Dividend

At least 25% (twenty-five percent) of Net Profit, less or increased by the amounts destined to the constitution of a legal reserve and the formation or reversal of the contingency reserve, will be attributed to the payment of the mandatory minimum dividend, including dividends distributed therein as interest on own capital, to all its shareholders, in compliance with the provisions of Article 202, items II and III of the Brazilian Corporation Law.

The Board of Directors approved a new Dividend Policy of an amount of approximately 50% of the Company’s Net Profit, provided that:

1. the dividend policy will not compromise the policy for growth of the company whether it be, through acquisition of other companies, or by reason of development of new business; and

2. the Board of Directors considers that the payment of such dividend would be in the interests of the company and in compliance with the laws to which the company is subject.

The chart below shows the dividend distributions approved by the company’s Board of Directors in recent years (in US$ million):