Petrobras in $3-bln US settlement

Petrobras has agreed to pay USD 2.95 billion to settle a US class action lawsuit linked to Operation Car Wash in Brazil, the Brazilian NOC announced on Wednesday.

The class action lawsuit was brought by investors after Brazilian prosecutors charged former Petrobras executives with taking about USD 2 billion in bribes.

“The agreement does not constitute any admission of wrongdoing or misconduct by Petrobras. In the agreement, Petrobras expressly denies liability. This reflects its status as a victim of the acts uncovered by Operation Car Wash, as recognised by Brazilian authorities including the Brazilian Supreme Court…. The agreement is in the company’s best interest and that of its shareholders, given the risks of a verdict advised by a jury, particularities of US procedure and securities laws, as well its assessment of the status of the class action and the nature of such litigation in the United States, where only approximately 0.3% of securities-related class actions proceed to trial,” Petrobras said in a statement.