Opinion of the PFSC regarding the O-SII buffer

UNOFFICIAL TRANSLATION

28.06.2018 - Report 15/2018: Opinion of the Polish Financial Stability Committee regarding the level of the buffer of other systemically important institution O-SII

With reference to the current report No. 10/2018 dated 18th June, 2018, the Bank Polska Kasa Opieki Spółka Akcyjna ("Bank") hereby informs that on 28th June, 2018 it received the decision of the Polish Financial Stability Committee ("PFSC") dated 21st, June 2018, in which PFCS decided in favour of the imposition on the Bank the other systemically important institution O-SII buffer, acting pursuant to the Art. 39 (1) of the Macroprudential Supervision over the Financial System and Crisis Management Act ("Macroprudential Supervisory Act"), equivalent to 0.75% of the total amount of the risk exposure calculated in accordance with Art. 92 (3) of Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment companies amending Regulation (EU) No 648/2012 ("Regulation nr 575/2013").

Currently, the level of the buffer imposed on the Bank is equivalent to 0,50% of the amount calculated pursuant to Article 92(3) of Regulation (EU) No 575/2013.

The opinion of the PFCS was issued in connection with the pending administrative proceedings conducted by the Polish Financial Supervision Authority ("PFSA") regarding the review of the adequacy imposed on the Bank the buffer of the other systemically important institution O-SII. The Bank will inform in a separate report about the decision issued by the KNF in the above-mentioned proceedings.

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