Withdrawal from the contract

With reference to current report no. 42/2014 dated 31.03.2014, The Management Board of Polimex-Mostostal S.A. with its registered office in Warsaw at ul. Młynarska 42 („Company”) hereby informs that on 31 March 2015 it withdrew from the preliminary sale contract of an organised part of the enterprise of Polimex-Mostostal S.A., i.e. Zakład Konstrukcji Stalowych in Rudnik nad Sanem (“Contract”) due to the Buyer’s failure to fulfill the obligations arising from the Contract. The Buyer was obliged to provide the Company no later than to 15 January 2015 with: (i) the original offer to grant financing to the Buyer of the transaction described in the Agreement, no later than to 31 January 2015 and  (ii) the original decision of an appropriate financing entity in which it is confirmed that the Buyer is granted financing or (no later than to 15 January 2015) payment of the total Purchase Price to the escrow account. Due to the fact that the Buyer did not meet the abovementioned terms, the Company decided it was necessary to exercise the right to withdraw from the Agreement.