RIO DE JANEIRO, Brazil, Oct. 18 /CNW/ -- Companhia Vale do Rio Doce
(CVRD) announces that the Board of Directors has approved the payment of the
second tranche of its minimum dividend for 2007, amounting to US$ 825 million,
equal to US$ 0.170722943 per common or preferred share in circulation.
The Board has also approved an additional dividend of US$ 225 million,
equal to US$ 0.046560802 per common or preferred share in circulation.
Taking into account the first tranche of minimum dividend paid as from
April 30 this year, CVRD will pay out to its shareholders a total of US$ 1.875
billion in 2007, equal to US$ 0.558729640 per common or preferred share in
circulation. Therefore, dividend distribution in 2007 increased by 44.2%
relative to 2006.
The dividend distribution is consistent with our cash flow and complies
with the Brazilian corporate law and with CVRD's dividend policy.
The dividend payment will be made as follows:
1. Dates of payment - As of October 31 in Brazil. As of November 7 for
ADR holders, who will be paid through JP Morgan Chase Bank, N.A.,
depositary bank for CVRD ADRs.
2. Conversion to Brazilian reais (R$) - The amounts in BRL were reached
using the exchange rate for the sale of US dollars as informed by the
Central Bank of Brazil on October 17, 2007 (Ptax - option 5) -
R$ 1.8138 per US dollar - as per the procedures published on
January 23, 2007.
3. R$ value of minimum dividend - Distribution of R$ 1,496,385,000.00,
equivalent to R$ 0.309657273 per common or preferred share in
circulation, is to be paid in the form of interest on capital (JCP).
4. R$ value of additional dividend - Distribution of R$ 408,105,000.00.
Of this amount, R$ 348,965,000.00, corresponding to R$ 0.072213735
per common or preferred share, will be paid in the form of JCP, and
R$ 59,140,000.00 in the form of dividends, equivalent to
R$ 0.012238248 per common or preferred share.
5. Total amount - Each shareholder will receive a total of
R$ 0.394109256 per common or preferred share - corresponding to
US$ 0.217283745 - of which R$ 0.381871008 (US$ 0.210536447) as JCP
and R$ 0.012238248 (US$ 0.006747298) as dividends.
6. Taxation - A withholding income tax will be levied on the amount
distributed as JCP, in accordance with prevailing tax code in Brazil.
7. Record dates - All investors who hold CVRD shares at the record dates
will have the right to the dividend payment. The record date for the
owners of shares traded on the BOVESPA is October 18, 2007. The
record date for holders of ADRs traded on the New York Stock Exchange
(NYSE) is October 23, 2007.
8. Ex-dividend trading - CVRD shares will be traded ex-dividend on both
stock exchanges, BOVESPA and NYSE, from October 19, 2007.
For further information:
For further information: Roberto Castello Branco,
email@example.com, or Alessandra Gadelha,
firstname.lastname@example.org, or Patricia Calazans,
email@example.com, or Marcelo Silva Braga,
firstname.lastname@example.org, or Theo Penedo, email@example.com, or
Virginia Monteiro, firstname.lastname@example.org, or Marcus Thieme,
email@example.com, all of CVRD, +011-55-21-3814-4540 Web Site: