Financial

Petrobras Announces Early Redemption Prices for Notes Due 2018

Rio de Janeiro, June 20, 2017 – Petróleo Brasileiro S.A. – Petrobras (“Petrobras”) (NYSE: PBR) announces that its wholly-owned subsidiary Petrobras Global Finance B.V. (“PGF”) has delivered notices to holders in connection with its redemption of the outstanding 2.750% Global Notes due 2018 (“2.750% Notes”), 5.875% Global Notes due 2018 (“5.875% Notes”) and 4.875% Global Notes due 2018 (“4.875% Notes” and, together with the 2.750% Notes and the 5.875% Notes, the “Notes”) announcing the redemption prices for the Notes. The redemption date for the Notes will be June 22, 2017 (“Redemption Date”).

Payment on the 5.875% Notes will be made prior to 3:00 pm New York time on the business day preceding the Redemption Date by credit to the account of The Bank of New York Mellon, the trustee and paying agent for the 5.875% Notes (the “Trustee”).  Payment on the 2.750% Notes and the 4.875% Notes will be made prior to 12:00 pm London time on the business day preceding the Redemption Date by credit to the account of The Bank of New York Mellon, London Branch, as paying agent for the 2.750% Notes and the 4.875% Notes (the “Principal Paying Agent”).

For the 2.750% Notes, the Principal Paying Agent, as common depositary for Clearstream and Euroclear, will cause funds to be paid to its participants in the aggregate amount of €555,802,171.40, which constitutes the redemption price for the 2.750% Notes. The redemption price includes accrued and unpaid interest on the principal amount of the 2.750% Notes from January 15, 2017 to (but not including) the Redemption Date in the amount of €6,424,219.40 and a make-whole premium of €9,713,952.00.

For the 5.875% Notes, the Trustee will cause funds to be paid to The Depository Trust Company for further payment to its participants in the aggregate amount of US$571,422,290.51, which constitutes the redemption price of the 5.875% Notes. The redemption price includes accrued and unpaid interest on the principal amount of the 5.875% Notes from March 1, 2017 to (but not including) the Redemption Date in the amount of US$9,872,955.13 and a make-whole premium of US$16,521,335.38.

For the 4.875% Notes, the Principal Paying Agent will cause funds to be paid to The Bank of New York Depositary (Nominees) Limited, as common depositary for Clearstream and Euroclear, for further payment to its participants in the aggregate amount of €602,450,413.04, which constitutes the redemption price for the 4.875% Notes. The redemption price includes accrued and unpaid interest on the principal amount of the 4.875% Notes from March 7, 2017 to (but not including) the Redemption Date in the amount of €8,199,902.13 and a make-whole premium of €20,473,510.91.

On the Redemption Date, the redemption prices, including accrued and unpaid interest, will become due and payable. Interest on the Notes will cease to accrue on and after the Redemption Date. Upon the redemption, the 5.875% Notes will cease to be listed on the New York Stock Exchange, the 2.750% Notes and the 4.875% Notes will cease to be listed on the Luxembourg Stock Exchange, and the Notes and the related guarantees by Petrobras will be cancelled and any obligation thereunder extinguished.

Because all of the Notes are held in book-entry form, payment of the redemption prices will be made directly to the registered holders.

PGF intends to fund the amounts necessary to redeem the Notes with the proceeds of its previously announced notes offering completed on May 22, 2017.

For more information, please contact PGF by contacting the Investor Relations Department (telephone: +55 (21) 3224-1510/3224-9947; fax: +55 (21) 3224-6055; e-mail: petroinvest@petrobras.com.br) if you have any questions regarding this notice.

Forward-Looking Statements

This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended that are not based on historical facts and are not assurances of future results. No assurance can be given that the transactions described herein will be consummated or as to the ultimate terms of any such transactions. All forward-looking statements are expressly qualified in their entirety by this cautionary statement, and you should not place reliance on any forward-looking statement contained in this press release. Petrobras undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information or future events or for any other reason.

 

Categories: Financial, Petrobras

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