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TAXES ON INCOME (Details 1) (BRL)
In Millions
12 Months Ended
Dec. 31, 2010
Dec. 31, 2009
Dec. 31, 2008
Income before taxes 16,828 23,461 3,544
Equity in earnings of unconsolidated companies, net (308) 9 (474)
Calculation basis 16,520 23,470 3,070
Tax expense at statutory rates (6,608) (9,388) (1,228)
Nontaxable (deductible) exchange gains (losses) on foreign subsidiaries (180) (1,356) 775
Nondeductible expenses (120) (86) (112)
Nontaxable dividends on companies recorded at cost 122 101 67
Net tax benefit on interest on shareholders’ equity 1,496 1,474 660
Nondeductible stock-based compensation (non deductible) / taxable (79) (247) 72
Nontaxable interest on foreign government debt securities 148 295 381
Constitution of valuation allowance 0 0 131
Effect of increase in social contribution rate – deferred tax 0 0 336
Other differences 284 358 252
Income tax income (expense) (4,937) (8,849) 1,334