Royal Dutch/Shell ( SC) Thursday reported a drop in first-quarter profit and said it planned to buy back about $2 billion of its stock this year.

The Anglo-Dutch oil giant, reeling from a scandal over inflated energy reserves, said net income fell 16% in the first quarter to $4.4 billion, according to media reports.

Royal Dutch's net earnings fell to $1.05 euro, or $1.31 a share, vs. 1.35 euro a year ago. Shell Transport's EPS fell to 10.1 British pence.

Adjusted net income rose to $4.25 billion from $3.89 billion a year ago.

Royal Dutch/Shell faces inquiries in three countries after it over-stated proven energy reserves earlier this year and was then forced twice to lower its estimate. Three top company officials, including its chairman and CFO, have resigned as a result.