Your SlideShare is downloading. ×
0

Thanks for flagging this SlideShare!

Oops! An error has occurred.

×
Saving this for later? Get the SlideShare app to save on your phone or tablet. Read anywhere, anytime – even offline.
Text the download link to your phone
Standard text messaging rates apply

Webcast - 1Q14 Results

1,281

Published on

OPERATIONAL AND FINANCIAL …

OPERATIONAL AND FINANCIAL
RESULTS - 1st Quarter 2014

Conference Call / Webcast
May 12th 2014

1Q14 Results
8% increase in Operating Income. 14% reduction in Net Income relative to 4Q13

Higher Operating Income due to the full effect during the 1Q14 of the oil products price adjustments and the lower share of
imported diesel in sales, negatively impacted by the provision for PIDV. Net income was lower due to the impact of the fiscal
benefit from interest on capital of R$ 3.2 billion, that occurred in the 4Q13.

0 Comments
1 Like
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total Views
1,281
On Slideshare
0
From Embeds
0
Number of Embeds
7
Actions
Shares
0
Downloads
22
Comments
0
Likes
1
Embeds 0
No embeds

Report content
Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
No notes for slide

Transcript

  • 1. OPERATIONAL AND FINANCIAL RESULTS 1st Quarter 2014 __ Conference Call / Webcast May 12th 2014
  • 2. DISCLAIMER FORWARD-LOOKING STATEMENTS: DISCLAIMER The presentation may contain forward-looking statements about future events 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. Such forward-looking statements merely reflect the Company’s current views and estimates of future economic circumstances, industry conditions, company performance and financial results. Such terms as "anticipate", "believe", "expect", "forecast", "intend", "plan", "project", "seek", "should", along with similar or analogous expressions, are used to identify such forward-looking statements. Readers are cautioned that these statements are only projections and may differ materially from actual future results or events. Readers are referred to the documents filed by the Company with the SEC, specifically the Company’s most recent Annual Report on Form 20-F, which identify important risk factors that could cause actual results to differ from those contained in the forward- looking statements, including, among other things, risks relating to general economic and business conditions, including crude oil and other commodity prices, refining margins and prevailing exchange rates, uncertainties inherent in making estimates of our oil and gas reserves including recently discovered oil and gas reserves, international and Brazilian political, economic and social developments, receipt of governmental approvals and licenses and our ability to obtain financing. We undertake 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. Figures for 2014 on are estimates or targets. 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 presentation. NON-SEC COMPLIANT OIL AND GAS RESERVES: CAUTIONARY STATEMENT FOR US INVESTORS We present certain data in this presentation, such as oil and gas resources, that we are not permitted to present in documents filed with the United States Securities and Exchange Commission (SEC) under new Subpart 1200 to Regulation S-K because such terms do not qualify as proved, probable or possible reserves under Rule 4-10(a) of Regulation S-X.
  • 3. 1Q14 Results 8% Increase in Operating Income relative to the 4Q13 +8% 7.6 7.0 R$ Billion 4T13 1T14 Results Highlights – 1Q14 x 4Q13 OPERATING INCOME (+8%) Effect during the full quarter of the diesel and gasoline price adjustments, which happened on November 30th. Lower share of imported diesel in sales. Absence of impairment in the 1Q14. Lower oil production reducing exported volumes Provision for the payment of PIDV (R$ 2.4 billion). Higher Operating Income due to the full effect during the 1Q14 of the oil products price adjustments and the lower share of imported diesel in sales, negatively impacted by the provision for PIDV (Voluntary Separation Incentive Plan). A queda do lucro líquido foi função do efeito positivo, no 4T13, do benefício fiscal dos juros sobre capital próprio no valor de R$ 3,2 bilhões. Operating Income
  • 4. 1Q14 Results 8% increase in Operating Income. 14% reduction in Net Income relative to 4Q13 -14%5.4 +8% 7.6 6.3 7.0 R$ Billion 4T13 1T14 Results Highlights – 1Q14 x 4Q13 OPERATING INCOME (+8%) Effect during the full quarter of the diesel and gasoline price adjustments, which happened on November 30th. Lower share of imported diesel in sales. Absence of impairment in the 1Q14. Lower oil production reducing exported volumes. Provision for the payment of PIDV (R$ 2.4 billion). NET INCOME (-14%) Better financial results due to the lower FX Rate in the end of 1Q14. Higher income tax expenses due to the absence of fiscal benefit relative to interest on capital, which occurred in 4Q13 (R$ 3.2 billion). Higher Operating Income due to the full effect during the 1Q14 of the oil products price adjustments and the lower share of imported diesel in sales, negatively impacted by the provision for PIDV. Net income was lower due to the impact of the fiscal benefit from interest on capital of R$ 3.2 billion, that occurred in the 4Q13. Operating Income Net Income
  • 5. FPSO Cid. São Paulo (Sapinhoá) 2,150 2,100 2,050 2,000 1,950 1,900 1,850 2,200 2,022 Aug-13 1,951 Jul-13 Mar-14Jun-13 2,021 May-13 1,925 Apr-13 1,929 1,974 Mar-13 1,890 1,955 Jan-13 1,994 Feb-13 Sep-13 2,014 Feb-14 2,009 Jan-14 1,988 Dec-13 2,027 Nov-13 2,009 Oct-13 1,994 Th. bpd 2013: 1,974 th bpd 1Q13 Average 1,946 2Q13 Average 1,973 4Q13 Average 2,010 1Q14 Average 2,004 3Q13 Average 1,967 P-58 (Parque das Baleias) P-55 (Roncador) P-63 (Papa-Terra) Nov 12thFPSO Cid. Paraty (Lula NE Pilot) FPSO Cidade de Itajaí (Baúna) Feb 16th Jan 5th Mar 17th Dec 31st Production Operated by PetrobrasPetrobras Production Jun 6th Petrobras Operator: Oil and NGL Production in Brazil Production Operated by Petrobras in the 1Q14 was 2.004 th. bpd
  • 6. FPSO Cid. São Paulo (Sapinhoá) 2,200 2,000 2,100 2,050 2,150 1,850 1,950 1,900 1,974 1,924 Mar-13 1,890 1,846 Fev-13 1,955 Jan-13 1,994 1,965 Jan-14 2,009 1,920 1,923 Dec-13 1,926 Mar-14 1,964 Feb-14 1,917 2,014 Apr-13 1,892 Nov-13 1,957 2,027 1,988 Oct-13 1,925 1,994 1,960 Sep-13 2,022 1,979 Aug-13 1,951 2,009 Jul-13 1,929 1,888 Jun-13 2,021 1,979 May-13 1,908 Th. bpd Petrobras: Oil and NGL Production in Brazil Petrobras Production in the 1Q14 was 1,922 thousand bpd, in line with projections 1Q13 Average 1,910 2Q13 Average 1,931 4Q13 Average 1,960 1Q14 Average 1,922 3Q13 Average 1,924 P-58 (Parque das Baleias) P-55 (Roncador) P-63 (Papa-Terra) Nov 12thFPSO Cid. Paraty (Lula NE Pilot) FPSO Cidade de Itajaí (Baúna) Feb 16th Jan 5th Mar 17th Dec 31st Capacity: 120 th. bpd (45% Petrobras) 2013 – 10 th. bpd 1Q14 – 20 th. bpd Capacity: 80 th. bpd (100% Petrobras) 2013 – 36 th. bpd 1Q14 – 72 th. bpd Capacity: 120 th. bpd (65% Petrobras) 2013 – 10 th. bpd 1Q14 – 30 th. bpd Capacity: 140 th. bpd (62.5% Petrobras) 2013 – 1 th. bpd 1Q14 – 9 th. bpd Capacity: 180 th. bpd (100% Petrobras) 1Q14 – 8 th. bpd Capacity: 180 th. bpd (100% Petrobras) 1Q14 – 2 th. bpd Petrobras Production Production Operated by Petrobras Jun 6th Main factors that impacted production in the 1Q14: • Demobilization of FPSO Brasil and complete stoppage of Marlim P-20 for 103 days (fire). • Limited availability of PLSVs, due to the delayed decision of contracting abroad (2010 → 2012), impacting the pace of interconnection of wells. • Delays in the delivery of the platforms by the shipyards. • Longer time for the execution of innovative projects, such as the BSRs (monobuoys) and systems P-63/P-61/TAD. 2013: 1,931 th. bpd
  • 7. 302 169 119 41 153 444 0 50 100 150 200 250 300 350 400 450 20122011 2014201320102009200820072006200520042003 Oil Production Record in the Pre-salt Monthly record of 395 th. bpd in March and daily record of 444 th. bpd in April 18th with 24 wells Thousand bpd Note: 2014 number refers to daily record occurred in 04/18/2014 P-58 03/17/14 FPSO Cid. São Paulo 01/05/13 + Installation of Buoyancy Supported Risers Pre-salt wells high productivity contribute to these projects’ lower lifting costs (LF) . Lula field has a lifting cost of US$ 9/boe (2013), while Petrobras LF was US$ 14.76/boe. 2 BSR´s Sequential records in the production of the Pre-salt: • February 18th: connection of the 1st buoy (BSR1) to FPSO Cid. São Paulo, with 36 th. Bpd (best well in the country); • March 17th: P-58 1st oil; • April 3rd: interconnection of the 2nd well to BSR1, with 35 th. Bpd; • May 9th: interconnection of the 1st well to BSR2 (FPSO Cid. Paraty), with 31 th. bpd; • May 9th: completed the installation of BSR4, the last of the 4 risers support buoys;
  • 8. Oil and NGL Production in Brazil – 2014 Projection Production target of 7.5 (± 1 p.p.) maintaned 2Q14 3Q14 4Q14 2014 Average: 2,075 th. bpd ± 1% Factors that support production growth: • New systems: P-62 (May 12 th), P-61/TAD (3Q14), FPSO Cidade de Ilhabela (3Q14) and FPSO Cidade de Mangaratiba (4Q14). • Connection of 65 production wells in 2014, of which 20 have already been connected by 05/12/2014. - PLSV fleet increase: 11 vessels in 1Q14, 13 vessels in 2Q14, 16 vessels in 3Q14 and 19 vessels in 4Q13. - PLSV productivity increase: from 99 km / PLSV / year in 1Q13 to 129 km / PLSV / year in 1Q14 (+30%). Th. bpd 2,400 2,600 2,500 2,300 2,200 2,100 2,000 1,900 1,800 0 jul-14 may-14 aug-14 jun-14 apr-14 oct-14 dez-14 nov-14 sep-14 mar-14 1,926 feb-14 1,923 jan-14 1,917 dec-13 1,964 nov-13 1,957 oct-13 1,960 sep-13 1,979 aug-13 1,908 jul-13 1,888 jun-13 1,979 may-13 1,892 apr-13 1,924 mar-13 1,846 feb-13 1,920 jan-13 1,965 2Q13 Average 1.931 3Q13 Average 1.924 4Q13 Average 1.960 2013 Average: 1,931 th. bpd 1Q13 Average 1.910 1Q14 Average 1.922 P-62 Realized FPSO Cid. São Paulo FPSO Cid. Paraty FPSO Cidade de Itajaí Jan 5th P-55 P-63 Cid. Ilhabela Cid. Mangaratiba 4th Quarter 3rd Quarter 3rd Quarter 3rd Quarter P-61 TAD P-58 May 12th Jun 6th Feb 16th Nov 12th Dec 31st Mar 17th 3rd Quarter Illustration
  • 9. Oil Production – Existing Systems Program to Increase Operational Efficiency (PROEF) – 58 th. Bpd Gain in the 1Q14 UO-BC Oil + NGL Production (th. bpd)Operational Efficiency(%) 73 68 71 76 76 74 75 77 77 81 50 60 70 80 90 100 +9 p.p. Apr/141Q14*4Q133Q132Q131Q134Q123Q122Q121Q12 382 355 389390389 418 442452455 488 335312 370357374 405408413428 100 200 300 400 500 600 Apr/141Q14*4Q133Q132Q131Q134Q123Q122Q121Q12 Production without PROEFProduction with PROEF Total Expenditure of US$ 1,897 million by Feb/14. NPV of US$ 1,080 million by Feb/14 Focus on recovering wells and subsea systems. Production gain: +43 th. bpd in the 1Q14. *Excluding the impact of new systems: P-63 and P-61. 1Q14: Gain of 43 th. bpd UO-RIO Oil + NGL Production (th. bpd)Operational Efficiency(%) 92 91 89 94 91 93 92 94 95 96 50 60 70 80 90 100 +6 p.p. Apr/141Q14*4Q133Q132Q131Q134Q123Q122Q121Q12 807 839 881871887871 920 775 824811 841840851 910 500 600 700 800 900 1.000 Apr/141Q14*4Q133Q132Q131Q134Q12 Production without PROEFProduction with PROEF Total Expenditure of US$ 3.2 million by Feb/14. NPV of US$ 1,340 million by Feb/14. Focus on management, integrity improvement and optimization in the usage of resources. Production gain: +15 th. bpd in the 1Q14. *Excluding the impact of new systems: P-55 and P-62 1Q14: Gain of 15 th. bpd 2014 Target: 93% 2014 Target: 81% Highest Amount of the last 46 months Highest Amount of the last 40 months
  • 10. 10 Oil and Natural Gas Production Costs in Brazil Higher productivity guaranteed the maintenance of lifting cost levels 1Q14 More operational activities with constant oil production; Stabilized unitary costs with a downward trend → increase in productivity and cost reduction 11.38 13.12 12.49 12.91 13.28 15.24 14.76 15.02 14.96 14.33 14.62 9 12 15 18 13.37 13.80 14.15 2012 20132011 19.00 20.93 22.31 22.47 22.57 30.79 28.33 29.49 31.25 34.28 32.66 33.14 32.65 10 20 30 40 2Q124Q113Q11 1Q122Q111Q11 3Q12 26.39 20141Q144Q133Q132Q131Q134Q12 US$/boe 2014 Estimate R$/boe Average: US$ 12.59 /boe Average: US$ 13.79 /boe Average : US$ 14.76 /boe +9% +7% US$ 14.15 /boe 2012 20132011 2014 Estimate Average : R$ 21.19 /boe Average : R$ 26.97 /boe Average : R$ 31.94 /boe +27% +18% R$ 33.14 /boe 2011 2012 2013 1Q14 Average FX (R$/US$) 1.67 1.96 2.16 2.37 % of costs in US$ 18 18 32 35 Oil production (th. bpd) 2,022 1,980 1,931 1,922 Pre-salt production (th. bpd) 100 138 249 299 # of prod units in operation 121 122 124 124 Days of workovers (PROEF) 1,402 2,966 3,479 872 1Q14 -1% +1%
  • 11. 11 Oil products output in Brazil 1Q14 production 1% above 4Q13. Sales dropped 2.2% in the period (seasonality) 1Q14 x 4Q13 • Lower diesel and gasoline production, mainly due to REPLAN’s scheduled stoppage. • Higher utilization factor (from 95% to 96%) and higher share of Brazilian oil in throughput (+21 th.bpd). Oil products output 0% 839 841 822 453 499 483 288 248 290 197 211 208 125128140 9286113 1059198 2,127 1Q13 +1% 1Q14 2,124 4Q13 2,105 -2,2% -3,2% Oil products sales – Brazil LPG Diesel Gasoline Jet Fuel NaphthaFuel Oil Others* (th. bpd)(th. bpd) 921 947 580 610 601 213 235 222 196 204 202 178164 180 111108 105 110118 99 1Q14 2,371 -2.2% 4Q13 2,425 1,005 1Q13 2,313 +2.5% -5,8% -1,5% 1Q14 x 4Q13 • Diesel (-58 th. bpd): Seasonality effect, offset by higher diesel consumption in thermal power plants. 4Q has higher industrial production and planting of crops, whereas in the 1Q there is a reduction in retail and industry sales. • LPG (-13 th. bpd): Higher temperatures in 1Q14 and holiday season reduce LPG consumption.(*) Others – Lubricants, Asphalt, Coke, Propene, Solvent, Benzene, Kerosene and Intermediates.
  • 12. 12 Oil Products Output Record in Brazil: 12 Refineries Production of 2,151 th. bpd in March 2,200 2,150 2,100 2,050 2,000 1,950 1,900 1,850 1,800 1,750 1,700 1,650 1,600 20142013 2,124 2012 1,997 2011 1,896 2010 1,832 2009 1,821 2008 1,780 2007 1,788 2006 1,755 2005 1,735 2004 1,696 2003 1,639 Note: 2014 value refers to the monthly record achieved in March/14. Th. bpd 2,151 New production records in the refining segment • Excellent efficiency levels: utilization factor of 96% in 1Q14. • New monthly record of 2,151 th. bpd in March, surpassing the previous record of 2,139 th. bpd in July/13. Paulínia Refinery – REPLAN Capacity: 415 th. bpd The significant increase in the level of operations is a result of the better performance achieved through the start-up of new quality and conversion units, as well as the optimization of refining processes and the removal of logistics bottlenecks.
  • 13. 13 3.47 3.91 4.20 3.83 3.14 3.37 3.14 3.08 3.26 2.88 2.75 2.83 2 3 4 5 6 3.50 3.74 2012 20132011 5.80 6.25 7.00 6.94 6.60 6.25 6.98 6.24 6.37 6.62 6.48 6.63 4 6 8 10 4Q13 1Q14 20141Q134Q123Q12 7.07 2Q121Q124Q113Q112Q111Q11 7.45 3Q132Q13 US$/bbl R$/bbl Average : US$ 3.86 /bbl Average : US$ 3.44 /bbl Average : US$ 3.09 /bbl -11% -10% US$ 2.75 / bbl 2012 20132011 Average : R$ 6.51 /bbl Average : R$ 6.73 /bbl Average : R$ 6.67 /bbl +3% 0% R$ 6.48 /bbl Refining Cost in Brazil Significant reduction due to the increase in productivity and throughput More operational activities with the growth of oil products; Declining unit costs → increase in productivity and cost reduction 2011 2012 2013 1T14 Average FX (R$/US$) 1.67 1.96 2.16 2.37 Headcount 9,231 9,289 9,078 9,017 Throughput (th. bpd) 1,866 1,944 2,074 2,058 Utilization Factor (%) 91 94 97 96 Complexity (UEDC/d) 12.94 14.39 15.02 16.16 1T14 1T14 -5% -2% 2014 Estimate 2014 Estimate UEDC – Utilized Equivalent Distillation Capacity
  • 14. 14 Natural Gas Supply and Demand Increase in the thermoelectric market demand in 1Q14 relative to 4Q13 (+28%) Higher LNG imports to supply the thermoelectric market. 1Q14 x 4Q13 • Higher thermoelectric demand due to the weak hydrological condition and low level of reservoirs. • Higher imports of Natural Gas from Bolivia, with the additional contract signed on February/14 to supply Cuiabá thermopower plant. • Increase in the volume of LNG regasification to meet higher thermoelectric demand. million m³/day SUPPLYDEMAND 40,2 37,0 11,7 39,3 +1% +1% +10% 1Q14 88.5 13.0 37.9 37.6 4Q13 80.8 12.7 29.6 38.5 1Q13 87.8 10.9 39.9 37.0 38.3 4Q13 88.8 18.8 31.7 +9% 1Q14 81.3 12.8 30.7 37.8 1Q13 88.1 14.1 30.7 43.3 +28% +2% +3% +47% +1% 39,9 Non-thermoelectric Thermoelectric Downstream E&P/Fertilizers Domestic Bolivia LNG
  • 15. 15 Record Delivery of Natural Gas Monthly production of 95.5 million m³/day in March and daily record of 101.1 million m³/day on Mar/26 85 75 6162 45 58 484645 42 35 30 35 40 45 50 55 60 65 70 75 80 85 90 95 100 201420132012201120102009200820072006200520042003 Note: 2014 value refers to the monthly record achieved in March/14. Million m³/day 96 New records on the delivery of natural gas to the market • Daily record of 101.1 million m³/day, surpassing for the first time the 100 million m³/day barrier of natural gas delivered to the market. • Thermoelectric market received 45 million m³/day to generate 7,163 MW of electricity, around 12% of the Brazilian national grid demand. Bahia LNG Regasification Terminal Capacity: 14 million m³/day 1st Gas: 01/24/2014
  • 16. 16 INTERNATIONAL: Oil/Gas Production and Refining Higher production in 1Q14 due to new wells in Cascade and Chinook (USA) Oil and Natural Gas Production Refining (Throughput) Th.bbl/day 94 104 103 51 42 33 292828 -6% 1T14 165 4T13 175 1T13 173 Bahía Blanca Pasadena Okinawa -5% 1Q14 x 4Q13 • USA (+18 th. boe/day): Production start-up of Cascade 6 and Chinook 5 wells in Jan/14. • Bolivia (+2 th. boe/day): Start-up of wells in Itau, in Jan/14. • Argentina (-5 th. boe/day): Puesto Hernandez total farm-out. • Lifting cost (from US$ 11.72/boe to US$ 7.85/boe): 33% reduction due to the production growth in USA and sale of Puesto Hernandez (Argentina). 1Q14 x 4Q13 • Okinawa (-9 th. bbl/day): Scheduled stoppage of 39 days, from Feb/14. • Pasadena (-1 th. bbl/dia): Cleaning of heat exchangers in the Atmospheric Distillation Unit. • Bahía Blanca (+1 th. bbl/day): Unscheduled stoppage in the FCC unit in Nov/13 (13 days). • Refining Cost (from US$ 4.44/bbl to US$ 3.66/bbl): Reduction of 18% due to tanks maintenance in Okinawa in late 2013. 55 51 53 89 85 81 52 27 26 557 131115 917 27 1 5 5 6 +8% 1T14 209 4T13 194 1T13 242 Bolívia Colômbia Peru Argentina EUA Angola Nigéria Venezuela Th.boe/day -13%
  • 17. 17 Structuring Programs and Net Income Impact Positive effect of R$ 2.9 Billion in 1Q14 0.5 PRODESIN 0.7 PROCOP 1.6 1Q14 Net Income 5.4 R$ -2.8 Billion (-52%) 1Q14 Net Income Without Structuring Programs 2.6 PROEF R$ Billion PROCOP (R$ 1.6 Billion), PRODESIN (R$ 0.7 Billion) and PROEF (R$ 0.5 Billion) positively impacted Net Income in 52% (R$ 2.8 Billion). Structuring Programs Divestment Program Operating Costs Optimization Program Program to Increase Operational Efficiency After-tax gain
  • 18. 18 Positive cash impact: structuring programs PRODESIN (R$ 0.9 Billion), INFRALOG (R$ 0.4 Billion), PRC-Poço (R$ 0.2 Billion) and PROCOP (R$ 1.6 Billion) enabled a 4% higher cash position. INFRALOG 0.4 PRODESIN* 0.9 PROCOP* 1Q14 Final Cash Position Without Structuring Programs 0.2 PRC SUB PRC Poço R$ +3.1 Billion (+4%) 1.6 75.4 78.5 1Q14 Final Cash Position 0.05 *After-tax gain R$ Billion Structuring Programs and Cash Impact Positive effect of R$ 3.1 Billion in 1Q14 Divestment Program Program to Reduce Subsea Facilities Costs Program to Reduce Well Costs Operating Costs Optimization Program Logistic Infrastructure Optimization Program
  • 19. 19 3,52 4,00 39% 39% -10% 0% 10% 20% 30% 40% 50% 1,5 2,5 3,5 4,5 4Q13 1Q14 Net Debt / EBITDA ¹ Net Debt / Net Capitalization ² LEVERAGE ND/EBITDA Financial Ratios 1Q14 issuances increased our cash position to R$ 78.5 billion • In 1Q14 there were two bonds issuances: - January/14 € 3.05 billion + £ 600 million = US$ 5.14 billion (demand of US$ 15 billion) - March/14 US$ 8.5 billion (demand of US$ 23 billion) • Leverage remains at 39% • ND/EBITDA at 4.00x due to PIDV provision; Without the PIDV effect ND/EBITDA would have been 3.43x in the 1Q14. Market Access Debt Ratios R$ Billion 12/31/13 03/31/14 Short-term Debt 18.8 21.8 Long-term Debt 249.0 286.3 Total Debt 267.8 308.1 (-) Cash and Cash Equivalent3 46.3 78.5 = Net Debt 221.6 229.7 US$ Billion Net Debt 94.6 101.5 1) Net Debt / (adjusted EBITDA 1Q14 x 4). Adjusted EBITDA= EBITDA excluding earnings of equity-accounted investments and impairments 2) Net debt / (Net Debt + Shareholders Equity) 3) Includes tradable securities maturing in more than 90 days
  • 20. 20 • Number of employees enrolled: 8,298 12% of the company’s total workforce* and 15% of the expected labor cost for 2014** • Program Cost: R$ 2.4 billion Provisioned in the 1Q14 • Cost Reduction: R$ 13 billion between 2014-2018 Replacement assumption: 60% The cost of the incentive will be compensated on an average period of 9 months following the departure of each professional. • Expected Separation Timeline 55% of separations in 2014. Subsequent separations are scheduled to reconcile the necessary knowledge retention, essential to growth and the Company’s safe and sustainable operations. • Labor Cost Evolution* * Petrobras Holding + BR Distribuidora. Employees in March/2014 = 66,982 / ** Planned cost in PDG 2014 – Global Expenditure Program Voluntary Separation Incentive Plan - PIDV 2014 Commitment towards the increase of efficiency, productivity and capital discipline 2009 11.5 2010 13.1 18.3 2011 15.5 PIDV Reduction 26.9 2012 +3% a.a. 5.0 2015 25.6 2016 25.524.9 4.13.3 Labor Cost 2017 +18% a.a. 2018 1.3 2014 23.8 2013 22.3 R$ billion Employees (thousand) 60.1 61.9 63.5 66.4 67.2 62.6 63.7 63.8 61.9 63.2 R$ 13 billion 2014-2018 -0,6 Projection
  • 21. 21 Information: Investor Relations +55 21 3224-1510 investors@petrobras.com OPERATIONAL AND FINANCIAL RESULTS 1st Quarter 2014 __

×