The Management Board of Grupa LOTOS S.A. reports that on October 20th 2008 Grupa LOTOS S.A. and LOTOS Tank Sp. z o.o. (a wholly-owned subsidiary of Grupa LOTOS S.A.) entered into an agreement for sale of aviation fuels to LOTOS Tank Sp. z o.o.
The agreement, whose value over a period of five years is estimated at PLN 2,000,000 thousand, was concluded for an unspecified time. It provides for standard contractual penalties whose amount may exceed 10% of the agreement value, depending on the quantity of non-supplied product or uncollected orders.
Pursuant to the provisions of the agreement, the payment of contractual penalties does not deprive the injured party of the right to seek compensation in excess of any such penalties. The other terms and conditions of the agreement do not differ from the terms and conditions commonly used in agreements of such type.
The agreement was classified as a significant agreement due to the fact that its estimated value exceeds 10% of Grupa LOTOS S.A.’s equity.
Legal basis for the publication of this report: Par. 5.1.3 of the Regulation of the Minister of Finance on current and periodic information to be published by issuers of securities, dated October 19th 2005.