In a statement, Brazil’s state-run oil firm Petrobras said, it has lost an appeal over $2.14 billion (9 billion reais). The case relates to a tax dispute which dates back to 2011 and 2012.

Petrobras said, it will stick to its stand not not change how it has classified its taxes in its financial reporting, including its balance sheet.

In a securities filing, Petrobras, formally known as Petroleo Brasileiro SA, said, it will “take the appropriate judicial measures in its defense.”

Petrobras referred to its 2018 financials where it has classified its disputed taxes as “non-provisioned judicial processes.”

This category is generally reserved for cases where Petrobras sees a remote chance of losing or where the complexity of the matter makes accurately estimating potential losses difficult.

At the end of 2018, Petrobras had estimated there were 11.568 billion reais of disputed taxes that fit into that category.

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