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Brazil's Petrobras Posts $4.8B Loss in 2016

Brazil's state-run oil company says it posted a $4.8 billion loss in 2016 mainly because of a reduction in the value of assets it needs to sell to lower a debt estimated at more than $100 billion.

Mnet 122884 Petrobrassign

SAO PAULO (AP) — Brazil's state-run oil company says it posted a $4.8 billion loss in 2016 mainly because of a reduction in the value of assets it needs to sell to lower a debt estimated at more than $100 billion.

Petrobras says in a statement filed Tuesday with the country's Securities Exchange Commission that the year-end result is also due to the $6.8 billion it invested in affiliated companies.

In 2015, the company posted a loss of $9.6 billion, also due to a reduction in the value of some of its assets amid lower oil prices.

Petrobras has been at the center of a corruption scandal that has ensnared powerful lawmakers and business executives. Once the crown jewel of Brazil's government, Petrobras' image quickly lost its luster amid mismanagement and corruption.

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