Conclusion of an Annex to the Guarantee Agreement for the Opole Project

Current report No 34/2019

Legal basis: Article 17(1) of the Market Abuse Regulation (MAR) – confidential information.                                                       

With reference to the following current reports: report No 9/2014 of 24 January 2014, report No 32/2018 of 3 August 2018, report No 49/2018 of 10 October 2018, report No 5/2019 of 16 April 2019 and report No 11/2019 of 7 June 2019, the Management Board of Polimex Mostostal S.A. with the registered office in Warsaw (the “Issuer”) informs that as of 9 December 2019 the subsidiary of the Issuer, Polimex Opole Sp. z o.o Sp.k. with the registered office in Warsaw, concluded an Annex (the “Annex”) to the Guarantee Agreement with PKO BP S.A. for the contract regarding the construction of power units 5 and 6 at PGE Elektrownia Opole S.A. Pursuant to the Annex, the validity period for the guarantee of proper performance has been extended until 30 September 2021 and the amount of the guarantee has been reduced from PLN 198,571.200.00 to PLN 59,571,300.00 with the automatic reduction of the guarantee amount on 1 June 2021 to the amount of PLN 23,347,366.10. The extended guarantee will secure the proper performance of contractual obligations during the quality warranty period and the warranty period for faults and defects.