Fondul Proprietatea

Pre-Annual General Meeting Information • Nov 3, 2020

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To: Bucharest Stock Exchange Financial Supervisory Authority London Stock Exchange

Current report according to Article 99 letter (s) of the Code of the Bucharest Stock Exchange, Title II, Issuers and Financial Instruments

Important events to be reported:

Information on the conduct of the General Shareholders Meetings convened for 13 November 2020

Franklin Templeton International Services S.À R.L., in its capacity as alternative investment fund manager and sole director (the "Fund Manager") of Fondul Proprietatea S.A. (the "Fund"), would like to update shareholders on the conduct of Fund's Extraordinary ("EGM") and Ordinary ("OGM") General Shareholders' Meetings convened for 13 November 2020.

Considering:

• the cumulative incidence rate calculated at 14 days at the level of Bucharest of over 3/1000 inhabitants on 2 November 2020 and the measures imposed at the level of Bucharest by the Decision of National Committee of Emergency Situations no. 26/25 November 2020¹ ;
• the measures imposed by Government Decision no. 856/14 October 2020 on the extension of the alert state on the Romanian territory starting with 15 October 2020² , according to which it is forbidden to organize and hold private events indoors (art. 1 point 12 of Annex 3);
• the opinion of the National Center for Coordination and Management of Intervention according to which the GSM may be considered as a private event and is subject to the provisions which forbid the holding of private events indoors, recommending to postpone the EGM and OGM or to hold it online;
• the fact that the competent authorities of the Romanian State have not explicitly prohibited holding the general shareholders meetings with physical presence until the date of this report,

the Fund Manager recommends shareholders to avoid non-essential travel and not to attend in person the EGM and OGM convened for 13 November 2020 at "ATHÉNÉE PALACE HILTON BUCHAREST" Hotel, Le Diplomate Salon, 1-3 Episcopiei Street, Sector 1, Bucharest, 010292, Romania and to exercise their voting right via correspondence, according to the procedure described in the Convening Notice published on 24 September 2020.

Report date: 3 November 2020

Name of the issuing entity: Fondul Proprietatea S.A.

Registered office: 78-80 Buzesti Street 7 th floor, district 1, Bucharest, 011017

Phone/fax number: Tel.: + 40 21 200 9600 Fax: + 40 21 200 9631

Email: office@fondulproprietatea.ro

Internet: www.fondulproprietatea.ro

Sole Registration Code with the Trade Register Office: 18253260

Order number in the Trade Register: J40/21901/2005

Subscribed share capital: RON 3,749,282,292.08

Paid-up share capital: RON 3,560,099,870.08

Number of shares in issue: 7,210,158,254

Number of paid shares: 6,846,345,904

Regulated market on which the issued securities are traded: Shares on Bucharest Stock Exchange

GDRs on London Stock Exchange

¹ https://b.prefectura.mai.gov.ro/wp-content/uploads/sites/2/2020/11/Hotararea-CMBSU-nr-26-din-02.11.2020.pdf

² http://legislatie.just.ro/Public/DetaliiDocument/231208

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Respecting shareholders' right to information, the Fund Manager will organize a videoconference on 5 November 2020, 5:00 PM (Romanian time), presenting the latest updates on the Fund (both in Romanian and in English) and will answer any questions that may be raised. Candidates for the position of member of the Board of Nominees will also participate in the videoconference and will answer questions from shareholders.

Shareholders interested in registering for the online videoconference, must express their intention by e-mail to the address office@fondulproprietatea.ro, sent no later than 5 November 2020, 4:00 PM (Romanian time), providing at the same time the full name as in the identity card and a contact telephone number or an e-mail address, so that their identity as shareholder can be verified and for contact purposes in order to communicate the organizational procedures to gain access to the videoconference.

The Fund Manager reminds that the vote can be exercised exclusively through the methods already announced through the convening notice published on 24 September 2020 and encourages shareholders to express their vote via correspondence.

If, despite the Fund Manager's recommendation not to attend in person the EGM and OGM and contrary to the prevention and safety measures that require the limitation of travel and physical contact, there will be shareholders who will present themselves at the place described in the convening notice, the Fund Manager notifies the following:

• 1. the Fund and the Fund Manager cannot be held responsible for the contamination of any shareholder with the SARS-CoV-2 coronavirus if the shareholder has decided on his own responsibility to travel and attend in person the EGM/OGM;
• 1. access to the premises of the "ATHÉNÉE PALACE HILTON BUCHAREST" Hotel is prohibited, and shareholders who attend will be invited to vote outdoors, in front of the main entrance of the "ATHÉNÉE PALACE HILTON BUCHAREST" Hotel, without being allowed to stay longer;
• 1. the physical presence of shareholders will be strictly limited to the time necessary for exercising the vote, and the voting results will be announced later, being published on the Fund's website;
• 1. shareholders who wish to attend in person the EGM and the OGM must express their intention by e-mail to the address office@fondulproprietatea.ro, sent no later than 12 November 2020, 5:00 PM (Romanian time), providing at the same time a copy of an identity document and a contact telephone number or an e-amil address, so that

identity as shareholder can be verified and for contact purposes in order to communicate the organizational procedures;

• 1. shareholders who present themselves without prior announcing their intention to attend the meetings and who did not receive confirmation that they can attend in person, will not be allowed to vote, as the limitation of physical contact does not allow their identification on the spot;
• 1. exercising their voting right will only be allowed to shareholders wearing protective equipment (mask and protective gloves) and if they respect the measures of physical distancing;
• 1. considering the existing restrictions and the limited timeframe, at this EGM and OGM no food or beverages will be served and physical interaction will be limited to taking over the votes.

Franklin Templeton Investment Management Ltd. United Kingdom Bucharest Branch acting as Investment Manager of FONDUL PROPRIETATEA S.A.

Johan MEYER Legal Representative