Investor relations

Subject: Establishment of provisions as a result of asset impairment tests.

Legal basis: Article 17 section 1 of MAR – confidential information

Content of the report:

The Management Board of J.W. Construction Holding S.A. with its registered office in Ząbki ("Company") hereby informs that due to the impairment tests carried out in connection with the preparation of the report for the first half of 2020, it has decided to create revaluation write-offs due to:

1) impairment of subsidiaries:

- Bliska Wola 4 Sp z o.o. 1 Limited partnership with its registered office in Ząbki in the amount of approx. PLN 1.5 million,

- Bliska Wola 4 Sp z o.o. 2 Limited partnership with its registered office in Ząbki in the amount of approx. PLN 4.9 million,

2) impairment of loans granted to subsidiaries:

- J.W. Construction Bulgaria EOOD with its registered office in Varna (Bulgaria) in the amount of approx. PLN 6 million

- Yakor House with its registered office in Sochi (Russia) in the amount of PLN 1.5 million,

3) impairment of the expenditures incurred on the construction of water supply and sewage networks used to execute investments carried out by the Company in the amount of PLN 3.3 million.

The above events are of a non-cash nature and do not affect the liquidity situation of the Company and its Capital Group.

The estimated impact of the above-mentioned write-offs on the consolidated net result will amount to approximately minus PLN 2.6 million and to approximately minus PLN 13.9 million on the unconsolidated net result.

More detailed and final data will be presented in the published consolidated semi-annual report containing selected data of the unconsolidated report.