valuation report of the Company economic and financial valuation report of the Company prepared by a specialized company with proven experience prepared by a specialized company with proven experience in valuation of publicly-held companies. In addition, the in valuation of publicly-held companies. In addition, the provisions of this Article shall not apply to current provisions of this Article shall not apply to current shareholders who are already holders of 20% (twenty shareholders who are already holders of 20% (twenty percent) or more of the total shares issued by the company percent) or more of the total shares issued by the company and their successors on the effective date of membership and their successors on the effective date of membership and listing of the company on the Novo Mercado, applying and listing of the company on the Novo Mercado, applying exclusively to those investors that purchase shares and exclusively to those investors that purchase shares and become shareholders of the Company after such a become shareholders of the Company after such a Shareholders' Meeting. Shareholders' Meeting.

Paragraph 7 The calculation of the percentage of twenty Paragraph 7 The calculation of the percentage of twenty Not Applicable. percent (20%) of the total shares issued by the Company percent (20%) of the total shares issued by the Company as described in the main provision of this Article shall not as described in the main provision of this Article shall not compute any involuntary increases in equity interest compute any involuntary increases in equity interest resulting from cancellation of shares kept in treasury or resulting from cancellation of shares kept in treasury or Company’s capital reduction with cancellation of shares. Company’s capital reduction with cancellation of shares.

Paragraph 8 The Shareholders’ Meeting may release the Paragraph 8 The Shareholders’ Meeting may release the Not Applicable. Buyer from the obligation to carry out the public offering Buyer from the obligation to carry out the public offering of shares established in this Article, if that is in the of shares established in this Article, if that is in the Company’s interest. Company’s interest.

Paragraph 9 Shareholders holding at least twenty Paragraph 9 Shareholders holding at least twenty Not Applicable. percent (20%) of the shares issued by the Company may percent (20%) of the shares issued by the Company may request the members of the Company’s management to call request the members of the Company’s management to call a special shareholders’ meeting to resolve on a new a special shareholders’ meeting to resolve on a new valuation of the Company to be carried out for purposes of valuation of the Company to be carried out for purposes of review of the purchase price, in accordance with the review of the purchase price, in accordance with the procedures set forth in Article 4-A of the Brazilian procedures set forth in Article 4-A of the Brazilian Corporation Law and in compliance with the provisions of Corporate Law and in compliance with the provisions of the applicable regulations of the CVM, of the B3 the applicable regulations of the CVM, of the B3 regulations, and of this Chapter. The costs of preparation regulations, and of this Chapter. The costs of preparing the of the appraisal report shall be assumed in full by the appraisal report shall be supported entirely by the Buyer. Buyer.

Paragraph 10 If the special shareholders’ meeting referred Paragraph 10 If the special shareholders’ meeting referred Not Applicable. to above resolves that a new valuation shall be made, and to above resolves that a new valuation report determines an such valuation report ascertains any amount greater than amount higher than the initial value of the public offering the initial amount of the public offering of shares, the for the acquisition of shares, the Buyer may give it up, in Buyer may give it up, in which case it shall comply, as which case it shall comply, as applicable, with the applicable, with the procedure set forth in Articles 23 and procedure set forth in Articles 23 and 24 of CVM 24 of CVM Instruction 361/02, and dispose of the surplus Instruction 361/02, and dispose of the surplus equity equity interest within three (3) months as from the date of interest within three (3) months as from the date of said said special shareholders’ meeting. special shareholders’ meeting.

Paragraph 11 For purposes of interpretation of this Paragraph 11 For purposes of interpretation of this Not Applicable. Article, the terms below starting with capital letters shall Article, the terms below starting with capital letters shall have the following meanings: have the following meanings:

“Buyer” means any person, including, but not limited to, any individual or legal entity, investment fund, co- “Buyer” means any person, including, but not limited to, ownership, portfolio of notes, universality of rights or any any individual or legal entity, investment fund, co- other form of organization that is resident, domiciled or ownership, portfolio of notes, universality of rights or any headquartered in Brazil or abroad, or a Group of other form of organization that is resident, domiciled or Shareholders. headquartered in Brazil or abroad, or a Group of Shareholders. “Group of Shareholders” means the group of persons: (i) bound by agreements or voting agreements of any kind “Group of Shareholders” means the group of persons whatsoever, either directly or by means of controlled who: (i) are bound by contracts or voting agreements of companies, controlling companies or companies under any nature, directly or through subsidiaries, parent common control; or (ii) that have a relationship of control; companies or joint ventures; or (ii) are bound by a or (iii) that are under common control. relationship of control; or (iii) are in a joint venture.

Section IV – General Provisions Section IV - General Provisions Renumbering the article.

Article 47 A single public offering of shares may be Article 46 A single public offering of shares may be prepared, aiming at more than one of the purposes prepared, aiming at more than one of the purposes established in this Chapter VII herein, in the Novo established in this Chapter VII herein, in the Novo Mercado Regulations, or in the CVM regulations, provided Mercado Regulations, or in the CVM regulations, provided that the procedures of all modalities of public offering of that the procedures of all modalities of public offering of

shares may be combined, no damage results to the target shares may be combined, no damage results to the target audience of the offering, and authorization is obtained audience of the offering, and authorization is obtained from the CVM, as required by the applicable law. from the CVM, as required by the applicable law. Article 48 The Company or the shareholders in charge Article47 The Company or the shareholders in charge Renumbering the article. of carrying out the public offerings of shares established in of carrying out the public offerings of shares established in this Chapter VII herein, in the Novo Mercado Regulations, this Chapter VII herein, in the Novo Mercado Regulations, or in the CVM regulations may ensure the implementation or in the CVM regulations may ensure the implementation thereof by means of any shareholder or third party. The thereof by means of any shareholder or third party. The Company or the shareholder, as the case may be, are not Company or the shareholder, as the case may be, are not exempted from the obligation to carry out the public exempted from the obligation to carry out the public offering of shares until it has been completed in offering of shares until it has been completed in compliance with the applicable rules. compliance with the applicable rules.

CHAPTER VIII CHAPTER VIII Renumbering the article. ARBITRATION COURT ARBITRATION COURT

Article 49 The Company, its shareholders, members of the management and members of the Fiscal Council, Article48 The Company, its shareholders, managers, effective and alternate, if there are any, undertake to Fiscal Council members, effective and alternate, if any, resolve through arbitration, before the Market Arbitration undertake to resolve, by means of arbitration, before the Chamber, according to its regulations, any controversy Market Arbitration Chamber, pursuant to its rules, any which may arise between them, related to or originating dispute that may arise between them, related to or arising from their condition of issuer, shareholders, from their status as issuers, shareholders, managers, and administrators, and members of the Supervisory Board, Fiscal Council members, in particular, arising from the especially arising from the provisions contained in Law provisions contained in Law 6, 385/76, the Brazilian 6385/76, in the Brazilian Corporation Law, in the Bylaws Corporation Law, the Company's Bylaws, the rules issued of the Company, in the standards edited by the National by the National Monetary Council, the Central Bank of

Monetary Council, by the Central Bank of Brazil or by Brazil, or the CVM, in addition to those contained in the CVM, besides those appearing in the Regulations of the Novo Mercado Regulations, in the other B3 regulations, New Market, the other regulations of B3 and the and in the Novo Mercado Listing Agreement. Participation Contract of the Novo Mercado.

Paragraph 1 Without prejudice to the validity of this Paragraph 1 Without prejudice to the validity of this Not Applicable. arbitration clause, the request for urgent measures by the arbitration clause, the request for urgent measures by the Parties, before the Arbitration Court is created, will be Parties, before the Arbitration Court is created, will be submitted to the Judicial Court, pursuant to Item 5.1.3 of submitted to the Judicial Court, pursuant to Item 5.1.3 of the Arbitration Regulations of the Market Arbitration the Arbitration Regulations of the Market Arbitration Chamber. Chamber.

Paragraph 2 The Brazilian law shall be the sole law Paragraph 2 The Brazilian law shall be the sole law Not Applicable. applicable to the merits of any and all disputes, as well as applicable to the merits of any and all disputes, as well as to the performance, construal and effectiveness of this to the execution, interpretation, and validity of this arbitration clause. The Arbitration Court shall be arbitration clause. The Arbitration Court will be made up composed of arbitrator(s) chosen as provided for in the of judges chosen in the manner provided for in the Arbitration Regulations of the Market Arbitration Arbitration Regulations of the Market Arbitration Chamber. The arbitration proceeding will be carried out in Chamber. The arbitration proceeding will be held in the the City of São Paulo, State of São Paulo, where the City and State of São Paulo, where the arbitration decision arbitration decision will be rendered. The arbitration shall is to be issued. The arbitration shall be managed by the be administered by the Market Arbitration Chamber itself, Market Arbitration Chamber itself, and shall be conducted and conducted and judged in accordance with the and judged according to the relevant provisions of the applicable provisions of the Arbitration Regulations. Arbitration Rules.

CHAPTER IX CHAPTER IX Renumbering the article. LIQUIDATION OF THE COMPANY LIQUIDATION OF THE COMPANY

Article 50 The Company shall enter liquidation in the Article49 The Company shall be liquidated in the cases provided for by law, in which case the Shareholders' events provided for by law, and the Shareholders' Meeting Meeting shall elect the liquidator or liquidators, as well as shall elect the liquidator(s), as well as the Fiscal Council the Fiscal Council to operate during such period, in that shall operate in such period, pursuant to the legal compliance with the legal formalities. formalities.

CHAPTER X CHAPTER X Renumbering the article. FINAL AND TEMPORARY PROVISIONS FINAL AND TRANSITORY REGULATIONS

Article 51 The cases not envisaged in these Bylaws Article50 The cases not envisaged in these Bylaws shall be resolved at the Shareholders' Meeting and shall be resolved at the Shareholders' Meeting and regulated pursuant to Brazilian Corporation Law, in regulated pursuant to Brazilian Corporation Law, in observance to the Novo Mercado Regulations. observance to the Novo Mercado Regulations. Article 52 The Company shall comply with any Article51 The Company shall comply with the Renumbering the article. shareholders’ agreements filed at its head offices and shall shareholders' agreements filed at its headquarters, and the be expressly forbidden from registering any transfer of registration of a transfer of shares and the counting of any shares and from computing any vote cast at a Shareholders’ vote cast at a Shareholders' Meeting or a Board of Meeting or at a meeting of the Board of Directors in breach Directors' meeting contrary to the terms thereof are of the provisions thereof. prohibited.

Article 53 The Company shall provide its shareholders Article52 The Company shall provide its shareholders Renumbering the article. and third parties, at its headquarters, contracts with related and third parties, at its headquarters, contracts with related parties, shareholders' agreements and options for the parties, shareholders' agreements and options for the

acquisition of shares or other securities or securities issued acquisition of shares or other securities or securities issued by the Company. by the Company. Article 54 The Company and any of its subsidiaries, Article53 The Company and any of its subsidiaries, Renumbering the article. whether direct or indirect, are prohibited from selling any whether direct or indirect, are prohibited from selling any options contracts (directly or indirectly), or signing option option contracts (directly or indirectly), or even signing contracts in which they figure as an entrant, with the option contracts in which it is the writer, with the exception exception of companies that have such activity as their of companies that have this activity in their corporate corporate purpose. Stock options (calls) are defined as purpose. Call options are considered those that give the those that give the holder the right to buy the underlying holder the right to buy the related asset on a given date for asset at a specified date for a specified price; and sale a given price; and puts options are considered those that options (puts) as those that give the holder the right to sell give the holder the right to sell the related asset on a given the underlying asset at a specified date for a specified price. date for a given price. For the purposes of this article, For the purposes of this Article option contracts shall be option contracts are those that directly or indirectly, considered those that directly or indirectly, expressly or in expressly or implicitly, provide any advantage to the an implied manner, provide some benefit to the Company Company in exchange for market volatility, that is, when in counterpart to a market volatility, i.e. when there is risk there is a risk of oscillation in the price of the asset that is of oscillation of the price of the underlying asset of the the object of the contract. Among which, but not limited contract. Including, but not limited to these, any operations to, any operations in which the asset that is the object of in which the underlying asset of the contract is conditional the contract is conditioned to the dollar rate, the price of upon the rate of the dollar, the price of gold, commodities, gold, commodities, government bonds, exchange bonds, exchange variation and, variation of interest. variation, and interest variation.

Paragraph 1 The prohibition addressed in Paragraph 1 Sole Paragraph The prohibition addressed in the Cross-reference adjustment. above shall not apply to the signing of a contract, caput above shall not apply to the signing of a contract, agreement or other instrument of assumption of rights and agreement or other instrument of assumption of rights and obligations in the context of financial transactions through obligations in the context of financial transactions through issue, by the company and any of its subsidiaries, whether issue, by the company and any of its subsidiaries, whether

direct or indirect, that causes the issuance of debt direct or indirect, that causes the issuance of debt securities, including, but not limited to promissory notes, securities, including, but not limited to promissory notes, debentures, commercial paper, notes, bonds, as provided in debentures, commercial paper, notes, bonds, as provided in these Bylaws. these Bylaws.

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EXHIBIT VI TO THE MANAGEMENT PROPOSAL OF THE ANNUAL AND EXTRAORDINARY SHAREHOLDERS’ MEETING OF JBS S.A. TO BE HELD ON APRIL 28, 2021

BYLAWS OF

JBS S.A. Corporate Taxpayer’s ID (CNPJ/ME): 02.916.265/0001-60 Company Registry (NIRE): 35.300.330.587

CHAPTER I NAME, HEADQUARTER, PURPOSE AND DURATION

Article 1 JBS S.A. (“Company”) is a limited liability company governed by these Bylaws and by the applicable law.

Article 2 The Company is headquartered in the City ans state of São Paulo, at Avenida Marginal Direita do Tietê, 500, Bloco I, 3º Andar, CEP 05118-100.

Sole Paragraph The Company may open, close and change the address of branches, agencies, warehouses, distribution centers, offices and any other establishments in the country or abroad by resolution of the Executive Board, pursuant to the provisions of article 26, item IV of these Bylaws.

Article 3 The corporate purpose of the company is: (a) administrative office; (b) exploring, on its own account, cattle slaughtering and refrigeration, manufacturing, distributing and trading fresh or industrialized food products and animal and vegetable products, by-products and their derivatives (including, but not limited to, cattle, swine, sheep and fish in general); (c) processing, preserving and producing canned vegetables, preserves, fats, feed, canned goods, importing and exporting derived products; (d) manufacturing pet products, nutritional additives for animal feed, balanced feed and prepared animal feed; (e) buying, selling, breeding, fattening and slaughtering cattle, in its own and third-party establishments; (f) slaughterhouse with slaughter of cattle and preparing meat for third parties; (g) manufacturing, trading, importing, exporting beef tallow, meat meal, bone meal and feed; (h) purchasing and selling, distributing and representing food stuffs, uniforms and clothes with provision of clothing services in general; (i) processing, wholesale trade, importing and exporting hides and skins, horns, bones, hooves, manes, wool, raw hair and bristles, feathers and plumes and animal protein; (j) distributing and trading drinks, sweets and barbecue utensils; (k) manufacturing, distributing and trading sanitizing-cleaning and hygiene products; (l) manufacturing, distributing, trading, importing, exporting, processing, representing perfumery products and toilet articles, cleaning and domestic hygiene products, cosmetic products and products for personal use; (m) importing and exporting, as long as related to the activities listed in items “b”, “d”, and “k” of the Company's corporate purpose; (n)

manufacturing, leasing and selling machinery and equipment in general and assembling electrical panels, as long as related to the activities listed in items “b”, “d”, “i”, “j”, “k”, “ l ”and “m” of the Company’s corporate purpose and to the extent necessary to exercise them, and this activity may not represent more than 0.5% of the Company's annual revenue; (o) trading chemical products, as long as related to the activities listed in items “b”, “d”, “i”, “j”, “k”, “l” and “m” of the Company's corporate purpose; (p) manufacturing, trading, importing and exporting plastics, plastic products, scraps in general, corrective fertilizers, organic and mineral fertilizers for agriculture, removal and biological treatment of organic residues, as long as related to the activities mentioned in items “b”, “d”, “i”,“j”, “k”, “l” and “m” of the Company's corporate purpose and to the extent necessary to exercise them; (q) stamping, manufacturing cans, preparing steel coils (flanders and chrome) and varnishing steel sheets, as long as related to the activities in items “b”, “d”, “i”, “j”, “k”, “l” and “m” of the Company's corporate purpose; (r) providing closed and goods warehouse for third parties, except general stores and furniture storage; (s) providing general warehouse, according to Federal Decree 1102, of November 21,1903, to secure and preserve perishable goods from third parties; (t) road transportation of cargo in general, municipal, intercity, interstate and international; (u) producing, generating and trading electricity, and cogenerating energy and storing hot water for heating with or without authorization from the due Government; (v) producing, trading, importing and exporting biofuel, biodiesel, glycerin, organic waste resulting from biodiesel manufacturing process (sludge), soluble alcohol, additives, vegetable oils, organic additives for mixing, recycled oil, esters, chemicals and derivatives; (w) manufacturing, distributing, trading and storing chemical products in general; (x) producing, trading biodiesel from animal fat, vegetable oil and by-products and bioenergy, importing; (y) trading agricultural raw materials in general; (z) manufacturing, distributing, trading and storing animal and vegetable products and by-products and its derivatives, glycerin and animal and vegetable by-products; (aa) providing intermediation and agency services and business in general, except real estate; (ab) providing laboratory analysis, testing and technical analysis services; (ac) manufacturing margarine and other vegetable fats and inedible oils from animals; (ad) manufacturing ice cream and other types of edible ice creams; (ae) wholesale trade of other chemical and petrochemical products not otherwise specified; (af) manufacturing additives for industrial use; (ag) manufacturing refined vegetable oils, except corn oil; (ah) manufacturing synthetic soaps and detergents; (ai) wheat milling and manufacturing derivatives; (aj) manufacturing organic chemical products not previously specified; (ak) processing, manufacturing, distributing, trading, importing, exporting, commissioning, consigning and representing milk and its derivatives; (al) processing, manufacturing, distributing, trading, importing, exporting, commissioning, consigning and representing food products of any kind; (am) manufacturing, distributing, trading, importing, exporting, commissioning, consigning and representing agricultural products, machinery, equipment, parts and supplies necessary for the manufacture and sale of the Company’s products;

Sole Paragraph The Company may explore other activities related to the purpose in Article 3, as well as have an interest in other companies, in the country or abroad.

Article 4 The Company’s duration is undetermined.

CHAPTER II SHARE CAPITAL

Article 5 The share capital is twenty-three billion, six hundred and thirty-one million, seventy-one thousand, three hundred and four reais and twenty-four cents (R$23,631,071,304.24), fully subscribed and paid-in, divided into two billion, five hundred and eleven million, one hundred and thirty-five thousand, seven hundred and seventy (2,511,135,770) registered, book-entry, common shares with no par value.

Article 6 The Company is authorized to increase its capital stock, regardless of statutory reform, by up to one billion, three hundred and seventy-five million, eight hundred and fifty-three thousand, one hundred and eighty-three (1,375,853,183) registered, book-entry, common shares with no par value.

Paragraph 1 Within the limit authorized herein, the Company may, by resolution of the Board of Directors, increase the share capital regardless of statutory amendment, in compliance with the provisions of paragraph 2 of article 166 da Law 6,404, of December 15, 1976, as amended (“Brazilian Corporate Law”). The Board of Directors shall establish the number, price, payment term and other conditions to issue shares.

Paragraph 2 Within the authorized capital limit, the Board of Directors can resolve on the issue of subscription warrant and debentures convertible into common shares.

Paragraph 3 Within the limit of the authorized capital and according to the plan approved by the Shareholders’ Meeting, the Company may grant a stock option to members of the management, employees or individuals who provide services to it, or the members of the management, employees or individuals who provide services to subsidiaries, except the right of first refusal of shareholders when granting and exercising stock options.

Paragraph 4 The Company is prohibited from issuing founders' shares.

Paragraph 5 The Company shall not issue preferred shares.

Paragraph 6 Whenever the Board of Directors approves the capital increase within the limit of the authorized capital, the consolidation of Articles 5 and 6 of the Bylaws shall appear in the agenda of the subsequent Shareholders’ Meeting.

Article 7 The share capital shall be exclusively represented by common shares and each share entitles to one vote in the resolutions taken at the Shareholders' Meeting.

Article 8 All the Company's shares are book-entry shares, kept in a deposit account in a financial institution authorized by the Brazilian Securities and Exchange Commission (“CVM”) designated by the Board of Directors, on behalf of the holders, without issuing certificates.

Sole Paragraph The cost of transfer and registration may be charged directly from shareholders by the depositary institution, as defined in the share bookkeeping agreement.

Article 9 Upon the discretion of the Board of Directors, the right of first refusal when issuing shares, debentures convertible into shares and subscription bonus, placed through the sale on the stock exchange or by public subscription, or by exchanging shares or public offer, may be deleted or reduced as established by law, within the limits of the authorized capital.

CHAPTER III SHAREHOLDERS’ MEETING

Article 10 The Shareholders’ Meeting shall be held, ordinarily, once a year and, extraordinarily, whenever necessary, according to the Brazilian Corporate Law or these Bylaws.

Paragraph 1 The Shareholders' Meeting shall be convened by the Chairman of the Board of Directors or, in the cases provided for by law, by shareholders or by the Fiscal Council, after a notice is disclosed. The first call shall be made, at least, fifteen (15) days in advance and the second call, at least, eight (8) days in advance.

Paragraph 2 Resolutions of the Shareholders’ Meeting shall be approved by a majority of the votes of those attending.

Paragraph 3 The Shareholders' Meeting shall only decide on the agenda matters included in the respective call notice, excluding the exceptions set forth by the Brazilian Corporation Law.

Paragraph 4 At the General Meetings, shareholders must present, at least seventy-two (72) hours in advance, in addition to the identity document and/or relevant corporate acts evidencing legal representation, as the case may be: (i) certificate issued by the bookkeeping institution no later than five (5) days prior to the date of the Shareholders' Meeting; (ii) the proxy instrument with the grantor's signature notarized; and/or (iii) with respect to shareholders participating in the fungible custody of registered shares, the statement containing the respective shareholding, issued by the applicable body.

Paragraph 5 The minutes of Shareholders’ Meetings shall be drawn up in the book of Minutes of the Shareholders’ Meetings as a summary of the facts occurred and published without signatures.

Article 11 The Shareholders’ Meeting shall be declared open and chaired by the Chairman of the Board of Directors or, in his/her absence or impediment, by another Board Member, Officer or shareholder designated in writing by the Chairman of the Board of Directors. The Chairman of the Shareholders’ Meeting shall indicate up to two (2) Secretaries.

Article 12 In addition to the duties set forth by law, the Shareholders' Meeting shall:

I. elect and remove the members of the Board of Directors and the Fiscal Council;

II. establish the overall annual compensation of the Company’s Management, as well as the members of the Fiscal Council and Statutory Audit Committee;

III. amend the Bylaws;

IV. resolve on the dissolution, liquidation, merger, spin-off, incorporation of the Company, or any company in the Company;

V. grant share-based bonuses and decide on any stock splits or reverse-splits;

VI. approving stock option plans intended for members of the management, employees or individuals providing services to the Company or to any subsidiary;

VII. resolve, in accordance with the proposal submitted by management, on the income allocation for the year and the distribution of dividends;

VIII. elect and remove the liquidator, as well as the Fiscal Council that shall operate during the liquidation period; and

IX. resolve on any matter submitted to it by the Board of Directors.

CHAPTER IV MANAGEMENT BODIES

Section I - General Provisions to the Management Bodies

Article 13 The Company shall be managed by the Board of Directors and the Executive Board.

Paragraph 1 The investiture of the members of the Company's management in their respective positions will be conducted through an instrument of investiture drawn up in the appropriate book per instrument of investiture, which shall have an express commitment clause, as set forth in Article 48 herein, signed by the member of the management taking up office, waiving the need for any management guarantee.

Paragraph 2 The managers shall remain in their offices until the investiture of their alternates, unless otherwise resolved by the Shareholders' Meeting or Board of Directors, as the case may be.

Article 14 The Shareholders' Meeting shall set the overall compensation of the directors, and the Company’s Management shall set the individual compensation of Directors, members of the Statutory Audit Committee and the Executive Board.

Article 15 Except as provided herein, any of the management bodies shall validly meet with the attendance of a majority of its members and shall resolve with the vote of the qualified majority of those members attending.

Sole Paragraph The prior call notice for the meeting is only waived as a condition of its effectiveness if all its members are present. Members of the management body are considered as attendees of the meetings if they express their vote through delegation made in the name of another member of said body, by a written vote cast in advance or by a written vote sent by email or any other means of communication.

Section II – Board of Directors

Article 16 The Board of Directors shall comprise at least five (5) and no more than eleven (11) members, all elected and dismissible by the Shareholders' Meeting, with a unified term of office of two (2) years. Each year is considered as the period between 2 (two) Annual Shareholders' Meetings and re-election is authorized.

Paragraph 1 At the Shareholders' Meeting that has the purpose to elect members of the Board of Directors, shareholders must establish, first, the actual number of members of the Board of Directors to be elected.

Paragraph 2 At least two (2) or twenty percent (20%), whichever is higher, of the members of the Board of Directors shall be independent board members, as per the Novo Mercado Regulations of B3 S.A. – Brasil, Bolsa e Balcão (respectively, “Novo Mercado Regulations” and “B3”). The compliance of those indicated to the Board of Directors as independent board members has to be resolved at the Shareholders’ Meeting that elects them.

Paragraph 3 When, as a result of the calculation of the percentage referred to in the above paragraph, the result generates a fractional number, the Company shall round it up to the next whole number.

Paragraph 4 For the purposes of compliance, an independent board member, it is not considered an independent director if: (i) is not a direct or indirect controlling shareholder of the Company; (ii) does not exercise his/her voting rights at meetings of the Board of Directors bound by a Shareholders’ Agreement that has matters related to the Company; (iii) is not a spouse, partner or relative, in a direct or collateral manner, up to the second degree, of the controlling shareholder, Company administrator or administrator of the controlling shareholder; and (iv) was, in the last three (3) years, an employee or director of the Company or its controlling shareholder. For the purposes of verifying the independent board member status, the situations described below must be analyzed in order to verify whether they involve a loss of independence by the independent director

due to the characteristics, magnitude and extent of the relationship: (i) is a relative to the second degree of the controlling shareholder, a manager of the Company or an administrator of the controlling shareholder; (ii) over the past three (3) years he/she was an employee or officer of associated companies, subsidiaries or companies under common control; (iii) he/she has business relations with the company, the controlling shareholder or associated companies, subsidiaries or companies under common control; (iv) he/she holds a position in the company or entity with business relations with the company or controlling shareholder with decision-making power in the activities of said company or entity; (v) he/she receives another compensation from the company, its controlling shareholder, associated companies, subsidiaries or companies under common control besides that one referring to the work as member of the Board of Directors or committees of the company, its controlling shareholder, associated companies, subsidiaries or companies under common control, except cash dividends deriving from interest in the Company’s share capital and benefits from additional private pension plan. Furthermore, the independent board member is considered to be the one elected under the terms of article 141, Paragraphs 4 and 5, of the Brazilian Corporate Law, in case there is a controlling shareholder.

Paragraph 5 At the end of the term, the members of the Board of Directors shall remain in the exercise of their positions until the new elected members are invested.

Paragraph 6 The Shareholders' Meeting may elect one or more alternates for the members of the Board of Directors.

Paragraph 7 The member of the Board of Directors or alternate may not have access to information or participate in Board of Directors’ meetings related to matters on which he/she has an interest that conflicts with the interests of the Company.

Paragraph 8 In order to improve the performance of its duties, the Board of Directors may create committees or working groups with specified purposes, which shall function as advisory bodies without any decision-making power, for the sole purpose of assisting the Board of Directors, comprising persons appointed from among the management members and/or other persons related, either directly or indirectly, to the Company.

Paragraph 9 In case of vacancy of the position of Board Member, the alternate, if any, shall take his/her place; if there is no alternate, his/her replacement shall be appointed by the remaining board members, and shall occupy the position until the first Shareholders’ Meeting.

Article 17 The Board of Directors shall have one (1) Chairman and one (1) Vice- Chairman, who shall be elected by a majority of the votes present at the first meeting of the Board of Directors held immediately after the investiture of said members, or whenever there is any resignation or vacancy of said positions.

Paragraph 1 The Chairman of the Board of Directors shall convene and chair the meetings of the body and the Shareholders’ Meeting, except, in the case of the

Shareholders’ Meeting, in the cases in which he/she appoints, in writing, another board member, officer or shareholder to chair the meeting, subject to the provisions of Article 11 herein.

Paragraph 2 In the deliberations of the Board of Directors, the Chairman of the body will have, in addition to his own vote, the casting vote, in case of a tie in the vote as a result of the eventual composition of an even number of members of the Board of Directors. Each board member shall be entitled to one (1) vote in the resolutions of the body. The resolutions of the Board of Directors shall be taken by majority vote of its members.

Paragraph 3 The Vice-Chairman shall perform the duties of the Chairman in the event of his/her absence and temporary impediment, regardless of any formality. In the event of absence or temporary impediment of the Chairman or Vice-Chairman, the duties of the Chairman shall be performed by another Board Member appointed by the majority of members of the Board of Directors.

Paragraph 4 The positions of Chairman of the Board of Directors and Chief Executive Officer or main executive of the Company may not be held by the same person, except in the cases established in the Novo Mercado.

Article 18 The Board of Directors will convene, (i) at least once a quarter; and (ii) in special meetings, at any time. The Board of Directors’ meetings shall be held upon call by the Chairman of the Board of Directors or any other member, in writing, at least seven (7) days in advance, and indicating the date, time, place, detailed agenda, and documents to be considered at that meeting, if any. Any board member may, by written request to the President, include items in the agenda. The Board of Directors may resolve, unanimously, on include any other matter in the meeting's agenda. The Board of Directors’ meetings may be held by conference call, videoconference or any other communication media that enables identification of the member and simultaneous communication of all other attendees.

Paragraph 1 The call notices of meetings shall be made through a written notice delivered by electronic mail or any other means of communication to each member of the Board of Directors, at least, seven (7) business days in advance, unless a majority of board members in office establishes a shorter term, which shall be not shorter than forty-eight (48) hours.

Paragraph 2 All resolutions of the Board of Directors shall be recorded in minutes drawn up at the Minutes Book of the Board of the Directors’ Meetings, and a copy of the said minutes shall be delivered to each of the members after such meeting.

Paragraph 3 Regardless of any formalities, it shall be considered regularly called the meeting to which appear all the members of the Board of Directors.

Article 19 The Board of Directors shall have, besides other attributions that may be established by law or by the Bylaws:

I. to determine the general direction of the Company's business, considering people's safety, social development, and respect for the environment;

II. to elect and dismiss Executive Officers, as well as establishing their assignments, subject to the provisions herein;

III. to determine their compensation, indirect benefits and other incentives, within the overall limit of management compensation approved by the Shareholders’ Meeting;

IV. to supervise the Executive Officers’ management, examine at any time, the Company’s books and documents; request information on contracts entered into or to be entered into, as well as on any other acts;

V. to choose and dismiss the independent auditors and convening them to provide any clarifications that may be deemed required on any matter;

VI. to examine the Management’s Report, the Executive Board’s accounts and the Company’s financial statements and resolve on their submission to the Shareholders’ Meeting;

VII. to approve and review the annual budget, the capital budget and the Company’s business plan, which shall be reviewed and approved on a yearly basis, and preparing the capital budget proposal to be submitted to the Shareholders’ Meeting for purposes of profit retention;

VIII. to resolve on calling a Shareholders' Meeting when necessary, or as established in Article 132 of Brazilian Corporate Law;

IX. to submit a proposal to the Annual Shareholders’ Meeting for allocation of the net income for the fiscal year, and resolving on the time to prepare balance sheets for six-month periods or shorter, and payment of dividends or interest on shareholders’ equity resulting from such balance sheets, and resolving on the payment of interim or periodical dividends deducted from retained profits or reserves of retained profits from the last annual or half-year balance sheet;

X. to submit to the Shareholders’ Meeting the proposed amendment to the Bylaws;

XI. to submit a proposal to the Shareholders' Meeting for dissolution, merger, spin- off or incorporation of the Company and the incorporation, by the Company, of other companies;

XII. to issue an opinion in advance about any subject to be submitted to the Shareholders' Meeting;

XIII. to authorize the issue of shares of the Company within the limits authorized by Article 6 herein, establishing the price, the payment term and the conditions to issue the shares, with authority to exclude the right of first refusal or reduce the term for its exercise in the issues of shares, subscription warrants and debenture stock, the placement of which is made by means of trading in stock exchange or public subscription or in any public offering of Control acquisition, as provided for by law;

XIV. to resolve on the issuance: (i) of subscription bonus and debentures convertible into common shares, as provided for in Paragraph 2 of Article 6 hereof, specifying the limit of increase of capital arising from conversion of debentures, in capital stock amount or number of shares and (ii) of common debentures, not convertible into shares, with or without collateral, establishing, by delegation of the Annual Shareholders' Meeting, when the issue of debentures regarding this section XIV, the time and conditions of maturity, amortization or redemption, the time and the conditions for payment of interest, of profit sharing and repayment premium, if any, and the manner of subscription or placement, as well as the types of debentures;

XV. to resolve on the trading of debentures issued by the company for purposes of cancellation or maintenance in treasury and corresponding disposal, in compliance with the appropriate legal provisions;

XVI. to grant stock options to members of the management, employees or individuals providing services to the Company or to any companies controlled by the Company, without any right of first refusal for the shareholders, in accordance with plans approved at the Shareholders’ Meeting;

XVII. to resolve on the trading of shares issued by the company for purposes of cancellation or maintenance in treasury and corresponding disposal, in compliance with the appropriate legal provisions;

XVIII. to resolve on the payment or credit of interest on equity to shareholders, as per the applicable law;

XIX. to approve the execution, amendment or termination of any contracts, agreements or arrangements between the Company or its controlled companies and any related parties in amounts equal to or exceeding one hundred million reais (R$100,0000,000.00) considered individually or cumulatively, in the period of the last twelve (12) months and any other transactions with related parties indicated in the Related-Party Policy;

XX. to approve the hiring of the institution providing share bookkeeping services;

XXI. to resolve on any matter submitted by the Executive Board, as well as to call the members of the Executive Board for joint meetings whenever deemed as necessary;

XXII. to implement Committees, establishes the respective regulations and competencies, elect and dismiss their members, and monitor the activities developed by the Committees;

XXIII. to dispose, observing the rules in these Bylaws and in the legislation in effect, about the order of its work and to adopt or revoke regulatory norms for its operation;

XXIV. to approve the policies of (a) disclosure of information to the market, (b) trading in the Company's securities, (c) compensation, (d) nomination of members of the Board of Directors, of the Committees and of the Executive Board, (e) risk management, and (f) related-party transactions, or equivalent formal documents; and

XXV. to establish the Board of Directors' authority to:

(a) the issuance of any credit instruments for fund raising, be they "bonds", “notes”, “promissory notes”, “certificate of receivables”, “commercial papers”, or others commonly used in the market, as well as to set the conditions for their issuance and redemption;

(b) the acquisition or disposal of equity interests, joint ventures, or strategic partnerships with third parties;

(d) the constitution of in rem guarantees and the rendering of sureties, guarantees and assurances for its own obligations and/or those of its controlled companies;

(e) to contract debt, in the form of loans or issue of debt instruments or assumption of debt, or any legal transaction that affects the Company’s capital structure;

requires the payment of any type of penalty or pecuniary obligation to the Company or its subsidiaries, including but not limited to fines, loss of profits, take or pay clause or that establishes the commitment of the Company or its subsidiaries to remain with the obligation to pay maturing installments whose value is equal or superior to the equivalent to three (3) months of the pecuniary obligations ordinarily established by the same instrument; and

XXVI. to express a favorable or contrary opinion regarding any tender offer of Company shares, through a substantiated preliminary report published within fifteen (15) days of the publication of the call notice for the tender offer, which should address, at least, (i) the convenience and opportunity of the tender offer regarding the interests of the Company and its shareholders, including in terms of price and potential impacts on the liquidity of your securities; (ii) the strategic plans disclosed by the offer or related to the Company; (iii) possible alternatives to the acceptance of the public offer for the acquisition of shares available in the market.

Sole Paragraph. The Company will have a permanent Statutory Audit Committee, as an advisory body to the Board of Directors. The rules regarding the composition, attributions, operation, and compensation of its members, among other aspects, will be regulated in its own internal regulations, to be approved by the Board of Directors, observing the provisions of the applicable regulations.

Section III – Board of Executive Officers

Article 20 The Executive Board, whose members will be elected and dismissible at any time by the Board of Directors, will consist of at least two (2) and at most seven (7) members, who will be designated Chief Executive Officer, Director of Administration and Control, Financial Officer, Investor Relations Officer, and the other Officers with no specific designation. The positions of Chief Executive Officer and Investor Relations Officer must be filled. The directors will have a combined term of office of three (3) years, with the period between two (2) Annual Shareholders' Meetings being considered a year, reelection being permitted.

Paragraph 1 Except in the case of vacancy in the position, the election of Executive Officers shall take place within thirty (30) business days after the Annual Shareholders’ Meeting.

Paragraph 2 In case of resignation or dismissal of the Chief Executive Officer, or in case of the Investor Relations Officer, where such fact results in non-compliance with the minimum number of Officers, the Board of Directors shall be called to elect an alternate, who shall complete the term of office of the replaced officer.

Paragraph 3 In cases of vacancy of the position of any member of the Executive Board, the duties performed by the replaced member shall be assigned to another member of the Executive Board chosen by the remaining Officers.

Article 21 Except as otherwise specifically authorized by the Brazilian Corporate Law or by these Bylaws, the Chief Executive Officer shall be responsible, exclusively, with the possibility to delegate by means of power of attorney, for the following activities: (i) execute and to enforce the resolutions of the Shareholders' Meetings and of the Board of Directors; (ii) establish goals and objectives for the Company; (iii) supervise the elaboration and execution of the Company's annual budget, capital budget and business plan; (iv) coordinate, manage, conduct and supervise all businesses and operations of the Company, in Brazil and abroad; (v) coordinate the activities of the other Officers of the Company and its subsidiaries, in Brazil or abroad, subject to the specific duties provided for in these Bylaws; (vi) coordinating, at the highest level, the Company's public relations and guiding institutional publicity; (vii) convening and presiding over meetings of the Executive Board; (viii) representing the Company personally or by proxy in the shareholders' meetings or other corporate acts of companies in which the Company holds an equity interest; and (ix) other duties established by the Board of Directors at any time.

Article 22 The Director of Administration and Control is responsible for: (i) coordinating, managing, directing and supervising the departments of Accounting, Information Technology, Accounts Receivable/Credit, Accounts Payable, and Management; and (ii) other duties established by the Chief Executive Officer.

Article 23 The Chief Financial Officer is responsible for: (i) coordinating, managing, directing and supervising the Finance department of the Company; (ii) directing and instructing the preparation of the annual budget and the capital budget; (iii) directing and instructing the treasury activities of the Company, including fundraising and management, as well as the hedge policies previously defined by the Chief Executive Officer; and (iv) any other duties established by the Chief Executive Officer.

Article 24 The Investor Relations Officer is responsible for: (i) coordinating, managing, directing and supervising the Company’s Investor Relations department; (ii) representing the Company before shareholders, investors, market analysts, the Brazilian Securities Commission, the Stock Exchanges, the Brazilian Central Bank and any other control bodies and other institutions related to the activities performed in the capital market in Brazil and abroad; and (iii) any other duties established by the Chief Executive Officer.

Article 25 The Officers without specific designation, if elected, are responsible for assisting the CEO in the coordination, management, direction and supervision of the Company's business, according to the assignments established by the Chief Executive Officer.

Article 26 The Executive Board is vested with all powers to perform the acts necessary for the regular operation of the Company and the achievement of the corporate

purpose, no matter how special, including to waive rights, settle and agree, in compliance with the relevant legal or statutory provisions. Subject to the limits set by the Board of Directors for the Board of Executive Officers in the cases described in article 19 of these Bylaws, the Board is responsible for the administration and management of the Company's business, especially:

I. to comply with and enforce these Bylaws and the resolutions of the Board of Directors and the Shareholders’ Meetings;

II. on a yearly basis, prepare the Management’s Report, the accounts of the Executive Board and the Company's financial statements together with the report of the independent auditors and a proposal for allocation of the profits as certified in the previous fiscal year for evaluation by the Board of Directors and the Shareholders' Meeting;

III. to propose to the Board of Directors the annual budget, the capital budget and the Company's business plan, which must be reviewed and approved annually;

IV. to resolve on the installation and closure of branches, warehouses, distribution centers, offices, sections, agencies, representations by itself or third parties, anywhere in Brazil or abroad;

V. to resolve on any matter that is not exclusively incumbent upon the Shareholders’ Meeting or the Board of Directors;

VI. to convene the Shareholders' Meeting, in case of vacancy of all the positions of the Board of Directors.

Article 27 The Executive Board legitimately meets with the presence of two (2) Executive Officers, one of them always being the Chief Executive Officer, and deliberates by the vote of the majority of those present.

Article 28 The Executive Board shall meet whenever called by the Chief Executive Officer or by a majority of its members. The Board of Directors’ meetings may be held via conference call, video conference or any other means of communication that allows the identification and simultaneous participation of attending members of the Board and any other individuals attending the meeting.

Sole Paragraph Regardless of any formalities, it shall be considered regularly called the meeting to which appear all the members of the Executive Board.

Article 29 Call notices of meetings shall be made by means of a written communication delivered, at least, forty-eight (48) hours in advance, with the agenda, date, time and place of the meeting.

Article 30 All resolutions of the Executive Board shall be recorded in minutes drawn up on the Minutes Book of the Executive Board' Meetings and signed by the attending Officers.

Article 31 The Company shall always be represented, in all acts, by the signature of the Chief Executive Officer; or by the signature of two (2) Officers jointly or, the signature of one or more proxies specially appointed to do so in accordance with Paragraph 1 below.

Paragraph 1 All powers of attorney shall be granted by the Chief Executive Officer individually, or, failing that, by two (2) officers jointly, through mandate with specific powers and term, except in the case of ad judicia powers of attorney, in which case the mandate can be for an indeterminate period, through a public or private instrument.

Paragraph 2 The acts of any Executive Officers, attorneys-in-fact, representatives and employees that involve or concern operations or business that are unrelated to the corporate purpose and corporate interests or that are practiced in non-compliance with these Bylaws are expressly forbidden, being null and void in relation to the Company, except when expressly approved by the Board of Directors.

CHAPTER V FISCAL COUNCIL

Article 32 The Fiscal Council shall operate in a permanent manner, with the powers and duties conferred to it by law.

Article 33 The Fiscal Council will be composed of at least 3 (three) and at most 5 (five) effective members and substitutes in equal number, shareholders or not, elected and dismissible at any time by the Annual Shareholders' Meeting.

Paragraph 1 The members of the Fiscal Council will have a unified terms of office of one (1) year and may be reelected.

Paragraph 2 The members of the Fiscal Council shall elect their Chairman at their first meeting.

Paragraph 3 The investiture of the members of the Fiscal Board, effective and alternate, depends upon the signing of the term of consent drawn up in the appropriate book, which shall be subject to the arbitration clause referred to in Article 48 herein.

Paragraph 4 The members of the Fiscal Council shall be replaced in their absences and impediments by their respective alternates.

Paragraph 5 If a position in the Fiscal Council becomes vacant, the respective alternate member shall hold such position; should there be no alternate member, the Shareholders' Meeting shall be called to elect a member for the vacant position.

Article 34 The Fiscal Council, when in place, shall meet whenever required and have all duties established by law.

Paragraph 1 Regardless of any formalities, it shall be considered regularly called the meeting to which appear all the members of the Fiscal Council.

Paragraph 2 The Fiscal Council manifests by absolute majority of votes, present the majority of its members.

Paragraph 3 All resolutions of the Fiscal Council shall be included in minutes drawn up at the Minutes and Opinions Book of the Fiscal Council and signed by the members present.

Article 35 The compensation of the Fiscal Council members shall be fixed by the Shareholders' Meeting at which they are elected, in compliance with paragraph 3 of Article 162 of the Brazilian Corporate Law.

CHAPTER VI DISTRIBUTION OF PROFITS

Article 36 The fiscal year shall begin on January 1 and end on December 31 of each year.

Sole Paragraph At the end of each fiscal year the Executive Board shall cause the Company’s financial statements to be prepared in compliance with the applicable legal provisions.

Article 37 The Board of Directors shall submit to the Annual Shareholders’ Meeting the financial statements for the fiscal year, together with a proposal for allocation of the net income of the fiscal year, calculated after deduction of the equity interests referred to in Article 190 of the Brazilian Corporate Law, as provided for by paragraph 1 of this Article, adjusted for purposes of calculation of dividends in accordance with Article 202 of the same law, in the following order of deduction:

(a) 5% (five percent) will be invested, before any other allocation, in the legal reserve constitution, which will not exceed 20% (twenty percent) of the share capital. In the fiscal year in which the balance of the Legal Reserve plus the amounts of the capital reserves referred to in paragraph 1 of article 182 of the Corporate Law exceeds thirty percent (30%) of the share capital, it will not be mandatory to allocate part of the net income for the year to the legal reserve;

(b) a portion may be allocated to the reserve for contingencies and reversal of the amounts recorded in previous years, if so proposed by the management bodies, pursuant to Article 195 of Brazilian Corporate Law;

(c) From the balance of the net profit remaining after the allocations of legal reserve and reserve for contingencies as determined in (a) and (b) above, a portion allocated for the payment of a minimum mandatory dividend of not less than, in each fiscal year, 25% (twenty-five percent);

(d) In the fiscal year when the amount of minimum mandatory dividends, calculated pursuant to letter (c) abovementioned, surpasses the portion of the net income realized in the fiscal year, the Shareholders’ Meeting may, if so proposed by the management bodies, allocate the surplus to the unrealized profit reserve, in compliance with Article 197 of Brazilian Corporate Law; and

(e) The profits that remain after legal deductions and minimum dividends referred to in paragraph (c) of this Article 37 shall be allocated in an annual installment, not exceeding 90% (ninety percent) of the net profit adjusted for the formation of the Statutory Reserve of investment, which shall eventually finance the implementation in operational assets, and this reserve may not exceed the share capital.

Paragraph 1 The Shareholders’ Meeting may attribute profit sharing to the members of the Board of Directors and of the Executive Board, not to exceed ten percent (10%) of the remaining profit of the fiscal year, limited to the global annual compensation of the members of the management, after deduction of accrued losses and the provision for income tax and social contribution, as provided for by Article 152, paragraph 1, of the Brazilian Corporate Law.

Paragraph 2 The distribution of profit sharing to the members of the Board of Directors and of the Executive Board shall solely take place in the fiscal years in which the shareholders are ensured payment of the minimum mandatory dividend provided for by these Bylaws.

Article 38 If so proposed by the Executive Board, approved by the Board of Directors, and subject to approval by the Shareholders’ Meeting, the Company shall pay or credit interest on equity to shareholders, in compliance with applicable legislation. Any amounts thus disbursed may be considered in the minimum mandatory dividend set forth herein.

Paragraph 1 In the event of credit of interest to shareholders during the fiscal year and attribution thereof to the mandatory dividend amount, the shareholders shall receive the dividends they are entitled to and be guaranteed the payment of any outstanding balance. Should the dividend amount be lower than what was paid, the Company cannot charge the surplus balance from the shareholders.

Paragraph 2 Interest on equity recognized in the fiscal year will be effectively paid upon resolution by the Board of Directors, during the current or the following year, but never after the dividend payment dates.

Article 39 The Company may prepare balance sheets on a semester basis or shorter periods and declare the following by resolution of the Board of Directors:

(a) the payment of dividends or interest on equity by way of the profit as certained in the half-year balance sheet, attributed to the amount of the mandatory dividend, if any;

(b) the distribution of dividends in periods shorter than six (6) months, or interest on equity, attributed to the amount of mandatory dividend, if any, provided that the total dividends paid in each semester of the fiscal year shall not exceed the amount of the capital reserves; and

(c) the payment of interim dividend or interest on equity by way of retained profits or reserve of retained earnings existing in the last annual or half-year balance sheet, attributed to the amount of the mandatory dividend, if any.

Article 40 The Shareholders’ Meeting may resolve on the capitalization of profit or capital reserve, including those recognized in interim balance sheets, pursuant to applicable legislation.

Article 41 Unclaimed or unpaid dividends will prescribe within three (3) years after the date they were made available to shareholders, and will be reversed to the Company.

CHAPTER VII DISPOSAL OF SHARE CONTROL, CANCELLATION OF THE REGISTRATION AS A PUBLICLY-HELD COMPANY, WITHDRAWAL FROM THE NOVO MERCADO AND PROTECTION AGAINST DISPERSION OF THE SHAREHOLDING BASE

Section I – Disposal of the Company's Control

Article 42 The direct or indirect disposal of the control of the Company, either through a single transaction or through a number of successive transactions, shall be contracted on the condition that the new controlling shareholder undertakes to make a public offer for the acquisition of the shares, having as object the shares issued by the company held by the other shareholders, subject to the terms and conditions provided for by the legislation and in the Novo Mercado Regulations, so as to ensure them equal treatment as compared to the grantor.

Section II – Cancellation of the registration as a Publicly-Held Company; withdrawal from Novo Mercado.

Article 43 Following the Company's admission on the B3’s Novo Mercado, the Company, its shareholders, including controlling shareholders, management and members of the Fiscal Council are subject to the provisions of the Novo Mercado Regulation.

Article 44 In the public offering for acquisition of shares to be made effective, necessarily, by the controlling shareholder or by the Company for the cancellation of the registration as a publicly-held company, the minimum price to be offered shall correspond to the economic value determined in the appraisal report, respecting the legal and regulatory rules applicable.

Section III – Protection Against Dispersion of the Shareholding Base

Article 45 Any Buyer (as defined in paragraph 11 of this article), who acquires or becomes the holder of shares issued by the Company or of other rights, including usufruct or trust over shares issued by the Company in an amount equal to or greater than 20% (twenty percent) of its share capital, shall conduct a public offering for the acquisition of all shares issued by the Company, with due regard for the provisions of the applicable CVM regulations, the regulations of B3 and the terms of this article. The Buyer shall request the registration of said offering within thirty (30) days as from the date of purchase or as from the event that resulted in the title to the shares or rights in any quantity equal to or greater than twenty percent (20%) of the Company’s share capital.

Paragraph 1 The public offering of shares shall be (i) indistinctively addressed to all shareholders of the Company; (ii) made in an auction to be held at B3; (iii) launched at the price determined in accordance with the provisions in paragraph 2 of this Article; and (iv) paid in cash, in Brazilian currency, upon purchase in the offering of shares issued by the Company.

Paragraph 2 The purchase price in the public offering of each share issued by the Company shall not be smaller than the greatest amount between: (i) one hundred and thirty-five percent (135%) of the fair price as certified in a valuation report; (ii) one hundred and thirty-five percent (135%) of the issue price of shares obtained in any capital increase made upon public distribution occurred in the period of twenty-four (24) months preceding the date when it becomes mandatory to carry out the public offering of shares in accordance with this Article, an amount which shall be duly restated by the Extended National Consumer Price Index (IPCA) from the date of issue of shares for the Company’s capital increase to the time of financial settlement of the public offering of shares under this Article; (iii) one hundred and thirty-five percent (135%) of the average unit quotation of the shares issued by the Company during the period of ninety (90) days before the offering, weighted by the volume of trading at the stock exchange in which the greatest volume of negotiations of the shares issued by the Company occurs; and (iv) one hundred and thirty-five percent (135%) of the highest unit price paid by the Buyer at any time for any share or lot of shares issued by the Company. If the CVM regulation applicable to the offer foreseen in this case determines the adoption of a calculation criterion for fixing the acquisition price of each share in the Company in the offer that results in a higher acquisition price, that acquisition price calculated pursuant to the CVM regulation shall prevail in the effectiveness of the offer contemplated.

Paragraph 3 The public offering of shares referred to in the main provision of this Article shall not exclude the possibility of another shareholder of the Company or, as applicable, the Company itself, making a competing offering under the applicable regulations.

Paragraph 4 The Buyer shall be required to meet any requests or requirements of the CVM based on the applicable law in relation to the public offering of shares, within the maximum terms established by the applicable regulations.

Paragraph 5 If the Buyer fails to comply with the obligations imposed by this Article, including as regards compliance with the maximum terms: (i) to carry out or request registration of the public offering of shares; or (ii) to meet any requests or requirements of the CVM, the Company’s Board of Directors shall call a Extraordinary Shareholders’ Meeting, at which the Buyer shall not vote, to resolve on the suspension of exercise of the rights of the Buyer that fails to comply with any obligation imposed by this Article, as provided for by Article 120 of the Brazilian Corporate Law, without prejudice to the liability of the Buyer for damages and losses caused to the other shareholders as a result of the default of the obligations imposed by this Article.

Paragraph 6 The provisions of this Article shall not apply if a person becomes the holder of shares issued by the Company in a quantity greater than twenty percent (20%) of the total shares issued by the Company as a result of: (i) legal succession, under the condition that the shareholder shall dispose of the surplus of shares within thirty (30) days as from the concerned event; (ii) merger of another company into the Company; (iii) merger of shares of another company into the Company; or (iv) subscription of the Company’s shares in a single primary issue approved at a Shareholders’ Meeting of the Company, called by its Board of Directors, the capital increase proposal of which has determined that the shares issue price should be set based on the fair price as certified in an economic and financial valuation report of the Company prepared by a specialized company with proven experience in valuation of publicly-held companies. In addition, the provisions of this Article shall not apply to current shareholders who are already holders of 20% (twenty percent) or more of the total shares issued by the company and their successors on the effective date of membership and listing of the company on the Novo Mercado, applying exclusively to those investors that purchase shares and become shareholders of the Company after such a Shareholders' Meeting.

Paragraph 7 The calculation of the percentage of twenty percent (20%) of the total shares issued by the Company as described in the main provision of this Article shall not compute any involuntary increases in equity interest resulting from cancellation of shares kept in treasury or Company’s capital reduction with cancellation of shares.

Paragraph 8 The Shareholders’ Meeting may release the Buyer from the obligation to carry out the public offering of shares established in this Article, if that is in the Company’s interest.

Paragraph 9 Shareholders holding at least twenty percent (20%) of the shares issued by the Company may request the members of the Company’s management to call a special shareholders’ meeting to resolve on a new valuation of the Company to be carried out for purposes of review of the purchase price, in accordance with the procedures set forth in Article 4-A of the Brazilian Corporate Law and in compliance with the provisions of the applicable regulations of the CVM, of the B3 regulations, and of this Chapter. The costs of preparing the appraisal report shall be supported entirely by the Buyer.

Paragraph 10 If the special shareholders’ meeting referred to above resolves that a new valuation report determines an amount higher than the initial value of the public offering for the acquisition of shares, the Buyer may give it up, in which case it shall comply, as applicable, with the procedure set forth in Articles 23 and 24 of CVM Instruction 361/02, and dispose of the surplus equity interest within three (3) months as from the date of said special shareholders’ meeting.

Paragraph 11 For purposes of interpretation of this Article, the terms below starting with capital letters shall have the following meanings:

“Buyer” means any person, including, but not limited to, any individual or legal entity, investment fund, co-ownership, portfolio of notes, universality of rights or any other form of organization that is resident, domiciled or headquartered in Brazil or abroad, or a Group of Shareholders.

“Group of Shareholders” means the group of persons who: (i) are bound by contracts or voting agreements of any nature, directly or through subsidiaries, parent companies or joint ventures; or (ii) are bound by a relationship of control; or (iii) are in a joint venture.

Section IV - General Provisions

Article 46 A single public offering of shares may be prepared, aiming at more than one of the purposes established in this Chapter VII herein, in the Novo Mercado Regulations, or in the CVM regulations, provided that the procedures of all modalities of public offering of shares may be combined, no damage results to the target audience of the offering, and authorization is obtained from the CVM, as required by the applicable law.

Article 47 The Company or the shareholders in charge of carrying out the public offerings of shares established in this Chapter VII herein, in the Novo Mercado Regulations, or in the CVM regulations may ensure the implementation thereof by means of any shareholder or third party. The Company or the shareholder, as the case may be, are not exempted from the obligation to carry out the public offering of shares until it has been completed in compliance with the applicable rules.

CHAPTER VIII ARBITRATION COURT

Article 48 The Company, its shareholders, managers, Fiscal Council members, effective and alternate, if any, undertake to resolve, by means of arbitration, before the Market Arbitration Chamber, pursuant to its rules, any dispute that may arise between them, related to or arising from their status as issuers, shareholders, managers, and Fiscal Council members, in particular, arising from the provisions contained in Law 6, 385/76, the Brazilian Corporation Law, the Company's Bylaws, the rules issued by the National Monetary Council, the Central Bank of Brazil, or the CVM, in addition to those contained in the Novo Mercado Regulations, in the other B3 regulations, and in the Novo Mercado Listing Agreement.

Paragraph 1 Without prejudice to the validity of this arbitration clause, the request for urgent measures by the Parties, before the Arbitration Court is created, will be submitted to the Judicial Court, pursuant to Item 5.1.3 of the Arbitration Regulations of the Market Arbitration Chamber.

Paragraph 2 The Brazilian law shall be the sole law applicable to the merits of any and all disputes, as well as to the execution, interpretation, and validity of this arbitration clause. The Arbitration Court will be made up of judges chosen in the manner provided for in the Arbitration Regulations of the Market Arbitration Chamber. The arbitration proceeding will be held in the City and State of São Paulo, where the arbitration decision is to be issued. The arbitration shall be managed by the Market Arbitration Chamber itself, and shall be conducted and judged according to the relevant provisions of the Arbitration Rules.

CHAPTER IX LIQUIDATION OF THE COMPANY

Article 49 The Company shall be liquidated in the events provided for by law, and the Shareholders' Meeting shall elect the liquidator(s), as well as the Fiscal Council that shall operate in such period, pursuant to the legal formalities.

CHAPTER X FINAL AND TRANSITORY REGULATIONS

Article 50 The cases not envisaged in these Bylaws shall be resolved at the Shareholders' Meeting and regulated pursuant to Brazilian Corporation Law, in observance to the Novo Mercado Regulations.

Article 51 The Company shall comply with the shareholders' agreements filed at its headquarters, and the registration of a transfer of shares and the counting of any vote cast at a Shareholders' Meeting or a Board of Directors' meeting contrary to the terms thereof are prohibited.

Article 52 The Company shall provide its shareholders and third parties, at its headquarters, contracts with related parties, shareholders' agreements and options for the acquisition of shares or other securities or securities issued by the Company.

Article 53 The Company and any of its subsidiaries, whether direct or indirect, are prohibited from selling any option contracts (directly or indirectly), or even signing option contracts in which it is the writer, with the exception of companies that have this activity in their corporate purpose. Call options are considered those that give the holder the right to buy the related asset on a given date for a given price; and puts options are considered those that give the holder the right to sell the related asset on a given date for a given price. For the purposes of this article, option contracts are those that directly or indirectly, expressly or implicitly, provide any advantage to the Company in exchange for market volatility, that is, when there is a risk of oscillation in the price of the asset that is the object of the contract. Among which, but not limited to, any operations in which the asset that is the object of the contract is conditioned to the dollar rate, the price of gold, commodities, government bonds, exchange variation, and interest variation.

Sole Paragraph The prohibition addressed in the caput above shall not apply to the signing of a contract, agreement or other instrument of assumption of rights and obligations in the context of financial transactions through issue, by the company and any of its subsidiaries, whether direct or indirect, that causes the issuance of debt securities, including, but not limited to promissory notes, debentures, commercial paper, notes, bonds, as provided in these Bylaws.

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