Tax Rate efectivo 14% *pagina 9

Antartica Brahma
Cantidad de acciones emitidas 12,000,000 6,907,600 Exhibit 5
Precio accion 39.6 637.5 Exhibit 8
Market Cap 4752 44035.95
Deuda 1545 501
Valor 6297 44536.95

Beta apalancado 0.42 0.49 Años

FCFF
Estructura de capital actual D/E 32.51% 1.14% Valor presente flujos
Estructura de capital actual 1-D/E67.49% 98.86% Antartica Valor Terminal
Valore presente Termina
Estructura de capital optima D/E 31% 69% Valor
FCFF
Beta desapalancado 0.32822537 0.48525216 Valor presente flujos
Brahama Valor Terminal
Beta ReApalancado 0.41573025 0.61462038 Valore presente Termina
Valor
Costo Equity

Equity Market risk premium 5.80%

Rf 12%
Ke 14.41% 15.56%

Costo deuda

Kd 35.43% 8.35%

Wacc 19.39% 12.97%

Crecimiento esperado 9.20% 9.40%

1999 2000 2001 2002 2003 2004
136.5 96.2 128.3 165.7 206.1 260.5
$513.70
$2,791.90
$964.08
$1,477.78
-138.4 797.2 343.8 406.8 475.4 550.1
$1,513.56
$15,977.45
$7,687.88
$9,201.44
Unemployment (%)
                         Argentina       Brazil            U.S.        Venezuela 

1994 11.7 5.1 6.1 8.7

1995 15.9 6.1 5.6 10.3
1996 16.3 7.0 5.4 11.8
1997 13.7 7.8 5.0 11.4
1998 14.1 9.0 4.6 11.2
Inflatio n (%)
Argentina Brazil U.S. Venezuela

1994 3.9 916.5 2.6 60.7

1995 1.6 22.4 2.5 59.9
1996 0.1 9.6 3.4 99.9
1997 0.3 5.2 1.7 50.0
1998 0.7 1.7 1.6 35.8
A nnual GDP Growth
Argentina Brazil (%) Venezuela
U.S.
1994 8.0 4.9 6.2 (2.3)
1995 (4.0) 3.9 4.9 4.0
1996 4.8 3.0 5.6 (0.2)
1997 8.6 3.6 6.3 5.9
1998 4.2 0.2 5.5 -0.7
Indust rial Producti on Growt h (%)
Argentina Brazil U.S. Venezuela
1994 NA 17.7 6.8 NA
1995 (8.2) (11.9) 3.1 NA
1996 10.7 8.1 5.9 NA
1997 8.9 (3.2) 7.6 NA
1998 (0.6) (2.3) 3.6 NA
Exhibit 2
BRAZILIAN BEER MERGER NEGOTIATIONS: COMPANHIA CERVEJARIA BRAHMA, S.A.
Brazilian Growth, Real and Nominal, and Inflation
Inflation Real GDP Growth Nominal Growth

1996 9.6% 2.7% 12.6%

1997 5.2% 3.6% 9.0%
1998 1.7% -0.1% 1.6%
1999 8.9% 0.8% 9.8%
e
2000 5.5% 4.1% 9.8%
2001f 3.8% 6.0% 10.0%
f
Economic Growth and Inflation i n Brazil
14.0%
12.0%
10.0%

8.0% Inflation
6.0% Real GDP Growth
4.0%        
Nominal Growth

2.0%
0.0%
-2.0%
1996 1997 1998 1999e 2000f 2001f

Source of data: Bear Stearns, "Brazilian Beverage Industry," July 19, 2000, page 14.
VEJARIA BRAHMA, S.A.

uly 19, 2000, page 14.

 Exhibit 3
BRAZILIAN BEER MERGER NEGOTIATIONS: COMPANHIA CERVEJARIA BRAHMA, S.A.
Growth in Brazilian Beer Shipments

Year Growth Rate

1986 45%
1987 8%
1988 1%
1989 10%
1990 3%
1991 6%
1992 -18%
1993 7%
1994 28%
1995 23%
1996 0%
1997 2%
1998 0%
0.16
0.02423076923077 0.09
ANHIA CERVEJARIA BRAHMA, S.A.
pments
 Exhibit 4
BRAZILIAN BEER MERGER NEGOTIATIONS: COMPANHIA CERVEJARIA
BRAHMA, S.A.
Antarctica and Brahma: Shares of Brazilian Beer Market

Antarctica Brahma
1989 41% 50%
1990 38% 51%
1991 35% 51%
1992 34% 52%
1993 32% 50%
1994 30% 50%
1995 32% 47%
1996 26% 49%
1997 25% 48%
1998 25% 48%
1999 23% 49%
Source of data: Credit Suisse First Boston, "Brahma PN" August 2, 1999, page 38.
38.
 Exhibit 5
BRAZILIAN BEER MERGER NEGOTIATIONS: COMPANHIA
CERVEJARIA BRAHMA, S.A.
Distribution of Voting Common Shares in Antarctica and Brahma

Before Transaction % of Total

Share Ownership in Antarctica
FAHZ 10,572,000 88.1%
Anheuser-Busch 600,000 5.0%
Other investors 828,000 6.9%
Total Shares 12,000,000 100.0%

Share Ownership in Brahma
Garantia 3,522,876 51.0%
Telles 462,809 6.7%
Other investors 2,921,915 42.3%
Total Shares 6,907,600 100.0%
Source: Casewriter’s analysis.
 Antarctica and Brahma: Comparative Performance
Antarctica Brahma
1998, Financial Performance per Hectolitre
Net Sales R$ 33.95 R$ 46.98
Cost of Goods Sold -22.85 -26.79
Gross Profit 11.1 20.19
Sales Expenses -4.59 -10.36
General and Administrative Expenses -3.29 -4.85
Pre-tax Income 3.22 4.98
Taxes -0.40 -0.56
Net Income R$ 2.82 R$ 4.42
Source: Casewriter’s analysis.
a: Comparative Performance
 Stock-Price Information for
Antarctica and Brahma

Ratio of
Antarctica
to Brahma
Antarctica Brahma
(Reais per share)
May-97 120.0
781.0 0.1536
Jun-97 110.0
822.0 0.1338
Jul-97 100.0
820.0 0.1220
Aug-97 97.0 760.0 0.1276
Sep-97 96.0 805.0 0.1193
Oct-97 96.0 742.0 0.1294
Nov-97 93.0 690.0 0.1348
Dec-97 70.0 695.0 0.1007
Jan-98 70.0 740.0 0.0946
Feb-98 85.0 760.0 0.1118
Mar-98 80.0 800.0 0.1000
Apr-98 74.8 680.0 0.1100
May-98 70.0 670.0 0.1045
Jun-98 60.0 640.0 0.0938
Jul-98 61.5 670.0 0.0918
Aug-98 50.0 550.0 0.0909
Sep-98 38.3 460.0 0.0832
Oct-98 32.0 450.0 0.0711
Nov-98 28.0 520.0 0.0538
Dec-98 28.0 530.0 0.0528
Jan-99 25.5 604.0 0.0422
Feb-99 22.5 605.0 0.0372
Mar-99 28.0 630.0 0.0444
Apr-99 35.7 610.0 0.0585
May-99 39.6 637.5 0.0621

High 120.0
855.0 0.1536
Low 22.0 400.0 0.0372
Average 63.3 657.2 0.0954

Adjusted Beta 0.42 0.49

Volatility 84.6% 62.6%

Source of data: Datastream

Stock-Price Information for
Antarctica and Brahma
 -23- UV02
Exhibit 11 77
BRAZILIAN BEER MERGER NEGOTIATIONS: COMPANHIA CERVEJARIA
BRAHMA, S.A.
Antarctica’s Financial Forecast (in millions of Brazilian reais)

Income Statement
Projected
1998 1999 2000 2001 2002 2003
Revenues $1,381.90 $1,406.50 $1,534.00 $1,674.90 $1,828.80 $1,996.80
COGS (excluding Depreciation) 929.5 868.4 920.4 988.2 1,060.7 1,158.2
Selling, General, & Administrative 397.6 502.0 521.6 569.5 621.8 659.0
EBITDA 54.8 36.1 92.0 117.2 146.3 179.7
Depreciation 67.0 80.0 93.8 100.8 107.8 114.8
Licensing Expense (Income) (130.0) (125.0) (136.3) (148.9) (162.5) (177.5)
EBIT 117.8 81.1 134.6 165.3 201.1 242.4
Interest (Income) (2.5) (8.3) (10.4) (9.6) (10.5) (11.5)
Interest Expense - Straight Debt 41.9 649.9 231.7 257.6 271.7 281.7
Pre-Tax Income 78.4 (560.5) (86.7) (82.6) (60.1) (27.8)
Income Taxes 9.5 18.3 (12.1) (11.6) (8.4) (3.9)
Net Income 68.9 (578.8) (74.5) (71.1) (51.7) (23.9)
Common dividends 0.0 0.0 0.0 0.0 0.0 0.0
Net Income to Retained Earnings 68.9 (578.8) (74.5) (71.1) (51.7) (23.9)

Earnings per Share (R$/share): $5.75 ($48.23) ($6.21) ($5.92) ($4.31) ($1.99)

Balance Sheet
Projected
1998 1999 2000 2001 2002 2003
Cash and Equivalents 127.0 289.4 230.1 251.2 274.3 299.5
Accounts Receivable 325.2 346.6 378.0 412.7 450.7 492.1
Inventory 212.4 185.2 196.3 210.8 226.2 247.0
Other Current Assets 97.0 45.0 49.1 53.6 58.5 63.9
Total Current Assets 761.6 866.2 853.5 928.3 1,009.7 1,102.5
Property , Plant, & Equipment 2,811.9 2,922.9 3,032.9 3,142.9 3,252.9 3,362.9
Accumulated Depreciation 1,137.2 1,187.2 1,281.0 1,381.8 1,489.6 1,604.3
Net Property, Plant, & Equipment 1,674.7 1,735.7 1,751.9 1,761.1 1,763.3 1,758.6
Other Long-Term Assets 965.7 965.7 965.7 965.7 965.7 965.7
Total Assets 3,402.0 3,567.6 3,571.1 3,655.2 3,738.8 3,826.7
Accounts Payable 99.0 102.1 108.2 116.2 124.7 136.2
Other Current Liabilities (excl. S/T Debt) 257.8 409.7 446.8 487.9 532.7 581.7
Total Current Liabilities 356.8 511.8 555.1 604.1 657.4 717.8
Debt (plug) 1,038.5 1,424.7 1,664.1 1,770.2 1,852.1 1,903.6
Other Long-Term Liabilities 85.4 84.0 84.0 84.0 84.0 84.0
Total Liabilities 1,480.7 2,020.5 2,303.1 2,458.2 2,593.5 2,705.4
Common Stock (Par + APIC+ Other Equity) 1,106.3 1,106.3 1,106.3 1,106.3 1,106.3 1,106.3
Retained Earnings 815.0 236.2 161.7 90.6 38.9 15.0
Total Liabilities & Stockholders' Equity 3,402.0 3,363.0 3,571.1 3,655.2 3,738.8 3,826.7
Source: Casewriter’s analysis.
 UV02
77

2004
$2,180.30
1,242.8
719.5
218.0
121.8
(193.8)
290.0
(12.5)
286.2
16.3
2.3
14.1
6.3
7.7

$0.64

2004
327.0
537.3
265.0
69.8
1,199.1
3,467.9
1,726.1
1,741.8
965.7
3,906.6
146.1
635.1
781.2
1,912.3
84.0
2,777.5
1,106.3
22.8
3,906.6
 BRAZILIAN BEER MERGER NEGOTIATIONS: COMPANHI
Antarctica’s Forecast of Free Cash Flows (in million

Forecast of Free Cash Flows

1998 1999 2000

Net Operating Profit After Tax 103.5 83.7 115.7
Add: Depreciation 67.0 80.0 93.8
(Increase) / Decrease in NWC (95.0) 112.8 (3.3)
Cash Flow from Operations 75.5 276.5 206.2
Less: Capital Expenditures 35.0 140.0 110.0
Free Cash Flow 40.5 136.5 96.2
Source: Casewriter’s analysis.
 OTIATIONS: COMPANHIA CERVEJARIA BRAHMA, S.A.
of Free Cash Flows (in millions of Brazilian reais)

Projected

2001 2002 2003 2004

142.2 172.9 208.5 249.4
100.8 107.8 114.8 121.8
(4.7) (5.0) (7.2) (5.7)
238.3 275.7 316.1 365.5
110.0 110.0 110.0 105.0
128.3 165.7 206.1 260.5
 Brahma’s Financial Forecast
(in millions of Brazilian reais)
Income Statement Projected
1997 1998 1999 2000 2001 2002 2003
Revenues R$ 3,156.0 R$ 3,247.0 R$ 3,545.7 R$ 3,877.5 R$ 4,240.4 R$ 4,637.2
COGS (excluding Depreciation) 1,495.0 1,579.0 1,724.2 1,885.6 2,062.1 2,255.0
Selling, General, & Administrative 904.0 987.0 1,077.8 1,178.7 1,289.0 1,409.6
EBITDA 757.0 681.0 743.6 813.2 889.3 972.6
Depreciation 305.0 305.0 322.5 340.0 357.5 375.0
Other Expense (Income) (37.0) (75.0) (81.9) (89.6) (97.9) (107.1)
EBIT 489.0 451.0 503.0 562.8 629.8 704.7
Interest (Income) 0.0 0.0 (67.2) (62.4) (68.2) (74.6)
Interest Expense - Straight Debt 188.0 198.3 262.6 228.4 227.4 221.5
Pre-Tax Income 301.0 252.7 307.7 396.8 470.6 557.7
Income Taxes 34.0 26.0 43.1 55.5 65.9 78.1
Minority Interest 10.7 14.0 17.0 22.0 26.1 30.9
Net Income 256.3 212.7 247.6 319.2 378.6 448.7
Common Dividends 141.0 99.8 136.2 175.6 208.2 246.8
Net Income to Common 115.3 112.9 111.4 143.7 170.4 201.9

Earnings per Share (R$/share): R$ 37.26 R$ 30.79 R$ 35.84 R$ 46.22 R$ 54.81 R$ 64.96

Balance Sheet Projected

1997 1998 1999 2000 2001 2002 2003
Cash and Equivalents 1,081.0 1,873.0 1,489.2 1,628.5 1,781.0 1,947.6
Accounts Receivable 305.0 245.0 267.5 292.6 320.0 349.9
Inventory 373.0 320.0 349.4 382.1 417.9 457.0
Other Current Assets 200.0 29.0 31.7 34.6 37.9 41.4
Total Current Assets 1,959.0 2,467.0 2,137.8 2,337.9 2,556.7 2,795.9
Property , Plant, & Equipment 3,292.5 3,447.6 3,797.6 4,147.6 4,497.6 4,847.6
Accumulated Depreciation 1,396.6 1,705.0 2,027.5 2,367.5 2,725.0 3,100.0
Net Property, Plant, & Equipment 1,895.9 1,742.6 1,770.1 1,780.1 1,772.6 1,747.6
Other Long-Term Assets 812.2 1,024.2 1,118.4 1,223.1 1,337.5 1,462.7
Total Assets 4,667.1 5,233.8 5,026.3 5,341.1 5,666.8 6,006.3

Accounts Payable 255.0 293.0 320.0 349.9 382.6 418.4

Other Current Liabilities (excl. S/T Debt) 419.0 391.0 427.0 466.9 510.6 558.4
Total Current Liabilities 674.0 684.0 746.9 816.8 893.3 976.9
Total Debt (plug) 1,880.0 1,983.0 1,518.1 1,527.0 1,505.1 1,448.6
Minority Interest 50.0 57.5 57.5 57.5 57.5 57.5
Other Long-Term Liabilities 637.0 903.0 986.1 1,078.3 1,179.3 1,289.6
Total Liabilities 3,241.0 3,627.5 3,308.6 3,479.7 3,635.1 3,772.6
Common Stock (Par + APIC+ Other Equity) 975.0 990.3 990.3 990.3 990.3 990.3
Retained Earnings 451.1 616.0 727.4 871.1 1,041.4 1,243.4
Total Liabilities & Stockholders' Equity 4,667.1 5,233.8 5,026.3 5,341.1 5,666.8 6,006.3
 2004
R$ 5,071.2
2,466.1
1,541.5
1,063.6
392.5
(117.1)
788.2
(81.6)
210.2
659.6
92.3
36.5
530.7
291.9
238.8

R$ 76.83

2004
2,129.9
382.6
499.8
45.3
3,057.6
5,197.6
3,492.5
1,705.1
1,599.6
6,362.3

457.6
610.7
1,068.3
1,353.7
57.5
1,410.3
3,889.8
990.3
1,482.2
6,362.3
 Brahma’s Forecast of Free Cash Flows
(in millions of Brazilian reais)
Forecast of Free Cash Flows Projected
1998 1999 2000 2001 2002 2003
Net Operating Profit after Tax 433.8 404.6 432.6 484.0 541.6 606.0
Add: Depreciation 305.0 305.0 322.5 340.0 357.5 375.0
(Increase) / Decrease in NWC (125.0) (498.0) 392.1 (130.2) (142.3) (155.7)
Cash Flow from Operations 613.8 211.6 1,147.2 693.8 756.8 825.4
Less: Capital Expenditures 325.0 350.0 350.0 350.0 350.0 350.0
Free Cash Flow 288.8 (138.4) 797.2 343.8 406.8 475.4
Source: Casewriter’s analysis.
 2004
677.9
392.5
(170.2)
900.1
350.0
550.1
 -27-
Exhibit 15
BRAZILIAN BEER MERGER NEGOTIATIONS: COMPANHIA CERVEJARIA BRAHMA, S.A
General Trends in M&A Global Activity

2nd Quarter 1998 3rd Quarter 1998 4th Qua

# of Deals Value ($ MM) # of Deals Value ($ MM) # of Deals

All Activity

US acquiring US 2,600 578,890 2,649 282,371 2,086

Non-US acquiring US 250 97,447 268 78,665 225
US acquiring Non-US 486 40,046 467 22,801 445
Non-US acquiring Non-US 3,118 181,733 3,042 147,909 3,430
Total 6,454 898,117 6,426 531,746 6,186

Divestitures 89 5,730 76 5,779 96

LBOs 180 9,452 171 12,327 201

Brazilian Targets
Brazilian acquiring Brazilian
54.0 7,403.1 37.0 7,718.6 50.0
Non-Brazilian acquiring Brazilian 44.0 5,402.2 49.0 20,698.4 26.0

      Offer Price Premium to Target Share Price - All Deals (%)      
1 Week
Before Ann.
2Q98
3Q98
4Q98
               1Q99    

Source: Thomson Financial SDC Platinum Mergers and Acquisitions data base.
 U
V
RIA BRAHMA, S.A. 0
2
7
7
998 4th Quarter 1998 1st Quarter 1999
Value ($ MM) # of Deals Value ($ MM)

281,465 2,184 250,122

51,132 262 114,164
18,226 478 51,219
220,708 3,953 274,148
571,531 6,877 689,652

5,562 116 5,163

9,346 255 12,936

2,269.8 24.0 755.7

846.2 33.0 201.0

1 Week 1 Month Before

Before Ann. Ann.
2Q98 22.3 23.2
3Q98 31.1 26.0
4Q98 31.1 26.0
               1Q99                                                 31.1                     26.0  
 -28-
Exhibit 16
BRAZILIAN BEER MERGER NEGOTIATIONS: COMPANHIA CERVEJARIA BRAHMA, S.A.
Global M&A Activity, 1990–99

No. of Deals Global Deal Volumes, 1990-1Q99

8,000
7,000
6,000
5,000

4,000 500,000
3,000 400,000
2,000 300,000
1,000 200,000
100,000

-
Global Deal Volume Non-US Deal Volume
Global Deal Value ($ MM) Non-US Deal Value ($ MM)
Source: Thomson Financial SDC Platinum Mergers and Acquisitions data base.
 U
V
RAHMA, S.A. 0
2
7
7
1990-1Q99 $MM
1,000,
000
900,0
00
800,0
00
700,0
00
600,0
00

-
 -29-
Exhibit 17
BRAZILIAN BEER MERGER NEGOTIATIONS: COMPANHIA CERVEJARIA
BRAHMA, S.A.
Credit-Market Information as of May 31, 1999

Annualized
Yield

Government Obligations
Short Term
7.3%
30-Days 23.4%
60-Days 27.1%
90-Days 37.8%
One Year 25.0%
Five Year 12.0%
Yield on Bank Savings Deposits 13.8%

High Quality Corporate Obligations

One Year 28.0%

Five Year 15.0%

UV027
7
 -21-
Exhibit 9
BRAZILIAN BEER MERGER NEGOTIATIONS: COMPANHIA CERVEJARIA BRAHMA, S.A.
Information on Peer Companies (in U.S. dollars)

Price Mkt Cap 1998 Rev 1998 Prof 1998 1999E 2000E 1998A 1999E 2000E 1999 E Shares
May 99 (In $ MM) (In $ MM) (In $ MM) EPS EPS EPS P/E P/E P/E CF/Shr 1999E P/CF Outsd
g.
Beverage (Alcoholic) Industry
Anheuser Busch $ 69.00 $ 32,839 $ 11,246 $ 1,233 2.53 2.85 3.10 27.3 24.2 22.3 4.55 15.2 475.9
Beringer Wine Estates Holdings 40.0 780 318 31 1.63 1.95 2.25 24.5 20.5 17.8 2.60 15.4 19.5
Brow n-Forman Corp. 'B' 71.0 4,864 1,775 201 2.93 3.20 3.50 24.2 22.2 20.3 3.95 18.0 68.5
Canandaigua Brands 'A' 52.0 931 1,497 64 3.38 4.20 4.80 15.4 12.4 10.8 7.85 6.6 17.9
Coors (Adolph) Co. 'B' 53.0 1,958 1,900 79 2.12 2.35 2.60 25.0 22.6 20.4 5.70 9.3 36.9
Molson Cos. Ltd. 'A' 22.0 1,297 2,150 48 0.80 0.95 1.10 27.5 23.2 20.0 2.80 7.9 58.9
Mondavi (Robt.) Corp. 34.0 525 325 29 1.83 2.15 2.45 18.6 15.8 13.9 3.20 10.6 15.4
Seagram Co. 59.0 23,542 9,714 92 0.26 0.55 0.15 226.9 107.3 393.3 1.05 56.2 399.0
Average (excluding outlier, Seagram) 23.2 20.1 17.9 4.4 11.8

Beverage (Softdrink) Industry

Cadbury Schw eppes (ADR) 56.0 14,210 6,816 513 1.99 2.30 2.50 28.1 24.3 22.4 3.45 16.2 253.75*
Coca-Cola Bottling Co. 54.0 452 929 15 1.78 2.00 2.40 30.3 27.0 22.5 8.90 6.1 8.4
Coca-Cola Co. 71.0 175,086 18,813 3,533 1.42 1.43 1.63 50.0 49.7 43.6 1.75 40.6 2,466.0
Coca-Cola Enterprises 35.0 14,051 13,414 113 0.28 0.30 0.35 125.0 116.7 100.0 3.07 11.4 401.5
Cott Corporation 4.1 264 959 10 0.16 0.05 0.10 25.6 82.0 41.0 0.75 5.5 64.5
Pepsi Bottling Group, Inc. 21.0 3,255 7,041 1 0.02 0.35 0.40 1,050.0 60.0 52.5 3.70 5.7 155.0
PepsiCo, Inc. 37.0 54,427 22,348 1,760 1.16 1.20 1.35 31.9 30.8 27.4 1.80 20.6 1,471.0
Tiarc Cos. 'A' 20.0 586 815 11 0.36 0.75 0.85 55.6 26.7 23.5 2.90 6.9 29.3
Whitman Corp. 16.0 1,616 1,635 63 0.61 0.70 0.80 26.2 22.9 20.0 1.50 10.7 101.0
Average (excluding two high outliers) 35.4 37.6 28.6 3.0 15.2
*No. of ADRS
Source: Value Line Investment Survey

Price Mkt Cap 1998 Rev 1998 Prof 1998 1999E 2000E 1998A 1999E 2000E 1999 E 1999E Shares
May 99 (In $ MM) (In $ MM) (In $ MM) EPS EPS EPS P/E P/E P/E CE/Shr* P/CE Out.

Latin American Brewers

Modelo $2.69 $8,743 2,061.0 237 $0.07 $0.07 $0.08 36.9 36.5 31.9 0.13 21 3,250.2
Femsa 35.94 3,839 1,284.7 65 1.29 1.94 2.32 27.8 18.5 15.5 3.82 9.4 106.8
Brahma *** 9.38 3,224 2,720.0 288 0.84 0.26 0.42 11.2 36.1 22.3 1.20 7.8 343.7
Quinsa 11.00 1,173 855.0 95 0.89 0.75 0.89 12.4 14.7 12.4 1.43 7.7 106.6
Compania Cervecarias Unidad (C 23.63 1,465 591.6 83 1.34 1.36 1.47 17.6 17.4 16.1 NA NA 62.0
Average for Latin American Brewers 23.7 21.8 19.0 1.8 12.7

*Cash earnings = Net income plus Depreciation and Amortization

** Values in this table are denominated in US dollars.
*** Shares outstanding for Brahma refer to American Depositary Receipts, traded in New York.
Source: M organ Stanley Dean Witter research report on Brahma, M ay 6, 1999.

Modelo is the largest producer of beer in Mexico. The most famous of its beer brands is Corona.
Femsa is the largest beverage company in Mexico. It produces several beer brands (including Dos Equis) and is also the bottler for Coca-Cola in Latin America. It also ow ns the largest chain of convenience stores in Latin America (OXXO).

Quinsa controls beverage and malting businesses in five Latin American countries - Argentina, Bolivia, Paraguay, Uruguay and Chile. The company also has bottling and franchise agreements w ith PepsiCo, and accounts for 100% of PepsiCo product
sales in Uruguay and more than 80% of PepsiCo product sales in Argentina.

CCU is the leading brew er in Chile, and holds the third place in the Argentinian beer market. In the non-alcoholic beverages sector, CCU is Chile’s second-largest bottler of carbonated beverages and the
leader in the mineral w ater market. It has w inemaking operations in Argentina and in Chile.

Company descriptions taken from respective websites.

 U
V
CERVEJARIA BRAHMA, S.A. 0
lars) 2
7
7
 -22- UV0277
Exhibit 10
BRAZILIAN BEER MERGER NEGOTIATIONS: COMPANHIA CERVEJARIA B
Information on Comparable Transactions in the Global Beer and Beverage Industry (in

Value of
Transaction ($mil)
Date
Announced
Target Name Acquiror Name
3/03/1998 FEMSA Valores Industriales SA 1,886.7
1/14/1999 Sanyo Coca-Cola Bottling Co Kita Kyushu Coca-Cola Bottling 614.8
4/24/1998 Lion Nathan Ltd Kirin Brewery Co Ltd 495.3
11/26/1998 Marston Thompson & Evershed Wolverhampton & Dudley 465.2
11/03/1998 Matthew Clark PLC Canandaigua Ltd 355.8
9/18/1998 Coca-Cola Beverages PLC Coca-Cola Co 110.7
11/02/1998 AquaPenn Spring Water Co Inc Danone Group 110.3
8/25/1998 San Miguel Corp{SMC} Exchange Capital Corp 69.7
5/22/1998 Pete's Brewing Co Gambrinus Co 69.4
2/15/1999 Australian Premium Wines Ltd Cranswick Estate Wines Ltd 21.5
3/31/1998 Fresh Juice Co Inc Saratoga Beverage Group Inc 18.9
8/26/1998 Lion Brewery Inc Malt Acquiring Inc 18.3
 UV0277

PANHIA CERVEJARIA BRAHMA, S.A.

r and Beverage Industry (in U.S. dollars)

Offering Price Premium 1 % of Shares

Earnings week prior to Acq.
Ratio ann.

60.1 109.5 47.6

19.8 42.9 100
19.2 9.5 30
12.5 63.7 100
8.5 40.1 100
39.1 17.7 3.4
61.6 100.0 100
19.8 27.0 NA
nm 39.7 100
15.3 9.7 100
47.9 (2.5) 100
8.8 17.5 100