Report 10/2026 - Statement of Withdrawal from the Contract by MOSTOSTAL WARSZAWA S.A.

The Management Board of Mostostal Warszawa S.A. ("Company, Contractor"), in reference to the current report No. 20/2022 dated November 7, 2022, informs that being the Contractor for the task entitled "Design and construction of the S19 expressway section from Domaradz interchange (excluding the interchange) to Iskrzynia interchange (excluding the interchange) approx. 12.5 km" carried out under contract No. 2410.2.2022 concluded on November 7, 2022 ("Contract") between the Contractor and the State Treasury - General Director for National Roads and Motorways ("Ordering Party"), on April 2, 2026, withdrew from the Contract with effect for the future (ex nunc) for reasons attributable to the Ordering Party.

The basis for the withdrawal was Art. 491 § 1 and 2 of the Civil Code (main legal grounds), as well as Art. 640 of the Civil Code in connection with Art. 656 § 1 of the Civil Code (subsidiary legal basis).

In its Statement of Withdrawal from the Contract, the Contractor indicated that on February 27, 2026, it called on the Ordering Party to eliminate the prolonged state of delay in fulfilling the obligations arising from the Contract and legal provisions and to cooperate with the Contractor as necessary to execute the Contract under the penalty of withdrawal from the Contract, setting a 30-day deadline.

Despite the lapse of the deadline set in the letter dated February 27, 2026, on March 30, 2026, preceded by previous calls, the Ordering Party had not fulfilled any of the above-mentioned contractual obligations by the time the statement of withdrawal was made, remaining in delay and not cooperating with the Contractor.

The Company indicates that the Ordering Party's delay and lack of cooperation necessitated the Contractor's exercise of its right to withdraw from the Contract. The Contractor tried for many months to have the Ordering Party meet its obligations, but these attempts proved unsuccessful.

The Company also reserved the right to pursue claims due to the withdrawal, including, apart from the contractual penalty due to withdrawal from the contract for reasons pertaining to the Ordering Party, also, among others, the claim for payment of remuneration for uncompleted construction works until the end of the Contract implementation resulting from Art. 649(4) § 3 of the Civil Code. The Contractor informs that it will address this matter with the Ordering Party through separate correspondence.

Withdrawal from the Contract may affect the financial statements for the year 2025 or 2026, as well as the company's financial liquidity, this issue is currently being analyzed and will be included in the final financial results.

The financial statements for the year 2025 are currently being audited by an authorized statutory auditor and will be subject to his assessment and approved by the competent authorities of the Company.