Portugal Telecom has undertaken to subscribe to a portion of Oi's Capital Increase to be paid in with assets, in order to contribute to Oi, with respect to the priority offer, shares in the companies that hold the entirety of (i) Portugal Telecom's operational assets, except direct and indirect interests held in Oi, Contax Participacoes S.A. and Bratel, BV and (ii) Portugal Telecom's liabilities as of the date of contribution considered in the valuation report (the "PT Assets").
Portugal Telecom's undertaking to subscribe to a portion of Oi's Capital Increase is subject to conditions precedent, including approval by Portugal Telecom's general shareholders' meeting and subscription in cash for no less than R$7,000,000,000 (seven billion reais) in Oi's Capital Increase.
Chunghwa Telecom's management believes investors will benefit from greater transparency in referring to these non-GAAP financial measures when assessing the Company's operating results, as well as when forecasting and analyzing future periods.
The bonus compensation plan will be administered by a committee appointed by Telecom's Board of Directors.
Chunghwa Telecom's earnings distribution and stockholders' equity matters are in accordance with Taiwan-IFRSs.