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Unformatted text preview: ectrochemical Plant”
On September 27, 1999, the Company formed Aracruz Eletroquímica Ltda., a wholly-owned
subsidiary, and transferred to the subsidiary certain equipment comprising an "electrochemical
plant", at its net book value of U.S.$ 82.6
million, as payment of capital subscribed.
On December 17, 1999, Aracruz Eletroquímica Ltda. issued debt securities in the international
market ("Fixed rate notes") in the amount of U.S.$ 58 million. In addition, at that date, the
subsidiary was split and cash in the amount of U.S.$ 54.9 million was retained by the twin
subsidiary Aracruz Empreendimentos S/C Ltda., also wholly-owned, incorporated on
December 6, 1999.
17 Aracruz Celulose S.A.
Notes to Consolidated Financial Statements
Expressed in thousands of United States dollars
(unless otherwise stated) Aracruz Eletroquímica Ltda., which retained the electrochemical plant assets and the liability for
the notes, with a net equity of U.S.$ 27.7 million, was then sold for
U.S.$ 6.1 million, on December 17, 1999, to CanadianOxy Chemicals Holding Ltd., a
Canadian group. The loss on sale of...
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This note was uploaded on 02/05/2014 for the course ECON 101 taught by Professor Gottlieb during the Spring '08 term at Rutgers.
- Spring '08