Conclusion of a material contract by the Consortium featuring a subsidiary company

The Management Board of Polimex-Mostostal S.A. with its registered office in Warsaw at ul. Czackiego 15/17 with reference to current report no. 122/2012 of 11 December 2012 hereby informs that today the contract has been concluded by Subsidiary Company under the comapny name TORPOL S.A. for “the design and execution of construction works as a part of a project “Quality improvement of the transportation services by improving the technical condition of the railway line no. 143 Kalety - Kluczbork section”.

The contract has been concluded between PKP Polskie Linie Kolejowe S.A. with the registered office in Warsaw and

the Consortium of the companies: TORPOL S.A. (Consortium leader), Przedsiębiorstwo Usług Technicznych INTERCOR Sp. z o.o. and POZBUD T&R S.A.

Contract price for the entire consortium amounts to PLN 367,536,114.74 gross (PLN 298,809,849.38 net), including TORPOL S.A. share of 65%.

Execution period: 25 months.

The period of reporting defects is 36 months.

All the consortium partners shall be held jointly and severally liable for the performance of the Contract.

The maximum amount of contractual penalties is 30% of the gross contract price.

The value of the Issuer's equity capital has been assumed to be the criterion for considering the Contract to be material.