2/2016 Establishment of securities for the credit agreement

Further to the current report no 28/2015 of 22 December 2015, Management Board of CPD S.A. (hereinafter the ”Company”) provides additional information concerning the security for the Developer bank loan. Yesterday the Company received the decision issued by the District Court for the Capital City of Warsaw XI Commercial Division – Register of Pledges concerning the entry to the register of pledges, the registered pledge over 100 shares of the company Smart City sp. z o.o. with its registered office in Warsaw, address: ul. Cybernetyki 7B, 02-677 Warsaw, entered to the register of business entities maintained by the District Court for the Capital City of Warsaw in Warsaw, XIII Commercial Division of the National Court Register under KRS number 0000528806.

On 1 February 2016 the Agreement for the establishment of registered pledge over the shares of the company Smart City spółka z ograniczoną odpowiedzialnością with its registered office in Warsaw, was concluded by and between Lakia Enterprises Limited with its registered office in Nicosia, Cyprus (“Pledgor”) and Bankiem Zachodnim WBK S.A. with its registered office in Warsaw (“Pledgee”).

Registered pledge was established over 100 shares in the share capital of the company Smart City sp. z o.o. with the nominal value of 50 zlotys each, constituting 100% of the share capital of the company. Nominal value of the package of 100 shares amounts to 5,000 zlotys.

Registered pledge was established up to the amount of 101469432 zlotys.

Lakia Enterprises Limited which has established the registered pledge over the shares in the share capital is the Company’s direct subsidiary.

Company and its officers and the Pledgee and its officers are not affiliated entities within the meaning of §2 par. 1 subpar. 32) of the Regulation.

Legal basis:

§ 5.1.1. of the Decree of Minister of Finance dated 19th of February 2009 on current and periodic information published by issuers of securities and conditions for recognizing as equivalent information required by law of nonmember state

Signatures of persons entitled to representation:

Elżbieta Donata Wiczkowska, President of the Management Board, 2 March 2016