3Q09 Results

UNIPAR ANNOUNCES 3Q09 RESULTS

São Paulo, November 13, 2009 – UNIPAR - União de Indústrias Petroquímicas S.A. - (BOVESPA: UNIP3, UNIP5

and UNIP6), one of the leading Brazilian petrochemical groups, with consolidated gross revenues of R$ 6.6

billion in 2008, announces today its earnings release for the third quarter and nine months of 2009 (3Q09 and

9M09, respectively). Unless otherwise stated, all financial and operating data discussed in this announcement

are presented pursuant to the Brazilian Corporate Law and all comparisons are with the second quarter of

2009 (2Q09) and the nine months of 2008 (9M08).

UNIPAR’s 3Q09 results were strongly influenced by the recovery of domestic demand and the increase in

margins throughout the entire petrochemical chain, which generated EBITDA of R$258.7 million, a

substantial 40% improvement over the R$185 million recorded in the previous quarter, when the

domestic market began to show signs of improvement.

UNIPAR posted 3Q09 net income of R$45.1 million, versus R$96 million in the previous quarter, when the

positive impact of the dollar devaluation on consolidated dollar-denominated debt was greater.

In the first nine months, net income totaled R$65.6 million, reversing the hefty R$101.9 million net loss

reported in the same period last year. However, it is worth remembering that the nine-month year-on-

year comparison may be distorted by the constitution of Quattor Participações and the effects of its

consolidation on the Company’s accounts as of June 2008.

Consolidated EBITDA came to R$520.4 million in the 9M09, 27% up year-on-year.

It is worth noting that the domestic petrochemical industry was marked by two highly distinct periods in

2009: (i) a disappointing first quarter in terms of operating and financial performance, reflecting the

slump in industrial activity and reduced demand for petrochemical products (sale of inventories and high

export volume); (ii) a market rebound as of the second quarter, with domestic demand showing signs of

recovery and margins returning to healthy pre-crisis levels.

Also in 3Q09, a portion of the cracker’s new ethylene production capacity at the ABC Petrochemical

Complex came on-stream, adding 100,000t p.a. This investment, together with the new polyethylene unit

in the same complex (with a nominal capacity of 250,000 t p.a.), is part of the R$ 2.3 billion capacity

expansion program of UNIPAR’s subsidiaries, notably the Quattor companies.

Highlights

3Q09 Results

2

INTERNATIONAL SCENARIO

» 3Q09 vs. 2Q09

Prices and Margins Summary Table

International Scenario

Raw Material Prices

. Brent

. Natural Gas

. Naphtha

. Ethane

. Propane

Basic Petrochemical Prices

. Ethylene

. Propylene

. Benzene

Crackers' Margins

. Naphtha Based

. Ethane/Propane Based

Thermoplastic Prices

. LDPE

. PP

Thermoplastic Margins

. LDPE

. PP

USAEurope

The global petrochemical scenario was strongly influenced by the strength of the Chinese economy in the third

quarter, with Chinese commodity imports, including petrochemicals, remaining high throughout.

Petrochemical demand in the U.S. and Europe, despite showing signs of a recovery, remained modest. On the

other hand, resin exports to China maintained a healthy pace which, together with the supply restrictions

(shutdowns and scheduled stoppages), especially in Europe, optimized the inventories and capacity use of the

main producers.

As a result, the global petrochemical industry still found room for price adjustments and corrections, and the

margins of the leading resins continued to recover from the historic lows in the months immediately following

the eruption of the financial crisis at the end of 2008.

It is also worth noting that margins throughout the entire petrochemical chain continued to be pressured by

the upturn in international oil prices, in turn fueled by the improved performance of the world’s financial

Petrochemical Scenario

3Q09 Results

3

markets and the positive indicators regarding the recovery pace of the U.S. economy.

Brent crude prices averaged US$ 68.6/bbl in 3Q09, 16% up on the US$ 59.2/bbl recorded in the 2Q09.

Naphtha prices (CIF ARA, European market) averaged US$ 598/t in 3Q09, 22% more than in the 2Q09,

following in the wake of international oil prices. The naphtha/Brent price ratio, which had climbed from 6.5 at

the end of 2008 to 8.3 in the 2Q09, moved up even further to 8.7, pointing to a recovery in European

petrochemical activity.

High inventories in the U.S., combined with shrinking demand (electric power and industry), continued to have

a strong impact on the price of natural gas (Mont Belvieu), which broke through the “psychological” barrier of

US$ 3/MM BTU at the end of the quarter, falling to around US$ 2.88/MM BTU.

As for the natural gas derivatives used as petrochemical inputs, average ethane and propane prices

maintained the upturn initiated in the previous quarter, averaging US$ 352/t and US$ 455/t, respectively, 10%

and 19% above their 2Q09 levels. The ethane/natural gas ratio stood at 14, higher than the 12.3 recorded in

2Q09. In addition to indicating a recovery in U.S. petrochemical activity, the improved ratio can be explained

by the enhanced competitiveness of gas-based petrochemicals to the detriment of the heavier liquid

feedstocks (naphtha), which continued to encourage consumption of ethane/propane mixes by local crackers.

Basic petrochemicals recorded an overall quarter-over-quarter upturn, reflecting the recovery in demand and

the supply restrictions, as well as the increase in the main input prices.

In Europe, ethylene and propylene prices remained under pressure throughout the third quarter due to supply

restrictions caused by operational problems in certain crackers and the upturn in naphtha prices. Ethylene

moved up by 25% over the 2Q09, averaging US$ 1,171/t in the period, while propylene increased by an even

heftier 40% to an average US$ 1,008/t. It is worth noting that propylene supply was further jeopardized by the

increased use of light feedstocks by certain crackers.

Despite the above scenario (restricted supply x petrochemical price recovery), European crackers managed to

partially recoup their margins, which had been heavily compressed since the eruption of the financial crisis.

These margins averaged US$ 302/t in 3Q09, substantially higher than the 2Q09 average of US$ 193/t.

In the U.S., the price recovery was more apparent in the propylene segment, primarily due to severely

restricted supply (increased use of light feedstocks by local crackers and reduced output via refinery streams),

which raised average 3Q09 prices to US$ 1,051/t, 42% up on the quarter before. Ethylene prices averaged US$

719/t, a much more modest 3% improvement over the 2Q09.

As a result, U.S. (ethane/propane based) cracker margins averaged US$ 262/t in 3Q09, very close to the

previous three months. It is worth reiterating the greater competitiveness of the U.S. petrochemical industry,

more flexible in terms of raw materials (natural gas x naphtha), in comparison with its European counterpart,

more exposed to the volatility of international oil and naphtha prices.

After reaching historic lows in the opening months of the year, benzene prices continued the upturn begun in

the 2Q09, averaging US$ 940/t, a hefty 54% up on the previous quarter. Product supply restrictions (increased

3Q09 Results

4

use of light feedstocks by local crackers plus reduced output via refinery streams) combined with a recovery in

demand were responsible for the rally.

As for thermoplastics, domestic demand improved in both the U.S. and Europe and, although still below pre-

crisis levels, helped raise production levels and optimize inventory levels in both markets.

In the polyethylene segment, taking low-density polyethylene (LDPE) as a reference, European prices

averaged US$ 1,500/t in the 3Q09, 24% up on the previous three months, while the integrated producers’

ethylene/LDPE, margin stood at US$ 631/t, a substantial 36% improvement over the US$ 464/t recorded in the

2Q09. The European market was influenced by restricted resin supply (shutdowns and programmed

stoppages) and the higher cost of the main raw materials, which, together with the upturn in domestic

demand and exports to China, paved the way for price adjustments and improved margins, which had been

heavily compressed since the beginning of the financial crisis.

Thanks to the U.S. petrochemical industry’s greater raw-material flexibility, together with the depreciation of

the dollar against the other currencies, the local polyethylene industry remained highly competitive in the

3Q09 with resin exports, especially to China, remaining strong throughout. Average U.S. LDPE prices moved

up by 6% over the 2Q09 to US$ 1,595/t and the integrated producers’ ethylene/LDPE margin widened by 7% to

US$ 1,138/t. It is worth noting that current margins in the region are consolidating at historically high levels,

despite the financial crisis and its effects on the economy as a whole.

Polypropylene (PP) prices followed the upward trajectory of the resin’s main input, propylene, which suffered

severe supply restrictions throughout most of the world. U.S. prices averaged US$ 1,602/t in 3Q09, 24% up on

the previous quarter. European prices behaved similarly, averaging US$1,397/t, a 30% improvement over the

2Q09.

The increase in PP prices ended up offsetting the propylene hike, so producers’ margins remained very close to

their 2Q09 levels of US$ 389/t in Europe and US$ 551/t in the U.S. It is worth noting that current margins are

being maintained and are consolidating at close to their pre-crisis levels, despite the adverse economic

scenario and unfavorable raw material prices.

3Q09 Results

5

» 9M09 vs. 9M08

Prices and Margins Summary Table

International Scenario

Raw Material Prices

. Brent

. Natural Gas

. Naphtha

. Ethane

. Propane

Basic Petrochemical Prices

. Ethylene

. Propylene

. Benzene

Crackers' Margins

. Naphtha Based

. Ethane/Propane Based

Thermoplastic Prices

. LDPE

. PP

Thermoplastic Margins

. LDPE

. PP

Europe USA

Despite the 2009 price recovery, average Brent crude prices in the 9M09 (US$ 57.6/bbl) were still lower than

in the 9M08 (US$ 111.4/bbl), when prices were still unaffected by the international financial crisis which

erupted at the end of last year.

Naphtha prices followed a similar trajectory, averaging US$ 490/t in the 9M09, 47% down on the US$ 931.8/t

recorded in the same period the year before. As a result, the naphtha/Brent price ratio remained virtually flat

at 8.5.

U.S. natural gas prices (Mont Belvieu) averaged US$ 3.91/MM BTU in the 9M09, a substantial 60% down year-

on-year, reflecting excess supply (high U.S. inventories) and reduced demand from the industrial and electric

power sectors in the months following the global financial meltdown. Prices of the gas-based petrochemical

raw materials, ethane (US$ 312/t) and propane (US$ 397/t), followed the same trajectory, plunging by 60%

and 53%, respectively. The ethane/natural gas ratio stood at 10.7 in the 9M09, virtually identical to the 9M08

figure.

Basic petrochemical prices recorded a year-on-year downturn in both the U.S. and Europe, despite the

consolidation of the 2009 price recovery. U.S. ethylene, propylene and benzene prices fell by around 50% to

US$ 705/t, US$ 790/t and US$ 634/t respectively.

3Q09 Results

6

Given the price slide throughout the petrochemical chain, U.S. cracker margins narrowed by 29% over the

9M08 to R$ 279/t.

In Europe, where the effects of the crisis were also intense, average ethylene (US$ 960/t), propylene (US$

775/t) and benzene (US$ 622/t) prices fell by 42%, 47% and 49%, respectively, reducing local (naphtha-based)

cracker margins by 41%, from US$ 359/t in the 9M08 to US$ 210/t in the 9M09.

In the thermoplastics segment, contract prices fell significantly in both the U.S. and Europe, squeezing the

margins of the main products, which remained below their 9M08 levels.

In the polyethylene segment, taking low-density polyethylene (LDPE) as a reference, European prices

averaged US$ 1,254/t in the 9M09, still 41% down year-on-year despite the post-crisis price recovery. U.S.

prices behaved similarly, averaging US$ 1,509/t, 28% less than the US$ 2,104/t recorded in 9M08.

The 9M09 integrated ethylene-LDPE margin averaged US$ 503/t in Europe, 39% down on the US$ 830/t

recorded in the first nine months of 2008, while the U.S. margin averaged R$ 1,079/t, very close to the 9M08

average of US$ 1,074/t, underlining the greater competitiveness of the U.S. industry, which is more exposed

to natural gas prices, which were strongly impacted by the eruption of the global financial crisis at the end of

last year.

Polypropylene (PP) prices and margins behaved very similarly to those of LDPE: year-on-year prices fell by

around 40% year-on-year in both the U.S. and Europe to US$ 1,154/t and US$ 1,342/t, respectively. As for

margins, the average PP spread over polymer-grade propylene fell by 19% to US$ 378/t in Europe and by 5% to

US$ 552/t in the U.S.

3Q09 Results

7

2,285

1,5731,433 1,499

1,595

2,318

1,2481,053

1,209

1,500

3Q08 4Q08 1Q09 2Q09 3Q09

LDPE Prices US$ / t

USA Europe

1,233 1,1211,036 1,063

1,138

891

289413

464

631

3Q08 4Q08 1Q09 2Q09 3Q09

LDPE Integrated MarginUS$ / t

USA Europe

1,482

833 705 695719

1,850

1,443

777 938

1,171

3Q08 4Q08 1Q09 2Q09 3Q09

Ethylene PricesUS$ / t

USA Europe

1,314

694

367

596

940 1,310

566316

612

941

3Q08 4Q08 1Q09 2Q09 3Q09

Benzene PricesUS$ / t

USA Europe

115.4

55.8 44.759.2 68.6

959

364 383 490598

3Q08 4Q08 1Q09 2Q09 3Q09

Brent Oil and Naphtha Europe

Brent (US$/bbl) Naphtha Europe (US$/t)

10.26.8 4.8 3.5 3.4

108.9

42.0 35.6 43.0 47.3

3Q08 4Q08 1Q09 2Q09 3Q09

Natural Gas and Ethane ‐ US Gulf Coast

NG (US$/MM BTU) Ethane (US$c /gal)

10.7

6.27.4

12.313.7

3Q08 4Q08 1Q09 2Q09 3Q09

Ethane/ Natural Gas Ratio‐ US Gulf

1,727

808 581 739

1,051

1,529 1,228

602 719

1,008

3Q08 4Q08 1Q09 2Q09 3Q09

Propylene PricesUS$ / t

USA Europe

2,337

1,367

1,1351,290

1,6021,979

1,251988

1,076

1,397

3Q08 4Q08 1Q09 2Q09 3Q09

PP PricesUS$ / t

USA Europe

610558 555 551 551

449

23

387 357389

3Q08 4Q08 1Q09 2Q09 3Q09

PP MarginUS$ / t

USA Europe

8.3

6.5

8.6 8.38.7

3Q08 4Q08 1Q09 2Q09 3Q09

Naphtha/Brent Ratio

3Q09 Results

8

DOMESTIC SCENARIO

» 3Q09 vs. 2Q09

In general, the domestic petrochemical market in 3Q09 followed the international tendency, receiving further

momentum from the recovery of the Brazilian economy that began in the previous quarter. The upturn in

domestic demand and high export volume helped optimize production levels and maximize period sales.

Industrial indicators remained strong throughout, with production recording positive growth rates for the

ninth consecutive month, led by consumer durables, notably vehicles and white goods, which were still

favored by the government tax cuts and are strongly correlated with thermoplastics demand.

The average price of the main thermoplastic resins followed the international trajectory, moving up

throughout the third quarter. Buoyant demand and the higher cost of the main raw materials created a

propitious climate for local producers to adjust their prices and recoup their margins.

As a result, local polyethylene (LDPE) prices averaged R$ 3,890/t, 3% up on 2Q09, according to the specialized

consulting firm ICIS Lor.

Polypropylene prices averaged R$ 3,936/t in 3Q09, very similar to their 2Q09 level, also according to ICIS Lor.

» 9M09 vs. 9M08

The clear year-on-year decline in the domestic price of the leading thermoplastics (PE and PP) over the 9M08

was caused by the impact of the financial crisis on various sectors of the economy in the 9M09.

According to ICIS Lor, local average prices (in Reais) fell by 15% on average for both LDPE and PP.

3Q08 4Q08 1Q09 2Q09 3Q09

LDPE 4,758 4,714 3,974 3,794 3,890

LLDPE 4,717 4,642 3,879 3,713 3,824

HDPE 4,646 4,559 3,877 3,693 3,803

PP 4,907 4,851 4,097 3,914 3,936

Prices - Brazil

In R$/t , for cash payments, ex-ICMS (Source: ICIS Lor)

3Q09 Results

9

As of June 2008, UNIPAR’s results include the consolidation of 100%

of the companies included in the financial statements of Quattor

Participações, deducting minority interests in a specific line.

UNIPAR’s remaining direct interests (Carbocloro, Unipar Comercial

and Polibutenos) continue to be consolidated in proportion to its

stake in each business.

Accordingly, the nine-month year-on-year comparisons were

jeopardized.

It is also worth noting that, due to the incorporation of Quattor

Químicos Básicos S.A. (formerly PqU) by Polietilenos União S.A.

(currently Quattor Química S.A.), the former’s results for May and

June 2009 were reflected in the latter’s figures through equity

income. The accounting procedure may jeopardize the analysis of

the performance in the period.

» 9M09 vs. 9M08

Net Revenues from Sales and Services:

Net revenues totaled R$ 3,488.3 million in the 9M09, virtually

identical to the 9M08 figure.

Cost of Goods Sold and Services Rendered:

COGS stood at R$ 2,943 million also in line with the same period last

year.

Gross Profit:

Gross profit came to R$ 545.3 million, a modest 3% up year-on-year,

while the gross margin remained flat at 16% of net revenues.

Net Operating Expenses:

Net operating expenses (excluding financial revenues and expenses)

totaled R$ 387.4 million, an improvement over the R$ 313.3 million

recorded in the 9M08, chiefly due to the consolidation of 100% of

Quattor Participações as of June/08.

Consolidated Results

1,570

1,117 1,080 1,013

1,395

3Q08 4Q08 1Q09 2Q09 3Q09

Consolidated Net Revenues(R$ MM)

265 243

81

175

289

3Q08 4Q08 1Q09 2Q09 3Q09

Gross Profit(R$ MM)

208

4

77

185

259

3Q08 4Q08 1Q09 2Q09 3Q09

Consolidated EBITDA(R$ MM)

(140)

(50)(76)

96

45

3Q08 4Q08 1Q09 2Q09 3Q09

Net Income(R$ MM)

3Q09 Results

10

EBITDA[1] [2]:

Year-to-date EBITDA stood at R$ 520.4 million, 27% up on the R$ 409.1 million recorded in the 9M08,

accompanied by an EBITDA margin of 15% of net revenues.

Net Financial Result:

The net financial result was positive by R$ 48.8 million, a substantial improvement over the R$ 503 million

expense reported in the 9M08, chiefly due to the positive effect in 2009 of the exchange rate on the

Company’s consolidated foreign currency debt, especially in its indirect subsidiaries, Riopol and Quattor

Petroquímica.

Consolidated Net Income:

UNIPAR posted year-to-date net income of R$ 65.6 million, versus a R$ 101.9 million net loss in the 9M08.

» 3Q09 vs. 2Q09

The resumption of demand, especially in the domestic market, together with the price and margin recovery

along the entire petrochemical chain were decisive in pushing up gross profit to R$ 288.7 million from R$ 175.2

million in the 2Q09, when the performance of both the Company and the sector was already showing signs of

improvement in relation to the opening months of the year.

Consolidated EBITDA followed a similar trajectory, climbing by a hefty 40% over the R$ 185 million recorded in

the 2Q09 to R$ 258.7 million, reinforcing expectations of an economic recovery and a healthier petrochemical

performance.

Net income totaled Net income totaled R$45.1 million in the 3Q09, versus R$96 million in the previous

quarter, when the positive impact of the dollar devaluation on the Company’s consolidated foreign-currency

debt was greater.

UNIPAR 2004 2005 2006 2007 2008 1Q09 2Q09 3Q09

Gross Margin (%) 25 22 19 21 17 8 17 21

EBITDA Margin (%) 18 15 13 15 9 7 18 19

[1] EBITDA = Operating Income + Financial Expenses – Financial Revenues + Depreciation and Amortization + Goodwill Amortization – Statutory Interests. [2] Sales volume, prices/unit margins and EBITDA were not revised by the independent auditors.

Consolidated Track Record

3Q09 Results

11

Given that Quattor was constituted in June 2008, the comments below deal with the quarter-over-quarter

comparison only.

» 3Q09 vs. 2Q09

Net Revenues: Consolidated net revenues totaled R$ 1,334.9 million, 15% up on the R$ 1,163.8 million

recorded in the previous quarter, mainly reflecting the recovery in sales volume and average sales prices in the

3Q09.

The resumption of demand and the increase in production pushed up consolidated domestic resin sales by

10%. Consolidated resin exports also did exceptionally well, climbing by 80% over the same period last year.

Gross Margin: Thanks to the recovery in sales prices and volume, Quattor’s consolidated gross profit increased

by 50%, from R$ 167.2 million, in the 2Q09, when the performance of the petrochemical sector and the

economy as a whole began to show signs of improvement, to R$ 250 million in the 3Q09.

EBITDA: Consolidated third-quarter EBITDA totaled R$ 236.3 million, 52% up on the R$ 155.4 million reported

in the previous three months, with an EBITDA margin of 18%, substantially higher than the 13.4% recorded in

the 2Q09, reflecting the company’s operational recovery.

Net Income: Net income totaled R$97.3 million in the 3Q09, versus R$160.1 million in the previous quarter,

when the positive effect of the dollar devaluation on the consolidated foreign currency debt (Riopol and

Quattor Petroquímica) was greater.

» 9M09 vs. 9M08

Net Revenues: Year-to-date net revenues totaled R$ 547.6 million, 11% up on the same period in 2008, chiefly

due to the increase in production capacity and the consequent upturn in the sales of soda, chlorine and by-

products.

It is worth remembering that the company has expanded its soda and chlorine production capacity by 40%

since the 3Q08, to 400,000t p.a. and 355,000t p.a., respectively.

Gross Margin: Gross profit totaled R$ 163.9 million, 4% higher than the 9M08, basically reflecting net revenue

growth, while the gross margin remained flat at 30%.

EBITDA: The revenue and gross margin gains were reflected in EBITDA, which came to R$ 191 million in the

Operating Performance

3Q09 Results

12

9M09, substantially higher than the 9M08 figure of R$ 147.1 million, while the EBITDA widened from 30% to

35%.

Net Income: Carbocloro posted year-to-date net income of R$ 115.1 million, 21% up on the R$ 94.9 million

recorded in the same period last year, thanks to the improved operating result.

» 3Q09 vs. 2Q09

Gross profit fell from R$ 51.8 million, in the 2Q09, to R$ 25.3 million, due to the decline in international soda

prices and the depreciation of the dollar.

Third-quarter net income totaled R$ 18 million, less than the R$ 43.6 million reported in the 2Q09.

» 9M09 vs. 9M08

Net Revenues: Year-to-date net revenues came to R$ 194.7 million, 13% down on the 9M08, essentially due to

the reduction in average prices.

Gross Margin: Gross profit totaled R$ 29.6 million, 8% up on year-on-year, reflecting the period margin

increase from 12% to 15%.

EBITDA: Thanks to the gross margin recovery, EBITDA closed the 9M09 at R$ 13.2 million, 12% up on the same

period last year.

Net Income: As a result, the company posted year-to-date net income of R$ 5.9 million, 15% up on the 9M08.

» 3Q09 vs. 2Q09

The third quarter was influenced by the continuing increase in production and demand that began in the

previous three months, and sales volume climbed by 22%. Thanks to the improved sales performance and the

higher gross margins, net income came to R$ 2.6 million, versus R$ 2.4 million in the 2Q09.

» 9M09 vs. 9M08

Net Revenues: Net revenues in the 9M09 came to R$ 41.3 million, 5% lower than the R$ 43.3 million recorded

in the 9M08, mainly due to the 9% decline in the average sales price. Sales volume moved up by 5%.

Gross Margin: Gross profit stood at R$ 16.6 million, 59% up on the same period the year before. The reduction

3Q09 Results

13

in the average sales price was offset by the decrease in the naphtha-pegged price of isobutene, the company’s

main input, leading to a substantial gross margin increase from 24%, in the 9M08, to 40%).

EBITDA: Reflecting the gross margin recovery, EBITDA climbed 62% year-on-year to R$ 14.0 million.

Net Income: Thanks to the margin and sales volume recovery, year-to-date net income increased by a massive

89%, from R$ 5.1 million, in the 9M08, to R$ 9.6 million.

» 3Q09 vs. 2Q09

The recovery in margins and sales volume throughout the 3Q09 led to gross profit of R$ 6.1 million, 17% up on

the 2Q09. This performance was also reflected in net income, which climbed from R$ 3.2 million to R$ 3.3

million.

Founded 40 years ago, UNIPAR is now one of Brazil’s leading petrochemical groups, focusing on the production

of basic petrochemicals, intermediates and resins through its subsidiaries.

UNIPAR’s interests are as follows:

9.02%

50% 33.3% 100%

99.3%

60%

Divisão Química

66.0%94.1%

5.89%

Participações

Petroquímica

Directly Controlled Companies

Indirectly Controlled Companies

Química

The group’s expansion program, which is in its final phase, involves total investments of R$ 2.7 billion.

Following the constitution of Quattor, UNIPAR now owns assets with a global production scale and controls the

second largest petrochemical firm in South America, consolidating its position as a major player in Mercosur and

About UNIPAR

3Q09 Results

14

increasing the Southeast’s share of regional petrochemical supply through increased integration between first and

second generation plants.

José Octávio Vianello de Mello

President and IR Officer

unipar@unipar.ind.br

Leonardo Pinho Cavalcanti

IR Manager

lpcavalcanti@unipar.ind.br

Phone: +55 (11) 5504-6500

www.unipar.ind.br

This release contains forward-looking statements relating to the prospects of the business, estimates for operating and financial results,

and those related to growth prospects of UNIPAR. These are merely projections and, as such, are based exclusively on the expectations

of UNIPAR’s management concerning the future of the business. Such forward-looking statements depend, substantially, on changes in

market conditions, government regulations, competitive pressures, the performance of the Brazilian and international economies and

the industry, among other factors and risks disclosed in UNIPAR’S disclosure documents and are, therefore, subject to change without

prior notice.

IR Contacts

3Q09 Results

15

Company Products / Services Capacity

DIRECTLY CONTROLLED

COMPANIES

Unipar Comercial

Distribution of

Chemical &

Petrochemical

Products

Chlorine 355 thousand t/a

Caustic Soda 400 thousand t/a

EDC 140 thousand t/a

HCl 530 thousand t/a Hypochlorite 400 thousand t/a

Polibutenos Polyisobutenes 17 thousand t/a

INDIRECTLY CONTROLLED

COMPANIES (QUATTOR’S

ASSETS)

Cumene 310 thousand t/a

Nonene/Propylene

Tetramer27 thousand t/a

Isoparaffins 26 thousand t/a

Ethylene 500 thousand t/a

Propylene 250 thousand t/a

Benzene 200 thousand t/a

Solvents 180 thousand t/a

Gasoline A 170 thousand t/a

Butadiene 80 thousand t/a

LDPE/EVA/HDPE 270 thousand t/a

LLDPE / HDPE 520 thousand t/a

Propylene 75 thousand t/a

Quattor Petroquímica Polypropylene 785 thousand t/a

Carbocloro

Quattor Químicos

Intermediários

Rio Polímeros

Quattor Química

ANNEX I – Production Capacities in 09/30/2009

3Q09 Results

16

9M09 9M08 Var %

Gross Revenue 265,084 304,858 13.0%

Net Revenue 194,690 224,170 13.2%

Gross Profit 29,583 27,401 -8.0%

Operating Profit 8,466 5,568 -52.0%

Net Profit 5,933 5,155 -15.1%

EBITDA 13,232 11,872 -11.5%

Plant, Property and Equipment 15,926 17,241 7.6%

Total Liabilities (-) Current Assets (9,707) 17,704 154.8%

Gross Revenue 708,101 655,086 -8.1%

Net Revenue 547,584 491,967 -11.3%

Gross Profit 163,932 157,274 -4.2%

Operating Profit 164,911 142,154 -16.0%

Net Profit 115,116 94,901 -21.3%

EBITDA 191,015 147,104 -29.9%

Plant, Property and Equipment 494,094 469,663 -5.2%

Total Liabilities (-) Current Assets 190,499 536,478 64.5%

Gross Revenue 52,261 55,685 6.1%

Net Revenue 41,347 43,314 4.5%

Gross Profit 16,598 10,423 -59.2%

Operating Profit 14,403 7,509 -91.8%

Net Profit 9,651 5,099 -89.3%

EBITDA 14,038 8,671 -61.9%

Plant, Property and Equipment 49,750 15,736 >200%

Total Liabilities (-) Current Assets 32,216 20,209 -59.4%

Gross Revenue 4,631,006 - - -

Net Revenue 3,240,022 - - -

Gross Profit 388,271 - - -

Operating Profit 225,385 - - -

Net Profit 139,900 - - -

EBITDA 428,289 - - -

Plant, Property and Equipment 6,187,518 - - -

Total Liabilities (-) Current Assets 6,234,956 - - -

* 9M08: Consolidation of Quattor as of June/08.

Unipar Comercial

Subsidiaries’ Managerial Information (in R$ '000)

Quattor Consolidated*

Carbocloro

Polibutenos

ANNEX II – Controlled Companies Managerial Information

3Q09 Results

17

3Q09 3Q08 9M09 9M08

Sales and Services Gross Revenues 18,513 - 27,437 66,020

Domestic Market - - - 63,431

Exports 18,513 - 27,437 2,589

Deduction from Gross Revenues - - - (20,284)

Net Revenues 18,513 - 27,437 45,736

Cost of Goods Sold (COGS) (18,091) - (26,204) (45,284)

Gross Profit 422 - 1,233 452

Operating Revenues (Expenses) 44,137 (187,672) 64,975 (150,039)

Sel l ing Expenses (421) - (1,232) (640)

G&A Expenses (13,387) (17,887) (49,787) (58,579)

Management Fees (1,691) 90 (4,486) (8,747)

G&A Expenses (11,696) (17,977) (45,301) (49,832)

Other Operating Revenues (Expenses) 73 (127) 792 55,217

Financia l Result (12,138) (37,025) (32,509) (70,849)

Financia l Revenues 10,273 5,460 43,734 31,969

Financia l Expenses (22,411) (42,485) (76,243) (102,818)

Other Operating Revenues (Expenses) (908) - (2,727) 1,508

Dividends from Other Equity Interest 1 - 1 1,639

Goodwi l l Amortization - Investments (909) - (2,728) (131)

Equity Income 70,918 (132,633) 150,438 (76,696)

Operating Result 44,559 (187,672) 66,208 (149,587)

Non-Operating Result - - - -

Income Before Tax 44,559 (187,672) 66,208 (149,587)

Deferred Income Tax and Socia l Contribution 541 36,998 (635) 36,998

Reversa l of interest on equity - 10,688 - 10,688

Net Income (loss) 45,100 (139,986) 65,573 (101,901)

3Q09 3Q08 9M09 9M08

Numbers of Shares - Excluding Treasury (in '000) 835,014 835,014 835,014 835,014

EPS (R$) 0.0540 (0.1676) 0.0785 (0.1220)

Parent Company

Parent Company Income Statement (in R$ '000)

Parent Company

Parent Company

Income (Loss) per Share

ANNEX III – Income Statement: Parent Company

3Q09 Results

18

3Q09 3Q08 9M09 9M08

Sales and Services Gross Revenues 2,014,144 2,198,840 5,033,593 4,982,783

Domestic Market 1,815,142 1,976,037 4,435,750 4,575,221

Exports 199,002 222,803 597,843 407,562

Deduction from Gross Revenues (618,698) (628,435) (1,545,275) (1,506,011)

Net Revenues 1,395,446 1,570,405 3,488,318 3,476,772

Cost of Goods Sold (COGS) (1,106,755) (1,305,421) (2,943,001) (2,946,289)

Gross Profit 288,691 264,984 545,317 530,483

Operating Revenues (Expenses) (138,933) (642,767) (308,649) (827,957)

Sel l ing Expenses (82,875) (85,035) (250,084) (166,205)

G&A Expenses (45,554) (87,300) (179,698) (189,585)

Management Fees (5,830) (4,405) (15,929) (17,693)

G&A Expenses (39,724) (82,895) (163,769) (171,892)

Other Operating Revenues (Expenses) (3,958) (19,377) 42,400 42,455

Financia l Result (8,234) (443,887) 48,824 (502,996)

Financia l Revenues 189,192 129,082 639,471 141,783

Financia l Expenses (197,426) (572,969) (590,647) (644,779)

Other Operating Revenues (Expenses) (1,854) (15,099) (5,562) (29,139)

Goodwi l l Amortization - Investments (1,854) (15,099) (5,562) (29,139)

Equity Income 3,542 7,931 35,471 17,513

Operating Result 149,758 (377,783) 236,668 (297,474)

Income Before Tax 149,758 (377,783) 236,668 (297,474)

Income Tax and Socia l Contribution Provis ion (31,072) 19,755 (83,363) (2,931)

Deferred Income Tax and Socia l Contribution (25,433) 80,112 (14,616) 53,952

Reversa l of interest on equity - 10,688 - 10,688

Minori ty Interests (48,153) 127,242 (73,116) 133,864

Net Income (loss) 45,100 (139,986) 65,573 (101,901)

3Q09 3Q08 9M09 9M08

Numbers of Shares - Excluding Treasury (in '000) 835,014 835,014 835,014 835,014

EPS (R$) 0.0540 (0.1676) 0.0785 (0.1220)

Income Statement (in R$ '000)

Income (Loss) per Share

Consolidated

Consolidated

Consolidated

Consolidated

ANNEX IV – Income Statement – Consolidated

3Q09 Results

19

Balance Sheet (in '000 Reais)

Assets 3Q09 3Q08 3Q09 3Q08

Total Assets 2,026,798 2,082,196 11,806,149 11,494,883

Current Assets 374,322 306,017 2,816,983 3,268,560

Cash and cash equiva lents 352,658 147,644 1,345,462 1,294,581

Account receivable 9,356 - 501,346 582,396

Credit with control led, affi l iate and subs idiaries 2,021 6,899 14,289 16,771

Inventory - - 572,862 732,049

Recoverable Taxes 8,007 16,900 164,536 237,986

Deferred income tax and socia l contribution - 50,924 16,047 71,538

Prepaid expenses 803 98 41,301 28,209

Securi ties - - 137,809 157,584

Investment for sale - 81,188 - 99,784

Others 1,477 2,364 23,331 47,662

Non-Current Assets 1,652,476 1,776,179 8,989,166 8,226,323

Long-term Assets 112,644 5,516 916,755 766,203

Related parties - - 23,901 23,901

Inventory - - 29,618 13,525

Account receivable - - 107 8,949

Recoverable taxes - - 457,922 509,904

Deferred income tax and socia l contribution - - 266,716 182,737

Goods for sa le - - 4,737 4,764

Judicia l depos its 19,974 5,380 28,791 8,047

Compulsory loans - - 1,415 1,415

Prepaid expenses - - 9,841 11,533

Securi ties 92,534 - 92,534 -

Other accounts receivable 136 136 1,173 1,428

Fixed Assets 1,539,832 1,770,663 8,072,411 7,460,120

Interest in control led companies 1,189,224 1,741,922 - 710,081

Interest in control led companies - goodwi l l 29,729 - - -

Other investments - - 2,090 2,089

Plant, property and equipment 6,147 5,822 6,502,950 5,846,531

Intangible 313,875 85 1,237,603 488,582

Deferred 857 22,834 329,768 412,837

Parent Company Consolidated

ANNEX V – Balance Sheet: Assets

3Q09 Results

20

Balance Sheet (in '000 Reais)

Liabilities 3Q09 3Q08 3Q09 3Q08

Total Liabilities 2,026,798 2,082,196 11,806,149 11,494,883

Current Liabilities 92,794 76,977 2,560,189 2,011,055

Suppl iers 166 - 155,743 234,417

Short-term loans & financing 71,385 63,162 1,776,560 1,399,005

Taxes , fees and contributions 4,669 5,046 148,401 138,479

Related parties debt 9,609 254 341,801 92,775

Interest on equity 839 1,636 4,286 5,134

Dividends payable 1,895 1,369 4,709 4,184

Profi t sharing 738 2,654 - 20,293

Income tax and socia l contribution - - 34,510 15,969

Deferred income and socia l contribution taxes 2,290 - 2,290 -

Provis ions 1,137 2,589 56,859 82,084

Statutory interests - - 4,890 -

Others 66 267 30,140 18,715

Long-term Liabilities 838,417 886,482 7,145,631 7,063,012

Long-term loans & financing 830,041 880,982 6,895,111 6,859,869

Provis ion for contingencies 5,500 5,500 30,343 44,299

Deferred income and socia l contribution taxes 2,876 - 2,876 -

Taxes , fees and contributions - - 60,510 127,110

Other accounts payable - - 12,096 31,734

Deferred income tax and socia l contribution - - 11,403 -

Deferred revenues - - 133,292 -

Deferred Income - - - 14,979

Minority Interests - - 1,004,742 1,287,100

Shareholders' Equity 1,095,587 1,118,737 1,095,587 1,118,737

Paid-in 835,498 835,498 835,498 835,498

Revenue reserves 204,927 395,828 204,927 395,828

Retained earnings (losses) 55,162 (112,589) 55,162 (112,589)

Parent Company Consolidated

ANNEX VI – Balance Sheet: Liabilities

3Q09 Results

21

ANNEX VII – Statement of Cash Flows

9M09 9M08 9M09 9M08

Cash and cash equivalents, beginning of the period 437,226 465,760 1,207,515 574,652

Cash flows from operating activities - - - -

Net income in the period 65,573 (101,901) 65,573 (101,901)

Adjustments to reconcile net income (loss) to net cash provided by

(used in) operating activities (47,640) (20,099) 67,169 386,852

Depreciation and Amortization 17,544 7,731 315,040 180,911

Interest and exchange and monetary variations 15,817 32,136 (255,661) 179,072

Minori ty interests - - 73,116 133,864

Deferred income taxes 635 (36,998) 14,616 (53,952)

Goodwi l l amortization 2,728 - 5,562 46,485

Provis ion for contingencies - 2,237 1,841 19,886

Losses from investments 406 - - -

Va lue of investment wri te-offs - - 654 -

Res idual va lue of asset wri te-offs 95 - 1,108 -

Equity income (150,438) 76,696 (35,471) (17,513)

Changes introduced by Law 11,638/07 - Shareholders ' Equity - - (13,898) -

Provis ion for maintenance s tops - - (54,531) -

Others - - (50,780) -

Decrease (increase) in assets 20,831 47,889 432,951 (1,155,348)

Accounts receivable (9,356) 21,309 152,052 (277,422)

Control led and affi l iated companies (Assets ) 5,606 87,083 7,315 12,359

Inventories - - 163,326 (490,541)

Recoverable taxes 328 2,366 67,437 (459,084)

Other assets 24,253 (62,869) 42,821 59,340

Increase (decrease) in liabilities 4,208 (3,399) (269,807) 340,088

Suppl iers (659) - 112,097 80,034

Control led and affi l iated companies 9,589 (88,668) 193,074 18,073

Taxes , fees and contributions (804) (2,918) (84,050) 155,067

Payables and provis ions - - 43,625 -

Other l iabi l i ties (3,918) 88,187 (534,553) 86,914

Net working capital variation 25,039 44,490 163,144 (815,260)

Net cash provided by operating activities (22,601) 24,391 230,313 (428,408)

Net cash used in investing activities (11,251) (295,776) (422,678) (1,434,951)

Securi ties (7,042) - (61,748) (125,551)

Advance for future s tock purchase - - 9,435 -

Transfer of assets and l iabi l i ties to investment - (279,806) - (619,558)

Additions to fixed assets (927) (452) (344,329) (568,808)

Additions to intangible assets (33) (14) (10,304) (2,816)

Additions to deferred charges (3,249) (15,504) (3,249) (16,443)

Goods for sa le - - - (101,775)

Goodwi l l in investments acquis i tions - - (12,483) -

Net cash provided by financing activities (50,716) (46,731) 330,312 2,583,288

Proceeds from Loans and Debentures - 180,000 1,171,177 2,446,525

Treasury s tock - (715) - (715)

Loans payments (22,477) (189,954) (886,533) (985,005)

Cash from merged companies - - 73,907 -

Minori ty interests - - - 1,153,236

Paid dividends and interest on own capita l (28,239) (36,062) (28,239) (30,753)

Increase (decrease) in cash & cash equiva lents (84,568) (318,116) 137,947 719,929

Cash and cash equivalents, end of the period 352,658 147,644 1,345,462 1,294,581

Parent Company ConsolidatedStatement of Cash Flows (in R$ '000)