Current report no 37/2016 of 15 November 2016 – Settlement of works at the National Stadium in Warsaw

This current report was published via ESPI system on 15 November 2016, at 20:00

With regard to the current report no 36/2016 of 11 November 2016 the Management Board of Qumak S.A. (hereafter referred to as the “Company”) informs that on 15 November 2016 the Company received the amount of PLN 5.9 million (i.e. receivables of Qumak S.A., under the settlement, in the amount of PLN 7.5 million decreased by contract servicing costs and legal costs). The above-mentioned amount is a final settlement of claims of the Company concerning the works performed within the frames of the realization of the construction of the National Stadium together with the accompanying infrastructure in Warsaw by a Consortium of companies: ELEKTROBUDOWA S.A., QUMAK S.A. and AGAT S.A. (hereafter referred to as the “EQA”).

As previously stated, as a part of a settlement procedure, on 11 November 2016 ELEKTROBUDOWA S.A., as a leader of the Consortium EQA, and other parties to the dispute, submitted to a notarial deposit statements concerning renouncement of claims regarding this dispute.

On 14 November 2016 there was made a court settlement between the State Treasury with NCSR and Zurich Insurance plc – the guarantor of a performance bond of the investment, as a result of which the EQA claims have been satisfied.

 

On the day of this court settlement and making the payment, the statements submitted to the deposit on 11 November 2016 will be delivered to the addressees and will have legal effects. Under the agreement the Consortium EQA will take appropriate actions to end court disputes concerning the EQA and the EQA will abandon pursuing further claims against the NCSR or the State Treasury concerning the project, i.e. will withdraw remuneration payment claims.

 

In 2013 the Company created a write-down for an entire amount of the disputed overdue receivables in this project in the value of PLN 6.4 million. This write-down has been dissolved which directly influenced the Company’s result for the period of the 3rd quarter of 2016.

 

 

Legal ground:

MAR Article 17 – confidential information