BUENOS AIRES, Argentina,
May 10, 2016 /PRNewswire/ -- Nortel
Inversora S.A. ("Nortel") (NYSE: NTL)announces consolidated income
of AR$ 934 million for the first quarter of fiscal year 2016, of
which AR$ 514 million correspond to Nortel as parent company of
Telecom Argentina S.A. ("Telecom").
The sole material activity of Nortel is holding 54.74% of the
capital stock of Telecom, representing a holding of 55.60% of the
voting and economic rights of Telecom as a result of Telecom's
holding of 15,221,373 shares of treasury stock. The holding of such
shares of treasury stock has been extended for up to three
additional years pursuant to the resolution of the Ordinary and
Extraordinary Stockholders Meeting of Telecom held on April 29, 2016.
Relevant facts
Telecom Italia - Fintech Telecom LLC Transaction
On March 7, 2016, the Ente
Nacional de Comunicaciones (National Agency of Communications
or "ENACOM") authorized the acquisition by Fintech Telecom LLC
("Fintech") of 51% of the common stock of Sofora Telecomunicaciones
S.A. ("Sofora") pursuant to Resolution No 277/2016. As a result,
the transfer of 51% of Sofora from the Telecom Italia Group to
Fintech was closed on March 8,
2016.
Summary of the Resolutions approved by the Ordinary and
Extraordinary General Stockholders Meeting held on April 29, 2016
The Ordinary and Extraordinary General Stockholders Meeting held
on April 29, 2016 resolved, among
other issues:
- to approve the Annual Report and Financial Statements as of
December 31, 2015;
- to allocate the non-appropriated profit amount as of
December 31, 2015, of AR$ 1,891
million, to the already existing Voluntary Reserve for the Future
Distribution of Dividends, authorizing the Board of Directors to
approve the timing and amounts to be deducted from the Voluntary
Reserve for the Future Distribution of Dividends, taking into
account the Company's future economic and financial conditions, and
liquidity, and the subsequent distribution of such amounts as cash
dividends;
- the appointment of the members of the Supervisory Committee for
fiscal year 2016.
Dividends Payment
At its meeting held on April 29,
2016, pursuant to the authorization granted by the
Stockholders Meeting, the Board resolved: to deduct an amount of
Argentine Pesos three hundred eighty
million (AR$ 380,000,000) from the "Voluntary Reserve for
the Future Distribution of Dividends" and to distribute such amount
as cash dividends. Dividends shall be made available to Nortel
shareholders as from May 17,
2016.
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(Financial Tables
below)
|
|
|
First Quarter,
Fiscal Year 2016
(in millions of
Argentine Pesos)
|
|
|
Consolidated
Income Statement
|
March
2016
|
March
2015
|
|
|
|
|
Total sales and other
income
|
12,466
|
8,879
|
|
Operating
costs
|
(10,475)
|
( 7,204)
|
|
Operating
income
|
1,991
|
1,675
|
|
Financial results,
net
|
( 550)
|
( 78)
|
|
Net income before
income tax expenses
|
1,441
|
1,597
|
|
Income tax
|
( 507)
|
( 554)
|
|
Net
income
|
934
|
1,043
|
|
Other comprehensive
income, net of taxes
|
189
|
---
|
|
Total
comprehensive income for the period
|
1,123
|
1,043
|
|
|
|
|
|
|
|
|
|
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Consolidated
Balance Sheet
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March
2016
|
December
2015
|
|
|
|
|
Current
assets
|
12,682
|
11,569
|
|
Non-current
assets
|
28,244
|
26,973
|
|
Total
assets
|
40,926
|
38,542
|
|
Current
liabilities
|
18,200
|
16,945
|
|
Non-current
liabilities
|
3,950
|
3,944
|
|
Total
liabilities
|
22,150
|
20,889
|
|
Equity attributable
to Nortel
|
10,186
|
9,605
|
|
Equity attributable
to non-controlling shareholders
|
8,590
|
8,048
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Total
equity
|
18,776
|
17,653
|
|
Total liabilities
and equity
|
40,926
|
38,542
|
|
|
|
|
|
|
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Ratios
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|
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|
|
|
|
|
|
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Liquidity
(a)
|
0.70
|
0.68
|
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Indebtedness
(b)
|
1.18
|
1.18
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|
|
|
|
|
|
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(a) Current assets to
current liabilities
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|
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(b) Total liabilities to
shareholders' equity
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SOURCE Nortel Inversora S.A.