Report No. 19/2017

Legal basis

Article 17.1 of the MAR Regulation

Report content:

The Management Board of Powszechna Kasa Oszczędności Bank Polski Spółka Akcyjna (“Bank”) reports that – in relation to the loan agreement concluded on 30 May 2017 by the Bank with a customer ("Loan Agreement”, “Customer”) as stated in the report No. 18/2017 of 30 May 2017 - on 30 May 2017 the Bank entered into a tripartite arrangement (“Arrangement”) with the Customer and the institution (“Investor”) with which the Customer is conducting the capital investment project co-financed with funds raised under the Loan Agreement.

The rules of handling one of the items of collateral securing the Loan Agreement are laid down in the Arrangement.

The Arrangement stipulates that the Investor would have priority regarding the acquisition of the whole or a part of the item of collateral if the Bank exercised its right as a secured creditor. The right of priority has a voluntary nature but at least, under the circumstances defined in the Arrangement when the Investor does not exercise the right or abandons of it later, that fact will cause the expiration of the Bank’s obligation to ensure the Investor the contractual right of priority.

The Arrangement shall remain in force and effect for the term of the Loan Agreement subject to the Bank is entitled to terminate the Arrangement under the circumstances defined in this document.