Low-cost position, in line with other Brazilian meat producers Relatively diversified sales mix with exports representing about 50% of total revenues and strong focus on premium cuts and niche products Good geographic diversification of plants in Brazil and other South American countries, in addition to a well diversified customer base. Commodity-oriented nature of its operations, including exposure to potential trade restrictions and sanitary risks Aggressive growth strategy combining investments in capacity and acquisitions Highly leveraged capital structure. Standard&Poor's Rating Services' ratings on Marfrig Frigorificos e Comercio de Alimentos Ltda. (Marfrig) reflect the company's operations in the volatile and highly competitive global meat industry. Among the factors affecting the ratings are: the potential trade restrictions and sanitary risks; the
