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Brazil's Petrobras to inject $3.4 billion into pension fund over 25 years

Published 03/10/2020, 06:37 PM
Updated 03/10/2020, 06:41 PM
Brazil's Petrobras to inject $3.4 billion into pension fund over 25 years
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SAO PAULO (Reuters) - Brazilian state-controlled oil company Petroleo Brasileiro SA expects to inject $3.4 billion into its employees' pension fund, Petros, over the next 25 years, the company said on Tuesday.

Petrobras said in a statement that a calculation made in December forecast a future deficit in its Petros Fundacao pension fund of 33.7 billion reais ($7.26 billion).

The company said it would make an immediate payment of 2 billion reais ($431 million) plus extraordinary contributions over the next 25 years. In total, it said it would inject 15.6 billion reais ($3.4 billion) into the pension fund.

The rest of the funds will be paid by other contributors, including the fuel distribution company Petrobras Distribuidora (SA:BRDT3), which was a unit of Petrobras before being sold, and employees.

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