We intend to declare and pay dividends and / or interest on shareholders’ equity, in each fiscal year, in the amount of at least 50% of our adjusted net income in accordance with the Brazilian Corporation Law and our bylaws
The annual declaration of dividends, including the payment of dividends in addition to the mandatory dividend, requires approval at the Annual General Meeting by a majority of votes of shareholders holding our common shares and will depend on several factors. Among these factors are our operating results, financial condition, cash requirements, future prospects and other factors that our Board of Directors and shareholders deem relevant. Within the context of our tax planning, in the future it may be beneficial to pay interest on capital.
Under Novo Mercado rules, our capital stock must be represented exclusively by common shares and, therefore, we are not authorized to issue preferred shares.