The position of the Polish Financial Supervision Authority

Implementing the recommendation of the Office of the Polish Financial Supervision Authority (‘FSA’) contained in the letter of 5 August 2019, the Board of Directors of Przedsiębiorstwo Przemysłu Spożywczego PEPEES S.A. (‘the Company’) hereby publishes the position of the FSA contained in the letter of 26 June 2019, ref. no. DNO.4550.84.2019.AB (‘the Position’).
The position was drawn up in connection with reports Nos. 13-23/2019 published by the Company regarding (i) the bringing to court of an action to assert that one of the Company’s shareholders – EPSILON Fundusz Inwestycyjny Zamknięty Aktywów Niepublicznych with its registered office in Warsaw (‘Epsilon FIZAN’), which, according to the information available to the Company, holds 27,714, 832 shares, due to the breach of the obligation to notify of the acquisition of qualifying holdings pursuant to Article 89(1)(1) of the Polish Act on public offering and the conditions for introducing financial instruments to an organised trading system, and on public companies (‘the Public Offering Act’), has lost and may not exercise its voting rights attached to 21,402,233 shares; and (ii) corrected interim reports of the Company for the years 2016–2019 in relation to the percentage of the total number of votes held by Epsilon FIZAN, by indicating that the majority of the shares held by Epsilon FIZAN were subject to the ban to exercise voting rights from them pursuant to Article 89(1)(1) of the Public Offering Act.
Pursuant to the Position, “only an independent common court has the competencies to determine the occurrence of legal effects referred to in Article 89 of the Public Offering Act. Therefore, depriving shareholders arbitrarily of their voting rights by a public company acting independently without a final decision of a common court is unacceptable.”

SIGNATURES OF THE COMPANY’S REPRESENTATIVES
Date Name and surname Position/Function Signature
2019-08-06 Wojciech Faszczewski President of the Board of Directors
2019-08-06 Tomasz Rogala Member of the Board of Directors