- Petrobras (PBR) says changes to domestic gasoline and diesel prices in Brazil won't be automatic under its new pricing mechanism; adjustments will be based on international fuel prices, foreign exchange rates and whether the fuel was refined in Brazil or imported.
- PBR's initial pricing proposal, made in October, had called for automatic fuel-price adjustments at regular intervals.
- Investors have been frustrated by PBR's lack of details about how fast or how far it will go to stop subsidizing domestic fuel prices; the new pricing plan, announced Friday, will allow fuel prices to rise to international levels "over an appropriate period."
- Shares, which have dropped more than 11% in two days, -1.2% premarket.
Petrobras: Fuel price adjustments not automatic under new mechanism
Dec 4 2013, 08:45 ET