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24 Allocation of profits | 12 Months Ended
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Dec. 31, 2020
Allocation Of Profits |
Allocation of profits |
Note | 24 | Allocation of profits
The restrictions on the distribution of dividends by the Company are those provided for by the Business Organizations Law and the negative covenants established by the Corporate Notes program. As of December 31, 2020, the Company complies with the indebtedness ratio established in such program. If the Company’s Debt Ratio were higher than 3, the negative covenants included in the Corporate Notes program, which establish, among other issues, the Company’s impossibility to make certain payments, such as dividends, would apply. Additionally, in accordance with Title IV, Chapter III, section 3.11.c of the CNV, the amounts subject to distribution will be restricted to the amount equivalent to the acquisition cost of the Company’s own shares.

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