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Net non-operating income was R$111.2 million in 2000 compared
to a non-operating expense of R$37.7 million in 1999. The
non-operating income in 2000 was mainly attributable to the
sale of minority interests in our satellite business, which
resulted in a gain of R$132.2 million. We also received equity
income from international consortia in the amount of R$10.4
million compared to R$19.7 million in 1999. This income was
offset by expenses from losses on disposals of assets of R$44.8
million (net of proceeds from disposal) and other non-operating
expenses of R$23.8 million.
For 1999, we had non-operating losses on disposals of fixed
assets of R$50.5 million (net of disposal proceeds) offset
by gains on our investments in international partnerships
resulting in the total net non-operating expense of R$37.7
million. Net non-operating expense in 1998 was offset in part
by R$27.5 million in equity in earnings of two international
partnerships. R$78.6 million was attributable to miscellaneous
other write-offs and losses on disposals (net of the related
disposal proceeds) and R$20.5 million in sponsorships of cultural
events such as Lei Rouanet, which was enacted to foster cultural
events in Brazil and allow companies to net income tax payable
against such disbursements with sponsorships under certain
limits.
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