Corinthians seal agreement with Procuradoria-Geral da Fazenda Nacional over R$ 1.2 billion debt | OneFootball

Corinthians have reached an agreement with the Procuradoria-Geral da Fazenda Nacional to restructure R$ 1.2 billion in non-social security, social security and FGTS debts. The deal includes a 46.6% cut to interest, fines and charges, leaving R$ 679 million to be repaid.

Repayments are scheduled over 120 instalments for non-social security liabilities and 60 for social security and FGTS. ESPN reports that the agreement is expected to have a positive impact on the club’s overall indebtedness.

"The tax settlement is based on consensus between the parties, with mutual concessions and commitments," said Théo Dias, a special adviser to the PGFN, to SBT News. "In Corinthians’ case, the Treasury granted a significant discount and a 120 month term for payment."

"The club waived legal disputes over the debt and presented guarantees, which would only be enforced in the event of default, something that is not expected."

"It is the pacification of the conflict between the Union and the club, made possible by reciprocal concessions in the deal signed last week."

Source: Meu Timao