Credit Suisse2011 Brazil Equity Ideas ConferenceSao Paulo, Brazil | January, 2011

1969: A small laboratory and two passions: cosmetics and relationships.

1974: Direct Sales plataform

90‟s: Commitment with social/environmental responsibility

Current Moment:

Management model evolution

New growth cycle in LatAm

Increase leadership in Brazil

00‟s: Natura Ekos / Natura Cajamar / IPO / Follow On

Our History

2

ArgentinaEmployees: 329 (174 SF)

CNs: 54 thousand

Chile

Employees: 294 (132 SF)

CNs: 30 thousand

Peru

Employees: 281 (174 SF)

CNs: 46 thousand

Mexico

Employees: 341 (250 SF)

CNs: 36 thousand

Colombia

Employees: 172 (110 SF )

CNs: 18 thousand

Available Consultants (C12): 186 thousand

Employees: 1,465 (860 SF)

InternationalFrance

Employees: 48 (20 SF)

CNs: 2 thousand

7.4

3.0

1.4

1.7

2.9

Total CF&T MarketSource: Euromonitor 2009SF - Sales Force (3Q10)CNs – Natura Consultant (3Q10)

Where we are

3

28.4 BrazilEmployees: 4,821 (948 SF)

CNs: 984 thousand

Key Brands

Children Care

Body

Anti - Wrinkles

Deodorant

Hair

Men's grooming

Facial Make Up

Sunscreen

Fragrances

Oils

Soaps

Main Competitors

Johnson & Johnson Procter and Gamble

Avon NIVEA

Hypermarcas NIVEA

Avon O Boticário

Procter and Gamble Unilever

L‟Oreal Unilever

Johnson & Johnson NIVEA

Unilever Avon

O Boticário Avon

Colgate Unilever

Unilever Bertin4

Value Proposition

Social:› Wealth creation to consultants› R$ 60 million invested in CSR 1 in 2009› Benefits extended to extractives

communities

Economic:› Strong cash flow generation› Attractive growth and profitability› Consistent dividend payments

Environmental:› Carbon neutral operations › Utilization of refill packages› Sustainable extraction› Use of recycled and recyclable materials

6

Attractive market with differentiated growth profile

1 Corporate and Social Responsibility

Value Proposition

“Triple Bottom Line”

Channel Products

CorporateBehavior

Brand

7

Countries 2009 CAGR %„04- „09

United States 59 1.6%

Japan 40 0.7%

Brazil 28 14.1%

Mexico 7 7.4%

Argentina, Chile, Colombia and Peru

9 10.8%

Countries in which Natura operates 44 12.2%

World 351 5.1%

Size of CF&T market (in US$ billion)

Source: Euromonitor 2009

The markets in which Natura operates represent

12.5% of the global CF&T market and have a

growth rate of 2.4x that of the total market

Direct sales share in the CF&T Market

Region Direct Sales (%)

Latin America 27.3%

Brazil 24.4%

Argentina 23.8%

Chile 19.5%

Colombia 38.5%

Mexico 31.6%

Peru 28.0%

Asia Pacific 11.7%

North America 8.5%

Western Europe 3.2%

Australasia 9.2%

Africa / Middle East 2.3%

Source: Euromonitor 2009

Relevant market with differentiated growth

47 46

16 16

2008 2009

Natura 2nd place

8

Brand preference in Brazil

Source: Ipsos Brand Essence

CF&T brand by preference (%)

Ranking CompanyBrand value

(in R$ BN)

Mkt. Cap

(in R$ BN)

1º Petrobrás (Oil) 19.3 347.1

2º Bradesco (Bank) 14.9 103.2

3º Itaú Unibanco (Bank) 13.3 154.4

4º Banco do Brasil (Bank) 11.0 76.3

5º Natura (Cosmetics) 6.1 19.5

6º Skol (Beverages) 5.4 98.2

Most valuable brands among Brazilian public companies ¹

1 Source: BrandAnalytics and Millward Institute, 2009

2 Considers Ambev's Market Cap

Preferred Brand

Top 3 preferred

Intention purchase again

Purchased in last 6 months

Considers purchasing

Est. brand recognition 100%

92%

76%

72%

63%

46%

8

Source: Ipsos Brand Essence

719

850

1.034

2007 2008 2009

86

119

159

2007 2008 2009

632

731

875

2007 2008 2009

Channel strength

1 Source: Company, ABEVD (Brazilian Association of Direct Sales Companies)2 HAY Consultant annual opinion poll for consultants satisfaction

Available consultants (in thousand)

High productivity1

2.2 times higher than its peers

High satisfaction2

90% in 2009

Training583,000

consultants trained in 2009

Low turnover

36% on

average

› Consultants are Natura‟s first consumers

› Drive sales through personal relationships

› Channels disseminate Natura's values with consultants acting as agents of social transformation

Business model that generates

income and work

9

Brazil

3Q10: 984(+17%)

+19.8%

Int’l

3Q10: 186(+24% )

+33.9%

Total

3Q10: 1,170(+18%)

+21.8%

183

123113

88 75

56,7%

68,8% 67,6% 66,8% 67,0%

2007 2008 2009 9M09 9M10

Products and Innovation (R&D)

10

Innovation index¹ & new products

Source: Company

Note:1 Percentage of products launched in the last 24 months in

the company‟s revenues

* % of net revenue invested in R&D

2.6%*

Number of launches Innovation Index

› Products with functional, emotional and philosophical benefits

› Sustainable use of Brazilian biodiversity

› Open Innovation exceeded 50% of the projects

2.3%*

10

Natura EKOS

11

Natura Chronos

12

Natura Amó

13

Natura UNA

14

Corporate behavior

15

»Evolution on relationship quality

»Systematic process of stakeholder engagement:

Consultants, employees, consumers, supplier communities and investors

»1,500 people involved

»Third company to be publicly listed on the Bovespa Novo Mercado

»First Latin American Company to adopt the 2001 Global Reporting Initiative (GRI)

»Part of ISE – Corporate Sustainability Index

»Best company 2009 (Exame); Most admired company 2010 (Carta Capital);

Sustainability Guide 2009 and 2010 (Exame)

15

16

On Going…

Brazilstill place for growth

Internationalmore local actionsnew growth cycle

PeopleLeadership and organization development

ProjectsLogistics for the future

17

On Going…

Brazilstill place for growth

Consistent market growth

GDP growth

Core market growth in real

terms

2002 2.7% 2.5%

2003 1.1% 7.0%

2004 5.7% 12.2%

2005 3.2% 9.6%

2006 3.8% 10.1%

2007 5.4% 8.3%

2008 5.1% 10.8%

2009 -0.2% 10.4%

CAGR ‘02- ‘09 3.4% 8.9%

2010E 7.5%

Core market growth in real terms vs. GDP in Brazil

Source: IBGE, Central Bank, Abihpec and FGV

18

11,1%

15,1%

42,4%

53,0%

16,4%

13,7%

30,2%

18,2%

2003 2004 2005 2006 2007 2008 2009

Brazil- Social Income Classes

Class AB Class C Class D Class E

› Increasing purchasing power of C and D income classes

› Greater participation of women in the labor market

› Cultural emphasis on personal and aesthetic treatments

Demand drivers in Brazil

> R$ 4,808 R$ 1,115 upto R$ 4,880

R$ 804 upto R$ 1,115

< R$ 804

Brazil

› 36 million people will move up to

Classes A,B and C (FGV) until 2020

› 20 million people left poverty since 2003

10,5

13,212,6

9,9

7,9

9,5

2,9

6,7

6,3 6,37,3

6,1

2003 2004 2005 2006 2007 2008 2009

Natura Unilever Avon

Procter & Gamble O Boticario Colgate

Natura leadership position in Brazil

Market Share Total CF&T (Euromonitor)(Percentage)

Natura Market Share per Segment

2009

13.2%

T: 8.9%

CF: 21.3%

Source: Euromonitor 2009

19

Brazil

¹ Number of households containing at least one product

Source: Kantar Painel

Still place for growth99,6

%

90,8

%

89,1

%

89,7

%

64,0

%

21,5

% 13,3

%

56,6

%

18,0

%

37,8

%

100,0

%

20

,7%

10

,3%

9,5

%

22

,6%

16

,5%

3,8

%

5,2

%

25

,7%

2,5

% 11

,3%

52

,4%

Market Natura

20

Brazil

Categories Penetration¹

Regional Units

SPC

21

Brazil

09-2010 Cycle Central Brazil

09-2010 CycleSão Paulo,

São Paulo State, South

Cover Inside cover Back cover

09-2010 Cycle North/Northeast

22

Brazil Regional initiatives: different catalogs

Business Units

Categories and

Strategies

Key brands

Main goals

Inspiration

OilsSoaps

EkosAmor América

Sève

FaceMakeup

Sunscreen

ChronosUNA

AquarelaFaces/Faces ZIPFotoequilíbrio

Body, Hair, Beard and Deodorants

TododiaErva Doce

Natura HomemPlant

- Competition with retail products

- Daily use products

-Technological innovation (protection, sensations)

- “Beauty” products

Give new meaning to routines

Reveal beautyAppreciate diversity

- Use of natural ingredients

- Innovation in sensations and

textures- Sustainable and

recyclable packaging

FragranceChildren‟s

Vertical Strategies

AmóHumorKaiak

Natura ÁguasNaturé

Mamãe e BebêCPV

-Fragrance and sample innovation

- Regionalized fragrances

Strengthen relationships

B DCA

23

24

On Going…

Internationalmore local actionsnew growth cycle

INTERNATIONAL OPERATING PROPOSITION

To be among the leading brands in direct CF&T sales

in all Latin America countries where we operate in and to be

recognized for its leadership in sustainability

and with profitability.

International

25

Colombia Mexico Chile Peru Argentina Latam

LATAM

26

International

Natura Ranking Evolution2008 -> 2009

10º-> 8º 11º-> 6º33º-> 23º 30º-> 22º 10º-> 9º

Total CFT Market (USD)

(global ranking)

3.049 (20º)

7.399 (11º)

1.744 (25º)

2.948 (21º)

1.421 (28º)

Main competitorsRetail

•P&G

•Unilever

•Colgate •Colgate

Main competitorsDirect sales

•Avon

•Jafra

•Fuller

•Avon

•Natura

•Tsu

•Avon

•Belcorp

•Natura

•Avon

•Jafra

•Fuller

•Belcorp

•Unique

•Avon

•

•P&G

Unilever

•Colgate

•L´Oréal

•P&G

•Unilever

•P&G

•L´Oréal

•Unilever

•Unilever

•P&G

CFT growth 01-09 (%) CAGR

7%9% 21%8% 8%

Sales Natura (at retail prices)¹(US$ Million)

7.43%

Share Natura 2009

LATAM

245,9

Total

Source: Euromonitor 2009

More local actions – new growth cycle

» More efficient portfolio management, including the creation of dedicated

business units (based in Buenos Aires)

» Evolution in the commercial model: stimulate economic, social and

environmental entrepreneurship + accelerate growth

» Increase in advertising /sample: push and pull (critical mass)

» Improvement in cost structure and carbon emissions, including local third party

manufacturing

» Development of local leadership

» Create an identity that distinguishes our corporate performance

27

International

Mexico, Colombia

2011

Argentina, Chile and Peru

2012

EVOLUTION IN THE COMMERCIAL MODEL

28

On Going…

PeopleLeadership and organization development

Inspiring leadership

• Agent of change in all aspects life

• Mobilizes people in favor of the common good

• Shares Natura‟s beliefs and values

• Consonance between talk and action

• Builds quality relationships

• Innovation capacity

• Global perspective

• Constantly seeks high performance

Engaged Leadership

• Committed to Natura‟s purpose based on personal projects

• Responsibility for decision-making

• New challenges

• Successors trainning

• Delivers triple bottom line results

• Personal and professional growth

Well being Being well

Natura’s Leadership Development Program:

Leadership office (“Foco”) creation

Carry out the chain of succession for critical positions

Increase the number of leaders developed in-house

Inspiring and engaged leadership development

Leadership DevelopmentPeople

29

30

On Going…

ProjectsLogistics for the future

› Expansion of Espaço Natura, Cajamar

› 4 new DCs in Brazil: Castanhal (PA), Uberlândia (MG), Curitiba (PR) and São Paulo, in addition to the expansion of DC in Canoas (RS)

› 2 new Hubs in Brazil (Belém and Salvador) and 3 abroad (Colombia, Chile and Mexico)

› Outsourced international production: Argentina, Colombia, Mexico

› Expansion of DCs in Argentina, Chile, Peru, Colombia and Mexico

Our Network in 2011

31

Logistics

Triple Bottom Line Results

599552

447

2007 2008 2009

53

55

60

2007 2008 2009

4,02

3,82

3,63

2007 2008 2009

Social and Environmental Results

33

CO2 emissions(CO2 emitted / Kg of

product sold)

Power consumption per product sold

(Kjoules / unit)

» Carbon Free since 2007

» Ekos 10th anniversary: Sustainable use of biodiversity and cultural heritage.

Engagement with 26 communities, benefiting 2,084 families

» Crer Para Ver program – improvement of brazilian public education: 7.1% of

the consultants joined the voluntary product selling

CSR Investments(R$ million)

1 Corporate and Social Responsibility

706

860

1.008

713

899

2007 2008 2009 9M09 9M10

Economics

34

Net Revenues (R$ million)

Source: Company

CAGR „07-„09 = 17.5%

EBITDA and Margin (R$ million)

CAGR „07-„09 = 19.5%

3.073

3.576

4.242

2.923

3.579

2007 2008 2009 9M09 9M10

23,0%

24,1%

23,8% 24,4%

25,1%

+ 22,5% 23,0%

24,1%

23,8% 24,4%

25,1%

0,2

0,1

0,2

2007 2008 2009

124

103

141

250

2007 2008 2009 2010E

415

500

598

89,0%

96,0%

87,0%

2007 2008 2009

Economics

Dividends paid and pay-out ratio(in R$ million)

CAGR „07-„09 = 20.0%

Capex

(in R$ million)

Source: Company

35

Leverage

(Net Debt/EBITDA)

(28)

(38)

(42)

(32)

(25)

2007 2008 2009 9M09 9M10

22

44

66

49

68

2007 2008 2009 9M09 9M10

(5)

(1)

9 10

5

2007 2008 2009 9M09 9M10

121

164

219

158

182

2007 2008 2009 9M09 9M10

Economics – International operations

Net revenues (R$ million)

EBITDA (R$ million)

Opera

tions in c

onsolidation (

R$ M

illion)

(A

rgentina, Chile, Peru

)

Opera

tions in im

ple

menta

tion (

R$ M

illion)

(Mexic

o a

nd C

olo

mbia

)

36

+ 30.4% in local currency

+ 73.6% in local currency

Because of its corporate behavior, the

quality of the relationships it establishes and

the quality of its products and services,

Natura will be an international brand,

identified with the community of people who

are committed to building a better world,

based on better relationships among

themselves, with others, with

nature of which they are part,

with the whole.

Vision

37

IR Team +55 11 4196-1421

www.natura.net/investor

Roberto Pedote

Helmut Bossert

Patricia Anson

Bruno Caloi

Back Up

39

Reason for beingOur reason for being is to create and sell products and services that promote well-

being/being well.

Well-beingis the harmonious, pleasant relationship of a person with

oneself, with one's body.

Being wellis the empathetic,

successful, and gratifying relationship of a person with others, with nature

and with the whole.

40

41

Beliefs

Life is a chain of relationships. Nothing in the universe exists

alone. Everything is interdependent.

We believe that valuing relationshipsis the foundation of an enormous

human revolution in the search for peace, solidarity, and life in all of its

manifestations.

Continuously striving for improvement

develops individuals, organizations,and society.

Commitment to the truthis the route to perfecting the quality

of relationships.

The greater the diversity,the greater the wealth and vitality of the

whole system.

The search for beauty, which is the genuine aspiration of

every human being, must be free of preconceived ideas and manipulation.

The company, a living organism, is adynamic set of relationships

Its value and longevity are connected to its ability to contribute to the evolution

of society.

41

Presti

ge

Massti

ge

Massiv

e

42Source: Booz & Company research, 2009

Democratic and aspirational brand

NATU3 Performance

43

P&L Natura

R$ million 3Q10 3Q09 9M10 9M09

NET REVENUES 1.281,2 1.054,9 3.579,2 2.922,8

Cost of sales (364,4) (314,2) (1.076,2) (877,6)

GROSS PROFIT 916,8 740,7 2.503,0 2.045,2

Operating expenses (608,6) (492,6) (1.655,3) (1.405,4)

Financial income (expenses), net (15,5) (18,0) (34,9) (30,8)

Other operating income (expenses), net (1,0) 4,8 (14,1) 5,4

INCOME BEFORE INCOME TAX

AND SOCIAL CONTRIBUTION 291,8 234,9 798,7 614,4

Income tax and social contribution (100,1) (44,9) (274,0) (117,3)

NET INCOME 191,7 190,1 524,7 497,1

44

R$ 4.95 /each3 unit package

R$ 2.94 each5 unit package

R$ 10.50 /each1 unit package

45

Commercial model - CNO

CNO ModelOld Model

GR

CN

CNCN

CN

CN

CN

CN

CN

CN

CNO

CNO CNO

CN

CNCN

GR

CN

CN

CN

1 CNO : up to 150 CNs

1 GR: 600 CNs

46

1 GR: up to 15 CNOs

1 GR: up to 2,250 CNsHired under CLT regulations

• Platform for channel growth

• Stronger and more productive relationship with our consultants

• Greater emphasis on training

Brazil (2010)

1 GR 12 CNOs

1 CNO 96 CNs

1 GR 1,112 CNs

By the end of the 13h cycle. (3Q10)

GR – Relationship ManagerCNO – Natura Super ConsultantCN – Natura s Consultant

Brazil

Argentina

Brazil

Chile

Peru

Mexico

Colombia

France

DC

Production

› Plants: 4 (3 Cajamar + Belem)› Hubs: 1› Distribution Centers: 11› Delivery Points: 1 million› Billed units: 384 million› Total km traveled per year: 1.6 million› Total orders/year: 12.8 million› SKUS: 1,200› Employees: 6,260› Raw material and packaging suppliers: 200› Outsourced (co-producers): 20

*Data as of 2009 – source: Natura Annual Report 47

Our current networkLogistics

48

Our network in 2011Logistics

Production

International Production

Hubs

Argentina

Brazil

Chile

Peru

Mexico

Colombia

França

› Product Availability

› Orders 48-hour

› Orders 24-hour

› Consultant Cycle (days)

› Consumer Cycle (days)

› Cost per Order (R$/order)

› Non-Conformities

› OEE

› PPM

› Supply Productivity

› Gross Margin

› Planning Cycle

› Supplier Satisfaction

› NC/EC Satisfaction

› Operational Climate

› Inventories (%NR)

› Suppliers Terms (%NR)

› Accidents w/ absence

› Innovation OTIF

› Communities

48

Order Cycle21 days

Distribution1,170 thousants

points of sale

Customer ServiceCAN, SNAC, Credit and Collection

SeparationOrder picking

400 million units year

ProductionPlants

Suppliers› Botanic assets extracted

sustainably

›66% of the portfolio is renewed in less

than 2 years

›Promotions: around 50% of the sales

volume

›Leverage of the promotional mix: ›8 to 15 times

Order Cycle

49

Logistics

40%

Free FloatOwners

60%

50

O W N E R S H I P

S T R U C T U R E