Vale opens talks on compensation for dam disaster

|About: Vale S.A. (VALE)|By:, SA News Editor

Vale (VALE +3.2%) says it has opened negotiations with prosecutors and families of victims of January deadly dam disaster in Minas Gerais state with an aim of defining compensation.

Vale says it signed a term of commitment with Minas Gerais state prosecutors’ office, which will be in charge of receiving expressions of interest from families seeking compensation for losses related to the disaster.

Also, a group of minority shareholders reportedly have proposed an alternative board member to challenge the independent members within the group of 13 candidates presented by the company’s board, newspaper Valor Economico reported.

The pressure from minority shareholders would reflect skepticism toward Vale’s board and management after the mining dam burst earlier this year, in the second such disaster in recent years.

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