ZPC Otmuchow : Current report No. 35/2016

Otmuchow, November 30h 2016

Current report no 35/2016

Subject: Disclosure of confidential information about the delayed negotiations on the sale of generation assets.

The Management Board of ZPC Otmuchów SA (The Issuer, the Company) on 30th November 2016 was informed of the withdrawal by the other party ie. by one of the producers operating in the food industry (the Contractor) of the negotiations concerning the sale of the Issuer's generation assets in the form of shares Jedność sp. z o.o. (Jedność). The reason for termination by the other side of the negotiation were discrepancies expectations of the parties as to the pricing terms of the potential transaction.

At the same time, the Issuer announces that, based on updated assumptions of the strategic directions of development of the ZPC Otmuchów, generation assets, including shares of "Jedność", remains subject the planned divestment transactions.

The company explains the fact that information about the accession on 5 October 2016 by the Contractor to negotiate the purchase of shares of "Jedność" was the confidential information, the publicity has been delayed in accordance with Article 17 paragraph 4 Regulation of the European Parliament and of the Council (EU) No 596/2014 of 16 April 2014 on market abuse (the Regulation on market abuse), and repealing Directive 2003/6 / EC of the European Parliament and of the Council and the Commission Directive 2003/124 / EC, 2003/125 / EC i2004 / 72 / EC.