C o m p a n y P r o f i l e

C o m p e t i t i v e A d v a n t a g e s

The volume of proved oil and gas reserves and the ongoing success rate in the

company’s exploration results have afforded Petrobras a prominent position and

growth in the industry.

Petrobras’ performance indicators in 2010 include: average oil and gas production

of 2.6 million barrels per day; 16 refineries; 130,2 thousand square kilometers of

exploration areas, with more than 15,000 producing wells; 132 production platforms;

a fleet of 52 own vessels; 48 land and sea terminals and 8,477 service stations.

In Brazil, Petrobras has the leadership in all segments of the value chain and the

company’s growing production is fully supported by its discoveries. This dominant

position combined with the strong local demand in one of the fastest growing

global markets enhances the company’s logistical synergies and credit quality.

FACT SHEET

Founded in 1953, Petrobras is a publicly traded corporation operating in an

integrated manner in the following segments of the oil, gas, and energy industry:

exploration and production; downstream, marketing, transportation and

petrochemicals; distribution; natural gas, energy and biofuels. Acknowledged as

the leader in deep and ultra-deep water exploration and production, Petrobras

is currently the world’s third largest energy company (source: PFC Energy, 2010),

and the best managed company in Latin America (source: Euromoney, 2010).

10% - RTM

77% - E&P

4% - G&P

3% -Distribution

6% - International

Dividend Payout

Adjusted EBITDA: US$ 32.6 billion (2010)

Dividends (US$) Dividends / Net Income

US$

Mill

ion

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

20%

25%

30%

35%

40%

29%

28%

22%

29%

35%

20102006 2007 2008 2009

Net Income

2010

US$

Mill

ion

2006 2007 2008 2009

5,000

10,000

15,000

20,000

12.826 13.138

18.879

15.504

19.184

Net Income

The 2010-2014 Business Plan provides for investments of $224 billion. Of this total,

$212.3 billion are being allocated to projects in Brazil and a further $11.7 billion

to overseas activities.

The focus will be on the Exploration and Production segment, which will get $118

billion (Brazil and International), for a total of 53% of the investments. Of this

amount, $33 billion will be set aside to develop the pre-salt alone, where average

production is expected to be 241,000 bpd in 2014.

The oil and natural gas production projected for 2014 is expected to top at 3.9

million boed, of which 3.6 million boed will represent the domestic production.

G r o w t h S t r a t e g y

2010-2014 Business Plan

1%1%2%2%

8%

33%

US$ 224.1 billion

53%

International5%

Brazil95%

Petrochemicals

E&P RTM G&P

Corporate

BiofuelsDistribution

C o n s o l i d a t e d F i n a n c i a l R e s u l t s

In 2010, Petrobras reported a net profit of $19.184 billion, up 23,73% from 2009.

In the period, EBITDA reached $32,6 billion, while investments totaled $45 billion.

In October 2010, the Company completed a global public offering of common and

preferred shares that resulted in a capital increase of $70,005 billion. The proceeds

were allocated to pay for the Transfer of Rights Agreement and to finance the

Business Plan.

Net Income

EBITDA

Net Debt

Shareholders Equity

Net Debt / Net Capitalization

Net Debt/EBITDA

18.879

31.083

20.624

61.909

25%

0,66

15.504

28.982

40.963

94.058

30%

1,41

19.184

32.626

36.701

181.494

17%

1,12

(Million US$) 2008 2009 2010

In 2010, an average of 90% of the refi ning capacity was used. Sales on the Brazilian

market last year were 13% higher than those in 2009 at 2,378,000 barrels per day.

Oil products sales increased 11% vs. 2009, surpassing the growth of Brazilian

economy (7%). There was also a strong growth in natural gas sales (33%) and an

increase of oil exports due to the production growth.

The proved oil and natural gas reserves amounted to 15.985 billion boe in 2010,

according to the SPE criterion, representing a 5% growth compared to 2009.

Petrobras maintains its goal of increasing reserves at a faster pace than production

and of reaching a minimum 100% Reserve Replacement Index (RRI). In 2010, the

RRI was 229%. As a result, according to the SPE criterion, the Reserve/Production

ratio stood at 18,4 years.

Last year Petrobras invested US$ 3,4 billion in international activities aimed

at growing production in the deep-water regions. The Company currently

operates on five continents and in 28 countries, focusing principally on the

United States and on the west coast of Africa.

In 2010, Petrobras invested US$ 402,2 million in social, environmental, cultural,

and sports projects in Brazil and abroad. Since 2006, Petrobras has been listed

on the Dow Jones Sustainability World Index (DSJI), the most important of its

category, recognition of the company’s socio-environmental responsibility and

commitment. It should be pointed out that the company has been a signatory to

the UN’s Global Compact since 2003.

O p e r a t i n g D a t a

I n t e r n a t i o n a l P e r f o r m a n c e

S o c i a l a n d E n v i r o n m e n t a l R e s p o n s i b i l i t y

C o n t a c t s

www.petrobras.com.br/irE-mail: acionistas@petrobras.com.brAddress: Av. República do Chile, 65, sala 2202-B, CentroRio de janeiro - RJ / ZIP: 20031-912Telephones: 0800-282-1540 / (21) 3224-1510 / 3224-9947

FACT SHEET

E q u i t y p e r f o r m a n c e

Ticker* PETR4 PETR3 PBRA PBR

Last Price 27,29 30,55 34,17 37,84

Maximum 12 month 41,81 37,50 43,82 48,90

Minimum 12 month 24,16 26,68 28,63 31,90

*December, 31 2010

Preferred

BM&F Bovespa (R$ per stock) NY SE (US$ per ADR**)

Commom CommomPreferred

P r e - s a l t

Petrobras, the global leader in exploration and production in deep and ultra-deep

waters, made one of the biggest discoveries in recent times in the oil industry: the

pre-salt area, which potentially ranks Brazil among the countries with the largest

oil and gas reserves in the world.

In the Lula (previously Tupi) and Cernambi (previously Iracema) fi elds, and in

the Iara, Guará, and Parque das Baleias blocks alone, the recoverable volume is

estimated between 8.1 and 9.6 billion barrels of oil equivalent (boe). This amount,

added to the right to explore a volume of 5 billion boe acquired through the

Transfer of Rights Agreement, may more than double the current Petrobras

reserves. Prospecting at a depth of 5,600 meters from the surface of the sea,

cutting through a 2,000-meter-thick layer of salt, and operating at a distance of

nearly 230 km off the coastline, the company had 100% success rate in all wells

drilled in the Santos Basin pre-salt area.

In October 2010, the production started at the Lula Field, and in last December,

the commerciality of Lula and Cernambi fi elds were declared, considering a total

recoverable volume of 8.3 billion boe. Also in December, the extended well test

(EWT) got underway in the Guará area.

Northeast Carioca

North Guará

Iara Horst

Libra

South Cernambi

P7 Lula Pilot

IG1 Lula Pilot

South Lula

Transfer of Rights

South Guará

Rio de Janeiro

Under Concession

Thou

s bo

e/da

y

Oil and Gas Production

Oil, NLG and Condensate Natural Gas Total

2.400

2.2972.301

2.5262.583

1.97

8

1.91

8

1.92

0 2.11

3

2.15

642

7

413

422

383

377

20102006 2007 2008 2009