“Opportunities for Investors, Managers, valuers and consultants”

1. “Opportunities for Investors, Managers, valuers and consultants” David A. Kruse

2. Brazil Iowa Farms

3. Six Year Anniversary Of Brazil Iowa Farms 6

4. Brazil in World Agriculture/Main Crops Ranking Product Prodution Exports Soybean Maize Sugar Cane Coffee Orange Beef Poultry Tobacco 2nd 3rd 1st 1st 1st 1st 2nd 2nd 1st 3rd 1st 1st 1st 1st 1st 1st

5. Hungary Spain Poland Ukraine Bosnia Romania Macedonia Austria Croatia Ireland Czech & Slovak Rep’s Lithuania Greece England, Scotland and Wales Bulgaria Serbia & Montenegro Rep’s Norway Iceland Italy Germany Finland France Estonia Latvia Switzerland Sweden Albania Holland Belgium Belarus Denmark Arable land equates to 33 countries in Europe. Portugal Source: John Deere

6. Bahia is one of the prime soybean & cotton growing regions in Brazil Brazil Iowa Farms

8. Fazenda Iowa operates as Grupo Iowa in Brazil

9. Brazil Cotton Featured on JC Penney Towels

10. John Deere Tractors Made In Iowa For Export to Brazil

11. Iowa I – Line up of tractors, red and green!

12. Our new 90 foot planter – 36 rows

14. Brazilian Rules For Large Land Sale Transactions to Foreign Investors • Currently little knowledge on who owns land and who new buyers are. New rules will track ownership. • No New law or constitutional amendment. New Rules controlled by INCRA (Govt entity that registers titles) • Buyers must submit plan of development to Ministry of Agriculture and disclose ownership. Must be done for foreign buyers to get title. • Is not a de-facto ban on new purchases. No legal basis to ban new purchases

16. 29,8 3,4

18. If You Build It, They Will Come Brazilian Field of Dreams Regional infrastructure developing as was envisioned Investment in discovery process paying off Railroad = better basis

19. Brazil East-West Railroad Ilheus to Caetite Completed by July 2012 Caetite to Barreiras Completed by July 2013 Barreiras to Figueiropolis Still in planning stage • Boost flow of production of Bahia • Connect region with other industrial centers • Connection to North-South Railroad • 1490 km (925 miles) at a cost of R$ 6 billion by 2012

20. LEM Barrieras BR20 Railroad Roda Velha Iowa III Iowa II Iowa I

24. Brazil Corn Area Harvested By Year

25. Brazil has made great economic progress succeeding on the strength of its natural resources. Resource based growth has not been fully exhausted but barriers exist to blocking Brazil from achieving 1st class economy including: Cultural Labor Judicial Capital Civil / Political

26. Ease of Doing Business Rankings Registering Property Getting Credit Enforcing Contracts Paying Taxes 5th USA 12 6 8 62 127th Brazil 122 89 98 152 Source: World Bank

27. Ease of Doing Business Rankings Registering Property Getting Credit Enforcing Contracts Paying Taxes 5th USA 12 6 8 62 127th Brazil 122 89 98 152 Countries Ranking Better Than Brazil Countries Ranking Worse Than Brazil • Kazakhstan • Mongolia • Zambia • Ethiopia • Bangladesh • 126 Mozambique Source: World Bank

28. Ease of Doing Business Rankings Registering Property Getting Credit Enforcing Contracts Paying Taxes 5th USA 12 6 8 62 127th Brazil 122 89 98 152 Countries Ranking Better Than Brazil Countries Ranking Worse Than Brazil • Kazakhstan • Mongolia • Zambia • Ethiopia • Bangladesh • 126 Mozambique 145 Ukraine 150 Uzbekistan 157 Zimbabwe 167 Afghanistan 183 Chad Source: World Bank

29. This financial crisis is forcing State and Local Agencies to make some tough decisions. If things continue for much longer, there’s a real risk that we may have to lay off Jose.

31. How Best To Invest In Brazil Partner with experienced, established, local company – green fields are dangerous. Outsource capital needs – bring all the money with you. Outsource operational management – transfer liability risk. Avoid entanglements – don’t go near the jungle.