Petrobras (PBR)

Other Expenses, Net

Other expenses, net are primarily composed of gains and losses recorded on sales of fixed assets and certain other non-recurring charges. Other expenses, net decreased to a loss of U.S.$77 million in the first half of 2009 compared to a gain of U.S.$94 million in the first half of 2008. This decrease was primarily attributable to a U.S.$147 million provision for losses from the Pasadena Refinery in the first quarter of 2009.

Other Expenses, Net

Other expenses, net are primarily composed of gains and losses recorded on sales of fixed assets and certain other non-recurring charges. Other expenses, net increased to a loss of U.S.$131 million in the three-month period ended March 31, 2009 compared to zero in the three-month period ended March 31, 2008. This increase was primarily attributable to provision for losses in Pasadena Investments (U.S.$147 million).

Other Expenses, Net

Other expenses, net are primarily gains and losses recorded on sales of fixed assets and certain other non-recurring charges. Other expenses, net increased to a loss of U.S.$225 million for 2008 compared to a loss of U.S.$143 million for 2007, primarily due to the U.S.$97 million write-off of Block 31 in Ecuador in the fourth quarter of 2008.

Other expenses, net

Other expenses, net are primarily composed of gains and losses recorded on sales of fixed assets and certain other non-recurring charges. Other expenses, net remained relatively constant, amounting to a gain of U.S.$8 million in the nine-month period ended September 30, 2008, as compared to a gain of U.S.$9 million in the nine-month period ended September 30, 2007.

Other expenses, net

Other expenses, net are primarily composed of gains and losses recorded on sales of fixed assets and certain other non-recurring charges. Other expenses, net increased to a gain of U.S.$94 million in the first half of 2008, as compared to a gain of U.S.$28 million in the first half of 2007. This increase was primarily attributable to the non-operating income of U.S.$82 million related to the merger made according to the Braskem Investment Agreement (See Note 18 – (a.1) of our unaudited consolidated financial statements for the six-month period ended June 30, 2008).

Other expenses, net

Other expenses, net are primarily composed of gains and losses recorded on sales of fixed assets and certain other non-recurring charges. Other expenses, net decreased to zero for the first quarter of 2008, as compared to a gain of U.S.$15 million for the first quarter of 2007.

Other expenses, net

Other expenses, net are primarily composed of gains and losses recorded on sales of fixed assets and certain other non-recurring charges. Other expenses, net decreased to a loss of U.S.$143 million for 2007, as compared to a loss of U.S.$17 million for 2006, primarily due to expenses from damage to third-party equipment installed in wells in the Campos Basin (U.S.$71 million) and the write-off of E&P-related sunk costs (U.S.$53 million).

Other expenses, net

Other expenses, net are primarily composed of gains and losses recorded on sales of fixed assets and certain other non-recurring charges. Other expenses, net increased to a gain of U.S.$ 9 million for the nine-month period ended September 30, 2007, as compared to a loss of U.S.$ 58 million for the nine-month period ended September 30, 2006, primarily due to the gain of U.S.$ 46 million recorded in other expenses, net, as a result of the sale of the Bolivian refineries and the Hydroneuquen plant of PESA-Argentina .

Other expenses, net

Other expenses, net are primarily composed of gains and losses recorded on sales of fixed assets and certain other non-recurring charges. Other expenses, net increased to a gain of U.S.$ 28 million for the first half of 2007, as compared to a loss of U.S.$ 32 million for the first half of 2006, primarily due to the gain of U.S.$ 46 million recorded in other expenses, net, as a result of the sale of the Bolivian refineries and the Hydroneuquen plant of PESA-Argentina.

Other expenses, net

Other expenses, net are primarily composed of gains and losses recorded on sales of fixed assets and certain other non-recurring charges. Other expenses, net increased to a gain of U.S.$ 15 million for the first quarter of 2007, as compared to a loss of U.S.$ 41 million for the first quarter of 2006, primarily due to the decrease in expenses related to platforms that were not producing.

Other expenses, net

Other expenses, net are primarily composed of gains and losses recorded on sales of fixed assets and certain other non-recurring charges. Other expenses, net decreased 39.3% to U.S.$ 17 million for 2006, as compared to U.S.$ 28 million for 2005, primarily due to the decrease in expenses related to platforms that were not producing.

Other expenses, net

Other expenses, net are primarily composed of gains and losses recorded on sales of fixed assets and certain other non-recurring charges. Other expenses, net decreased 28.4% to U.S.$ 58 million for the nine-month period ended September 30, 2006, as compared to U.S.$ 81 million for the nine-month period ended September 30, 2005, primarily due to the decrease in expenses related to platforms that are not producing.

Other expenses, net

Other expenses, net are primarily composed of gains and losses recorded on sales of fixed assets and certain other non-recurring charges. Other expenses, net decreased 61.9% to U.S.$ 32 million for the first half of 2006, as compared to U.S.$ 84 million for the first half of 2005, primarily due to the decrease in expenses related to platforms that are not producing.

Other expenses, net

Other expenses, net are primarily composed of gains and losses recorded on sales of fixed assets, general advertising and marketing expenses and certain other non-recurring charges. Other expenses, net decreased 21.2% to U.S.$ 41 million for the first quarter of 2006, as compared to U.S.$ 52 million for the first quarter of 2005, primarily due to the decrease in expenses related to platforms that are not producing.

Other expenses, net

Other expenses, net are primarily composed of gains and losses recorded on general advertising and marketing expenses, legal reserves, community investments and certain other non-recurring charges. Other expenses, net increased to an expense of U.S.$ 602 million, for the nine-month period ended September 30, 2005, as compared to an expense of U.S.$ 326 million for the nine-month period ended September 30, 2004.

The most significant charges for the nine-month period ended September 30, 2005 were:

• a U.S.$ 225 million expense for general advertising and marketing expenses unrelated to direct revenues as well as certain cultural projects;
  
  
• a U.S.$ 136 million expense for losses resulting from legal proceedings and contingencies related to pending lawsuits; and
  
  
• a U.S.$ 113 million expense with thermoelectric plants for penalties and contingencies.

The most significant charges for the nine-month period ended September 30, 2004 were:

• a U.S.$ 150 million expense for general advertising and marketing expenses unrelated to direct revenues as well as certain cultural projects; and
  
  
• a U.S.$ 57 million expense for losses resulting from legal proceedings and contingencies related to pending lawsuits.

Other expenses, net

Other expenses, net are primarily composed of gains and losses recorded on general advertising and marketing expenses, legal reserves, community investments and certain other non-recurring charges. Other expenses, net increased to an expense of U.S.$ 537 million, for the first half of 2005, as compared to an expense of U.S.$ 117 million for the first half of 2004.

The most significant charges for the first half of 2005 were:

• a U.S.$ 155 million expense for losses resulting from legal proceedings and contingencies related to pending lawsuits;

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• a U.S.$ 138 million expense for general advertising and marketing expenses unrelated to direct revenues as well as certain cultural projects; and
  
  
• a U.S.$ 99 million expense with thermoelectric plants for penalties and other contingencies.

The most significant charges for the first half of 2004 were:

• a U.S.$ 86 million expense for general advertising and marketing expenses unrelated to direct revenues;
  
  
• a U.S.$ 45 million expense for losses resulting from legal proceedings and contingencies related to pending lawsuits; and

Other expenses, net

Other expenses, net are primarily composed of gains and losses recorded on sales of fixed assets, general advertising and marketing expenses and certain nonrecurring charges. Other expenses, net for 2003 decreased to an expense of U.S.$700 million, as compared to an expense of U.S.$857 million for 2002. The most significant charges were:

The most significant charges for 2002 were:

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Other expenses, net

Other expenses, net are primarily composed of gains and losses recorded on general advertising and marketing expenses, legal reserves, community investments and certain other non-recurring charges. Other expenses, net increased to an expense of U.S.$ 191 million, for the first quarter of 2005, as compared to an expense of U.S.$ 41 million for the first quarter of 2004.

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The most significant charges for the first quarter of 2005 were:

The most significant charges the first quarter of 2004 were:

Other expenses, net

Other expenses, net are primarily composed of gains and losses recorded on sales of fixed assets, general advertising and marketing expenses and certain other non-recurring charges. Other expenses, net decreased to an expense of U.S.$ 357 million for 2004, as compared to an expense of U.S.$ 700 million for 2003.

The most significant charges for 2004 were:

The most significant charges for 2003 were: