The Management Board of Grupa LOTOS SA hereby reports that on November 29th 2011, Grupa LOTOS S.A. and LOTOS Parafiny Sp. z o. o. of Gdansk (a 100% subsidiary of Grupa LOTOS S.A. ) concluded a contract for slack wax supply by Grupa LOTOS S.A. to LOTOS Parafiny Sp. z o. o.
The agreement was concluded for a specified period from January 1st 2012 to December 31st 2018.
Its estimated net value is PLN 780m .
The estimated maximum amount of contractual penalties is PLN 98m.
The agreement does not contain provisions that restrict the opportunity to claim additional compensation above the amount of these penalties and its terms and conditions do not differ from the terms and conditions commonly used in agreements of such type.
The conclusion of the above agreement is associated with plans to sell shares in LOTOS Parafiny Sp. z o.o. by Grupa LOTOS S.A. due to implementation of the LOTOS Group’s Strategy assuming concentration on core business activities and aiming to optimize the portfolio of assets held with the possibility of non-core asset sale.
The agreement was considered significant due to the fact that its estimated value exceeds 10% of the equity of Grupa LOTOS S.A.
The legal basis for the publication of this Current Report is Par. 5.1.3 of the Minister of Finance’s Regulation on current and periodic information to be published by issuers of securities and conditions for recognition as equivalent of information whose disclosure is required under the laws of a non-member state, dated February 19th 2009.