According to the Brazilian Securities and Exchange Commission
(the "CVM") Regulation No. 358, dated as of 2002,
as amended ("CVM Regulation 358/02"), ownership by
an investor of 5% or more of outstanding shares or securities
entitling rights to such shares, issued by a publicly-held company
in Brazil, triggers the investor's disclosure obligation, which
must report such ownership to the Company that for its part will
notify the CVM.
Increases or decreases in ownership of 5% or more, or trading
resulting in 5% of the outstanding shares or securities entitling
rights to such shares, including BDRs, also subject investors to
further reporting requirements.
For the purposes of the Disclosure Threshold, the investor will
be required to also add to its holdings any other shares and/or
rights arising therefrom held by related parties, which means:
(i) other investors acting alongside the investor,
or representing the same interest the investor represents; and
(ii) indirec
