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Minerva Contracts Long-Term Financing Lines worth R$215 million with BNDES and Banco da Amazônia

Barretos, January 12, 2009 - Minerva S.A. (BOVESPA: BEEF3; Bloomberg: BEEF3.BZ; Reuters: BEEF3.SA), one of the leading producers and sellers of beef, leather and live cattle in Brazil, announces to shareholders that it signed financing agreements with the Brazilian Development Bank (BNDES) in the amount of R$121,859,000.00, which will be used to modernize and expand the Company’s units. The amount will be repaid in 72 months, with a grace period of 24 months and interest of 2.7% to 3.1% above the institution’s long-term interest rate (TJLP).

Minerva also contracted this month a financing facility drawing on funds from Banco da Amazônia S.A. for projects to modernize and expand its units in the amounts of R$38,989,707.27 for the Araguaína unit in Tocantins state and R$53,792,703.00 for the Rolim de Moura unit in Rondônia state. The amount will be repaid in 24 semiannual installments, with a grace period of 24 months and interest of 1.15% above TJLP.

In the context of the current scenario, these lines represent important support for Minerva to finance its organic growth from two of the most important development banks in Brazil. In addition to reducing the average debt cost and lengthening the debt profile, the operations validate and acknowledge Minerva’s solid financial strategy and policy, which pursues an adequate level of liquidity by maintaining a high cash balance, short-term financial investments and a debt profile concentrated in the long term. A portion of the funds raised (estimated at R$100 million) will be used to rebuild the company’s cash position in light of the investments already made.

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