Sao Carlos Reports 81% Growth in Net Income vs. 2010

USA - English

• Brazil - Português

SAO PAULO, March 19, 2012 /PRNewswire/ -- Sao Carlos Empreendimentos e Participacoes S.A. (BM&FBovespa: SCAR3) announces today its results for the fourth quarter and full year of 2011.

• Adjusted NET INCOME grew 81% vs. 2010 to R$75 million in 2011;
• GROSS REVENUE FROM LEASES grew 36% vs. 2010 and totaled R$ 228 million in 2011. On a same-property basis, the increase was approximately 25%;
• Adjusted EBITDA of R$ 177 million, up 45% vs. 2010 and with margin of 83%, and FFO of R$ 100 million, up 60% vs. 2010 and with margin of 47%, in 2011. Excluding provisions for bonus payments, the EBITDA margin would come to 87%;
• ACQUISITION of the Cidade Nova, Generali and Centro Empresarial do Aco office buildings, for R$97 million, R$86 million and R$ 192 million, respectively. DISPOSAL of the Guaiba and Jauaperi office buildings, with estimated profit of R$5 million and R$17 million, respectively;
• Portfolio's physical and financial VACANCY RATE below 1.0% at December 2011 end;
• CASH BALANCE of R$299 million at December 2011 end, allied with good leverage capacity;
• PORTFOLIO MARKET VALUE reaches R$ 3.18 billion in February 2012 (+ R$ 0.96 billion vs. December 2010);
• NET ASSET VALUE of R$ 41.3/share in December 2011 (up 40% vs. December 2010).

To download the "4Q11 Earnings Release", please access our website: www.scsa.com.br/ir and to listen to our conference call on the 4Q11 results use the information below:

ENGLISH (MARCH 20, 2012, TUESDAY)
11:00 A.M. (NEW YORK TIME)
12:00 P.M. (BRASILIA TIME)
TEL: +1 (516) 300-1066
CODE: SAO CARLOS

Investor Relations Department
Phone: (55 11) 3048-5413
E-mail: [email protected]

Sao Carlos is one of the main companies in the sector of investment and administration of commercial properties in Brazil. Our goal is to maximize rental revenues from the company's real estate, the assets' renting potential and the portfolio's market value. Our business strategy includes the investment in new commercial properties, reform and maintenance of our real estate, optimization of condominium administration and sale of properties that already attained maturation. We currently have a portfolio which includes mainly office buildings and retail stores located in the States of Sao Paulo and Rio de Janeiro.

SOURCE Sao Carlos Empreendimentos e Participacoes S.A.