GOL Releases 4Q09 Results

SAO PAULO, March 11 /PRNewswire-FirstCall/ --

Highlights

• In 4Q09, GOL posted operating income (EBIT) of R$119.2mm, with an operating margin of 7.4%, 121.2% up on the R$53.9mm (margin of 3.5%) recorded in 4Q08 and 20.3% higher than the previous quarter (R$99.1mm, with a margin of 6.6%). The improvement is a result of the Company's competitive advantages (greater flight frequency between domestic airports, low-cost leader, high indicators of punctuality, regularity, safety, and differentiated client service), as well as increased demand on the domestic and international markets.

• Fourth-quarter net income totaled R$397.8mm, with a margin of 24.6%, versus a loss of R$541.6mm in 4Q08 and income of R$77.9mm in 3Q09. The 4Q09 result benefited from the use of tax credits worth R$352.0mm recognized in income tax and social contribution line, resulting from the fiscal losses generated by VRG, acquired in 2007. This was possible thanks to the Company's positive and increasing operating profit for the last six consecutive quarters and expectations that this trend will continue in the coming years.

• Operating costs and expenses came to R$1,498.5mm in 4Q09,  0.2% up year-over-year due to non-recurring expenses and provisions of approximately R$73mm, as a result of improvements to its   internal controls and higher automation of accounting for new accounting practices adopted since 2009 (BR GAAP and IFRS 11,638), which impacted the cost ex-fuel and R$44 mm considering the total costs.

• GOL successfully reached its goal with a cash position of R$1.4bn, which strengthened its balance sheet, closing the year with cash and cash equivalents of R$1,441.7mm, equivalent to 23.9% of annual net revenue, 117.5% up on 3Q09 and 143.7% up year-over-year, thanks to a series of initiatives to increase operating cash flow, including the primary private share offering, the debenture issue and the SMILES partnership with Bradesco and Banco do Brasil.

• GOL's Board of Directors approved today the payment of dividends related to the year of 2009, followed by a capital increase of the Company by the amount equal to the dividends declared. Dividends amounting to R$185.8 mm (R$ 0.70 per share) will be paid over net revenue of R$858.5 mm, according to Brazilian GAAP (BR GAAP 11,638), net of legal reserve and accumulated losses in 2008.

For further information please refer to the full 4Q09 Earnings Release available at GOL´s IR Website: www.voegol.com.br/ir

SOURCE GOL