Economic-financial performance

The consolidated financial information on the BNDES System – or simply the BNDES, as we will refer to the companies within the BNDES System –, contained in this Annual Report, have been prepared in compliance with the Brazilian Accounting Standards (BRGAAP), with financial information presented in a supplementary manner, in accordance with the International Financial Reporting Standards (IFRS).

This information and the Administration’s comments regarding the economic-financial performance should be read together with the Complete Consolidated Financial Statements in BRGAAP and IFRS, for the fiscal year of 2011 (in Portuguese).

In 2010, BNDESPAR adopted the pronouncements made by the Accounting Pronouncement Committee (CPC), with highlights including the application of the CPC 38 Pronouncement (Financial Instruments: Recognition and Measurement), which generated a significant impact on the BNDESPAR financial statements due to the fact it introduced the concept of fair value as the evaluation metrics for specific corporate interests, and it requires recognition of financial derivative instruments in the balance sheet. These changes were also recognized in the consolidated financial statements.

BNDES’ good operational performance in 2011 is reflected in solid economic-financial indicators.