Amendment #4 Page 787 of 868 lehlr of contrno Legal restive In scan:lame with Honduran legslaton, all corporations must records legal reserve equal to 5% of the net income of the year, Lea a reaches 20%d the comma, stare es ptal in 2013 the company ncreased the legal reserve to 5%d Be cannon share captai The reserve amount of USS431.181 established in 2014 (2013 uSS248.692) was based on 5% of the net income earned in Lempiras ma Hondunan official currency Equity transactions Curing the year ended December 31, 2013 the Company issued share caplet with a stated arnourt of US$9,488,608 in exchange for US$8 269 966 The difference of USS1,218 642 was recorded as a reducoon of contn Puled capital During Me years ended DecemWr 31. 2014 and 2013. capital control,' ons were made by Company shareholders o the amount of uS$6,392 546 and US$11.242.824, respective// Furthermore, dunng the years ended December 31 2014 and 2013. captai vnthdrawals were laken by Company shareholders in the amount or VS53 926.637 and t1S$27.926.846. respectively Dividends Dvidends fa a total d US$7.869,567 were declared by the Compony-s shareholders in 2014, equivalent US$1 08 per share (2013 USS5 881.217. equivalent to US$0 81 per share) Dostnbutons to Company s✓ areholders. including cividerds or any reduction of caplet. are considered 'restricted paymerts as per the loan ageernents with Ex-Im and CABEI. Therefore, the Company must comply with certain requrements before such Ostributons can be made Hedging resolve (uixt equity components) Ths reserve includes the porton of gains or losses et the hedge instruments thy the Company has determined to be effective Cash now hedges 16. Cost of operations 2014 2013 Repair and maintenance of &rumen $ 2,299,687 $ 1,245878 Profession* services 1,020,897 1,267.327 inararce 948,817 730.939 Donations 809,113 473.623 Employee salaries and benefits 476,278 520 229 Leasing or land and equipment (hOte 19 5) 337,887 326.1% Tr