Legal Basis: Article 56 Section 1 Item 2 of the Act on Offerings – current and periodic information
Body of the Report:
The Management Board of Jastrzębska Spółka Węglowa S.A. (“Company”, “JSW”, “Issuer”) hereby informs that on 10 May 2013 an agreement (“Agreement”) was entered into by and between Jastrzębska Spółka Węglowa S.A. with its registered office in Jastrzębie-Zdrój (referred to in the Agreement as the “Seller”) and U.S. Steel Košice s.r.o. with its registered office in Košice (referred to in the Agreement as the “Buyer”) with an estimated net value until the end of its term, i.e. until 31 March 2016, of approximately PLN 965 million (nine hundred sixty-five million Polish zloty), i.e. more than 10% of the Issuer’s equity.
The subject matter of the Agreement is deliveries of coking coal and PCI coal. The Agreement has been entered into for a term of three years, from 1 April 2013 to 31 March 2016, with an option of renewal for a further 2 (two) years. The Agreement may be terminated by either Party without specifying a reason for such termination, at any time, subject to 12 months' notice. The prices for coal deliveries will be agreed on a quarterly basis. The settlement currency of the Agreement is the euro.
The Agreement contains customary clauses related to the settlement of quality in the form of price discounts applied in standard contracts for deliveries of coking coal.
The other terms of the Agreement do not differ from those commonly used in this type of contract.
During the last 12 months, the total value of trade under agreements entered into between the JSW Capital Group companies and U.S. Steel Košice s.r.o. with its registered office in Košice, Slovakia, amounted to PLN 109.2 million (one hundred nine million two hundred thousand Polish zloty).
Therefore, the estimated value of the signed Agreement and the value of trade between the JSW Capital Group companies and U.S. Steel Košice s.r.o. during the last twelve months until the date of publication of this report has exceeded 10% of the Company’s equity.
Legal Basis: § 5 Section 1 Item 3 of the Regulation issued by the Finance Minister on 19 February 2009 on the Current and Periodic Information Transmitted by Securities Issuers and the Conditions for Recognizing the Information Required by the Regulations of a Non-Member State as Equivalent (Journal of Laws of 2009 No. 33 Item 259, as amended)