|

Net income increased 40.2% in 2000 to R$577.1 million from
R$ 411.6 million in 1999, which in turn represented an increase
of 233.1% from R$123.6 million in 1998. The net increase in
2000 was due mainly to strong revenue growth, reduced line
costs (as a percentage of revenue), the gain on the sale of
a minority interest in our satellite subsidiary and the income
tax benefits from recording interest on capital in lieu of
dividends.
|