Brazil's Petrobras to delay Q3 result on growing graft scandal

(MENAFN) Brazil's state-run company Petroleo Brasilerio showed that it delayed the release of its third-quarter financial results for a second time as a result of new development in widening corruption probe, Gulf Times reported.

Prosecutors indicated executives of some of the country's largest engineering firms for allegedly skimming billions of dollars off over priced contracts with the oil giant in a kickback and bribery scheme.

The company had set Friday as a deadline for the release, but it said that it has until January 15, 2015, to present the unaudited results without breaking covenants. If broken, the covenants could put some of the company's debt into technical default, forcing early repayment.

Petrobras first delayed the release of its third-quarter earnings last month because of the expanding investigation into bribery and money laundering.