Common use of Issuance of Stock Purchase Rights Clause in Contracts

Issuance of Stock Purchase Rights. In case CVRD shall issue rights or warrants to all holders of its preferred class A shares (other than rights or warrants issued pursuant to a dividend reinvestment plan or share purchase plan or other similar plans), entitling such holders, for a period of up to 45 days from the date of issuance of such rights or warrants, to subscribe for or purchase CVRD preferred class A shares at a price per share less than the Current Market Price of such preferred class A shares on the date fixed for the determination of shareholders entitled to receive such rights or warrants, each Fixed Conversion Rate in effect at the opening of business on the day following the date fixed for such determination shall be increased by multiplying such Fixed Conversion Rate by a fraction, the numerator of which shall be the number of CVRD preferred class A shares outstanding at the close of business on the date fixed for such determination plus the number of CVRD preferred class A shares so offered for subscription or purchase and the denominator of which shall be the number of CVRD preferred class A shares outstanding at the close of business on the date fixed for such determination plus the number of CVRD preferred class A shares which the aggregate offering price of the total number of CVRD preferred class A shares so offered for subscription or purchase would purchase at such Current Market Price, such increase to become effective immediately after the opening of business on the day following the date fixed for such determination. For the purposes of this clause (iii), the number of CVRD preferred class A shares at any time outstanding shall not include shares held in the treasury of CVRD but shall include any shares issuable in respect of any scrip certificates issued in lieu of fractions of preferred class A shares. CVRD shall not issue any such rights or warrants in respect of preferred class A shares held in treasury.

Issuance of Stock Purchase Rights. In case CVRD Vale shall issue rights or warrants to all holders of its preferred class A shares (other than rights or warrants issued pursuant to a dividend reinvestment plan or share purchase plan or other similar plans), entitling such holders, for a period of up to 45 days from the date of issuance of such rights or warrants, to subscribe for or purchase CVRD Vale preferred class A shares at a price per share less than the Current Market Price of such preferred class A shares on the date fixed for the determination of shareholders entitled to receive such rights or warrants, each Fixed Conversion Rate in effect at the opening of business on the day following the date fixed for such determination shall be increased by multiplying such Fixed Conversion Rate by a fraction, the numerator of which shall be the number of CVRD Vale preferred class A shares outstanding at the close of business on the date fixed for such determination plus the number of CVRD Vale preferred class A shares so offered for subscription or purchase and the denominator of which shall be the number of CVRD Vale preferred class A shares outstanding at the close of business on the date fixed for such determination plus the number of CVRD Vale preferred class A shares which the aggregate offering price of the total number of CVRD Vale preferred class A shares so offered for subscription or purchase would purchase at such Current Market Price, such increase to become effective immediately after the opening of business on the day following the date fixed for such determination. For the purposes of this clause (iii), the number of CVRD Vale preferred class A shares at any time outstanding shall not include shares held in the treasury of CVRD Vale but shall include any shares issuable in respect of any scrip certificates issued in lieu of fractions of preferred class A shares. CVRD Vale shall not issue any such rights or warrants in respect of preferred class A shares held in treasury.