Concluding a significant agreement with CORINTH PIPEWORKS S.A.

Legal basis: Art. 56 Clause 1 Item 2 of the Offering Act - current and periodic information.

CONTENT OF THE REPORT:
The Management Board of Izostal S.A. (Company, Buyer) informs that on May 24, 2016 Izostal S.A. concluded a contract with the company CORINTH PIPEWORKS S.A. (Seller) with its registered office in Athens - Greece.

The subject of this contract is purchase by Izostal S.A. steel pipes from CORINTH PIPEWORKS S.A., with a total value of EUR 10,829 thousand (net), which after conversion by applying an average exchange rate of the National Bank of Poland as at the date of signing of the contract amounts to PLN 47,964 thousand (net).

According to contractual stipulations, the subject of the order will be delivered by the Seller until December 15, 2016.

In the case of delay in delivery, the Seller shall pay to the Buyer contractual penalties in the amount of 0.14% of the net remuneration specified in the contract for each calendar day of delay.
The contract provides that the penalties for delays in delivery are the only penalties charged by the Buyer.
The total amount of the contractual penalties charged to the Seller shall be limited to 15% of the net remuneration of contract.

The other conditions of the contract do not differ from the conditions applied commonly for such contracts.

The contract concluded with CORINTH PIPEWORKS S.A. meets the criteria of a significant contract due to the fact that its value exceeds 10% of the value of the Company’s equity capital.

Specific legal basis: §5 clause 1 item 3 of the Ordinance of the Minister of Finance of February 19, 2009 on current and periodic information disclosed by the issuers of commercial papers and the conditions for recognizing as equivalent the information required by the laws of a non-member state (Journal of Laws No. 33, item 259 as amended).

SIGNATURES OF PERSONS REPRESENTING THE COMPANY:
Management Board Vice President, Michał Pietrek  2016-05-24
Proxy, Mariusz Spałek 2016-05-24
 
INFORMATION ON THE ENTITY:
Full name of the issuer: IZOSTAL SPÓŁKA AKCYJNA
Abbreviated name of the issuer:  IZOSTAL S.A
Sector based on the classification of Warsaw Stock Exchange:  Other industry
Address: 47-113 Kolonowskie  Opolska 29
Telephone: (77) 405 65 00
Fax: (77) 405 65 01
e-mail:info@izostal.com.pl
www.izostal.com.pl
VAT No. [NIP]:756-00-10-641
Statistical No. [REGON]: 530884678