Petrobras Distribuidora S A : Notice to Shareholders - New Dividend Distribution Proposal

PETROBRAS DISTRIBUIDORA S.A.

CNPJ 34.274.233/0001-02

NIRE 33.3.0001392-0

Public Company

Notice to Shareholders

New Dividend Distribution Proposal

-

Rio de Janeiro, July 28th, 2020.

Petrobras Distribuidora SA (B3: BRDT3), informs that the proposal of the shareholder Petróleo Brasileiro S.A. for the allocation of the results of the fiscal year ended on December 31st, 2019, including the distribution of dividends, was approved by a majority of votes at the Annual General Meeting held today, as follows:

"(a) the allocation of R$ 110,550,395.32 (one hundred and ten million, five hundred and fifty thousand, three hundred and ninety-five reais and thirty-two cents), equivalent to 5% of Net Income, to the legal reserve of which deals with article 193 of the Brazilian Corporation Law;

1. the allocation of R$ 412,295.05 (four hundred and twelve thousand, two hundred and ninety- five reais and five cents), equivalent to approximately 0.0186% of Net Income, to reserve tax incentives;
2. the distribution of R$ 1,124,169,350.16 (one billion, one hundred and twenty-four million, one hundred and sixty-nine thousand, three hundred and fifty reais and sixteen cents), equivalent to approximately 50.8% of adjusted net income for the determination of dividends, under the terms of the applicable legislation, as (1) interest on equity already declared, in the amount of R$ 540,318,218.33 (five hundred and forty million, three hundred and eighteen thousand, two hundred and eighteen reais and thirty and three cents); and (2) dividends in the amount of R$ 583,851,131.83 (five hundred and eighty-three million, eight hundred and fifty-one thousand, one hundred and thirty-one reais and eighty-three cents, in both cases to be imputed to the payment the minimum mandatory dividend The dividend will be distributed to shareholders, without monetary restatement, and must be paid by the last business day of the year 2020;
3. the retention of R$ 975,875,865.90 (nine hundred and seventy-five million, eight hundred and seventy-five thousand, eight hundred and sixty-five reais and ninety centavos), equivalent to approximately 44.14% of the Net Income, foreseen in the capital budget decided by this Meeting, pursuant to item (B), sub-item (ii), according to article 196, caput, of the Brazilian Corporation Law."

The new item resulted in the following distribution of dividends based on the year ended December 31, 2019, also considering the monetary restatement by Selic on July 28th, 2020.

www.br.com.br/ir

For more information:

PETROBRAS DISTRIBUIDORA S.A. | Investor Relations

E-mail: [e-mail]

Address: Rua Correia Vasques, 250, Cidade Nova - 20211-140, Rio de Janeiro - RJ | Brasil

Phone: [phone]

		R$		R$ / share
Dividend	R$	583,851,131.83	R$	0.50115976981
Own capital Interest	R$	540,318,218.33	R$	0.46379246209

The total dividends approved at the AGM were R$ 544,275,094.19 representing R$ 0.51081377371 per share and the shareholders will be entitled to the shareholding position on July 31st, 2020 (inclusive) to be traded ex-dividends on August 3rd, 2020.

There was no change regarding the distribution as Interest on equity, already informed in the Material Fact of November 29th, 2020, is R$ 540,318,218.33 or R$ 0 , 46379246209 per share, and shareholders will have rights in the shareholding position of December 4th, 2019 (inclusive). The shares issued by the Company started to be traded ex-interest on own capital as of December 5th, 2019. The amount of interest on own capital will still be deducted from the amount related to Withholding Income Tax (IRRF), at form of the legislation in force, with the exception of shareholders proven to be immune and/or exempt.

Even as decided at the AGM both payments will be made until December 31st 2020.

The President of the Company stated that (i) he was comfortable with the proposal made by Petrobras, since it is in line with the Company's announcement to the market released on July 14th, 2020; (ii) that the purpose of creating a special reserve was to create flexibility for the payment of dividends above the mandatory minimum at an appropriate time, as well as to preserve the Company's liquidity and leverage financial conditions; and that (iii) in case the liquidity and leverage ratios deteriorate due to the unpredictability experience humanity faces

with the COVID-19 pandemic, BR management, within its fiduciary duties, will promptly inform shareholders about further reflection on the topic.

Change of Company's Publication Newspaper

Pursuant to article 289, paragraph 3, of Law 6,404/76, the Company communicates to its shareholders that, after the publication of the extract from the minutes of the Ordinary and Extraordinary General Meeting held on July 28th, 2020, the Company will stop using the newspaper "Valor Econômico" and will start to use the newspaper "Diário Comercial" to carry out its legal publications.

The Company will keep the market duly informed about the matters.

ANDRÉ CORRÊA NATAL

Chief Financial, Procurement and Investor Relations Officer

(CFO/IRO)

www.br.com.br/ir

For more information:

PETROBRAS DISTRIBUIDORA S.A. | Investor Relations

E-mail: [e-mail]

Address: Rua Correia Vasques, 250, Cidade Nova - 20211-140, Rio de Janeiro - RJ | Brasil

Phone: [phone]