Current report no.: 8/2018 

Date of preparation: 2018-05-23

Abbreviated name of the Issuer: CIECH S.A.

Subject: Recommendation of the Management Board of CIECH S.A. regarding allocation of profit for 2017 and payment of dividend  

Legal basis: Article 17.1 of the MAR – Inside Information

Contents of the report:

The Management Board of CIECH S.A. (the "Company" or “Issuer”) herewith informs that on 23 May 2018, it adopted a resolution on its recommendation to the Annual General Meeting of the Issuer to:

1. allocate the net profit generated by the Company in 2017, amounting to PLN 243,907,228.06 (in words: two hundred and forty-three million nine hundred and seven thousand two hundred and twenty-eight and 06/100 Polish Zlotys) in its entirety, to the payment of dividend;

2. transfer the amount of PLN 56,482,253.24 (in words: fifty six million four hundred and eighty-two thousand two hundred and fifty three and 24/100 Polish Zlotys) from the reserve capitals created from net profits in order to allocate it to the payment of dividend;

3. distribute dividend in the amount of PLN 300,389,481.30 (in words: three hundred million three hundred and eighty-nine thousand four hundred and eighty-one and 30/100 Polish Zlotys), i.e. PLN 5.70 per share, from the net profit of the Company for 2017, increased by the amount transferred from the reserve capital created from net profits.

At the same time, the Management Board of CIECH S.A. informs that it intends to request the Supervisory Board of the Company to evaluate the application submitted to the Annual General Meeting of the Company regarding the allocation of the profit for 2017 and payment of dividend as per this recommendation of the Management Board of the Issuer.

Legal basis: Article 17.1 of the Regulation of the European Parliament and of the Council (EU) No. 596/2014 of 16 April 2014 on Market Abuse (the Market Abuse Regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC (Official Journal of the European Union L No. 173, p. 1) (the “MAR”).

Signatures of individuals representing the company:

Maciej Tybura - President of the Management Board
Artur Osuchowski – Member of the Management Board