Institutional
PTEN
X

Bearer Bonds

Bearer Bonds and Bearer Bonds’ Certificates (“Obrigações ao Portador e Cautelas”)

1 – Bearer Bonds
1.1 – Bearer Bonds represented securities issued by ELETROBRAS, in order to give acquittance to the compulsory loan paid through the energy consumption bills from 1964 to 1966. These securities were issued from 1964 to 1966, with a nominal fixed value, 10 years maturity and with 10 yearly coupon of 12% relating to the interest. According to the issued rules, ELETROBRAS could anticipate the redemption of these securities through allotment.

The securities were delivered after presentation of energy bills, duly paid.

​​Securities Series​​ ​Number of Coupons ​​Issuance Date Maturity ​Period of decay
​​Bonds ​A, B, C 10 ​1965 (*) ​October,1970 ​October, 1975
​​Bonds ​D, E, F, G ​10 ​1966 ​(*) November, 1973 ​November, 1978
​Bonds ​H, I, J, L ​10 ​1967 ​(*) ​October, 1975 ​October, 1980

(*) Remaining Bearer Bonds from above mentioned issues, not included in the allotment from previous years, were subject to early redemption, as published by the newspapers and Official Gazette – DOU.

1.2 – In a second tranche, the Bearer Bonds from Eletrobras were issued with the objective of giving acquittance to the compulsory loan paid through the energy consumption bills from 1967 to 1973, issued with a fixed face value, during the period of 1968 to 1974 and 20 years maturity. With the presentation of bearer securities, and 20 corresponding interest coupons located on the right side of the securities, the holder of Obrigações annually received interest of 6% p.a. over the corrected amount of the printed security. According to the issued rules, ELETROBRAS could anticipate the redemption of these securities through allotment.

​​Securities ​Series ​Number of Coupons ​Issuance Date ​Maturity ​Period of decay
​Bonds ​ M, N, O ​20 ​1968 ​1988 ​December, 1993
Bonds P, Q, R 20 ​1969 1989 ​December, 1994
​Bonds S, T, U 20 1970 ​1990 November, 1995
Bonds V, X, Z 20 1971 1991 ​December, 1996
​Bonds AA, BB, CC ​20 1972 1992 November, 1997
Bonds DD, EE, FF, GG 20 ​1973 ​1993 November, 1998
​Bonds HH, II, JJ, LL ​20 1974 ​1994 ​December, 1999

 

2 – Bearer Bonds’ Certificates
Bearer Bonds Certificates from Eletrobras were issued with the objective of giving acquittance to the compulsory loan paid through the energy consumption bills from 1974 to 1976, issued with a fixed face value, during the period of 1975 to 1977 and 20 years maturity. With the presentation of bearer securities, through the presentation of a stamp on the back of the printed security, the holder of bonds annually received interest of 6% p.a. over the corrected amount of the security. According to the issued rules, ELETROBRAS could anticipate the redemption of these securities through allotment.

​​Securities Issuance Date ​​Maturity ​Period of decay
​Certificates 1975 ​1995 ​December/2000
​Certificates 1976 1996 ​December/2001
​Certificates ​1977 ​1997 December/2002

According to the terms of paragraph 11, Article 4 of Law 4,156/62, dated 11/28/1962, with the alterations introduced by Article 5 of Decree-law 644, dated 06/23/1969 (both effective), determined a maximum period of 5 years for the consumers to present the original energy bills to Eletrobras, in order to exchange them for the mentioned securities. The same period applied to the redemption, dating from the date of the allotment or the maturity of the securities. After such period, the holder of bonds or bonds’ certificates had no rights, since these securities have decayed, and therefore, they have no possibility of trading with these securities.