Petrobras announces Deadline for disclosure the 3Q ’14 Financial Statements

Petrobras announces Deadline for disclosure the 3Q ’14 Financial Statements

Petrobras announces it will release its third quarter 2014 financial statements in January 2015 without the PricewaterhouseCoopers (PwC) external auditors’ report. This deadline ensures Petrobras will comply with its obligations within the period stipulated by its financial contracts, considering the applicable periods of contractual tolerance and avoiding acceleration of finance debt by creditors.

Furthermore, Petrobras reiterates that it is reviewing its planning for the year 2015, implementing a number of steps aimed at maintaining the cash level, in order to enable investments without the need for new financing, considering an exchange rate of R$ 2.60/US$ and an average Brent price in 2015 of US$70/bbl. These measures include discounting receivables, reducing the level of capital expenditures, reviewing product pricing strategies and reducing operating costs in activities not yet achieved by the structuring programs.

At the same time, Petrobras has been enhancing its governance and improving its internal controls, notably with the recent set up of the Governance, Risk and Compliance Director position and of the Special Committee to act as a “Reporting Line” for the firms (Trench, Rossi e Watanabe and Gibson, Dunn & Crutcher) in the independent investigations.

Petrobras restates that it is committed to releasing its third quarter accounting statements reviewed by PwC as soon as possible.

  • Expansion of the work of the independent law firms into the Petrobras Social Security Foundation – PETROS
  • Petrobras hereby updates the market regarding the independent internal investigations into “Lava Jato Operation”.

    Petrobras hired independent law firms Trench, Rossi e Watanabe Advogados and Gibson, Dunn & Crutcher LLP to assess the nature, extent and impact of the actions that may have been committed within the context of the claims made by former Director Paulo Roberto Costa, as well as facts and correlated circumstances that have a relevant impact on the company’s business.

    On 12/19/2014, the investigations under way at Petrobras, conducted by the referred to firms, were expanded to include the Petrobras Social Security Foundation – PETROS, as approved by the Foundation’s Advisory Committee.

    Source: Petrobras

    Oil and Gas Press