Phillipe Casale - IR João Arthur Souza - Head of Finance

Good afternoon, ladies and gentlemen. At this time, we would like to welcome everyone to Cosan S.A. Third Quarter of 2018 Results Conference Call. Today with us, we have Mr. Phillipe Casale, Investor Relations Executive Manager; and Mr. João Arthur Souza, Head of Finance. We would like to inform you that this event is recorded. And all participants will be in a listen-only mode during the company’s presentation. After Cosan's remark, there will be a question-and-answer session for industry analysts. At that time further instructions will be given [Operator Instructions]. The audio and slide show of this presentation are available through the live webcast at ir.cosan.com.br. The slides can also be downloaded from the webcast platform. Before proceeding, let me mention that forward-looking statements are based on the beliefs and assumptions of Cosan’s management and on information currently available to the company. They involve risks, uncertainties and assumptions because they relate to the future events and, therefore, depend on circumstances that may or may not occur in the future. Investors should understand that general economic conditions, industry conditions and other operating factors could also affect the future results of Cosan and could cause results to differ materially from those expressed in such forward-looking statements. Now I’ll turn the conference over to Mr. Phillipe Casale. Mr. Casale, you may begin the call.

Good afternoon, everyone, and welcome to Cosan S.A. Third Quarter 2018 Earnings Conference Call. I’d like to open this call by discussing our recent announcements, as you know we are constantly analyzing ways to simplify our corporate structure and to create value for shareholders. With this in mind, on October 24, we released the material informing the market that we have initiated studies to assess the feasibility of incorporating [indiscernible] into Cosan S.A. Immediately after this announcement, we were asked to address the lack of the sales regarding the expansion and potential efficacy of these proposals. We acknowledge that the lack of additional information hindered the market's understanding as to how this transaction would assist in the simplification process. Out of respect for the interest and concerns of shareholders, investors we decided to cancel this transaction. I’d like to emphasize here our commitment to best governance and practice to any corporate action we take going forward. Let’s now move to slide four to discuss the business results starting with Raizen Combustiveis. And before entering into Raizen's figures, I would like to remind you that we concluded the acquisition of Shell’s downstream asset in Argentina on October 1, therefore these operations had no impact on our 3Q, 2018 results. The distribution segment also faces some challenge this quarter, remaining effects of the truckers strike was a temporary re-optimization of our supply dynamics given the lower diesel imported truck business. Beside we have also have the work of effecting construction in July, this challenge demanded additional efforts from our team to again deliver above the industry average results. Let’s look at the numbers. Total sales was up 1.5% compared to the same period last year. The highlighting of the field was diesel which continues to enjoy above GDP and above industry average…

I’d like to invite Mr. Casale to proceed with his closing statement.

If you have any questions, our IR team is more than available here to take any questions from our investors. Thank you very much.

That does conclude Cosan's conference for today. Thank you very much for your participation. And have a good day.