Brazil's Oi avoids fines with deal to invest in infrastructure
SAO PAULO May 20 (Reuters) - Brazilian telecommunications company Oi SA has reached a deal with regulator Anatel to invest 3.2 billion reais ($900 million) in improving infrastructure principally in underserved areas over four years in exchange for fines being forgiven.
The accord, which is still subject to review by a federal audit court, is aimed at improving service in parts of the country lacking proper communications infrastructure, Anatel said. Oi confirmed in a Friday securities filing that it had signed the first such deal with the regulator.
Oi Chief Executive Officer Bayard Gontijo said last week it was negotiating multiple deals to settle 5 billion in unpaid fees with the regulator. ($1 = 3.55 Brazilian reais) (Reporting by Brad Haynes and Alberto Alerigi Jr.; Editing by Jeffrey Benkoe)
© Thomson Reuters 2016 All rights reserved.