EFTA01367044.pdf

Amendment #4 Page 615 of 868 O)!.P!..c.P1 cm, coning and corporate overhead functions for the Group. These functions include, tut are not Whiled to, executive overacts legal, finance, human resoutces sternal audit, fnanpal reporting, tax plamirg, and nvestor relations The costae' such services have been allocated to the Group based on the most relevant Vocation method for the service provided, primanly based on relative percentage of revenue, installed capacity or headcount. Management believes each atocatiors are reasonable, however. they rrey not be indicative of the actual sixpence trot woad have been marred had the Group been operating as a separate entity apart from Rerova. Total corporate expenses Wet were allocated to the Group arc recorded in general and administmleve expenses in the confined income statements were RS11.608 and RS11.437 for 2014 and 2013. resFectwOf lniercor»palyters and terances—Penodcartv the Group and Penova ether rho intercompany bans based on the Groupe workng captal needs and available cash positions These irtercarpany loans generally bear interest at TJLP plus a credit spread Outstanctng intacormeny loans payable and receivable. including accrued interest are reflected as part of Parent's nei "west:lent At December 31, 2014, the outstanding balances ct tans payable by the Group to Rerova were RSI 683. During the year ended 2014, RS40,402 of outstanding bans made icy Rerova to the Group in 2013 were capitalized by the Group companies. Onndends—The Group convenes are all incorporated as Brazilian corporations (sociedades arderrnes—S A ) in accordance with auto., corporate law Based on Ire law and thee articles of incorporate.), the Geo,* companies are regured to pay mandatory dividends based on net income, if any, after allocations to legal reserves on profits and compensation of accumulated losses, t any AddrlOnai delebutiOnS nay be mode. but are restated under the ten of the protect cameo/ borrowing agreerrerts Any such addibonal &vide/xis must be approved by the apvcable financial eateuhon During the years ended Decanter 31, 2014 and 2013 the Group pa4 amoends to Rerova in the amounts of RS52050 and RS12000, respects/0y Guarantees—Rerova has issued noncawertible debentures which are collateralized by the pledge of its shares in Enertcras and a collateral assignment of assets and certain nights to dinderrls Catnbuted by Espra. Bahia and Salvador which are deposited in a restricted accosts Transactions with otter related panes included tie following Director's end issy mu•oadement remunetramn expense—Remuneration expense of directors and otter key rrenagement personnel d Rerova of RS1.769 and RS 783, were allocated to the Group in 2014 and 2013, respectwety 16. Net revenue 2014 20t3 ayergenrton Electric power supay—Eietrotras 23.442 42,094 Electric power supply —CCEE 2013,363 193,434 Gross revenue 229,795 215,528 Less Federal sales taxes COFINS (6.836) (6,994) PIS 11,493) (1,515) Taal deductions (8.321) (8,509) Net revenue 221.794 227.019 F-295 http://cfdocs.btogo.com:27638/cf/drv7/pub/edgar/2015/07/20/0001193125-15-256461/d78... 7/20/2015 CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0058572 CONFIDENTIAL SDNY_GM_00204756 EFTA01367044