Extension of validity of the guarantee for the proper performance of the contract "Construction of the pipeline DN700 Szczecin-Gdańsk"

The Board of Stalprofil on 10 September learned about signing by the insurance company Euler Hermes S.A. with its registered seat in Warsaw, at the request of the consortium composed of: ZRUG Zabrze S.A. and Stalprofil, an annex to the contract guarantees that prolong the terms of the guarantee the proper performance and proper removal of defects and faults of the contract entitled "Construction of the pipeline DN700 Szczecin-Gdańsk" granted to Gaz-System S.A. with its registered seat in Warsaw for Stage IV Słupsk-Wiczlino until 9 October 2015 redress for failure to perform or improper performance of the contract and until 9 October 2018 in terms of warranty claims.
The value of performance bonds and guarantees of proper removal of defects provided by the insurance company Euler Hermes S.A. for Stage IV has not changed and amounts to PLN 15,696,381.00 in connection with claims for non-performance or improper performance of the contract and PLN 4,708,914.30 in terms of warranty claims.
The financial terms on which the guarantees were granted are similar to those expected for this type of agreements.
The term of validity of the above guarantees has been extended at the request of Gaz-System S.A. in connection with another postponement of execution of the contract, signed on 10 May 2012 between the consortium composed of: ZRUG Zabrze S.A. (consortium leader) and Stalprofil S.A. (consortium member) and Gaz-System S.A. with its registered seat in Warsaw, for general investments under the name "Construction of the pipeline DN700 Szczecin-Gdańsk: Stage II Karlino-Koszalin, Stage III Koszalin-Słupsk and Stage IV Słupsk-Wiczlino".
Prolonged was only the validity of the guarantee for the due performance and guarantees of proper removal of defects for the fourth Stage of the Contract as Stage II Karlino-Koszalin and Stage III Koszalin-Słupsk have already been completed, and on 24 July 2015 subject to the procedure of final acceptance by OGP Gaz-System S.A.