Key Benefits:
I do know that the Federal Senate has approved, and I, José Sarney, President, in the terms of art. 48, inciso XXVIII, of the Internal Rules, promulgated the following
R And S O L U Ç O No. 3, OF 2010
Authorizes the State of Rio de Janeiro to hire external credit operation, with Union guarantee, with the International Bank for Reconstruction and Development (Bird), in the value of up to US$ 485,000,000.00 (four hundred and eighty and five million U.S. dollars).
The Senate Federal resolves:
Art. 1º It is the State of Rio de Janeiro authorized to hire external credit operation, with Union guarantee, with the International Bank for Reconstruction and Development (Bird), worth up to US$ 485,000,000.00 (four hundred and eighty five Millions of U.S. dollars).
Single paragraph. Are the resources of this credit operation intended to fully fund the?Program of Economic, Social and Fiscal Sustainability of the State of Rio de Janeiro (Prodesf)?.
Art. 2º The credit operation referred to in art. 1º should be carried out in the following conditions:
I-debtor: State of Rio de January;
II-creditor: International Bank for Reconstruction and Development (Bird);
III-guarantor: Federative Republic of Brazil;
IV-value: up to US$ 485,000,000.00 (four hundred and eighty and five million U.S. dollars);
V-modality: variable margin (variable spread loan);
VI-deadline of disbursement: until December 31, 2011;
VII-amortization: 47 (forty-seven) semestral plots, successive and whenever possible equal, paid in the days 15 of the months of April and October each year, winning the first on April 15, 2016 and the last one on April 15, 2039; each of the 46 (forty-six) parcels will correspond to 2.13% (two integers and thirteen hundrths per cent) of the total value of the loan and the last one, at 2.02% (two integers and two hunduths per cent);
VIII-interest: required semiannual on the same repayment terms of amortization and calculated on the periodic debtor balance of the loan, at a rate comprised of the interest rate Libor semestral to U.S. dollar, plus a margin (spread) to be determined by Bird;
IX-interest rates: 0.5% a.a. (five tenths per cent per annum) plus interest due and not yet paid, constituting the borrower in arrears, due 30 (thirty) days after the target date for payment of interest;
X-commission in sight: 0.25% (twenty five hundred percent) on the value of the loan, to be debited on the date where the contract enters into effectivity.
§ 1º The payment dates of the principal and the financial burdens as well as the disbursements anticipated, could be changed depending on the date of signing of the loan agreement.
§ 2º It is provided for the change of the modality of variable margin for fixed, which will allow the borrower to exercise the option of conversion of the interest rate applicable to the total or partial amount of the loan, from float to fixed, and vice versa, as well as from the reference currency of the credit operation to the amount already disbursed and for the to be disbursed.
§ 3º For the exercise of the options referred to in § 2º, the collection of the charges incurred by Bird in the realization of the options and of a transaction commission on the affected values.
Art. 3º It is the Union authorized to provide guarantee to the State of Rio de Janeiro in the contracting of the external credit operation referred to in this Resolution.
Single Paraper. The exercise of the authorisation provided in the caput is conditional on the State of Rio de Janeiro to conclude contract with the Union for the granting of countermeasures, in the form of linking the proceeds of which they treat the arts. 155, 157 and 159, all of the Federal Constitution, and other guarantees in law admitted, and the Federal Government may apply for the transfers of resources necessary for coverage of the honoured commitments directly from the centralizing accounts of the fundraising from the state or federal transfers.
Art. 4º The maximum term for the exercise of this authorization is 540 (five hundred and forty) days, counted as of the duration of this Resolution.
Art. 5º This Resolution comes into effect on the date of its publication.
Federal Senate, on March 3, 2010.
Senator José Sarney
President of the Federal Senate