In accordance with the Brazilian Corporation Law and the Company's Bylaws, the Company has to hold an Ordinary General Meeting until the fourth month following the end of each fiscal year to deliberate on the destination of the results of the fiscal year and the distribution of dividends and/or interest on capital. The payment of the mandatory dividend is determined based on the consolidated financial statements audited for the previous fiscal year. The dividends attributed to the shareholders will be paid within the terms of the legislation, only subject to monetary correction and/or interest if so determined by the General Meeting.

In compliance with the PDG Realty S.A. Bylaws, the Company distributes, in each fiscal year, mandatory dividends of, at least, 25% of the adjusted net profit, estimated in accordance with the provisions in article 202 of Law 6.404/76. The Board of Directors may draw up balance sheets at any time in order to promote the distribution of interest on own capital.

Dividends Policy

Dividends will be distributed to the owner or beneficial owner of our shares registered on the date they are declared within 60 days of the date on which the dividend was declared, unless a resolution of our shareholders establishes another distribution date, which in any event must occur before the end of the fiscal year in which the dividend was declared. Unclaimed dividends do not earn interest, are not monetarily adjusted, and accrue to the Company if not claimed within three years after the date on which they are made available to the shareholder.

The Company's Board of Directors may declare interim dividends to be debited from the retained earnings account or profit reserves determined in financial statements related to any period. Dividends paid in each period may not exceed the amount of capital reserves. Distributions of interim dividends may be charged against the mandatory dividends relating to the net income at the end of the fiscal year in which the interim dividends were distributed.

Dividend History