Petrobras approves settlements to end four individual lawsuits in US
Petroleo Brasileiro (Petrobras) has approved the conclusion of settlements to end four individual lawsuits filed before the Federal Court of New York, US.
The settelments have been made with 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 entered into settlements to end other fifteen individual lawsuits before the Federal Court of New York, as disclosed on October 21, 2016 and November 23, 2016.
As result of the agreements reached and the stage of negotiations in progress with other plaintiffs of individual actions, the Company, currently, expects the total amount of the provision for 2016 to be US$ 372 million, of which US$ 364 million had already been provisioned on September 30, 2016.
These four individual lawsuits were consolidated for purposes of judgment with twenty three other individual actions and class action filed against the Company (and others) before the Federal Court of New York, USA. With today's announcement, Petrobras reaches a settlement in 19 individual actions from a total of 27 that were consolidated with the class action.
At the moment, it is not possible for Petrobras to make a reliable estimate of the outcome of the class action.
These settlements, the terms of which are confidential, have the purpose of eliminating uncertainties, burdens and costs associated with the continuity of such disputes and do not constitute any acknowledgment of responsibility on the part of Petrobras, which will continue to firmly defend itself in other ongoing actions.
Source: Company Press Release