Brasil Pharma is one of the largest companies in the retail pharmaceutical sector in Brazil by number of stores, with 986 points-of-sale*. The business model encompasses own stores and franchisees, allowing the Company to operate nationally while preserving the particularities, experiences and regional characteristics of each operation. As of December 31, 2011, the own stores operations encompassed a network of 637 drugstores*, with leading brands in their respective regions, which on average had been in existence for more than 35 years, while the franchisees included 359 stores concentrated mainly in the states of São Paulo and Paraná. In addition, the own stores operations are strategically located in Brazil‘s Central-Western, Northern, Northeastern and Southern regions, which present high growth potential and a lower level of competition in the retail pharmaceutical sector, as compared to the Southeast region. Brasil Pharma was formed in December 2009, and in less than two years of formation, Brasil Pharma became one of the largest players in the Brazilian drugstore retail market and drugstore chains in terms of number of stores, and intend to become leaders in the drugstore retail industry in Brazil in terms of social responsibility, contributing to the health and wellbeing to the communities in which Brasil Pharma operate.