Corporate Presentation

3rd quarter 2014 0

Who we are

Shareholder Structure (as of Sep/2014)

• Member of BM&FBOVESPA Novo Mercado

• 100% common shares: 1 share = 1 vote

• 100% Tag Along

• Dividend policy: 30% of Adjusted Net Income

• Joined the BM&FBOVESPA’s Board of

Arbitration

Control Block

1

Highlights

50’s and 60’s

70’s 80’s 90’s 2000-

2008 2009

2010-

2012 2013 2014

Duratex’s History

1951: Duratex

was established

already as a

publicly traded

company

1954: Start of

hardboards

production in

Jundiaí, SP

Acquisitions:

- Caxuana

- Additional

participation of

Tablemac

Duratex’s 2020

Strategic Plan

1972:

Incorporation

of Deca

1981:

Acquisition of

Louças Sul, São

Leopoldo (RS)

1984:

Acquisition of

Itapetininga

(SP) unit

1988:

Acquisition of

Agudos (SP)

unit

1995:

Acquisition of

Argentina Piazza

Hermanos,

which was

renamed

Deca Piazza

(discontinued in

2013)

1997: First

MDF (Medium

Density

Fiberboard)

plant in Brazil,

Agudos

New plants

(CAPEX):

• MDF Botucatu

• MDP Itapet.

• MDF2 Agudos

Closing of

Jundiaí

Acquisitions:

• Ideal

Standard

•CMC

Association

with Satipel,

creating the

largest

company

within the

wood panel

production

segment in

the Southern

Hemisphere

Novo

Mercado

Start-up of a

resin plant

Beginning of the

investment

program: DECA

and Wood

Acquisitions:

• land in SP

• Elizabeth

• Tablemac

• Thermosystem

• Mipel

Completion

of the

investment

cycle started

in 2011

Election of a

New CEO

Definition of

a strategic

growth plan

until 2017

1970: Start of

activities in

Taquari (RS)

1975: Start of

activities in

Uberaba (MG)

1992: Acquired

by Ligna

1997:

Expansion of

Uberaba

1998:

Acquisition of

51.000ha of

forest

2004:

Expansion of

Uberaba

2007: IPO

Novo Mercado

2008: New

MDF plant in

Uberaba

Expansion

of Taquari

2

OPERATION

PRODUCTS

CORPORATE GOVERNANCE

INNOVATION

BRANDING

Competitive Advantages

3

Competitive Advantages: Operation

Colombia (Tablemac) Manizale – MDP Yarumal – MDP Barbosa – MDF Guarne - Furniture

Itapetininga (SP) MDP and MDF Agudos (SP) 2 lines of MDF, Flooring and Resin (DRI) Botucatu (SP) MDF Hardboard

Taquari (RS) MDP

Uberaba (MG) MDF and MDP

4

Geographic diversification Wood Division

Competitive Advantages: Operation

João Pessoa (PB) 1 Sanitary Ware plant

Cabo de Santo Agostinho (PE) 1 Sanitary Ware plant

Queimados (RJ) 1 Sanitary Ware plant

São Paulo (SP) 1 Metal fittings plant Jundiaí (SP) 1 Metal fittings plant, 2 Sanitary Ware plants Jacareí (SP) Bronze Industrial valves

Tubarão (SC) Electronic Showers and solar heatings

São Leopoldo (RS) 1 Sanitary Ware plant

Geographic diversification Deca Division

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DECA (in `000 items) 2007 2008 2009 2010 2011 2012 2013* 2014

Metals 14.400 15.600 15.800 15.800 17.000 18.200 24.600 25.800

Sanitary Ware 3.800 6.200 7.200 7.200 9.800 9.800 12.250 12.250

TOTAL 18.200 21.800 23.000 23.000 26.800 28.000 36.850 38.050

WOOD (in `000 m³) 2007 2008 2009 2010 2011 2012 2013* 2014

MDF 553 850 1.530 1.530 1.530 1.600 2.100 2.100

MDP 1.275 1.620 1.620 1.620 1.620 1.670 1.870 1.870

Hardboard 334 195 195 195 195 195 195 195

TOTAL 2.162 2.665 3.345 3.345 3.345 3.465 4.165 4.165

Competitive Advantages: Operation

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+92,6%

+109,1%

Capacities evolution * 2013: start including Tablemac, Thermosystem and Mipel (acquisitions)

Production Scale

Resin Factory • Inaugurated in April /2010

• 100% self sufficiency in São Paulo and 65% in

total

Competitive Advantage: Operation

Forest Integration • 269k hectares of land • 185k hectares of planted forests • 438 farms in the region of SP, MG e RS • 349 MM of planted trees • 15k hectares planted area/year • 7,2 Mn m3 of annual wood production • Tree harvested between 6 and 7 years • Low distance between forests and plants

Duratex Forest Productivity Evolution (m³/ha/year)

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High Level of Operation Integration

Agudos factory: Resin + MDF + Durafloor

Competitive Advantages: Products

Diversity of Products: Wood Division

LAMINATE FLOORING - A complete solution for residential and corporate areas. With performance highly recognized in the market, this product brings international design trends and technology.

LVT FLOORING - The LVT (Luxury Vinyl Tile) PVC base flooring, 100% recyclable, is a trend and its use is growing throughout the world, as it´s water resistant, which allows its installation at various residential settings and also at commercial areas, such as shops, offices and hotels.

MDP-Panel made from wood particles, from selected eucalyptus wood, that allows various applications in the furniture industry and construction.

MDF- Medium density wood panels, which offers various possibilities of application and finishing. Ideal for furniture, moldings and coatings in general.

HARDBOARD – Panel of high density fiber made with reforested wood from eucalyptus.

BASEBOARDS

Historical Product Launch

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20

15

23 24

38

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Product Launch: Wood Division

Total items in production: 3.465 SKU’s

Competitive Advantages: Products

Competitive Advantages: Products

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Diversity of Products: Deca Division

ACCESSORIES • Paper Rack • Towel Rack • Soap dish, among other

SANITARY WARE: • Washers • Sinks • Tanks • Toilet bowls • Bidets

METAL FITTINGS • Faucets • Mixers • Flushing valves • Showers and Components

HYDRA • Electronic Showers • Solar Heaters

Competitive Advantages: Products

Historical Product Launch

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Product Launch: Deca Division

Total items in production: Metals 1.978 SKU’s Sanitary Ware 1.258 SKU’s Hydra 39 SKU’s

25

10

34

60

28

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Competitive Advantages: Corporate Governance

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Board of Directors and Supporting Committees

Board of Directors

10 members, from which:

• 5 representatives from Itausa

• 2 representatives from Cia. Ligna

• 3 independent members

Board’s Supporting Committees

Audit

Staff, Governance and Nomination

Sustainability

Trading and Disclosure

Transaction with Related Parties

Competitive Advantages: Corporate Governance

• Construction of a consistent strategy aiming to involve the different areas of the company and the different dimensions of sustainability, incorporated in a medium term vision

• Alignment to Duratex 2020 Strategic Planning

DIALOGUE AND RELATIONSHIP

ENVIRONMENTAL MANAGEMENT

AND PERFORMANCE

BUSINESS TRANSPARENCY AND RESPONSABILITY

STAFF Employees Liedership

High Management Efficient use of

resources and energy

Management of residues and emissions

RELATIONSHIPS QUALITY

Suppliers

Clients Community Specialists

Conservation adn Biodiversity

Inclusion of social and environmental criteria to management and report

Quality and impact of products

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Sustainability Platform

Competitive Advantages: Innovation

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Innovation

Historical of proposals received Under analysis

Highlights: . 12 implemented ideas Benefits: . New products . Cost reduction . Process improvement of

Competitive Advantages: Branding

• Traditional brands well-known in the market • Diversified product portfolio with penetration in different market segments,

premium and economic • Recognized brand strength, including in segments in which it is not present • Sustainable products:

• Deca: water saving devices • Panels: made from certified wood sourced from reforestation

DJSI Emerging Markets

800 Biggest Emerging

Companies from S&P

Global Broad Market Index

Selection of top 10% in

sustainability in each industry

Reserve selection of 15% of each

industry

86 Companies

37 Industries 12 Countries

Competitive Advantages: Branding

• Duratex was included, for the third consecutive year, in the Dow Jones Sustainability Emerging Market Index

• The do Dow Jones Indexes (DJSI) accompany the economic and environmental performance of companies, with a focus on creating long-term value. The final portfolios include those that stood out in their respective industries

• More than 3,000 public companies were invited to participate in the DJSI, version 2014/2015, including 800 from emerging markets. Altogether, 86 companies were selected to join the Dow Jones Sustainability Emerging Markets Index of which only 17 were from Brazil

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Strengthening of the Corporate Brand

• Duratex’s shares are part of ISE since its 2008/2009 edition • The Corporate Sustainability Index (ISE) compares the performance of the companies listed on

BM&FBOVESPA according to corporate sustainability criteria; based in economic efficiency, environmental balance, social justice and corporate governance

• ISE 2013/2014 version gathers 51 shares from 40 companies, from 18 different sectors

• The Sustainability Studies Center (GVCes) from Escola de Administração de Empresas de São Paulo

(EAESP) is responsible for the methodology applied. The Brazilian Stock Exchange is responsible for calculating and managing the index

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Strengthening of the Corporate Brand

Competitive Advantages: Branding

Operating highlights from the Quarter

Improvement of the business environment on 3rd Q/ 2nd Q 2014

Wood: +18,2%

Deca: +3,9%

Wood: +13,9%

Deca: +4,0%

+14,4%, and margin increased from 21,7% (2Q14) to 22,4% (3Q14)

+ 42,5%, totaling R$83,5 Mn in the period

Increase the occupancy rate ofn plants (economies of scale)

Recovery of historical margins (recomposition of prices)

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Volume

Revenue

EBITDA

Profit

Challenge

Financial Highlights Consolidated

Equity (R$ million) e Recurring ROE (%)

Consolidated Net Revenue (R$ million)

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14,1% 8,1% 15,5% 5,2% 7,3% Recurring ROE (%)

(R$ million) 3Q14 2Q14 % 3Q13 % 9M14 9M13 %

Net Income 1.057,3 957,6 10,4% 1.027,7 2,9% 2.944,5 2.864,6 2,8%

Wood Division 706,3 619,9 13,9% 655,9 7,7% 1.910,2 1.830,6 4,4%

Deca 351,0 337,7 4,0% 371,8 -5,6% 1.034,2 1.034,0 0,0%

Gross Margin 31,1% 31,2% 38,4% 32,1% 38,2%

(in R$ million) - Brasil 3Q14 2Q14 Var % 3Q13 Var % 9M14 9M13 Var %

Volume Deca (in '000 items) 6.917 6.658 3,9% 7.578 -8,7% 20.650 21.497 -3,9%

Volume Madeira (in m3) 709.444 592.495 19,7% 689.236 2,9% 1.901.575 1.949.702 -2,5%

EBITDA 223,8 195,6 14,4% 310,4 -27,9% 650,2 895,6 -27,4%

EBITDA Margin 22,6% 21,9% - 30,2% - 23,5% 31,3% -

Recurrent Net Income 76,5 53,4 43,2% 170,2 -55,0% 286,4 449,9 -36,3%

Recurrent ROE 6,9% 4,7% - 15,5% - 7,7% 14,1% -

Colombia 3Q14 2Q14 Var % 9M14

Volume Madeira (in m3) 54.282 53.560 1,3% 141.769

EBITDA 13,5 11,9 13,3% 34,7

EBITDA Margin 20,1% 18,2% - 19,9%

Recurrent Net Income 7,0 5,2 35,0% 16,9

Recurrent ROE 6,4% -

Consolidated 3Q14 2Q14 Var % 3Q13 Var % 9M14 9M13 Var %

Volume Deca (in '000 items) 6.917 6.658 3,9% 7.578 -8,7% 20.650 21.497 -3,9%

Volume Madeira (in m3) 763.726 646.055 18,2% 689.236 10,8% 2.043.343 1.949.702 4,8%

EBITDA 237,3 207,5 14,4% 310,4 -23,5% 684,9 895,6 -23,5%

EBITDA Margin 22,4% 21,7% - 30,2% - 23,3% 31,3% -

Recurrent Net Income 83,5 58,6 42,5% 170,2 -50,9% 303,4 449,9 -32,6%

Recurrent ROE 7,3% 5,2% - 15,5% - 8,1% 14,1% -

Financial Highlights Consolidated

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ANNUAL CAPACITY

(in ‘000 m³)

MDF 6.080 5.170 4.900

MDP 4.741 4.030 4.030

Total 10.821 9.200 8.930

NOMINAL EFFECTIVE* AVAILABLE*

Panel Market in Brazil (in ‘000 m3)

Source: ABIPA/IBA

MDF Market

MDP Market

+10%

+12%

+2%

+6%

-8%

+24%

-1% +14%

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* Duratex’s estimate: Available capacity: based on the lines already installed, after the ramp-up periods and taking into account the existing bottlenecks and investments needed Effective: With peripheral investments, as mentioned above

Wood

ANNUAL CAPACITY LEVEL OF OCUPANCY

(in ‘000 m³) (over available - %)

MDF 2.470 2.100 1.880 81%

MDP 2.200 1.870 1.870 69%

Hardboard 210 195 195 89%

Total 4.880 4.165 3.945 76%

NOMINAL EFFECTIVE* AVAILABLE**

Operational Highlights

Shipment (in m3)

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Wood

+4,8%

+10,8%

+18,2%

Installed Capacity and Ocupancy Rate 3Q14

* Duratex’s effective Annual Capacity based on the lines already installed, after periods of ramp-up and with peripheral investments ** Without such peripheral investment mentioned above

Operational Highlights

Net Revenue (R$ million) and Gross Margin (%)

Recurring EBITDA (R$ million) and EBITDA Margin (%)

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37,8% 29,3% 30,4% 37,6% 30,8%

+4,3%

+7,7%

+13,9%

33,4% 24,1% 25% 35,4% 25,7%

-24,1%

-19,6%

+18,3%

Wood

Highlights: . Lower price base contributes to the recovery of share . Gains of scale and more favorable costs contribute to the improvement of margins in the quarter . On an annual comparison, however, along with cost increase due to inflation and FX, there was an increase in fixed costs following the capacity increases not followed by price hikes, pressuring further the margins

Building Material Industry

Source: Associação Brasileira da Indústria de Materiais de Construção ABRAMAT INDEX: Monthly indicator of sales performance, in R$, of the Building Materials Industry; performance in relation to the same period of the previous year

ABRAMAT INDEX – INTERNAL MARKET Achieved and Projected for 2014

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Deca

ANNUAL CAPACITY NOMINAL ANNUAL LEVEL OF OCUPANCY

(in ‘000 items) CAPACITY (%)

SANITARY WARES 12.250 70%

METAL FITTINGS 24.600* 78%

Total 36.850 75%

Operational Highlights

Shipment (in ‘000 items)

25

Deca

Installed Capacity and Occupancy Rate 3Q14

-3,9%

-8,7%

+3,9%

* Includes Thermosystem capacities (showers and solar heating systems) and Mipel (industrial valves)

24,5% 17,3% 17,3% 24% 18,7%

-22,0%

-33,2%

+4,3%

39,5% 34,6% 32,6% 39,3% 34,5%

=

-5,6%

+3,9%

Operational Highlights

Net Revenue (R$ million) and Gross Margin (%)

Recurring EBITDA (R$ million) and EBITDA Margin (%)

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Deca

Highlights: . Important recovery in volume shipped along with revenues contributed to gains of scale in the quarter . Cost pressures linked to capacity increase (Queimados plant), to labor and Thermosystem’s rebranding process to Hydra, contributed to keep margins under pressure

Consolidated CAPEX (R$ million) and Main Investments

Main Projects Concluded in 2013

Tablemac: 151,7Mn Caxuana: 58,8Mn Others: 275,0Mn

650e

3.847,3Mn

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QUEIMADOS (RJ)

Sanitary Ware

+2,4 million items/year

ITAPETININGA (SP)

New MDF Plant

Effective Capacity :

520.000 m3/year

TAQUARI (RS) Debottlenecking the capacity of MDP, with the addition of 230 000 m³ annual available capacity (from 440,000 to 670,000 m³/year)

Indebtedness

Amortization Schedule (R$Mn) Debt Origin (%)

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* 100% hedge

R$´000 SEPT/2014 JUN/2014 Var R$ SEPT/2013 Var R$

Short Term Debt 811.657 538.215 273.442 615.269 196.388

Long Term Debt 1.851.413 2.170.971 -319.558 1.778.034 73.379

Total Debt 2.663.070 2.709.186 -46.116 2.393.303 269.767

Cash 813.124 834.587 -21.463 831.875 -18.751

Net Debt 1.849.946 1.874.599 -24.653 1.561.428 288.518

Net Debt / Equity (em %) 40,20% 41,6% - 35,7% -

Net Debt / EBITDA (Last 12 Months) 1,87 1,76 - 1,27 -

Macroeconomic Scenario

Inflation (em %)

GDP Growth (em %)

Interest Rates (em %)

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Savings (% PIB)

2020

Completion of Duratex’s Strategic Plan for the next 6 years

Organic growth

. 2013: conclusion of important projects

. New projects waiting for the macro scenario improvement

Inorganic growth

. Latin America as primary focus (Tablemac, Colombia, as example)

. Product portfolio diversification in related segments, being the acquisitions of Thermosystem (showers) and Mipel (industrial valves) examples

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Strategic Planning: DURATEX 2020

Positioned to grow

Good corporate governance

Well balanced capital structure

Available capacity that allows it to capture momentum as demand recovers

Forest integration dimensioned to +35% capacity increase

Focused on sustainable and long term value generation

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Market Recognition

Best Company from Wood, Construction and Decoration Segments

REVISTA ISTO É DINHEIRO

Project Management of Residues in Deca Division

PRÊMIO DE MÉRITO AMBIENTAL FIESP

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EMPRESAS QUE MELHOR SE COMUNICAM COM JORNALISTAS

Design Excellence Award

First place in four categories, noted as the 2nd most remembered brand from Sanitary Ware

TOP OF MIND

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Disclaimer

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The information contained herein was prepared by Duratex S.A. and does not constitute an

offering material, to subscribe for or purchase any of the Company’s securities. This material

also brings general information about Duratex S.A. and its markets. No representation or

warranty, express or implied, is made concerning, and no reliance should be placed on, the

accuracy, fairness or completeness of the information presented herein.

The Company can give no assurance that expectations disclosed in this presentation will be

confirmed.

October 2014

Corporate Presentation

3rd quarter 2014