EX-12.1 11 d550633dex121.htm EX-12.1 EX-12.1

Exhibit 12.1

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

The following table contains the consolidated ratios of earnings to fixed charges of Petrobras for the three-month periods ended March 31, 2018 and 2017, and the years ended December 31, 2017, 2016, 2015, 2014 and 2013, calculated using values derived from our financial statements prepared in accordance with IFRS.

 

     Three-month
period ended
March 31,		      Year ended December 31,  
     2018      2017      2017      2016      2015      2014      2013  
     (U.S.$ million)      (U.S.$ million)  

Net income (loss) before income taxes

      3,415        2,268        1,997        (3,665)        (9,748)        (8,824)        13,410  

Share of results in equity-accounted investments

      (158)        (195)        (673)        218        177        (218)        (507)  

Dividend income on equity-accounted investments

      221        64        452        473        259        387        146  

Add fixed charges as adjusted (set forth below)

      2.765        3.006        10,797        11,071        10,157        10,285        9,331  

Adjustment of capitalized borrowing costs

      (376)        (355)        (1,392)        (1,729)        (1,773)        (3,600)        (3,921)  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Earnings

      5,867        4,788        11,181        6,368        (928)        (1,970)        18,459  

Interest expense:

                     

Debt interest and charges

      2,016        2,112        7,388        7,764        6,858        6,734        5,491  

Rental interest expense(1)

      749        894        3,409        3,307        3,299        3,551        3,840  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Fixed charges

      2,765        3,006        10,797        11,071        10,157        10,285        9,331  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Ratio (earnings divided by fixed charges)(2)

      2.12        1.59        1.04        0.58        (0.09)        (0.19)        1.98  

 

(1) One third of operating lease expenses.
(2) This calculation indicates a less than one-to-one coverage for the years ended December 31, 2016, 2015 and 2014. Earnings available for fixed charges were inadequate to cover total fixed charges for these years. The deficient amounts for the ratio were U.S.$4,703 million, U.S.$11,085 million and U.S.$12,255 million for 2016, 2015 and 2014, respectively.