January 18, 2013

002/2013-DN

CIRCULAR LETTER

To: BM&FBOVESPA (BVMF) Market Participants – BM&F Segment

Re: Structured Transactions – Maturity Rollover for Cash Settled Crystal

Sugar Futures Contract

BM&FBOVESPA has developed a structured transaction involving maturity

rollover for the Cash Settled Crystal Sugar Futures Contract (“Crystal Sugar
Futures”), ticker RAC. Known as a calendar spread, this transaction allows two
contract months to be traded simultaneously. The two months concerned do not
have to be consecutive. RAC will start trading on January 28, 2013 on the
BM&FBOVESPA PUMA Trading System’s Derivatives Segment.

This maturity rollover for crystal sugar futures is not a new contract but a
transaction that two maturities to be traded simultaneously. Any two contract
months may be traded, provided the maturities concerned are authorized.

For trading purposes, RAC structured trades are subject to all the rules in the
BM&F Segment Rulebook.

There is a difference compared with standard futures contracts, however: instead

of generating positions in a new contract, RAC structured trades will be
automatically dismembered into two other transactions: an opposite short leg in
crystal sugar futures and a long leg identical to the rollover transaction. Thus
RAC structured trades will show no open interest at the end of the day and will
be distributed among the corresponding crystal sugar futures contract months.

Because there will be no open interest in RAC structured trades, all cash
amounts arising therefrom will be calculated and settled in accordance with the
procedures established for crystal sugar futures.

Margin requirements will be calculated by the risk management system for

crystal sugar futures, taking open interest in these futures into account.

As for price fluctuation limits, no rollover transaction will be accepted if the

002/2013-DN .2.

price assigned to the first contract month (short leg) plus the traded price of the
RAC transaction in Brazilian Reais (BRL) exceeds the price fluctuation limit for
the second month (long leg).

Additional characteristics of crystal sugar futures maturity rollovers are

described below.

Crystal sugar futures maturity rollovers

 Structured trade ticker: RAC.
 Maturity: Combination of contract months.
 Type of transaction: Purchase and sale.
 Trading hours in PUMA-Derivatives: Same as the hours established for
crystal sugar futures.
 Quotation: Brazilian Reais (BRL) per 50 kg bag to two decimal places.
 Tick size: BRL 0.01 per 50 kg bag net.
 Trading lot: One contract.

Short leg (automatically registered crystal sugar futures contract)

 Maturity: Short leg of RAC.
 Type of transaction (buy/sell): Opposite to RAC.
 Price: Settlement price for short leg on the day the trade is performed, as
calculated by the Exchange.
 Number of contracts: Same as number of contracts in RAC.

Long leg (automatically registered crystal sugar futures contract)

 Maturity: Long leg of RAC.
 Type of transaction: Same as RAC.
 Price: Settlement price for short leg plus traded RAC price in BRL.
 Number of contracts: Same as number of contracts in RAC.

Fees will be payable on each leg in accordance with the applicable fee
schedules.

Additional clarification can be obtained from the Department of Operations by

calling +55 11 2565-4680.

Marcelo Maziero Luis Otávio Saliba Furtado

Chief Product & Customer Officer Chief Information Officer