Presentation for the 2Q 2011 results conference call, July 22, 2011

1. Motors | Energy | Transmission & Distribution | Automation | Caotings
2Q11 Results Conference Call
July 22, 2011
2Q11 Results Conference Call July 22, 2011

2. Disclaimer
The statements that may be made during this conference call
relating to WEG’s business perspectives, projections and operating
and financial goals and to WEG’s potential future growth are
management beliefs and expectations, as well as information that
are currently available.
These statements involve risks, uncertainties and the use of
assumptions, as they relate to future events and, as such, depend
on circumstances that may or may not be present.
Investors should understand that the general economic conditions,
conditions of the industry and other operating factors may affect
WEG’s future performance and lead to results that may differ
materially from those expressed in such future considerations.
2Q11 Results Conference Call Page 2 July 22, 2011

3. Highlights
Second Quarter, 2011
Q2 2011 Q1 2010 Growth % Q2 2010 Growth %
Gross Operating Revenue 1,510,276 1,343,137 12.4% 1,227,421 23.0%
Domestic Market 936,061 862,863 8.5% 831,210 12.6%
External Markets 574,215 480,274 19.6% 396,211 44.9%
External Markets in US$ 360,639 288,211 25.1% 221,100 63.1%
Net Operating Revenue 1,277,258 1,126,117 13.4% 1,013,015 26.1%
Gross Operating Profit 381,437 310,662 22.8% 309,812 23.1%
Gross Margin 29.9% 27.6% 30.6%
Quarterly Net Income 154,557 121,564 27.1% 116,522 32.6%
Net Margin 12.1% 10.8% 11.5%
EBITDA 215,579 164,808 30.8% 174,015 23.9%
EBITDA Margin 16.9% 14.6% 17.2%
Figures in R$ Thousands
2Q11 Results Conference Call Page 3 July 22, 2011

4. Highlights
First semester of 2011
06M11 06M10 Growth %
Gross Operating Revenue 2,853,413 2,358,967 21.0%
Domestic Market 1,798,924 1,632,509 10.2%
External Markets 1,054,489 726,458 45.2%
External Markets in US$ 648,850 402,270 61.3%
Net Operating Revenue 2,403,375 1,944,922 23.6%
Gross Operating Profit 692,099 618,425 11.9%
Gross Margin 28.8% 31.8%
Quarterly Net Income 276,121 236,167 16.9%
Net Margin 11.5% 12.1%
EBITDA 380,387 355,765 6.9%
EBITDA Margin 15.8% 18.3%
Figures in R$ Thousands
2Q11 Results Conference Call Page 4 July 22, 2011

5. Gross Operating Revenues
Domestic Market
in R$million
-13% 13%
3%
32%
925 936
808 831
701
2T07 2T08 2T09 2T10 2T11
2Q11 Results Conference Call Page 5 July 22, 2011

6. Gross Operating Revenues
External Market
In US$ million
External Market in US$ Quarterly Average FX
1,9807 2,0705 1,7920
1,6529 1,5922
63%
17% -13% 4%
361
246 213 221
211
Q2 2007 Q2 2008 Q2 2009 Q2 2010 Q2 2011
2Q11 Results Conference Call Page 6 July 22, 2011

7. Business Areas
Gross Revenues Breakdown
in R$ million
1.510
1.331 6%
1.250 1.227 11%
1.119 5%
12% 6% 7%
5% 11% 23%
17%
12% 26%
24% 35% 25%
7%
57% 60%
58%
48% 51%
2Q 2007 2Q 2008 2Q 2009 2Q 2010 2Q 2011
Industrial Equipment GTD Domestic Use Paints & Varnishes
2Q11 Results Conference Call Page 7 July 22, 2011

8. Cost of Goods Sold
2nd quarter of 2011
Other Costs
Steel &
34%
Other Costs Coper
31% 43%
Depreciation 2Q11 Depreciation 2Q10
5% 6%
Other Other
Materials Steel &
Materials
21% Coper
17%
43%
2Q11 Results Conference Call Page 8 July 22, 2011

9. Main impacts on EBITDA
in R$ million
326,1 43,3
18,6
190,3
FX Impact
on Gross Deduction
Revenues on Gross
Revenues
21,7
COGS 1,4
9,3 215,6
Profit Sharing
174,0 Selling General and
Program
Expenses Administrative
Volumes, Expenses
Prices &
Product Mix
Changes
EBITDA Q2 10 EBITDA Q2 11
2Q11 Results Conference Call Page 9 July 22, 2011

10. Cash Flows
In R$ million
356,6
2.553,0 325,3 90,3 2.674,6
Operating Investing Financing
Cash 4Q10 Cash 2Q11
(*) R$ 226,1 million in long term securities that are considered at the cash flow from
investing activities
2Q11 Results Conference Call Page 10 July 22, 2011

11. Capacity Expansion Program
in R$ million
Outside Brazil
Brazil
73,8
61,4
53,7 44,1
43,7 13,0 41,1
34,2 2,0 33,8 2,4
8,2
40,7 42,1 38,8
27,2 30,1 25,6
Q1 Q2 Q3 Q4 Q1 Q2
2010 2011
2Q11 Results Conference Call Page 11 July 22, 2011

12. Contacts
www.weg.net/ri
Laurence Beltrão Gomes
Investor Relations Officer
laurence@weg.net
Luís Fernando M. Oliveira
Investor Relations Manager
+55 (47) 3276-6973
luisfernando@weg.net
twitter.com/weg_ir
2Q11 Results Conference Call Page 12 July 22, 2011