1. Banco Itaú Holding Financeira S.A. COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO July 28 th, 2004

2. 2 Main Purpose Founding a “ New Company” (Financial Institution), responsible for structuring and selling products, financial services and the like, exclusively to CBD customers

3. 3 “New Company” Structure “New Company” Improving and expanding services and products offered to CBD Customers Initial Capital Base: R$ 150 million 50%

4. 4 Market Impact Strengthening of the Brazilian consumer credit market Association of two major domestic groups recognized for their:  Leadership positions in their respective engagement markets  Management excellence  High value brands

5. 5 Highlights – Direct consumer credit Itaú Credit Cards Credit and Personal Loans Active customers (million) Automated Teller Machines Points of Sale (*) R$ 2,959 million R$ 5,465 million - 5,951 thousand 7,990 thousand 9.1 million 20,133 3,146 / March 31, 2004 (*) Branches + customer-site branches OutstandingQuantities

6. 6 Estimated Expansion “New Company” Consumer Credit Contracts Own Credit Cards (Private Label) Credit Cards 3 Personal Loan Contracts 580 thousand 3.3 million 480 thousand - (1)As of March 31, 2004 (2)Compound Annual Growth Rate (3)Widely accepted credit card brands Quantities CAGR 2 Year 10 Quantities Current 1 3,519 thousand 9.3 million 2,646 thousand 1,600 thousand 22.2% 12.2% 20.9%

7. 7 Operation Features  Operating synergy gains  Expansion and improvement of current products and services offered to CBD customers  Private Label credit cards  Widely accepted credit card brands  Direct consumer credit  Personal loans  Installation of financial service units in the 555 existing stores and at those which may come to be established by CBD

8. 8 Location of CBD Stores July 2004 209 71 160 55 # Stores 555 60 Piauí 3 Ceará 20 2 Paraíba 6 Pernambuco 2 Comprebem 8 Bahia 3 Rio de Janeiro 11 17 18 60 São Paulo 136 39 142 55 Paraná 2 11 Mato Grosso do Sul 1 Minas Gerais 3 Distrito Federal 12 3 1 Goiás  40 million transactions per month  Gross revenues in 2003: R$ 15 billion (*) (*) Source: ABRAS (Brazilian Supermarket Industry) – including Sendas S.A. Data of 2003

9. 9 “New Company” Management  Board of Directors and Operations Support committee, comprised equally by the shareholders  Chairman of the Board of Directors and the “New Company” appointed by Itaú  Executive Board made up of market professionals, with broad experience in the area  Operating Management under the responsibility of Itaú  Own structure and personnel

10. 10 Strategy of the Operation  Expansion of Focus on direct consumer credit  Long term partnership: 20 years, and renewal option  Exclusivity in exploitation of financial products and services to CBD customers  Strong partnership = greater commercial relationship

11. 11  Investment of R$ 455 million, which include goodwill in the amount of R$ 380 million, determined on the basis of forecast future profitability of the New Company  Strengthening of position in the retail financial market  Development of new relationships with the CBD store customers as well as prospecting of new current account customers  Results without any major impact during the first three years of operations. Main implications on Itaú

12. 12  Focus in Retail (world trend)  Better and broader terms for their customers (customer service units inside stores)  Greater in store customer traffic  Increase in revenues arising from the financial products and services  Consolidation of resources of roughly R$ 380 million:  R$ 75 million paid into the “New Company”  Remaining installment balance in the amount of R$ 152.5 million, will be contingent upon achievement of New Company goals over a five- year maximum period  Operating synergies Main implications on CBD

13. 13  The “New Company” is expected to achieve the same levels of Itaú´s ROE from 2008 on.  Expected return on operations for Itaú: CDI* + 10.5% per year  Itaú → use of capital excess Economic Evaluation of the Investment (*) Interbank Deposit Rate

14. 14 Start Up of the Operation  The fulfillment of this operation is dependent upon the approval of the Brazilian Central Bank and the other appropriate authorities  Start up of operations is expected sometime in the second half of 2004.

15. 15 On the basis of this operation Itaú and CBD, proud to be Brazilian companies, reaffirm their commitment to the Brazilian market in the assurance that they will extend and satisfy their customers and create value for their shareholders. COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO Banco Itaú Holding Financeira S.A.

16. COMPANHIA BRASILEIRA DE DISTRIBUIÇÃO Banco Itaú Holding Financeira S.A. July 28 th, 2004