CORTICEIRA AMORIM, S.G.P.S., S.A.

CONSOLIDATED ACCOUNTS (Interim Unaudited) 1st Quarter 2012 (1Q12)

CORTICEIRA AMORIM; S.G.P.S., S.A. Sociedade Aberta Capital Social: EUR 133 000 000,00 C.R.C. Sta. Maria da Feira NIPC e Matrcula n.: PT 500 077 797

Edifcio Amorim I Rua de Meladas, n. 380 Apartado 20 4536-902 MOZELOS VFR PORTUGAL

Tel.: 22 747 54 00 Fax: 22 747 54 07 Internet: www.corticeiraamorim.com E-mail: corticeira.amorim@amorim.com

Shareholders of CORTICEIRA AMORIM, In accordance with the law, the Directors of CORTICEIRA AMORIM S.G.P.S., S.A., a public company, present their

CONSOLIDATED MANAGEMENT REPORT INTERIM

1. INTRODUCTION
The first quarter of 2012 (1Q12) proved to be very positive for CORTICEIRA AMORIM, both in terms of sales and profitability. Our Company recorded its ninth consecutive quarter of consolidated sales growth in the range of 5% to 10%. The growth in the wine market as well as the increase in CORTICEIRA AMORIMs market share are factors that continue to justify increased sales by the Cork Stoppers Business Unit (BU). The strong sales growth in the Floor and Wall Coverings BU was mainly driven by a burgeoning demand for these products from new markets. Taking advantage of the upward momentum in some markets, the sales performance of the Cork Composites BU was noteworthy - although to a lesser extent -, a fact that we are delighted to stress. The EBITDA to sales ratio maintained its high level (14.3%) contributing to a rise in the absolute value of EBITDA that totaled 18.7 million Euros (M ). Net income for the first quarter 2012 amounted to 5,761 M, which represents an increase of 11.8% compared to 5.153 M in the same quarter last year.

2. SALES AND RESULT S

Consolidated sales amounted to 131.3 M, an increase of about 11 M (+ 9%) compared to the same quarter in 2011. The highlight goes to our two most important Business Units (BU). In fact, both the Cork Stoppers BU and the Floor and Wall Coverings BU showed noteworthy sales performance. The 7.2% increase in sales made by the Cork Stoppers BU as well as the 14.8% sales increase of the Floor and Wall Coverings BU contributed decisively to a positive trend in consolidated sales. Raw M ater i a ls B U First quarter sales increased by about 19% as compared to 1Q11. Sales to the chain value of the Group jumped by 17% in Q1 of 2012. This performance of the Raw Materials BU is the result of the manufacture of high quantities of cork acquired in 2011 as well as an enhanced integration into the production cycle of CORTICEIRA AMORIM. The increase in the price paid for cork harvested in 2011 started to have an adverse impact on the margins of this BU when such cork began to be manufactured. Although our plants in North Africa have managed to overcome without significant difficulties the social unrest that raged in 2011, the incidents taking place in this region continue to be a cause of concern for our Raw Materials BU. Even though the 2012 cork harvest has not started yet, CORTICEIRA AMORIMs involvement in the cork purchasing market ran as planned in the quarter under review. As usual, the weather will play a decisive role in both corks quality and quantity and the then resulting price of cork. Cor k stop p er s B U With a total of 76.5 M (+7.2%) in 1Q12, the sales of the Cork Stoppers BU maintained a growth pace similar to that observed in recent quarters. The contribution of natural cork wine stoppers to this increase continues to be relevant (+10.7%). The sales of natural cork stoppers accounted for more than 40% of total sales of cork closures in 1Q12.

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

As regards the other families of cork stoppers, the increase in the sales of Neutrocork (+18%) and capsulated cork stoppers (+22%) is worth a special mention. The sales of other types of cork stoppers rose less significantly. The sales increase in the Cork Stoppers BU was to a great extent due to the behaviour of its two most important markets, i.e. France (+7.2%) and the USA (+10.4%). Together, these two markets account for almost half of this BUs sales. Fl oor an d W a ll Co ver in g s B U This BU reported a significant growth in sales ( 33.3 M: +14.8%). The increase in the sales of both manufactured products and trade products - in particular, wood veneered floor and wall coverings - neared the total sales of this BU. The inclusion of Timbermam in the consolidation scope of Corticeira Amorim from 3Q11 had a positive effect on 1Q12 performance. The rise in sales resulted mainly from an increase in the quantities of products sold. Both manufactured products and wood veneered floor and wall coverings recorded increases in their gross margins. Sales to our traditional central European markets continued to show no signs of growth. In contrast, the new markets in North America, Eastern Europe and China were responsible for the sales growth in this BU. As regards products, the LVT vinyl flooring deserves a special mention. Cor k C om p o si tes B U 1Q12 sales of the Cork Composites BU increased slightly, reaching 22.6 M (+1.3%). However, sales to end users grew about 5%, a reflection of a greater strength of foreign markets and, therefore, a somewhat decreased sales activity within the group. Sales of cork composites for industrial use (the most important segment) remained constant. The sales of this product to the building industry, especially to the U.S. market, as well as the sales to the flooring market recorded a positive growth. In su l at ion C or k B U The sales of the Insulation Cork BU remained at roughly the same level as in 1Q11 ( 2.4 M: -1.2%). The start of the financial year was greatly affected by the postponement of projects. The French and Italian markets - the most important markets for this BU - showed a decrease which, by itself, justifies the dropping sales numbers in this BU. Some recovery was felt in March 2012 and even in April 2012, suggesting a possible reversal of the trend recorded in 1Q12.

The gross margin percentage fell by about 2 percentage points. The increase in the price of cork raw materials - that affected particularly the Raw Materials BU and the Cork Composites BU - is the main reason behind such decrease. The rise in sales led, however, to an increase in the absolute value of Gross Margin, that totaled 67.8 M for the quarter, approximately 1.5 M higher than in 1Q11. Despite a 6% increase in production and a 9% rise in sales, operating costs maintained the same absolute value as in 1Q11 ( 49.1 M). It must be taken into account that a number of items of the supply and services accounts had significant increases, in particular those related to the transport and the energy in general. On the other hand, it is worth pointing out that an amount of 1.2 M relating to CORTICEIRA AMORIM cooperation in an international advertising campaign for natural cork led by APCOR was recorded in 1Q11. EBITDA amounted to 18.7 M in 1Q12 while EBIT totalled 13.2 M in the first 3 months of 2012, representing a 9.6% and a 14.3% increase, respectively, compared to the same period in 2011.

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

In the quarter under review we recorded an impairment of VAT receivable by Amorims subsidiary in Argentina. The recent events taking place in Argentina were taken into account when that decision was made. The impairment amounted to 1.8 M and was considered as a non-recurring expense. Despite a decrease in net debt, financial costs increased in 1Q12. Rising banking spreads began to have an impact on CORTICEIRA AMORIMs interest rates only from 2Q11. In fact, the lowest interest rate was got by our Company in the first quarter of 2011. Then, interest rates started to rise and this, in addition to the reversal of the positive effect on interest rate swaps in 1Q11, turned the negligible cost in 1Q11 into an amount of 1.6 M in 1Q12. Based upon a tax estimate on a 4 M income, net income amounted to 5.761 M, an 11.8% increase compared to 5.153 M a year ago.

3. STATEMENT OF THE C ONSOLIDATED FINANCIAL POSITION OF CORTICEIRA AMORIM (CONSOLIDATED BALANCE SHEET)
Total assets stood at 622 M at the end of 1Q12, an increase compared to 605 M at the end of 2011 and 598 M at the end of 1Q11. Excluding the cash position effect, total assets remained virtually unchanged from the closing value of the previous year. The net financial position rose by 44 M from the same quarter in 2011. This growth is largely due to an increase in the stocks of raw materials, in particular cork, whose value at the end of 1Q12 was approximately 32 M higher than at the end of the comparable quarter last year. This increase is justified by higher purchases of cork in 2011 and rising cork prices. As a result of higher sales in 1Q12 compared to 4Q11, there was an increase in the average value of customer transactions. This, in addition to a decrease in the value of suppliers transactions (especially those related to the

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

supply of cork) as well as the Companys CAPEX in the period, prevented a greater decrease in net interest bearing debt, which fell by about 3 M compared to the closing value of the previous year. In the quarter under review CORTICEIRA AMORIM negotiated a line of credit facility in the amount of 20 M, thus enabling it to extend the average maturity of its debt and to increase the weight of the non-current component of its total interest bearing debt. On the quarters closing date, the weight of the non-current interest bearing debt accounted for about 55% of total debt (45% in December 2011). Equity to total assets ratio was 46.5% at March 31, 2012, approximately equal to that at December 31, 2011.

4. CONSOLIDATED INDICATORS

1Q12 Sa l es Gros s Ma rgi n Va l ue 1) Opera ting Cos ts - current EBITDA - current EBITDA/Sa l es EBIT - current Non-current cos ts Net Income Ea rni ngs per s ha re Net Ba nk Debt Net Ba nk Debt/EBITDA (x) EBITDA/Net Interes t (x) Equi ty/Net As s ets
1) 2) 3) 4) Related to Production Goodwill impairment

1Q11

Variation

131.276 67.856
49,5%

120.416 66.369
51,4%

9,0% 2,2%
-1,88 p.p.

54.647 18.728 14,3% 13.208

2)

54.812 17.079 14,2% 11.557 1.827 5.153 0,041 102.509 1,51 34,7 45,7%

-0,30% 9,7%
+ 0,1 p.p.

14,3% N/A 11,80% 11,80% 11.728 0,03 x -18,36 x

+ 0,78 p.p.

1.843 5.761 0,046 114.237

4) 3)

1,54 16,3 46,5%

Net interest includes interest from loans deducted of interest from deposits (excludes stamp tax and commissions) Current EBITDA of the last four quarters

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

5. SUBSEQUENT EVENTS
At the Annual General Meeting held on March 29, 2012 it was resolved to approve a motion brought forward by a shareholder to distribute a dividend of 6.5 cents per share. The dividend was paid on April 30, 2012.

Mozelos, May 4, 2012 The Board of Directors of CORTICEIRA AMORIM, S.G.P.S., S.A. Antnio Rios de Amorim Chairman Joaquim Ferreira de Amorim Vice-President Nuno Filipe Vilela Barroca de Oliveira Member Lusa Alexandra Ramos Amorim Member Jorge Manuel Seabra de Freitas Member Andr de Castro Amorim Member

6
Fernando Jos de Arajo dos Santos Almeida Member

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

FINANCIAL REPORT INTERIM

CONSOLIDATED STATEMENT OF FINANCIAL POSITION
tho usand euro s

March 2012

December 2011 172.372 7.576 11.849 5.967 427 3.573 6.105 207.869 224.922 116.758 23.662 10.160 21.681 397.183 605.053 133.000 -6.247 117.827 25.274 12.439 282.292 62.464 10.525 16.700 6.103 95.792 76.641 105.939 30.565 13.824 226.969 605.053

March 2011 167.260 7.630 13.447 5.582 533 2.189 6.982 203.624 180.287 124.307 18.924 13.614 56.964 394.096 597.720

Assets
Property, pl a nt a nd equi pment Inves tment property Goodwi l l Inves tments i n a s s oci a tes Inta ngi bl e a s s ets Other fi na nci a l a s s ets Deferred ta x a s s ets Other non current assets Inventori es Tra de recei va bl es Current ta x a s s ets Other current a s s ets Ca s h a nd ca s h equi va l ents Current assets

170.982 7.428 11.719 6.229 391 3.530 5.725 206.003 216.892 128.092 23.142 11.317 36.791 416.234 622.237 133.000 -6.247 143.953 5.761 12.665 289.133 82.537 9.573 18.514 5.759 116.383 68.491 90.637 36.529 21.065 216.722 622.237

Total Assets

Equity
Sha re ca pi ta l Own s ha res Other res erves Net Income Mi nori ty i nteres t

7
133.000 -6.247 130.088 5.153 11.095 273.089 32.751 1.349 15.228 5.858 55.187 126.722 94.922 31.862 15.938 269.444 597.720

Equity

Liabilities
Interes t-bea ri ng l oa ns Other borrowi ngs a nd credi tors Provi s i ons Deferred ta x l i a bi l i ti es Non-current liabilities Interes t-bea ri ng l oa ns Tra de pa ya bl es Other borrowi ngs a nd credi tors Ta x l i a bi l i ti es Current liabilities

Total Liabilities and Equity

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

CONSOLIDATED INCOME STATEMENT

tho usand euro s

March 2012
Sa l es Cos ts of goods s ol d a nd ma teri a l s cons umed Cha nge i n ma nufa ctured i nventori es Gross Margin

March 2011 120.416 62.689 8.642 66.369 51,4% 22.800 24.188 474 1.838 3.665 17.079 5.522 11.557 1.827 -48 220 9.901 4.661 5.239 87 5.153 0,041

131.276 69.097 5.677 67.856 49,5%

Thi rd pa rty s uppl i es a nd s ervi ces Staff cos ts Impa i rments of a s s ets Other ga i ns Other cos ts Current EBITDA Depreci a tion Current EBIT Non-current cos ts Net fi na nci a l cos ts Sha re of (l os s )/profi t of a s s oci a tes Profit before tax Income tax Profit after tax Non-control l i ng Interes t Net Income attributable to the equity holders of Corticeira Amorim Earnings per share - Basic e Diluted (euros per share)

22.420 25.460 1.180 3.004 3.073 18.728 5.520 13.208 1.843 -1.585 -5 9.776 3.990 5.786 25 5.761 0,046

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

tho usand euro s

March 2012
Net Income (before Min. Interest) Cha nge i n deri va tive fi na nci a l i ns truments fa i r va l ue Cha nge i n tra ns l a tion di fferences Net Income directly registered in Equity Total Net Income registered Attributable to: Corticei ra Amori m Sha rehol ders Non-control l i ng i nteres ts

March 2011 5.239 410 17 427

5.666

5.786 311 541 852

6.638

6.613 25

5.579 87

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

CONSOLIDATED STATEMENT OF CASH FLOW

tho usand euro s

March 2012
OPERATING ACTIVITIES Col l ecti ons from cus tomers Pa yments to s uppl i ers Pa yments to empl oyees Operational cash flow Pa yments /col l ecti ons - i ncome ta x Other col l ecti ons /pa yments rel a ted wi th opera ti ona l a cti vi ti es CASH FLOW BEFORE EXTRAORDINARY ITEMS INVESTMENT ACTIVITIES Col l ecti ons due to: Ta ngi bl e a s s ets Others a s s ets Interes ts a nd s i mi l a r ga i ns Inves tment s ubs i di es Pa yments due to: Ta ngi bl e a s s ets Fi na nci a l i nves tments Inta ngi bl e a s s ets Others a s s ets CASH FLOW FROM INVESTMENTS FINANCIAL ACTIVITIES Col l ecti ons due to: Loa ns Others Pa yments due to: Interes ts a nd s i mi l a r expens es Di vi dends Others CASH FLOW FROM FINANCING Cha nge i n ca s h Excha nge ra te effect Ca s h a t begi nni ng Ca s h a t end 5.317 97 -1.367 0 -771 3.276 10.205 -48 6.731 16.888 88 43 165 1.731 -3.694 0 -6 0 -1.673 134.773 -126.559 -22.823 -14.609 -264 23.475 8.602

March 2011
109.037 -112.307 -22.153 -25.423 -96 33.274 7.755

185 152 81 69 -6.353 -15 0 -8 -5.889

10

11.275 0 -900 -613 -166 9.596 11.493 -375 18.944 30.062

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

tho usand euro s

Balance Appropriation Net Profit Increases / Translation End Dividends Beginning of N-1 profit N Decreases Differences Balance

March 31, 2012

Equity:

Sha re Ca pi tal Trea s ury Stock - Fa ce Va l ue Trea s ury Stock - Di s counts a nd Premi ums Pa i d-i n Ca pi tal IFRS Tra ns i tion Adjus tments Hedge Accounting Res erves Lega l Res erve Other Res erves Tra ns l a tion Di fference
Net Profit for the Year Minority interests

133.000 -6.787 541 38.893 -8.332 -11 12.243 76.469 -1.435 244.580 25.274 12.439 282.293

25.274 25.274 -25.274 0

0 0 0

0 5.761 25 5.786

-240 311 -868 1.234 437 -27 410

- 133.000 - -6.787 541 - 38.893 26 -8.546 300 - 12.243 - 101.428 389 -365 415 270.706 5.761 228 12.665 643 289.132

Total Equity March 31, 2011

Equity:

Sha re Ca pi tal Trea s ury Stock - Fa ce Va l ue Trea s ury Stock - Di s counts a nd Premi ums Pa i d-i n Ca pi tal IFRS Tra ns i tion Adjus tments Hedge Accounting Res erves Lega l Res erve Other Res erves Tra ns l a tion Di fference
Net Profit for the Year Minority interests

133.000 -6.787 541 38.893 -8.635 -164 10.887 68.634 -490 235.879 20.535 12.131 268.545

20.535 20.535 -20.535 0

0 -599 -599

0 5.153 87 5.240

410 12 422 422

- 133.000 - -6.787 541 - 38.893 67 -8.568 246 - 10.887 - 89.181 -62 -552 5 256.841 5.153 -523 11.095 -518 273.089

11

Total Equity

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

I.

INTRODUCTION

At the beginning of 1991, Corticeira Amorim, S.A. was transformed into CORTICEIRA AMORIM, S.G.P.S., S.A., the holding company for the cork business sector of the Amorim Group. In this report, CORTICEIRA AMORIM will be the designation of CORTICEIRA AMORIM, S.G.P.S., S.A., and in some cases the designation of CORTICEIRA AMORIM, S.G.P.S. together with all of its subsidiaries. CORTICEIRA AMORIM, directly or indirectly, holds no interest in land properties used to grow and explore cork tree. Cork tree is the source of cork, the main raw material used by CORTICEIRA AMORIM production units. Cork acquisition is made in an open market, with multiple agents, both in the demand side as in the supply side. CORTICEIRA AMORIM is mainly engaged in the acquisition and transformation of cork into a numerous set of cork and cork related products, which are distributed worldwide through its network of sales company. CORTICEIRA AMORIM is a Portuguese company with a registered head office in Mozelos, Santa Maria da Feira. Its share capital amounts to 133 million euros, and is represented by 133 million shares, which are publicly traded in the Euronext Lisboa Sociedade Gestora de Mercados Regulamentados, S.A. These financial statements were approved in the Board Meeting of May 4, 2012. Except when mentioned, all monetary values are stated in thousand euros (Thousand euros = K euros = K). Some figures of the following notes may present very small differences not only when compared with the total sum of the parts, but also when compared with figures published in other parts of this report. These differences are due to rounding aspects of the automatic treatment of the data collected.

II.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

12

The principal accounting policies applied in the preparation of these consolidated financial statements are set out below. These policies have been consistently applied to all the years presented.

a. Basis of presentation Consolidated statements were prepared based on a going concern basis and using the records as stated in the companies books, which adopted Portuguese general accepted accounting principles. Accounting adjustments and reclassifications were made in order to comply with accounting policies followed by the IFRS, as adopted by the European Union (IAS International Accounting Standards and the IFRS International Financial Reporting Standards) and legal for use as of January 1, 2012. The transition date from the local GAAP was January 1, 2004.

b. Consolidation Group companies

Group companies, often designated as subsidiaries, are entities over which CORTICEIRA AMORIM has a shareholding of more than one-half of its voting rights, or has the power to govern its management, namely its financial and operating policies. Group companies are consolidated line by line, being the position of third-party interests in the shareholding of those companies stated in the balance sheet in the Non-controlling interest account. Date of first consolidation or deconsolidation is, in general, the beginning or the end of the quarter when the conditions for that purpose are fulfilled.

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

Profit or loss is allocated to the shareholders of the mother company and to the non-controlling interest in proportion of their correspondent parts of capital, even in the case that non-controlling interest become negative. IFRS 3 is applied to all business combinations past January 1, 2010, according to Regulamento no. 495/2009, of June 3, as adopted by the European Commission. When acquiring subsidiaries the purchasing method will be followed. According to the revised IFRS, the acquisition cost will be measured by the given fair value assets, by the assumed liabilities and equity interest issued. Transactions costs will be charged as incurred and the services received. The exceptions are the costs related with debt or capital issued. These must be registered according to IAS 32 and IAS 39. Identifiable purchased assets and assumed liabilities will be initially measured at fair value. The acquirer shall recognized goodwill as of the acquisition date measured as the excess of (i) over (ii) below: (i) the aggregate of: the consideration transferred measured in accordance with this IFRS; the amount of any Non-controllable interest in the acquiree; and In a business combination achieved in stages, the acquisition-date fair value of the acquirers previously held equity interest in the acquiree. (ii) the net of the acquisition-date amounts of the identifiable assets acquired and the liabilities assumed In the case that (ii) exceeds (i), a difference must be registered as a gain. Non-controlling Interest are recorded at fair value or in the proportion of the percentage held in the net asset of the acquiree, as long as it is effectively owned by the entity. The others components of the non-controlling interest are registered at fair value, except if other criteria is mandatory. Inter-company transactions, balances and unrealised gains on transactions between group companies are eliminated. Unrealised losses are also eliminated but considered an impairment indicator of the asset transferred.

13

Equity companies

Associates are all entities over which the Group has significant influence but not control, generally accompanying a shareholding between 20% and 50% of voting rights. Investments in associates are accounted for using the equity method of accounting and are initially recognised at cost. The Groups investment in associates includes goodwill. Future impairments of goodwill will be adjusted against the carrying amount of investments The Groups share of its associates post-acquisition profits or losses is recognised in the income statement, in the Gain/(losses) in associates account, and its share of post-acquisition movements in reserves is recognised in reserves. The carrying amount is also adjusted by dividends received. When the Groups share of losses in an associate equals or exceeds its interest in the associate, the group does not recognise further losses, unless it has incurred obligation on behalf of the associate, in this case the liabilities will be recorded in a Provisions account.

c.

Foreign currency translation

Consolidated financial statements are presented in thousands of euros. Euro is the legal currency of CORTICEIRA AMORIM, S.G.P.S., S.A., and is the currency in which two thirds of its business is made and so Euro is considered to be its functional and presentation currency.

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

Assets and liabilities denominated in foreign currency are translated to euros using year-end exchange rates. Net exchange differences arising from the different rates used in transactions and the rate used in its settlements is recorded in the income statement. Assets and liabilities from non-euro subsidiaries are translated at the balance sheet date exchange rate, being its costs and gains from the income statement translated at the average exchange rate for the period / year.

d. Tangible Fixed Assets Tangible fixed assets are originally their respective historical cost (including attributable expenses) or production cost, including, whenever applicable, interest costs incurred throughout the respective construction or start-up period, which are capitalised until the asset begins operating. As part of the allocation of the fair value to the identifiable assets and liabilities in an acquisition process (IFRS 3), land and buildings of the subsidiaries as of January 1, 1991, were revalued by independent experts. Same procedure was followed for companies acquired later than that date. Under IFRS 1, 16, and as of January 1, 2004, some of the relevant industrial equipment, fully, or in the near-term, depreciated, and of which is expected a medium or long term use, was subject to a revaluation process. Depreciation is calculated on the straight-line basis, over the following years, which represent a reasonable estimate of the useful lives: Number of years Buildings Plant machinery Motor vehicles Office equipment 20 to 50 6 to 10 4 to 7 4 to 8

14

Depreciation is charged since the beginning of the financial year in which the asset is brought into use, except for big investment projects where depreciation begins with the start-up of production. The assets residual values and useful lives are reviewed, and adjusted if appropriate, at each balance sheet date. Current maintenance on repair expenses are charged to the actual income statement in which they occurred. Cost of operations that can extend the useful expected life of an asset, or from which are expected higher and significative future benefits, are capitalized. An assets carrying amount is written down to its recoverable amount and charged to the income statement if the assets carrying amount is greater than its estimated recoverable amount. Gains and losses and disposals are included in the income statement. When revalued assets are sold, the amounts included in the revaluation reserve are transferred to reserves.

e. Investment property Includes land and buildings not used in production.

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

f.

Goodwill

Goodwill represents the excess of the cost of an acquisition over the fair value of the net identifiable assets of the acquired subsidiary/associate at the date of acquisition. If positive, will be included as an asset in the goodwill account. If negative, it will be registered as a gain for the period. In Business combinations after January 1, 2010, Goodwill will be calculated as referred in b). Goodwill will be tested annually for impairment; impairment losses will be charged to the income statement and, consequently, its carrying amount adjusted.

g. Inventories Inventories are valued at the lower of acquisition cost or production cost and net realisable value. Acquisition cost includes direct and indirect expenses incurred in order to have those inventories at its present condition and place. Where the net realisable value is lower than production cost, an adjustment is made to reduce inventories to this lower value. This adjustment will be reversed or reduced whenever the impairment situation no longer takes place. Year-end quantities are determined based on the accounting records, which are confirmed by the physical inventory taking. Raw materials, consumables and by-products are valued at weighted average cost, and finished goods and work-in-progress at the average production cost which includes direct costs and indirect costs incurred in production.

h. Trade and other receivables Trade and other receivables are registered initially at cost, adjusted for any subsequent impairment losses which will be charged to the income statement. Medium and long-term receivables will be measured at amortised cost using the effective interest rate of CORTICEIRA AMORIM for similar periods.

15

i.

Cash and cash equivalents

Cash includes cash in hand, deposits held at call in banks, time deposits and other no-risk short-term investments with original maturities of three months or less. In the Consolidated Statement of Cash Flow, this caption includes Bank overdrafts.

j.

Interest bearing loans

Includes interest bearing loans amounts. Any costs attributable to the lender, will be deducted to the loan amount and charged, during its life, using the effective interest rate. Interests are usually charged to the income statement as they occur. Interests arising from loans related with capital expenditure for periods longer than 12 months will be capitalised and charged to the specific asset under construction. Capitalisation will cease when the project is complete or suspended.

k. Income taxes current and deferred Except for companies included in groups of fiscal consolidation, income tax is calculated separately for each subsidiary, on the basis of its net result for the period adjusted according to tax legislation.

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

In the consolidated financial statements differences between the tax due for the current period and prior periods and the tax already paid or to be paid by each of the group companies are registered whenever it is likely that, on an individual company basis, a deferred tax will have to be paid or to be recovered in the foreseeable future (liability method).

l.

Employee benefits

CORTICEIRA AMORIM Portuguese employees benefit exclusively from the national welfare plan. Employees from foreign subsidiaries (about 25% of total CORTICEIRA AMORIM) or are covered exclusively by local national welfare plans or benefit from complementary plans, being it defined contribution plans or defined benefit plans. As for the defined contribution plans, contributions are recognised as employee benefit expense when they are due. The liability recognised in the balance sheet in respect of defined benefit plans is the present value of the defined benefit obligation, less the fair value of plan assets, as calculated annually by pension fund experts. CORTICEIRA AMORIM recognises a liability and an expense for bonuses attributable to a large number of directors. These benefits are based on estimations that take in account the accomplishment of both individual goals and a preestablished CORTICEIRA AMORIM level of profits.

m. Provisions Provisions are recognised when CORTICEIRA AMORIM has a present legal or constructive obligation as a result of past events, when it is more likely than not an outflow of resources will be required to settle the obligation and when a reliable estimation is possible. Provisions are not recognised for future operating losses. Restructuring provisions are recognised with a formal detail plan and when third parties affected are informed.

16

n. Revenue recognition Revenue comprises the value of the consideration received or receivable for the sale of goods and finished products. Revue is shown, net of value-added tax, returns, rebates, and discounts, including cash discounts. Revenue is also adjusted by any prior periods sales corrections. Services rendered are immaterial and, generally, are refunds of costs related with finish product sales. Sales revenue is recognised when the significant risk and rewards of ownership of the goods are transferred to the buyer and its amount can be reliably measured. Revenue receivable after one year will be discounted to its fair value.

o. Government grants Grants received are related generally with fixed assets expenditure. No-repayable grants are present in the balance sheet as deferred income, and recognised as income on a systematic basis over the useful life of the related asset. Repayable interest bearing grants are presented as interests bearing debt; if no-interest bearing, they are presented as Other borrowings. Noncurrent no-interest bearing repayable grants are presented with its net present value, using an interest discount rate similar to CORTICEIRA AMORIM interest bearing debt for same period.

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

p. Leasing When a contract indicates that the significant risks and rewards of the ownership of the asset are transferred to CORTICEIRA AMORIM, leasing contracts will be considered as financial leases. All other leasing contracts are treated as operating leases. Payments made under operating leases are charged to the income statement.

q. Derivative financial instruments CORTICEIRA AMORIM uses derivatives financial instruments as forward and spot exchange rate contracts, options and swaps; these are intended to hedge its business financial risks and are not used for speculative purposes. CORTICEIRA AMORIM accounts for these instruments as hedge accounting, following all its standards. Dealing is carried out by a central treasury department (dealing room) on behalf of the subsidiaries, under policies approved by the Board of Directors. Derivatives are initially recorded at cost and subsequently re-measured at their fair value. The method of recognising is as follows:

Fair value hedge

Changes in the fair value of derivatives that qualify as fair value hedges and that are expected to be highly effective, are recorded in the income statement, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.

17

Cash flow hedge

Changes in the fair value of derivatives that qualify as cash flow edges and that are expected to be highly effective, are recognised in equity; the gain or loss relating to the ineffective portion is recognised immediately in the income statement.

Net investment hedge

For the moment, CORTICEIRA AMORIM is not considering any foreign exchange hedge over its net investments in foreign units (subsidiaries). CORTICEIRA AMORIM has fully identified the nature of its activities risk exposure and documents entirely and formally each hedge; uses its information system to guarantee that each edge is supported by a description of: risk policy, purpose and strategy, classification, description of risk, identity of the instrument and of the risk item, description of initial measurement and future efficiency, identification of the possible derivative portion which will be excluded from the efficiency test. When a hedging instrument expires or is sold, or when a hedge no longer meets the criteria for hedge accounting, or the forecasted transaction no longer remains highly provable or simply is abandoned, or the decision to consider the transaction as a hedge, the company will de-recognised the instrument.

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

III.

COMPANIES INCLUDED I N THE CONSOLIDATED FINANCI AL STATEMENTS

Company
Raw Materials Amorim Natural Cork, S.A. Amori m Fl ores ta l , S.A. Amori m Fl ores ta l Es pa a , SL Amori m Fl ores ta l Medi terr neo, SL Amori m Tuni s i e, S.A.R.L. Coma tra l - C. Ma roca i ne de Tra ns f. du Li ge, S.A. Cork Interna ti ona l , SARL SIBL - Soci t Indus tri el l e Boi s Li ge Soci t Nouvel l e du Li ge, S.A. (SNL) Soci t Tuni s i enne d'Indus tri e Bouchonni re Cork Stoppers Amorim & Irmos, SGPS, S.A. Amori m & Irm os , S.A. Amori m Argenti na , S.A. Amori m Aus tra l a s i a Pty Ltd Amori m Cork Amri ca , Inc. Amori m Cork Bei ji ng Ltd Amori m Cork Bul ga ri a EOOD Amori m Cork Deuts chl a nd GmbH & Co KG Amori m Cork Es pa a , S.L. Amori m Cork It l i a , SPA Amori m Cork South Afri ca (Pty) Ltd Amori m Fra nce, S.A.S. Ca rl Ed. Meyer Korken Cha pui s , S.L. Corchos de Argenti na , S.A. Equi pa r, Pa rti ci pa es Integra da s , Lda . FP Cork, Inc. Fra nci s co Ol l er, S.A. Hunga rocork, Amori m, RT Inds tri a Corchera , S.A. Korken Schi es s er Ges .M.B.H. Ol i mpi a da s Ba rcel ona 92, S.L. Portocork Amri ca , Inc. Portocork Fra nce Portocork Interna ci ona l , S.A. Portocork It l i a S.A. Ol l er et Ci e S.C.I. Fri edl a nd Soci t Nouvel l e des Bouchons Tres ca s es Vi ctor y Amori m, SL

Head Office
Vale de Cortias - Abrantes Ponte Sr Sa n Vi cente Al c nta ra C di z Ta ba rka Skhi ra t Ta ba rka Ji jel Ta ba rka
(d) Ta ba rka

Country
PORTUGAL PORTUGAL SPAIN SPAIN TUNISIA MOROCCO TUNISIA ALGERIA TUNISIA TUNISIA PORTUGAL PORTUGAL ARGENTINA AUSTRALIA U. S. AMERICA CHINA BULGARIA GERMANY SPAIN ITALY SOUTH AFRICA FRANCE GERMANY SPAIN ARGENTINA PORTUGAL U. S. AMERICA SPAIN HUNGARY CHILE AUSTRIA SPAIN U. S. AMERICA FRANCE PORTUGAL ITALY FRANCE FRANCE FRANCE SPAIN

1Q12
100% 100% 100% 100% 100% 100% 100% 51% 100% 45% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 50% 100% 100% 87% 100% 50% 69% 100% 100% 100% 100% 100% 87% 100% 50% 50%

Santa Maria Lamas Sa nta Ma ri a La ma s Ta pi a l es - Buenos Ai res Adel a i de Na pa , CA Bei ji ng Pl ovdi v Bi ngen a m Rhei n Sa n Vi cente Al c nta ra Conegl i a no Ca pe Town Eys i nes Del menhors t Gi rona (d) Mendoza Coruche Na pa , CA Gi rona Buda pes te (e) Sa nti a go Vi ena Gi rona Na pa , CA Bordea ux Sa nta Ma ri a La ma s Conegl i a no Rei ms Cret (d) Perpi gna n
(e) Na va rrete - La Ri oja

18

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

Company
Floor & Wall Coverings Amorim Revestimentos, S.A. Amori m Benel ux, BV - AR Amori m Deuts chl a nd, GmbH - AR Amori m Fl oori ng (Swi tzerl a nd) AG Amori m Fl oori ng Aus tri a Ges mbH Amori m Fl oori ng Inves tments , Inc. Amori m Fl oori ng Nordi c A/s Amori m Fl oori ng North Ameri ca Inc Amori m Ja pa n Corpora tion Amori m Reves timi entos , S.A. Cortex Korkvertri ebs GmbH Corticei ra Amori m - Fra nce, SAS - AR Dom KorKowy, Sp. Zo. O. Ti mberma n Denma rk A/S US Fl oors , Inc. Zodi a c Kork- und Hol zprodukte GmbH Composites Cork Amorim Cork Composites, S.A. Amori m (UK) Ltd. Amori m Benel ux, BV - ACC Amori m Cork Compos i tes Inc. Amori m Deuts chl a nd, GmbH - ACC Amori m Indus tri a l Sol utions - Imobi l i ri a , S.A. Chi na ma te (Xi a n) Na tura l Products Co. Ltd Chi na ma te Devel opment Co. Ltd Corticei ra Amori m - Fra nce, SAS - ACC Dra uvi l Europea , SL Dyn Cork - Techni ca l Indus try, Lda Pos tya - Servi os de Cons ul tadori a , Lda . Spheroi l - Ma teri a i s Comps i tos , Lda Insulation Cork Amorim Isolamentos, S.A. Holding Corticeira Amorim, SGPS, S.A. Amori m Benel ux, BV - A&I Amori m Cork Res ea rch, Lda . Gi npa r, S.A. (Gnra l e d'Inves t. et Pa rtici pa tion) Soc. Portugues a de Agl omera dos de Cortia , Lda Va trya - Servi os de Cons ul tadori a , Lda Lourosa
(a) Thol en

Head Office

Country
PORTUGAL NETHERLAND GERMANY SWITZERLAND AUSTRIA U. S. AMERICA DENMARK U. S. AMERICA JAPAN SPAIN GERMANY FRANCE POLAND DENMARK U. S. AMERICA GERMANY PORTUGAL U.K. NETHERLAND U. S. AMERICA GERMANY PORTUGAL CHINA CHINA FRANCE SPAIN PORTUGAL PORTUGAL PORTUGAL PORTUGAL PORTUGAL NETHERLAND PORTUGAL MOROCCO PORTUGAL PORTUGAL

1Q11
100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 50% 51% 25% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 50% 100% 100% 80% 100% 100% 100% 100% 100% 100%

(c) Del menhorts

Zug Vi ena Ha nover, MD Greve Ha nover, MD Tokyo Ba rcel ona Frth (b) La va rda c (e) Kra kw Ha ds und (d) Da l ton, GA Frth Mozelos Hors ha m Wes t Sus s ex Thol en Trevor Wi s cons i n Del menhorts Corroi os Xi 'a n Hong Kong La va rda c Sa n Vi cente Al ca ntara Pa os de Bra nd o Funcha l - Ma dei ra Mozel os Vendas Novas Mozelos
(b) Thol en

(a) (c)

19

(b) (d)

Mozel os Skhi ra t Montijo Funcha l - Ma dei ra

(a)

(a) One single company: Amorim Benelux, BV. (b) One single company: Corticeira Amorim - France SAS. (c) One single company: Amorim Deutschland, GmbH (d) Equity method consolidation. (e) CORTICEIRA AMORIM controls the operations of the company line-by-line consolidation method.

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

IV.

EXCHANGE RATES USED IN CONSOLIDATION

Consolidation
Argentine Pes o Aus tra l i a n Dol l a r Lev Bra zi l i a n Rea l Ca na di a n Dol l a r Swi s s Fra nc Chi l ea n Pes o Yua n Renmi nbi Da ni s h Krone Al geri a n Di na r Euro Pound Sterl i ng Hong Kong Dol l a r Fori nt Yen Morocca n Di rha m Zl oty Tuni s i a n Di na r US Dol l a r Ra nd ARS AUD BGN BRL CAD CHF CLP CNY DKK DZD EUR GBP HDK HUF JPY MAD PLN TND USD ZAR

March 31, 2012

5,84010 1,28360 1,95570 2,43230 1,33110 1,20450 651,270 8,40280 7,43990 98,098 1 0,83390 10,3616 294,920 109,560 11,1325 4,15220 2,00190 1,33560 10,2322

Average 1Q12
5,68910 1,24247 1,95566 2,31688 1,31280 1,20799 641,018 8,27641 7,43497 97,7263 1 0,83448 10,1782 296,847 103,993 11,1185 4,23293 1,97500 1,31082 10,1730

March 31, 2011

5,73930 1,37360 1,95570 2,30580 1,37850 1,30050 676,330 9,27570 7,45670 101,9808 1 0,88370 11,0176 265,720 117,610 11,2783 4,01060 1,96280 1,42070 9,65070

Average 1Q11
5,4919 1,36135 1,95560 2,27993 1,34838 1,28714 659,112 9,00810 7,45499 98,4525 1 0,85386 10,6628 272,428 112,570 11,2033 3,94598 1,93310 1,36799 9,5875

20

V.

SEGMENT REPORT

CORTICEIRA AMORIM is organised in the following Business Units (BU): Cork Stoppers Raw Materials Floor and Wall Coverings Composite Cork Insulation Cork

For purposes of this Report, the Business approach was selected as the primary segment. This is consistent with the formal organization and evaluation of business. The following table shows the main indicators of the said units, and, whenever possible, the reconciliation with the consolidated indicators (values in thousand EUR):

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

tho usand euro s

1Q2012
Tra de Sa l es Other BU Sa l es Total Sales Current EBITDA(i) Assets Liabilities Capex Depreciation Non-cash cost (ii) Gains/Losses in associated companies

Raw Materials 1.948 30.904

Cork Stoppers 74.806 1.671

Floor & Wall Coverings 32.415 868

Composite Insulation Cork Cork 19.703 2.863 2.202 175

Holding 202 307

Adjustments Consolidated -36.789 131.276 -

32.852 4.583 116.674 29.432 478 -510 5 -1

76.477 9.606 285.878 91.152 2.114 -2.661 -4.158 105

33.283 3.441 113.304 29.003 108 -1.410 -339 -43

Floor & Wall Coverings 28.125 858

22.566 1.904 80.715 20.173 902 -785 -73 -67

2.378 616 12.799 1.938 266 -144 -16 -

509 -1.099 28.550 17.687 -10 -

-36.789 -322 -15.682 143.719 -

131.276 18.728 622.237 333.105 3.868 -5.520 -4.581 -5

1Q2011
Tra de Sa l es Other BU Sa l es Total Sales Current EBITDA(i) Assets Liabilities Capex Depreciation Non-cash cost (ii) Gains/Losses in associated companies

Raw Materials 800 26.822

Cork Stoppers 70.155 1.195

Composite Insulation Cork Cork 18.854 3.429 2.264 143

Holding 218 306

Adjustments Consolidated -32.754 120.416 -

27.623 7.365 87.822 22.703 324 -783 -29 9

71.350 7.207 270.691 79.956 3.321 -2.275 -292 211

28.982 1.115 114.659 28.437 1.102 -1.474 -2.070 -

22.284 2.344 69.961 22.265 1.983 -834 -181 -

2.407 594 11.470 1.678 106 -144 -26 -

524 -646 48.197 13.411 -12 -

-32.754 66 -5.080 156.181 -

120.416 17.079 597.720 324.631 6.836 -5.522 -2.598 220

21

Notes:
Adjustments = eliminations inter-BU and amounts not allocated to BU EBITDA =Profit before depreciation, interests, non-controlling interest and income tax. Provisions and asset impairments were considered the only relevant material cost. Segments assets do not include DTA (deferred tax asset) and non-trade group balances. Segments liabilities do not include DTL (deferred tax liabilities), bank loans and non-trade group balances.

The decision to report EBITDA figures allows a better comparison of the different BU performances, disregarding the different financial situations of each BU. This is also coherent with the existing Corporate Departments, as the Financial Department is responsible for the bank negotiations, being the tax function the responsibility of the Holding Company. Cork Stoppers BU main product is the different kinds of existing cork stoppers. The main markets are the bottling countries, from the traditional ones like France, Italy, Germany, Spain and Portugal, to the new markets like USA, Australia, Chile, South Africa and Argentina. Raw Materials BU is, by far, the most integrated in the production cycle of CORTICEIRA AMORIM, with 90% of its sales to others BU, specially to Cork Stoppers BU. Main products are bark and discs.

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST

The remaining BU produce and sell a vast number of cork products made from cork stoppers waste. Main products are cork floor tiles, cork rubber for the automotive industry and antivibratic systems, black agglomerates for insulation and acoustic purposes, technical agglomerates for civil construction and shoe industry, as well as granulates for agglomerated, technical and champagne cork stoppers. Major markets for flooring and insulation products are in Europe. Major production sites are in Portugal, where most of the invested capital is located. Products are distributed in practically all major markets through a fully owned network of sales companies. About 70% of total consolidated sales are achieved through these companies.

VI.

SELECTED NOTES

Data to be included in the interim notes, materially relevant, which is not included in prior chapters: These interim financial statements were prepared using similar accounting policies as those used when preparing prior year-end statements; CORTICEIRA AMORIM business are spread through a large basket of products, throughout the five continents and more than a hundred countries; so, it is not considered that its activity is subjected to any particular form of seasonality. Anyway it has been registered a higher first half activity, mainly during the second quarter; third and fourth usually exchange as the weakest quarter; As of March 29, 2012, Shareholders Meeting approved 2011 Accounts. Mozelos, May 4, 2012 The Board of Directors of CORTICEIRA AMORIM, S.G.P.S., S.A.

Antnio Rios de Amorim Chairman Joaquim Ferreira de Amorim Vice-President Nuno Filipe Vilela Barroca de Oliveira Member Lusa Alexandra Ramos Amorim Member Jos da Silva Carvalho Neto Member Andr de Castro Amorim Member Fernando Jos de Arajo dos Santos Almeida Member

22

CORTICEIRA AMORIM, SGPS, S.A. CONSOLIDATED FINANCIAL STATEMENTS 1 QUARTER 2012

ST