Polenergia S.A. (‘Company’) hereby announces that the Company was notified that the total value of transactions in terms of wholesale electricity trading between the Company’s subsidiaries (‘Subsidiaries’) and EDF Trading Limited (‘Contractor’), concluded from 8th July 2015, i.e. the date of publication of Current Report No. 31/2015 regarding the total value of transactions with the Contractor, till 22nd February 2016, amounted to net PLN 136 651 698.87. This amount includes both the contracted income of the Subsidiaries, pursuant to the agreements on the sale of electricity to the Contractor (net PLN 59 837 403.11), and the contracted costs of the Subsidiaries arising from the agreements on the purchase of electricity from the Contractor (net PLN 76 814 295.76).
Therefore, the total net value of turnover between the Subsidiaries and the Contractor exceeded 10% of the Company’s equities.
Moreover, the Company announces that the transactions between Polenergia Obrót S.A. – one of the Subsidiaries – and the Contractor were generated on the basis of the EFET framework agreement of 31st October 2013 concluded between Polenergia Obrót and the Contractor (‘Framework Agreement’). The Framework Agreement governs all transactions that are carried out between the parties thereto, based on individual sales or option agreements, concerning the purchase, sale, delivery and acceptance of electricity. The Framework Agreement was signed with the use of a standard agreement applied in this type of agreements. The Framework Agreement was concluded for an indefinite period and may be terminated by either party upon 30 days’ notice. In the case of non-delivery or non-acceptance of electricity in the amount resulting from the provisions of individual sales agreements, the Framework Agreement provides for the stipulated penalty in the amount depending on the amount of undelivered or unaccepted electricity. In certain cases, the Framework Agreement provides for the right to seek compensation exceeding the value of the above-mentioned amount. The Framework Agreement does not contain any conditions precedent or subsequent.