(Petrobras, 24.Feb.2017) – Petrobras announces its Board of Directors has approved settlements to end four individual lawsuits filed before the Federal Court of New York, USA, by New York City Employees Retirement System (and others), Transamerica Income Shares, Inc. (and others), Internationale Kapitalanlagegesellschaft mbH, Lord Abbett Investment Trust – Lord Abbett Short Duration Income Fund (and others).
Petrobras had already agreed settlements for fifteen other individual lawsuits before the Federal Court of New York, as announced on October 21, 2016 and November 23, 2016.
As a result of the agreements reached and the stage of ongoing negotiations with other plaintiffs in individual lawsuits, the Company, currently, expects the total provision for 2016 to be $372 million, of which a $364 million provision has already been set on September 30, 2016.
These four individual lawsuits had been consolidated for the purposes of the judgment with twenty-three other individual lawsuits and a class action filed against the Company (and others) before the Federal Court of New York, USA. With today’s announcement, Petrobras has reached an agreement in nineteen individual lawsuits from a total of twenty-seven, which were consolidated with the class action.
Currently, Petrobras cannot reliably estimate the outcome of the class action.
These agreements, the terms of which are confidential, aim to eliminate uncertainties, charges and costs associated with the continuity of such disputes and do not constitute any acknowledgment of liability on the part of Petrobras, which will continue to firmly defend itself in other ongoing lawsuits.
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