Decision of Polish Financial Supervision Authority

UNOFFICIAL TRANSLATION

21.12.2017 - Report 68/2017: The decision of the Polish Financial Supervision Authority to approve funds raised from the issue of subordinated bonds for the increase of Bank's Tier 2 capital.

In reference to Current Report No. 51/2017 dated September 22nd, 2017 and Current Report No. 54/2017 dated October 19th, 2017, Management Board of Bank Polska Kasa Opieki S.A. (hereinafter: "Bank") informs that on December 21st, 2017 it received the decision of the Polish Financial Supervision Authority to qualify A series subordinated bonds with a nominal value of PLN 1,250,000,000 as Tier 2 capital instruments of the Bank as stated in art. 63 Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26th, June 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU) No 648/2012 on terms specified in the documents submitted in Bank's motion, i.e. in Terms And Conditions of Subordinated Bonds.

Inclusion of funds raised from the issue of subordinated bonds to the Bank's Tier 2 capital will result in an increase in the total capital ratio by approximately 1 p.p.

Legal basis: art. 17 of 1 MAR - inside information