This excerpt taken from the PBR 6-K filed Nov 12, 2008.
27.4 Bank Credit Line
On October 31, 2008, Petrobras took out a loan (Bank Credit Line) from Caixa Econômica Federal (CEF) in the total amount of R$ 2.022.700 thousand. The objective of the loan is to reinforce the Companys working capital. This loan was negotiated with the following conditions:
- Term: 180 days, principal and charges with amortization in a single payment at the end of the term;
- Interest rate: 104% of the CDI Over;
- Levying of IOF; and
- A clause for extraordinary amortization and early liquidation. The company may make extraordinary payments at any time to amortize the debt, in addition to making early liquidation.