PDA Brf- Brasil Foods S.A.

Export Volume Grows 20.5% in the Period SAO PAULO, Brazil, Aug. 10 /PRNewswire-FirstCall/ -- Perdigao (NYSE:PDA) ended the second quarter reporting gross sales of R$ 1.5 billion, 7.7% more than for the same period in 2004, a reflection of increased sales volume in both domestic and export markets. This, together with a reduction in costs and an improvement in productivity, resulted in an EBITDA of R$ 166.9 million, representing a margin of 12.7%, above the historical average for the company. In spite of the unfavorable scenario created by the appreciation of the Real in relation to the dollar, this operating efficiency also allowed the company to improve its margins in relation to the first quarter. Exports reported an increase of 20.5% in volume in the second quarter compared with the same period in 2004. This performance is a consequence of the company's aggressive project for internationalizing its business and for the constant upgrading of selling channels in traditional markets and the entry into new ones. "Export performance has been particularly positive, bearing in mind the exceptional results achieved in the second quarter of last year and set against an average appreciation in the exchange rate of 20.6% in the 2Q 2005 in relation to 2Q 2004," the company's CFO, Wang Wei Chang, explains. Exports amounted to 57.3% of the R$ 1.3 billion in net sales. In the domestic market, sales surpassed levels registered in the same period last year, recording a growth of 8.8% in volume and 12% in revenue. Domestic sales reached R$ 731.6 million. Net income amounted to R$ 83.5 million, 7.9% less than the same period in 2004, due to the sharp appreciation in the Real against the dollar, which restricted export growth in terms of Reais. HIGHLIGHTS OF THE QUARTER R$ million 2nd quarter 2nd quarter % Change 2005 2004 Gross Sales 1,483.2 1,377.6 7.7 Domestic Market 731.6 653.0 12.0 Exports 751.6 724.5 3.7 Net Sales 1,311.6 1,219.7 7.5 Gross Profit 368.6 354.9 3.9 EBIT 141.2 153.5 (8.0) Net Income 83.5 90.7 (7.9) EBITDA 166.9 178.7 (6.6) Investments 55.4 19.6 186.0 For further information, please access http://www.perdigao.com.br/ri/eng or contact Edina Biava / Gabriela Las Casas, Investor Relations, f. 55 11 3718.5301 / 3718.5791 Perdigao S.A., PRGA4 and PRGA3 (BOVESPA), and PDA (NYSE), is one of the largest food companies of Latin America and one of the largest meat processors in the world, exporting to over 100 countries. All statements contained herein with regard to the Company's business prospects, projected results and the potential growth of its business are mere forecasts, based on local management expectations in relation to the Company's future performance. Dependent as they are on market shifts and on the overall performance of the Brazilian economy and the sector and international markets, such estimates are subject to change. DATASOURCE: Perdigao Contact: Edina Biava or Gabriela Las Casas, both of Investor Relations, Perdigao, +011-55-11-3718-5301 or +011-55-11-3718-5791 Web site: http://www.perdigao.com.br/ri/eng

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