SBM Offshore signs leniency deal with Brazil

Diposting oleh On 05.48

SBM Offshore signs leniency deal with Brazil

SBM Offshore NV (SBMO.AE) said it has agreed to pay $189 million and forfeit future bonus payments to Petroleo Brasileiro S/A PETR3 under a leniency agreement signed with Brazilian authorities and the state oil company, known as Petrobras.

The Dutch oil-and-gas services company said late Thursday that the agreement will allow it to compete for new business with Petrobras. SBM said the amounts agreed upon are in line with the $299 million provision that it had already taken out. The leniency agreement relates to allege d corruption around sales practices prior to 2012.

In 2017, SBM signed a deferred prosecution agreement with U.S. authorities, agreeing to settle charges of bribing officials in five countries, including Brazil.

In addition to the immediate cash payment, SBM has agreed to a 95% reduction in future bonus payments related to existing contracts, worth $180 million over the period from 2016 to 2030. The net present value of such payments is $110 million, SBM said.

SBM said the leniency agreement doesn't cover an improbity lawsuit brought by the Brazilian public prosecutor's office relating to the same sales practices.

Source: Google News South Brazil | Netizen 24 Brazil

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