MARFRIG ALIMENTOS S.A.

PUBLIC COMPANY
TAXPAYER ID (CNPJ/MF): 03.853.896/0001-40 (BM&FBOVESPA: MRFG3)

MATERIAL FACT

São Paulo, January 03, 2014 - Marfrig Alimentos S.A. (BM&FBOVESPA: MRFG3 and ADR (Level 1): MRTTY - "Company"), in compliance with Article 157, Paragraph 4 of Federal Law 6.404 of December 15, 1976 and with Securities and Exchange Commission of Brazil (CVM) Instruction 358 of January 3, 2002, as amended, and in accordance with best practices in corporate governance, announces to its investors and the general market the revision of its guidance for Free Cash Flow in 2014, from the range of negative R$ 150

million to breakeven, to the range of breakeven to positive R$ 100 million.

2013E(1)

2014

Range

2018

Range

Revenue(2)

EBITDA Margin

R$ 18.5 billion 7.5(3) R$ 21.0 - 23.0 billion 7.5 - 8.5 7.5 - 9.5 %

(CAGR % 2012-18)

8.5 - 9.5

R$ billion, %

%

Free Cash

Flow(4)

n/a breakeven to 100 650 - 850

R$ million

CAPEX

n/a 600 n/a

R$ million

Note: (1) growth and margins expected for 2013; (2) revenues registered in BRL adopting the exchange rate assumptions of US$/R$=2.40 and