Eletropaulo and Eletrobrás are closer to deal

Eletropaulo and Eletrobrás are on track to drop the hammer and sign an agreement which will put an end to the billion-dollar legal battle which has been dragging on for decades, for a loan made for distribution by paulista in 1986, when it was still State-owned. The companies already had hit the value of approximately R $1.6 billion to be paid by the Distributor to terminate the imbroglio, but still seek an understanding for the method of payment, which should include an initial portion in sight between R $300 million, which would be defended by the Distributor, and R $700 million, desired by Eletrobrás. The remaining amount will be paid in annual installments within a period less than the 10 years originally marked box. The payment method is sensitive to both parties. In Eletrobras, the entrance to the largest possible volume of resources in the short term is important in the process of debt reduction that the State develops since last year. Already the FCC wants the commitments are compatible with your cash flow and don't want to tow the agreement any issuance of shares plan, even though the Distributor has already admitted that studies this alternative to finance your business plan. This operation should be announced after the completion of the agreement. Sought, the companies have declined to comment. (With Luciana Collet)