The Management Board of Mostostal Warszawa S.A. (“Company”) informs that today, the Company signed an agreement with Mennica Polska S.A. for performance of construction work as part of an investment task under the name: construction of a multi-family residential building with service functions and underground garage, area management, entry to the real property and the necessary technical infrastructure, including municipal transformer stations, located in the area of plots with Nos. 110/1, 110/3, 110/4 within area 6-01-06, constructions of exits on fragments of road lanes of ul. Pereca, plot No. 10/1 within area 6-01-06 and construction of the necessary technical infrastructure on plots with No. 6, 10/1 within area 6-01-06 at ul. Waliców 11 in Warsaw, along with disassembly of a part of the Aurum office building located on plot with No. 110/3 within area 6-01-06 at ul. Waliców 11 in Warsaw.

Completion deadline of the agreement: 31 May 2019.

The value of the agreement amounts to: PLN 103.150 million net + VAT.

Payment deadline: 30 days from invoice receipt.

Guarantee period:

- 6 years for the investment task in total, encompassing, in particular, construction work and additional work, including finishing work;

- a minimum of 24 months for equipment and machines or for a longer period of time resulting from a guarantee indicated by the manufacturer of the equipment.

Performance bond for the contract: bank performance bond for the total amount of 10% of the net contract value.

The Management Board of Mostostal Warszawa S.A. ("Company") reports that the Company (“Consortium Leader”) together with the Consortium Partner ("Petitioner"), jointly represented by a litigation attorney, filed a petition yesterday in the District Court in Warsaw against the State Treasury - the General Director of National Roads and Motorways (“Defendant”) for payment of the amount of PLN 98,585,371.80 along with statutory interest from 31 December 2014 until 31 December 2015, along with statutory interest from 1 January 2016 until the date of payment.

The Petitioners seek claims from the Defendant resulting from the construction (between 2010 and 2012) of a section of A4 motorway Rzeszów Centralny - Rzeszów Wschód resulting from obstacles which the Petitioner encountered during the construction, for which the Defendant was responsible.