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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 OCTOBER 17, 2005

(Commission File No. 1-14477)
 
 
BRASIL TELECOM PARTICIPAÇÕES S.A.
(Exact name of registrant as specified in its charter)
 
BRAZIL TELECOM HOLDING 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) 3415-1140
  ri@brasiltelecom.com.br
www.brasiltelecom.com.br/ir/
 
  Media Relations
  (55 61) 3415-1378
  cesarb@brasiltelecom.com.br

Free Translation

  BRASIL TELECOM S.A.  BRASIL TELECOM PARTICIPAÇÕES S.A. 
  Publicly Held Company  Publicly Held Company 
  Corporate Taxpayer Registration  Corporate Taxpayer Registration 
  76.535.764/0001-43  02.570.688/0001-70 
  Board of Trade 53 3 0000622 9  Board of Trade 53 3 0000581 8 

MATERIAL FACT

BRASIL TELECOM PARTICIPAÇÕES S.A. (NYSE: BRP; BOVESPA: BRTP3/BRTP4) and BRASIL TELECOM S.A. (NYSE: BTM; BOVESPA: BRTO3/BRTO4), in compliance with Brazilian Securities and Exchange Commission - CVM (Comissão de Valores Mobiliários) Instruction 358, dated January 3, 2002, inform to the market in general that BRASIL TELECOM S.A. recognized in the third quarter of 2005 (3Q05), an addition of R$83.3 millions to the pension funds provision, affecting its operating results.

Such provision is a result of an actuarial revision made by an independent actuary on August 31, 2005, which demonstrated the need of adjustments regarding the facts below:

(i) correction of the pension benefits data base, referring to the breakdown of the families; and
(ii) revision of the purchasing power regarding the benefits granted, according to the inflation index from January to September 2004, referred to the last wage readjustment.

Brasília, October 17, 2005.

Charles Laganá Putz
Investor Relations Officer
Brasil Telecom Participações S.A.
Brasil Telecom S.A.

 
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: October 17, 2005

 
BRASIL TELECOM PARTICIPAÇÕES S.A.
By:
/S/ Charles Laganá Putz
 
Name:   Charles Laganá Putz
Title:     Chief Financial Officer