FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
For the month of May, 2000
Brazilian Distribution Company (Companhia Brasileira de Distribuicao - CBD)
(Translation of Registrant's Name Into English)
Av. Brigadeiro Luiz Antonio,
3126 Sao Paulo, SP 01402-901
Brazil
(Address of Principal Executive Offices)
(Indicate by check mark whether the registrant files or will file annual
reports under cover of Form 20-F or Form 40-F.)
Form 20-F [X] Form 40-F [ ]
(Indicate by check mark whether the registrant by furnishing the
information contained in this Form is also thereby furnishing the information to
the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934.)
Yes [ ] No [X]
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
COMPANHIA BRASILEIRA DE DISTRIBUICAO
Date: May 4, 2000 By: /s/ Augusto Marques da Cruz Filho
-----------------------------------------
Name: Augusto Marques da Cruz Filho
Title: Chief Financial Officer
By: /s/ Aymar Giglio Junior
-----------------------------------------
Name: Aymar Giglio Junior
Title: Investors Relations Director
[LOGO]
Companhia Brasileira de Distribuicao (NYSE: CBD)
FIRST QUARTER 2000 FINANCIAL RESULTS
o Total sales grew 30.0% compared to 1Q99 and same store sales grew 3.3%,
even without Easter sales, which occurred in April 2000
o EBITDA grew 41.8% compared to 1Q99
o Net Profit of R$42.1 million
o New acquisitions in 2000 already total 67,468m2 of sales area and R$858.0
million in annual revenue
o Recent event: Acquisition of 11 supermarkets of the Parati chain in the
city of Curitiba and 13 stores of the Rosado chain located in the state of
Sao Paulo (Vale do Paraiba)
Sao Paulo, Brazil, May 4, 2000 - Companhia Brasileira de Distribuicao (CBD)
today announced 1st quarter 2000 financial results.
First quarter 2000 consolidated net sales reached R$1,634.8 million in nominal
values, compared to R$1,257.8 million during the same period in 1999, recording
a 30.0% increase.
First quarter 2000 was negatively affected by the timing of the Easter holiday.
While in 1999 seasonal Easter sales occurred in March (1st quarter), in 2000
they occurred in April (2nd quarter). However, even considering this adverse
factor, CBD's same store sales grew 3.3%.
The supermarket formats, represented by Pao de Acucar and Barateiro, presented
the best performance compared to CBD's other divisions. It is important to
highlight the performance of the Barateiro Division, which presented a 9.6%
growth in same store sales, positively reflecting the improved positioning of
this banner among lower class consumers in the state of Sao Paulo, as well as
investments made in store remodeling (New Face Project) and the development of
Barateiro Private Brands (approximately 400 Barateiro products were developed
during the first quarter of 2000).
The Pao de Acucar Division also recorded strong performance in same store sales,
as a result of the continuous process of store remodeling and investments made
to customer services. The "Pao de Acucar Mais" relationship card has been
providing the Company with improved knowledge of its customer base. As a result,
CBD gained additional efficiency in terms of operating and marketing strategies.
This program is currently being developed in the state of Sao Paulo, where
approximately 650,000 people already have the card.
The Extra Division presented a decrease in same store sales of 1.8%. The main
factors that contributed to this result are the need for a more significant
recovery in sales of some lines of products, the strong impact of the above
mentioned Easter season and the greater competitiveness of neighborhood
supermarkets. Same store sales of this division were also negatively affected by
the partial remodeling of some hypermarkets, and by the decrease in sales in
stores located relatively near new hypermarkets opened by the Company.
The Eletro Division presented a strong growth in same store sales, which can be
attributed to the current scenario of decreasing interest rates, the store
remodeling project (Eletro of the Future), and the weak comparative basis
represented by first quarter 1999.
<PAGE>
2
Net Sales Evolution by Division - Consolidated*
Variation (%) 2000/1999
-----------------------------------------------
Nominal Currency
(Corporate Law)
-----------------------------------------------
First Quarter 2000
-----------------------------------------------
All Stores Same Stores
- -----------------------------------------------------------------------
Pao de Acucar 8.6% 4.4%
Extra 42.1% -1.8%
Barateiro 64.4% 9.6%
Eletro 16.4% 22.9%
- -----------------------------------------------------------------------
CBD 27.2% 3.3%
- -----------------------------------------------------------------------
<TABLE>
<CAPTION>
-------------------------------------------------------------------
Constant Currency
First Quarter 2000
-------------------------------------------------------------------
(IGP-DI) (IPCA)
--------------------------------- --------------------------------
All Stores Same Stores All Stores Same Stores
- --------------------------------------------------------- --------------------------------
<S> <C> <C> <C> <C>
Pao de Acucar -6.3% -9.9% 0.7% -3.2%
Extra 22.6% -15.0% 31.8% -8.9%
Barateiro 42.7% -5.1% 52.8% 1.7%
Eletro 0.0% 5.6% 7.8% 13.8%
- -------------------------------------------------------------------------------------------
CBD 9.8% -10.7% 18.0% -4.2%
- -------------------------------------------------------------------------------------------
</TABLE>
* Total sales figures include net sales from the Peralta chain in February 1999,
prior to its incorporation into the CDB group. Same stores sales include only
stores that have been operating for more than 12 months.
According to the ABRAS index (constant currency - indexed by IGP-DI), the retail
sector fell 3.1% in the first quarter of 2000 compared to the same period of
1999. CBD's net sales (constant currency) grew 9.8% in the first quarter of 2000
compared to the same quarter in 1999, demonstrating the Company's market share
gains.
<PAGE>
3
<TABLE>
<CAPTION>
CONSOLIDATED INCOME STATEMENT - CORPORATE LAW METHOD
------------------------------------------ ------------------------------------------
First Quarter
------------------------------------------
R$ thousand 2000 1999 %
------------------------------------------ -------------- --------------- -----------
<S> <C> <C> <C>
Net Sales Revenue 1,634,800 1,257,827 30.0%
Cost of Sales (1,186,917) (914,625) 29.8%
Gross Profit 447,883 343,202 30.5%
Operating Income (Expenses)
Selling Expenses (256,035) (201,561) 27.0%
General and Administrative (73,363) (58,067) 26.3%
Total Operating Expenses (329,398) (259,628) 26.9%
Operating Income Before Taxes, Deprec.
and Fin. Income (Exp.) - EBITDA 118,485 83,574 41.8%
Depreciation (44,601) (34,264) 30.2%
Operating Income Before Taxes and
Financial Income (Exp.) - EBIT 73,884 49,310 49.8%
Taxes and Charges (12,327) (5,981) 106.1%
Financial Income 92,743 64,756 43.2%
Financial Expense (100,444) (95,181) 5.5%
Currency Variation (4,477) (138,774) -96.8%
Net Financial Income (Loss) (12,178) (169,199) -92.8%
Operating Income (Loss) 49,379 (125,870)
Losses in Invested Companies - (1,364)
Equity Income 0 -
Non-Operating Results 1,114 (299)
------------------------------------------ -------------- --------------- -----------
Income (Loss) Before Income Tax 50,493 (127,533)
------------------------------------------ -------------- --------------- -----------
Income Tax (8,348) 48,619 -117.2%
------------------------------------------ -------------- --------------- -----------
Net Income (Loss) 42,145 (78,914)
Net Income (Loss) per 1,000 shares 0.43 (1.01)
No. of shares (in thousand)
at the end of the period 97,694,603 78,336,757 24.7%
------------------------------------------ -------------- --------------- -----------
% of Net Sales
Gross Profit 27.4% 27.3%
Total Operating Expenses -20.1% -20.6%
Selling Expenses -15.7% -16.0%
General and Administrative -4.5% -4.6%
EBITDA 7.2% 6.6%
Depreciation -2.7% -2.7%
EBIT 4.5% 3.9%
Taxes and Charges -0.8% -0.5%
Net Financial Income (Expense) -0.7% -13.5%
Income before Income Tax 3.1% -10.1%
Income Tax -0.5% 3.9%
Net Income (Loss) 2.6% -6.3%
------------------------------------------ -------------- --------------- -----------
</TABLE>
* 1999 figures do not include Peralta chain's sales in February (period prior to
its incorporation into the CBD group).
<PAGE>
4
<TABLE>
<CAPTION>
CONSOLIDATED BALANCE SHEET - CORPORATE LAW METHOD
- ----------------------------------------------------------------------------------------------------------------------
R$ thousand 1Q/00 1Q/99 4Q/99
- ----------------------------------------------------------------------------------------------------------------------
<S> <C> <C>
ASSETS
Current Assets
Cash and Banks 24,032 23,601 61,937
Short-term Investments 901,126 295,247 1,198,598
Accounts Receivable 464,334 369,261 506,602
Installment Sales 143,516 116,009 162,384
Post-Dated Checks 100,081 109,729 109,638
Credit Card and Other 241,212 162,786 251,425
Allowance for Doubtful Accounts (20,475) (19,263) (16,845)
Advances to Suppliers 15,532 9,365 18,082
Taxes Recoverable 81,026 65,272 64,635
Other Receivables 18,499 16,457 13,565
Inventories 522,694 325,725 538,197
Prepaid Expenses 38,759 12,047 16,979
Total Current Assets 2,066,002 1,116,975 2,418,595
- --------------------
Long-term Receivables
Receivables 107,936 3,560 97,755
Deferred Income Tax 42,756 66,914 29,448
Judicial Deposits 56,032 35,421 50,745
Loan to Subsidiary Companies 12,362 35,315 5,108
Prepaid Expenses 3,637 5,310 4,055
Total Long-Term Receivables 222,723 146,520 187,111
- ---------------------------
Permanent Assets
Investments 227,636 153,557 228,814
Property and Equipment 1,988,932 1,417,586 1,889,441
Deferred Charges 444,473 371,984 430,259
Currency Variation 53,731 71,639 58,208
Total Permanent Assets 2,660,941 1,943,127 2,548,514
- ----------------------
TOTAL ASSETS 4,949,666 3,206,622 5,154,220
------------
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities
Suppliers 577,324 478,462 792,420
Loans and Financing 341,746 513,124 477,991
Domestic Currency 324,902 84,427 460,567
Foreign Currency 16,844 428,697 17,424
Payable on Purchase of Assets 99,424 153,419 111,148
Debentures 24,769 26,290 16,483
Taxes on Sales 18,666 14,127 25,496
Income Tax 21,945 8,053 -
Salaries and Payroll Charges 63,767 55,021 64,409
Dividends 15,957 39,013 15,957
Interest on Own Capital and Withholding Tax - - -
Others 75,788 36,217 70,243
Total Current Liabilities 1,239,386 1,323,726 1,574,147
- -------------------------
Long-Term Liabilities
Financing 358,514 468,395 341,345
Domestic Currency 316,902 248,423 294,166
Foreign Currency 41,612 219,972 47,179
Payable on Purchase of Assets 57,205 22,291 54,127
Debentures 271,489 333,090 285,159
Deferred Income Tax and Installments 8,716 31,914 9,469
Other Accruals 319,722 131,645 264,150
Total Long-Term Liabilities 1,015,646 987,335 954,250
- ---------------------------
Convertible Debentures (third issue) 321,253 - 310,387
Shareholders' Equity
Capital 1,506,918 540,474 1,491,118
Capital Reserves 348,292 4,050 348,292
Revenue Reserves 518,171 351,037 476,026
Total Shareholders' Equity 2,373,381 895,561 2,315,436
Total Convertible Debentures and Shareholders' Equity 2,694,634 895,561 2,625,823
- -----------------------------------------------------
TOTAL LIABILITIES 4,949,666 3,206,622 5,154,220
-----------------
- ----------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
5
Management's Comments
FIRST QUARTER 2000 CONSOLIDATED RESULTS
o CBD registered gross margin of 27.4%, in line with the first quarter 1999
(27.3%) and higher than the gross margin registered in fourth quarter 1999
(26.0%). Even with the higher participation of hypermarkets in the
Company's store mix and the strong competition within the sector, CBD has
maintained the gross margin around 27%. This has been possible due to
continuous gains of scale with suppliers and the intense shrinkage control
and prevention program (1.7% in the first quarter of 2000, compared to 2.2%
in the same period of 1999).
o Operating expenses represented 20.1% of total net sales in the period,
compared to 20.6% in the first quarter of 1999. This efficiency gain
reflects the Company's efforts to reduce personnel expenses, as well as
gains deriving from higher dilution of fixed costs through an expanded
sales base.
o EBITDA reached R$118.5 million in the first quarter of 2000, representing a
41.8% increase compared to the same period of 1999. EBITDA margin (earnings
before interest, taxes, depreciation and amortization) reached 7.2%,
surpassing the margin recorded in the first quarter of 1999 (6.6%)
o Net income in the first quarter of 2000 was R$42.1 million, compared to a
net loss of R$78.9 million in the same period in 1999. This was mainly due
to the increase in margins and net financial income. In the first quarter
of 2000, the Company recorded a negative financial result of R$12.2 million
compared to a loss of R$169.2 million in the first quarter 1999, period in
which the Company was negatively affected by the Brazilian currency
devaluation.
Investments
As a result of continuous efforts towards store modernization and expansion, CBD
invested R$157.4 million in the first quarter of 2000, compared to an investment
of R$203.9 million in the same period of 1999.
Investments during the quarter consisted of:
o Acquisitions of medium-sized supermarket chains, such as Cibus, Ita and
Mercadinho Sao Luiz;
o Conversion of 1 Barateiro store into the Pao de Acucar format. This store
is considered the model of the second generation of the Pao de Acucar
format;
o Acquisition of new equipment and land for construction of new stores;
o Remodeling of 4 Pao de Acucar stores, 1 Barateiro store and 1 Extra
hypermarket;
o Remodeling of 7 Eletro stores, adapting them to the new concept (Eletro of
the Future);
o Closing of 1 Pao de Acucar store located in Ribeirao Preto and 3 Eletro
stores located in the state of Sao Paulo;
o Initiation of construction of new Extra hypermarkets in Sorocaba (state of
Sao Paulo), Rio de Janeiro, Brasilia and Fortaleza.
<PAGE>
6
ACQUISITIONS: 58 NEW STORES BETWEEN JANUARY AND APRIL 2000
Companhia Brasileira de Distribuicao is pleased to inform the acquisition of 11
new stores in the first quarter of 2000 and 47 stores in April. These stores
reinforce the positioning of the Barateiro chain among lower class customers in
the state of Sao Paulo and the positioning of the Pao de Acucar chain in regions
where our presence is already strong (Sao Paulo and Fortaleza). We also
highlight the arrival of the Pao de Acucar banner to the city of Curitiba (state
of Parana), a region inhabited by upper class customers, which has, therefore,
strong synergy with this format.
The acquisitions carried out until April/May 2000 already total 67,468 m2 of
sales area and approximately R$858.0 million in annual gross revenue. The
following is a brief description of the acquired chains:
First Quarter 2000 Acquisitions
Cibus and Ita : CBD informed in January/00 the acquisition and start-up of
operations of the following stores: 1 store located in Ferraz de Vasconcellos,
in the greater Sao Paulo area, with 1,250 m2, which was previously operated by
Cibus chain and 1 store in the city of Sao Paulo, with 2,800 m2, which was
operated by ITA chain. Both stores were already converted into the Barateiro
format. These two stores are expected to generate approximately R$48.0 million
in annual gross revenue.
Mercadinho Sao Luiz: CBD also announced the acquisition of 9 stores previously
operated by Sao Luiz supermarket chain. These stores are located in the city of
Fortaleza, with 8,137 m2 of sales area, and they are being converted into the
Pao de Acucar format (7 have already been converted). CBD estimates these 9
stores to generate R$120.0 million in annual gross revenue.
April 2000 Acquisitions
Nagumo: CBD informed in April the acquisition of 12 new supermarkets located in
the Metropolitan Area of Sao Paulo (East Zone), with total sales area of 16,216
m2. These stores were previously operated by the Nagumo chain, which ranked 31st
in 1998, and have been incorporated into the Barateiro Division. Estimated gross
revenue for these stores is approximately R$240.0 million per year.
Reimberg: In April, CBD also acquired 9 stores in the Sao Paulo metropolitan
area, previously operated by the Reimberg chain and ranked 52nd in the sector.
These stores have also been incorporated into the Barateiro Division and are
distributed in a sales area of 7,673 m2. Annual gross revenue from these stores
is expected to total approximately R$125.0 million.
GePires: Acquisition of 2 new supermarkets in the city of Sao Paulo which were
previously operated by the GePires chain, with 2,642 m2 of sales area and
estimated annual gross revenue of R$25.0 million. Both stores will be part of
the Barateiro Division.
Parati: Acquisition of the Parati chain, located in the city of Curitiba -
Parana, composed of 11 stores with 13,150 m2 of total sales area and annual
gross revenue of approximately R$150.0 million. These stores will be converted
into the Pao de Accucar format and they mark the first CBD supermarket in this
region, where the Company already operates two hypermarkets.
Rosado: In April 2000, CBD acquired the Rosado chain, composed of 13 supermarket
stores with 15,600 m2 of total sales area. These stores are located in the Vale
do Paraiba region - state of Sao Paulo. All the stores will be converted into
the Pao de Acucar format and are expected to generate approximately R$150.0
million in gross revenue per year.
<PAGE>
7
Stores by Division
<TABLE>
<CAPTION>
-------------------------------------------------------- ------------------------------
Pao de Sales area Number of
Acucar Extra Eletro Barateiro CBD (m2) Employees
- ------------------------------------------------------------------------ ------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
03/31/99 146 31 74 70 321 514,229 33,653
Opened 10 - - 2 12
Closed (2) - - (1) (3)
Converted - 1 - (1) -
06/30/99 154 32 74 70 330 514,229 36,539
Opened - 9 - 1 10
Closed - - - - -
Converted - - - - -
09/30/99 154 41 74 71 340 611,254 36,762
Opened 6 - 4 10
Closed (1) - - - (1)
Converted (8) + 1 (1) - 8 -
12/31/99 146 46 74 83 349 663,237 39,642
Opened 9 - - 2 11
Closed (1) - (3) - (4)
Converted 1 - - (1) -
- ------------------------------------------------------------------------ ------------------------------
03/31/00 155 46 71 84 356 677,102 39,613
- -------------------------------------------------------------------------------------------------------
</TABLE>
Summary of Store Conversions
<TABLE>
<CAPTION>
----------------------------------------------------------------------------
1Q 99 2Q 99 3Q 99 4Q 99 1Q 00
- ---------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Peralta - Pao de Acucar 14
Superbox - Pao de Acucar
Barateiro - Pao de Acucar 1
Extra - Pao de Acucar 1
Pao de Acucar - Barateiro 18 8
Peralta - Barateiro 23
Superbox - Barateiro
Superbox - Extra
Barateiro - Extra 1
Peralta - Extra 1
- ---------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
8
Sales Breakdown per Division*
In R$ thousand - Nominal (Corporate Law)
<TABLE>
<CAPTION>
--------------------------------------------------- -------------
JANUARY 2000 % 1999 % Var.(%)
- ------------------------------------------------------------------------ -------------
<S> <C> <C> <C> <C> <C>
Pao de Acucar 183,907 33.4% 161,139 38.7% 14.1%
Extra 270,297 49.0% 194,074 46.6% 39.3%
Barateiro 68,810 12.5% 32,889 7.9% 109.2%
Eletro 28,345 5.1% 28,289 6.8% 0.2%
- ------------------------------------------------------------------------ -------------
CBD 551,359 100.0% 416,391 100.0% 32.4%
- ------------------------------------------------------------------------ -------------
--------------------------------------------------- -------------
FEBRUARY 2000 % 1999 % Var.(%)
- ------------------------------------------------------------------------ -------------
Pao de Acucar 166,993 32.3% 161,556 38.7% 3.4%
Extra 261,642 50.7% 180,182 43.1% 45.2%
Barateiro 65,624 12.7% 31,868 7.6% 105.9%
Peralta - - 27,049 6.5% -
Eletro 22,231 4.3% 16,947 4.1% 31.2%
- ------------------------------------------------------------------------ -------------
CBD 516,490 100.0% 417,602 100.0% 23.7%
- ------------------------------------------------------------------------ -------------
--------------------------------------------------- -------------
MARCH 2000 % 1999 % Var.(%)
- ------------------------------------------------------------------------ -------------
Pao de Acucar 180,567 31.8% 166,730 37.0% 8.3%
Extra 289,232 51.0% 203,502 45.1% 42.1%
Barateiro 71,840 12.7% 60,708 13.5% 18.3%
Eletro 25,312 4.5% 19,943 4.4% 26.9%
- ------------------------------------------------------------------------ -------------
CBD 566,951 100.0% 450,883 100.0% 25.7%
- ------------------------------------------------------------------------ -------------
--------------------------------------------------- -------------
FIRST QUARTER 2000 % 1999 % Var.(%)
- ------------------------------------------------------------------------ -------------
Pao de Acucar 531,467 32.5% 489,425 38.1% 8.6%
Extra 821,172 50.2% 577,758 45.0% 42.1%
Barateiro 206,273 12.6% 125,466 9.8% 64.4%
Peralta - - 27,049 2.1% -
Eletro 75,888 4.6% 65,179 5.1% 16.4%
- ------------------------------------------------------------------------ -------------
CBD 1,634,800 100.0% 1,284,877 100.0% 27.2%
- ------------------------------------------------------------------------ -------------
</TABLE>
* Includes Peralta chain's sales in February 1999, period prior to its
incorporation into the CBD group. Without considering the above mentioned
sales, growth in 2000 totaled 30.0%
<PAGE>
9
Productivity Indexes *
R$ - Nominal (Corporate Law)
Sales per m2 / month
---------------------------------------
1Q00 1Q99 Var (%)
- -----------------------------------------------------------
Pao de Acucar 1,021 1,006 1.5%
Extra 780 880 -11.4%
Barateiro 681 670 1.6%
Eletro 628 552 13.8%
- ------------------------------------------------------------
CBD 819 861 -4.9%
- ------------------------------------------------------------
Sales per Employee / month
---------------------------------------
1Q00 1Q99 Var (%)
- -----------------------------------------------------------
Pao de Acucar 14,018 13,582 3.2%
Extra 17,643 18,217 -3.2%
Barateiro 16,560 13,542 22.3%
Eletro 16,014 11,345 41.2%
- -----------------------------------------------------------
CBD 13,911 13,178 5.6%
- -----------------------------------------------------------
Average Ticket
---------------------------------------
1Q00 1Q99 Var (%)
- -----------------------------------------------------------
Pao de Acucar 17.2 17.0 1.2%
Extra 35.8 36.8 -2.7%
Barateiro 12.2 13.6 -10.3%
Eletro 210.6 191.4 10.0%
- -----------------------------------------------------------
CBD 23.0 22.9 0.4%
- -----------------------------------------------------------
Sales per Checkout / month
---------------------------------------
1Q00 1Q99 Var (%)
- -----------------------------------------------------------
Pao de Acucar 96,184 93,934 2.4%
Extra 113,688 119,104 -4.5%
Barateiro 74,985 66,572 12.6%
Eletro 138,300 114,494 20.8%
- -----------------------------------------------------------
CBD 101,880 99,567 2.3%
- -----------------------------------------------------------
* Results referring to sales area, employees and checkouts were calculated based
on average values proportional to the period in which the stores were open.
<TABLE>
<CAPTION>
Sales Breakdown (% of net sales)
1998 1999 Jan00 Feb00 Mar00 1Q/00
- -------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Cash 51.6% 56.3% 57.3% 55.5% 53.0% 55.1%
Credit Card 21.7% 22.7% 24.3% 26.0% 29.1% 26.6%
Food Voucher 7.5% 6.4% 6.2% 6.8% 6.5% 6.5%
Credit 19.2% 14.6% 12.2% 11.7% 11.4% 11.8%
Post-Dated Checks 13.5% 10.2% 6.9% 7.4% 7.3% 7.2%
Installments 5.7% 4.4% 5.3% 4.3% 4.1% 4.6%
Selected Data per Division at March 31, 2000
--------------------------------------------------------------
# # # Sales Area
Checkouts Employees Stores (m2)
--------------------------------------------------------------
Pao de Acucar 1,902 12,916 155 186,181
Extra 2,407 15,648 46 350,794
Barateiro 919 3,986 84 100,413
Eletro 180 1,587 71 39,714
- -------------------------------------------------------------------------------------------
Total 5,408 34,137 356 677,102
- -------------------------------------------------------------------------------------------
Headquarters 5,476
- -------------------------------------------------------------------------------------------
CBD 5,408 39,613 356 677,102
- -------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
10
<TABLE>
<CAPTION>
NON-CONSOLIDATED INCOME STATEMENT - CORPORATE LAW METHOD (only CBD)
------------------------------------------ ------------------------------------------
First Quarter
------------------------------------------
R$ thousand 2000 1999 %
------------------------------------------ -------------- --------------- -----------
<S> <C> <C> <C>
Net Sales Revenue 1,456,375 1,257,827 15.8%
Cost of Sales (1,046,043) (914,625) 14.4%
Gross Profit 410,332 343,202 19.6%
Operating Income (Expenses)
Selling Expenses (221,766) (201,561) 10.0%
General and Administrative (71,908) (58,067) 23.8%
Total Operating Expenses (293,674) (259,628) 13.1%
Operating Income Before Taxes, Deprec.
and Fin. Income (Exp.) - EBITDA 116,658 83,574 39.6%
Depreciation (40,701) (34,264) 18.8%
Operating Income Before Taxes and
Financial Income (Exp.) - EBIT 75,957 49,310 54.0%
Taxes and Charges (10,442) (5,981) 74.6%
Financial Income 106,370 64,756 64.3%
Financial Expense (97,976) (95,181) 2.9%
Currency Variation (4,477) (138,774) -96.8%
Net Financial Income (Loss) 3,917 (169,199)
---------------------------
Operating Income (Loss) 69,432 (125,870)
Losses in Invested Companies (13,428) (1,364)
Equity Income 0 -
Non-Operating Results 1,114 (299)
------------------------------------------ -------------- --------------- -----------
Income (Loss) Before Income Tax 57,118 (127,533)
------------------------------------------ -------------- --------------- -----------
Income Tax (14,973) 48,619 -130.8%
------------------------------------------ -------------- --------------- -----------
Net Income (Loss) 42,145 (78,914)
Net Income (Loss) per 1,000 shares 0.43 (1.01)
No. of shares (in thousand)
at the end of the period 97,694,603 78,336,757 24.7%
------------------------------------------ -------------- --------------- -----------
% of Net Sales
Gross Profit 28.2% 27.3%
Total Operating Expenses -20.2% -20.6%
Selling Expenses -15.2% -16.0%
General and Administrative -4.9% -4.6%
EBITDA 8.0% 6.6%
Depreciation -2.8% -2.7%
EBIT 5.2% 3.9%
Taxes and Charges -0.7% -0.5%
Net Financial Income (Expense) 0.3% -13.5%
Income before Income Tax 3.9% -10.1%
Income Tax -1.0% 3.9%
Net Income (Loss) 2.9% -6.3%
------------------------------------------ -------------- --------------- -----------
</TABLE>
* 1999 values do not include Peralta chain's sales in February (period prior to
its incorporation into the CBD group).
<PAGE>
11
<TABLE>
<CAPTION>
NON-CONSOLIDATED BALANCE SHEET - CORPORATE LAW METHOD (only CBD)
----------------------------------------------------------------------------------------------------------------------
R$ thousand 1 Q /00 1 Q /99 4 Q /99
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<S> <C> <C> <C>
ASSETS
Current Assets
Cash and Banks 20,980 23,601 54,965
Short-Term Investments 901,126 295,247 1,198,598
Accounts Receivable 443,504 369,261 494,527
Installment Sales 142,460 116,009 156,364
Post-Dated Checks 88,029 109,729 102,955
Credit Card and Other 232,493 162,786 251,341
Allowance for Doubtful Accounts (19,478) (19,263) (16,133)
Advances to Suppliers 15,670 9,365 18,078
Taxes Recoverable 80,631 65,272 60,875
Other Receivables 18,197 16,457 11,462
Inventories 463,534 325,725 475,711
Prepaid Expenses 34,843 12,047 15,693
Total Current Assets 1,978,485 1,116,975 2,329,909
--------------------
Long-Term Receivables
---------------------
Receivables 3,360 3,560 2,636
Deferred Income Tax 35,760 66,914 29,076
Judicial Deposits 55,998 35,421 50,731
Loan to Subsidiary Companies 336,889 35,315 225,755
Prepaid Expenses 3,637 5,310 4,055
Total Long-Term Receivables 435,644 146,520 312,253
---------------------------
Investments 227,536 153,557 228,814
Property and Equipment 1,878,157 1,417,586 1,780,379
Deferred Charges 409,017 371,984 393,708
Currency Variation 53,731 71,639 58,208
Total Permanent Assets 2,514,710 1,943,127 2,402,901
TOTAL ASSETS 4,928,839 3,206,622 5,045,063
------------
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities
Suppliers 561,815 478,462 747,531
Loans and Financing 331,945 513,124 425,196
Domestic Currency 315,101 84,427 407,772
Foreign Currency 16,844 428,697 17,424
Payable on Purchase of Assets 99,424 153,419 111,148
Debentures 24,769 26,290 16,483
Taxes on Sales 15,733 14,127 20,973
Income Tax 21,945 8,053 -
Salaries and Payroll Charges 59,201 55,021 59,880
Dividends 15,957 39,013 15,957
Interest on Own Capital and Withholding Tax - - -
Others 87,770 36,217 67,822
Total Current Liabilities 1,218,559 1,323,726 1,464,990
Long-Term Liabilities
---------------------
Financing 358,514 468,395 341,345
Domestic Currency 316,902 248,423 294,166
Foreign Currency 41,612 219,972 47,179
Payable on Purchase of Assets 57,205 22,291 54,127
Debentures 271,489 333,090 285,159
Deferred Income Tax and Installments 8,716 31,914 9,469
Other Accruals 319,722 131,645 264,150
Total Long-Term Liabilities 1,015,646 987,335 954,250
Convertible Debentures 321,253 - 310,387
Shareholders' Equity
Capital 1,506,918 540,474 1,491,118
Capital Reserves 348,292 4,050 348,292
Revenue Reserves 518,171 351,037 476,026
Total Shareholders' Equity 2,373,381 895,561 2,315,436
Total Convertible Debentures and Shareholders' Equity 2,694,634 895,561 2,625,823
TOTAL LIABILITIES AND SHAREH. EQUITY 4,928,839 3,206,622 5,045,063
------------------------------------
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</TABLE>
<PAGE>
12
CONVERTIBLE DEBENTURES
Conversion of Debentures into Preferred Shares - 1999 and 2000
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------------------------------------
Debentures issued Converted Closing PN shares converted Increase in Equity
(balance) Debentures Balance (R$ thousand)
- -----------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
1st issue 100,000 (14,754) 85,246 544,496,103 19,058
2nd issue 175,000 (23,375) 151,625 779,158,875 27,121
- -------------------------------------------------------------------------------------------------------------------
Total 1999 (38,129) 1,323,654,978 46,179
- -------------------------------------------------------------------------------------------------------------------
1st issue 85,246 - 85,246 - -
2nd issue 151,625 (13,000) 138,625 433,329,000 15,800
- -------------------------------------------------------------------------------------------------------------------
Total 1Q/2000 (13,000) 433,329,000
- -------------------------------------------------------------------------------------------------------------------
1st issue 100,000 (14,754) 85,246 544,496,103 19,058
2nd issue 175,000 (36,375) 138,625 1,212,487,875 42,921
- -------------------------------------------------------------------------------------------------------------------
TOTAL * (51,129) 1,756,983,978 61,979
- -------------------------------------------------------------------------------------------------------------------
* Refers to the accumulated total, in 1999 and 2000, of the 1st and 2nd issue of debentures
</TABLE>
Companhia Brasileira de Distribuicao and its affiliated company operate a total
of 405 stores in 11 Brazilian states through three formats. In addition to the
Pao de Acucar and Barateiro supermarket divisions, CBD operates Extra
hypermarkets and Eletro home appliance stores.
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------------
<S> <C>
Aymar Giglio Junior Rosemary Otero
Investor Relations Officer - CBD Email: [email protected]
Fone: 55 (11) 3886 0421 Fax: 55 (11) 3884 2677 Fhone: (212) 704 4486
Email: [email protected]
-----------------------------
Fernando Tracanella Gustavo Bernhoeft
Email: [email protected] Email: [email protected]
Fone: 55 (11) 3886 0421 Fone: 55 (11) 3846-8400
- -----------------------------------------------------------------------------------------------
</TABLE>
