Petrobras Debt Management Operations


Rio de Janeiro, June 12, 2018 – Petróleo Brasileiro SA – Petrobras informs the prepayment of a credit line on June 7, 2018, with The Bank of Nova Scotia, in the amount of US $ 750 million, maturing in 2022. Simultaneously, it contracted new financing with the same bank, of equal value, but with more competitive financial costs, maturing in 2023.

The operation is part of the company’s debt management strategy through which, since 2016, numerous operations were carried out in the capital market and with several financial institutions: Banco do Brasil, National Bank for Economic and Social Development (BNDES), Bank of America, BNP Paribas, Citibank, Credit Agricole CIB, HSBC Bank, Intesa Sanpaolo, JP Morgan Chase Bank, Morgan Stanley Bank, Santander, Banco Bradesco, Banco Caixa Econômica Federal, Itaú, Safra, Financiera de Estudos e Projetos (FINEP) , Standard Chartered Bank, The Bank of Nova Scotia, Bank of China, China Development Bank (CDB), Industrial and Commercial Bank of China (ICBC), Mizuho Bank, MUFG Bank, Export Development Canada (EDC), Eksport Kredit Fonden (EKF), Japan Bank for International Cooperation (JBIC), Kreditanstalt für Wiederaufbau (KFW), Servizi Assicurativi del Commercio Estero (SACE) and UK Export Finance (UKEF).

These transactions totaled US $ 61.7 billion in prepayments, US $ 48.6 billion in funding with more attractive rates and US $ 11.7 billion in financing extension operations, according to the table below.

Table: Debt management operations (in US $ million)

These operations, in addition to contributing to the improvement of the company’s debt profile and the lengthening of its average term, from 7.14 years in December 2015 to 9.34 years in June 2018, savings of approximately US $ 1.6 billion, when compared to the yields of Petrobras’ debt securities traded on the international market for equivalent terms.

It should be noted that all these operations were proposed by the technical area of ​​the Finance and Investor Relations Department, based on specific methodology, and approved by the Company’s Board of Executive Officers.

Petrobras will continue to evaluate new opportunities aimed at improving the amortization profile and the cost of debt, in line with its liabilities management strategy, taking into account the deleveraging goal set forth in its 2018-2022 Business and Management Plan.

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