Enrollment of debt related to Petros Plan renegotiation in the Special Program
for Tax Regularization


Rio de Janeiro, July 26, 2017 – Petróleo Brasileiro S.A. – Petrobras, pursuant
to the material fact of June 30, 2017, reports that its Board of Directors
approved today the inclusion in the Special Program for Tax Regularization
(Programa Especial de Regularização Tributária – “PERT”),, established by
Provisional Measure no. 783 of May 31, 2017, of debt in connection to the
lawsuit on the deductibility of expenses related to the renegotiation of the
Petros Plan pension fund from the calculation basis of Income Tax for Legal
Entities (IRPJ) and Social Contribution on Net Profits (CSLL).

The company will make a payment of R$ 4.3 billion, of which R$ 1.3 billion in
cash, while the remaining balance, amounting to approximately R$ 3 billion as of
July 2017, will be paid in 145 monthly, successive installments due from January
2018. The value in installment payments considers 80% reductions in default
interest, 40% in exofficio fine, and 25% in legal costs. All values will be
updated at the SELIC rate, and enrollment in PERT represents 34% savings in debt
value in nominal terms.

The net negative impact on the result of the 2nd quarter 2017 will be
approximately R$ 6.0 billion, considering enrollment after tax (R$ 3.7 billion)
and the revision of the procedure adopted by Petrobras for the fiscal years from
2012 to 2017, which does not generate effect on cash, but only on the balance of
tax loss (R$ 2.3 billion).

It should be clarified that a portion pertaining to this lawsuit was favorably
ruled on first legal instance, to an approximate amount of R$ 500 million, and
therefore was not included on PERT as the company will continue to pursue the
defense of its interests.

The information pertaining to this lawsuit is incorporated in the financial
statements for the first quarter of 2017, under explanatory note 28 (Provisions
for legal proceedings – item 28.3 – Contingent liabilities).

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www.petrobras.com.br/ir
Contacts:
PETRÓLEO BRASILEIRO S.A. – PETROBRAS | Investor Relations Department | e-mail:
petroinvest@petrobras.com.br
Av. República do Chile, 65 – 10th floor, 1002 – B – 20031-912 – Rio de Janeiro,
RJ | Phone: 55 (21) 3224-1510 / 3224-9947

FORWARD-LOOKING STATEMENTS
This release includes forward-looking statements 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 subject to risks and uncertainties.
The forward-looking statements, which address the Company’s expected business
and financial performance, among other matters, contain words such as “believe,”
“expect,” “estimate,” “anticipate,” “optimistic,” “intend,” “plan,” “aim,”
“will,” “may,” “should,” “could,” “would,” “likely,” and similar expressions.
Readers are cautioned not to place undue reliance on these forward-looking
statements, which speak only as of the date on which they are made. There is no
assurance that the expected events, trends or results will actually occur. 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.

The Company’s actual results could differ materially from those expressed or
forecast in any forward-looking statements as a result of a variety of
assumptions and factors. These factors include, but are not limited to, the
following: (i) failure to comply with laws or regulations, including fraudulent
activity, corruption, and bribery; (ii) the outcome of ongoing corruption
investigations and any new facts or information that may arise in relation to
the “Lava Jato Operation”; (iii) the effectiveness of the Company’s risk
management policies and procedures, including operational risk; and (iv)
litigation, such as class actions or proceedings brought by governmental and
regulatory agencies.  A description of other factors can be found in the
Company’s Annual Report on Form 20-F for the year ended December 31, 2016, and
the Company’s other filings with the U.S. Securities and Exchange Commission.