CVRD pays additional interest on 5.5% mandatory convertibles

By Susanna Moon

Chicago, Nov. 3 - Companhia Vale do Rio Doce said it will pay additional interest of $0.549349 per series RIO note and $0.652004 per series RIO P note for 5.5% mandatory convertible notes due June 15, 2010 issued by its subsidiary Vale Capital Ltd.

The company said on Oct. 17 that the additional interest paid per series RIO note and per series RIO P note would be in dollars equivalent to R$1.187165 and R$1.409004, respectively, converted at the actual Brazilian real/dollar exchange rate on Oct. 31.

As previously noted, the additional interest will be paid to noteholders on record as of Oct. 23. The trustee, the Bank of New York, will pay the noteholders on Nov. 7.

The company previously paid additional interest for the series RIO notes and series RIO P notes in a dollar amount equivalent to R$0.819988 and R$0.973215 per note, respectively, converted at the actual Brazilian real/dollar exchange rate on May 7.

The company said that the approval by its board of a dividend distribution to shareholders triggered the payment of additional interest to noteholders.

CVRD is a Rio de Janeiro-based diversified metals and minerals mining company.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.