Solaron's 2012 research on Petrobras highlighted several social and governance risks at the Brazilian oil company, including political interference and poor disclosure of health and safety issues, nearly two years before a major corruption scandal broke involving kickbacks. Solaron's follow up research in 2013 provided further evidence of political meddling at Petrobras. Former directors were later arrested in 2014 for corruption as the scandal unfolded through raids and major financial losses for the company.

1. Petrobras S.A.
Solaron research shows evidence of governance
risks and political interference almost two years
before major corruption scandal breaks

2. PETROBRASS.A.
Petrobras is a semi public multinational oil company and one of the
world’s largest oil companies.
Since 2014 Petrobras has been at the centre of a high profile corruption
scandal, which resulted in an 80% drop in share price between Septem-
ber 2014 and March 2016. This wiped more than US$100bn off the
company’s value and has contributed to the impeachment of the
Brazilian President.
In June 2012 Solaron’s research warned of a number of social and
governance risks at Petrobras, including:
• Political interference.
• Overreliance on contractual labour.
• Poor health and safety disclosures.
June 2012 Solaron research on Petrobras highlights social and
governance risks.
April 2013 Solaron’s follow up research indicates further evidence of
political interference.
March 2014 Former Director arrested for corruption and kickbacks.
November 2014 Police raid Petrobras offices.
January 2015 – Losses of US$7bn announced for 2014 – 2015.