Provided by MZ Data Products
 
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
 
FORM 6-K
 
REPORT OF FOREIGN ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF THE
SECURITIES EXCHANGE ACT OF 1934
 
THROUGH March 28, 2008

(Commission File No. 1-15256)
 
 
BRASIL TELECOM S.A.
(Exact name of Registrant as specified in its Charter)
 
BRAZIL TELECOM COMPANY
(Translation of Registrant's name into English)
 

SIA Sul, Área de Serviços Públicos, Lote D, Bloco B
Brasília, D.F., 71.215-000
Federative Republic of Brazil
(Address of Regristrant's principal executive offices)


Indicate by check mark whether the registrant files or will file
annual reports under cover Form 20-F or Form 40-F.

Form 20-F ___X___ Form 40-F ______

Indicate by check mark if the registrant is submitting the Form 6-K
in paper as permitted by Regulation S-T Rule 101(b)(1)__.

Indicate by check mark if the registrant is submitting the Form 6-K
in paper as permitted by Regulation S-T Rule 101(b)(7)__.

Indicate by check mark whether the registrant by furnishing the
information contained in this Form is also thereby furnishing the
information to the Commission pursuant to Rule 12g3-2(b) under
the Securities Exchange Act of 1934.

Yes ______ No ___X___

If "Yes" is marked, indicated below the file number assigned to the
registrant in connection with Rule 12g3-2(b):


  Investor Relations 
  (55 61) 415-1140 
  ri@brasiltelecom.com.br 
   
  Media Relations 
  (1 212) 983-1702 
  cesarb@brasiltelecom.com.br 

Free Translation

BRASIL TELECOM S.A.
Publicly Traded Company
Corporate Taxpayer Registration: 76.535.764/0001 -43
Board of Trade: 53 3 0000622 9

MATERIAL FACT

CREDIT OF INTEREST ON EQUITY

We hereby inform shareholders of Brasil Telecom S.A. (“Company”) that the Company’s Senior Management resolved, on March 27, 2008, following a delegation from the Board of Directors specified at a meeting held on March 27th, 2008, the appropriation of Interest on Equity in the amount of R$245,000,000.00 (two hundred forty five million reais), which corresponds to a gross amount of R$0.447588512 per share or an amount net of income tax of R$0.380450236 per share, common and preferred, pursuant to Article 9 of Law 9,249 of December 26th, 1995 and to Brazilian Securities and Exchange Commission’s (Comissão de Valores Mobiliários) Deliberation 207/96.

I – Income Tax Withheld: Income tax at a rate of 15% will be withheld from the amount of Interest on Equity, except with respect to those shareholders who demonstrate exemption from tax or eligibility to be taxed at a different rate.

II – Date of the Credit: The credit in the books of Brasil Telecom S.A of Interest on Equity in the total amount of R$245,000,000.00, will be made on March 31th, 2008.

III – Date of Trading “ex-Interest on Equity”: As of April 9th, 2008, the Company’s shares will trade “Ex-Interest on Equity”, with respect to shares held of record on April 8th, 2008.

IV – Information regarding the Payment of Dividends: The interest on equity shall be charged to dividends with respect to fiscal year 2008 and shall be subject to approval at the Ordinary General Shareholders’ Meeting in 2009. The payment date, when resolved, will be advised in a published Notice to Shareholders.

V – Confirmation of Tax Exemption or Different Tax Rate Eligibility: Legal persons who are exempt from income tax or who are eligible to be taxed at a tax rate different than 15%, in compliance with the current law, shall demonstrate such exemption or eligibility to the Custodian Bank – Banco Bradesco S.A., Departamento de Ações e Custódia, Prédio Amarelo, 2º Andar, Cidade de Deus, Vila Yara – CEP 06.029 -900 – Osasco – SP, on or before April 22th, 2008.

VI – Amount Appropriated in Fiscal Year 2008:

DATE OF THE
 CREDIT 		 BRAZILIAN EX- 
DATE 		 TOTAL 
APPROPRIATED (R$)		 GROSS AMOUNT PER 
SHARE (R$)		 AMOUNT NET OF INCOME 
TAX PER SHARE (R$)
03/31/2008  04/09/2008  245,000,000.00  0.447588512  0.380450236 

Brasília, Brazil, March 28th, 2008.

Paulo Narcélio Simões Amaral
Investor Relations Officer

Page 1 of 1

 
SIGNATURE
 
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Date: March 28, 2008

 
BRASIL TELECOM S.A.
By:
/S/ Paulo Narcélio Simões Amaral
 
Name:  Paulo Narcélio Simões Amaral
Title:     Chief Financial Officer
 

 

FORWARD-LOOKING STATEMENTS

This press release may contain forward-looking statements. These statements are statements that are not historical facts, and are based on management's current view and estimates offuture economic circumstances, industry conditions, company performance and financial results. The words "anticipates", "believes", "estimates", "expects", "plans" and similar expressions, as they relate to the company, are intended to identify forward-looking statements. Statements regarding the declaration or payment of dividends, the implementation of principal operating and financing strategies and capital expenditure plans, the direction of future operations and the factors or trends affecting financial condition, liquidity or results of operations are examples of forward-looking statements. Such statements reflect the current views of management and are subject to a number of risks and uncertainties. There is no guarantee that the expected events, trends or results will actually occur. The statements are based on many assumptions and factors, including general economic and market conditions, industry conditions, and operating factors. Any changes in such assumptions or factors could cause actual results to differ materially from current expectations.