SECTION 663

Partially redeemed shares whose conversion into capital shares has been resolved shall be entitled, for each fiscal year and until such conversion is carried out, to the first dividend or to the interest in lieu thereof calculated on the basis of the amount of the unredeemed paid up shares. Furthermore, totally or partially redeemed shares whose conversion has been resolved to be by deductions from the company’s profits shall, for each fiscal year and until the conversion is finally carried out, be entitled to the first dividend calculated on the basis of the amount, at the close of the preceding fiscal year, of the corresponding reserve account. SUB-TITLE 5 VARIATION OF SHAREHOLDERS’ EQUITY