Joint Decision CVM/SPC No. 01 of December 19, 1996

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JOINT DECISION CVM/SPC NO. 01, OF DECEMBER 19, 1996.
SECURITIES AND EXCHANGE COMMISSION
Regulates the acquisition and disposal, by closed private pension entities, of shares issued by companies registered for trading on stock exchanges or organized over-the-counter markets, through private negotiations. SUPPLEMENTARY PENSION SECRETARIAT The Board of the Securities and Exchange Commission and the Supplementary Pension Secretariat of the Ministry of Social Security and Assistance, based on Article 2, item XI, of Resolution No. 2,324, of October 30, 1996, of the National Monetary Council, D E C I D E:
Article 1 - To permit the application of resources of closed private pension entities in shares issued by companies registered for trading on stock exchanges or organized over-the-counter markets, in accordance with the regulation established by the Securities and Exchange Commission, through private negotiations.
Article 2 - The use of the facility provided for in Article 1 is conditioned on compliance with the following requirements:
I - the shares acquired by the closed private pension entity must represent, in each transaction, 10% (ten percent), at minimum, of the voting capital of the company; and II - the shares thus acquired must be computed for the purpose of the limits established in Article 2, item III, of Resolution No. 2,324, of October 30, 1996, and are also subject to the diversification requirements established in Article 4, items IV and V, of that Resolution.
Article 3 - The conditions referred to in Article 2, item I, must also be observed by closed private pension entities in cases of disposal of shares through private negotiations.
Article 4 - The transactions carried out by closed private pension entities under the terms of this Joint Decision must be communicated to the Securities and Exchange Commission and to the Supplementary Pension Secretariat of the Ministry of Social Security and Assistance, in the manner to be determined by them, within 24 (twenty-four) hours of the respective occurrence, together with the following information:
I - objective of the transaction, quantity traded, and value involved; II - number of voting shares and subscription rights for voting shares held by the entity prior to the transaction; III - number of debentures convertible into voting shares held by the entity, as well as the corresponding number of voting shares arising from the possible conversion of these debentures; and IV - existence of any contract or agreement for the exercise of voting rights or that ensures to the entity the right to buy and sell voting shares or debentures convertible into voting shares. Sole Paragraph - Any changes in the information referred to in this article must also be communicated to the Securities and Exchange Commission and to the Supplementary Pension Secretariat of the Ministry of Social Security and Assistance, within 24 (twenty-four) hours of its occurrence.
Article 5 - Non-compliance with the provisions of this Joint Decision constitutes an infraction of an objective nature for the purposes contained in Article 11 of Law No. 6,385, of December 7, 1976.

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Article 6 - This Joint Decision enters into force on the date of its publication.
Brasília, December 19, 1996.
Original signed by
FRANCISCO AUGUSTO DA COSTA E SILVA
President of
SECURITIES AND EXCHANGE COMMISSION
Original signed by
CARLA GRASSO
Acting Secretary of
SUPPLEMENTARY PENSION SECRETARIAT