PFLEIDERER GRAJEWO SA Issue of Short-Term Bonds

The Management Board of Pfleiderer Grajewo S.A. reports that in order to optimise the management of financial liquidity within the Pfleiderer Grajewo Group, to decrease Company's external debts and to finance it's current business activities on May 14th and 15th ,2014 Pfleiderer Grajewo S.A. issued short-term bonds. The bonds were issued in accordance with the Bond Issue Programme signed with PEKAO S.A. Bank on 22.07.2003. The bonds were issued in compliance with the Law on Bonds dated 29 June 1995 in Polish zlotys, as bearer, dematerialized, unsecured, and zero-coupon securities. The redemption of the bonds will be at their nominal value.

The bonds were purchased by Pfleiderer Prospan S.A. subsidiary ofPfleiderer Grajewo SA . Bond's purchase was financed from own resources of Pfleiderer Prospan S.A..

Pursuant to the last periodical report worth of total liabilities wasPLN 457,5506,000.

Estimated worth of total liabilities on redemption date is PLN450,000,000.

Total value of issued during last 12 months short-term bonds exceeds 10%of value of the Company's equity which as at December 31st 2013 amounted to 623,029,000 PLN.

Conditions of the issues:

1. Issue of PLN 152,000,000

- number and value of bonds -15,200 bonds with a nominal value of PLN10,000 per bond

- redemption date: August 26th 2014

- unit nominal price of the bond - PLN 9,922.03

2. Issue of PLN 60,000,000

- number and value of bonds - 6.000 bonds with a nominal value of PLN10,000 per bond

- redemption date: August 27th 2014

- unit nominal price of the bond - PLN 9,922.03

3. Issue of PLN 37,000,000

- number and value of bonds - 3.700 bonds with a nominal value of PLN10,000 per bond

- redemption date: July 15th 2014

- unit nominal price of the bond - PLN 9,954.12

The criterion for recognising the contracts as significant is the valueof the Company's equity.

Pursuant to the Regulation of the Polish Council of Ministers on currentand periodic information to be published by issuers of securities and conditions for recognition as equivalent of information whose disclosure is required under the laws of a non-member state, dated February 19th 2009 (Dz. U. No. 33, item 259).

More information on page: biznes.pap.pl

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