22/2016 - Organisational structure optimisation

The Management Board of Trakcja PRKiI S.A. (hereinafter: "the Company") announces that in view of the significant delay of the Financial Framework 2014-2020 in terms of public tenders to be announced on the infrastructure market, mainly the railway market, having thoroughly analysed all the business and societal aspects, the Management Board has taken today a decision on the optimisation of the Company's organisational structure, which in result leads to the reduction in the number of jobs under Articles 2.3 and 2.4 of the Act of 13 March 2003 on special rules for termination of employment contracts for reasons not attributable to employees (Journal of Laws [Dz. U.] of 2003, No. 90, item 844, as amended).

The Management Board has announced today the Terms of Redundancies and provided relevant information to the trade unions operating within the Company. Also, the competent District Labour Office was provided with relevant information on this matter. The termination of employment contracts will apply to a group of employees of up to 300 people in total, in the period from 23 September 2016 to 30 June 2017.

The Management Board believes that the workforce reduction will result in a significant decrease in fixed costs in the years to come, starting with 2017. The detailed amount of savings will be possible to be estimated only after the completion of the optimisation process.

The Management Board will monitor the market situation and actively respond to any changes.

General legal basis:

Article 17.1 of MAR confidential information