The following Statement of Added Value (in millions of Brazilian reals) was presented in the 2009 annual report of Vale S.A., a Brazilian mineral products company.

Required:
a. Identify the external parties who might be interested in the information provided in Vale's Statement of Added Value.
b. In what ways does the calculation of "Total added value to be distributed" appear to differ from a calculation of net income?
c. Prepare a brief report summarizing the story being told in Vale's Statement of Added Value.

Transcribed Image Text:

Period ended In millions of Reai Consolidated 2009 2008 eneration of added value ross revenue Revenue from products and services 49,81272,76 Revenue from the construction of own assets 13,91917,7 (23 (1,219 (2,805 6,242) (8,244 (20,653) (23,958 (2,7773,761 (1,776 (2,052 owance for doubtful accounts Less: Acquisition of products sourc ed services aterials Fuel oil and gas nergy mpairment (2,447 (6,920) (6,829 24,121 40, (5,447 (5,112 18,674 35,23 r costs Gross added value preciation, amortization and depletion Net added value Received from third parties inancial revenue 1,221 Equity results 19,6 5, 5,81 (571) 1,955 Total added value to be distributed 35,12 Personnel Taxes, rates and contribution 5,26 axes paid recover Remuneration on third party's capita Inflation and exchange rate variation, net Remuneration on stockholders' equity Stockholders Reinvested Minority interest Distribution of added value 3,43 4.15 (4,519 3,37 6.87 5,64 15,63 43 35,12 19,6