Investor relations

Report concerns:
Receipt of a copy of the application for bankruptcy of the Company

Report’s text:
Acting pursuant to section 5.1.(24) of the Ordinance of the Minister of Finance on current and periodical reporting by issuers of securities and on conditions of accepting as equivalent of the information required by legal regulations of a non-member country of 19 February 2009 (Journal of Laws No. 33/2009, item 259) (henceforth the Ordinance), J.W. Construction Holding S.A., with its seat in Ząbki (henceforth the Company) hereby reports that on 9 July 2009 the Company received a copy of the application filed with the District Court for the Capital City of Warsaw, 10th Commercial Division for Bankruptcy and Reorganization by a natural person (the Company’s Client) (henceforth the Client) concerning declaration of bankruptcy including liquidation of the Company’s assets (henceforth the Application).

In the Company’s opinion, the application was filed by the Client in bad faith in the meaning of Article 34 of the Bankruptcy and Reorganization Law as there were (and there are) no factual or legal grounds for filing thereof, and in particular no prerequisites under Article 11.1 of the Bankruptcy and Reorganization Law, especially those concerning the financial standing and assets of the Company, that would justify filing the Application.

The Client’s claims being the basis of the Application concern settlements under a concluded agreement imposing an obligation to construct and sale a unit (the amount of about PLN 330,000) and have not been confirmed by either documents or court judgements, and constitute an attempt to extort undue benefits. The Company has responded and will respond to the actions undertaken by the Client and aimed at extortion in a determined manner by taking all possible legal actions.

Moreover, the Company wishes to emphasise that its financial situation and assets give no grounds for filing an application for bankruptcy.