Marcopolo S.A. and Subsidiariesri.marcopolo.com.br/ptb/420/MARC38MNG_RevFAP mgv(clean).pdf ·...

(A free translation of the original in Portuguese)

Marcopolo S.A. and Subsidiaries Report of Independent Accountants on Limited Reviews of Quarterly Information (ITR) March 31, 2008 and 2007

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(A free translation of the original in Portuguese) Report of Independent Accountants on the Limited Reviews To the Board of Directors and Stockholders Marcopolo S.A.

1 We have reviewed the accounting information included in the Quarterly Information (ITR) of Marcopolo S.A. and its subsidiaries for the quarters ended March 31, 2008 and 2007. This information is the responsibility of the Company’s management. The limited reviews of the financial information of the indirect subsidiary Polomex S.A. de C.V. were conducted by other independent accountants. In the accounting information included in the Quarterly Information (ITR) of Marcopolo S.A., the direct and indirect investments in this company are recorded on the equity method of accounting and are equivalent to an investment of R$ 22,483 thousand at March 31, 2008 and the equity in the earnings amount to R$ 1,136 thousand (direct and indirect interest) for the quarter then ended (R$ 1,672 thousand in the quarter ended March 31, 2007). The financial information of this indirect subsidiary, with total assets amounting to R$ 58,696 thousand at March 31, 2008, are included in the consolidated quarterly information. Our limited review report, insofar as it relates to the amounts relating to this company, is based solely on the reports of the other accountants.

2 Our reviews were carried out in conformity with specific standards established by the Institute of Independent Auditors of Brazil (IBRACON) in conjunction with the Federal Accounting Council (CFC) and mainly comprised: (a) inquiries of and discussions with management responsible for the accounting, financial and operating areas of the Company with regard to the main criteria adopted for the preparation of the Quarterly Information and (b) a review of the significant information and of the subsequent events which have, or could have, significant effects on the financial position and operations of the Company and its subsidiaries.

Marcopolo S.A. and Subsidiaries

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3 Based on our review and on the reports of other independent accountants, we are not aware of any material modifications that should be made to the accounting information included in the Quarterly Information referred to above in order that it be stated in accordance with the rules issued by the Brazilian Securities Commission (CVM) applicable to the preparation of Quarterly Information, including Instruction 469/08.

4 As mentioned in note 2(l), Law 11638 was enacted on December 28, 2007 and is effective as from January 1, 2008. This law amended, revoked and introduced new provisions to Law No. 6404/76 (Brazilian Corporation Law) and changed the accounting practices adopted in Brazil. Although the mentioned law is already effective, the main changes introduced by it depend on regulations to be issued by the regulatory agencies for them to be implemented by the companies. Accordingly, during this phase of transition, the CVM, through its Instruction 469/08, did not require the implementation of all the provisions of Law 11638/07 in the preparation of the Quarterly Information. As a result, the accounting information included in the Quarterly Information for the quarter ended March 31, 2008 was prepared in accordance with specific CVM instructions and does not contemplate all the changes in accounting practices introduced by Law 11638/07. The information with respect to prior periods, presented for comparison purposes, was adjusted to reflect the changes in accounting practices introduced in 2008. Porto Alegre, May 15, 2008 PricewaterhouseCoopers Auditores Independentes CRC 2SP000160/O-5 "F" RS Carlos Biedermann Contador CRC 1RS029321/O-4

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(A free translation of the original in Portuguese) FEDERAL GOVERNMENT SERVICE BRAZILIAN SECURITIES COMMISSION (CVM) QUARTERLY INFORMATION (ITR) COMMERCIAL, INDUSTRIAL AND OTHER COMPANIES

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Corporate Legislation March 31, 2008

REGISTRATION WITH THE CVM DOES NOT IMPLY ANY ANALYSIS OF THE COMPANY. COMPANY MANAGEMENT IS RESPONSIBLE FOR THE ACCURACY OF THE INFORMATION PROVIDED.

01.01 - IDENTIFICATION 1 - CVM CODE 2 - COMPANY NAME 3 - Federal Corporate Taxpayers' Registration Number - CNPJ

00845-1 MARCOPOLO S.A. 88.611.835/0001-29

4 - State Registration Number - NIRE

43 3 0000723 5

01.02 - HEAD OFFICE 1 - ADDRESS 2 - SUBURB OR DISTRICT

Av. Marcopolo, 280 Planalto

3 - POSTAL CODE 4 - MUNICIPALITY 5 - STATE

95086-200 Caxias do Sul RS

6 - AREA CODE 7 - TELEPHONE 8 - TELEPHONE 9 - TELEP HONE 10 - TELEX

54 2101-4000 - - 11 - AREA CODE 12 - FAX 13 -FAX 14 -FAX 54 2101-4010 - -

15 - E-MAIL http://www.marcopolo.com.br

01.03 - INVESTOR RELATIONS OFFICER (Company Mail Ad dress) 1 - NAME Carlos Zignani

2 - ADDRESS 3 - SUBURB OR DISTRICT

Av. Marcopolo, 280 Planalto

4 - POSTAL CODE 5 - MUNICIPALITY 6 - STATE

95086-200 Caxias do Sul RS

7 - AREA CODE 8 - TELEPHONE 9 - TELEPHONE 10 - TELE PHONE 11 - TELEX 54 2101-4115 - - 12 - AREA CODE 13 - FAX 14 - FAX 15 - FAX 54 2101-4010 - - 16 - E-MAIL [email protected] 01.04 -GENERAL INFORMATION/INDEPENDENT ACCOUNTANT CURRENT YEAR CURRENT QUARTER PRIOR QUARTER

1-BEGINNING 2-END 3-QUARTER 4-BEGINNING 5-END 6-QUA RTER 7-BEGINNING 8-END

1/1/2008 12/31/2008 1 1/1/2008 3/31/2008 4 10/1/2007 12/31/2007

9 - INDEPENDENT ACCOUNTANT PricewaterhouseCoopers Auditores Independentes

10 - CVM CODE 00287-9

11 - PARTNER RESPONSIBLE Carlos Biedermann

12 - INDIVIDUAL TAXPAYERS' REGISTRATION NUMBER OF THE PARTNER RESPONSIBLE 220.349.270-87

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(A free translation of the original in Portuguese) Unaudited FEDERAL GOVERNMENT SERVICE BRAZILIAN SECURITIES COMMISSION (CVM) Corporate Legislation QUARTERLY INFORMATION (ITR) March 31, 2008 COMMERCIAL, INDUSTRIAL AND OTHER COMPANIES

01.01 - IDENTIFICATION 1 - CVM CODE 2 - COMPANY NAME 3 - Federal Corporate Taxpayers' Registration

Number - CNPJ 00845-1 MARCOPOLO S.A. 88.611.835/0001-29 01.05 - CAPITAL COMPOSITION

Number of shares Current Quarter Prior quarter Same quarter in prior year (Thousands) 3/31/2008 12/31/2007 3/31/2007

Paid-up capital 1 - Common 85,406 85,406 85,406 2 - Preferred 138,819 138,819 138,819 3 - Total 224,225 224,225 224,225 Treasury Stock 4 - Common 0 0 0 5 - Preferred 137 485 185 6 - Total 137 485 185 01.06 - CHARACTERISTICS OF THE COMPANY 1 - TYPE OF COMPANY Commercial, Industrial and Other 2 - SITUATION Operating 3 - NATURE OF OWNERSHIP Local Private 4 -ACTIVITY CODE 1070 - Machinery, Equipment, Vehicles and Parts 5 - MAIN ACTIVITY Motor vehicle bodies 6 - TYPE OF CONSOLIDATION Full 7 - TYPE OF REPORT OF THE INDEPENDENT ACCOUNTANT Without exceptions 01.07 - COMPANIES EXCLUDED FROM THE CONSOLIDATED FI NANCIAL STATEMENTS 1 - ITEM 2 - CNPJ 3 - NAME

01.08 - DIVIDENDS APPROVED AND/OR PAID DURING AND A FTER THE QUARTER 1 - ITEM 2 - EVENT 3 - DATE APPROVED 4 - AMOUNT 5 - DATE OF PAYMENT 6 - TYPE OF

SHARE 7 - AMOUNT PER SHARE

01 Supervisory Board Meeting (RCA)

12/14/2007 Interest on own capital 3/28/2008 ON 0.1543000000


12/14/2007 Interest on own capital 3/28/2008 PN 0.1543000000


12/14/2007 Dividends 3/28/2008 ON 0.1810000000


12/14/2007 Dividends 3/28/2008 PN 0.1810000000

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01.01 - IDENTIFICATION 1 - CVM CODE 2 - COMPANY NAME 3 - Federal Corporate Taxpayers' Registration Numbe r -

CNPJ 00845-1 MARCOPOLO S.A. 88.611.835/0001-29 01.09 - SUBSCRIBED CAPITAL AND ALTERATIONS IN THE C URRENT YEAR 1 - ITEM 2 - DATE OF ALTERATION 3 - CAPITAL 4 - AMOUNT OF THE

ALTERATION 5 -NATURE OF ALTERATION 7 - NUMBER OF SHARES ISSUED 8 - SHARE PRICE ON ISSUE DATE

(IN THOUSANDS OF REAIS) (IN THOUSANDS OF REAIS) (THOUSANDS) (IN REAIS)

01 08/25/2006 450,000 224,000 Revenue reserve 111,848 1,8950000000 01.10 - INVESTOR RELATIONS OFFICER 1 - DATE 2 - SIGNATURE

5/15/2008


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01 - IDENTIFICATION

1 - CVM CODE 2 - COMPANY NAME 3 - National Co rporate Taxpayers' Registry (CNPJ)

00845-1 MARCOPOLO S.A. 88.611.835/0001-29

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02.01 - Balance Sheet - Assets (R$ thousand)

1 - Code 2 - Description 3 - 3/31/2008 4 - 12/31/2007

1 Total assets 1,355,909 1,368,108

1.01 Current assets 864,704 911,435

1.01.01 Cash and banks 16,264 53,212

1.01.02 Receivables 253,855 291,175

1.01.02.01 Customers 253,855 291,175

1.01.02.01.01 Interbank accounts 0 0

1.01.02.01.02 Trade accounts receivable 270,912 307,658

1.01.02.01.03 Allowance for doubtful accounts (17,057) (16,483)

1.01.02.01.04 Foreign exchange advances 0 0

1.01.02.02 Sundry receivables 0 0

1.01.03 Inventories 168,853 127,382

1.01.03.01 Finished products 32,634 20,998

1.01.03.02 Work in process 11,076 10,605

1.01.03.03 Raw and auxiliary materials 113,174 87,905

1.01.03.04 Merchandise 0 360

1.01.03.05 Advances to suppliers and others 13,037 8,499

1.01.03.06 Provision for losses in inventories (1,068) (985)

1.01.04 Other 425,732 439,666

1.01.04.01 Financial investments 223,294 254,926

1.01.04.02 Taxes and contributions recoverable 148,715 130,075

1.01.04.03 Deferred taxes and contributions 27,978 22,420

1.01.04.04 Advances to employees 6,239 1,922

1.01.04.05 Prepaid expenses 642 833

1.01.04.06 Dividends receivable 0 14,910

1.01.04.07 Other accounts receivable 18,864 14,580

1.02 Non-current assets 491,205 456,673

1.02.01 Long-term receivables 17,754 41,319

1.02.01.01 Sundry receivables 0 0

1.02.01.02 Related parties 1,873 25,469

1.02.01.02.01 Associated and similar companies 0 0

1.02.01.02.02 Subsidiaries 1,873 25,469

1.02.01.02.03 Other related parties 0 0

1.02.01.03 Others 15,881 15,850

1.02.01.03.01 Taxes and contributions recoverable 828 905

1.02.01.03.02 Deferred taxes and contributions 11,421 11,109

1.02.01.03.03 Trade accounts receivable 0 20

1.02.01.03.04 Judicial deposits 3,632 3,579

1.02.01.03.05 Other accounts receivable 0 237

1.02.02 Permanent assets 473,451 415,354

1.02.02.01 Investments 356,261 301,174

1.02.02.01.01 Interest in associated and similar companies 36,897 24,657

1.02.02.01.02 Interest in associated and similar companies - Goodwill 41,824 31,986

1.02.02.01.03 Interest in subsidiaries 276,813 243,787


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01 - IDENTIFICATION


00845-1 MARCOPOLO S.A. 88.611.835/0001-29

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1.02.02.01.04 Interest in subsidiaries - Goodwill 0 0

1.02.02.01.05 Other investments 727 744

1.02.02.02 Property, plant and equipment 117,190 114,180

1.02.02.02.01 Land 12,375 12,575

1.02.02.02.02 Buildings 51,911 51,657

1.02.02.02.03 Machinery and equipment 94,551 91,504

1.02.02.02.04 Facilities 37,592 36,938

1.02.02.02.05 Furniture and fixtures 4,767 4,738

1.02.02.02.06 Vehicles 2,902 2,845

1.02.02.02.07 Data processing equipment and systems 45,570 18,207

1.02.02.02.08 Construction in progress 4,763 26,837

1.02.02.02.09 Other property, plant and equipment 1,291 1,315

1.02.02.02.10 Advances to suppliers 0 0

1.02.02.02.11 Accumulated depreciation (138,532) (132,436)

1.02.02.03 Intangible assets 0 0

1.02.02.04 Deferred charges 0 0


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01 - IDENTIFICATION


00845-1 MARCOPOLO S.A. 88.611.835/0001-29

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02.02 - Balance Sheet - Liabilities and Stockholder s' Equity (R$ thousand)


2 Total liabilities and stockholders' equity 1,355,909 1,368,108

2.01 Current liabilities 435,045 590,001

2.01.01 Loans and financing 167,747 238,265

2.01.01.01 Loans and financing 167,747 238,265

2.01.01.02 Funds raised in the open market 0 0

2.01.02 Debentures 0 0

2.01.03 Suppliers 120,253 141,982

2.01.04 Taxes, charges and contributions 13,456 12,067

2.01.05 Dividends payable 67 40,497

2.01.06 Provisions 43,567 23,615

2.01.06.01 Corporate income tax 12,559 0

2.01.06.02 Social contribution 4,635 0

2.01.06.03 13th-month salary 5,353 0

2.01.06.04 Vacation pay 21,020 23,615

2.01.07 Debts with related parties 14,991 18,353

2.01.08 Other 74,964 115,222

2.01.08.01 Salaries and wages 8,757 8,850

2.01.08.02 Advances from customers 13,099 6,771

2.01.08.03 Commissioned representatives 7,638 7,449

2.01.08.04 Billings in advance 0 0

2.01.08.05 Interest on capital 116 34,523

2.01.08.06 Employee profit sharing 8,581 16,643

2.01.08.07 Management profit sharing 1,706 6,561

2.01.08.08 Unbilled services 31,232 32,518

2.01.08.09 Contractual creditors 1,769 1,769

2.01.08.10 Other accounts payable 2,066 138

2.02 Non-current liabilities 294,537 181,942

2.02.01 Long-term liabilities 294,537 181,942

2.02.01.01 Loans and financing 247,721 136,068

2.02.01.01.01 Loans and financing 247,721 136,068

2.02.01.01.02 Funds raised in the open market 0 0

2.02.01.02 Debentures 0 0

2.02.01.03 Provisions 0 0

2.02.01.04 Debts with Related parties 0 0

2.02.01.05 Advances for future capital increase 0 0

2.02.01.06 Other 46,816 45,874

2.02.01.06.01 Taxes, charges and contributions 0 0

2.02.01.06.02 Suppliers 24 0

2.02.01.06.03 Benefits to employees 13,200 13,200

2.02.01.06.04 Provision for contingencies 33,592 32,674

2.02.01.06.05 Other accounts payable 0 0

2.02.02 Deferred income 0 0

2.04 Stockholders' equity 626,327 596,165

2.04.01 Paid-up capital 450,000 450,000


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01 - IDENTIFICATION


00845-1 MARCOPOLO S.A. 88.611.835/0001-29

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2.04.02 Capital reserves 704 1,186

2.04.02.01 Investment subsidies 688 688

2.04.02.02 Gain on treasury stock sales 16 498

2.04.03 Revaluation reserve 0 0

2.04.03.01 Own assets 0 0

2.04.03.02 Subsidiaries/ associated and similar companies 0 0

2.04.04 Revenue reserves 147,388 144,979

2.04.04.01 Legal 12,540 12,540

2.04.04.02 Statutory 135,801 135,801

2.04.04.02.01 Capital increase 79,359 79,359

2.04.04.02.02 Interim dividend 39,521 39,521

2.04.04.02.03 Purchase of own shares 16,921 16,921

2.04.04.02.04 Reinvestment 0 0

2.04.04.03 Contingencies 0 0

2.04.04.04 Unrealized profits 0 0

2.04.04.05 Retention of profits 0 0

2.04.04.06 Special for undistributed dividends 0 0

2.04.04.07 Other revenue reserves (953) (3,362)

2.04.04.07.01 Treasury stock (953) (3,362)

2.04.05 Retained earnings/ Accumulated deficit 28,235 0

2.04.06 Advance for future capital increase 0 0


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01 - IDENTIFICATION


00845-1 MARCOPOLO S.A. 88.611.835/0001-29

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03.01 - Statement of Income (R$ thousand)

1 - Code 2 - Description 1 - 1/1/2008 to 3/31/2008

2 - 1/1/2008 to 3/31/2008

3 - 1/1/2007 to 3/31/2007

4 - 1/1/2007 to 3/31/2007

3.01 Gross sales and/or service revenues 386,531 386,531 312,238 312,238 3.02 Revenue deductions (68,953) (68,953) (51,064) (51,064) 3.03 Net sales and/or service revenues 317,578 317,578 261,174 261,174 3.04 Cost of sales and/or services (267,785) (267,785) (220,618) (220,618) 3.05 Gross profit 49,793 49,793 40,556 40,556 3.06 Operating expenses/income (8,444) (8,444) (6,111) (6,111) 3.06.01 Selling (14,504) (14,504) (11,130) (11,130) 3.06.02 General and administrative (11,715) (11,715) (9,857) (9,857) 3.06.02.01 General and administrative expenses (9,755) (9,755) (8,100) (8,100) 3.06.02.02 Management fees (1,960) (1,960) (1,757) (1,757) 3.06.03 Financial 11,759 11,759 8,603 8,603 3.06.03.01 Financial income 22,063 22,063 23,288 23,288 3.06.03.02 Financial expenses (10,304) (10,304) (14,685) (14,685) 3.06.04 Other operating income 0 0 0 0 3.06.05 Other operating expenses (2,208) (2,208) (1,031) (1,031) 3.06.06 Equity in the earnings of subsidiary and associated companies 8,224 8,224 7,304 7,304 3.07 Operating profit 41,349 41,349 34,445 34,445 3.08 Non-operating results (85) (85) (204) (204) 3.08.01 Income 2 2 31 31 3.08.02 Expenses (87) (87) (235) (235) 3.09 Profit before taxation and profit sharing 41,264 41,264 34,241 34,241 3.10 Provision for income tax and social contribution on net income (17,181) (17,181) (12,489) (12,489) 3.11 Deferred income tax 5,858 5,858 3,432 3,432 3.12 Statutory profit sharing and contributions (1,706) (1,706) (1,581) (1,581) 3.12.01 Profit sharing (1,706) (1,706) (1,581) (1,581) 3.12.01.01 Management (1,706) (1,706) (1,581) (1,581) 3.12.02 Contributions 0 0 0 0 3.13 Reversal of interest on capital 0 0 0 0 3.15 Net income for the period 28,235 28,235 23,603 23,603 Number of shares (thousand), excluding treasury stock 224.088 224.088 224.040 224.040 Net income per share - R$ 0.12600 0.12600 0.10535 0.10535 Loss per share


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01 - IDENTIFICATION


00845-1 MARCOPOLO S.A. 88.611.835/0001-29 04.01 - Notes to the Quarterly Information (All amounts in thousands of reais unless otherwise indicated)

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1 Operations Marcopolo S.A. is a corporation headquartered in Caxias do Sul, state of Rio Grande do Sul. The Company's purpose is to manufacture and sell buses, automotive vehicles, vehicle bodies, parts, agricultural and industrial machinery, import and export, and also to invest in other companies. Sales are carried out in domestic and foreign markets through its subsidiaries or commercial representatives.

2 Presentation of the Quarterly Information The quarterly information was prepared based on accounting practices adopted in Brazil, in accordance with the provisions of the Brazilian Corporate Law and the Brazilian Securities Commission (CVM) regulations. Significant accounting practices a. Determination of net income

Net income is determined on the accrual basis of accounting.

b. Accounting estimates

Accounting estimates are based on objective and subjective factors, according to management's judgment, to determine the appropriate amount to be recorded in the financial statements. Significant items subject to these estimates and assumptions include the residual value of property, plant and equipment, the allowance for doubtful accounts, inventories and deferred income tax assets, provision for contingencies, valuation of derivative instruments and assets and liabilities related to employees' benefits. The settlement of transactions involving these estimates may result in different amounts due to inaccuracies inherent to the process of their determination. The Company reviews the estimates and assumptions at least annually.


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c. Foreign currency

Monetary assets and liabilities denominated in foreign currencies were translated into Brazilian reais using the foreign exchange rate on the balance sheet date. Differences arising from the conversion of currency are recognized in the statement of income. For investee companies located abroad, their assets and liabilities are translated into reais using the exchange rate on the balance sheet date.

d. Current assets and long-term receivables

• Financial investments

Financial investments are stated at cost plus income accrued up to the balance sheet date, not exceeding market value (Note 4).

• Allowance for doubtful accounts The allowance for doubtful accounts is recorded, based on the individual evaluation of the entire portfolio of receivables from customers, at an amount considered sufficient by management to cover expected losses on the realization of the receivables (Note 5).

• Inventories Inventories are stated at average purchase or production cost, not exceeding market value. The cost of inventories includes expenses incurred on the purchase, freight and storage of inventories. In the case of finished products and work in process, cost includes part of the general manufacturing expenses, the allocation of which is based on the normal operating capacity (Note 6).

• Other current assets and long-term receivables

These assets are stated at cost or net realizable values including accrued income, monetary and foreign exchange rate variations, when applicable.

e. Permanent assets


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• Investments

Investments in subsidiary and associated companies are recorded on the equity method of accounting. Goodwill paid on the acquisition of investments is amortized over the period of expected future profitability. Other permanent investments are recorded at restated cost less allowance for impairment, when applicable (Note 8).

• Corporate investments abroad

The principles to determine net income or loss in the financial statements of foreign investees, when different from accounting practices adopted in Brazil, are duly adjusted, considering the significance of the information. These financial statements are converted into local currency as required by CVM Resolution 28/86 (Note 8).

• Property, plant and equipment

Property, plant and equipment are stated at cost of purchase, formation or construction. Depreciation is calculated on the straight-line method at the rates listed in Note 9.

Costs arising from the replacement of a component of a property, plant and equipment item and which are recorded separately, including inspections and appraisals, are recorded in property, plant and equipment. Other costs are only capitalized when there is an increase in the economic benefits of the property, plant and equipment item. Any other type of cost is recorded as an expense.

f. Current and long-term liabilities

These liabilities are stated at known or estimated amounts including, when applicable, accrued charges and monetary and/or exchange variations incurred through the balance sheet date (Notes 11, 12, 13 and 14).

g. Provisions A provision is recorded in the balance sheet when there is a legal obligation or as the result of a past event, and it is probable that financial resources will be required to settle the obligation. The provisions are recorded based on the best estimates of the risk involved.


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h. Pension plan and post-employment benefits to employees

The costs of sponsoring the employee pension and benefits plan are recorded in accordance with CVM Resolution 371 of December 13, 2000.

i. Income tax and social contribution

Current and deferred income tax and social contribution on net income are calculated based on the current rates of income tax and social contribution. Deferred tax assets arising from income tax and social contribution losses and temporary differences are recorded in accordance with CVM Resolution 371 and take into consideration the history of profitability and expectation of the generation of future taxable income based on a technical feasibility study. The deferred income tax assets are recognized only to the extent that future taxable income will be available against which the tax losses and credits may be used (Note 14).

j. Statements of cash flows

The Company is presenting as supplementary information a statement of cash flows prepared in accordance with the Accounting Norm NPC 20 - Statement of Cash Flows, issued by the Institute of Independent Auditors of Brazil (IBRACON).

k. Exclusive investment funds

In order to provide more transparency to the information in the financial statements, the balances and transactions of funds in which the Company is the only quotaholder are included on a consolidated basis.

l. Changes in Brazilian Corporate Law - Law 11,638 (a) Law 11638, was enacted on December 28, 2007 and changes, revokes and

introduces new provisions to the Corporate Law, particularly in relation to chapter XV, regarding accounting subjects to be applied as from the year ending December 31, 2008. This law had mainly the objective of updating the Brazilian corporate law to enable the process of convergence of the accounting practices adopted in Brazil with those included in the international accounting standards (IFRS) and permit the issue of new standards and procedures by the Brazilian Securities Commission (CVM) in compliance with the international accounting standards.


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(b) CVM Instruction 469, of May 2, 2008, permitted the adoption of the following options in the preparation of the Quarterly Information:

(i) immediate and full application of Law 11638/07;

(ii) following the practices previous to the new law, however, bearing in mind the

requirements introduced by articles 3 to 15 of the Instruction (i.e. partial application of the Law 11638/07).

The requirements referred to in (ii) applicable to the Quarterly Information are as follows: (i) the debenture premiums, donations and subsidies to investments, arising from

transactions and events for 2008, will be temporarily recorded in Deferred Income; (ii) the obligation to carry out periodic revaluations of property, plant and equipment,

as previously determined in CVM Deliberation 183, of June 19, 1995, is no longer applicable;

(iii) long-term financial assets and financial liabilities, as well as short-term financial

assets and financial liabilities that would be significantly affected, shall be adjusted at present value based on the discount rates that reflect the best present market evaluations on the time value of money and the specific risks of the assets and liabilities;

(iv) the listed companies with investments in associated and similar companies that are

no longer evaluated on the equity method due to the change introduced by Law 11638/07, shall consider the book values of the investments in the balance sheet prior to the effectiveness of the new law, including the unamortized goodwill or negative goodwill, as the new cost basis for future measurement and determination of their recoverable value, and the application of the equity method must be immediately suspended. Likewise, investments recorded under the cost method that should now be recorded under the equity method, due to the mentioned law, shall be adjusted retroactively.

The Company management evaluated the requirements (i) to (iv) referred to above, as required by CVM Instruction 469/08, and has concluded that there are no significant adjustments to be performed. (c) Based on its best estimate, management evaluated and quantified the impacts on net

equity for the full application of Law 11,638/07 at March 31, 2008, as follows:


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01 - IDENTIFICATION



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(i) No significant adjustments to market value of financial investments were identified.

(ii) No adjustments were necessary with respect to the recoverable value of the

goodwill on the acquisition of investments in the amount of R$ 41,824. Further, management understands that the treatment to be provided to the goodwill balances on the acquisition of investments generated in prior years still depends regulations to be issued by the Brazilian regulatory agencies.

(iii) The Company determined a foreign currency translation adjustment of its

investments abroad, as determined by CPC Technical Pronouncement 02 and CVM Deliberation 534/08, in the amount of R$ 452 thousand, that would imply the recognition of a [credit/ debit] in the result for the quarter ended March 31, 2008, with a contra entry to the valuation adjustment account in stockholders’ equity.

Although the abovementioned evaluations have been made by management in accordance with their best estimate and interpretation of the standards issued by CVM and by the International Accounting Standard Board– (IASB), the main changes introduced by Law 11,638 depend on regulation by the Brazilian regulatory agencies. Accordingly, the above stated estimates may be changed upon the regulation of Law 11638/07.

3 Consolidated Financial Statements The accounting policies were uniformly applied in all consolidated companies and are consistent with those used in the prior year. The consolidated financial statements include those of Marcopolo S.A. and of the following subsidiaries and jointly-owned subsidiaries: Percentage holding 3/31/08 12/31/07 Subsidiaries Direct Indirect Direct Indirect Banco Moneo S.A - 100.00 - 100.00 Brasa Middle East FZE (1) - 100.00 - 100.00 Ciferal Indústria de Ônibus Ltda. 99.99 0.01 99.99 0.01 Ilmot International Corporation S.A. (1) 100.00 - 100.00 - Laureano S.A. (1) - 100.00 - 100.00 Marcopolo Auto Components Co. (1) 100.00 - 100.00 - Marcopolo Indústria de Carroçarias S.A. (1) - 100.00 - 100.00


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Marcopolo International Corp. (1) - 100.00 - 100.00 Marcopolo Latinoamérica S.A. (1) 99.99 0.01 99.99 0.01 Marcopolo South Africa Pty Ltd (1) - 100.00 - 100.00 Marcopolo Trading S.A. 99.99 0.01 99.99 0.01 Moneo Investimentos S.A. 100.00 - 100.00 - MVC Componentes Plásticos Ltda. 99.99 0.01 99.99 0.01 Polo Serviços em Plásticos Ltda. 99.00 1.00 99.00 1.00 Polomex S.A. de C.V. (1) 3.61 70.39 3.61 70.39 Poloplast Componentes S.A. de C.V. (1) - 100.00 - 100.00 Syncroparts Com. e Dist. de Peças Ltda. 99.99 0.01 99.99 0.01 Jointly owned subsidiaries Direct Indirect Direct I ndirect Loma Hermosa S.A. (1) 33.00 - - - Pólo Plastic Component (1) - 50.00 - 50.00 Russian Busses Marco (1) 50.00 - 50.00 San Marino Ônibus e Implementos Ltda. 39.59 - 39.59 - Spheros Climatização do Brasil S.A. 40.00 - 40.00 - Superpolo S.A. (1) - 50.00 - 50.00 Tata Marcopolo Motors Limited (1) 49.00 - 49.00 - Wsul Espumas Industria e Comércio Ltda. 30.00 - - - (1) Subsidiaries abroad Exclusive Investment Funds Direct Indirect Direct I ndirect Fundo de Investimento Paradiso Multimercado 100.00 - 100.00 - FIDC - Marcopolo Financeiro 100.00 - 100.00 - The following main practices were adopted in the pr eparation of the consolidated financial statements: a. Intercompany balances were eliminated on consolidation;

b. Equity investments, reserves and retained earnings of subsidiaries were eliminated; c. Intercompany revenues and expenses, as well as unrealized profits on intercompany

transactions were eliminated. Unrealized losses were also eliminated but only when there is no evidence of difficulties in the recovery of the related assets;

d. Taxes on unrealized profit were eliminated and presented as deferred taxes in the

consolidated financial statements;


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16

e. The minority interest amounts are shown separately in the consolidated financial statements;

f. The financial statements of the subsidiaries were adjusted, whenever necessary, to be

uniform with the accounting practices adopted by the parent company; g. The financial statements of Superpolo S.A., Pólo Plastic Component, Russkie Avtobusi

Marcopolo, San Marino Ônibus e Implementos Ltda. and Spheros Climatização do Brasil S.A., and Wsul Espumas Indústria e Comércio Ltda. are consolidated in proportion to the investment in their capital. The amounts of the main balances in the financial statements of these companies are as follows:

Superpolo Pólo Russian

3/31/08 12/31/07 3/31/08 12/31/07 3/31/08 12/31/07Assets Current 59,243 67,781 9,707 7,241 35,783 29,920 Long-term receivables Permanent 38,581 33,123 1,745 1,499 5,640 3,150Total assets 97,824 100,904 11,452 8,740 41,423 33,070 3/31/08 12/31/07 3/31/08 12/31/07 3/31/08612/31/076Liabilities and stockholders' equity Current 68,983 73,374 5,272 2,830 42,531 31,580 Long-term liabilities 6,067 6,180 - - - - Stockholders' equity 22,774 21,350 6,180 5,910 (1,108) 1,490Total liabilities and stockholders’ equity 97,824 100,904 11,452 8,740 41,423 33,070 3/31/08 31/03/07 3/31/08 31/03/07 3/31/08631/03/076Statement of Operations Net operating revenue 24,326 30,200 5,946 1,362 10,032 - Gross profit 1,980 4,700 878 218 (1,842) - Operating profit (loss) (400) 1,138 234 218 (2,542) (76) Profit before taxation (434) 1,130 250 218 (1,939) (82) Income tax and social contribution on net income - (422) (64) - - -

Net income (loss) for the period (434) 708 186 218 (1,988) (82)


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Wsul (**) San Marino (*) Spheros (*) 3/31/08 12/31/07 3/31/08 12/31/07 3/31/08 12/31/07

Assets Current 2,919 3,020 85,679 100,965 23,400 22,729 Non current Long-term receivables - - 48 65 431 328 Permanent 5,287 5,454 46,960 46,100 2,489 2,388Total assets 8,206 8,474 132,687 147,130 26,320 25,445 3/31/08 12/31/07 3/31/08 12/31/07 3/31/08 12/31/07Liabilities and stockholders' equity Current 1,954 2,747 78,837 91,011 10,516 10,768 Non current Long-term liabilities - - 42,556 45,052 - - Stockholders' equity 6,252 5,727 11,294 11,067 15,804 14,677Total liabilities and stockholders’ equity 8,206 8,474 132,687 147,130 26,320 25,445 3/31/08 31/03/07 3/31/08 31/03/07 3/31/08 31/03/07Statement of Operations Net operating revenue 3,616 - 51,240 - 15,444 - Gross profit 1,078 - 7,891 - 3,481 - Operating profit 612 - 1,039 - 1,986 - Profit before taxation 612 - 865 - 2,001 - Income tax and social contribution on net income (87) - (239) - (711) - Net income (loss) for the period 525 - 626 - 1,290 -


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Tata (***) Loma (****) 3/31/08 12/31/07 3/31/08

Assets Current 13,091 14,450 34,391Non current Long-term receivables - - 9,172Permanent 37,043 26,401 14,714Total assets 50,134 40,851 58,277 3/31/08 12/31/07 3/31/08Liabilities and stockholders' equity Current 25,976 15,048 14,736 Non current Long-term liabilities - - 5,995 Stockholders' equity 24,158 25,803 37,546Total liabilities and stockholders’ equity 50,134 40,851 58,277 3/31/08 31/03/07 3/31/08Statement of Operations Net operating revenue 2,373 - 15,446 Gross profit (loss) (840) - 4,472 Operating profit (876) - 3,337 Profit (loss) before taxation (876) - 3,337 Net income (loss) for the period (876) - 1,869 (*) As from the second quarter of 2007, these companies became proportionately consolidated due to shared control. (**) As from the third quarter of 2007, this company was incorporated and started to be proportionally consolidated. (***) As from the fourth quarter of 2007, this company was incorporated and started to be proportionally consolidated (****) As from the first quarter of 2008, this company was incorporated and started to be proportionally consolidated.


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The reconciliation of net income for the period and stockholders’ equity is as follows: Net income Stockholders’ for the period equity 3/31/08 31/03/07 3/31/08 12/31/07 Parent company 28,235 23,603 626,327 596,165 Realization of profits recorded by the parent company in transactions with subsidiaries, net of income tax and social contribution 3,617 5,650 - - Elimination of the profits recorded by the parent company in transactions with subsidiaries, net of income tax and social contribution (3,446) (5,085) (3,446) (3,617) Consolidated 28,406 24,168 622,881 592,548

4 Cash and Banks Parent Company Consolidated Current: 3/31/08 12/31/07 3/31/08 12/31/07 Cash and banks In Brazil 16,264 53,212 30,887 69,155 Abroad - - 21,328 77,724 16,264 53,212 52,215 146,879 Financial investments In Brazil 223,294 254,926 301,231 299,751 FIDC - Marcopolo Financeiro - - 13,185 11,819 Abroad - - 43,221 37,076 223,294 254,926 357,637 348,646 Total current 239,558 308,138 409,852 495,525 Long-term receivables: Financial investments Abroad - - 183,873 71,067 Total - - 183,873 71,067


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239,558 308,138 596,587 566,592


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Long term amounts are as follows:

Parent company Consolidated Maturity date: 2008 2007 2008 2007 From 13 to 24 months - - 47,415 33,629 From 25 to 36 months - - 47,415 26,300 After 36 months - - 89,043 11,138

- - 183,873 71,067 The financial investments mainly refer to bank deposit certificates and fixed income funds, remunerated at rates that vary from 100.00% to 103.5% of the Interbank Deposit Certificate (CDI) interest rate, resulting in a weighted average of 100.80% of CDI. Financial investments abroad are remunerated at the average rate of 2.00% per annum (p.a.) plus the U.S. dollar exchange variation. The amounts invested in quotas of the financial investment fund (FIDC – Marcopolo Financeiro) correspond to funds invested in the Marcopolo Credit Rights Investment Fund (Senior quotas). The objective of the Fund is to provide gains to its quotaholders through the definitive purchase of Credit Rights and without any kind of co-obligation by the assignors.

5 Trade Accounts Receivable Parent Company Consolidated 3/31/08 12/31/07 3/31/08 12/31/07 Current assets:

Domestic market 170,133 204,676 235,167 308,858 Foreign market 100,779 102,982 140,701 166,681 FIDC - Marcopolo Financeiro - - 32,815 36,188 Interbank accounts - - 84,083 73,460 Less:

Allowance for doubtful accounts (17,057) (16,483) (31,100) (30,262)

253,855 291,175 461,666 554,925


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Parent Company Consolidated 3/31/08 12/31/07 3/31/08 12/31/07 Long-term receivables:

Domestic market - 20 - 20 Foreign market - - 5,658 7,590 Interbank accounts - - 218,530 188,391

- 20 224,188 196,001

253,855 291,195 685,854 750,926 The Marcopolo Credit Rights Investment Fund (the Assignee) was formed through a private instrument of commitment for the assignment and purchase of credit rights and other covenants, together with BEM Distribuidora de Títulos e Valores Mobiliários Ltda. (Administrator), Banco Moneo S.A. (Assignor) and Banco Bradesco S.A. (Custodian).

6 Inventories Parent Company Consolidated 3/31/08 12/31/07 3/31/08 12/31/07 Finished products 32,634 20,998 38,921 29,540 Work in process 11,076 10,605 34,113 25,826 Raw and auxiliary materials 113,174 87,905 185,685 155,206 Merchandise - 360 408 476 Advances to suppliers and others 13,037 8,499 25,051 20,297 Provision for losses in inventories (1,068) (985) (2,219) (1,525) 168,853 127,382 281,959 229,820


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7 Taxes and Contributions Recoverable

Parent Company Consolidated 3/31/08 12/31/07 3/31/08 12/31/07 Current: Corporate Income Tax (IRPJ) 61,093 61,163 64,486 63,035 Social Contribution on Net Income (CSLL). 22,070 17,621 22,842 17,895 Excise Tax (IPI) 5,122 6,690 6,366 8,166 State Value-added Tax on Sales and Services (ICMS) 38,742 28,515 40,680 30,665 Social Integration Program (PIS) 5,251 3,349 5,689 3,973 Social Contribution on Revenues (COFINS) 16,437 12,737 18,276 14,680 Other - - 10,637 9,403 148,715 130,075 168,976 147,817 Long-term receivables: State Value-added Tax (ICMS). 828 905 1,308 943 828 905 1,308 943 149,543 130,980 171,554 148,760

8 Investments Parent Company Consolidated 3/31/08 12/31/07 3/31/08 12/31/07 In subsidiary and jointly-owned companies 355,534 300,430 41,824 31,986 Other investments 727 744 964 862 356,261 301,174 42,788 32,848


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Investments in subsidiaries and jointly-owned subsidiaries are shown below:

Subsidiaries Jointly owned subsidiaries Total

Ciferal Llmot Mac Mapla Moneo Mvc Polo Polomex Syn cro Trading Loma San Marino Spheros Tata Wsul 3/31/08 12/31/07

(1) (1) (1) (1) (3) (2) (1)

* * * * * * * * * * * * * * *

Investment details

Capital 20,000 26,924 500 1,091 75,000 45,000 500 13,696 4,000 1,000 26,059 14,586 3,300 26,152 6,100 Adjusted stockholders' equity 65,894 35,920 646 26,714 91,678 27,674 7,020 30,383 11,735 8,527 37,546 11,294 15,804 24,158 6,252

Shares or quotas held 499,953 50,000 1 4,000 75,000 1 1 3,011,659 1 3,450,103 15,949,948 6,578,738 244,898 24,500 1,830,000

Percentage holding 99.99 100.00 100.00 99.99 100.00 99.99 99.00 3.61 99.99 99.99 33.00 39.59 40.00 49.00 30.00 Net income (loss) for the period 2,020 3,157 175 (532) 2,459 587 117 1,200 172 693 1,869 626 1,290 (876) 525

Changes in investments

Opening balances:

Net equity 63,871 33,179 458 27,749 64,219 27,087 6,835 1,041 11,563 7,826 - 36,326 5,915 12,643 1,718 300,430 221,845

Acquisitions - - - - - - - - - - 12,041 - - - - 12,041 18,221

Payment of capital - - - - 25,000 - - - - - - - - - - 25,000 -

Unamortized goodwill - - - - - - - - - - 11,330 - - - - 11,330 34,932

Dividends received - - - - - - - - - - - - - - - - (14,910)

Reversal of dividends - - - - - - - - - - - - - - - - 1,570

Goodwill amortization - - - - - - - - - - (566) (925) - - - (1,491) (2,989) Equity in the earnings(loss) 2,019 2,741 188 (1,035) 2,459 587 115 55 172 682 350 89 450 (806) 158 8,224 41,761

Closing balances:

Net equity 65,890 35,920 646 26,714 91,678 27,674 6,950 1,096 11,735 8,508 23,155 35,490 6,365 11,837 1,876 355,534 300,430

(*) The companies’ names are the following: Ciferal - Ciferal Indústria de Ônibus Ltda; Ilmot - Ilmot International Corporation; Loma - Loma Hermosa S/A.; Mac - Marcopolo Auto Components Co Ltd. Mapla - Marcopolo Latinoamérica S/A; Moneo - Moneo Investimentos S/A; Mvc - Mvc Componentes Plásticos Ltda; Polo - Polo Serviços em Plásticos Ltda; Polomex - Polomex S/A de C.V.; Syncro - Syncroparts Comércio e Distribuição de Peças Ltda; Trading - Marcopolo Trading S/A; San Marino - San Marino Ônibus e Implementos Ltda.; Spheros - Spheros Climatização do Brasil S/A; Wsul - Wsul Espumas Indústria e Comércio Ltda;

(1) Foreign subsidiary


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(2) The acquisition of the investment in San Marino Ônibus e Implementos Ltda., included goodwill of R$ 34,932, which is based on the expectation of generation of future profits. On March 31, 2008 accumulated amortization of the goodwill totaled R$ 3,914. The amortization schedule of the remaining balance is as follows:

(3)

Period of Goodwill Amortization 3/31/08 12/31/07

2008 2,852 3,777 2009 4,751 4,751 2010 5,490 5,490 2011 6,560 6,560 2012 7,475 7,475 2013 3,890 3,890

31,018 31,943

(4) The acquisition of the investment in Loma Hermosa S.A.., included goodwill of R$ 11,330, which is based on the expectation of generation of future profits. On March 31, 2008 accumulated amortization of the goodwill totaled R$ 566. The amortization schedule of the remaining balance is as follows:

(5)

Period of Goodwill Amortization 3/31/08

2008 1,697 2009 2,262 2010 2,262 2011 2,262 2012 2,262 2013 19

10,764


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9 Property, Plant and Equipment

Parent Company 3/31/2008 12/31/07 Depreciation Rate Depreci- (p.a.%) Cost ation Net Net Buildings 4 51,911 (28,894) 23,017 23,288 Machinery and equipment 10 94,551 (62,696) 31,855 31,950 Facilities 10 37,592 (26,704) 10,888 10,835 Furniture and fixtures 10 4,767 (2,819) 1,948 1,961 Vehicles 20 2,902 (1,791) 1,111 1,091 Computer equipment 20 45,570 (14,716) 30,854 5,195 Other 20 1,291 (912) 379 448 Land 12,375 - 12,375 12,575 Construction in progress 4,763 - 4,763 26,837 255,722 (138,532) 117,190 114,180 Consolidated 3/31/2008 12/31/07 Depreciation Rate Depreci- (p.a.%) Cost ation Net Net Buildings 4 106,312 (42,459) 63,853 55,976 Machinery and equipment 10 190,230 (110,603) 79,627 76,911 Facilities 10 49,862 (32,073) 17,789 17,423 Furniture and fixtures 10 9,774 (5,109) 4,665 4,172 Vehicles 20 7,073 (3,906) 3,167 3,177 Computer equipment 20 51,991 (18,699) 33,292 7,633 Other 20 3,325 (1,678) 1,647 1,838 Land 22,374 - 22,374 18,518 Advance to suppliers 31 - 31 77 Construction in progress 20,802 - 20,802 44,357 461,774 (214,527) 247,247 230,082


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10 Deferred Charges Consolidated 3/31/2008 12/31/07 Amortization Rate Amorti- (p.a.%) Cost zation Net Net Pre- operating expenses 20 17,124 (11,407) 5,717 5,995 17,124 (11,407) 5,717 5,995

Pre-operating expenses Pre-operating expenses refer basically to the development and implementation of new units which were deferred in the phase of construction and project development up to the moment they started to operate normally. These expenses are amortized over 5 years.

11 Related Parties The main asset and liability balances at March 31, 2008, as well as the transactions with related parties that influenced the results for the period, arise from transactions between the Company and its subsidiaries which were carried out under normal market conditions for the respective types of transactions.

Asset balance of loan and current

account

Liability balance of loan and

current account Trade accounts

receivable

Purchase accounts payable Suppliers

Sale of products/ services

Financial income

Financial expenses

Subsidiaries

Banco Moneo (*) 11 - - - - - - -

Brasa (*) - - 1,095 - - - - -

Ciferal (*) - 2,398 - 221 438 12,114 - 24

Ilmot (*) 598 - 5,668 - - 9,621 8 -

Mac (*) 908 - - - - - 13 -

Mpc (*) - - 416 - - 32 - -

Mic (*) - - 48,655 - - 64,491 - -

Mapla (*) - 93 1,500 - 197 118 - 2

Masa (*) - - 1,443 - - 443 - -

Trading (*) - 11,130 - - - - - 266

Moneo (*) - 10 - - - - - -

Mvc (*) 191 - 481 1,613 4,377 66 4 -

Polo (*) 40 - - - - - 4 -


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Polomex (*) - - 3,871 - - 3,045 - -

Poloplast (*) - - 8 - - - - -

Russian (*) - - 4,064 - - 2,298 - -

San Marino (*) - - - - - 828 - -

Spheros (*) - - - 1,908 3,995 - - -

Superpolo (*) 74 - 3,436 - - 1,820 2 -

Syncroparts (*) 10 - 447 - - - 7 -

Tata (*) - - 201 - - - - -

Wsul (*) 41 - - 455 1,085 - - -

Individuals - 1,361 - - - - - -

Balances at 3/31/08 1,873 14,992 71,285 4,197 10,092 94,876 38 292 Balance at 12/31/07 25,469 18,353 63,253 5,519 43,891 354,478 2,031 2,185

(*) The companies’ names are the following: Banco Moneo - Banco Moneo S/A; Brasa - Brasa Middle East FZE Ciferal - Ciferal Indústria de Ônibus Ltda; Ilmot - Ilmot International Corporation; Mac - Marcopolo Auto Components Co Ltd; Mpc - Marcopolo Indústria de Carroçarias S/A; Mic - Marcopolo International Corp.; Mapla - Marcopolo Latinoamérica S/A; Masa - Marcopolo South África Pty Ltd; Trading - Marcopolo Trading S/A; Moneo - Moneo Investimentos S/A; Mvc - Mvc Componentes Plásticos Ltda; Polo - Polo Serviços em Plásticos Ltda; Polomex - Polomex S/A de C.V.; Poloplast - Poloplast Componentes S.A. de C.V. Russian - Russian Busses Marco; San Marino - San Marino Ônibus e Implementos Ltda.; Spheros - Spheros Climatização do Brasil S/A; Superpolo - Superpolo S/A; Syncro - Syncroparts Comércio e Distribuição de Peças Ltda; Tata - Tata Marcopolo Motors Limited; Wsul - Wsul Espumas Indústria e Comércio Ltda;

Note: The loan and current account balances of companies headquartered in Brazil are subject to financial charges at the CDI interest rate, and of companies abroad at the semi-annual Libor rate plus 3% p.a. Sales and purchases of products and/or services are carried out at prices and conditions equivalent to those with third parties.


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12 Loans and Financing Parent company Consolidated

3/31/08 12/31/07 3/31/08 12/31/07 Loans and financing Local currency: FINAME - Long-term interest rate (TJLP) plus interest from 0.87% to 6.50% p.a.. 1,267 1,393 2,244 2,748 Bank loans - Referential Rate (TR) + 1.10% p.a. or TJLP plus interest from 1.10% to 7.00% p.a 19,702 20,116 56,394 54,724 FINEP - TJLP + 3.5% to 4.5% p.a. 83,766 72,442 92,070 79,142 Special pre-shipment - TJLP plus interest from 2.25% to 2.30% p.a. 220,820 244,773 220,820 244,773 FIDC - Marcopolo Financeiro - CDI + 1.4% p a - - 38,669 40,389 Foreign currency:

Advances on exchange contracts in U.S. dollars with interest from 3.80% to 6.70% p.a. 9,514 197 12,627 9,648 Export prepayments in U.S. dollars - semi-annual LIBOR + spread from 1.25% to 2.60% p.a.. 69,059 22,764 70,355 24,293 Financing in U.S. dollars - semi-annual LIBOR plus spread from 1.00% to 4.5% p.a.. 11,340 12,648 249,259 191,396 Financing in Colombian Pesos - interest from 9.82% to 11.24% p.a - - 22,004 22,779 Financing in South African Rands - interest of 12.00% p.a - - - 1,054 Financing in Euros - interest of 5.50% p.a. - - 7,834 7,841

Funds raised in the open market Local currency: BNDES - TJLP plus interest of 1.00% p a - - 245,109 211,768 415,468 374,333 1,017,385 890,555 Short-term portion 167,747 238,265 350,411 417,496 Long-term liabilities 247,721 136,068 666,974 473,059


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Long-term payments fall due as follows:

Parent company Consolidated Due date: 3/31/08 12/31/07 3/31/08 12/31/07 From 13 to 24 months 136,936 64,043 254,850 166,485 From 25 to 36 months 28,968 7,131 140,943 94,616 After 36 months 81,817 64,894 271,182 211,958

247,721 136,068 666,974 473,059 Loans and financing The FINAME (Government Agency for Machinery and Equipment Financing) loan is guaranteed by liens of the financed assets totaling R$ 2,244 at March 31, 2008 (R$ 2,748 at December 31, 2007) and the FINEP (Fund for Financing Studies and Projects) bank loan has a mortgage guarantee. The Company has a financing contract with the IFC (International Finance Corporation) totaling US$ 6,483 thousand, which has restrictive covenants with which the company has been complying, and mortgage guarantees. Funds raised in the open market The funds raised in the open market refer to funds raised by Banco Moneo S.A. from the National Bank for Economic and Social Development (BNDES) to finance FINAME loans. These liabilities bear financial charges of 1% p.a., in addition to the Long-term Interest Rate (TJLP) variation.

13 Provision for Contingencies Contingent liabilities The Company is a party in labor, civil, tax and other lawsuits in progress, and is disputing these matters both at the administrative and legal levels, and these lawsuits, when applicable, are supported by judicial deposits. The provisions for losses arising from these lawsuits are estimated and updated by management, based on the opinion of external legal counsel. At March 31, 2008 and December 31, 2007 the probable and possible contingent risks according to the opinion of legal counsel are as follows:


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3/31/08 12/31/07 3/31/08 12/31/07

Nature of the Parent

company Parent

company Consolidated ConsoLidated contingent liability Probable Possible Probable Possible Probable Possible Probable Possible

a) civil 151 127 151 127 151 317 376 317b) labor 55 3,893 55 3,893 1,031 4,609 1,069 4,609c) tax 33,386 40,043 32,468 40,043 42,171 46,563 41,009 46,563d) social security - - - - 194 - 194 - Total : 33,592 44,063 32,674 44,063 43,547 51,489 42,648 51,489

3/31/08 12/31/07

Nature of Asset Parent company Consolidated Parent company Consolidated

Judicial deposit

a) civil - 722 - 512

b) labor 415 717 361 670

c) tax 3,217 4,163 3,218 3,454

d) social security - 194 - 194

Total : 3,632 5,796 3,579 4,830

a) Civil and labor contingencies

The Company is a party in civil and labor lawsuits in progress, which include claims for indemnities and occupational disease. None of these lawsuits refers to individually significant amounts. b) Tax contingencies Provided

Lawsuits regarding the use of price-level restatement of the State Value-added Tax on Sales and Services (ICMS) credit balances in the tax records; transfer of ICMS credits arising from exports to suppliers; payment of trade bills for purchases of inputs; and debts related to interest and fine on ICMS incurred on shipments as sales for future delivery. The lawsuits are in progress as tax collection actions at the Court of Justice of the State of Rio Grande do Sul and at the Federal Supreme Court.


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Not provided Lawsuits regarding State Value-added Tax (ICMS) liabilities from shipments of

goods with reduced tax rate to non-taxpayers established out of the state. The lawsuits are in progress at the Court of Justice of the State of Rio Grande do Sul.

Lawsuits regarding requests for the offset of credits arising from lawsuits relating to

the Social Integration Program (PIS), Social Contribution on Revenues (COFINS) and Social Security Fund (FINSOCIAL), with other federal tax and contribution liabilities; these requests have not been totally approved by the tax authorities. The lawsuits were challenged and are in progress at the Federal Revenue Judgment Office.

Lawsuits regarding Corporate Income Tax (IRPJ) concerning (i) the use of tax

losses without any amount or time restrictions, in the determination of taxable income, for the calculation of IRPJ and CSLL, and (ii) tax credit arising from underpaid accumulated inflation gain, and understated interest on own capital in the determination of taxable income. The lawsuits are in progress at the Federal Regional Court and await ruling on the appeal to the Taxpayers’ Council.

Lawsuits regarding Corporate Income Tax (IRPJ), Social Contribution on Net

Income (CSLL) and Withholding Income Tax (IRRF) for amounts allegedly due on exports intermediated by foreign subsidiaries, carried out in the period from 1999 to 2002, which, according to the tax authorities, characterize a simulated transaction. The lawsuits are awaiting ruling on the appeal to the Taxpayers’ Council (1999 and 2000) and a decision on challenges at the Federal Revenue Judgment Office (2001 and 2002). Lawsuits related to the Excise Tax (IPI) premium credit, regarding the use of credits on exports, allegedly not appropriate because of the loss of the tax incentive due to the termination of the Special Export Program (BEFIEX). The lawsuit is awaiting judgment by the Superior Board of Tax Appeals. The subsidiary Ciferal Indústria de Ônibus Ltda received a tax assessment from the Finance Department of the State of Rio de Janeiro, for the payment of ICMS on interstate sales to end consumers that are not taxpayers. According to the tax authorities, Ciferal incorrectly applied a lower interstate tax rate, failing to pay ICMS amounts. The Company has not recorded a provision for contingencies for this lawsuit as it considers the tax assessment notice inapplicable, based on a reply to a consultation to the Finance Department of that state.


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c) Social security contingencies

Lawsuits related to the assessment received from the National Institute of Social Security (INSS) extending the payment of social security contributions on amounts paid to employees as sick pay. The lawsuit is awaiting judgment by the Federal Regional Court. Contingent assets The contingent assets at March 31, 2008 and December 31, 2007 are summarized below, together with the possibilities of a favorable outcome according to the opinion of legal counsel. 3/31/08 12/31/07 Nature of the contingent

Parent company and Consolidated

Parent company and Consolidated

gain Probable Possible Probable Possible

a) tax 71,070 11,705 69,300 11,410

b) social security 2,390 1,230 2,330 1,200

Total : 73,460 12,935 71,630 12,610

a) Tax contingencies

The Company is the plaintiff in many lawsuits at the state and federal levels in which the following matters are disputed:

Excise Tax (IPI): lawsuits claiming the right to ensure (i) the maintenance and use, through reimbursement, of credits from IPI tax incentives, considered sectorial, which were terminated in October 1990 by means of the Transitory Constitutional Provisions Act (ADCT) and are no longer recognized by the Finance Department, (ii) the price-level restatement of the credit reimbursements paid late by the Finance Department, (iii) the maintenance of the presumed IPI credits used as payment of PIS and COFINS contributions, levied on inputs used to manufacture exported products, suspended in the last quarters of 1999, and (iv) maintenance and reimbursement of IPI credit premium on exports, established by Decree Law 491/69 and gradually reduced until its termination. The lawsuits are awaiting judgment by the Superior Courts of Justice and the Federal Regional Courts. Social Integration Program (PIS) and Social Contribution on Revenues (COFINS): lawsuits claiming the right to ensure (i) the payment of PIS and COFINS on billings,


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01 - IDENTIFICATION



34

without including other revenues, and without the increase in tax rates, (ii) the reimbursement of differences in judicial deposits arising from the use of price-level restatement indexes lower than the actual and official inflation indexes, (iii) the exclusion of ICMS and ISS from the calculation basis of PIS and COFINS contributions. The lawsuits are awaiting judgment by the Federal Regional Courts. Corporate Income Tax (IRPJ) and Social Contribution on Net Income (CSLL): lawsuits claiming (i) the deduction of the CSLL itself and the IRPJ expenses in the determination of CSLL taxable income, (ii) the exclusion of export revenues from taxable income subject to income and social contribution taxes, (iii) the use of tax losses, without any amount or time restrictions, in the determination of IRPJ and CSLL taxable income, (iv) the deduction of the price-level restatement of IPI reimbursements, in the determination of the IRPJ and CSLL taxable income. The lawsuits are awaiting judgment by the Federal Regional Courts. Tax on Financial Transactions (IOF) and Income Tax Withheld at Source (IRRF): lawsuit claiming the non-payment of IOF and IRRF on loan transactions and corresponding income, between group companies. The lawsuit is awaiting judgment by the Federal Regional Court. Eletrobrás Compulsory Loan: lawsuit claiming the reimbursement of the compulsory loan made to Eletrobrás. Lawsuit awaiting calculations of the price-level restatement and decision, in progress at the Superior Court of Justice. b) Social security contingencies

The Company is the plaintiff in a lawsuit against the National Institute of Rural Settlement and Agrarian Reform (INCRA) contribution on payrolls, and is awaiting ruling on the appeal filed with the Federal Regional Court of the 1st Region against the decision that was partially favorable to this request.


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01 - IDENTIFICATION



35

14 Income Tax and Social Contribution

(a) Deferred income tax and social contribution The basis for the calculation of these taxes is as follows: Parent company Consolidated 3/31/08 12/31/07 3/31/08 12/31/07 Assets Provision for technical assistance 15,652 13,956 16,614 14,967 Provision for commissions 7,638 7,449 9,023 9,424 Allowance for doubtful accounts 575 1,093 2,701 3,062 Provision for profit sharing 10,287 16,643 10,951 17,467 Provision for contingencies 33,386 32,674 43,330 42,648 Provision for sureties to third parties 19,702 11,980 20,177 12,455 Provision for inventory losses 1,068 985 2,219 985 Other temporary provisions 27,571 13,835 29,429 14,689 Income tax and social contribution losses - - 8,659 8,253 Calculation basis 115,879 98,615 143,103 123,950 Standard rates 34% 34% 34% 34% Deferred income tax and social

contribution 39,399 33,529 48,655 42,143 Current 27,978 22,420 33,923 27,806 Long-term 11,421 11,109 14,732 14,337

(b) Estimates of the realization of deferred tax cr edits The recovery of the tax credits, in the parent company and consolidated, is based on estimates of taxable income, as well as on the realization of temporary differences for the following years:


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01 - IDENTIFICATION



36

Parent company Consolidated 3/31/08 12/31/07 3/31/08 12/31/07 Up to 12 months 27,978 22,420 33,923 27,806From 12 to 24 months 11,421 11,109 14,732 14,337 39,399 33,529 48,655 42,143

(c) Reconciliation of income tax and social contrib ution expense

Parent company Consolidated 3/31/08 31/03/07 3/31/08 31/03/07 Reconciliation Profit before taxation and profit sharing 41,264 34,241 46,635 38,908 Permanent additions and deductions Equity in the results of subsidiaries (8,224) (7,304) - (47) Other additions (deductions) 263 (299) 1,044 (1,885) Calculation basis 33,303 26,638 47,679 36,976 Standard rates of tax 34% 34% 34% 34% Income tax and social contribution expense (11,323) (9,057) (16,211) (12,572) Current income tax and social

contribution (17,181) (12,489) (23,447) (16,450) Deferred income tax and social

contribution 5,858 3,432 7,236 3,878

15 Stockholders’ Equity (Parent Company) a. Capital

The authorized capital comprises 2,000,000,000 shares with no par value of which 800, 000,000 are common and 1,200,000,000 preferred. At March 31, 2008, subscribed and paid-up capital comprises 224,225,021 (224,225,021 at December 31, 2007) nominative shares, 85,406,436 of which were common and 138,818,585 preferred.


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37

b. Reserves • Legal reserve

This reserve is recorded at 5% of net income of each year, under Article 193 of Law 6404/76, up to the limit of 20% of capital.

• Dividends and statutory reserve

a) At least 25% of the remaining balance of net income must be appropriated for the payment of a compulsory dividend on all shares of the Company;

b) The remaining balance of the net income must be fully appropriated to the following

reserves:

Reserve for future capital increase - to be used for future capital increase, and is established as 70% of the remaining balance of net income for each year, but cannot exceed 60% of capital;

Reserve for payment of interim dividends - to be used for the payment of interim dividends in accordance with Paragraph 1 of Article 33 of the by-laws, and is established as 15% of the remaining balance of the net income for each year, but cannot exceed 10% of capital; Reserve for the purchase of own shares - to be used for the purchase of shares issued by the Company, to be cancelled, remain in treasury and/or sold, and is established as 15% of the remaining balance of the net income for each year, but cannot exceed 10% of capital.

c. Treasury stock

Treasury stock comprises 137,456 preferred shares, purchased at an average cost of R$ 6,94 (in reais) per share, with a minimum cost of R$ 4.77 (in reais) and maximum cost of R$ 8.62 (in reais) per share. The market value of the treasury stock, calculated at the closing date for the period, was R$ 953. The purchase was made for granting management and employees a share purchase option.


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01 - IDENTIFICATION



38

16 Financial Instruments The estimated realizable values of the Company's financial assets and liabilities are determined according to information available in the market and appropriate valuation methodologies. However, considerable judgment is required in the interpretation of market data to produce the estimate of the most adequate realizable values. Consequently, the estimates below do not necessarily indicate the amounts that could be realized in the current market. The use of different market methodologies may have a material effect on the estimated realizable values. These instruments are managed through operating strategies to obtain liquidity, profitability and security. The control policy consists of the constant monitoring of the rates contracted against those effective in the market. The Company and its subsidiaries do not invest in derivatives or any other risk assets for speculative purposes. a. Analysis of balances

In compliance with CVM Resolution 235/95, the Company calculated the market values of the financial instruments included in the balance sheet at March 31, 2008, which did not indicate market values significantly different from the amounts recorded.

b. Criteria and assumptions used and limitations in the calculation of market

values

a. Cash and banks and financial investments

Current account and financial investment balances with banks have market values that are similar to their recorded values, considering their characteristics and maturities. b. Intercompany loans receivable/payable

The financial conditions are comparable with those practiced with third parties.

c. Investments

Investments are presented at book values because there are no available market quotations.


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01 - IDENTIFICATION



39

d. Loans and financing

Loans and financing have been recently obtained and their balances approximate market values. e. Derivatives The Company's policy is to eliminate market risks, avoiding positions exposed to fluctuations in market values, and to only operate with instruments that allow control of risks. Most of the derivative contracts are related to swap transactions, all of them registered at the Mercantile and Futures Exchange (BM&F) and involving fixed rates. Forward contracts in U.S. dollars of the BM&F are mainly used as instruments for hedging financing rates. At March 31, 2008, the Company had forward transactions in Brazil in the amount of US$ 113,374 thousand, falling due between April 2008 and December 2008, with fixed U.S. dollar rates between R$ 1.6970 (in reais) and R$ 1.8585 (in reais), and forward transactions in South Africa in the amount of US$ 21,362 thousand, falling due between April 2008 and December 2008, with fixed U.S. dollar rate between Rand $ 6.9650 (in rands) and Rand $ 8.0550 (in rands).

f. Limitations Market values were estimated at a specific moment, based on the relevant market information. Changes in the assumptions may affect the estimates presented.

c. Credit risk The sales policies of the Company and its subsidiaries are subordinated to the credit policies determined by management and aim to minimize problems arising from the default of their customers. This objective is achieved by management through a careful selection of the customer portfolio, which considers the payment capacity (credit analysis) of the customers and diversification of sales (risk spread). The Company also recorded allowances for doubtful accounts of R$ 17,057 (Parent company) and R$ 31,100 (Consolidated) at March 31, 2008 (R$ 16,483 and R$ 30,262 at December 31, 2007) equivalent to 6.3% and 4.3%, respectively, of the outstanding accounts receivables of the parent company and consolidated (5.4% and 3.9% at December 31, 2007), to cover credit risk.


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01 - IDENTIFICATION



40

d. Foreign exchange rate risk The results of the Company and its subsidiaries are susceptible to changes as their liabilities are linked to the volatility of foreign exchange rates, mainly the U.S. dollar. The strategy adopted to prevent or reduce the effects of the fluctuations of exchange rates is to maintain a natural hedge with assets that are also subject to exchange variations.

e. Price risk

Considering that exports are equivalent to 38.0% of the projected revenues of the parent company and subsidiaries for 2008, a possible volatility of foreign exchange rates represents, in fact, a price risk that may alter the results planned by management.

f. Interest rate risk

The results of the Company and its subsidiaries are susceptible to significant variations arising from loans and financing contracted at floating interest rates. Derivative financial instruments are used to hedge or reduce the financial costs of the financing transactions. Contracting derivative financial instruments, such as swaps, has the objective of minimizing risks in transactions, financing and investments in foreign currencies.

17 Insurance Coverage At March 31, 2008, the Company and its subsidiaries had insurance cover against fire and sundry risks for property, plant and equipment items and inventories at amounts considered sufficient to cover eventual losses. The main insurance coverage is: Consolidated Description Risk 3/31/08 12/31/07 Inventories and warehouses Fire and sundry risks 224,010 224,010 Buildings and construction Fire and sundry risks 477,960 477,960 Vehicles Collision, comprehensive civil liability 2,049 2,049 704,019 704,019


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01 - IDENTIFICATION



41

18 Sureties and Guarantees At March 31, 2008, the Company had sureties and/or guarantees of R$ 92,614 (R$ 80,992 at December 31, 2007), granted to the financing of customers by banks, which have as a counter guarantee the respective assets financed.

19 Profit Sharing a. Management profit sharing The management profit sharing is being recorded on the accrual basis, limited to 10% of corporate net income for the year and the amount of remuneration, as established in the Company's by-laws. b. Employee profit sharing The employee profit sharing was calculated in accordance with the terms of the Instrument for the Agreement of the Marcopolo Targets/Efficiency Program (EFIMAR), dated April 4, 2007, which was approved by the Employees' Union. The amounts are recorded in the statement of income as follows: Parent Company Consolidated 3/31/08 3/31/07 3/31/08 3/31/07 Cost of sales and services 4,478 3,233 5,168 3,286 Selling expenses 661 647 686 650 Administrative expenses 312 289 327 326 5,451 4,169 6,181 4,262


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01 - IDENTIFICATION



42

20 Financial Results Parent company Consolidated 3/31/08 3/31/07 3/31/08 3/31/07 Financial income Interest and monetary variations received 536 1,094 5,450 6,606 Income from financial investments 11,512 11,924 13,892 12,607 Foreign exchange variation 10,015 10,270 12,248 10,638 22,063 23,288 31,590 29,851 Financial expenses Interest on loans and financing 6,901 8,382 13,614 10,261 Foreign exchange variation 1,850 4,513 3,464 4,830 Bank expenses 612 215 1,340 471 Other 941 1,575 1,098 1,872 10,304 14,685 19,516 17,434 Net financial result 11,759 8,603 12,074 12,417


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43

21 Statement of Cash Flows - Indirect Method Parent Company Consolidated 3/31/08 3/31/07 3/31/08 3/31/07 Cash flows from operating activities Net income for the period 28,235 23,603 28,406 24,1 68 Adjustments to reconcile net income with funds provided by operating activities: Depreciation and amortization 7,909 4,318 12,420 7,295 Result on sales of permanent assets 87 235 552 235 Equity in the earnings of subsidiaries (8,224) (7,304) - - Provision for credit risks 574 760 2,476 859 Interest and appropriated exchange variations 6,243 23,892 19,652 4,422 Exchange variations of subsidiaries abroad - - 651 923 Minority interest - - 399 60 Changes in assets and liabilities (Increase) decrease in trade accounts receivable 36,766 (1,946) 67,386 (41,017) (Increase) decrease in other accounts receivable (17,749) (1,054) (52,139) (5,638) (Increase) decrease in inventories (41,471) (37,565) (48,326) (32,317) Increase (decrease) in suppliers (21,729) 39,306 (19,231) 58,154 Increase (decrease) in accounts payable and provisions 16,615 3,723 25,617 10,798 Net cash provided by operating activities 7,256 47, 683 37,863 27,895 Cash flows from investing activities Purchase/capital increase in subsidiaries/ associated companies (48,371) (37,500) (11,330) (37,500) Financial investments- long-term - - (112,806) - Purchase of property, plant and equipment (9,498) (7,208) (29,119) (10,996) Net cash used in investing activities (57,869) (44, 423) (153,255) (48,496) Cash flows from financing activities (Increase) decrease in related parties 20,234 20,562 (4,365) - Borrowings 115,197 119,331 217,042 199,104 Payment of loans and interest (80,305) (120,692) (109,865) (121,452) Payment of interest on own capital (75,020) (47,563) (75,020) (47,563) Treasury stock 1,927 1,772 1,927 1,772 Net cash provided by (used in) financing activities (17,967) (26,590) 29,719 (111 ,142) Increase (decrease) in cash and cash equivalents At the beginning of the period 308,138 355,989 495,525 402,607 At the end of the period 239,558 332,659 409,852 288,792 Increase (decrease) in cash and cash equivalents (6 8,580) (23,330) (85,673) (113,815)


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44

22 Balance Sheets and Statements of Income per Segm ent

Industrial Financial Consolidated Segment Segment

3/31/08 12/31/07 3/31/08 12/31/07 3/31/08 12/31/07

Assets Current assets 1,402,275 1,489,893 1,239,908 1,346,849 162,367 143,044

Cash and banks 52,215 146,879 52,118 146,331 97 548

Financial investments 357,637 348,646 311,064 314,277 - 34,369

Receivables 461,666 554,925 348,838 448,905 46,573 106,020

Inventories 281,959 229,820 281,959 229,820 - - Other accounts receivable 248,799 209,623 245,930 207,516 2,869 2,107

Non-current assets 728,958 556,777 495,577 368,252 218,649 188,525

Long-term receivables 433,205 287,852 214,675 99,445 218,530 188,407

Financial investments 183,873 71,067 183,873 71,067 - -

Receivables 224,188 196,001 5,658 7,610 218,530 188,391

Other accounts receivable 25,144 20,784 30,801 20,768 - 16

Permanent assets 295,752 268,925 295,633 268,807 119 118

Total assets 2,131,232 2,046,670 1,750,216 1,715,101 381,016 331,569

Liabilities and stockholders’ equity

Current liabilities 762,523 903,583 678,842 802,628 83,681 100,955 Financial institutions 350,411 417,496 272,758 332,247 77,653 85,249 Suppliers 180,978 197,979 180,978 197,979 - - Other accounts payable 231,134 288,108 225,107 272,402 6,028 15,706 Non-current liabilities 737,593 542,703 531,437 375,795 206,157 166,908 Long-term liabilities 737,593 542,703 531,437 375,795 206,157 166,908 Financial institutions 666,974 473,059 460,850 306,151 206,124 166,908 Other accounts payable 70,619 69,644 70,586 69,644 33 - Minority interest 8,235 7,836 8,235 7,836 - - Stockholders' equity 622,881 592,548 531,703 528,842 91,178 63,706

Total liabilities and 2,131,232 2,046,670 1,750,216 1,715,101 381,016 331,569


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45

stockholders’ equity

3/31/08 31/03/07 3/31/08 31/03/07 3/31/08 31/03/07Statement of Income

Net revenues 462,333 418,579 455,336 414,399 6,997 4,180

Cost of sales (376,580) (347,304) (376,580) (347,304) - -

Gross profit 85,753 71,275 78,756 67,095 6,997 4,180 Selling expenses (29,117) (22,768) (27,205) (22,034) (1,912) (734)

Administrative expenses (21,921) (17,767) (20,869) (17,183) (1,053) (584)

Financial result 12,074 12,417 12,074 12,417 - - Other operating income and expenses (851) (4,045) (517) (3,839) (332) (206)

Operating profit 45,938 39,112 42,238 36,456 3,700 2,656

Non-operating result 697 (204) 697 (204) - -

Income tax and social contribution (16,212) (12,572) (14,984) (11,675) (1,228) (897) Management profit sharing (1,706) (1,581) (1,706) (1,581) - -

Minority interest (312) (587) (312) (587) - -

Net income for the period 28,406 24,168 25,934 22,409 2,472 1,759

* * *


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Corporate Legislation

March 31, 2008

01 - IDENTIFICATION

1 - CVM CODE 2 - COMPANY NAME 3 - National Corp orate Taxpayers' Registry (CNPJ)

00845-1 MARCOPOLO S.A. 88.611.835/0001-29

05.01 - Comments on Company Performance During the Quarter

46

The comments on Company performance during the quarter are presented in Form 08.01 - Comments on Consolidated Performance during the Quarter.


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01.01 - IDENTIFICATION


00845-1 MARCOPOLO S.A. 88.611.835/0001-29 06.01 - Consolidated Balance Sheet - Assets (R$ tho usand)

47

1 - Code 2 - Description 3 - 3/31/2008 4 - 12/31/2007 1 Total assets 2,131,232 2,046,670 1.01 Current assets 1,402,275 1,489,893 1.01.01 Cash and banks 52,215 146,879 1.01.02 Receivables 461,666 554,925 1.01.02.01 Customers 461,666 554,925 1.01.02.01.01 Interbank accounts 116,898 73,460 1.01.02.01.02 Trade accounts receivable 375,868 511,727 1.01.02.01.03 Allowance for doubtful accounts (31,100) (30,262) 1.01.02.02 Sundry receivables 0 0 1.01.03 Inventories 281,959 229,82 1.01.03.01 Finished products 38,921 29,540 1.01.03.02 Work in process 34,113 25,826 1.01.03.03 Raw and auxiliary materials 185,685 155,206 1.01.03.04 Merchandise 408 476 1.01.03.05 Advances to suppliers and others 25,051 20,297 1.01.03.06 Provision for losses in inventories (2,219) (1,525) 1.01.04 Other 606,435 558,269 1.01.04.01 Financial investments 357,637 348,646 1.01.04.02 Taxes and contributions recoverable 168,977 147,817 1.01.04.03 Deferred taxes and contributions 33,923 27,806 1.01.04.04 Advances to employees 6,900 3,423 1.01.04.05 Prepaid expenses 2,097 2,081 1.01.04.06 Other accounts receivable 36,901 28,496 1.02 Non-current assets 728,957 556,777 1.02.01 Long-term receivables 433,205 287,852 1.02.01.01 Sundry receivables 0 0 1.02.01.02 Related parties 0 0 1.02.01.02.01 Associated and similar companies 0 0 1.02.01.02.02 Subsidiaries 0 0 1.02.01.02.03 Other related parties 0 0 1.02.01.03 Others 433,205 287,852 1.02.01.03.01 Taxes and contributions recoverable 1,308 943 1.02.01.03.02 Deferred taxes and contributions 14,732 14,337 1.02.01.03.03 Trade accounts receivable 224,188 196,001 1.02.01.03.04 Judicial deposits 5,796 4,830 1.02.01.03.05 Financial investments 183,873 71,067 1.02.01.03.06 Other accounts receivable 3,308 674 1.02.02 Permanent assets 295,752 268,925 1.02.02.01 Investments 42,788 32,848

1.02.02.01.01 Interest in associated and similar companies 0 0

1.02.02.01.02 Interest in associated and similar companies - Goodwill 0 0

1.02.02.01.03 Interest in subsidiaries 0 0


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00845-1 MARCOPOLO S.A. 88.611.835/0001-29 06.01 - Consolidated Balance Sheet - Assets (R$ tho usand)

48

1 - Code 2 - Description 3 - 3/31/2008 4 - 12/31/2007 1.02.02.01.04 Interest in subsidiaries - Goodwill 41,824 31,986 1.02.02.01.05 Other investments 964 862 1.02.02.02 Property, plant and equipment 247,247 230,082 1.02.02.02.01 Land 22,374 18,518 1.02.02.02.02 Buildings 106,312 95,072 1.02.02.02.03 Machinery and equipment 190,230 181,120 1.02.02.02.04 Facilities 49,862 48,786 1.02.02.02.05 Furniture and fixtures 9,774 9,114 1.02.02.02.06 Vehicles 7,073 6,810 1.02.02.02.07 Data processing equipment and systems 51,991 24,475 1.02.02.02.08 Construction in progress 20,802 44,357 1.02.02.02.09 Other property, plant and equipment 3,325 3,241 1.02.02.02.10 Advances to suppliers 31 77 1.02.02.02.11 Accumulated depreciation (214,527) (201,488) 1.02.02.03 Intangible assets 0 0 1.02.02.04 Deferred charges 5,717 5,995


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00845-1 MARCOPOLO S.A. 88.611.835/0001-29 06.02 - Consolidated Balance Sheet - Liabilities an d Stockholders' Equity (R$ thousand)

49

1 - Code 2 - Description 3 - 3/31/2008 4 - 12/31/2007 2 Total liabilities and stockholders' equity 2,131,232 2,046,670 2.01 Current liabilities 762,523 903,583 2.01.01 Loans and financing 350,411 417,496 2.01.01.01 Loans and financing 311,426 372,636 2.01.01.02 Funds raised in the open market 38,985 44,860 2.01.02 Debentures 0 0 2.01.03 Suppliers 180,978 197,979 2.01.04 Taxes, charges and contributions 29,836 24,581 2.01.05 Dividends payable 67 40,497 2.01.06 Provisions 61,447 27,310 2.01.06.01 Corporate income tax 15,403 0 2.01.06.02 Social contribution 5,671 0 2.01.06.03 13th month salary 6,471 0 2.01.06.04 Vacation pay 24,320 27,310 2.01.06.05 Bonuses 9,582 0 2.01.07 Payables to related parties 1,361 5,726 2.01.08 Others 138,423 189,994 2.01.08.01 Salaries and wages 14,716 14,234 2.01.08.02 Advances from customers 33,531 25,535 2.01.08.03 Commissioned representatives 14,988 15,983 2.01.08.04 Billings in advance 0 0 2.01.08.05 Interest on capital 116 34,523 2.01.08.06 Employee profit sharing 0 17,839 2.01.08.07 Management profit sharing 1,706 6,561 2.01.08.08 Unbilled services 31,034 34,154 2.01.08.09 Contractual creditors 31,640 35,349 2.01.08.10 Other accounts payable 10,692 5,816 2.02 Non-current liabilities 737,593 542,703 2.02.01 Long-term liabilities 737,593 542,703 2.02.01.01 Loans and financing 666,974 473,059 2.02.01.01.01 Loans and financing 460,850 306,151 2.02.01.01.02 Funds raised in the open market 206,124 166,908 2.02.01.02 Debentures 0 0 2.02.01.03 Provisions 0 0 2.02.01.04 Debts with Related parties 0 0 2.02.01.05 Advances for future capital increase 0 0 2.02.01.06 Other 70,619 69,644 2.02.01.06.01 Taxes, charges and contributions 9,524 10,351 2.02.01.06.02 Suppliers 2,217 2,230 2.02.01.06.03 Benefits to employees 13,200 13,200 2.02.01.06.04 Provision for contingencies 43,547 42,648 2.02.01.06.05 Other accounts payable 2,131 1,215 2.02.02 Deferred income 0 0 2.03 Minority interest 8,235 7,836 2.04 Stockholders' equity 622,881 592,548


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00845-1 MARCOPOLO S.A. 88.611.835/0001-29 06.02 - Consolidated Balance Sheet - Liabilities an d Stockholders' Equity (R$ thousand)

50

1 - Code 2 - Description 3 - 3/31/2008 4 - 12/31/2007 2.04.01 Paid-up capital 450,000 450,000 2.04.02 Capital reserves 704 1,186 2.04.02.01 Investment subsidies 688 688 2.04.02.02 Gain on treasury stock sales 16 498 2.04.03 Revaluation reserve 0 0 2.04.03.01 Own assets 0 0 2.04.03.02 Subsidiaries/ associated and similar companies 0 0 2.04.04 Revenue reserves 143,771 141,362 2.04.04.01 Legal 12,540 12,540 2.04.04.02 Statutory 132,184 132,184 2.04.04.02.01 Capital increase 75,742 75,742 2.04.04.02.02 Interim dividend 39,521 39,521 2.04.04.02.03 Purchase of own shares 16,921 16,921 2.04.04.02.04 Reinvestment 0 0 2.04.04.03 Contingencies 0 0 2.04.04.04 Unrealized profits 0 0 2.04.04.05 Retention of profits 0 0 2.04.04.06 Special for undistributed dividends 0 0 2.04.04.07 Other revenue reserves (953) (3,362) 2.04.04.07.01 Treasury stock (953) (3,362) 2.04.05 Retained earnings/ accumulated deficit 0 0 2.04.06 Advance for future capital increase 28,406 0


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01 - IDENTIFICATION


00845-1 MARCOPOLO S.A. 88.611.835/0001-29

07.01 - Consolidated Statement of Income (R$ thousa nd)

51


2 - 1/1/2008 to 3/31/2008

3 - 1/1/2007 to 3/31/2007

4 - 1/1/2007 to 3/31/2007

3.01 Gross sales and/or service revenues 556,020 556,020 482,957 482,957 3.02 Revenue deductions (93,687) (93,687) (64,378) (64,378) 3.03 Net sales and/or service revenues 462,333 462,333 418,579 418,579 3.04 Cost of sales and/or services (376,580) (376,580) (347,304) (347,304) 3.05 Gross profit 85,753 85,753 71,275 71,275 3.06 Operating expenses/income (39,815) (39,815) (32,163) (32,163) 3.06.01 Selling (29,117) (29,117) (22,768) (22,768) 3.06.02 General and administrative (21,921) (21,921) (17,767) (17,767) 3.06.02.01 General and administrative expenses (19,892) (19,892) (16,010) (16,010) 3.06.02.02 Management fees (2,029) (2,029) (1,757) (1,757) 3.06.03 Financial 12,074 12,074 12,417 12,417 3.06.03.01 Financial income 31,590 31,590 29,851 29,851 3.06.03.02 Financial expenses (19,516) (19,516) (17,434) (17,434) 3.06.04 Other operating income 0 0 0 0 3.06.05 Other operating expenses (851) (851) (4,092) (4,092)

3.06.06 Equity in the earnings of subsidiaries and associated companies 0 0 47 47

3.07 Operating profit 45,938 45,938 39,112 39,112 3.08 Non-operating results 697 697 (204) (204) 3.08.01 Income 1,249 1,249 1,260 1,260 3.08.02 Expenses (552) (552) (1,464) (1,464) 3.09 Profit before taxation and profit sharing 46,635 46,635 38,908 38,908

3.10 Provision for income tax and social contribution on net income (23,447) (23,447) (16,450) (16,450)


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01 - IDENTIFICATION


00845-1 MARCOPOLO S.A. 88.611.835/0001-29

07.01 - Consolidated Statement of Income (R$ thousa nd)

52


2 - 1/1/2008 to 3/31/2008

3 - 1/1/2007 to 3/31/2007

4 - 1/1/2007 to 3/31/2007

3.11 Deferred income tax 7,236 7,236 3,878 3,878 3.12 Statutory profit sharing and contributions (1,706) (1,706) (1,581) (1,581) 3.12.01 Profit sharing (1,706) (1,706) (1,581) (1,581) 3.12.01.01 Management (1,706) (1,706) (1,581) (1,581) 3.12.02 Contributions 0 0 0 0 3.13 Reversal of interest on capital 0 0 0 0 3.14 Minority interest (312) (312) (587) (587) 3.15 Net income for the period 28,406 28,406 24,168 24,168 Number of shares (thousand), excluding treasury stock 224.088 224.088 224.040 224.040 Net income per share - R$ 0.12676 0.12676 0.10787 0.10787 Loss per share - R$


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01 - IDENTIFICATION


00845-1 MARCOPOLO S.A. 88.611.835/0001-29 08.01 - Comments on Consolidated Performance During the Quarter

53

Caxias do Sul, May 15, 2008. MARCOPOLO S.A. - CONSOLIDATED

Results for the first quarter of 2008 Brazilian Corporate Law

To our shareholders:

The information on Marcopolo performance during the 1st quarter of 2008 (1Q08) is presented based on the consolidated amounts in Brazilian reais. The financial statements have been prepared in accordance with the accounting practices adopted in Brazil, based on the Corporate Law, on the standards and pronouncements of the Brazilian Securities Commission (CVM) and by the Institute of Independent Auditors of Brazil (IBRACON). As mentioned in the text, the information may refer to consolidated data, or of the Parent Company. In the case of the companies in which Marcopolo has total control, the consolidation is prepared based on 100.0% and, in the cases of sharing, it is proportional to the capital interest in each company.

1. Brazilian Economy Performance

In the 1st quarter of 2008, the Brazilian economy continued operating in high levels. The fear for being contaminated by the turbulences of the American financial institutions seems not having caused great domestic problems yet. All the activity areas have grown in the period. Even the agriculture, that was going through a rather difficult situation, has benefited from the strong recovery of the worldwide demand and from the significant increase in the food prices. However, since no country is immune to great crisis, if the American crisis extends, it may also affect Brazil. The international situation has already reflected in our economy:


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the commodities reached high prices, which shall impact on the inflation rates; there is already some rising pressure on the internal interest rates; with the decrease in the demand in some markets, the business is becoming more difficult for the Brazilian exporter. These variables may result in some retraction in the employment and income level, in the added demand and in the GDP for 2008. On the favorable side, the inflation rate remains so far within the Brazilian Central Bank targets with no remarkable pressures. The government has maintained the fiscal control, and despite the increase in the interest rate, the official economic indicators to be disclosed soon will confirm that the economy as a whole has been developing in a rather strong rhythm.

2. Performance of the Bus Body Sector

Along the entire 1Q08 the conditions that determined the good performance of the sector in 2007, have persisted. The growth in the passengers number, the conquer of customers users of alternative transportation means in longer routes, the expansion of the charter services and tourism, the excellent agricultural crops - a new factor of great influence on the mobility of the countryside population - continued to stimulate the demand for new buses. Together with these conditions, the offer by BNDES of larger volumes of resources under better financing conditions - amortization periods and more attractive costs - and also, the perception of the benefits provided by the new electronic engines Euro III, comprise a group of factors that is stimulating the operators of collective transportation systems to replace the older vehicles and to the expansion of the fleets, thus contributing for the good performance of the sector.

Upon the evaluation of 1Q08 production, vis-à-vis to the 1st quarter of 2007 (1Q07) the conclusions may be distorted, since the comparison is being made against an unusually low and atypical basis, arising from the lack of chassis in the months of January and February 2007. The comparison with the production of the 4th quarter


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55

of 2007 (4Q07), or with the average quarterly of 2007, would be less subject to errors. In both cases it is indispensable to consider that, historically, the demand is lower in the first months of the year because they correspond to the annual vacation in the south hemisphere. Accordingly, the 8,432 buses produced in 1Q08 mean a little reduction of 279 units, or 3.2% in relation to the 8,711 units produced in 4Q07 but, a growth of 5.3% in the comparison with the quarterly average production of 2007 (8,007 units). The “ANFAVEA Letter” of April 2008 discloses that in 1Q08, 10,941 chassis were produced for buses, against 8,630 in 1Q07, an increase of 26.8% between one period and another. In the four months of 2008, the production of bus chassis reached about 15 thousand units, an increase of 24.7% on the same 2007 period. The assemblers are increasing the production volumes to unheard of levels. Accordingly, it may be assured that the chassis that have not been used yet shall increase the data of production for the next quarters. If the current market conditions are maintained, 2008 shall register new production records. The table below details the production for the 1st quarter of 2008 and 2007.

BRAZILIAN PRODUCTION OF BUS BODIES (in units)

1Q08 1Q07 Products (1)

MI ME TOTAL MI ME TOTAL

Highway buses 1,039 730 1,769 885 661 1,546

Urban buses 3,667 1,895 5,562 3,025 956 3,981

Micros 640 379 1,019 527 277 804

SUBTOTAL 5,346 3,004 8,350 4,437 1,894 6,331

Minis (LCV) (2) 81 1 82 96 - 96

TOTAL 5,427 3,005 8,432 4,533 1,894 6,427

Sources: FABUS (National Association of Bus Manufacturers) and SIMEFRE (Union of Highway and Railroad Material and Equipment Industry).


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Notes: (1) As from 2001, the units exported in KD (unassembled) are included in the quantities produced;

(2) Data on Minis (LCV - Light Commercial Vehicles) buses production do not include the production of integral units, such as Volare type.

3. Marcopolo Highlights

Consolidated Net Revenue. It reached R$ 462.3 million, or a 10.4% increase over 1Q07. The domestic market contributed with R$ 286.5 million, or 62.0% of total and the foreign market generated the remaining 38.0%, equivalent to R$ 175.8 million.

Production. The consolidated production reached 4,761 buses against 3,400 in 1Q07, a 40.0% increase. The Brazilian market absorbed 59.0% of the production and the foreign market only 41.0%.

Gross Profit and Margin. The gross profit attained R$ 85.8 million before R$ 71.3 million in the 1Q06. The gross margin increased from 17.0% in 1Q07, to 18.6% starting to reflect several measures to improve the results.

Operating Result . It reached R$ 45.9 million, or 17.4% higher than the R$ 39.1 million recorded in 1Q07.

Net Income. The net income was R$ 28.4 million against R$ 24.2 million in 1Q07,

or an increase of 17.4% corresponding to 6.1% of net revenue versus 5.8% in

1Q07.

EBITDA (adjusted). It recorded an increase of 25.8%, attaining R$ 54.6 million in

1Q08 against R$ 43,4 million in the same prior year period.

Projeto “NUCLEUS / SAP”. As from January 1, 2008 the plant units of Caxias do

Sul started using the SAP tool that aims at making the planning, integration and


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57

control of the activities of all Company units, easier. For being a highly complex

system, the practical introduction, has presented more problems than firstly

estimated: the volume of production and the productivity have been rather affected,

there has been loss of invoice and increase in the overtime expenses, advisory

expenses, etc., all of this affecting the results for the quarter, both of the parent

company and of the subsidiaries. In item 12 additional comments are presented.

Economic and Financial Indicators

(R$ million, except percentages and net income per share)

CONSOLIDATED DATA 1Q08 1Q07 Variation (%)

Operating performance

Net operating revenue 462.3 418.6 10.4

- Revenues in Brazil 286.5 215.1 33.2

- Export and overseas 175.8 203.5 (13.6)

Gross profit 85.8 71.3 20.3

Operating profit before Financial result 33.9 26.7 27.0

EBITDA (adjusted) (1) 54.6 43.4 25.8

Net income 28.4 24.2 17.4

Net income per share 0,127 0,108 17.4

Returns on invested Capital (ROIC) (2) 3.9% 4.1% (0.2)pp

Return on net equity (ROE) (3) 4.8% 4.5% 0.3pp

Investments in Permanent assets 40.4 48.5 (16.7)

Financial position

Cash and cash equivalents 593.7 451.8 31.4

Short term financial liabilities 350.4 301.0 16.4

Long term financial liabilities 667.0 308.1 116.5

Consolidated financial liabilities, net 423.7 157.4 169.2


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58

Financial liabilities, net - Industrial Segment 186.7 58.4 219.7

Financial liabilities, net - Financial segment 237.0 99.0 139.4

Stockholders’ equity 622.9 561.9 10.9

Financial liabilities, net / Stockholders’ equity 68.0% 28.0% 40.0pp

Net financial result 12.1 12.4 (2.4)

Margins and Ratios

Gross margin 18.6% 17.0% 1.6pp

EBITDA margin (adjusted) 11.8% 10.4% 1.4pp

Operating margin (before Financial results) 7.3% 6.4% 0.9pp

Net margin 6.1% 5.8% 0.3pp

Notes: (1) The EBITDA (adjusted) does not include the gains or losses from foreign exchange variations on investments and on advances against foreign exchange contracts;

(2) ROIC (Return on Invested Capital) = EBIT ÷ (Ẋinventories + Ẋ customers + Ẋ property, plant and equipment - Ẋ suppliers); Ẋ= average;

(3) ROE (Return on Equity) - Return on Stockholders’ equity;

pp = percentage points.

4. Operating and Financial Performance

MARCOPOLO - TOTAL CONSOLIDATED NET REVENUE

By Products and Markets (In Thousand Reais)

1Q08 1Q07 Products (3)

MI ME TOTAL MI ME TOTAL

Highway buses 84,198 65,298 149,496 55,276 77,693 132,969

Urban buses 70,756 69,408 140,164 50,635 71,534 122,169

Micros 11 ,891 13,536 25,427 6,139 8,575 14,714

Minis - LCV - 385 385 1,198 2,959 4,157

Subtotal bus bodies 166,845 148,627 315,472 113,248 160,761 274,009

Volare (1) 96 ,403 1 ,664 98,067 70,870 13,200 84,070

Total bus bodies and Volares 263,248 150,291 413,539 184,118 173,961 358,079

Chassis (2) - 6 ,663 6 ,663 160 7,382 7,542


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59

Parts and other 23 ,245 18,886 42,131 30,832 22,126 52,958

Total chassis/ parts/others 23 ,245 25,549 48,794 30,992 29,508 60,500

GRAND TOTAL 286 ,493 175,840 462,333 215,110 203,469 418,579

Notes: (1) The Volares revenue includes the chassis; (2) The chassis revenue refers to other traded units, except those recorded in Volare

revenue; (3) MI = Domestic Market ME = Export Market.

TOTAL CONSOLIDATED NET REVENUES (R$ million)

QUARTERLY

462.3388.3 418.6

0.0

300.0

600.0

1Q06 1Q07 1Q08

+10.4%


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60

4.1 Breakdown of Consolidated Net Revenue (%)

1Q08 1Q07

4.2 Relation of revenue in the domestic and export markets (%)

1Q08 1Q07

Parts/Other9.1%

Chassis1.5%

Volare21.2%

Minis0.1%

Micros5.5%

Urban30.3%

Highw ay buses32.3%

Micros3.5%

Minis1.0%

Volares20.1%

Chassis1.8%

Parts/Other12.6%

Urban29.2%

Highw ay buses31.8%

Brazil62.0%

Abroad38.0%

Brazil51.4%

Abroad48.6%


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62

5. Production and Market Share

The tables below show the Brazilian and worldwide consolidated production of

Marcopolo in the first quarters of 2008 and 2007, by local and bus model. In Brazil,

the production increased 51.7% and 40.0% in the worldwide production. However,

the results should be interpreted with some reserve, since in January and February

2007, the production was significantly affected by the irregular supply of chassis.

Comparing to the production of 1Q08 (4,761 units) with 4Q07 (4,809 units), an

insignificant reduction of 1.0% can be noted. The conclusion should take into

consideration that, historically, the volume produced in the 1st quarter is the lowest

in the year, and the 4th quarter, is the highest. On the other hand, the production of

1Q08 compared with the average quarterly production for 2008 (4,452 units)

indicates an increase of 6.9% that we consider to represent with more loyalty the

production potential for 2008.

MARCOPOLO - CONSOLIDATE WORLDWIDE PRODUCTION

By company (in units)

Companies 1Q08 1Q07 Variation

BRAZIL:

- Marcopolo (1) 3,711 2,384 55.7%

- Related companies (2) 1,100 644 70.8%

SUBTOTAL 4,811 3,028 58.9%

Elimination of KD’s exported (3) (1,291) (707) 82.6%

TOTAL IN BRAZIL 3,520 2,321 51.7%

OVERSEAS:

- Mexico 730 735 (0.7%)

- Portugal 39 44 (11.4%)


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63

- Russia (4) 65 - 100.0%

- South Africa 124 99 25.3

- Colombia (4) 187 201 (7.0%)

- Argentina (5) 96 - 100.0%

TOTAL OVERSEAS 1,241 1,079 15.0%

GRAND TOTAL 4,761 3,400 40.0%

Notes: (1) Includes the production of Volare model; (2) Refers, in the 1Q08, to the production of the companies Ciferal (809 units) and San

Marino (735 units). Only 291 units, or 39.6% of the total production of San Marino has been included in the data of the table above;

(3) Bus bodies partially or fully unassembled; (4) Consolidated 50.0% of the production; (5) Consolidated 33.0% of the production.

MARCOPOLO - CONSOLIDATED WORLDWIDE PRODUCTION

By Products and Markets (in units)

1Q08 1Q07 Products/Markets (1)

MI ME (2) TOTAL MI ME (2) TOTAL

Highway buses 687 379 1,066 453 369 822

Urban buses 982 1,150 2,132 678 826 1,504

Micros 208 280 488 120 177 297

Minis (LCV) - 12 12 30 25 55

SUBTOTAL 1,877 1,821 3,698 1,281 1,397 2,678

Volare 934 129 1,063 670 52 722

TOTAL PRODUCTION (3) 2,811 1,950 4,761 1,951 1,449 3,400

Notes: (1) MI = Domestic Market; ME = Export Market; (2) Total production of ME includes the units exported in KD (bus bodies partially or fully

unassembled), 1,291 units 1Q08 and 707 units in 1Q07. (3) Includes 39.6% of San Marino production.


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64

PRODUCTION IN BRAZIL AND DESTINATION OF MANUFACTURE D

PRODUCTS

(MP/Ciferal/San Marino)

By Products and Markets (in units)

1Q08 1Q07 Products/Markets (1)

MI ME (3) TOTAL MI ME (3) TOTAL

Highway buses 687 447 1,134 453 258 711

Urban buses 982 1,204 2,186 678 733 1,411

Micros 208 220 428 120 34 154

Minis (LCV) - - - 30 - 30

SUBTOTAL 1,877 1,871 3,748 1,281 1,025 2,306

Volare (2) 934 129 1,063 670 52 722

TOTAL (4) 2,811 2,000 4,811 1,951 1,077 3,028

Elimination of KD’s exported - (1,291) (1,291) - (707) (707)

TOTAL IN BRAZIL 2,811 709 3,520 1,951 370 2,321

Notes: (1) MI = Domestic Market; ME = Export Market; (2) The Volare units are included in Marcopolo production tables, only to facilitate

understanding of the extensive line of products, of the production capacity and because they are recorded in net revenue. Production of these vehicles is not included in SIMEFRE and FABUS data, nor in Marcopolo’s market share, nor in production for the sector;

(3) Total production abroad includes units exported as KD (bus bodies partially or fully unassembled), 1,291 units in 1Q08 and 707 units in 1Q07;

(4) Includes 39.6% of San Marino production.

5.1 Market Share

Despite the tough competition, the Company ended the 1Q08 preserving the historical levels of market share in the Brazilian production of bus bodies. The market share of 41.0% is within the wideness range established by Management. It


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65

should be reminded that the 39.2% share in 2006 had dropped to 34.5% in 1Q07, due to the lack of chassis during January and February. With the normalization in the supply of these mechanic components, and with the adoption of a more aggressive price policy, the market share was systematically developing and attaining 41.5% in average for 2007. It should also be pointed out that last year, the orders portfolio required from Marcopolo the manufacture of a considerable quantity of large size highway buses, mainly Double Deckers - which for statistic effect, have the same weight of the small size units, therefore distorting the market share data. In 1Q08, Marcopolo has become the market preference again, reaching 63.8% of the orders of highway buses manufactured by the local industry. Data of market share in the Brazilian production are presented in the table below. The decrease in the urban buses was due, partially, to problems of NUCLEUS/SAP Project. However, more than compensated by the increase in the production of micro buses (not considering the Volare type units - see notes 1 and 2 of the rodapé).

BRAZILIAN MARKET SHARE - Marcopolo/Ciferal (%)

Products (1) 1Q07 2Q07 3Q07 4Q07 2007 1Q08

Highway buses 45.9 53.3 50.8 53.6 51.3 63.8

Urban buses 34.7 40.2 45.4 44.3 41.7 36.2

Micros 13.3 27.2 32.9 24.7 25.8 31.3

Minis (LCV) (2) 19.8 18.7 - - 12.1 -

TOTAL 34.5 41.5 44.5 43.6 41.5 41.0

Source: FABUS and SIMEFRE.

Notes: (1) The participation of San Marino is not computed in this table; (2) Volare is not computed for effect of market share.


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6. Gross Profit, Operating Result and Margins

The consolidated gross profit of 1Q08 totaled R$ 85.8 million, or 18.6% of net

revenue, before R$ 71.3 million, or 17.0% of net revenue in the same 2007 period.

The operating result, of R$ 45.9 million represented 9.9% of net revenue, versus

R$ 39.1 million, or 9.3% in 1Q07. The result was affected by the loss of invoice and

by the additional expenses with inefficiency, drop in production, and in productivity,

and increase of several expenses, all derived from the NUCLEUS/SAP Project

operations.

7. Operating Expenses

7.1 Selling Expenses

In 1Q08, the selling expenses totaled R$ 29.1 million before R$ 22.8 million in 1Q07, representing 6.3% and 5.4% of net revenue, respectively.

The nominal growth of R$ 6.3 million is explained by the increase in expenses with representatives commissions in the amount of R$ 5.2 million and R$ 1.1 million more of allowance for doubtful accounts of Moneo Bank.

7.2 General and Administrative Expenses

The general and administrative expenses amounted to R$ 21.9 million, or 4.7% of net revenue, against R$ 17.8 million, or 4.2% of net revenue in 1Q07. The main accounts that contributed for the increase of R$ 4.1 million are: R$ 1.3 million of the amortization of SAP software; consolidation of new subsidiaries in the amount of R$ 1.7 million and R$ 1.1 million related to the increase of expenses.


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8. Net Financial Results

The net financial result of the 1Q08 was positive by R$ 12.1 million, against

R$ 12.4 million in 1Q07. The financial revenues accumulated R$ 31.6 million

versus R$ 29.9 million in the same 2007 period. In the composition of financial

revenues, about R$ 12.2 million resulted from foreign exchange variations on

assets and liabilities denominated in foreign currencies and in forward”

transactions linked to exports. Another R$ 19.4 million resulted from earnings of

the financial investments. In the financial expenses of R$ 19.5 million in 1Q08,

R$ 3.5 million resulted from exchange rate variations on assets and liabilities in

foreign currencies and R$ 16.0 million was for the payment of interest on loans and

financing and bank expenses. The table below is to assist in the understanding of

the foreign exchange variations.

STATEMENT OF THE POSITION IN US$ SUBJECT TO EXCHANG E

VARIATIONS

US$ thousand 3/31/2008 12/31/2007

Trade accounts receivable 74,757 78,427

Current accounts - Overseas subsidiaries 851 13,143

ASSETS 75,608 91,570

Advance on export agreements - ACE - -

Advance on exchange contracts ACC and prepayment 51,187 21,013

Forwards 120,279 127,911

Foreign currency borrowings 6,483 7,139

Commissions and other payables 9,137 10,612

LIABILITIES 187,086 166,675

NET FINANCIAL BALANCE (111,478) (75,105)


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68

Overseas investments 54,964 42,917

TOTAL NET POSITION IN US$ (56,514) (32,188)

9. EBITDA (adjusted)

The EBITDA (adjusted) reached R$ 54.6 million against R$ 43.4 million in 1Q07 meaning margins on the net revenue of 11.8% and 10.4%, respectively. It should be noted that the performance would have been more significant were not for the difficulties in the introduction of Nucleus/SAP Project.

EBITDA (adjusted) - (R$ million)

QUARTERLY

(In thousand reais) 1Q06 1Q07 1Q08

Operating Profit 34,643 39,112 45,939

Financial Income (52,058) (29,851) (31,590)

Financial Expenses 38,898 17,434 19,516

Depreciation / Amortization 7,107 7,295 12,420

EBITDA 28,590 33,990 46,285

54.6

37.943.4

0.0

30.0

60.0

1Q06 1Q07 1Q08

+25.8%


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69

Foreign Exchange Variation on Investments in subsidiaries

5,018 3,651 (452)

Foreign Exchange Variation on Exports 4,259 5,808 8,784

EBITDA (adjusted) 37,867 43,449 54,617

10. Net Income

In 1Q08 the consolidated net income reached R$ 28.4 million, or 6.1% of net

revenue against R$ 24.2 million and 5.8% of net revenue in 1Q07. The

consolidated result was satisfactory considering the significant volume of exports

and overseas business, the increase in the number of urban and micro buses - of

fewer added values - and, the continuity in the adverse conditions of exchange

rate. The difficulties for the introduction of the new tool SAP that Management

expects to be solved soon, have also contributed. Data of net income for the 1st

quarter - of the last three years - are presented below.

NET INCOME FOR THE QUARTER (R$ million)

19.5 24.228.4

0.0

25.0

50.0

1Q06 1Q07 1Q08

+17.4%


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11. Balance Sheet and Statement of Income

The balance sheet accounts are stated in the Notes to the Quarterly Information (ITR - Quarterly Information), and in Note 22 are segregated the amounts related to the Industrial and Financial Segments.

12. “NUCLEUS/SAP” Project

The accelerated growth of Marcopolo called the attention for the need of an integrated information system, that generated managerial data compatible with the company dimension, mainly with the international expansion plans. The system should permit the follow up of the operations of the several units, providing an integrated view of businesses, unifying the languages between the units of the group in Brazil and abroad and facilitating the decisions taking. With these targets, at the beginning of 2006, the implementation of “NUCLEUS/SAP Project” conceived and based on the SAP software platform, started. The pre-operating phase and the users training, lasted more than two years. For being a last generation tool of great complexity, it was necessary to change the routines, the processes and to adopt operating procedures other than the traditional ones, besides the changes of behavior and posture of people in all levels of the organization. In addition to these efforts, heavy expenses in software, hardware and fees of specialized advisors, were spent. The new system was released for use as from January 2008. Despite the care and precautions adopted in the preliminary phase, the Company has been having problems with the change because the system is presenting far more problems that those imagined. Further, in the first quarter, the Company incurred in heavy additional costs with overtime and advisory, losses in the production, productivity rates and decrease in invoice, with reflex on the quarterly results. Management expects that after this phase of “learning curve”, the SAP shows the benefits of integrated management of the operations in all the business units.


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13. Cash Generation

In 1Q08, the operating activities generated resources of about R$ 37.9 million. The investing activities required R$ 153.2 million, of which R$ 40.4 million in permanent assets and R$ 112.8 million in long term financial investments. The financing activities generated R$ 29.7 million. As a result, the cash opening balance of R$ 495.5 million was reduced to R$ 409.9 million at the end of the quarter. The statement of cash flow of the industrial and financials segments is presented in details in Note 21 of the ITR.

14. Investments/Property, Plant and Equipment

14.1 Investments in Permanent Assets.

In 1Q08, Marcopolo addressed R$ 40.4 million for capital investment for the various units (R$ 48.5 million in 1Q07). R$ 32.9 million of this was spent by the parent company and invested in: R$ 2.4 million in the Nucleus/SAP Project (computer equipment and software); R$ 4.4 million in productive equipment; R$ 2.7 million in buildings and facilities and R$ 23.4 million in the acquisition of equity investment in associated company. In the subsidiaries R$ 7.5 million was invested, of which R$ 5.3 million in the new plant in India, R$ 1.4 million in Russia and R$ 0.8 million in the other units.


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15. Capital Markets

15.1 Performance of Marcopolo Shares in Bovespa

Details of Marcopolo shares performance in the capital market are presented in the

graphic and table below.

15.2 Statement of Shares Performance

Despite the recent remarkable oscillations in the quotations, the market is still

realizing the attraction for Marcopolo papers, a company that has been developing

in the operating and financial performance. On 05.14.08 the Company shares were

traded at R$ 7.80. Also attractive is the potential of the expansion projects in

progress. The efforts to disclose information to better qualify the investors in the

decision taking is increasing the liquidity and the value of the Company shares, as

can be noted in the data below.

mar

/07

abr/

07

mai

/07

jun/

07

jul/0

7

ago/

07

set/0

7

out/0

7

nov/

07

dez/

07

jan/

08

fev/

08

mar

/08

Marcopolo PN x IbovespaShare Performance betw een Mar/07 and Mar/08

R$ 6.25

45,804 points R$ 5.75

60,968 pointsPOMO4 = - 8.0%

IBOVESPA = + 33.1%


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01 - IDENTIFICATION



73

Indicators 1Q08 1Q07 1Q06

Number of transactions 16,689 5,801 3,563

Traded shares (million) (*) 27.9 19.9 24.8

Amount transacted (R$ million) 182.8 119.9 77.2

Market value (R$ million) (1) 1,289.3 1,401.4 674.9

Existing shares (million) (2) (*) 224,225 224,225 224,225

Book value per share (R$) (*) 2.79 2.53 2.19

Quotation (R$ / per preferred share) (3) (*) 5.75 6.25 3.01

Notes: (1) Market value was established utilizing the quotation of the preference book-entry shares (PE), multiplied by the total shares (OE+PE) existing in the same period;

(2) Total Company shares at the end of each quarter. Of this total, at March 31, 2008, 137,456 preferred shares were in treasury;

(3) Quotation of PE shares in the last trading session of each quarter. (*) Data are restated to reflect the 100.0% bonus granted, according to the Board of

Directors Meeting of 25.08.06.

16. Personnel

Nº of employees 1Q08 1Q07 1Q06

Parent Company 6,256 5,254 5,523

Subsidiaries - Brazil 4,017 2,991 2,924

Subsidiaries - Overseas 2,607 1,804 1,865

Total (1) 12,880 10,049 10,312

Turn over rate (in %) (2) 1.26 0.83 2.97

Notes: (1) Includes employees of the subsidiaries/associated companies in the proportion of equity in the investments;

(2) Related to the Parent Company.


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01 - IDENTIFICATION



74

17. Expectations for 2008

Various factors indicated the convenience of reviewing up the projections of

production and revenues originally disclosed for 2008: (i) the bus market and the

demand are in a healthy phase; (ii) the Brazilian production presented a

remarkable increase rate in the 1st quarter; (iii) the Company order portfolio

guarantees good volumes; and (iv) the production and inventories of bus chassis

are in high levels (according to ANFAVEA data).These reasons justify the

convenience of increasing the estimated production for 2008, from 20 thousand to

21 thousand buses and the revenue from R$ 2.3 billion to R$ 2.4 billion. The

review data are highly conditioned and closely related to the persistence of the

economic and financial policy of the country, and not less important, the behavior

of the foreign exchange rate in the remaining months.

Management.


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01 - IDENTIFICATION


00845-1 MARCOPOLO S.A. 88.611.835/0001-29

75

09.01 - INVESTMENT IN SUBSIDIARY AND/OR ASSOCIATED COMPANIES 1 - ITEM

2 - SUBSIDIARY/ASSOCIATED COMPANY'S REGISTERED NAME

3 - NATIONAL CORPORATE TAXPAYERS' REGISTRY (CNPJ)

4 - CLASSIFICATION 5 - % PARTICIPATION IN THE CAPITAL OF THE INVESTEE

6 - % OF NET EQUITY OF THE INVESTOR

7 - TYPE OF COMPANY 8 - NUMBER OF SHARES IN THE CURRENT QUARTER 9 - NUM BER OF SHARES IN THE PRIOR QUARTER

(Thousands) (Thousands)

01 CIFERAL INDÚSTRIA DE ÔNIBUS LTDA. 30.314.561/0001-26 PRIVATE SUBSIDIARY 99.99 10.52 COMMERCIAL, INDUSTRIAL AND OTHER COMPANIES 494 494

03 MONEO INVESTIMENTOS S.A. 07.125.291/0001-93 PRIVATE SUBSIDIARY 100.00 14.64 COMMERCIAL, INDUSTRIAL AND OTHER COMPANIES 75,000 50,000


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00845-1 MARCOPOLO S.A. 88.611.835/0001-29

76

11.01 - ORDERS/CONTRACTS SIGNED

Company (R$ thousand ) 1 - Balance of orders/contracts signed at the end of the current quarter 374,505

2 - Balance of orders/contracts signed at the end of the same quarter of the prior year

318,383

Consolidated (R$ thousand ) 3 - Balance of orders/contracts signed at the end of the current quarter 374,505

4 - Balance of orders/contracts signed at the end of the same quarter of the prior year

318,383


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00845-1 MARCOPOLO S.A. 88.611.835/0001-29

12.01 - COMMENTS ON CORPORATE PROJECTIONS

77

Expectations Various factors indicated the convenience of reviewing up the projections of production and revenues originally disclosed for 2008: (i) the bus market and the demand are in a healthy phase; (ii) the Brazilian production presented a remarkable increase rate in the 1st quarter; (iii) the Company order portfolio guarantees good volumes; and (iv) the production and inventories of bus chassis are in high levels (according to ANFAVEA data).These reasons justify the convenience of increasing the estimated production for 2008, from 20 thousand to 21 thousand buses and the revenue from R$ 2,3 billion to R$ 2.4 billion. The review data are highly conditioned and closely related to the persistence of the economic and financial policy of the country, and not less important, the behavior of the foreign exchange rate in the remaining months.


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01 - IDENTIFICATION


00845-1 MARCOPOLO S.A. 88.611.835/0001-29

15.01 - INVESTMENT PROJECTS

78

In 1Q08, Marcopolo addressed R$ 47.2 million for capital investments by the various units (R$ 45.8 million in 1Q07). R$ 32.9 million of this way spent by the parent company and invested in: R$ 2.4 million in the Nucleus/SAP Project (computer equipment and software); R$ 4.4 million in productive equipment; R$ 2.7 million in buildings and facilities and R$ 23.4 million in the acquisition of investment in associated company. In the subsidiaries R$ 14.3 million was invested, of which R$ 5.3 million in the new plan in India, R$ 3.0 million in the Colombia plant, R$ 1.4 million in Russia, R$ 1.4 million in Ciferal, R$ 1.3 million in MVC and R$ 1.9 million in the other units.


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00845-1 MARCOPOLO S.A. 88.611.835/0001-29

16.01 - OTHER INFORMATION CONSIDERED RELEVANT BY THE COMPANY

79

1 Composition of stockholders of Marcopolo S.A. wit h more than 5% of preference and/or ordinary shares, up to the level of the indi vidual, at March 31, 2008:

STOCKHOLDERS COMMON PREFERRED TOTAL NUMBER % NUMBER % NUMBER % Paulo Pedro Bellini 35,366,542 41.41 209,500 0.15 35,576,042 15.87 Partibell - Part. Adm. Ltda 5,840,658 6.84 - 0.00 5,840,658 2.60 Valter Antonio Gomes Pinto 10,979,464 12.86 - 0.00 10,979,464 4.90 Vate Part. e Adm. Ltda 2,521,630 2.95 - 0.00 2,521,630 1.12 Subtotal Majority stockholders 54,708,294 64.06 209,500 0.15 54,917,794 24.49 Fund. Banco Central - CENTRUS 12,980,696 15.20 - 0.00 12,980,696 5.79 José Antonio Fernandes Martins - 0.00 10,868,594 7.83 10,868,594 4.85 Caixa Prev. Banco Brasil - PREVI - 0.00 7,553,044 5.44 7,553,044 3.37 Franklin Templ Inv Funds (exterior) - 0.00 12,024,799 8.66 12,024,799 5.36 HSBC Global Inv. Funds (exterior) - 0.00 14,444,800 10.41 14,444,800 6.44 Foreign stockholders (*) - 0.00 42,551,826 30.65 42,551,826 18.98 Treasury stock - 0.00 137,456 0.10 137,456 0.06 Other stockholders (*) 17,717,446 20.74 51,028,566 36.76 68,746,012 30.66 TOTAL 85,406,436 100.00 138,818,585 100.00 224,225,021 100.00 PROPORTION 38.09 61.91 100.00

* In this item, there are no individual stockholders with more than 5% of common and/or preferred shares.

2 Composition of Partibell capital - Participações e Administração Ltda at March 31, 2008:

Table of quotas: QUOTAHOLDERS QUOTAS NUMBER NOMINAL

VALUE %

Paulo Pedro Bellini 4,823,810 4,823,810 97.00 Maria Célia Festugatto Bellini 149,190 149,190 3.00 TOTAL 4,973,000 4,973,000 100.00


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00845-1 MARCOPOLO S.A. 88.611.835/0001-29


80

3 Composition of Vate - Participações e Administraç ão Ltda. capital at March 31, 2008:

Table of quotas: QUOTAHOLDERS QUOTAS NUMBER NOMINAL

VALUE %

Valter Antonio Gomes Pinto 5,470,462 5,470,462 93.63 Therezinha Lourdes Comerlato Pinto 303,765 303,765 5.20 Viviane Maria Pinto 68,150 68,150 1.17 TOTAL 5,842,377 5,842,377 100.00

3 Number and characteristics of the securities issu ed by the Company held by the

groups of Majority Stockholders, Directors and Memb ers of the Statutory Audit Committee and Outstanding Shares.

Consolidated Shareholding of the Majority Stockhold ers, Directors and Outstanding

Shares. Position at March 31, 2008

Chart of shares: STOCKHOLDERS COMMON PREFERRED TOTAL NUMBER % NUMBER % NUMBER % Majority stockholders 54,708,294 64.06 209,500 0.15 54,917,794 24.49 Majority stockholders' spouses 232,120 0.27 13,414 0.01 245,534 0.11 Management - - - - - - Board of Directors 710,622 0.83 13,200,536 9.51 13,911,158 6.20 Executive Directors 78,700 0.09 211,241 0.15 289,941 0.13 Audit Committee (*) 1,800 0.00 80,000 0.06 81,800 0.04 Treasury stock - 0.00 137,456 0.10 137,456 0.06 Other 29,674,900 34.75 124,966,438 90.02 154,641,338 68.97 TOTAL 85,406,436 100.00 138,818,585 100.00 224,225,021 100.00 Outstanding shares in the market

29,674,900

34.75

124,966,438

90.02

154,641,338

68.97

* Shares held by a Committee member elected by the majority stockholders.


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00845-1 MARCOPOLO S.A. 88.611.835/0001-29


81

Consolidated Shareholding of the Majority Stockhold ers, Directors and Outstanding Shares.

Position at March 31, 2007

Chart of shares: STOCKHOLDERS COMMON PREFERRED TOTAL NUMBER % NUMBER % NUMBER % Majority stockholders 55,401,018 64.87 7,790,578 5.61 63,191,596 28.18 Majority stockholders' spouses 232,120 0.27 300,514 0.22 532,634 0.24 Management - - - - - - Board of Directors 6,794 0.01 30,600 0.02 37,394 0.02 Executive Directors 78,700 0.09 342,805 0.25 421,505 0.19 Audit Committee (*) 1,800 0.00 72,000 0.05 73,800 0.03 Treasury stock - 0.00 184,613 0.13 184,613 0.08 Other 29,686,004 34.76 130,097,475 93.72 159,783,479 71.26 TOTAL 85,406,436 100.00 138,818,585 100.00 224,225,021 100.00 Outstanding shares in the market

29,686,004

34.76

130,097,475

93.72

159,783,479

71.26

* Shares held by a Committee member elected by the majority stockholders. 4 The Company is subject to arbitration in the Mark et Arbitration Chamber,

according to a commitment clause contained in its b y-laws.


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01 - IDENTIFICATION


00845-1 MARCOPOLO S.A. 88.611.835/0001-29

17.01 - Report on the Special Review - Without excep tions

82

To the Board of Directors and Stockholders Marcopolo S.A.

1 We have reviewed the accounting information included in the Quarterly Information (ITR) of Marcopolo S.A. and its subsidiaries for the quarters ended March 31, 2008 and 2007. This information is the responsibility of the Company’s management. The limited reviews of the financial information of the indirect subsidiary Polomex S.A. de C.V. were conducted by other independent accountants. In the accounting information included in the Quarterly Information (ITR) of Marcopolo S.A., the direct and indirect investments in this company are recorded on the equity method of accounting and are equivalent to an investment of R$ 22,483 thousand at March 31, 2008 and the equity in the earnings amount to R$ 1,136 thousand (direct and indirect interest) for the quarter then ended (R$ 1,672 thousand in the quarter ended March 31, 2007). The financial information of this indirect subsidiary, with total assets amounting to R$ 58,696 thousand at March 31, 2008, are included in the consolidated quarterly information. Our limited review report, insofar as it relates to the amounts relating to this company, is based solely on the reports of the other accountants.

2 Our reviews were carried out in conformity with specific standards established by the Institute of Independent Auditors of Brazil (IBRACON) in conjunction with the Federal Accounting Council (CFC) and mainly comprised: (a) inquiries of and discussions with management responsible for the accounting, financial and operating areas of the Company with regard to the main criteria adopted for the preparation of the Quarterly Information and (b) a review of the significant information and of the subsequent events which have, or could have, significant effects on the financial position and operations of the Company and its subsidiaries.

3 Based on our review and on the reports of other independent accountants, we are not aware of any material modifications that should be made to the accounting information included in the Quarterly Information referred to above in order that it be stated in accordance with the rules issued by the Brazilian Securities Commission (CVM) applicable to the preparation of Quarterly Information, including Instruction 469/08.


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00845-1 MARCOPOLO S.A. 88.611.835/0001-29

17.01 - Report on the Special Review - Without excep tions

83

4 As mentioned in note 2(l), Law 11638 was enacted on December 28, 2007 and is effective as from January 1, 2008. This law amended, revoked and introduced new provisions to Law No. 6404/76 (Brazilian Corporation Law) and changed the accounting practices adopted in Brazil. Although the mentioned law is already effective, the main changes introduced by it depend on regulations to be issued by the regulatory agencies for them to be implemented by the companies. Accordingly, during this phase of transition, the CVM, through its Instruction 469/08, did not require the implementation of all the provisions of Law 11638/07 in the preparation of the Quarterly Information. As a result, the accounting information included in the Quarterly Information for the quarter ended March 31, 2008 was prepared in accordance with specific CVM instructions and does not contemplate all the changes in accounting practices introduced by Law 11638/07. The information with respect to prior periods, presented for comparison purposes, was adjusted to reflect the changes in accounting practices introduced in 2008. Porto Alegre, May 15, 2008 PricewaterhouseCoopers Auditores Independentes CRC 2SP000160/O-5 "F" RS Carlos Biedermann Contador CRC 1RS029321/O-4


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01 - IDENTIFICATION

1 - CVM CODE 2 - COMPANY NAME 3 - National Corporate Taxpayers' Registry (CNPJ)

00845-1 MARCOPOLO S.A. 88.611.835/0001-29

SUBSIDIARY/ASSOCIATED COMPANY COMPANY NAME CIFERAL INDÚSTRIA DE ÔNIBUS LTDA 18.01 - STATEMENT OF INCOME OF THE SUBSIDIARY/ASSOC IATED COMPANY (R$ thousand)

84


4 - 1/1/2008 to 3/31/2008

5 - 1/1/2007 to 3/31/2007

6 - 1/1/2007 to 3/31/2007

3.01 Gross sales and/or service revenues 67,631 67,631 57,610 57,610 3.02 Revenue deductions (10,353) (10,353) (8,621) (8,621) 3.03 Net sales and/or service revenues 57,278 57,278 48,989 48,989 3.04 Cost of sales and/or services (48,793) (48,793) (41,885) (41,885) 3.05 Gross profit 8,485 8,485 7,104 7,104 3.06 Operating expenses/income (4,799) (4,799) (3,219) (3,219) 3.06.01 Selling (2,738) (2,738) (2,064) (2,064) 3.06.02 General and administrative (1,756) (1,756) (1,515) (1,515) 3.06.03 Financial 716 716 276 276 3.06.03.01 Financial income 1,057 1,057 1,007 1,007 3.06.03.02 Financial expenses (341) (341) (731) (731) 3.06.04 Other operating income 142 142 84 84 3.06.05 Other operating expenses 0 0 0 0

3.06.06 Equity in the earnings of subsidiary/associated companies (1,163) (1,163) 0 0

3.07 Operating profit 3,686 3,686 3,885 3,885 3.08 Non-operating results 0 0 0 0 3.08.01 Income 0 0 0 0 3.08.02 Expenses 0 0 0 0 3.09 Profit before taxation and profit sharing 3,686 3,686 3,885 3,885 3.10 Provision for income tax and social contribution on (2,346) (2,346) (1,047) (1,047)


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00845-1 MARCOPOLO S.A. 88.611.835/0001-29

SUBSIDIARY/ASSOCIATED COMPANY COMPANY NAME CIFERAL INDÚSTRIA DE ÔNIBUS LTDA 18.01 - STATEMENT OF INCOME OF THE SUBSIDIARY/ASSOC IATED COMPANY (R$ thousand)

85


4 - 1/1/2008 to 3/31/2008

5 - 1/1/2007 to 3/31/2007

6 - 1/1/2007 to 3/31/2007

net income 3.11 Deferred income tax 680 680 (281) (281) 3.12 Statutory profit sharing and contributions 0 0 0 0 3.12.01 Profit sharing 0 0 0 0 3.12.02 Contributions 0 0 0 0 3.13 Reversal of interest on capital 0 0 0 0 3.15 Net income for the period 2,020 2,020 2,557 2,557

Number of shares (thousand), excluding treasury stock 494 494 494 494

Net income per share - R$ 4.08907 4.08907 5.17611 5.17611 Loss per share


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00845-1 MARCOPOLO S.A. 88.611.835/0001-29 18.02 - COMMENTS ON PERFORMANCE OF THE SUBSIDIARY/A SSOCIATED COMPANY

Subsidiary/Associated company: CIFERAL INDÚSTRIA DE ÔNIBUS LTDA

86

The comments on the performance of the subsidiary/associated company are presented in Form 08.01 - Comments on Consolidated Performance During the Quarter.


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00845-1 MARCOPOLO S.A. 88.611.835/0001-29

SUBSIDIARY/ASSOCIATED COMPANY COMPANY NAME MONEO INVESTIMENTOS S.A. 18.01 - STATEMENT OF INCOME OF THE SUBSIDIARY/ASSOC IATED COMPANY (R$ thousand)

87


4 - 1/1/2008 to 3/31/2008

5 - 1/1/2007 to 3/31/2007

6 - 1/1/2007 to 3/31/2007

3.01 Gross sales and/or service revenues 0 0 0 0 3.02 Revenue deductions 0 0 0 0 3.03 Net sales and/or service revenues 0 0 0 0 3.04 Cost of sales and/or services 0 0 0 0 3.05 Gross profit 0 0 0 0 3.06 Operating expenses/income 2,459 2,459 1,766 1,766 3.06.01 Selling 0 0 0 0 3.06.02 General and administrative (23) (23) (5) (5) 3.06.03 Financial 10 10 12 12 3.06.03.01 Financial income 10 10 12 12 3.06.03.02 Financial expenses 0 0 0 0 3.06.04 Other operating income 0 0 0 0 3.06.05 Other operating expenses 0 0 0 0

3.06.06 Equity in the earnings of subsidiary/associated companies 2,472 2,472 1,759 1,759

3.07 Operating profit 2,459 2,459 1,766 1,766 3.08 Non-operating results 0 0 0 0 3.08.01 Income 0 0 0 0 3.08.02 Expenses 0 0 0 0 3.09 Profit before taxation and profit sharing 2,459 2,459 1,766 1,766 3.10 Provision for income tax and social contribution on net 0 0 (2) (2)


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00845-1 MARCOPOLO S.A. 88.611.835/0001-29

SUBSIDIARY/ASSOCIATED COMPANY COMPANY NAME MONEO INVESTIMENTOS S.A. 18.01 - STATEMENT OF INCOME OF THE SUBSIDIARY/ASSOC IATED COMPANY (R$ thousand)

88


4 - 1/1/2008 to 3/31/2008

5 - 1/1/2007 to 3/31/2007

6 - 1/1/2007 to 3/31/2007

income 3.11 Deferred income tax 0 0 0 0 3.12 Statutory profit sharing and contributions 0 0 0 0 3.12.01 Profit sharing 0 0 0 0 3.12.02 Contributions 0 0 0 0 3.13 Reversal of interest on capital 0 0 0 0 3.15 Net income for the period 2,459 2,459 1,764 1,764 Number of shares (thousand), excluding treasury stock 75,000 75,000 50,000 50,000 Net income per share - R$ 0.03279 0.03279 0.03528 0.03528 Loss per share (reais)


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00845-1 MARCOPOLO S.A. 88.611.835/0001-29 18.02 - COMMENTS ON PERFORMANCE OF THE SUBSIDIARY/A SSOCIATED COMPANY

Subsidiary/Associated company: MONEO INVESTIMENTOS S.A.

89

The comments on the performance of the subsidiary/associated company are presented in Form 08.01 - Comments on Consolidated Performance During the Quarter.


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00845-1 MARCOPOLO S.A. 88.611.835/0001-29

90

Contents

GROUP TABLE DESCRIPTION PAGE 01 01 Identification 1 01 02 Head Office 1 01 03 Investor Relations Officer (Company Mail Address) 1 01 04 General Information/Independent Accountant 1 01 05 Capital Composition 2 01 06 Characteristics of the Company 2 01 07 Companies Excluded from the Consolidated Financial Statements 2 01 08 Dividends Approved and/or paid during and after the quarter 2 01 09 Subscribed Capital and Alterations in the Current Year 3 01 10 Investor Relations Officer 3 02 01 Balance Sheet - Assets 4 02 02 Balance Sheet - Liabilities and Stockholders' Equity 6 03 01 Statement of Income 8 04 01 Notes to the Quarterly Information 9 05 01 Comments on Company Performance During the Quarter 46 06 01 Consolidated Balance Sheet - Assets 47 06 02 Consolidated Balance Sheet - Liabilities and Stockholders' Equity 49 07 01 Consolidated Statement of Income 51 08 01 Comments on Consolidated Performance during the Quarter 53 09 01 Investments in Subsidiary and/or Associated Companies 75 11 01 Orders / Contracts Signed 76 12 01 Comments on the Corporate Projections 77 15 01 Investment Projects 78 16 01 Other Information Considered Relevant by the Company 79 17 01 Report on the Special Review 82 CIFERAL INDÚSTRIA DE ÔNIBUS LTDA.

18 01 Statement of Income of Subsidiary/Associated Company 84 18 02 Comments on Performance of Subsidiary/Associated Company 86 MONEO INVESTIMENTOS S.A.

18 01 Statement of Income of Subsidiary/Associated Company 87 18 02 Comments on Performance of Subsidiary/Associated Company 89

91

Atenção

**** Não destacar esta folha do trabalho ****

Departamento de Traduções - 1o. andar

Dados do Projeto Cliente MARCOPOLO S.A. Departamento ABAS/Assurance Tipo de trabalho ITR Idioma P/I Nome do arquivo MARC38MNG.DOC Código para débito 01016551/0001 Sócio Gerente Fabio Abreu Sócio substituto Encaminhar para Eduardo Quadros

Andamento - Traduções Nome Data Observações Entrada 16.05.08 Montagem Israel 16.05.08 Tradução MNG 21.05.08 Correções Fábio Abreu 21.05.08 Revisão da Tradução MGV 29.05.08 Cheque Correções Correções Cheque Correções Cheque Correções

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