I get to know that the Federal Senate has approved, and I, Garibaldi Alves Filho, President, in the terms of the art. 48, inciso XXVIII, of the Internal Rules, promulgated the following

R E S O L U Ç Ã ° 46, DE 2007

Authorizes the Federal District to hire external credit operation, with guarantee from the Federative Republic of Brazil, worth up to US$ 176,775,000.00 (one hundred and seventy six million, seventy and seventy and five thousand U.S. dollars), from principal, to the Inter-American Development Bank (BID), intended for partial financing of the?Urban Transport Program of the Federal District-Integrated Brasilia?.

The Senate Federal resolves:

Art. 1º It is the Federal District authorized to hire operation of external credit, with guarantee of the Federative Republic of Brazil, worth up to US$ 176,775,000.00 (one hundred and seventy six million, seven hundred and seventy and five thousand U.S. dollars), together with the Inter-American Development Bank (BID).

Single paragraph. Will the resources arising from the operation referred to in the caput be earmarked for partial financing of the?Urban Transport Program of the Federal District-Integrated Brasilia?.

Art. 2º Is the Union authorised to grant guarantee to the credit operation referred to in art. 1º, having as a countermeasure offered by the Government of the Federal District quotes of constitutional apportionment provided for in the arts. 157, 158 and 159, complemented by the tax revenues established in the arts. 155 and 156, in the terms of art. 167, § 4º, of the Federal Constitution.

Art. 3º The credit operation referred to in art. 1º of this Resolution contains the following basic characteristics and conditions:

I-debtor: Government of the Federal District;

II-creditor: Inter-American Development Bank (BID);

III-guarantor: Federative Republic of Brazil;

IV-value of the loan: US$ 176,775,000.00 (one hundred and seventy six million, seven hundred and seventy five thousand dollars Americans), of principal;

V-modality: Single Currency;

VI-deadline of disbursement: up to 60 (sixty) months from the duration of the contract;

VII-amortization: semestral and consecutive plots, of values as much as possible equals, paid on day 10 of the months of April and October each year, winning the first 6 (six) months from the date initially scheduled for the final disbursement and the last no later than 25 (twenty five) years after the signing of the contract;

VIII-interest: required semestically on the same dates of repayment of amortization and calculated on the debtor balance journal of the loan, at an annual rate for each quarter comprised of:

a) rate of interest Libor quarterly to U.S. dollar;

b) more (or less) a margin of cost related to the loans that finance the Libor modality loans;

c) plus the value net of any cost / profit generated by operations to mitigate the Libor fluctuations; and

d) plus the margin for loans from the ordinary capital;

IX-credit commission: up to 0.75% a.a. (seventy-five hundred percent a year), calculated on the undisbursed balance of the loan, required together with the interest, going into effect 60 (sixty) days after the signing of the contract;

X-expenditure with inspection and general supervision: up to 1% (one percent) of the value of the funding.

Paragraph single. The dates of disbursements, payment of the principal and the financial burden, may be changed depending on the date of signing of the contract.

Art. 4º The realization of the contracting of the credit operation referred to in this Resolution becomes conditional on the prior formalization of the contragarantia contract between the Federal District and the Union, linking the revenue referred to in art. 2º of this Resolution, as well as the regularization of outstanding debits to the Union and to the provision of appeals of appeals received from the Union by the Government of the Federal District.

Art. 5º The authorization granted by this Resolution is to be exercised within the time of 540 (five hundred and forty) days, counted from the date of its publication.

Art.6º This Resolution takes effect on the date of its publication.

Federal Senate, on December 20, 2007.

Senator Garibaldi Alves Filho

President of the Federal Senate