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Banco do Brasil to Review 2015 Dividend on Basel Requirements 

May 12, 2014
Francisco Marcelino, Bloomberg

Banco do Brasil SA, Latin America’s biggest bank by assets, will review its dividend as it discusses a budget for next year and complies with new capital requirements. Shares (BBAS3) of the company fell as much as 2.4 percent.

“It’s reasonable that the bank reviews this metric and others that affect performance and capital indicators that must be accomplished under the final Basel III rules,” Ivan Monteiro, the Brasilia-based bank’s chief financial officer, told analysts on a conference call today.

Monteiro was responding to a question about whether the current 40 percent payout is too high given the bank’s estimates for lending growth. Banco do Brasil will maintain its current dividend policy for 2014, Monteiro said. In Brazil, listed companies must pay at least 25 percent of profit in dividends.

Read more: Bloomberg

 
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