PLAISIO COMPUTERS S.A.

ANNUAL FINANCIAL REPORT 01.01.2018 – 31.12.2018

G.Ε.ΜI. No: 121561160000 MAGOULA ATTICA (LOCATION SKLIRI) PLAISIO COMPUTERS S.A.

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Annual Financial Report January 1st to December 31st 2018, conducted according to article 4 of the law 3556/2007 and to the relevant decisions of the Hellenic Capital Market Commission

It is asserted, that this Annual Financial Report for 2018 (01.01.2018-31.12.2018) is the one approved by the Board of Directors of Plaisio Computers S.A. on March 21st 2019 and is posted on the legally registered website www.plaisio.gr, where it will remain at the disposal of the investing public for at least ten (10) years after its publication.

CHAPTER 1: STATEMENTS OF THE MEMBERS OF THE BOARD 3
CHAPTER 2. REPORT OF THE BOARD OF DIRECTORS FOR THE PERIOD 2018 4
INTRODUCTION 4
UNIT A: IMPORTANT EVENTS OF THE YEAR 2018 5
UNIT B: MAIN RISKS AND UNCERTAINTIES 10
UNIT C: IMPORTANT TRANSACTIONS WITH RELATED PARTIES 15
UNIT D: ANALYTICAL INFORMATION, ACCORDING TO ARTICLE 4 PAR.7 OF THE LAW 3556/2007, AS IT IS VALID
TODAY 16
UNIT E: INFORMATION FOR LABOR AND ENVIRONMENTAL ISSUES 19
UNIT F: DEVELOPMENT AND PERFORMANCE OF THE GROUP 19
UNIT G: ALTERNATIVE PERFORMANCE MEASURES (APM) 23
UNIT H: ASSESSMENT OF THE EVOLUTION OF THE ACTIVITIES OF THE GROUP DURING 2019 24
UNIT I: OTHER INFORMATION-TREASURY SHARES-EVENTS THAT TOOK PLACE AFTER THE END OF THE PERIOD 25
UNIT J: NON FINANCIAL POSITION (BASED ON 4403/2016 & ARTICLE 151 OF L 4548/2018) 26
UNIT IA: STATEMENT OF CORPORATE GOVERNANCE 34
CHAPTER 3: INDEPENDENT AUDITOR'S REPORT 49
CHAPTER 4: ANNUAL FINANCIAL STATEMENTS 54
COMPREHENSIVE INCOME STATEMENT 01/01 – 31/12/2018 54
STATEMENT OF FINANCIAL POSITION 55
STATEMENT OF CHANGES IN NET EQUITY 56
CASH FLOW STATEMENT 57
NOTES TO THE ANNUAL FINANCIAL STATEMENTS 58
1. General information 58
2. Summary of significant accounting policies 59
3. Risk management policies 75
4. Critical accounting estimates and judgments 78
5. Segment information 78
6. Tangible Assets 80
7. Intangible Assets 83
8. Group Structure and Method of Consolidation 85
9. Other Investments 86
10. Other non-current assets 87
11. Inventories 87
12. Trade and other receivables 88
13. Other receivables 89
14. Cash and cash equivalents 90
15. Share capital and difference above par 90
16. Reserves 91
17. Loans 92
18. Deferred Income Tax 94
19. Provisions for pensions and similar commitments 96
20. Provisions 97
21. Deferred Income 98
22. Suppliers and related current liabilities 99
23. Other Income 99
24. Income tax expense 99
25. Related party transactions 101
26. Litigations 103
27. Obligations 104
28. Profit per Share 105
29. Dividend per Share 105
30. Number of personnel 105
31. Post balance sheet events 106

CHAPTER 1: STATEMENT OF THE MEMBERS OF THE BOARD

The following members of the Board of Directors of the "Company Plaisio Computers S.A." and especially:

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1. George Gerardos of Konstantinos, resident of Magoula Attica, Thesi Skliri, Chairman of the Board of Directors and CEO
1. Konstantinos Gerardos of George, resident of Magoula Attica, Thesi Skliri, Vice-Chairman of the Board of Directors and CEO
1. George Liaskas of Charilaos, resident of Vrilissia Attica, 9 Kolokotroni Street, Member of the Board of Directors,

with our above-mentioned capacity and according to article No. 4, paragraph 2, case c, of the law 3556/2007, as it stands today, and as especially assigned from the Board of Directors of the Public Listed Company under the name "PLAISIO COMPUTERS SA" (hereafter referred to as the "Company" or as "PLAISIO"), we state and we assert that to the best of our knowledge:

(a) The financial statements of the Company (and the consolidated) for the period 2018 (01.01.2018-31.12.2018), which were compiled according to the standing accounting standards, depict in a truthful way the assets and the liabilities, the equity and the results of the Group and the Company, as well as the companies which are included in the consolidation as a total, and

(b) The Report of the Board of Directors of the Company presents in a truthful way the significant events that took place in the financial year of 2018, the evolution and the position of the Company, as well as the companies that are included in the consolidation as a total, including the main risks and uncertainties they face.

Magoula Attica, March 21st 2019 The asserting,

The chairman of the Board & C.E.O. The members that were appointed by the Board of Directors

George K. Gerardos Konstantinos G. Gerardos George C. Liaskas ID no. ΑΙ 597688 ID no. AM 082744 ID no. ΑB 346335

CHAPTER 2: REPORT OF THE BOARD OF DIRECTORS FOR THE PERIOD 2018

INTRODUCTION

The present Report of the Board of Directors (from now on referred to as the ''Report''), which follows refers to the financial year of 2018 (01.01.2018-31.12.2018).

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This Report was compiled and is in line with the relevant stipulations of the law 2190/1920 (since 01.01.2019 with the law 4548/2018) and the law 3556/2007 (Government Gazette 91A'/30.04.2007), as well as the published decisions of the Hellenic Capital Market Commission and especially the Decisions of the Board of Directors of the Capital Market Commission with numbers 8/754/14.04.2016 and 1/434/03.07.2007 and with the decision with number 62784/06.06.2017 of G.E.MI of the Ministry of Economy, Development and Tourism.

The present Report contains in a brief, but substantive manner all the important units, which are necessary, based on the above-mentioned legislative frame and depicts in a truthful way all the relevant indispensable according to law information, in order to deduce a substantive and well-founded appraisal of the activity, during the time period in question, of the company "PLAISIO COMPUTERS SA" as well as of the Group. In the Group, apart from Plaisio, also the following associated companies are included:

Plaisio Computers J.S.C., which is located in Sofia Bulgaria, in which Plaisio participates with 100%.
Plaisio Estate S.A, which is located in Kiffisia Attica, in which Plaisio participates with 20%.
Plaisio Estate J.S.C, which is located in Sofia Bulgaria, in which Plaisio participates with 20%.

The present Report accompanies the financial statements of 2018 (01.01.2018-31.12.2018). Given that the Company also compiles consolidated financial results, the present report is single, the main point of reference is the consolidated financial figures of the Company and the associate companies, and the parent company's figures are referred to when it is considered necessary in order to better understand its content. For the above mentioned reasons, the information needed according to the case b', paragraph 3 of article 107a of the law 2190/1920, is included in the present chapter of the Report of the Board of Directors that also includes the Corporate Governance Statement.

This Report is included integral with the financial statements of the Group and the Company and the other elements that are dictated by the law elements and statements of the financial report that refers to the financial year of 2018. The units of the Report and their content are as follows:

UNIT A: IMPORTANT EVENTS DURING THE FISCAL YEAR OF 2018

The important events which took place during the fiscal year 2018 (01.01.2018-31.12.2018), for the Company and the Group, plus their impact on the financial results are the following in the order they took place:

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1. Replacement of member of board of directors and president of audit committee

The Company informed the investing public on January 10th 2018, according with the ATHEX Rulebook, the c.l. 3016/2002 and the article 2 par. 2 case e' of the decision of the BoD of the Hellenic Capital Market Commission with number 3/347/12.07.2005 as well as the article 17 par. 1 of the 596/2014 Rule of the European Parliament and Council of the 16th April 2014, that the Board of Directors of the Company during its sitting on 10th January 2018 elected as Independent non-executive member Mr. Filippos Karagkounis of Anastasios, in replacement of the resigned Independent Non- Executive Member Mr. Nikolaos Tsiros of Konstantinos. The validation of the election took place in the next Ordinary or Extraordinary General Shareholder Meeting.

The Board of Directors constituted in a body for the rest of its service duration (until 02.04.2020), as follows:

1) George Gerardos of Konstantinos, Chairman of the Board of Directors and CEO (executive member).
2) Konstantinos Gerardos of George, Vice-President of the Board of Directors and CEO (executive member).
3) George Liaskas of Charilaos, non-executive Member of the Board of Directors.
4) Antiopi-Anna Maurou of Ioannis, non-executive Member of the Board of Directors.
5) Filippos Karagkounis of Anastasios, Independent non-executive Member of the Board of Directors and
6) Elias Klis of George, Independent non-executive Member of the Board of Directors.

Moreover, the Board of Directors during its sitting approved, according to the article 4 of the c.l. 3016/2002 and the article 44 of the c.l. 4449/2017, the replacement of the resigned President of the Audit Committee and Independent non-Executive Member of the BoD, Mr. Nikolaos Tsiros of Konstantinos by Mr. Filippos Karagkounis of Anastasios, who fulfils the law prerequisites, has extensive knowledge in the Company's sector and in accounting and auditing. The validation of the election of Mr. Filippos Karagkounis as a Member and President of the Audit Committee took place in the next Ordinary or Extraordinary General Assembly of the Shareholders. Consequently, the new Audit Committee constituted as follows:

1) Filippos Karagkounis, Independent, Non-executive Member of BoD, President of the Audit Committee.
2) Elias Klis, Independent, Non-executive Member of BoD, Member of the Audit Committee and
3) Antiopi-Anna Maurou, non-executive member of BoD, Member of the Audit Committee.

2. Renewal of the appointment of market maker

The Company informed the investing public on February 28th 2018, that the duration of the market making agreement signed on the 16th of February 2015 with Eurobank Equities S.A. is extended for one (1) more year and particularly by the 1st of March 2019. It is noted, based on the aforementioned contract and according to the terms and conditions of the agreement, Eurobank Equities S.A., with its capacity as market maker of the shares of the Issuer and for the improvement of the Issuer's liquidity, will transmit to the Trading System of the Athens Stock Exchange market making orders (i.e. simultaneous buy and sell orders) for its own account on the Issuer's shares, in accordance with those rules specifically defined by law and the Issuer will pay the agreed fee to Eurobank Equities S.A. for the aforementioned service.

3. Presentation to the Hellenic Fund & Asset Management Association

During the annual presentation of Plaisio Computers to the Hellenic Fund & Asset Management Association, the activities and the financial figures of the Group were presented on April 25th 2018. Group sales came up to € 286 m. from € 283 m. in 2016, improved by 1% due to the performance in the second semester (sales increase 5%). The Group achieved an increase in EBITDA by 5,9% to € 10,7 m. from € 10,1 m.. Even if the environment remains particularly demanding and competitive, 2017 wan an extremely positive year, because a substantial increase was accomplished to all the basic financial figures.

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Konstantinos Gerardos, Vice President and CEO of the Company after the presentation of the financial results, mentioned the below facts of 2017:

The significantly successful "back to school" period with 330.000 transactions and a constantly improving course since the entrance of Plaisio in this market in 2013
The more than double increase in sales of the Black Friday, where the amount of visitors overcame the 2.000.000 in plaisio.gr and despite their massiveness the orders were delivered within 24 hours
The remarkable Christmas period, that was not undermined by the sales of Black Friday
The impressive evolution in the sales from the channel of Internet (+12% YoY) and
The performance of commercial activities which took place in Bulgaria and led to an increase of subsidiary's sales by 15,2% in 2017.

There was a special reference to the actions of the voluntary team #plai_sou, and to the Group rewards which were achieved in 2017, standing out to the award of Great Place to Work®.

The presentation was concluded with the reference to the strategy which is focused to growth, to realization of significant actions and to an investing plan of about € 10 m. for the next two years.

4. Renewal of the appointment of market maker

The Company informed the investing public, that the duration of the market making agreement signed on the 11th of April 2014 with BETA SECURITIES S.A. is extended for one (1) more year and particularly by the 4th of May 2019.

It is noted, based on the aforementioned contract and according to the terms and conditions of the agreement, BETA SECURITIES S.A., with its capacity as market maker of the shares of the Issuer and for the improvement of the Issuer's liquidity, will transmit to the Trading System of the Athens Stock Exchange market making orders (i.e. simultaneous buy and sell orders) for its own account on the Issuer's shares, in accordance with those rules specifically defined by law.

5. Annual Ordinary General Assembly

The Company announced that on Tuesday May 22nd 2018 at 17:00, the annual Ordinary General Assembly took place at the Headquarters of the Company. The Shareholders, who attended in person or by correspondent, representing 19.339.851 common shares and equal voting rights, or 87,61% of a total of 22.075.665 shares and equal voting rights of the Company.

The annual Ordinary General Assembly of the Company approved each of the following issues of the Assembly's Agenda, according to article 10 of the law 3884/2010, which have been uploaded to the legally registered website of the Company on G.E.MI (www.plaisio.gr).

Issue 1st: The stockholders unanimously approved the Financial Report of the Company and of the Group, that

*These financial statements and notes to the financial statements have been translated to English from the original statutory notes that have been prepared in the Greek language. In the event that differences exist between this translation and the original Greek language financial statements, the Greek language financial statements will prevail over this document 6 refers to the 29th corporate year ended on 31.12.2017 along with the Annual Financial Statements (of the Company and of the Group) of the relevant corporate year, as well as the relevant annual Reports of the Board of Directors and of the Auditors in the exact form they published and submitted to the registered website of the Company to G.E.MI., to the Athens Stock Exchange and the Hellenic Capital Market Commission.

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Issue 2nd: The stockholders unanimously approved the disposal of results of the year ended on 31.12.2017, as well as, the distribution of the results of the 29th corporate year of 2017 (01.01.2017-31.12.2017) and especially approved the proposition of distribution of dividend of total amount 1.545.296,55 Euro (gross amount), i.e. 0,07 Euro per share of the Company (gross amount) from which the tax of 15% should be withheld.

Eligible to the aforementioned dividend were the shareholders that were registered in the Dematerialized Securities System (DSS) on Wednesday May 30th 2018 (record date).

The ex-dividend date was Tuesday May 29th 2018 according to article 5.2 of the ATHEX Rulebook.

The payment of the dividend for the year 2017 began on Tuesday, June 5th 2018 and paid according to the procedure ruled by the ATHEX Rulebook and the payment bank "Eurobank Ergasias S.A.", according to the limitations regarding the cash withdrawals and the capital transfers which were imposed since 18.07.2015 (Government GazeƩe: A΄ 84/18.07.2015), as it was in force.

Simultaneously, the General Assembly authorized the BoD to act so that the above mentioned decision is executed regarding the distribution of dividend.

Issue 3rd: The stockholders discharged by majority (votes for: 19.309.851, votes against: 30.000) the Members of the Board of Directors and the Auditors of the Company from every liability and indemnification deriving from their activities during the 29th fiscal year ended on 31.12.2017 as well as for the Annual Financial Statements.

Issue 4th: The stockholders approved by majority (votes for: 19.307.340, votes against: 32.511) after the relevant proposal-suggestion of the Audit Committee and of the Board of Directors the election of the Auditing Company "BDO Certified Public Accountants SA" (173) and more specifically Mrs. Olympia G. Barzou (21371) for the position of the Regular Auditor and Mrs. Maria A. Lymperi (52761) for the substitute auditor for the corporate year 2018 (01.01.2018-31.12.2018) for the auditing of the annual and semi-annual financial statements of the Company. This Auditing Company will also issue the relevant tax certificate for the financial year 2018, according to article 65A, of the law 4174/2013.

At the same time, the General Assembly by its decision empowered the Board of Directors of the Company to agree with the above-mentioned auditing company regarding with its remuneration for the auditing of the current financial year and also for issuing the relevant tax certificate. The acceptance of the quotation should be returned to the chosen auditing company within 5 days from its approval.

Issue 5th: The stockholders approved by majority (votes for: 19.299.884, votes against: 39.967) the remunerations of the members of the Board of Directors of the Company for their services in 2017 (01.01.2017- 31.12.2017), and determined and preapproved their remunerations for the current fiscal year 2018 (01.01.2018- 31.12.2018) until the next annual Ordinary General Assembly.

Issue 6th: The stockholders by majority (votes for: 19.338.556, votes against: 1.295) granted the consent regarding the participation of the members of the BoD in Board of Directors or the management of affiliated companies or subsidiaries of the Group that have similar objectives to the ones of the Company according to article 23, par. 1 of the law 2190/1920.

Issue 7th: The General Assembly informed for the election of the new Board Member in replacement of the resigned Member according to c.l. 2190/1920, and more specifically the election of Mr. Filippos Karagkounis of Anastasios in replacement for the rest of the service duration (i.e. 02.04.2020), of the resigned Independent, non-

^*These financial statements and notes to the financial statements have been translated to English from the original statutory notes that have been prepared in the Greek language. In the event that differences exist between this translation and the original Greek language financial statements, the Greek language financial statements will prevail over this document 7

executive member Mr. Nikolaos Tsiros of Konstantinos. In parallel, the General Assembly unanimously approved the aforementioned election according to article 3 of c.l. 3016/2002 (as Mr. Karagkounis elected as Independent, non-executive Member), taking into consideration the fact that the elected temporary member fulfills the law prerequisites for independence.

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Issue 8th: The General Assembly decided by majority (votes for: 19.338.635, votes against: 1.216) the appointment of the Audit Committee according to the provisions of article 44 of the c.l. 4449/2017, with the following composition: 1) Filippos Karagkounis of Anastasios, 2) Ilias Klis of Georgios and 3) Antiopi-Anna Mavros of Ioannis. All the members fulfil the law prerequisites (independency from the audited firm and extensive knowledge in accounting and auditing) and they have extensive knowledge in the Company's sector.

Issue 9th: The General Assembly decided unanimously the expansion and supplementation of the Company's scope, in order to include more activities related to educational and training services and the conduction of seminars and speeches relating directly or indirectly with computer science and state-of-the-art technology products, robotics, software programming, multimedia, networks, telematics, the portal creation, the telecommunications, the social networks and their applications. Simultaneously, the General Assembly approved unanimously the amendment of Article 4 of the Company's Memorandum as it has been announced as a draft by the Company, according to article 27 par. 3, case (d) of the c.l. 2190/1920.

Issue 10th: The General Assembly approved by majority (votes for: 19.275.991, votes against: 63.860) to grant specific permission according to par. 2 article 23a of c.l. 2190/1920 for the conduction of services agreement for managerial and accounting support and a contract agreement for logistics services (3PL agreement) between the Company and the Societe Anonyme BULDOZA S.A. which is a company under Mr. Konstantinos Gerardos' interests and, as a result, it is an entity covered by par. 5 of article 23a of the c.l. 2190/1920.

6. Participation in Projects or Procurements of the Public Sector

The Company informed the investing public on June 21st 2018, according to paragraph 5, article 1 of the Presidential Decree 82/1996, its intention to participate in the electronic open public tender, which was announced with decision number 02/2018 of the Ministry of Education, Research and Religious Affairs for the procurement and installation of TCC at the school units of the region of Thessaly , of budget of 5.502.435 Euro (including VAT) and the deadline for the submission was on July 11th 2018. The Company generally intends to participate, within a year from today, in the undertaking of projects, services or procurements of the Public sector, public entities, local authorities or the legal entities of the broader public sector. It was also announced to all our shareholders that have not registered their shares until natural person, within the meaning of the above mentioned Presidential Decree No 82/1996, that the non-compliance of Societes Anonymes - shareholders of our company to the above, bears the consequences provided by article 2, par. 3 of Presidential Decree 82/1996.

7. Announcement for the completion of the partial tax audit

The Company announced to the investors on September 18th 2018, according to paragraph 4.1.3.1. of the ATHEX Rulebook and according to the article 17 par.1 of c.l. 596/2014 of the European Parliament and the Council of 16th April 2014, that the partial tax audit was completed after its execution according to c.l. 4172/2013 of the timely submitted statement of tax income of the tax year 2015 for the refund of the credit amount which was came up from the statement's clearance.

The partial tax audit certified the completeness and the accuracy of the submitted documents and concluded to the return of the applied amount of 592 th. €, which was came up by the tax income statement for the tax year 2015. Consequently, there is not any effect to the financial results of the Company from the aforementioned tax audit.

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8. Deadline for collection of share dividend 2012

The Company informed the investing public on December 13th 2018, that the date 31st December 2018 marks the five year deadline for collection of the dividend for the financial year 2012 (01.01.2012-31.12.2012), amounting (after the deduction of the respective tax, based on the c.l. 3943/2011) to € 0,09 per share. Shareholders entitled to the said dividend were those who held company shares at the close of trading on the Athens Stock Exchange on Friday 24th May 2013.

Shareholders entitled to the aforementioned dividend for the financial year 2012 and for whichever reason they have not collect it, they were pleased to proceed to the collection of it before the above mentioned date (31.12.2018).

After 31st December 2018, the dividend claims for the financial year 2012 that have not been collected by their beneficiaries will be time-barred, abiding to current legislation, in favor of the Greek State.

UNIT B: MAIN RISKS AND UNCERTAINTIES

The risks the Group is exposed to and the potential risks may arise during the financial year 2019, are the following:

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Macroeconomic Situation in Greece – Capital Controls

Since June 2015, capital controls and restrictions to the free flow of funds have been imposed. These, among other things, include approval processes for payments abroad and thus, affect domestic transactions as well as transactions with foreign vendors and creditors.

Nevertheless, capital controls having existed for four years already, have been restricted only to the flow of funds abroad, which requires specific approval processes. Since these processes have become much more flexible because of the increased participation of the banking system and the company has automatized the submission for approval process to the banks. As a result, the effect on the activities of the company has drastically been restrained.

In any case, the full withdrawal of such restrictions is expected and as a consequence any cost of monitoring and implementing such process will be eliminated. Under this scope, no negative effect is expected on Plaisio's activities. Concerning, financing via bank loans, Plaisio doesn't face any such restriction as in effect can draw shortterm loans and mid-term loans and has broad liquidity that allow to negotiate satisfactory financing terms.

The main risks are analytically presented below:

1. Interest Risk

The long-term bond loans of the Company and the Group, on December 31st 2018, were 8.940 th. Euro (11.273 th. Euro on 31.12.2017) and the short-term bond loan was 2.333 th. Euro (1.604 th. Euro on 31.12.2017). From the total bond loans, the 5.873 th. Euro refers to two common bond loans from NBG, while the remaining amount refers to a common bond loan with floating interest rate from Eurobank SA..

The short-term bank loans were null on 31.12.2018 (0 th. Euro on 31.12.2017). The aim of the issuance of the two new bond loans of total amount of 12.000 th. Euro during 2017, was the refinancing of the short-term bank loans of the Group with loans with long-term payment terms. The total bank debt of the Company was decreased to 11.273 th. Euro from 12.877 th. Euro, on 31.12.2017 (approximately -12,5%).

The following table presents the sensitivity of both the results of the period and the net equity to a change of the interest rate of +1% or -1%. As a result of the decreased debt, the sensitivity is limited. The relevant influence is presented as follows:

Α) Interest Rate increase by 1%:

the results of the period as well as the Net Equity of the Group and of the Company, in that case, would decrease by 110 th. Euro and 120 th. Euro in 2018 and 2017 respectively.

B) Interest Rate decrease by 1%:

The results of the period as well as the Net Equity of the Group and of the Company, in that case, would increase

by 110 th. Euro and 120 th. Euro in 2018 and 2017 respectively.

The level of the interest rates is positively influenced in a micro-economic level by the capital structure of the Group and the stable timely repayments of any kind of financial liabilities and the co-operation relationships the

Group retains with the banks. As a consequence, it is noted the wide liquidity of the Group and the fact that the cash and cash equivalents exceed the Group's total short-term and long-term borrowings in the last years.

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2. Credit Risk

The Group has no significant credit risk, mainly because of the large dispersion of its customers. Retail sales are paid in cash or via credit cards, whereas for wholesales the Group has all the necessary internal procedures and policies, according to which it approves a credit limit, examining the creditworthiness of the customer, on a case by case basis, separately. Furthermore, it is a Group's policy, that the largest amount of receivables from customers is insured. The Company has divided its customer's base to named and non-named customers. The balances of the Public Sector are not insured.

The Company and the Group form a provision for doubtful receivables, as stated analytically in Note 12 of the Annual Financial Report.

On December 31st 2018 the total balance of customers and other trade receivables (not including the subsidiary) was 20.735 th. Euro and 19.911 th. Euro, respectively, while the provision for doubtful receivables was 2.855 th. Euro and 2.774 th. Euro, for the Group and the Company, respectively.

The above mentioned bad debt provision includes:

a) a strictly defined provision for all the customers that have been characterized as doubtful,

b) a specific provision for all the customers that have overdue balances based on the ageing of their balances,

c) a provision, based on the increased level of risk because of the conditions of the economic environment taking into consideration : 1) the reduced liquidity of Greek businesses and 2) the difficult access to bank financing.

It is noted that this provision includes also non-overdue receivables. For this provision the balances of all the customers have been taken into account, with the exception of the receivables from Plaisio Computers JSC, as it is considered that there is no risk of non-collection of these particular balances,

d) the Group has already formed a provision for the balances from the Public Sector. It is noted that this provision also includes non-overdue balances. The decrease in the percentage of the provision is attributed in the application of IFRS 9 with the retrospective method and the recognition of the cumulative effect (note 2.2).

The trade receivables decreased by 1.115 th. Euro while the insurance terms have been improved. Taking the above into account, the percentage of the formed provision for the current year decreased (13,8% compared to 19,4% in 2017), but remained in a satisfactory high level confirming the conservative policy of the Management. The decrease in the percentage of the provision is attributed in the application of IFRS 9 with the retrospective method and the recognition of the cumulative effect (note 2.2).

In any case, the Management examines the amount of receivables; taking into account historical data and the respective market trends in order to form a high level of provision in relation with the trade receivables and to control the risk.

The debit balance of the company Plaisio Computers JSC to the parent company Plaisio Computers S.A. on 31.12.2018 amounted to 409 th. Euro. The Management of the Company considers that, the aforementioned amount has no risk of non-collection, given that Plaisio Computers JSC is a 100% subsidiary.

3. Inventory-Suppliers Risk

The Group takes all necessary measures (insurance, safekeeping), so as to minimize the risk and contingent damages of inventory, due to physical disasters, thefts etc. Furthermore, since the Group takes activity in a sector

of high technology, where the risk of technical devaluation is extremely increased, the Management reviews the net realizable value of inventory and forms the appropriate provisions, so that the value in the financial statements coincides with the real one.

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On 31.12.2018, the total value of inventory was 61.005 th. Euro and 59.729 th. Euro, while the provision for devaluation was 8.479 th. Euro and 8.452 th. Euro, for the Group and the Company respectively. In comparison, on 31.12.2017 the amounts were 61.212 th. Euro and 60.168 th. Euro (inventory) and 8.970 th. Euro and 8.945 th. Euro (provision for devaluation), for the Group and the Company respectively. The provision for devaluation was calculated taking into account the inventory turnover which was improved due to the significantly higher sales that the Group achieved in the second semester of the year. On 31.12.2018 the provision for devaluation of inventory formed to 13,9% compared to 14,7%.

The Company considers the suppliers' risk very limited, and in any case non-important for its financial results, since there is no significant dependence on any one of its suppliers as there is no supplier, which exceeds the 10% of the total supplies. Also, the down-payments were distributed to various suppliers. The above mentioned facts mark the fixed policy of the Management for no significant dependence from individual suppliers, in order to minimize the risk from the termination of a co-operation or the bankruptcy of a supplier, and no significant change is expected concerning the conservative policy of the Company during the financial year 2019.

4. Foreign Exchange Risk

The foreign exchange risk is the risk of volatility of the value of financial assets and liabilities due to changes of exchange rates. The majority of the Group's transactions and balances conducted in Euro, but at the same time, the Group has deposits in foreign currency (Note 14). Furthermore, there are no loan liabilities in a currency other than the Euro. The Group in certain cases, hedges the foreign exchange risk, by conducting derivative contracts, but does not proceed with hedge accounting for that matter.

The Management of the Group observes at all times the foreign currency risks that may arise and evaluates the need for relevant measures. The activity of the Group in Bulgaria is not considered to enhance currency risk, as the exchange rate of the Bulgarian currency to the Euro is fixed.

5. Turnover Seasonality

Sales' seasonality demands rational working capital management and smooth inventory inflows in order to avoid any shortage. The Group's sales are characterized by seasonality as 55% of the total sales are realized in the second half of the year. In the second semester of the year, the sales from the beginning of the school and academic year, the sales from Black Friday and the sales from the Christmas period are realized. Despite the seasonality, the Management estimates the referred risk as limited due to the wide liquidity and the ability to act immediately in cases of necessity of increased inventory and due to the retention of sufficient inventory for the needs of the Group.

6. Intensity of Competition

However, the competition may change in the future with the entrance of new competitors in the market or with the amendments of the strategy of the already existed competitors. Also, in periods when the consuming spend is stable or decreasing, the competition can lead to redistribution of the market shares. The intensity of competition may negatively affect the turnover and the profitability of the Group.

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7. Liquidity Risk

The Group retains high level of cash and cash equivalents which exceed the total bank debt exposure while, in parallel, has pre-approved credit balances from banks in order to minimize liquidity risk. The Group, is also highly estimated by the Greek banks and its vendors, because of its 50 year dynamic course in the Greek market. The financial liabilities of the Group and the Company on 31.12.2018 and 31.12.2017 are analyzed as follows:

THE GROUP 31.12.2018	up to 12 months	from 1 up to 2 years	from 2 up to 5 years	from 5 years on
Suppliers & Other Short term
Liabilities	41.403	0	0	0
Loans & Interest	2.712	2.349	7.324	0
Total	44.115	2.349	7.324	0
THE GROUP 31.12.2017	up to 12 months	from 1 up to 2 years	from 2 up to 5 years	from 5 years on
Suppliers & Other Short term
Liabilities	45.903	0	0	0
Loans & Interest	2.056	2.704	7.399	2.274
Total	47.958	2.704	7.399	2.274

THE COMPANY 31.12.2018	up to 12 months	from 1 up to 2 years	from 2 up to 5 years	from 5 years on
Suppliers & Other Short term
Liabilities	40.517	0	0	0
Loans & Interest	2.712	2.349	7.324	0
Total	43.229	2.349	7.324	0
THE COMPANY 31.12.2017
	up to 12 months	from 1 up to 2 years	from 2 up to 5 years	from 5 years on
Suppliers & Other Short term
Liabilities	45.193	0	0	0
Loans & Interest	2.056	2.704	7.399	2.274

The Group considers its liabilities to suppliers as short-term. In the same category, other short term liabilities and tax liabilities are included. In consolidated terms, there is a double-digit decrease in the liabilities from suppliers, while the loans and interest appear extended maturity dates, in periods after the year end.

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Taking into consideration all the above mentioned acknowledgments and the assurance of the smooth repayment of the liabilities using the wide liquidity of the Group and the positive cash flows, this particular risk is limited.

UNIT C: IMPORTANT TRANSACTIONS WITH RELATED PARTIES

consolidated, but is a related party, as defined in paragraph 9 of IAS 24.

In this section the most important transactions between the Company and its related parties, as they are defined by IAS 24, are presented:

________________________________________________________________________

The companies that are related to the Company and are members of the Group are the following:

PLAISIO COMPUTERS JSC (Subsidiary), which is located in Sofia Bulgaria, in which the Company participates by 100%.
PLAISIO ESTATE JSC (Associate), which is located in Sofia Bulgaria, in which the Company participates by 20%.
PLAISIO ESTATE S.A. (Associate), which is located in Kiffisia Attica, in which the Company participates by 20%. In the following table, the company BULDOZA S.A, in which shareholder by 100% is Mr. Konstantinos Gerardos, the Vice Chairman and C.E.O. of PLAISIO COMPUTERS S.A, is also included. It is specified, that this company is not

On December 31st 2018 the receivables and liabilities οf each of the above mentioned companies, as well as the income or expense which resulted from the transactions with Plaisio Computers S.A., during 2018 and according to IFRS, were the following (amounts in th. Euro):

Company	Claims of Plaisio Computers	Liabilities of Plaisio Computers	Income from transactions with Plaisio Computers	Expenses from transactions with Plaisio Computers
Plaisio Estate S.A.	0	19	785	6
Plaisio Computers JSC	409	0	15	4.482
Plaisio Estate JSC	0	0	0	0
Buldoza S.A.	68	0	1	181
Total	477	19	801	4.669

More specifically and in order to identify further the above mentioned transactions some clarifications follow:

Plaisio Estate S.A. invoiced Plaisio Computers S.A. 785 th. Euro, referring to services from rents and provision of services from leasing of buildings (600 & 185 th. Euro respectively).
Plaisio Computers S.A. invoiced Plaisio Computers JSC for sales of merchandise to the latter with 4.482 th. Euro. Plaisio Computers JSC invoiced Plaisio Computers S.A. for sales of merchandise to the latter with 15 th. Euro.

It is, furthermore, clarified that for the above mentioned period of time, Plaisio Estate JSC had income of 120 th. € from Plaisio Computers JSC, which came from rents.

Plaisio Computers S.A. invoiced Buldoza S.A. for services and products with the amount of 181 th. Euro.

During this particular financial year (2018), Plaisio Estate S.A. decided during its Annual Shareholder Meeting that took place on 29.06.2018, to pay dividend to the Company of 19 th. Euro. The dividend was paid on 13.07.2018. Plaisio Estate JSC took the decision on 21.05.2018 to distribute to the Company dividend for 2017 of 9 th. Euro. The payment was made on 24.07.2018.

For the period 01.01.2018-31.12.2018, the transactions and remuneration of the managers and members of the Board of the Company including the social security contributions, came up to 833 th. Euro.

The aforementioned transactions are in line with the usual activities of the Company so the above mentioned transactions do not affect significantly the financial position and the results of the Group.

UNIT D: ANALYTICAL INFORMATION, ACCORDING TO ARTICLE 4 PAR. 7 OF THE LAW 3556/2007, AS IT IS VALID TODAY AND RELATIVE ANALYTICAL INFORMATION

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1. Structure of the share capital of the Company

The Company's share capital amounts to seven millions two hundred eighty four thousand nine hundred sixty nine Euro and forty five cents (7.284.969,45), and is divided to twenty two millions seventy five thousand six hundred and sixty five (22.075.665) ordinary shares with a nominal value of thirty three eurocents (0,33) Euro each, on 31.12.2018.

It is noted that the amendment of Article 5 of the Company's Memorandum which referred to the decrease of the Company's share capital due to the deletion of 4.335 treasury shares, as a result of the decision taken by the shareholders on the Annual Ordinary General Assembly on 23rd May 2017 was approved by the Ministry of Development and Competitiveness with virtue number: 61073/31.05.2017. The decision posted in G.E.MI. on 31.05.2017 with virtue number 817885/31.05.2017.

Each share implies all liabilities and rights that are obliged by the law and by the Memorandum of the Company. The ownership of a share implies the acceptance of the Company's Memorandum and of all the decisions made by the different bodies of the Company are in compliance with the law and the Memorandum. Each share empowers the entitlement of one vote.

2. Restrictions to the transfer of shares of the Company

There are no restrictions, regarding the transfer of the Company's shares, with the exception of limitations existing in bond loan contracts that the Company has contracted (with the provision for participation majority or/and of increased percentage, sustained by Gerardos family).

All the Company's shares are listed for trading in the Athens Stock Exchange under Main Market and are transferable as the law obliges.

3. Important direct or indirect participations

The significant holdings of the Company are the following:

a) Plaisio Computers JSC Bulgaria (Subsidiary), in which the Company participates with 100% of the shares and voting rights,
b) Plaisio Estate S.A. (Associate), in which the Company participates with 20% of shares and voting rights,
c) Plaisio Estate JSC Bulgaria (Associate), in which the Company participates with 20% of shares and voting rights.

Furthermore the important direct or indirect participations to the share capital and to the voting rights of the Company, in the sense of articles 9 to 11 of the Law 3556/2007 are the following (31.12.2018):

George Gerardos with 14.698.308 shares and voting rights percentage 66,58% (direct participation).
Konstantinos Gerardos with 3.415.524 shares and voting rights percentage 15,47% (direct participation).

4. Shares that offer special voting rights

There are no shares that offer special voting rights.

5. Limitations in voting rights

There is no limitation on the voting right of each share of the Company.

6. Agreements among shareholders of the Company

The Company is not aware of any agreements among shareholders entailing limitations on the transfer of shares or limitations on voting rights.

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7. Rules of appointment and replacement of the Board of Directors and of amendment of the Memorandum which differ from the c.l. 2190/1920 (and c.l. 4548/2018, since 01.01.2019)

The rules concerning the appointment and replacement of members of the Board of Directors and the amendment of the provisions of the Articles of Association of the Company do not differ from those envisaged in Laws 2190/1920, 4548/2018 & 3016/2002.

Authority of the Board of Directors or of some members for issuance of new shares or for purchase of Company's own shares according to article 16 of c.l. 2190/1920 (and article 49 of c.l. 4548/2018 since 01.01.2019)

There is no fixed authority of the Board of Directors or certain members of the Board to issue new shares, or to buy own shares. The above-mentioned authority can be given to the Board of Directors by the General Assembly of Company's shareholders. During the annual Ordinary General Assembly of 23.05.2017, the shareholders approved amongst others the share buyback program and specifically it approved the purchase into a period of twenty four (24) months after the approval date of that decision - that is the 23.05.2019 - by the upper limit of two million two hundred seven thousand five hundred sixty six (2.207.566) common shares, which represent 10% of the total outstanding shares of the Company, with purchase price of three (3,00) Euros per share as the lowest limit and of ten (6,00) Euros per share as the upper limit. At the same time, this General Assembly, by this decision, gave empowerment to the Company's Board of Directors to conduct the referred procedure. The necessary permission for the implementation of the aforementioned decision given on the 28th June 2017, and is still in force up to the date of publication of the financial results. It is noted the Company does not hold any treasury shares in the date of the annual financial report.

9. Agreements which are put in force, amended or terminated in the event of a change in the control of the Company following a public offer

The Company has no agreements which are put in force, amended or terminated in the event of a change in the control of the Company following a public offer.

10. Significant agreements with members of the Board of Directors or its employees

The Company has no significant agreements with members of the Board of Directors or its employees providing for the payment of compensation, especially in the case of resignation or dismissal without reasonable cause, or in case of any other public offer.

ANALYTICAL INFORMATION, ACCORDING TO ARTICLE 4 PAR. 8 OF THE LAW 3556/2007

The numbering of this analytical information follows the relevant numbering of the information of article 4 par. 7 of the law 3556/2007, as is above analysed:

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The structure and the formation of the share capital of the Company, are described analytically in article 5 of the Memorandum of the Company, the last encoding of which took place on 23.05.2017, as a result of the decision taken on the Annual Ordinary General Assembly.
There are no restrictions either by the law, or the Memorandum of the Company, or any other agreement to the transfer of the Company's shares. This is with the exception of the contracts for the common Bond loans, which stipulate the following:

a) Common Bond Loan from N.B.G.: the main shareholders have to hold at least 51% of the share capital throughout the duration of the contract. The total of the common bond loan was 5.580 th. Euro.

b) Common Bond Loan from Eurobank (balance 31.12.2018: 5.400 th. Euro): the main shareholders have to hold the majority of the share capital throughout the duration of the contract.

The data relevant to the number of shares and voting rights of the persons holding significant participations have been obtained from the Book of Shareholders of the Company and from all acknowledgments that have legally come to the Company.
There are no other shares categories that offer special voting rights. There are only common registered shares.
The Company has not been informed of such limitations.
Likewise, the Company has not been informed of such agreements.
For these issues the Memorandum of the Company does not differ from the obligations of the Law 2190/1920 and of the law 4548/2018 since 01.01.2019.
On 23.05.2017 the annual Ordinary General Assembly gave to the BoD of the Company the authority to buyback shares of the Company, up to 2.207.566 treasury shares, under the regulatory frame of article 16 l. 2190/1920, with purchase price three (3,00) Euros per share as the lowest limit and with six (6,00) Euros per share as the upper limit, a decision which has been activated since 28.06.2017. The program is still in progress. The Company does not hold any treasury shares on the date of the annual Financial Report.
There are no such agreements. Hence, no analytical information is needed.
Likewise, there are no such agreements. Hence, no analytical information is needed.

UNIT E: INFORMATION FOR LABOR AND ENVIRONMENTAL ISSUES

The Group during the period ending on 31.12.2018 employed 1.423 people and the Company 1.351 respectively, for the period ending on 31.12.2017 the relevant numbers were 1.365 and 1.292.

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One of the main principles of the Group and the Company is the constant training of its people and the enhancement of the company's conscience on all levels of activities of the Group. A series of relevant training courses occurred during this period of 2018, since the up-to-date training is a basic target of the Group, as well as the conservation of the total of the work force to the peak of information.
The Group recognizes the need for constant improvement of environmental performance based on continuing growth and compliance with the law and regulations according to international standards and targets a balanced financial growth in harmony with the natural environment. Following a sustainable growth path the Group implements its activities in such a way that protects the environment and also its employee's hygiene and safety.

UNIT F: DEVELOPMENT AND PERFORMANCE OF THE GROUP - FINANCIAL INDICES AND INDICES OF PERFORMANCE

Development and Performance of the Group:

The development of the Group during the four previous financial years and 2018 are presented in the tables below:

(amounts in th.	01.01.2014-	01.01.2015-	01.01.2016-	01.01.2017-	01.01.2018-
euro)	31.12.2014	31.12.2015	31.12.2016	31.12.2017	31.12.2018
Turnover	297.548	271.985	282.990	286.098	308.858
Gross Profit	73.069	61.192	60.471	62.133	63.110
E.B.T.	22.270	9.345	6.551	7.288	6.100
E.A.T.	16.149	6.736	4.476	4.900	3.856

At the level of percentages, the performance of the Group for the same period is presented in the following table:

	2015 vs 2014	2016 vs 2015	2017 vs 2016	2018 vs 2017
Turnover	(8,6%)	4,0%	1,1%	8,0%
Gross Profit	(16,3%)	(1,2%)	2,7%	1,6%
E.B.T.	(58,0%)	(29,9%)	11,3%	(16,3%)
E.A.T.	(58.3%)	(33,6%)	9,5%	(21,3%)

Financial and Performance Indicators of the Group:

(Consolidated Figures)

Financial Indices
	31.12.2018	31.12.2017	Comments
Current Assets / Total Assets	76,6%	79,6%	These indices display the proportion of capital which
Fixed Assets / Total Assets	23,4%	20,4%	has been used for current and fixed assets
Net Equity / Total Liabilities	153,8%	139,6%	This index shows the relationship between equity and debt financing
Total Liabilities / Total Net Equity & Liabilities	39,4%	41,7%	This index shows the dependency of the company on
Net Equity / Total Net Equity & Liabilities	60,6%	58,3%	loans
Net Equity / Fixed Assets	258,6%	286,2%	This index shows the degree of financing of the fixed assets of the company from the Net Equity
Current Assets / Short term Liabilities	254,4%	251,6%	A liquidity ratio that measures a company's ability to pay short-term obligations.
Working Capital / Current Assets	60,7%	60,2%	This index shows the part of current assets which is financed by the working capital
		Indices of Financial Performance
	01.01-31.12.2018	01.01-31.12.2017	Comments
EBT/ Total Sales	2,0%	2,5%	This index shows the total performance of the company in comparison to total sales
EBT / Net Equity	6,6%	8,1%	This index shows the yield of the company's equity
Gross Profits / Total Sales	20,4%	21,7%	This index shows the GP in % over the sales

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Turnover

The total turnover of the Group in 2018 came up to 308.858 th. Euro, having increased by 8,0%, compared to 2017. The increased trend in sales appeared in both semesters of the year.

________________________________________________________________________

The sales of personal computers and digital equipment increased by 5,1 % compared to 2017 figures (145.333 th. Euro and 138.303 th. Euro, respectively). The sales of the office products increased (+5,6%) to almost 100 million. Telephony sector was the one which made the difference in total sales increase. Telephony sales showed a 20% increase amounting to 62 million Euro, compared to 52 million Euro in 2017. The above changes in the turnover of sectors brought changes in the participation of each sector to the total turnover of the Group. Consequently, the Telephony sector contributed by 20,1% to total sales in 2018, compared to 18,0% in 2017. The Office Equipment sector marginally decreased as it contributed by 32,4% in the consolidated sales, compared with 33,1% in 2017. Finally, the Computer & Digital Equipment Sector contributed 47,1% compared to 48,3% a year ago. Finally, the sales from services remained almost stabe and came up to 1.541 th. Euro.

	Office Equipment	Computer and Digital Equipment	Telecom Equipment	Other	Total
Revenue 2018	99.984	145.333	62.000	1.541	308.858
Revenue 2017	94.695	138.303	51.561	1.539	286.098
% Change	5,6%	5,1%	20,2%	0,2%	8,0%

Gross Profit

The increase in the cost of sales by 9,7% was higher than the increase rate of the sales, resulting in the gross profit of the Group to increase by 1.57% to 63.110 th. Euro compared to 62.133 th. Euro in 2017. The gross profit margin decreased to 20,43%.

Operational Expenses - Financial Income and Expenses and Earnings from Associates

The expenses of the Group, including the financial expenses, came up to 57.187 th. Euro, compared to 54.949 th. Euro last year, having a middle one-digit increase of 4,1% and are analysed as follows:

in th. Euros	01.01-31.12.2018	01.01-
		31.12.2017
Administrative Expenses	7.101	6.275
Distribution Expenses	49.738	45.698
Other Expenses / (Income)	(864)	1.572
Financial Income –Expenses	1.224	1.443
Earnings from Associates	(13)	(38)

The increase in administrative expenses (+9%) is mainly attributed in the commencement of the implementation of the development plan of the Group. The opening of the two new stores in July and the increased promotion actions throughout the year led to increased personnel and marketing cost. Financial expenses, slightly, decreased due to the debt decrease in absolute terms, while other expenses/(income) from negative in 2017 turned to positive in 2018. The aforementioned evolution is attributed, mainly, to the formation of significantly high

negative foreign exchange differences/evaluations (the evaluation of cash and cash equivalents in foreign currency, the evaluation of derivative contracts, and the daily transactions in foreign currency) in 2017. The negative effect in the results of 2017, amounted to 2.257 th. Euro (compared to income of 285 th. Euro in 2018) and it is, mainly, attributed to the significant fluctuations in the exchange rate between Euro and US Dollar.

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Earnings before Tax – Earnings after Tax

The lower increase in gross profit compared with the increase in operating expenses resulted in the earnings before taxes of the Group decreasing by 16,3%, to 6.100 th. Euro. The increase of the effective tax rate, is mainly attributed to the effect of the tax rate change gradually in the period 2019-2022 ending to 25% (ar. 23, l. 4579/2018).

If the deferred tax had been calculated based on the current tax rate (29%), the deferred income tax would be 2.020 th. Euro for the Group and 2.013 th. Euro for the Company (the current tax-expense would have come up to 379 th. Euro for the Company and 386 th. Euro for the Group). Earnings after taxes would be increased by 225 th. Euro, other revenue would be increased by 47 th. Euro and the Net Equity of the Company and the Group by 272 th. Euro.

Tax audit for obtaining the "Tax Certificate" is already in progress from the company "BDO Certified Public Accountants S.A". By the completion of the tax audit, it is not expected significant tax liabilities other than those posted and depicted in the financial statements.

UNIT G: ALTERNATIVE PERFORMANCE MEASURES ("APM")

As Alternative Performance Measure (APM) is considered, according to the definition of the European Capital Commission, a financial ratio which measures the historical or the future financial performance, financial position or cash flows, which is not defined by the IFRS. Even if APM are not included in IFRS, APM have to be evaluated supplementary with the figures provisioned by the IFRS and always in combination with the IFRS results.

________________________________________________________________________

The Group uses in a limited extent the Alternative Performance Measures during the publication of the financial performance with target the better understandability of the operating results of the Group and its financial position. Plaisio has as a general principle, the presentation of the examined performance measures to be clear, in order the measures to be suitable and useful for the decision making by the users of the financial statements.

The Group, both in the current and the previous year has not used adjusted APM,( i.e. adjustments in the figures of P&L, Balance Sheet or Cash Flow), as the Group has not implemented extraordinary actions (such as operating restructures or non-repeated revenue or expense) that are not in accordance with the main activity of the Group and which significantly affect the formation of these measures. The below amounts presented in th. Euro.

A. Net Debt (Net Liquidity): Consist of an APM that is used in order to estimate the capital structure of the Group. It is calculated as the difference between the total debt (long-term and short-term) and the total of cash and cash equivalents. Net debt is an "APM" which is used by the Management for the evaluation of the capital structure of the Group and the leverage ability. Net debt is calculated by adding to long-term loans, the short-term part and the short-term bank loans minus the cash and cash equivalents (see table below). If the result of the aforementioned difference is negative (as in the case of Plaisio) indicates the liquidity of the Company exceeds its total liabilities.

	THE GROUP		THE COMPANY
NET DEBT (LIQUIDITY)	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Total long-term debt	8.940	11.273	8.940	11.273
Total short-term debt	2.333	1.604	2.333	1.604
Total debt (A)	11.273	12.877	11.273	12.877
Minus: Cash & cash equivalents (B)	(40.842)	(49.862)	(40.124)	(48.774)
Net Debt (Liquidity) (A) - (B)	(29.569)	(36.985)	(28.851)	(35.897)

B. Earnings before interest, taxes and depreciation/amortisation – EBITDA: Constitutes the most used measure of operating effectiveness, because it takes in consideration only the expenses that are relative with the daily operation of the Group and the Company. EBITDA is calculated by adding the turnover and the other operating income minus the cost of sales and the operating expenses before the depreciation and amortisation as presented in the table below. EBITDA (%) is calculated by dividing EBITDA with the turnover.

EBITDA – % EBITDA	THE GROUP		THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Turnover (A)	308.858	286.098	302.741	281.146
Other Income (Β)	177	104	143	71
Minus: Cost of Sales (C)	(245.748)	(223.964)	(241.566)	(220.916)
Minus: Total operating expenses before depreciation and amortization (D)	(53.829)	(51.519)	(52.006)	(49.628)
EBITDA (A) + (B) + (C) +(D)= (Ε)	9.458	10.719	9.311	10.673
% EBITDA (Ε) / (A)	3,06%	3,75%	3,08%	3,80%

UNIT H: ASSESSMENT OF THE EVOLUTION OF THE ACTIVITIES OF THE GROUP DURING 2019

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2018 was the second year in row, when the Greek economy slightly recovered after the crisis of 2008-2009. GDP increased by 1,9%, a percentage, which is the highest of the last decade, however, is slightly below from the estimates. This performance was positively affected mainly by exports (+8,8%), marginally by the private consumption (+1%) and negatively from public consumption (-2,8%) and the formation of fixed capital (-12%). The above figures strengthen the view of a fragile improvement in macroeconomic figures. In the labour market, the unemployment decreased to 18% at the end of 2018, remaining, however, the highest in the European Union, while the proportion of part-time work is increasing. In the public economy, the primary surplus stood at a level above 3%, however, the public debt continued its upward trend, now reaching 180% of GDP. The relatively restrictive economic policy and the high surplus seems to have boosted depositors' confidence, as deposits in the domestic bank institutions rose in double-digit growth in annual basis, and the deposits of the institutional investors abroad, overcame the first 10-year Greek government bond issue after about ten years

The estimates for growth in 2019 are cautiously optimistic. Despite the relatively positive performance in 2018, the annual rate of change in total financing of the economy stood at -1.2%, negative for another year, influenced by the 2.2% reduction in private bank financing. If the above mentioned are combined with the possible limitation of the growth rate of exports, the restraint of the tourist recovery, the fluctuations in the international economies and given that we are in the election year, the estimates for improving the economy can only be achieved by the acceleration of key privatizations and the boosting of public and private investments, through the launch of major new projects.

In this environment, the Company's strategy was clearly more aggressive and growth-oriented.

The operation of two new stores and the increased promotional expenses in benefit of sales improvement, has achieved an increase in its market shares and its prospects.

2019 marks the 50th anniversary of the company's establishment in 1969. 50 years of struggles and great growth that marked significant changes from the logarithmic rule to artificial intelligence and to machine learning, which are our pledge for the future. 2019, started dynamically, for the company as it launched the "Month per Month" project, a payment method that allows repayment in instalments without a credit card. At the same time, the construction of the new Distribution Center, which will strengthen the storage and distribution capability of the company, is proceeding, as well as the implementation of the new technology platform at plaisio.gr, which aims to upgrade of the e-shop and the conduction of a personalized digital marketing. The above, always work in conjunction with the constant search for new areas of activity and markets, to enrich the products we offer, as was the case with the addition of fashion accessories, gifting category and decoration products that gave a breath of fresh air to the stores of the Company.

Furthermore, the Company also aims for the current year to continue to offer its customers the widest range of products and excellent service, to further develop the skills and efficiency of its staff and to achieve new sources of revenue, in combination with its excellent financial structure.

UNIT I: OTHER INFORMATION-TREASURY SHARES-EVENTS THAT TOOK PLACE AFTER THE END OF THE PERIOD

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1.1. Only the Parent Company has branches in Greece and operates twenty three stores in the Provinces of Attica, Thessalonica, Heraklion, Chania, Larissa and Achaia. The subsidiary Plaisio Computers JSC operates one store in Sofia in Bulgaria.

1.2. None of the companies consolidated has such shares of paragraph 1e, article 26 of the law 4308/2014, except the Parent Company.

On 23.05.2017 the annual Ordinary General Assembly gave to the BoD of the Company the authority to buyback shares of the Company, up to 2.207.566 treasury shares, under the regulatory frame of article 16 l. 2190/1920, with purchase price three (3,00) Euros per share as the lowest limit and with six (6,00) Euros per share as the upper limit. The share buyback programme began on 03.07.2017 based on the decision taken on 28.06.2017. The Company does not hold any treasury shares on the publication of the annual financial results date. It is noted that the voting rights from the above mentioned shares are not excercised.

1.3. There are no other significant events that took place after the conduction of the financial report which could significantly affect the financial statements except the below:

a) the Company signed on the 16th of February 2015 with Eurobank Equities S.A. the extension of the market making agreement for one (1) more year and particularly by the 1st of March 2020. Based on the aforementioned contract and according to the terms and conditions of the agreement, Eurobank Equities S.A., with its capacity as market maker of the shares of the Issuer and for the improvement of the Issuer's liquidity, will transmit to the Trading System of the Athens Stock Exchange market making orders (i.e. simultaneous buy and sell orders) for its own account on the Issuer's shares, in accordance with those rules.

UNIT J: NON FINANCIAL INFORMATION (BASED ON 4403/2016 & ARTICLE 151 OF L. 4548/2018)

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Based on the law 4403, since 2016, the companies of public interest, among which are the public listed companies, with more than 500 employees, should include non financial information into their financial report. The corporate social responsibility and the sustainable growth are of utmost importance for the Group. In this Unit, the policies applied regarding the environment, the social and labor issues are analyzed as well as issues regarding the respect of the human rights and the policies against corruption and bribery.

1. SHORT DESCRIPTION OF THE BUSINESS MODEL

Some general information is presented in this paragraph regarding the business model under which the Company and the Group operate and act, i.e. the whole structure from which the Company and the Group create, offer and receive value and profit.

The Company was founded in 1969 by Mr. Georgios Gerardos, and evolved into today's legal form in 1988. From the early beginning the vision was the creation of a Company with focus to every single customer and more specifically a place in which the customers could find and buy anything they need in relation with technology, telephony and office products.

The continuous promotion of innovative products and services in competitive prices, the speed of transactions, the establishment of long-term trust relationships, the reliability and the creation of a sense of intimacy to the customer with the products and services constituted the decisive factors for the creation and establishment of a strong and well-known brand name.

Plaisio express the state-of-the-art commercial approach in Greece. In order to cope with any kind of competition in the Greek market, Plaisio is not just a simple retailer with its branches but it is based on the multi-channel, multi-product and multi-customer business model.

MULTI-CHANNEL

In contrast with the other retailers, Plaisio services its customers through the following sales channels:

1. Stores: with 23 stores in Greece and 1 store in Bulgaria, more than 30.000 consumers visit daily the Group's stores and are highly serviced by the experienced and fully specialized personnel.
1. Dedicated Department for B2B customers: more than 300.000 companies trust Plaisio for their purchases and receive personalized customer service. The state-of-the-art computerized systems and a 210-member team record and explore the needs of the B2B customers and present solutions that respond to their will, offering a perfect and immediate service with competitive terms.
1. Catalogues: with many different publications every single month -more than 6,5 million copies per yearthousands of people find solutions to their needs in a PLAISIO catalogue.
1. Internet- e-store: the e-store of PLAISIO is considered as one of the most successful and with the highest traffic e-stores. More than 100.000 users choose the e-store of PLAISIO in a daily basis in order to get informed for High-Tec goods, office products, school products and games/toys, and to proceed with their purchases in a user-friendly environment.

MULTI-PRODUCT

PLAISIO offers an extremely wide range of products, worthily holding the characterization of a multi-product

business model.

The consumer has the possibility to browse and choose among 22.000 technology products, office products and telephony products, of the most well-known international brands or of private label brands (Turbo-X, Q-Connect, Sentio, @work, goomby etc.) which combine high quality and competitive prices. It is not a random event the fact that every single Turbo-X PC has a complete technical assistance in 23 points in Greece with response time of four hours and a twelve-hour phone assistance, while the Company offers on-site technical assistance as well.

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MULTI-CUSTOMER

In contrast with the simple retail branches, PLAISIO holds a polymorphic customer base and does not offer its products and services only to domestic users. The Company adjusts in a continuous way to its customer base needs and service customers with different characteristics, i.e. individuals as well as B2B customers including: 1) free lancers, 2) small & medium companies, 3) big companies and 4) public sector.

PRODUCTS AND SERVICES

The merchandise and the services offered by the Company and the Group are divided in the following sectors:

1) PC & Digital Technology
Computers (desktops, operating systems, laptops, tablets and accessories, peripherals, data saving devices, services of installation, demonstration, upgrade and repair of PC, etc.)
TVs, sound and image devices (televisions, home cinemas, projectors, TV accessories, etc.) and
Photography and video games (cameras and relative accessories, consoles, drones, etc.)
2) Telephony Sector
Mobile phones, smartphones, accessories, wearables, Land phones, fax, etc.)
3) Office Products
Stationery (calendars, accounting forms, organization of office and storage goods, school bags, design materials and drawing papers, etc.),
Printing products (printers, scanners, photocopiers, multi-machines, consumables, printing papers, etc.),
Furniture and office equipment (office chairs and visitor chairs, drawing equipment, offices, lockers, libraries, filing and decoration equipment, etc.),
Toys (classic toys, board games, creative and educational toys, stem, robots, etc.).

PERSONNEL

The Group's and the Company's employed personnel on December 31st 2018 was 1.423 and 1.351 employees respectively, compared to 1.365 and to 1.292 in 2017.

2. DESCRIPTION OF THE APPLIED BUSINESS POLICIES

Plaisio as a leading group in technology products, stationery, office products and telephony, creates value for the shareholders and provides high quality products and services to its customers, state-of-the-art technology and complete solutions for everyone.

In order to stay in the leading position in the consumers' choices, Plaisio seeks today more than ever to utilize its resources, to put the basis for a continuous development with focus on the creation of added value and with target the maximization of satisfaction and trust of the customers.

2.1. Group Policies regarding the Environment

The protection of the environment consist a basic condition for the sustainable development and basic pillar for the operation of the Company. In such a framework the Company introduces in its business activity procedures and acts in order to limit the direct and indirect effects caused by its activities. Moreover, the Company owns the certification ISO 14001:2015 referring to its environmental footprint of its headquarters. Basic actions undertaken by the Company are the following:

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Saving of energy and of natural resources, and
Effective solid wastes management.

Energy Management

The energy management and the limitation of its consumption constitute the important parameters of the environmental responsibility of the Company. In this direction the Company performed the following actions:

The Company continues the replacement of the lamps in its signs with lamps of LED technology,
The Company continues the replacement of the lamps inside its stores with new lamps of LED technology, an action which also contributes to the limitation of the consumed energy.

Solid Waste Management

Installation in the Company's stores of recycling bins for batteries and electronic appliances. In 2018, the Company collected and sent for recycling 4,4 tons of batteries and 120 tons of electronic appliances,
Implementation of a recycling program regarding the paper that it is used by the Company and constitutes its main produced solid waste. In 2018 the Company recycled 201 tons of paper and cardboards,
Recycling of printer inks and toners. In 2018, the Company recycled 4,0 tons of cartridges and 31,5 tons of toners. Finally, there are some other waste materials which were recycled and amounted to 28 tons.

2.2. Policy of the Company regarding the Society

Under the framework of social responsibility, the Company continues to undertake actions which contribute to the society. During 2018 and despite the adverse financial environment, the Company loyal to its commitment for social contribution undertook many relevant actions.

Here are presented some actions of the Company, which began or completed in 2018:

1st Action: The organization of blood donation by the employees of the Company, promoting the principles of volunteerism and of offering to the fellow people.

2nd Action: For 3rd consecutive year, Plaisio and more specifically the voluntary team #plai_sou prepared 7.000 school bags in the beginning of the current academic year. More specifically, Plaisio approached 54 schools and distributed 7.000 school bags with the participation of 266 members of #plai_sou. In 2018, the action was larger and Plaisio went to 19 schools more than in 2017 and distributed 2.500 more school bags than in 2017.

3rd Action: The participation to the 10th Marathon that was organized by "ALMA ZOIS" and took place in Zappeio for the awareness of the society regarding the breast cancer with 444 volunteers among which the CEO of the Company. The Plaisio team was one of the biggest teams of the Marathon.

4th Action: The participation to the congress "Panorama of Entrepreneurship" which constitutes the biggest congress with subject the entrepreneurship and the professional guidance of youth. In 2018, was the 7th consecutive year of Plaisio in that congress and welcomed to its headquarters university students. The main target

of the Company's participation to that congress is to give the opportunity to young people to know the Company, while in parallel to discuss with the CEO and to make a tour inside the Company's headquarters.

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5th Action: The voluntary team #plai_sou participated to the mission of "Naftilos-Love Drop" in the Aegean. The mission constituted by 7 boats, 45 members of Naftilos and 6 members of Plaisio team #plai_sou. The mission in Domousa had three actions:

Donation of technological equipment and office products to schools and to other public authorities.
Voluntary support for the construction of temporary small treatment rooms.
Organisation of activities for children in the Cultural Centre of Donousa.

250 residents went in the medical offices that were organized on the island to receive medical care from the doctor that participated in the group. Doctors from 11 different specialties offered medical services and gave useful advice. There were, also, instructional activities for the children with STEM Toys. Finally, for the first time a children's cinema night was organized for the children to watch animation with their parents.

2.3. Policy of the Company regarding the Working or Labour Issues

General Information

The total personnel of the Group at the end of 2018 came up to 1.423 employees from which 53,8% were men and 46,2% women, compared with 54,7% and 45,3% in 2017. These ratios prove the Company's tension to offer equal opportunities.

Human Capital Sex Distribution
Human Capital	2018	Percentage %
Male	766	53,8%
Female	657	46,2%
Total Human Capital	1.423	100%

The age distribution of the employees of the Group on 31.12.2018 is presented in the following table:

Age Groups	Number of Employees	Percentage %
Up to 25	261	18,3%
26-30	530	37,2%
31-35	292	20,5%
36-40	214	15,0%
41 +	126	8,9%
Total Human Capital	1.423	100%

It is obvious from the table above that almost 56% of the Group's employees have up to 30 years old. This distribution shows the importance of Plaisio as an employer for the age groups that shows the highest percentages of unemployment in our country.

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Health and Safety in the Work Environment

The health protection and the security in any possible aspect of Plaisio's activities is of utmost importance and priority for the Company. The Management of the Company, also, takes actions in order to ensure that all fire protection rules and the rules for the protection from any emergency are followed. Actions for the training of the staff are, also, undertaken.

Benefits to the employees

The Company applies a series of benefits and policies to this direction for its employees and is summarized into the following:

Granting loans to employees in cases of sudden and extraordinary situations and needs,
Advance payments to employees in cases of health issues or extraordinary needs,
Social and health security through private insurance,
In cases of emergencies, employees and their families can use the blood reserves collected from the blood donation actions,
The appropriate emphasis is given to the recognition and reward to the employees' success and to the organization of business events that promote the team bonding and spirit,
School products to the employees' children and Christmas gifts for the employees and their families are given.
Gym facilities exist in the Headquarters in Magoula of the Company and to the offices of the Company in Metamorfosi for the health and the well-being of the employees.

Training and development of the employees

The size of the Company and its rapid development, allow the employees to find a position that they would fit in by utilizing their talents, their interests and their skills. The training the Group provides is distinguished to:

Tailor-made seminars,
Life Long Learning,
Leadership.

A characteristic example is that in 2018 took place trainings and seminars of total duration of 57.275 humanhours.

2.4. Policy of the Company regarding the respect of the human rights

Diversity and Equal Opportunities

The promotion of the principle for equal opportunities to everyone and the protection of the diversity constitute two basic principles of the Company. The Management does not accept the discrimination in any aspect of its operations, such as during the hiring procedure, during the determination of the benefits of each employee, during the training of each employee or during the assignment of work tasks. The Company urges and recommend to all the employees to respect the diversity of every single employee or supplier or customer of the Company, and

not to accept any behavior that may create any kind of discrimination.

2.5. Policy of the Company regarding the fight against corruption

The Company considers of utmost importance the promotion of the transparency, the compliance with the regulatory framework that it is in force at any time and the fight against any case of corruption. For the Company the long-term and strong trust relationship with its customers, shareholders, investors, suppliers and regulatory authorities consists one of the most important assets and its safekeeping is an absolute priority. The Company has clearly stated to its employees and to the members of the Management, that in any case of corruption the Company will encounter with these cases, by taking the necessary actions.

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2.6. Policy of the Company regarding bribery

The Company explicitly prohibits any kind of offer, or acceptance of gifts, grants, mainly, in cash or in any other form as well as any other external utility which is related with the implementation of the duties of its employees. The aforementioned framework is enforceable to all the employees of the Group, the members of the Board of Directors and the total of the management.

3. RESULTS OF THE APPLIED POLICIES OF THE COMPANY

The results of the applied policies of the Company, consist of the creation and retention of a business model which achieves to produce strong financial results, to enhance its already existing co-operations and to set more solid foundations for future yield and wealth.

The consistent financial strategy, the product differentiation, the continuous investment in the human capital, the respect to the environment, the cultivation of environmental consciousness and the concern for the society ensure that the Group is developing with responsibility and strengthen its business activities, based on solid foundations. Despite, the important results of the aforementioned actions, the Group does not rest. The commitment for continuous improvement governs the whole philosophy of the Management and determines the priorities for the future, driven by the principles of sustainability. Also, the Group emphasizes to the quality of its procedures, being certified with ISO 9001:2015.

4. RISKS

In the current part of the non-financial report, a short reference takes place to the most significant risks that refer to environmental, social and labour issues as well as issues relevant to the respect of the human rights, the fight against corruption and bribery which are associated with the activities of the Company. Also, in this part of the report the way by which the Company tries to efficiently cope with those risks is presented.

Given that the Company is one of the most important companies in Greece in the sector of technology products, telephony and office products, inevitably risks arise by its business activities in relation with the environment, the society, the employees and the respect and protection of the human rights.

For the aforementioned reason the Company has adopted plenty of methods, procedures and systems, in order to operate with a sense of responsibility to the environment, the society and its employees, while through its evolution and development seeks to add value to its customers, its business partners and its shareholders and to be one of the leaders of the Greek business life.

The main risks the Company encounters during its operation is the high consumption of energy, the produced solid wastes which come from the electrical and electronic appliances, the consumables and the office products that

the Company uses, the risk of working accidents which even if it is limited, is a potential risk for every single enterprise, the risk of non-compliance with the principle of equality and in general with the rights of the employees, as well as the risk of bribery.

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For the confrontation of the risks regarding the environment, Plaisio takes all the appropriate measures that were analyzed above, takes actions that limit the direct and indirect effects as a result from the activities of the Company and adopts policies for the reduction of the environmental footprint. The saving of energy and of natural resources, the efficient management of its solid wastes and the continuous estimation of environmental risks that are provoked by the Company's operation, consist of the basic fields of action.

Regarding the labour issues, the Management of the Company and of the Group in general operates with a sense of responsibility and consistency to their employees. The Management commits in creation and maintenance of a business environment which promotes the mutual trust, the sense of security, the cooperation and the recognition, promotes equal opportunities and adopts hiring policies and the relevant valuation criteria that are based only on the qualifications, the abilities, the experience and the educational level of each employee.

The transparency in the transactions with the suppliers is an issue of utmost importance for stable and long-term cooperation of the Company and the decisions are taken with completely objective criteria.

5. NON FINANCIAL INDICATORS - RATIOS

In the table below, some basic parameters are presented, regarding the financial, the environmental and human capital performance of the Group.

Financial (in th. Euro)	2018	2017
Turnover	308.858	286.098
EBT	6.100	7.288
EAT	3.856	4.900
Market Capitalization	83.446	91.835
Total Assets	153.648	154.999
Dividend	0,07	0,07
Taxes	2.245	2.388
Depreciation	2.146	2.026

Employees
Total Employees	1.423	1.365
% Women Employees	46,2%	45,3%
% Women in Management Positions	31%	27%
% Women in Board of Directors	17%	17%
Number of workhours (participations times training hours)	57.275	36.508

Environment (in tones)
Recycling of batteries	4,4	4,3
Recycling of electrical appliances	120	136

Recycling of Packages	278	342
Recycling of paper & cardboards	201	255
Recycling of toner	31,5	30,6
Recycling of cartridges	4,0	3,9
Other	28	32

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Finally, it is noted that the Group emphasizes to the utility that offers to the society and for that reason has quantified the performance of the promptness in issues of product services as well as the order execution speed. Regarding the first case, the Group has calculated that 80% of the cases have been solved in the first 24 hours. Also, regarding the order execution speed, all the orders have been delivered in 24 hours.

In addition, the Company will publish a Corporate Social Responsibility Report, according to the European Regulation 2014/95. The aforementioned Report will be published on the website of the Company, www.plaisio.gr.

UNIT ΙΑ: STATEMENT OF CORPORATE GOVERNANCE

INTRODUCTION

1. Code of Corporate Governance

1.1 Disclosure of willing compliance of the Company with the Code of Corporate Governance

1.2 Deviations from the Code of Corporate Governance and explanation of those. Special stipulations of the Code

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that the Company does not apply and explanation of the reasons for non-application
1.3 Practices of corporate governance that the company implements over the provisions of the law

2. Board of Directors

2.1 Composition and way of conduct of the Board of Directors
2.2 Information concerning the members of the Board of Directors
2.3 Audit Committee

3. General Assembly of the Shareholders

3.1 Way of operation of the General Assembly and main authorities

3.2 Shareholders' privileges and way of exercise

4. Internal Auditing system and risk management

4.1 Main characteristics of the internal audit system

4.2 Risk Management of the Company and of the Group concerning the compilation of financial statements (consolidated and non-consolidated)

Other managerial, supervisory bodies or committees of the Company
Additional informative data

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INTRODUCTION

The term "Corporate Governance" describes the way with which companies are managed and controlled. Corporate Governance is stipulated as a system of relationships between the management of the Company, the Board of Directors, the shareholders and other interested parts and constitutes the structure through which the targets of the company are set, the main risks are identified, the means to achieve the set targets and to control the risks are defined and the observation of the performance of the management is monitored.

Effective corporate governance holds a substantial and primary role to the advancement of competitiveness of companies, to the reinforcement of internal structure and the development of innovative actions, while the increased transparency it offers has as a result the improvement of overall transparency of economic activity of private businesses, public organizations and institutions, with obvious benefits for the shareholders, as well as the investment public.

On October 2013, the new Code of Corporate Governance was published. This Code was drafted at the initiative of the Hellenic Federation of Enterprises (SEV), and was later on amended, in the context of its first review by the Hellenic Corporate Governance Council (HCGC).

The Hellenic Corporate Governance Council, was founded in 2012 and is the result of synergy of the Hellenic Exchanges Group (HELEX) and the Hellenic Federation of Enterprises (SEV) that together recognized the contribution of corporate governance to the continuous enhancement of the Greek corporate institutional framework and broader business environment and also to the increase of reliability of the Greek market. Hence, since then HCGC works towards this direction.

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1. Code of Corporate Governance

1.1 Disclosure of willing compliance of the Company with the Code of Corporate Governance

In our country the framework of corporate governance has been developed mainly via the adoption of mandatory legislation or regulation, according to 3016/2002 as it stands today, which mandates among others the participation of non-executives and independent non-executives on the boards of Greek listed companies, as well as the establishment of an internal control function and the adoption of internal charters. Moreover, a number of other later laws such as 4449/2017, which mandates the creation of Audit Committees and Law 3884/2010 on the rights of shareholders, which includes further obligations regarding disclosure of information to shareholders, prior to General Meetings, transposed several European directives in the area of the company law, for the protection and effective updating of the whole of the shareholders. Moreover, the Law 3873/2010 incorporates into Greek legislation the EU Directive 2006/46/EC, operating as a reminder of the need for establishment of a Corporate Governance Code and being simultaneously the cornerstone of the Code. Finally, with the structural reform of the corporate law (l. 4548/2018), significant provisions of Corporate Governance for the remuneration policy (ar. 110-112) has been incorporated, based on the Directive (EU) 2017/828. These provisions apply since 01.01.2019.

Our company is in full compliance with the above mentioned laws.

At this point the company states that it adopts as CGC the Code of Corporate Governance of the Hellenic Corporate Governance Council (HCGC) (available at http://www.helex.gr/el/eded), following the "comply or explain" approach.

1.2 Divergence from the Code of Governance and explanation of the non-compliance

The Company states that it conforms to all legal obligations (law 4548/2018, law 3016/2002 and law 4449/2017). These obligations embody the minimum of any Corporate Governance Code, for listed companies.

An important addition to the new Corporate Governance Code is the adoption of the standard of non-compliance of the Company with special practices of the Code. This means that the new Code follows the rule of "comply or explain" and requires from listed companies that choose to imply it, to publish their intentions and either comply with the whole of the Code's special practices, or explain the reasons of non-compliance with specific provisions. Regarding the above-mentioned additional practices and rules the new CGC applies, some deviations (including the case of non-compliance) are observed in the current period, for which a short explanation follows.

Part Α - Board of Directors and its Members

Ι. Role and Responsibilities of the Board of Directors

The BoD has not created separate committees, to manage the procedure of nominations to the Board and for the preparation of proposals for election in the BoD concerning the remuneration of the members of the BoD and the Management Team.

This divergence is justified by the fact that the Company's policy regarding remuneration of members of the Bod and Management Team members is considered regular, consistent, stable and reasonable, and always adjusted to the current economic environment conditions. This policy is always sustained and applied by the BoD, in order to avoid cases of extortionate compensations, that don't coincide with the provided services and the general economic situation of the country. It is noted that there are not unstable compensations (bonus, stock options) based on the policy of the Company, so the importance of existence of such a committee is limited. However, the Company will adopt the relative provisons of l. 4548/2018 in 2019.

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Furthermore, the non-existence of a separate committee that manages the procedure of applying candidates for the election in the BoD members is explained by the fact that applicants, from the establishment of the Company since today, meet all the necessary prerequisites and provide all the guarantees for being elected as members of the Board of Directors. They also stand out for their high professional brilliance, their knowledge, qualifications and experience. They are also of exceptional moral and personal integrity and therefore since today, there is no need for forming such a committee.

ΙΙ. Size and composition of the Board of Directors

The BoD is not comprised by seven (7) to fifteen (15) members.

According to the Company's Memorandum and especially to article 10, paragraph 1, "The Company is directed by a Board that consists of three (3) to seven (7) members".

This deviation is justified, as the size and organization of the Company, as well as the controlled and targeted expansion of the Company, also geographically and in a Group level, does not require such a numerous BoD. Also, the existence of a numerous BoD may, negatively affect, the flexible structure of the Company.

The policy of diversity, including the genders equilibrium of the BoD members, as this has been adopted by the BoD will be available at the Company's site. In the Corporate Governance Code a special statement should be included: a) regarding the diversity policy of the Company for the composition of the BoD and the Management Team and b) the percentage of each gender's representation respectively.

The current BoD of the Company now consists by six members, five (5) of which are men and the sixth is a woman. This deviation is justified by the inability for the current period of finding women executives, to meet the high set requirements for becoming BoD members, due to the special characteristics the Company presents. It is among the near future priorities of the Company to find and add skillful women representatives to the BoD, without being able to determine accurately though the time frame of compliance with this rule of the CGC. This is because on the one hand, a relative interest should arise, but on the other, the needed requirements should be met.

ΙΙΙ. Role and Profile of the Chairman of the Board of Directors

There is no specific discern between the Chairman of the BoD and the CEO.

This non-compliance is due to the fact that it is not considered as needed, given the structure and operation of the Company. If the Company's needs alter in the future, this matter of discernment of the Chairman and CEO will be re-evaluated. Furthermore the fact that the Vice-Chairman, also obtains the role of the CEO, substantially satisfies the above mentioned Code's prerequisite, since it creates a peer pole of management and representation of the Company.

The BoD does not appoint an independent Vice-Chairman arising from its independent board members.

This divergence is counter-parted by the appointment of an executive Vice-chairman, whose contribution to the exercise of the executive duties of the Chairman is considered of utmost importance, for achieving the Company's goals in favor of the shareholders, the employees, the clients, the BoD members and the Management Team.

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IV. Duties and Conduct of members of the Board of Directors

The BoD has not adopted as part of its internal rules, policies to ensure that the BoD holds enough information to make decisions regarding transactions between associated parties with the diligence of a prudent businessman. These policies should also be applied during transactions of the subsidiaries of the Company with the associated parties. Corporate Governance Statement should include a special report on the policies applied by the Company, regarding all the above-mentioned.

Although such a special and specific policy, which forms the framework for provision of sufficient information from the side of the BoD, in order for decisions for transactions between associated parties to be made under the diligence of a prudent businessman, does not exist, the BoD while managing the Company's business issues and therefore during transactions between the Company and its associated parties, has the diligence of a prudent businessman. This is in order for these transactions to be absolutely transparent and in accordance with the markets terms and conditions (arm's length), but also in absolute compliance with the existing regulative law, as defined by the relevant regulations of the corporate and tax legislation. The same diligence is also shown regarding transactions of the subsidiaries of the Company with associated parties.

At this point of time and based on the structural organization and operation of the Company, there is no need for constitution of such a special committee for the information of the BoD.

There is no obligation for analytical disclosure of any professional bounds of the BoD members (including important non-executive bounds to companies and non-profitable organizations) before their appointment in the BoD.

This deviation is justified by the fact that the members of the BoD are distinguished for their professionalism and their concrete devotion to the Company, and therefore besides the absence of a statutory analytical disclosure of any professional bounds for the members of the BoD, prior their election to the Board they would proceed to such a disclosure, if they considered that any danger of conflict of interests existed.

V. Nomination of Board members

BoD members' maximum service is not four (4) years.

According to article 10, paragraph 3 of the Company's Memorandum, "the service of the members of the BoD is five (5) years".

This deviation is a result of the necessity of avoiding the election of BoD in shorter period of times, because of the fact that the provision for maximum service of four (4) years, carries the risk that the elected BoD will not be able to complete all the projects, placing in danger the effective management of the Company's business and the management of the Company's property, due to the continuous alteration of management teams and also due to the many different opinions that may exist regarding the Company's interests and activities.

There is no committee for selecting candidates for the BoD.

This is justified by the size, structure and operation of the Company at the time being, which do not make necessary the existence of such a committee for selecting candidates.

Besides that, every time before the election of a new BoD member, the Management of the Company, assures the existence and appliance of a transparent procedure, evaluates the size and the composition of the BoD member to be elected, examines the qualifications, knowledge, views, skills, experience, morals and integrity of the candidates and therefore the mission of a committee for selecting candidates if that existed, is fully accomplished.

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VI. Operation of the Board of Directors

There is no specific rule for the operation of the BoD.

This is justified by the fact that the Company's Memorandum regulations are considered to be adequate for the organization and operation of the BoD and ensure the full, right and on time fulfillment of its duties and the satisfactory examination of all matters upon which the BoD makes decisions.

The BoD at the beginning of every calendar year does not adopt a calendar of convocations and a 12month program of actions, which is eligible to alterations, according to the Company's needs.

This divergence is justified by the fact that the members of the BoD are residents of Attica and therefore the calling and convocation of the BoD is easy every time it is necessary, without the existence of a strict pre-defined program of actions.

There is no provision for the support of the BoD during its work by a competent, specialized and experienced secretary, which will be present during the meetings.

This is justified by the fact that state of the art technology exists to record and map the convocations of the BoD, because of the nature of the Company and the segment of its operation. Furthermore all BoD members have the ability, if it is considered necessary, to ask for support from the legal consultants of the Company, in order to ensure compliance with the existent legal and regulatory legislation.

It is noted that according to the new Corporate Governance Code, a high level employee or a legal consultant, can act as a secretary, whilst the purpose of the secretary is the provision of practical support to the chairman and to the rest of the members of the BoD, in person and as a whole, with aim the total compliance of the BoD with the legal and Memorandum regulations and provisions. The Company will examine in the near future, the need for such a secretary.

There is no provision of programs for introductory information to the new members of the BoD or the constant education of the rest of the members.

This is explained by the fact that for BoD members, only individuals with satisfactory and proven experience, high level of knowledge, as well as organizational and managerial skills, are proposed. Besides that, the Group has as a basic rule the constant education and training of its employees and managers, but also the reinforcement of the corporate consciousness in all levels, by frequently conducting educational seminars according to the sector each member is working in, or the duties it is responsible for.

There is no provision for supplying sufficient resources to the committees of the BoD for the fulfillment of their obligations and for the hiring of external consultants to the degree they are needed.

This is justified by the fact that the Management of the Company examines and approves such resources for hiring of external consultants based every time on the needs of the company, for being able to control the operating expenses of the Company.

VII. Evaluation of the Board of Directors

There is no institutional procedure that takes place every two (2) years, aiming to assess the effectiveness of the BoD and its committees. The BoD does not assess the performance of the Chairman of the BoD during a certain procedure which the independent vice-chairman directs, or if one does not exists another non-executive member does.

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During the current period an institutional procedure aiming to access the effectiveness of the BoD and its committees does not exist. Also the performance of the Chairman of the BoD is not assessed, during a procedure directed by the independent vice-president, or even another non-executive member of the BoD.

Such a procedure is not considered to be necessary due to the organizational structure of the Company, since there are no boundaries between the members of the BoD. Therefore whenever weaknesses or malfunctions concerning the organization and operation of the BoD are identified, meetings are conducted and analytical discussions are made, during which the problems are presented, critique is made to decisions and other actions or statements of all members of the BoD that take place. Besides, the BoD observes and re-evaluates regularly the implementation of their made decisions, based on time plans set, while the BoD is annually assessed by the Regular General Meeting of the shareholders of the Company, conducted according to the regulations and the procedures described in detail in law 2190/1920 as well as to the Memorandum of the Company. It is noted, the only other committee that exists is that of Audit Committee.

The Company in order to comply with this particular rule, which the Corporate Governance Code has introduced, is currently examining the necessity of introducing a system of control and evaluation of the BoD, though the time frame of its completion cannot be accurately defined.

Part Β- Audit Committee

Ι. Internal Control – Audit Committee

There is no special and specific rule for the operation of the audit committee.

This divergence is explained by the fact that basic duties and responsibilities of the audit committee are adequately described by the existing legislation. Therefore the Company does not consider necessary at the present time the formation of such a specific internal rule for the operation of the above-mentioned committee, since what comes first is the adherence of the existing legislation.

No specific funds are given out to the audit committee for the use of external services or consultants.

This is justified by the current composition of the audit committee and the special knowledge and experience of its members, which ensures its correct and effective operation in a sufficient way. Therefore the external service of consultants is not considered to be necessary.

Part C- Compensation

Ι. Level and structure of the compensation

There is no committee of compensation, comprising exclusively of non-executive members, independent in their majority, which aims at defining the compensation of the executive and non-executive members of the BoD and thus there are no rules for the frequency of its convocations and other issues concerning its operation.

This divergence is explained by the way the Company is structured and organized, a way that does not require the establishment of such a committee. Until today the Management of the Company redacts the procedure of defining the compensation and ensures this procedure is characterized by objectivity, transparency, professionalism and is deprived by any conflicts of interest. Regarding the specification of compensation of the BoD members, executive and non-executive ones, the Management of the Company, acts with the principle of

creating a long-term company value, the sustainability of balance and meritocracy, for the shill of executives, that have the needed qualifications for the effective operation of the Company.

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The BoD, while defining the compensation of the BoD members and especially of the executive ones, takes into consideration their duties and responsibilities, their performance in relation to pre-defined quantitative and qualitative criteria, the economic environment, the performance and future prospects of the Company, the level of compensation for similar services in other relative companies, as well as the level of compensation of the Company's and Group's employees up to the corporate year 2018. However, the Company is expected to adopt the provision of the l. 4548/2018 (ar. 110-112) in 2019.

In the contracts of the executive members of the BoD, there is no provision for the BoD to ask for part or full refund of the bonuses paid due to revised financial statements of previous years or in general wrong financial data that were used to calculate such a bonus.

This is explained by the fact that rights for bonuses rise, only after the final approval of financial statements. Also since today, because of the state of the art organization and auditing procedures, the phenomenon of a bonus calculation based on inaccurate financial statements and data has never occurred.

The compensation of every executive member of the BoD is not approved by the BoD after the proposal of the audit committee, without the presence of its executive members.

This divergence is explained by the fact that such a committee does not exist. However, the Company is expected to adopt the provision of the l. 4548/2018 (ar. 110-112) in 2019.

Part D - Relationship with shareholders

Ι. Communication with shareholders

The Company has not adopted a special practice regarding communication with its shareholders that includes the policy of the Company for questions made from shareholders to the BoD.

At this particular time, an established special procedure regarding questions made by shareholders to the BoD does not exist, since every shareholder has the ability to address to the Investor's Relation Service, making requests and questions. If it is considered necessary, these are transferred in groups to the BoD for further processing and the relative answer or update is given to the interested party.

Moreover the rules of the law 2190/1920 (article 141 of l. 4548/2018 since 01.01.2019), describe in a detailed way the procedure of participation of the shareholders of minority to the General Assemblies of the Shareholders, a procedure always followed in every General Assembly, in order to ensure the valid and on time information of the shareholders, in relation to the evolvement of the corporate issues.

ΙΙ. The General Assembly of the shareholders

No deviation was observed.

General Note regarding the time point of release of the non-compliance of the Company with the special practices adopted by the CGC

As it was mentioned before (Introduction of Corporate Governance Statement), the new CGC, as it stands from October 2013 follows the "comply or explain" rule and demands from the listed companies that choose to apply it, to publish their intention and either comply with the whole of the special practises of the Code, either explain the reasons for non-compliance with certain special practises.

Furthermore, the relevant explanation for non-compliance, is not only restricted to a simple mention of the general principle or the special practice with which the Company does not comply, but among others the Company should disclose whether this divergence is time framed and its intentions to comply with the codes principle.

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The divergences of the Company from the practices established by the new CGC are not thought to be subject to a strict time-frame, taking consideration that these practises do not correspond to the structure, organization, tradition, corporate values, ownership status and needs of the Company and maybe the compliance with these practises makes more difficult the application of the substance of the code's principles.

In any case, no code can or is supposed to substitute the context of principles, values and structure of any Company and therefore the adoption of rules not compatible with these principles is not reasonable.

Nevertheless, the Company has already formed a working group, that examines the existing divergences from the special practises of the new CGC, investigates the possibility of compliance with these and evaluates the possibility of establishment of its own Corporate Governance Code, the identity and regulations of which, will respond to the needs and specificities of the Company. This would promote the long term success and robust the competitiveness of the Company.

1.3 Practices for corporate governance that the company applies over the provisions of the law

The Company abides to the provisions of the text as in its legal framework concerning corporate governance. There are no practices applied over the above mentioned.

2. Board of Directors

2.1 Composition and Services of the Board of Directors

The BoD is the highest ranking managerial body of the Company and is exclusively responsible for devising the strategy and deciding the policy for developing the Company. The intention to reinforce the long-term financial value of the Company, the protection of the general interests of the Company and of the shareholders, the assurance of compliance with the present legislation, the transparency and company's values on every aspect of the Group's operation, the monitoring and solution of conflicts of interests cases between BoD members, management team members and shareholders with the Company's interests are the main responsibilities of the BoD.

2.1.1 The company's BoD is composed, according to article 10 of the Articles of Association of the Company, of three (3) up to seven (7) members, which are elected by the General Assembly of the Shareholders by absolute majority of votes, which are represented in the Assembly. The members of the BoD may be Shareholders of the Company or other natural entities (non-shareholders). The members of the BoD are unlimitedly re-electable and freely revocable from the General Assembly irrespective of the time their service ends.

The members of the BoD when elected receive and introductory update, while during their service the Chairman, ensures the continuous broadening of their knowledge, to matters concerning the Company, in order to be familiar with these and contribute effectively and creatively to the duties of the BoD.

The service of the BoD members is five (5) years commencing the following date of the election of the BoD and expiring the relevant date of the fifth year. In case upon the expiration of their service and if a new BoD has not been elected, their service is extended up to the first ordinary General Assembly which shall be converged upon the expiration of their service, which in no case can supersede six (6) years. Each member has to participate in the deliberations of the BoD.

Each member of the BoD has to keep confidential information regarding the company, which he may know thanks to his capacity and not announce any of this confidential information to third parties.

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2.1.2 The BoD convenes whenever the law, the Articles of Association, or the needs of the company demand it after the invitation of its Chairman or his replacement at the registered office of the Company or in another municipality of the district of its registered office. In the invitation the agenda has to be clearly stated, or else decisions can only be made when all the members of the BoD are present and no one controverts the decision making. The BoD can convoke outside its registered seat, in another place, in or out of the country, if in the convocation all members of the BoD are present and no one controverts the realization of the convocation and the decision making. The BoD may also convoke via tele-conference. In that case the invitation to the members of the BoD must include all necessary information concerning their participation in the convocation. In the convocations of the BoD its Chairman or his legal representative presides.

2.1.3 The BoD has quorum and dully convokes, when 50% plus one (1) of the directors is present and represented. In no case however the number of the Directors who appear in person, may not be less than three (3).

2.1.4 The BoD decides with the absolute majority of the present or represented members. In case of halved votes the vote of the Chairman dominates. Every Director has one (1) vote. Exceptionally, one may have more votes when representing another Director. The voting in the BoD is apparent, unless by its decision is defined that for a specific matter secret voting will be conducted. In that case, voting is conducted via ballot.

2.1.5 The discussions and decisions of the BoD are kept in the minutes which are registered in a special book of minutes and are signed by the Chairman or lawful representative, and the members which are present during the meeting. Each member is entitled to request the Chairman, to have his opinion mentioned in the minutes. In the book also a list of the present directors during the convocation of the Board is posted. The signature of the minutes by all the members of the BoD is equal to a decision of the BoD even if convocation has not proceeded.

2.1.6 The BoD may appoint some or all of its powers and jurisdictions (apart from those requiring collective decision) as well as the internal audit of the company and its representation to one or more persons, that may or may not be members, also defining the extent of this appointment.

2.1.7 In reservation of the l. 3016/2002 for the independent members of BoD, if possibly any member of the BoD departs or deceases or is declared fallen for any reason before the expiration of its service, the remaining directors of the BoD, as long as they are at least three (3), are obliged to elect a replacer for the remaining of the service of the member who is to be replaced only under the condition that the replacement is not possible with the substitute members. The said election is submitted for approval in the first General Assembly of the shareholders, upon the election and the decision of the said election is published according to article 7b of the c.l. 2190/1920 (and article 13 of l. 4548/2018 since 01.01.2019).

2.1.8 In reservation of the l. 3016/2002 for the independent members of BoD, if possibly any member of the BoD departs or deceases or is declared fallen for any reason before the expiration of its service, the remaining members may continue the management and representation of the company without replacing the fallen members, according to the previous paragraph, with the prerequisite that they are over the half members, as they were before these facts. In any case the members cannot be less than three (3).

2.2 Information concerning the members of the Board of Directors

2.2.1a The BoD of the Company consists of six (6) members, which are the following:

i) George K. Gerardos, President of the BoD and CEO of the Company (executive member)

ii) Konstantinos G. Gerardos, Vice-President of the BoD and CEO of the Company (executive member)

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iii) George C. Liaskas, member of the BoD (non-executive member)

iv) Nikolaos K. Tsiros, member of BoD (independent, non-executive member)

v) Antiopi-Anna I. Mavrou, member of BoD (non-executive)

vi) Ilia G. Klis, member of BoD (independent, non-executive)

The above mentioned BoD was elected by the annual Shareholder Meeting of the Company, which took place on April 2nd 2015 and its service is five year long ending on April 2nd 2020.

The decision taken on 02.04.2015 by the Annual Ordinary General Assembly of the Shareholders of the Company regarding the election of the new BoD and its constitution as a body, posted into G.E.MI. on 05.05.2015 with virtue numbers 356903 and 356904, respectively.

2.2.1b The Minutes of the Board of Directors meeting of 10.01.2018 posted into G.E.MI. on 26.01.2018. On that meeting of the BoD, Mr. Filippos Karagkounis of Anastasios elected as Independent, non-executive member of the BoD in replacement of the resigned Independent, non-executive member Mr. Nikolaos Tsiros of Konstantinos. Also, the representation rights of Company were renewed by the same BoD meeting and the BoD constituted in a Body, as follows:

i) George K. Gerardos, President of the BoD and CEO of the Company (executive member)

ii) Konstantinos G. Gerardos, Vice-President of the BoD and CEO of the Company (executive member)

iii) George C. Liaskas, member of the BoD (non-executive member)

iv) Filippos A. Karagkounis, member of BoD (independent, non-executive member)

v) Antiopi-Anna I. Mavrou, member of BoD (non-executive)

vi) Ilia G. Klis, member of BoD (independent, non-executive)

2.2.2 The brief resumes of the members of the BoD are:

i) George Gerardos: born 1946 in Palaio Faliro. He is a licensed Civil Engineer of the National Technical University. He is the founder of the Company.

ii) Konstantinos Gerardos: Born in 1977 in Athens, is a graduate of the College of Athens. He has a BA in International Business from Eckerd College in USA. He works in the company since 1995.

iii) George Liaskas: Born in 1949 in Arta. He is a licensed Foreman of Structural Projects and worked in the company as Manager of Development of stores from 1989 until 2007, when he was retired.

iv) Filippos Karagkounis: Born on 1953 in Ioannina. He has a ΒΑ in Business Administration with specialism in Accounting from the Athens University of Economics and Business. He worked in the Accounting Department of the Company since 1983. He was the Chief Financial Officer of the Company since 2002 until 2012.

v) Antiopi Anna Mavrou: Born in 1946, she graduated from the Law School of the University of Athens in 1969 with post graduate studies in the Law School of Sorbonne. She is member of the Law Association of Athens.

vi) Ilias Klis: Born in Athens in 1946. In 1965 he graduated from the College of Athens and continued his studies in the University of Athens, getting a Law degree. After a prominent career in the diplomatic services of the Ministry of Foreign Affairs, he left the Diplomatic Services in October 2008, having completed 35 years of service.

2.3 Audit Committee

2.3.1a The Company in compliance with the Law 3693/2008 elected during its General Shareholders Meeting on April 2nd 2015 an Audit Committee including comprising of the following non-executive members:

1) Antiopi-Anna I. Mavrou

2) Nikolaos K. Tsiros

3) Ilias G. Klis.

It is noted that the last two members are independent non-executive members of the Board of Directors.

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2.3.1b The resigned independent, non-executive member of the BoD, Mr. Nikolaos Tsiros was the President of the Audit Committee, so the BoD on 10.01.2018 approved the replacement of Mr. Nikolaos Tsiros by Mr. Filippos Karagkounis, as he fulfils the prerequisites of the Law 4449/2017.

Consequently, the new Audit Committee constituted as follows:

1) Filippos A. Karagkounis

2) Antiopi-Anna I. Mavrou

3) Ilias G. Klis.

With the current composition of the Audit Committee the prerequisites of the article 44 of the l. 4449/2017 are fulfilled, as the three members of the Committee are non-executive members and they have the necessary knowledge in the Company's sector and Mr. Filippos Karagkounis is a member with proved knowledge of accounting and auditing. Finally, the requirements of the l. 3016/2002 for Corporate Governance are met.

2.3.2 The authorities and obligations of the Audit Committee, according to article 44 of the Law 4449/2017, are the following:

a) Informing the BoD of the Company for the results of the obligatory audit and explain to the BoD how the obligatory audit contributed to the integrity of the financial information and what was the role of the audit committee to the aforementioned procedure,

b) Observing the procedure of financial information and submit suggestions for the integrity of the information,

c) The observation of the efficient operation of the system of internal control and the system of risk management, as well as the observation of the correct operation of the internal auditors of the Company, regarding the financial information of the Company, without any violation of its independency,

d) The observation of the course of the obligatory check of the annual financial statements of the Company and of the Group, taking into account any findings and conclusions of the authorities,

e) Survey and observe the independency of the auditors or the audit company and especially the appropriateness of offering non audit services to the Company and

f) The Audit Committee is responsible for the selection procedure of the auditors or of the audit companies and propose the auditors of the audit company that will be appointed.

2.3.3 The audit committee during 2018 (01.01.2018-31.12.2018) convened four (4) times.

2.3.4 It is also clarified that the Auditor of the company who audits the annual and interim financial statements, does not offer any other auditing or other service to the Company in order to comply with l. 4449/2017, or is connected to the Company so his objectivity, impartiality and independence is assured. This with the exception of special tax auditing, that is required by the article 65A of the l.4174/2013 upon which, the "Tax Certificate" is issued.

3. General Assembly of Shareholders

3.1 Way of operation of the General Assembly and its basic Authorities

3.1.1 The General Assembly is the supreme body of the Company and is entitled to decide for any Company matter

and to conclude upon all matters, which are submitted or said.

More specifically it is exclusively competent to decide upon:

a) The amendments of the articles of association.

As amendments are meant also the increases or decreases of the capital share, apart from the cases mentioned in

article six (6) paragraph 1 and 2 of the Articles of Association and other cases that are enforced by law,

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b) The election of Auditors

c) The approval of the balance sheet and the annual financial statements of the Company

d) The distribution of annual profits

e) The merge, fracture, conversion, revival of the Company

f) The extension or abbreviation of the duration of the Company

g) The dissolution of the Company and the appointment of liquidators

h) The appointment of members of the BoD, apart from the case of article 11 of the present and

i) The approval of the election according to article 10 of the Articles of Association, the temporary members replacing the members that resigned, passed away or have fallen out.

3.1.2 The decisions of the General Shareholders Meeting are obligatory for the shareholders that are absent or object.

3.1.3 The General Assembly is always convened by the BoD and convenes regularly at the seat of the Company or in the district of the seat of the Company, at least once in every business year and always in the first semester after the expiration of each business year The General Assembly may convene in the district of the municipality where the seat of the Athens Stock Exchange is.

The BoD may convene an extra ordinary Shareholders Meeting when it considers it is necessary or if the shareholders representing the required (by the law or the Articles of Association and Memorandum) percentage.

3.1.4 The decisions of the General Assembly are taken by absolute majority of votes, which are represented.

Exceptionally, when it concerns decisions regarding: a) the alteration of the Company's nationality, b) the alteration of the Company's registered office, c) the alteration of the purposed or object of the Company's business, d) the alteration of the Company's shares to registered, e) the increase of share capital with some exceptions, f) the alteration of the mode of distribution of profits, g) the merging, dispersion, alteration, revival of the Company, h) the Company's dissolution, i) the giving or renewing of authority to the BoD for increase of share capital according to par. 1art. 6 of the Articles of Association (par. 1, article 24 of the l. 4548/2018 since 01.01.2019), and j) every other case for which the law determines, the General Assembly has a quorum and duly convokes when shareholders representing (1/2) of the paid share capital are represented.

3.1.5 The Chairman of the BoD, or when he is hindered his lawful replacer presides temporarily in the General Assembly and defines as secretary one of the Shareholders or their representatives who are present, until the list of shareholders is certified by the General Assembly, who are entitled to participate in the said and elects the ordinary presiding office.

3.2 Shareholder Rights

3.2.1 Rights to participate and vote

3.2.1.1 The shareholders exercise their rights, concerning the management of the Company, only in General Assemblies and according to the law and the Articles of Association. Each share gives the right for one (1) vote in the General Assembly according to article 16 of the Codified Law 2190/1920 (article 50 of the l. 4548/2018 since 01.01.2019).

3.2.1.2 In the General Assembly anyone who appears as a shareholder in the Dematerialized Securities System which is managed by Athens Stock Exchange S.A. has the right to participate. The proof of shareholders identity is established by the relevant written assurance of the above mentioned organization or by direct electronic connection of the Company with the organization. The person must be a shareholder five (5) days before the General Assembly (record date), and the relevant receipts or the electronic receipts concerning the shareholding capacity must come to the Company at the latest the third (3rd) day before the General Assembly.

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3.2.1.3 In the General Assembly only those who are shareholders in the said date have a right to participate in the General Assembly. In case of noncompliance to article 28a of the law 2190/1920 (article 124 of l. 4548/2018, since 01.01.2019), the said shareholder participates in the General Assembly only after its license.

3.2.1.4 The fulfilling of the above mentioned rights does not require the prior bound of the shareholders΄ shares or any other procedure that limits the possibility of selling or transferring shares in the time between the record date and the date of the General Assembly.

3.2.1.5 The shareholder participates in the General Assembly and votes either in person or via proxies. Each shareholder may appoint up to three (3) proxies. Legal entities may participate in the General Assembly appointing as proxies up to three natural entities. If the shareholder however, owns shares of the company that appear in more than one account, he may appoint different proxies. A proxy that acts on behalf of different shareholders may vote differently for each shareholder. The proxy must inform the Company before the beginning of the General Assembly, any fact that may be useful to assess the risk that the proxy may cater to interests other than the represented shareholder. A conflict of interests regarding this paragraph may rise when the proxy:

a) is a shareholder controlling the Company, or another legal entity controlled by the particular shareholder,

b) is a member of the BoD, or the management team of the Company, or a shareholder that controls the Company, or another legal entity controlled by a shareholder, which controls the Company,

c) is an employee or auditor of the Company, or a shareholder that controls the Company, or another legal entity controlled by a shareholder,

d) is a spouse or a first degree relative with one of the entities that are mentioned above in cases (a) to (c). The appointment and reverse of a proxy takes place in writing and is announced to the Company at least three (3) days before the date of the General Assembly.

4. System of Internal Control and Risk Management

4.1 Main characteristics of the Internal Control

4.1.1. The Internal Control of the Company is conducted by the Service of internal control according to the control program included in the Internal Rulebook of the Company.

It is a basic goal of the Company, to ensure that through the right systems of internal control the whole organization of the Group, will have the ability to face quickly and effectively the rising risks of its jurisdiction and in any case take the needed measures to reduce consequences of these risks.

It is noted that the control on the base of which the relevant report is drawn up, within the law 3016/2002 as it stands, and more specifically to articles 7 and 8 of the referred Law.

4.1.2 During the auditing the Service of Internal Control takes into account all the necessary books, files, bank accounts and portfolios of the Company and asks for the constant cooperation of the Management to ensure that all necessary information and data is provided, with the purpose to reach conclusions in their Report that do not

entail substantial inaccuracies. This control does not include any evaluation of the appropriate accounting principles that were adopted as well as of estimations made from the Management.

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4.1.3 The scope of control is the evaluation of the general level of the procedures of the system of internal control. In any controlled period several scopes of control are chosen, while the organization and operation of the BoD is constantly controlled as well as the Service of Servicing Shareholders and Investor Relations that operate based on the law 3016/2002.

4.2 Risk management concerning the conduction of financial statements

The Group has invested in the development and maintenance of advanced MIS infrastructure that ensures the correct display of figures. At the same time an analysis of the results is made on a daily basis covering all the important fields of business activity. The actual, historical and budgeted figures are compared with adequate explaining of all the important deviations. The Audit Committee can proceed with audit based on sample checking.

5. Other managerial or supervisory committees of the Company

No other managerial or supervisory committees exist at the time except the ones that arise from the Law.

6. Additional Informative data

6.1 Article 10, par. 1 of the Guidance 2004/25/ΕΚ of the European Parliament and Committee of April 21st 2004, relevant to the public offerings for the titles of companies that are negotiated in organized markets, lays down rules concerning whose shares are traded on a regulated market.

"Countries, members of the EU, make sure that companies mentioned in article 1 paragraph 1, publish analytical information regarding:

a) capital structure, including titles that are not listed in regulated markets and in some cases the respective categories of the shares and the related rights and the liabilities connected with any type of shareholder and the percentage of the share capital they represent,
b) all the restrictions regarding titles conveyance, as restrictions in titles possession or the obligation for receiving approval from the Company, or other title owners, according article 46 of guidance 2001/34/EK
c) important direct or non-direct participation in share capital, according to article 85 of guidance 2001/34/EK
d) the owners of any kind of titles, that provide special control rights and description of these rights
e) a control mechanism that maybe exists in a system of participation of the employees, if control rights are not exerted directly by employees
f) every kind of restrictions regarding voting right, like restrictions to owners of certain amount or percentage of votes, deadlines of exerting voting rights, or systems to which with the Company's cooperation, financial rights coming from titles are dissociated by titles ownership
g) agreements between shareholders, that are known to the Company and might entail restrictions to titles conveyance or voting rights according to guidance 2001/34/EK
h) rules regarding appointment or replacement of the BoD members and also regarding alterations of the Memorandum
i) authorities of the BoD members, especially regarding the ability of issuing or re-purchasing shares
j) every important agreement in which the Company participates and starts to apply, alters or ends in case of a change to the control of the Company after a public offer for a buyout and the results of such an agreement,

unless such an acknowledgment would cause a serious problem to the Company. This exception is not valid when the Company is expressly obligated to announce relevant information due to other law obligations

k) every agreement the Company has made with the members of its BoD, or with its personnel that predicts compensation in case of resignation or discharge without any arguable reason or even if the cooperation is terminated due to a public offer of buyout."

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6.2 Data for the points (a) and (b) have already been given. There are no shares of the Company which do not trade in the Athens Stock Exchange.

Relevant to points c, d, f, h and i of paragraph 1 of article 10 the Company states the following:

• concerning point c: the significant direct or indirect participations of the Company are:

a) Plaisio Computers JSC (Subsidiary), located in Sofia Bulgaria, in which the Company participates with 100% of the shares and voting rights
b) Plaisio Estate S.A. (Associate), located in Kiffisia Attica, in which the Company participates with 20% of shares and voting rights
c) Plaisio Estate JSC (Associate), located in Sofia Bulgaria, in which the Company participates with 20% of shares and voting rights

Moreover, the important participations to the share capital of the Company based on articles 9 to 11 of the l. 3556/2007 are:

George Gerardos with 14.698.308 shares and sharing rights (66,58%) of the Company's shares and Konstantinos Gerardos with 3.415.524 shares and voting rights, (15,47%) of the Company's shares.

• concerning point d: no such titles exist

• concerning point f: There is no limitation on the voting right of each share of the Company.

Concerning the exercise of voting rights during the General Assembly a detailed report is provided in unit 3 of the Statement of Corporate Governance.

• concerning point f: concerning the appointment and replacement of the members of the BoD as well as the alteration of the articles of Association of the Company, there are no rules that differ from what is stated in Law 4548/2018. These rules analyzed in Unit 2.1 of the present Statement of Corporate Governance.

• concerning point i: there are no special authorities to members of the Board of Directors regarding the issuance or the buyback of Company's shares. However, on the annual Ordinary General Assembly on 23.05.2017 approved based on article 16 of the c.l. 2910/1920, the purchase into a period of twenty four (24) months after the approval date of that decision - that is the 23.05.2019 by the upper limit of two million two hundred seven thousand five hundred sixty six (2.207.566) common shares, which represent 10% of the total outstanding shares of the Company, with purchase price three (3,00) Euros per share as the lowest limit and with ten (6,00) Euros per share as the upper limit. The implementation of the share buyback programme of the Company started after the decision of the Board of Directors of 28th June 2017. The share buyback programme is still in progress. The Company does not hold any treasury shares on the date of publication of the Financial Statements. It is noted that the voting rights of these shares are not exercised.

The points (e), (g) and (j) do not apply.

This Corporate Governance Statement is indispensable special part of the Annual Report of the Board of Directors of the Company.

Magoula, March 21st, 2019 The Board of Directors

CHAPTER 3: INDEPENDENT AUDITOR'S REPORT

Independent Auditor's Report

To the Shareholders of "PLAISIO COMPUTERS S.A."

Report on the Audit of the Separate and Consolidated Financial Statements

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Opinion

We have audited the accompanying separate and consolidated financial statements of the Company "PLAISIO COMPUTERS S.A." (the Company), which comprise the separate and consolidated statement of financial position as at December 31, 2018, and the separate and consolidated statements of comprehensive income, changes in equity and cash flow for the year then ended, as well as a summary of significant accounting policies and other explanatory notes.

In our opinion, the accompanying separate and consolidated financial statements present fairly, in all material respects, the financial position of the Company "PLAISIO COMPUTERS S.A." and its subsidiaries (the Group) as of December 31, 2018, and of their financial performance and their cash flows for the year then ended in accordance with International Financial Reporting Standards as endorsed by the European Union.

Basis for Opinion

We conducted our audit in accordance with the International Standards on Auditing (ISAs) as incorporated in Greek Legislation. Our responsibilities, under those standards are described in the "Auditor's Responsibilities for the Audit of the separate and consolidated financial statements" section of our report. During our audit, we remained independent of the Company and the Group, in accordance with the International Ethics Standards Board for Accountants' Code of Ethics for Professional Accountants (IESBA Code) as incorporated in Greek legislation and the ethical requirements relevant to the audit of the separate and consolidated financial statements in Greece and we have fulfilled our responsibilities in accordance with the provisions of the currently enacted law and the requirements of the IESBA Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the separate and the consolidated financial statements of the current period. These matters and the related risks of material misstatement were addressed in the context of our audit of the separate and the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

Valuation of inventory

As described in Note 11 to the 31 December 2018 separate and consolidated financial statements, the Group and the Company's inventory is amounted to €52.257 thousand and €51.278 thousand respectively. These amounts include a provision for impairment of € 8.479 thousand and € 8.452 thousand respectively.

The Group and the Company value inventory at the lower of cost and net realizable value.

The Group and the Company operate in the high technology sector in which the risk of technological devaluation increases. Consequently, the management constantly examines the net realizable value of inventory and proceeds to all necessary provisions. Obsolete inventory allowance is calculated by considering stock turnover ratio and obsolete stock that is about to be destroyed within the next period.

We consider valuation of inventory a key audit matter because of the judgment involved and the assumptions used by the management, as well as the significance of the amount of inventories to the separate and consolidated financial statements.

The Group and the Company disclose the accounting

Key audit matters How our audit addressed the Key audit matters

We performed a risk based approach and our audit includes, among others, the following elements:

-We examined the procedures and operating effectiveness of controls designed by the management for stock management.

We attended physical inventory counting in Company's stores and warehouses, to validate on a sample basis whether there were indications of obsolesce.
For a selection of items we checked the arithmetic accuracy of inventory cost.

-We evaluated the reasonableness of estimates by reviewing the assumptions used by the management for the valuation of inventory.

-We performed procedures to identify unmoved and slow-moving inventory in the warehouse book.

-We validated on a sample basis the arithmetical accuracy of the management's calculations for inventory provision.

-For a sample of items we verified the existence of inventory sold with negative gross profit margin and that they have been taken into account in the valuation

policy and further information related to the valuation of inventory in Notes 2.11 and 11 of the separate and consolidated financial statements.

___________________________________________________________________________

Recoverability of trade receivables

As described in Note 12 to the 31 December 2018 separate and consolidated financial statements, the Group and the Company's trade receivables are amounted to €17.879 thousand and € 17.546 thousand respectively. These amounts include a provision for impairment of € 2.855 thousand and €2.774 thousand respectively.

The management, due to the large clientele dispersion and their activity in a high credit risk environment, estimates the impairment of trade receivables, assessing the recoverability of trade receivables by reviewing the maturity of the customer balances, their credit history, the settlement of subsequent payments and by making market forecast estimates.

We consider recoverability of trade receivable a key audit matter because of the judgment involved and the assumptions used by the management.

Revenue Recognition

As described in Note 5 to the 31 December 2018 separate and consolidated financial statements, the Group and the Company's turnover is amounted to €308.858 thousand and €302.741 thousand respectively. Recognition of revenue, generated by all points of sale (stores network), as well as general ledgers update are performed automatically by the Company's and Group subsystems.

The Group uses information systems and has internal controls to ensure a comprehensive revenue recognition framework. We focused on this area due to the large volume of transactions and the diversity of products offered, as a systematic error could lead to errors which may have a material impact on the separate and consolidated financial statements.

at the lower of cost and net realizable value.

-We also assessed the adequacy of the disclosures included in Note 11 of the separate and consolidated financial statements.

We performed a risk based approach and our audit includes, among others, the following elements:

We gained an understanding and reviewed the credit control procedures of the Company as well as examined the effectiveness of controls designed for credit granting to customers.
We assessed the assumptions and methodology used by the Company to determine the recoverability of trade receivables or their classification as bad debt.
We reviewed the responses received from legal confirmation to identify any issues that indicate balances of trade receivables that may not be recoverable in the future.

-We received third party confirmation letters for a representative sample of trade receivables and performed procedures subsequent to the date of the separate and consolidated financial statements for collections against the year-end balances.

We recalculated the impairment of trade receivables assessing the methodology and accuracy of the data used by the Company, such as the maturity of trade receivables at the year-end, trade receivables experiencing financial difficulty and publicly available information.
We evaluated the recoverability of trade receivables comparing the year-end balance with post balance sheet receipts.

-The assessment of the impact of the adoption of IFRS 9 for the year ending December 31, 2018, which resulted in the change of the Company's and Group accounting policy to address impairment loss on trade receivables.

-We also assessed the adequacy of the disclosures included in Note 12 of the separate and consolidated financial statements.

We performed a risk based approach and our audit includes, among others, the following elements:

We performed test of controls on revenue recognition to obtain reasonable assurance on the effectiveness of controls, applied by the management to prevent or detect and timely correct potential errors ensuring that sales revenue is correctly recorded in the separate and consolidated financial statements.
We performed test of control regarding the IT systems used by the Company to record sales revenue. In addition, we performed procedures to evaluate the completeness and accuracy of the revenue cycle arising from Company's subsystems. We also reviewed the design, implementation and efficient operation of the subsystems including reconciliations with the general ledger.

-The examination of management's methodology and calculations regarding the cumulative effect of the adoption of IFRS 15 for the year ending December 31, 2018.

We also assessed the adequacy of the disclosures included in Note 5 of the separate and consolidated financial statements.

Other Information

Management is responsible for the other information. The other information is included in the Board of Directors' Report, as referred to the "Report on other Legal and Regulatory Requirements" section, in the Declaration of the Board of Directors Representatives, but does not include the financial statements and our auditor's report thereon.

___________________________________________________________________________

Our opinion on the separate and consolidated financial statements does not cover the other information and we will not express any form of assurance conclusion thereon.

In connection with our audit of the separate and consolidated financial statements, our responsibility is to read the other information identified above and, in doing so, consider whether the other information is materially inconsistent with the separate and consolidated financial statements or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this respect.

Responsibilities of Management and Those Charged with Governance for the separate and consolidated Financial Statements

Management is responsible for the preparation and fair presentation of the separate and consolidated financial statements in accordance with International Financial Reporting Standards, as endorsed by the European Union, and for such internal control as Management determines is necessary to enable the preparation of separate and consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the separate and consolidated financial statements, Management is responsible for assessing the Company's and Group's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless, management either intends to liquidate the Company and the Group or to cease operations, or has no realistic alternative but to do so.

The Audit Committee (art. 44 of Law 4449/2017) of the Company is responsible for overseeing the Company's and the Group's financial reporting process.

Auditor's Responsibilities for the Audit of the separate and consolidated Financial Statements

Our objectives are to obtain reasonable assurance about whether the separate and the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs, as incorporated in Greek Legislation, will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these separate and consolidated financial statements.

As part of an audit in accordance with ISAs as incorporated in Greek Legislation, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the separate and consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

Obtain an understanding of internal control relevant to the audit, in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's and the Group's internal control.

___________________________________________________________________________

Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.
Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's and the Group's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the separate and consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company and the Group to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the separate and consolidated financial statements, including the disclosures, and whether the separate and consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express an opinion on the separate and consolidated financial statements. We are responsible for the direction, supervision and performance of the audit of the Company and the Group. We remain solely responsible for our audit opinion.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the separate and consolidated financial statements of the current period and are therefore the key audit matters.

Report on Other Legal and Regulatory Requirements

1) Board of Directors' Report

Taking into consideration that management is responsible for the preparation of the Board of Directors' Report which and the Corporate Governance Statement that is include therein, according to the provisions of paragraph 5 of article 2 of L. 4336/2015 (part B), we note that:

a) The Board of Directors' Report includes the Corporate Governance Statement which provides the information required by Article 43bb of Codified Law 2190/1920.

b) In our opinion the Board of Directors' Report has been prepared in accordance with the applicable legal requirements of articles 43a and 107A and of paragraph 1 (cases c' and d') of article 43bb of Codified Law

2190/1920 and its content is consistent with the accompanying separate and consolidated financial statements for the year ended 31/12/2018.

c) Based on the knowledge we obtained during our audit about the company "PLAISIO COMPUTERS S.A." and its environment, we have not identified any material inconsistencies in the Board of Directors' Report.

2) Additional Report to the Audit Committee

Our audit opinion on the separate and the consolidated financial statements is consistent with our Additional Report to the Audit Committee of the Company, referred to in article 11 of EU Regulation 537/2014.

3) Provision of Non-Audit Services

We have not provided to the Company and the Group any prohibited non-audit services

___________________________________________________________________________

Auditor's Appointment

We were appointed as statutory auditors for the first time by the General Assembly of shareholders of the Company on 14/5/2014. Our appointment has been, since then, uninterrupted renewed by the Annual General Assembly of shareholders of the Company for 5 consecutive years.

BDO Certified Public Accountant S.A. 449 Mesogion Av, Athens- Ag. Paraskevi, Greece Reg. SOEL: 173

Ag. Paraskevi, March 21, 2019 Certified Public Accountant

Olympia G. Barzou Reg. SOEL: 21371

CHAPTER 4: ANNUAL FINANCIAL STATEMENTS

COMPREHENSIVE INCOME STATEMENT 01.01 – 31.12.2018

___________________________________________________________________________

(Figures in thousand €)

		THE GROUP		THE COMPANY
		01.01- 31.12.18	01.01-31.12.17	01.01-31.12.18	01.01- 31.12.17
	Note
Turnover	5	308.858	286.098	302.741	281.146
Cost of Sales		(245.748)	(223.964)	(241.566)	(220.916)
Gross Profit		63.110	62.133	61.174	60.230

Other operating income	23	177	104	143	71
Distribution expenses		(49.738)	(45.698)	(48.307)	(44.252)
Administrative expenses		(7.101)	(6.275)	(6.675)	(5.794)
Other (expenses)/income		864	(1.572)	864	(1.572)
ΕΒΙΤ		7.311	8.693	7.199	8.683
Finance Income		415	229	442	276
Finance Expense		(1.638)	(1.672)	(1.601)	(1.640)
Share of profit of Associates		13	38	-	-
Profit before tax		6.100	7.288	6.040	7.320
Income tax	24	(2.245)	(2.388)	(2.238)	(2.394)
Profit after tax		3.856	4.900	3.802	4.926
Equity holders of the parent		3.856	4.900	3.802	4.926
Non-controlling interests		0	0	-	-
Other Comprehensive Income:
Items that will not be reclassified to
Comprehensive Income Statement:
Actuarial loss	19	(182)	157	(182)	157
Deferred Tax	19	5	(46)	5	(46)
Total Comprehensive Income after taxes		3.679	5.012	3.626	5.038
Profit of the period attributable to:
Equity holders of the parent		3.679	5.012	3.626	5.038
Non-controlling interests		0	0	-	-
Profit per share from continuing operations
attributable to the shareholders of the parent
(expressed in €/share):
Basic earnings per share	28	0,1747	0,2220	0,1722	0,2232
Diluted earnings per share	28	0,1747	0,2220	0,1722	0,2232
Proposed Dividend per share	29	-	-	0,0700	0,0700
EBITDA		9.458	10.719	9.311	10.673

STATEMENT OF FINANCIAL POSITION as at 31st December 2018

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(Figures in thousand €)

		THE GROUP		THE COMPANY
Assets	Note	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Tangible Assets	6	29.699	24.940	29.631	24.856
Intangible Assets	7	1.470	1.151	1.459	1.130
Advance Payments for Fixed Assets	6	225	0	225	0
Investments in subsidiaries	8	0	0	4.072	4.072
Investments in associates	8	1.142	1.157	225	225
Other investments	9	34	24	34	24
Deferred tax asset	18	2.750	3.587	2.741	3.572
Other non-current assets	10	689	692	684	669
Non-Current assets		36.010	31.553	39.071	34.549
Inventories	11	52.527	52.242	51.278	51.223
Trade receivables	12	17.879	17.609	17.546	17.674
Other receivables	13	6.390	3.733	6.186	3.627
Cash and cash equivalents	14	40.842	49.862	40.124	48.774
Current assets		117.638	123.446	115.134	121.297
Total Assets		153.648	154.999	154.205	155.846
Shareholders' Equity and Liabilities
Share capital	15	7.285	7.285	7.285	7.285
Share Premium	15	844	844	844	844
Other Reserves	16	24.898	25.039	24.612	24.761
Retained earnings		60.089	57.133	61.879	58.968
Shareholders' Equity		93.116	90.301	94.620	91.858
Non-current borrowing	17	8.940	11.273	8.940	11.273
Provision for employee benefits	19	1.916	1.708	1.916	1.708
Other non-current provisions	20	213	218	213	218
Non-current contract liabilities		859	0	859	0
Deferred Income	21	2.364	2.428	2.364	2.428
Non-current Liabilities		14.292	15.626	14.292	15.626
Trade payables	22	25.177	30.559	24.470	30.110
Tax liabilities		6.060	5.454	5.891	5.234
Current borrowing	17	2.333	1.604	2.333	1.604
Current provisions	20	1.231	1.565	1.231	1.565
Current contract liabilities	22	1.273	0	1.212	0
Other current liabilities	22	10.166	9.889	10.157	9.849
Current Liabilities		46.240	49.072	45.293	48.362
Total Shareholders' Equity and Liabilities		153.648	154.999	154.205	155.846

STATEMENT OF CHANGES IN NET EQUITY

___________________________________________________________________________

(Figures in thousand €)

			Other Reserves and
	Share Capital	Share Premium	Retained Earnings	Own Shares	Total
Equity at the beginning of the period (01.01.2017)	7.286	844	78.281	(19)	86.393
Total Comprehensive Income after Tax	0	0	5.012	0	5.012
Increase of Capital	0	0	0	0	0
Return of Share Capital	0	0	0	0	0
Purchase of Own Shares	(1)	0	(19)	19	0
Distributed Dividend	0	0	(1.104)	0	(1.104)
Equity at the end of the period (31.12.2017)	7.285	844	82.172	0	90.301
Equity at the beginning of the period (01.01.2018)	7.285	844	82.172	0	90.301
Changing Policy Effect (IFRS 15)	0	0	681	0	681
Restated balance at 1 January 2018	7.285	844	82.853	0	90.982
Total Comprehensive Income after Taxes	0	0	3.679	0	3.679
Increase of Capital	0	0	0	0	0
Return of Share Capital	0	0	0	0	0
Purchase of Own Shares	0	0	0	0	0
Distributed Dividend	0	0	(1.545)	0	(1.545)
Equity at the end of the period (31.12.2018)	7.285	844	84.987	0	93.116

THE GROUP

THE COMPANY

	Other Reserves and
	Share Capital	Share Premium	Retained Earnings	Own Shares	Total
Equity at the beginning of the period (01.01.2017)	7.286	844	79.812	(19)	87.924
Total Comprehensive Income after Tax	0	0	5.038	0	5.038
Increase of Capital	0	0	0	0	0
Return of Share Capital	0	0	0	0	0
Purchase of Own Shares	(1)	0	(19)	19	0
Distributed Dividend	0	0	(1.104)	0	(1.104)
Equity at the end of the period (31.12.2017)	7.285	844	83.729	0	91.858
Equity at the beginning of the period (01.01.2018)	7.285	844	83.729	0	91.858
Changing Policy Effect (IFRS 15)	0	0	681	0	681
Restated balance at 1 January 2018	7.285	844	84.410	0	92.539
Total Comprehensive Income after Taxes	0	0	3.626	0	3.626
Increase of Capital	0	0	0	0	0
Return of Share Capital	0	0	0	0	0
Purchase of Own Shares	0	0	0	0	0
Distributed Dividend	0	0	(1.545)	0	(1.545)
Equity at the end of the period (31.12.2018)	7.285	844	86.491	0	94.620

___________________________________________________________________________

CASH FLOW STATEMENT

(Figures in thousand €)

	THE GROUP		THE COMPANY
		01.01- 31.12.2018 01.01- 31.12.2017		01.01- 31.12.2018 01.01- 31.12.2017
Operating Activities
Profit before tax	6.100	7.288	6.040	7.320
Adjustments for:
Depreciation / amortization	2.250	2.156	2.215	2.120
Amortization of subsidies	(103)	(130)	(103)	(130)
Provisions	(312)	520	(312)	520
Foreign Exchange differences	(66)	230	(66)	230
Results (income, expenses, profit and loss) from investing activities	(13)	(38)	0	0
Interest expenses and related costs	1.224	1.443	1.159	1.363
Plus/less adjustments for changes in working capital or related to operating activities
Decrease / (increase) in inventories	(284)	(1.505)	(55)	(1.709)
Decrease / (increase) in receivables	(1.383)	47	(905)	14
(Decrease) / increase in liabilities	(2.943)	4.664	(3.230)	4.532
Less:
Interest expenses and related expenses paid	(1.630)	(1.765)	(1.593)	(1.733)
Income tax paid	(1.591)	(923)	(1.539)	(953)
Total inflows / (outflows) from operating activities (a)	1.249	11.986	1.611	11.575
Investing Activities
Acquisition of subsidiaries, affiliated companies, joint ventures and other investments	(10)	0	(10)	0
(Increase)/ Decrease of Share Capital of Subsidiaries, Affiliated Companies, Joint Ventures &f Other Investments	0	0	0	0
Purchase of property, plant, equipment and intangible assets	(7.552)	(1.504)	(7.544)	(1.440)
Received interests	415	229	415	229
Received dividends	27	47	27	47
Total inflows / (outflows) from investing activities (b)	(7.120)	(1.228)	(7.112)	(1.164)
Financing Activities
Decrease from return of share capital	0	0	0	0
Proceeds from issued borrowings	3.500	18.000	3.500	18.000
Acquisition of own shares	0	0	0	0
Re-payments of borrowings	(5.104)	(20.584)	(5.104)	(20.584)
Dividends paid	(1.545)	(1.104)	(1.545)	(1.104)
Total inflows / (outflows) from financing activities (c)	(3.149)	(3.688)	(3.149)	(3.688)
Net increase / (decrease) in cash and cash equivalents for the period (a) + (b) + (c)	(9.020)	7.070	(8.650)	6.723
Cash and cash equivalents at the beginning of the period	49.862	42.792	48.774	42.051
Cash and cash equivalents at the end of the period	40.842	49.862	40.124	48.774

NOTES TO THE ANNUAL FINANCIAL STATEMENTS

1. General information

These financial statements include the annual financial statements of the company Plaisio Computers S.A. (the "Company") and the consolidated annual financial statements of the Company and its subsidiaries (together "the Group"). The names of the subsidiary and of the related companies are presented in note 8.

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PLAISIO COMPUTERS S.A. was founded in 1988 and is listed in Athens Stock Exchange since 1999. The Company's headquarters are located in Location Skliri, Magoula, Attica 19018 (Num. M.A.E 16601/06/B/88/13).

The Company assembles and trades PCs, Telecommunication and Office Equipment.

The Board of Directors of PLAISIO COMPUTERS S.A. approved the financial statements for the period ending on December 31st 2018 on March 21st 2019.

2. Summary of significant accounting policies

2.1. Basis of Preparation of Financial Statements

These Company and consolidated financial statements have been prepared by management in accordance with the International Financial Reporting Standards (IFRS) and Interpretations by the International Financial Reporting Interpretations Committee (IFRIC), as they have been adopted by the European Union based on the Regulation 1606/2002 and IFRS that have been issued by the International Accounting Standards Board (IASB).

___________________________________________________________________________

The accounting principles that have been used in the preparation and presentation of the annual financial statements are in accordance with those used for the preparation of the Company and Group financial statements as of December 31, 2017.

The financial statements have been prepared under the historical cost convention as modified by the revaluation of investment property at fair value.

The preparation of the Financial Statements in conformity with IFRS requires the use of certain estimates and assumptions, which affect the balances of the assets and liabilities, the contingencies disclosure as at the balance sheet date of the financial statements and the amounts of income and expense relating to the reporting year.

Any differences between amounts in the primary financial statements and similar amounts detailed in the explanatory notes are due to rounding of figures.

2.2. New standards, amendments to standards and interpretations:

Certain new standards, amendments to standards and interpretations have been issued that are mandatory for periods beginning during the current financial year and subsequent years. The Group's evaluation of the effect of these new standards, amendments to standards and interpretations is as follows:

Standards and Interpretations effective for the current financial year

New and amended standards approved by the E.U. and adopted in the financial statements

IFRS	Effective Date
IFRS 9 Financial Instruments	1 January 2018
IFRS 15 Revenue from Contracts with Customers	1 January 2018
Annual Improvements to IFRSs 2014 – 2016 Cycle (IFRS 1 First-time Adoption of IFRS and IAS 28 Investments in Associates and Joint Ventures)	1 January 2018
IAS 40 Investment Property (Amendment - Transfers of Investment Property)	1 January 2018
IFRIC Interpretation 22 Foreign Currency Transactions and Advance Consideration	1 January 2018

Of the pronouncements above, only the application of IFRS 9 and IFRS 15 affected the Group and led to significant changes. The adoption of these two new standards are depicted in the Statement of Changes in Equity.

IFRS 9 Financial Instruments

IFRS 9 "Financial Instruments" replaces IAS 39 "Financial Instruments: Recognition and Measurement" for annual periods beginning on or after 1 January 2018, primarily affecting the classification & measurement, impairment and hedge accounting of financial instruments.

___________________________________________________________________________

Classification & measurement

On 1 January 2018 (the date of initial application of IFRS 9), the management assessed which business models apply to the financial assets held by the Group and has classified its financial assets into the appropriate IFRS 9 categories. The Group initially measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs. Transaction costs of financial assets carried at fair value through profit or loss are expenses. Trade receivables are initially measured at their transaction price.

Under IFRS 9, debt financial instruments are subsequently measured at amortized cost, fair value through other comprehensive income (FVOCI) or fair value through profit or loss (FVPL). The classification is based on two criteria: a) the business model for managing the assets and b) whether the instruments' contractual cash flows represent "solely payments of principal and interest" on the principal amount outstanding (the 'SPPI criterion').

In 2017, the Group and the Company did not apply the hedge accounting. As a result, the Group and the Company will continue to apply the current policy regarding the hedging accounting according to IFRS 9, when such a hedging may arise.

Impairment

The Group performs a provision for devaluation of the financial assets based on the receivables received period and probability by examining: the due dates of the customers' balances, the credit history and the payments made according to future settlements. The aforementioned are evaluated in combination with the estimation of the Group for the market risk at any point in time based on the condition of the market, the macroeconomic figures, the policies, the taxation and the international evolutions which influence the consuming behavior.

The Group adopted, retrospectively, the new standard since 1 January 2018, without adjusting the comparable year 2017. Consequently, the adjustments which have arisen from the new classification and the new rules of impairment do not appear in the Statement of Financial Position of 31st December 2017 but they appear in the Statement of Changes in Equity of the interim statement.

The Group adopted the simplified approach of IFRS 9 for the estimation of the expected credit losses in the initial adoption date. The bad debt provision decreased by 1.008 th. € for the Group and the Company and it resulted the respected adjustment in "Retained Earnings". The decrease was the result of the estimation of the expected credit losses according to rules of IFRS 9 and it led to a positive readjustment of the extremely conservative impairment percentages in certain customer categories.

IFRS 15 Revenue from Contracts with Customers

IFRS 15 supersedes IAS 11 "Construction Contracts", IAS 18 "Revenue" and related Interpretations and it applies to all revenue arising from contracts with customers, unless those contracts are in the scope of other standards. The new standard establishes a five-step model to account for revenue arising from contracts with customers.

Under IFRS 15, revenue is recognised at an amount that reflects the consideration to which an entity expects to be entitled in exchange for transferring goods or services to a customer. The standard requires entities to exercise judgement, taking into consideration all of the relevant facts and circumstances when applying each step of the model to contracts with their customers. The standard also specifies the accounting for the incremental costs of obtaining a

contract and the costs directly related to fulfilling a contract. Revenue is the amount of consideration expected to be received in exchange for transferring promised goods or services to a customer, excluding amounts collected on behalf of third parties (value-added tax, other sales taxes etc.). Variable considerations are included in the transaction price and they are estimated using either the expected value method, or the most likely amount method.

___________________________________________________________________________

Revenue is recognized when (or as) a performance obligation is satisfied by transferring the control of a promised good or service to the customer. A customer obtains control of a good or service if he has the ability to direct the use of and obtain substantially all of the remaining benefits from that good or service. Control is transferred over time or at a point in time.

The new standard was applied by the Group since 1 January 2018. At the first application of the IFRS 15, the Group recognized the accumulated result of the application of the IFRS 15 for all the contracts which were not completed on the 1 st January 2018 as an adjustment in the beginning balance of the Equity on the 1st January 2018. The Group has evaluated the below as the most significant effects from the adoption of the standard:

1) Revenue from providing specific services (e.g. warranty extension) was recognized on the selling date based on the IAS 18. According to IFRS 15, a company should recognize the revenue when it fulfils a liability with the delivery of a product or a service. The aforementioned amendment in the accounting treatment is in force, only, in the cases in which the customer can purchase the warranty independently from the product. In the cases, that the warranty is included in the price of the product but there is not the choice to purchase the product without the warranty, then the warranty is recognized based on the IAS 37.
2) For the time being, the Group recognizes the discount rights that it offers to the customers through coupons (vouchers) when the voucher is redeemed. According to IFRS 15, the right for future discounts must be recognized at the first recognition of the revenue/sale which gives the discount right to the customer. The Group estimates the fair value of the non-redeemed vouchers by using the historical and statistical data.

The aforementioned cases led to an increase in Contract Liabilities by 94 th. € on 01.01.2018, as it is shown in the table below.

A contract liability is recognized when there is an obligation to transfer goods or services to a customer for which the the Group has received consideration from the customer (prepayments) or there is an unconditional right to receive consideration the Group transfers a good or a service (deferred income). The contract liability is derecognized when the promise is fulfilled and revenue is recorded in the profit or loss statement. The application of the standard led to reclassification of the customers' prepayments of 1.222 th. € and 1.194 th. € for the Group and the Company from the Other Current Liabilities to Current Contract Liabilities.

A receivable is recognised when there is an unconditional right to consideration for the performance obligations to the customer that are satisfied. A contract asset is recognized when the performance obligation to the customer is satisfied before the customers pays or before payment is due, usually when goods or services are transferred to the customer before the Group has a right to invoice.

The following tables sum up the adoption effect of IFRS 9 and IFRS 15 in the Statement of Financial Position of the Group and the Company at 01.01.2018.

(Figures in thousand €) THE GROUP

Assets	31.12.2017	IFRS 15 – Transition Adjustments	IFRS 15 - Reclassifications	IFRS 9 – Transition Adjustments	01.01.2018 Restated
Non-Current Assets
Tangible assets	24.940				24.940
Intangible assets	1.151				1.151
Advance Payments for Fixed Assets	0				0
Investments in subsidiaries	0				0
Investments in associates	1.157				1.157
Other investments	24				24
Deferred tax asset	3.587	27		(260)	3.355
Other non-current assets	692				692
	31.553	27		(260)	31.320
Current Assets
Inventories	52.242				52.242
Trade receivables	17.609			1.008	18.617
Other receivables	3.733				3.733
Cash and cash equivalents	49.862				49.862
	123.446			1.008	124.455
Total Assets	154.999	27	0	748	155.775
Shareholders' Equity and Liabilities
Share Capital	7.285				7.285
Share Premium	844				844
Other Reserves	25.039				25.039
Retained Earnings	57.133	(67)		748	57.814
Shareholders' Equity	90.301	(67)	0	748	90.982
Non-current borrowing	11.273				11.273
Provision for employee benefits	1.708				1.708
Other non-current provisions	218				218
Non-current contract liabilities	-	30			30
Deferred Income	2.428				2.428
Non-current Liabilities	15.626	30	0	0	15.656
Trade payables	30.559				30.559
Tax liabilities	5.454				5.454
Current borrowing	1.604				1.604
Current provisions	1.565				1.565
Current contract liabilities	-	65	1.222		1.287
Other current liabilities	9.889		(1.222)		8.667
Current Liabilities	49.072	65	0	0	49.137
Total Shareholders' Equity and Liabilities	154.999	27	0	748	155.775

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(Figures in thousand €) THE COMPANY

Non-Current Assets

Tangible assets	24.856				24.856
Intangible assets	1.130				1.130
Advance Payments for Fixed Assets	0				0
Investments in subsidiaries	4.072				4.072
Investments in associates	225				225
Other investments	24				24
Deferred tax asset	3.572	27		(260)	3.339
Other non-current assets	669				669
	34.549	27		(260)	34.316
Current Assets
Inventories	51.223				51.223
Trade receivables	17.674			1.008	18.682
Other receivables	3.627				3.627
Cash and cash equivalents	48.774				48.774
	121.297			1.008	122.306
Total Assets	155.846	27		748	156.621
Shareholders' Equity and Liabilities
Share Capital	7.285				7.285
Share Premium	844				844
Other Reserves	24.761				24.761
Retained Earnings	58.968	(67)		748	59.649
Shareholders' Equity	91.858	(67)		748	92.539
Non-current borrowing	11.273				11.273
Provision for employee benefits	1.708				1.708
Other non-current provisions	218				218
Non-current contract liabilities	-	30			30
Deferred Income	2.428				2.428
Non-current Liabilities	15.626	30			15.656
Trade payables	30.110				30.110
Tax liabilities	5.234				5.234
Current borrowing	1.604				1.604
Current provisions	1.565				1.565
Current contract liabilities	-	65	1.194		1.258
Other current liabilities	9.849		(1.194)		8.655
Current Liabilities	48.362	65	0		48.426
Total Shareholders' Equity and Liabilities	155.846	27	0	748	156.621

___________________________________________________________________________

In the current period (01.01.2018-30.06.2018) the effects in the Statement of Profit or Loss due to the application of IFRS 15 are the following:

In the cases of warranty extensions which are valid, lower revenue from services offered (859 th. €) and partial derecognition (65 th. €) of contract liabilities which were recognised in the first adoption of IFRS 15,
In the cases of valid vouchers, lower revenue from product sales (27 th. €).

New standards, amendments to standards and interpretations issued not yet effective, nor early adopted

Pronouncement	Mandatorily effective for Adopted by periods beginning on or the EU after
---------------	---------------------------------------------------------------------------------------	--

Pronouncement	Mandatorily effective for periods beginning on or after	Adopted by the EU
IFRS 16 Leases	1 January 2019	Yes
IFRS 9 (2014) Financial Instruments (Amendment – Prepayment Features with Negative Compensation and Modifications of Financial Liabilities)	1 January 2019	Yes
IFRIC Interpretation 23 Uncertainty over Income Tax Treatments	1 January 2019	Yes
IAS 28 – Investments in Associates and Joint Ventures (Amendment – Long-term Interests in Associates and Joint Ventures)	1 January 2019	No
Annual Improvements to IFRSs 2015 – 2017 Cycle (IFRS 3 Business Combinations and IFRS 11 Joint Arrangements, IAS 12 Income Taxes, and IAS 23 Borrowing Costs)	1 January 2019	No
Amendment to IAS 19 Employee Benefits	1 January 2019	No
Amendments to References to the Conceptual Framework in IFRS Standards (issued on 29 March 2018)	1 January 2020	No
Amendment to IFRS 3 Business Combinations (issued on 22 October 2018)	1 January 2020	No
Amendments to IAS 1 and IAS 8: Definition of Material (issued on 31 October 2018)	1 January 2020	No

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Only IFRS 16 "Leases" is expected to significantly influence the financial statements of the Company and the Group.

IFRS 16 Leases (is applied in the annual corporate years commencing on or after January 1st 2019):

IFRS 16 has been issued in January 2016 and supersedes IAS 17. IFRS 16 introduces a single lessee accounting model and requires a lessee to recognise assets and liabilities for all leases. IFRS 16 substantially carries forward the lessor accounting requirements of IAS 17. Accordingly, a lessor continues to classify its leases as operating leases or finance leases and to account for those two types of leases differently.

The cumulative effect of adopting IFRS 16, will be recognized as an adjustment to the opening balance of retained earnings at 1 January 2019, with no restatement of comparative information. The Group will apply IFRS 16 initially on 1 January 2019, using the modified retrospective approach. Under this approach the Group will a) recognize a lease liability and will measure that lease liability at the present value of the remaining lease payments, discounted using the Group's incremental borrowing rate at the date of initial application. The liabilities in nominal terms from the current leases are presented in note 27 and b) recognise a right-of-use asset and measure that right-of-use asset by an amount equal to the lease liability.

Regarding the options and exemptions permitted under IFRS 16, the Group is likely to take the following approach:

The right-of-use assets and lease liabilities will be reported separately in the statement of financial position.
The Group plans to apply the practical expedient to grandfather the definition of a lease on transition. This means that it will apply IFRS 16 to all contracts entered into before 1 January 2019 and identified as leases in accordance with IAS 17 and IFRIC 4.
Furthermore, the Group will elect to use the exemptions proposed by the standard on lease contracts for which the lease terms ends within 12 months as of the date of initial application, and lease contracts for which the underlying asset is of low value.

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The adoption of IFRS 16, will have the following material effects for the Group:

Upon IFRS 16 adoption, liabilities for its operating leases of commercial properties such as stores and warehouses and they will be reported as right-of-use assets and lease liabilities in the statement of financial position. As a result, a significant increase in total assets and liabilities is anticipated on first-time adoption due to the capitalization of right-ofuse assets and the recognition of lease liabilities.
The nature of expenses related to those leases will also change since IFRS 16 replaces the operating lease expense with a depreciation charge for the right-of-use assets and interest expense on lease liabilities. This will give rise to a significant improvement in "Earnings before financial and investing activities, depreciation, amortization and impairment" (EBITDA).
In the statement of cash flows, the principal portion of the lease payments from existing operating leases will reduce net cash flows from financing activities and will no longer affect net cash flows from operating activities. Only the interest portion of lease payments will remain in net cash flows from operating activities, the total of which will rise.

The actual impact of applying IFRS 16 will depend on Group's incremental borrowing rate at January 1, 2019, the identification of lease contracts included in scope of the new standard at that date and the Group's latest assessment of the lease term, particularly in respect of exercising any lease extension or termination options. Based on the above, the Group has performed an analysis of the IFRS 16 expected impact as of January 1, 2019 as well as the estimated impact on the 2019 consolidated and separate income statement. In summary, based on management's current assessment, the impact of the IFRS 16 adoption is expected to be, as follows:

Estimated impact on the consolidated statement of financial position as at January 1, 2019:

Increase in total assets due to capitalization of right-of-use assets and recognition of lease liabilities amounting to a range of 37 ml. Euros to 40 ml. Euros for the Group and a range of 34 ml. Euros to 37 ml. Euros for the Company.

Estimated impact on the consolidated income statement for 2019:

In the consolidated income statement, depreciation is expected to increase in a range of 4 ml. to 5 ml. Euros for the Group and a range of 3,7 ml. to 4,7 ml. for the Company and "interest and related expenses" are expected to rise by approximately 1,2 ml. Euros to 1,7 ml. Euros for the Group and by 1 ml. to 1,5 ml. Euros for the Company. Reduction in leasing expenses, is expected to result in an improvement in "earnings before financial and investing activities, depreciation, amortization and impairment" of a range of Euro 4,8 ml. to 5,2 ml. Euros for the Group and a range of 4,5 ml. to 5,0 ml. Euros for the Company. The expected effects will be exclusively attributable to the balance as of January 1st , 2019.

The new standard for leases has no significant impact for the Group as a lessor. The Group does not expect the adoption of IFRS 16 to impact its ability to comply with Group's loan covenants.

IFRIC 23 Uncertainty over Income Tax Positions

IFRIC 23 clarifies how to recognise and measure current and deferred income tax assets and liabilities when there is uncertainty over income tax treatments. When there is uncertainty over income tax treatments, an entity is required to use judgement to determine whether each tax treatment should be considered independently or whether some tax treatments should be considered together. If the entity concludes that it is not probable that a particular tax treatment is accepted, the entity has to use the most likely amount or the expected value of the tax treatment in its calculations.

Other

The Company and the Group do not expect any other standards issued by the IASB, but not yet effective, to have a material impact on the group.

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2.3. Consolidated financial statements

a) Subsidiaries

Subsidiaries are all entities over which the Group has the power to govern, directly or indirectly, the financial and operating policies.

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Subsidiaries are fully consolidated (full consolidation) from the date on which control is transferred to the Group and they are de-consolidated from the date that control ceases.

The purchase method of accounting is used to account for the acquisition of subsidiaries by the Group. The cost of an acquisition is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date, irrespective of the extent of any minority interest. The excess of the cost of acquisition over the fair value of the Group's share of the identifiable net assets acquired is recorded as goodwill. If the cost of acquisition is less than the fair value of the Group' share of the net assets of the subsidiary acquired, the difference is recognized directly in the income statement.

When the Group increases its shareholding in a subsidiary, the difference between the price paid and the book value of the net assets of that subsidiary is recorded directly in equity.

Inter-company transactions, balances and unrealized gains on transactions between group companies are eliminated. Unrealized losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. Accounting policies of subsidiaries have been changed to ensure consistency with the policies adopted by the Group. The Company accounts for its investment in subsidiaries, in its stand-alone accounts, on the cost less impairment basis.

(b) Associates

Associates are all entities over which the Group has significant influence but not control, generally accompanying a shareholding of between 20% and 50% of the voting rights. Investments in associates are accounted by using the equity method of accounting and are initially recognized at cost. The Group's investment in associates includes goodwill identified on acquisition, (net of any accumulated impairment loss).

The Group's share of its associates' post-acquisition profits or losses is recognized in the income statement, and its share of post-acquisition movements in reserves is recognized in reserves. The cumulative post-acquisition movements are adjusted against the carrying amount of the investment. When the Group's share of losses in an associate equals or exceeds its interest in the associate, the Group does not recognize further losses, unless it has incurred obligations or has made payments on behalf of the associate.

Unrealized gains on transactions between the Group and its associates are eliminated to the extent of the Group's interest in the associates. Unrealized losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

Accounting policies of associates have been changed to ensure consistency with the policies adopted by the Group. Investments in associates are accounted for in the Company financial statements at the cost less impairment basis.

2.4. Segment reporting

The operational segments are regularly considered by the Management and they appeared in the financial statements in the same basis as they are used for internal purposes of the Group. The operational segments are defined as a group of assets and operations engaged in providing products and services that are subject to risks and returns that are different

from those of other business segments. The results of operational segments are regularly evaluated by the decision makers in order to make decisions relative to distribution of resources to the segment and assessing its performance.

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2.5. Conversion of foreign currency

(a) Operating currency and presentation currency

Items included in the financial statements of each of the Group's entities are measured using the currency of the primary economic environment in which the entity operates ("the operating currency").

The consolidated financial statements are presented in Euros, which is the Company's operating and presentation currency.

(b) Transactions and balances

Foreign currency transactions are translated into the operating currency using the exchange rates prevailing at the dates of the transactions. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at the year-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the income statement.

(c) Group companies

The results and financial position of all Group entities (none of which has the currency of a hyperinflationary economy) that have a functional currency different from the presentation currency are translated into the presentation currency as follows:

i. Assets and liabilities for each balance sheet presented are translated at the closing rate at the date of that balance sheet ii. Income and expenses for each income statement are translated at average exchange rates (unless this average is not a reasonable approximation of the cumulative effect of the rates prevailing on the transaction dates, in which case income and expenses are translated at the dates of the transactions) and

iii. All resulting exchange differences are recognised as a separate component of equity and transferred in Income Statement with the sale of those entities.

Exchange differences arising from the translation of the net investment in foreign entities are recognised in equity. When a foreign operation is sold, such exchange differences are recognised in the income statement as part of the gain or loss on sale.

Goodwill and fair value adjustments arising on the acquisition of a foreign entity are treated as assets and liabilities of the foreign entity and translated at the closing rate.

2.6. Tangible fixed assets

All property, plant and equipment ("PPE") is shown at cost less subsequent depreciation and impairment. Cost includes expenditure that is directly attributable to the acquisition of the items.

Subsequent costs are included in the asset's carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Group higher than the initially expected according to the initial return of the financial asset and under the assumption that the cost of the item can be measured reliably. All other repairs and maintenance are charged to the income statement during the financial period in which they are incurred. Costs required for development and improvement of the computer software programmes are capitalised.

Land is not depreciated. Depreciation on PPE is calculated using the straight-line method to allocate the cost of each asset to its residual value over its estimated useful life, in order to write down the cost in its residual value. The expected useful life of property, plant and equipment is as follows:

- Buildings:	30 - 50 years
- Vehicles & mach. equipment:	5 – 10 years
- Other equipment:	3 – 6 years

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The assets' residual values and useful lives are reviewed, and adjusted if appropriate, at each balance sheet date. When the carrying amount of the asset is higher than its recoverable amount, the resulting difference (impairment loss) is recognized immediately as an expense in the income statement.

In case of sale of property, plant and equipment, the difference between the sale proceeds and the carrying amount is recognized as profit or loss in the income statement.

2.7. Intangible Fixed Assets

Computer Software

Software licences are evaluated at cost minus depreciation and any impairment cost. The software depreciation is calculated using the straight-line method and within a period of 3 - 5 years.

Expenses that are required for the development and repair of software are recognized as expenses when they are realized. Expenses for the development of specific software, controlled by the Group are recognized as intangible assets, when:

a. there is the technical possibility to complete the software so that it is available for use or sale,

b. there is the intention to complete and sell or use the item,

c. there is the possibility to sell or use the item,

d. the asset is going to produce future benefits. There has to be evidence that there is a market for the item or its production or if it is going to be used internally to prove the usefulness of the item in other segments of the entity,

e. it is certain that adequate technical, financial and other resources will be available to ensure the completion and sale or use of the item,

f. there is the possibility to measure reliably the expenses directly attributed.

Expenses that are capitalized comprise of the cost of material and services used or are consumed as well as the cost of the benefits to the employees that comes about directly from the production of the item.

2.8. Impairment of assets

Assets that have an indefinite useful life are not subject to amortisation and are tested annually for impairment or whenever events or changes indicate that the carrying amount may not be recoverable.

Assets that are subject to amortisation are tested for impairment whenever events or changes in circumstance indicate that the carrying amount may not be recoverable.

An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset's fair value, less costs to sell and value in use. Impairment losses are recognised as an expense to the Comprehensive Income Statement, when they occur.

2.9. Financial assets

The Group classifies its financial assets in the following categories: at fair value through profit or loss, loans and receivables, available-for-sale, investment in subsidiaries, derivative financial instruments and hedging activities. The classification depends on the purpose for which the financial assets were acquired. Management determines the classification of its financial assets at initial recognition and re-evaluates this designation at every reporting date.

___________________________________________________________________________

(a) Financial assets at fair value through profit or loss

This category has three sub-categories: financial assets held for trading, those designated at fair value through profit or loss at inception and derivatives. Assets in this category are classified as current if they are either held for trading or are expected to be realised within 12 months of the balance sheet date. Also, the derivative financial instruments are classified as held for trading unless they are designated as hedges. Assets in this category are classified as current assets.

(b) Loans and receivables

Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market and with no intention of trading. They are included in current assets, except for maturities greater than 12 months after the balance sheet date. These are classified as non-current assets.

(c) Available-for-sale financial assets

Available-for-sale financial assets are non-derivatives that are either designated in this category or not classified in any of the above categories. They are included in non-current assets, unless management intends the disposal of investment within 12 months of the balance sheet date.

Purchases and sales of financial assets are recognised on trade-date – the date on which the Group commits to purchase or sell the asset. Investments are initially recognised at fair value plus transaction costs. Financial assets are derecognised when the rights to receive cash flows from the investments have expired or have been transferred and the Group has transferred substantially all risks and rewards of ownership.

Available-for-sale financial assets and financial assets at fair value through profit or loss are subsequently carried at fair value. Gains or losses from changes in the fair value of the "financial assets at fair value through profit or loss" category are recognised in the income statement in the period in which they arise.

Unrealized gains or losses from changes in fair value of financial assets that are classified as available for sale are recognized in revaluation reserves. In the cases of sales or impairment of the financial assets held for trading purposes, the accumulated adjustments in the fair value are transferred to the statement of profit or loss. The fair values of quoted investments are based on current bid prices. If the market for a financial asset is not active (and for unlisted securities), the Group establishes fair value by using valuation techniques. These include the use of recent arm's length transactions, reference to other instruments that are substantially the same and discounted cash flow analysis refined to reflect the issuer's specific circumstances.

The Group assesses at each balance sheet date, whether there is objective evidence that a financial asset or a group of financial assets is impaired. In the case of equity securities classified as available for sale, a significant or prolonged decline in the fair value of the security below its cost is considered in determining whether the securities are impaired. If any such evidence exists for available-for-sale financial assets, the cumulative loss – measured as the difference between acquisition cost and current fair value, less any impairment loss on that financial asset previously recognised in profit or loss – is removed from equity and recognised in the income statement. Impairment losses recognised in the income statement on equity instruments are not reversed through the income statement.

2.10. Derivative financial instruments and hedging activities

The Group designates certain derivatives as cash flow hedges. The effective portion of changes in the fair value of derivatives that are designated and qualify as cash flow hedges is recognized in equity. The gain or loss relating to the ineffective portion is recognized immediately in Group's results (income statement).

___________________________________________________________________________

Amounts accumulated in equity are recycled in the income statement in the periods when the hedged item affects profit or loss (when the forecast sale that is hedged takes place).

Certain derivative instruments not qualified as hedging instruments and no longer meet the criteria for hedge accounting, are classified as derivatives available for sale and accounted for at fair value through profit or loss. Changes in the fair value of any of these derivative instruments are recognized immediately in the income statement within 'Other operating income / (expenses) - net'.

The Group designates certain derivative financial instruments as:

1) hedges of a particular risk associated with a recognized asset or liability or a highly probable forecast transaction (cash flow hedge), or

2) derivatives at fair value through the income statement.

Changes in the fair value of derivatives that are not attributable to hedging are recognized immediately in the income statement within 'Other operating income / (expenses) – net'.

2.11. Inventories

Inventories are stated at the lower of cost and net realisable value. Differences between cost and net realisable value are recognised as losses in the income statement when they arise.

Cost is determined using the weighted average method. It excludes financial costs. Net realisable value is the estimated selling price in the ordinary course of business, less any applicable selling expenses. Certain provisions are formed for devaluated, not usable and with a very low turnover inventories. The decrease in the cost of inventories to the net realizable value and all other damage to the inventories are posted in the P&L of the period in which they appear.

2.12. Trade receivables and other receivables

Trade receivables are recognized initially at fair value (invoice value) and are then valuated in their un-depreciated cost, using the real interest rate, deducting any impairment losses. The impairment losses are recognized when there is objective evidence that it is not going to collect the amount owed to it, based on the selling terms. Significant financial difficulties, probability that the debtor will enter bankruptcy or financial reorganization and the delinquency in payments are considered indicators that the trade receivable is impaired. The amount of the provision is the difference between the asset's carrying amount and the present value of estimated future cash flows, discounted at the effective interest rate. The amount of the provision is recognized as expense in the income statement within 'Other operating income / (expenses) – net'. The amount of the impairment loss is posted as expense in the "Other Expenses" of the P&L. When a trade receivable is characterized as "not-to-be-collected" it is written off, using the account for provisions. In case a receivable which was written off is collected, the other expenses are credited in "the Other Expenses" of the P&L.

2.13. Cash and Cash Equivalents

Cash and cash equivalents include cash on hand, short-term bank deposits and other short-term highly liquid investments with maturity dates of three (3) months or less and insignificant risk.

2.14. Share Capital

Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new shares are shown after the reduction of the relative income tax in reduction to the product of issue. Incremental costs directly attributable to the issue of new shares for the acquisition of other entities are included in the cost of acquisition of the new company.

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The acquisition cost of own shares is presented as decreasing in equity until the own shares are sold or cancelled. Any profit or loss from the sale of own shares, net of direct to the transaction other expenses and taxes is presented as a reserve in Εquity.

2.15. Trade and other payables

The trade and other payables are recognized initially in their fair value and after that in their undepreciated value based on the method of effective interest rate.

2.16. Debt

Banking loans are recognized initially at fair value, decreased by any transaction costs incurred. Subsequently, they are stated at amortized cost. Any difference between the proceeds and the redemption value is recognized in the profit and loss statement over the borrowing period using the effective interest method.

Borrowings are classified as current liabilities unless the Group has an unconditional right to defer settlement of the liability for at least 12 months after the balance sheet date.

2.17. Income Tax (Current and Deferred)

The income tax of the subsidiaries and associates of the Group is calculated based on the relevant laws that apply at the date of the Balance Sheet in the countries where they act and where the taxable income occurs. The management periodically checks the calculations of the tax and in cases where the relevant tax law can be interpreted in different ways; it forms a relevant provision for the surplus amount that is expected to be paid to the local tax authorities.

Deferred income tax is provided in full, using the liability method, on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the consolidated financial statements. The deferred income tax is not accounted for if it arises from initial recognition of an asset or liability in a transaction other than a business merger that at the time of the transaction affects neither the period's income tax includes the current tax, the deferred tax and the provisions for unaudited tax periods. Income tax is recognized in the income statement of the period, except for the tax relating to transactions that have been booked directly to equity, in which case it is, accordingly, booked to equity accounting nor taxable profit or loss. Deferred tax assets and liabilities shall be measured at the tax rates that are expected to apply to the period when the asset is realized or the liability is settled, based on tax rates (and tax laws) that have been enacted or substantively enacted by the balance sheet date. Deferred income tax assets are recognized to the extent that it is probable that future taxable profit will be available against which the temporary differences can be utilized. Deferred income tax is provided on temporary differences arising on investments in subsidiaries, joint ventures and associates, except where the timing of the reversal of the temporary difference is controlled by the Group and it is probable that the temporary difference will not reverse in the foreseeable future.

2.18. Employee Benefits

(a) Current benefits

Current employee benefits, monetary and in items, are recognized as an expense when they accrue.

(b) Benefits for employee compensation

According to the Greek Laws 2112/20 and 4093/2012, the Company pays the employees compensations for dismissals or resignations due to pensions. The aforementioned payments depend on the years of working experience, the remunerations, and the way of leaving the company (dismissal or resignation). The compensations for pensions and dismissals fall under the defined benefit plans according to the IFRS 19 «Employee benefits». Τhe above obligations are calculated based on an actuarial projected unit credit method. A program of specific benefits that operates taking into consideration various factors such as age, years of experience, remuneration and other specific obligations.

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The provisions that concern the fiscal year, are included in the relative personnel cost in the attached consolidated financial statements and consist of the current and previous personnel cost, the relative financial cost, the actuarial profits or losses and any other possible charges. According to the non-recognized actuarial profits or losses, the amended IAS 19 is applied, which includes a series of amendments regarding the accounting of defined benefit plans among others:

1. Actuarial gains and losses will be recognized in other comprehensive income and they will be definitely excluded from the results of the year.
1. The net interest on the net defined benefit liability during the reporting period that arises from passage of time and is determined by multiplying the need defined benefit liability by the discount rate
1. Past service costs are recognized in the income statement in the period when a plan is amended.
1. Other changes include extended disclosures, as quantitative sensitivity analysis

2.19. Subsidies

State subsidies are recognized at their fair value when there is the certainty that the subsidy is going to be collected and the Group will comply with all the terms.

State Grants that refer to expenses, are deferred and are recognized in the results so that they are matched by the expense they are going to subsidize.

State subsidies that refer to the purchase of fixed assets are included in the long term liabilities as deferred state subsidies and are transferred as income to the Statement of Comprehensive Income throughout the duration of the expected lifetime of the relevant assets.

2.20. Provisions

Provisions are recognized when:

i. There is present legal or constructive obligation as a result of past events

ii. It is probable that an outflow of resources will be required to settle the obligation

iii. The amount can be reliably estimated

Where there are a number of similar obligations, the likelihood that an outflow will be required in settlement is determined by considering the class of obligations as a whole. A provision is recognized even if the likelihood of an outflow with respect to any item included in the same class of obligations may be small.

Provisions are measured at the present value of management's best estimate of the expenditure required to settle the present obligation at the balance sheet date. The discount rate used to determine the present value reflects current market assessments of the time value of money and the increases specific to the liability.

2.21. Revenue recognition

Revenue includes the fair value of the sales of goods and services, net of VAT, deductions and returns. The intercompany revenue of the Group is fully eliminated.

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The Group recognizes the income when the amount can be measured reliably, when the Group expects future inflows and when the criteria that are mentioned below, for each separate category, are met. The amount of the sale is not considered to be measured reliably if any contingent obligations are related to the income. The Group bases its estimations on historical data, taking into consideration the category of the customer, the type of transaction and the specific terms of the contract.

Revenue is recognized as follows:

a) Sales of goods

Revenue from sale of goods is recognized when the Group delivers the Goods to the customers, the goods are accepted by them and the collection of the receivable is assured.

b) Provided Services

Income from services is recognized in the accounting period in which the services are rendered, based on the stage of completion of the services provided in relation to the total services to be provided.

c) Interest income

Interest income is recognized in the income statement on a time proportion basis using the effective interest method. When a receivable is impaired, the Group reduces the carrying amount to its recoverable amount, being the estimated future cash flow discounted at original effective interest rate of the instrument, and continues accreting the discount as interest income. Afterwards, interests are calculated by using the same rate on the impaired value (new carrying amount).

d) Dividend income

Income from dividends is recognized when the right to receive payment is established.

2.22. Leases

Leases where the lessor retains substantially all the risks and rewards of ownership are classified as operating leases. Payments made under operating leases (net of any incentives received from the lessor) are charged to the income statement on a straight-line basis over the period of the lease.

Leases of property, plant and equipment which the Group has substantially all the risks and rewards of ownership are classified as finance leases. Finance leases are capitalized at the lease's inception at the lower of the fair value of the leased property and the present value of the minimum lease payments. Each lease payment is allocated between the liability and finance charges so as to achieve a constant rate on the finance balance outstanding. The corresponding rental obligations, net of finance charges, are included in other long-term payables. The interest element of the finance cost is charged to the income statement over the lease period so as to produce a constant periodic rate of interest on the remaining balance of the liability for each period. The property, plant and equipment acquired under finance leases is depreciated over the shorter of the asset's useful life and the lease term if classified as tangible assets. The impact of IFRS 16 "Leases" is shown in note 2.2.

2.23. Dividend distribution

Dividend distribution to the Company's shareholders is recognized as a liability in the Group's financial statements when the dividend distribution is approved by the Company's General Assembly.

3. Risk management policies

3.1. Factors of financial risk

The Group is exposed to a variety of financial risks: market risk (including foreign exchange risk, interest rate risk and price risk), credit risk and liquidity risk. The Group's overall risk management program focuses on the unpredictability of financial markets and seeks to minimize potential adverse effects on the Group's financial performance.

___________________________________________________________________________

The main risks are:

(a) Market risk

i) Foreign exchange risk

The foreign exchange risk is the risk of volatility of the value of financial assets, of assets and liabilities due to changes in the exchange rates. The majority of the Group's transactions and balances are in Euro. However, given the fact that the Group transacts in an international level and as a result is exposed to foreign exchange risk resulting, mainly, be the U.S. dollar. The Group holds deposits in foreign currency (note 14). Furthermore, there are no loan liabilities in a currency other than the Euro. The Group in certain cases, outweighs the foreign exchange risk, by awarding derivative contracts, but does not use with hedge accounting.

The Management of the Group observes at all times the trends in the foreign exchange market and the potential risks that may arise from its fluctuations and evaluates the need for relevant measures. The activity of the Group in Bulgaria is not considered to enhance currency risk, as the exchange rate of the Bulgarian currency to the Euro is fixed.

ii) Cash flow and fair value interest rate risk

The group analyses its interest rate exposure on a dynamic basis. Various scenarios are simulated taking into consideration refinancing, renewal of existing positions, alternative financing and hedging. Based on these scenarios, the Group calculates the impact on profit and loss of a defined interest rate shift.

The policy of the Company regarding the capital structure is to keep loans at a low level, assuring at the same time that there is a financing capability from the banks that Plaisio cooperates with, to satisfy without problems the planned development of the Group.

The long-term bond loans of the Company and the Group, on December 31st 2018, were 8.940 th. Euro (11.273 th. Euro on 31.12.2017), the short-term bond loans were 2.333 th. Euro (1.604 th. Euro on 31.12.2017). From the total bond loans (11.273 th. Euro), the 5.873 th. Euro refers to two common bond loans from NBG, while the remaining amount refers to a common bond loan with floating interest rate from Eurobank SA.

The short-term bank loans were null in 31.12.2018 and on 31.12.2017. The aim of the issuance of the two new bond loans of total amount of 12.000 th. Euro in 2017, was the refinancing of the short-term bank loans of the Group with loans with longer payment terms. As a consequence, the total debt of the Group were decreased to 11.273 th. Euro from 12.877 th. Euro on 31.12.2017 (approximately -12,5%).

The following table presents the sensitivity of the results of the period as well as the net equity to a change of the interest rate of +1% or -1%. Due to the lower debt exposure, the sensitivity of the results appeared more limited.

The relevant influence is presented as follows:

A) Interest Rate increase by 1%:

The results of the period as well as the net equity of the Group and of the Company, in that case, would decrease by 110

th. Euro and 120 th. Euro on 31.12.2018 and 31.12.2017 respectively.

B) Interest Rate decrease by 1%:

The results of the period as well as the net equity of the Group and of the Company, in that case, would increase by 110 th. Euro and 120 th. Euro on 31.12.2018 and 31.12.2017 respectively.

___________________________________________________________________________

The level of the interest rates is positively influenced by the capital structure of the Group and the stable timeless repayments of any kind of financial liabilities and the co-operation relationships the Group retains with the banks. As a consequence, it is noted the wide liquidity of the Group and the fact that the cash and cash equivalents exceed the Group's total short-term and long-term borrowings in the last years.

iii) Turnover Seasonality

iv) Intensity of Competition

The Company operates in an intensively competitive industry, as there are many retailers which operate in the consumer electronics sector. However, due to the multi-product approach of the Group, it is not an easy exercise to identify an identical business model in the market. In any case, the Group achieves over time one of the best performance margins, and consistently appears profitability, facts that prove the success in the referred Market. However, the competition may change in the future with the entrance of new competitors in the market or with the amendments of the strategy of the already existed competitors. Also, in periods when the consuming spend is stable or decreasing, the competition can lead to redistribution of the market shares. The intensity of competition may negatively affect the turnover and the profitability of the Group.

(b) Credit risk

Credit risk is managed on Group basis. Credit risk arises from cash and cash equivalents, derivative financial instruments and credit exposures to customers, including outstanding receivables and committed transactions.

Sales are made mainly to customers with an assessed credit history and credit limits. Also, certain sales and collection terms are applied. Whenever possible, further securities are requested for outstanding receivables.

The Management, on the one hand because of the large dispersion of the Group's customers, and on the other hand because of the significant provision it has formed for doubtful receivables, given that its environment is one of increased credit risk, evaluates the risk as controlled. Retail sales are paid in cash or via credit cards. For wholesales the Group has the necessary policies in order to give credit, by examining the creditworthiness of the customers in every single case separately. Furthermore, it is a policy of the Group that the largest amount of its receivables is insured. The concentration of credit risk relative to customers is presented in Note 12.

(c) Liquidity Risk

The tables that follow analyze the financial liabilities of the Company and the Group, grouped to certain dates they expire, which are calculated according to their remaining time from the date of the financial results to their conventional expiring date.

The amounts depicted in the tables, are not discounted. The within 12 months expiring amounts, are depicted in their fair value, since the effect of discounting is not considered to be significant.

___________________________________________________________________________

THE GROUP 31.12.2018	up to 12 months	from 1 up to 2 years	from 2 up to 5 years	from 5 years on
Suppliers & Other Short term
Liabilities	41.403	0	0	0
Loans & Interest	2.712	2.349	7.324	0
Total	44.115	2.349	7.324	0

THE CROUP 31.12.2017	up to 12 months	from 1 up to 2 years	from 2 up to 5 years	from 5 years on
Suppliers & Other Short term
Liabilities	45.903	0	0	0
Loans & Interest	2.056	2.704	7.399	2.274
Total	47.958	2.704	7.399	2.274
THE COMPANY 31.12.2018	up to 12 months	from 1 up to 2 years	from 2 up to 5 years	from 5 years on
Suppliers & Other Short term
Liabilities	40.517	0	0	0
Loans & Interest	2.712	2.349	7.324	0
Total	43.229	2.349	7.324	0

THE COMPANY 31.12.2017	up to 12 months	from 1 up to 2 years	from 2 up to 5 years	from 5 years on
Suppliers & Other Short term
Liabilities	45.193	0	0	0
Loans & Interest	2.056	2.704	7.399	2.274
Total	47.248	2.704	7.399	2.274

The Group considers that the total liabilities to suppliers are short-term, while in the same category includes other shortterm liabilities, as well as the tax liabilities. In consolidated terms, it is observed a significant decrease in trade payables, while the long-term loans and the respective interests which extend to more than 5 years is null.

Taking into account all the above and the security of the repayment of the aforementioned liabilities through the broad liquidity of the Group, and the positive cash flows, the examined risk is absolutely controlled.

3.2. Capital risk management (capital structure)

The Group's and Company's objective when managing capital is to safeguard the ability to continue as a going concern and in parallel to maximize the yield for the shareholders and the utility for other stakeholders through the optimization of the capital structure (debt and equity).

In the following two tables information for the net borrowing of the Group and the Company is given.

___________________________________________________________________________

THE GROUP	31.12.2018	31.12.2017
Total Loans	11.273	12.877
Minus: Cash & cash equivalents	(40.842)	(49.862)
Net Borrowing	(20.569)	(36.985)

THE COMPANY	31.12.2018	31.12.2017
Total Loans	11.273	12.877
Minus: Cash & cash equivalents	(40.124)	(48.774)
Net Borrowing	(28.851)	(35.897)

From all the above, cash and cash equivalents are multiple times more than the total loans, eliminating the need for targeted policy regarding the management of the examined risk.

4. Critical accounting estimates and judgments of the Management

Estimates and judgments of the Management are continuously evaluated and are based on historical experience and other factors, including expectations of future events believed to be reasonable under the circumstances.

For the Annual Financial Statements of December 31st 2018 the basic accounting principles and assumptions of the Balance Sheet of December 31st 2017 apply.

5. Segment information

(figures in th. Euro)

The Management of the Group recognizes three main segments of its operation (the product categories): a) Office products, b) PCs & Digital Technology products and c) Telecommunications products, as its main operation segments. The before mentioned operation segments are those used by the management team for observation of sector evolutions and the strategic decisions are thus made, taking into consideration the results, efficiency and productivity of each one. There are two more segments of a less importance and are included in the category "other". The main source of revenue for these two segments is the provision of service for the PCs and the provision of transportation services.

The segment results for the year ending 31 December 2018 were as follows:

			Segment Reporting
01.01.2018 - 31.12.2018	Office Products	PCs & Digital Technology	Telecommunications	Other	Total
Total Gross Sales per segment	101.264	147.656	62.894	1.541	313.356
Inter company Sales	(1.280)	(2.323)	(894)	0	(4.497)
Net Sales	99.984	145.333	62.000	1.541	308.858

EBITDA	4.146	3.360	1.728	224	9.458
% EBITDA / Net Sales	4,15%	2,31%	2,79%	14,51%	3,06%
Operating profit / (loss) EBIT	3.205	2.598	1.336	173	7.311
Finance cost					(1.211)
Income tax expense					(2.245)
Earnings After Taxes					3.856

___________________________________________________________________________

The segment results for the year ending on 31st December 2017 were as follows:

	Segment Reporting
01.01.2017 - 31.12.2017	Office Products	PCs & Digital Technology	Telecommunications	Other	Total
Total Gross Sales per segment	95.691	141.596	52.579	1.539	291.405
Inter company Sales	(996)	(3.294)	(1.018)	0	(5.308)
Net Sales	94.695	138.303	51.561	1.539	286.098
EBITDA	4.670	4.025	1.762	261	10.719
% EBITDA / Net Sales	4,93%	2,91%	3,42%	16,97%	3,75%
Operating Profit / (Loss) EBIT	3.788	3.264	1.429	212	8.693
Finance cost					(1.404)
Income tax expense					(2.388)
Earnings After Taxes					4.900

CHANGES	Office Products	PCs & Digital Technology	Telecommunications	Other	Total
Net Sales	5,6%	5,1%	20,2%	0,2%	8,0%
EBITDA	-11,2%	-16,5%	-1,9%	-14,4%	-11,8%
% ΕΒΙΤDA / Net Sales	-0,8	-0,6	-0,6	-2,5	-0,7
Operating Profit / (Loss) (EBIT)	-15,4%	-20,4%	-6,5%	-18,4%	-15,9%
Finance Cost					-13,8%
Income Tax Expense					-6,0%
Earnings / (Loss) After Taxes					-21,3%

The total turnover of the Group in 2018 came up to 308.858 th. Euro, having increased by 8,0%, compared to 2017. The increasing trend in sales appeared in both the first and the second semester of the year. The sales of personal computers and digital equipment increased by 5,1 % compared to 2017 figures (145.333 th. Euro and 138.303 th. Euro, respectively). The sales of the office products increased (+5,6%) to almost 100 million. However, Telephony sector was the one, which made the difference in total sales increase. Telephony sales showed a 20% increase amounting to 62 million Euro, compared to the 52 million Euro in 2017. The above changes in the turnover of every sector brought changes in the participation of each sector to the total turnover of the Group. More specifically, the Telephony sector contributed by 20,1% to total sales in 2018, compared to 18,0% in 2017. Consequently, the Office Equipment sector decreased as it contributed by 32,4% in the consolidated sales, compared to 33,1% in 2017 and the Computer & Digital Equipment Sector contributed 47,1% compared to 48,3% a year ago. Finally, the sales from services remained almost stable and came up to 1.541 th. Euro.

Regarding the performance indeces (EBITDA to Sales), a proportionate decrease to all three operating categories was observed. Over time, the most efficient sector is that of Office Products (4,15% in 2018), while the other two main categories appeared a significantly lower performance. Finally, in Group terms, this ratio decreased by 68 b.p. to 3,06%.

The distribution of consolidated assets and liabilities for 31.12.2018 and 31.12.2017 per segment is analyzed as follows:

___________________________________________________________________________

		PCs & Digital
31.12.2018	Office Products	Technology	Telecommunications	Total
Assets of the Sector	22.792	33.481	14.133	70.406
Non distributed Assets	-	-	-	83.242
Consolidated Assets				153.648
		PCs & Digital
31.12.2018	Office Products	Technology	Telecommunications	Total
Liabilities of the Sector	8.150	11.972	5.054	25.177
Non distributed Liabilities	-	-	-	128.471
Consolidated Liabilities				153.648
	Office Products	PCs & Digital	Telecommunications
31.12.2017		Technology		Total
Assets of the Sector	23.120	34.142	12.589	69.851
Non distributed Assets	-	-	-	85.148
Consolidated Assets				154.999
	Office Products	PCs & Digital	Telecommunications
31.12.2017		Technology		Total
Liabilities of the Sector	10.115	14.937	5.507	30.559
Non distributed Liabilities	-	-	-	124.440
Consolidated Liabilities				154.999

The home-country of the Company – which is also the main operating country –, is Greece. The Group's turnover is produced mainly in Greece by 97% (before deletions), while the Group has, also, activities in Bulgaria. In 2018, the subsidiary achieved an increase in sales of more than 3%.

	Sales	Total Assets
	01.01.2018 - 31.12.2018	31.12.2018
Greece	302.741	154.205
Bulgaria	10.615	3.038
Consolidated Sales / Assets (after the necessary omissions)	308.858	153.648

	Sales	Total Assets
	01.01.2017 - 31.12.2017	31.12.2017
Greece	281.146	155.846
Bulgaria	10.260	3.143
Consolidated Sales / Assets (after the necessary omissions)	286.098	154.999

Sales refer to the country where the customers are located. Assets refer to their geographical location.

6. Tangible Assets

(Figures in thousand €)

The tangible and intangible assets of the Group and the Company are analyzed as follows:

THE GROUP

Tangible Assets	Land & Buildings	Furniture & Other Equipment	Under construction Assets	Total
Acquisition Value
Book Value on January 1st 2018	45.197	13.051	431	58.679
Additions	979	591	5.257	6.827
Disposals	0	(775)	0	(775)
Transfers	2.773	508	(3.280)	0
Book value on December 31st 2018	48.949	13.375	2.408	64.731

Depreciation
Book Value on January 1st 2018	(21.567)	(12.172)	0	(33.739)
Additions	(1.372)	(696)	0	(2.068)
Disposals	0	775	0	775
Transfers	0	0	0	0
Book value on December 31st 2018	(22.938)	(12.094)	0	(35.032)
Net Book value on December 31st 2018	26.010	1.281	2.408	29.699
Net Book value on December 31st 2017	23.631	879	431	24.940

___________________________________________________________________________

THE GROUP

Acquisition Value Book Value on January 1st 2017 45.154 13.936 0 Additions 43 411 431 Disposals 0 (1.297) 0 Transfers 0 0 0 Book value on December 31st 2017 45.197 13.051 431	Tangible Assets	Land & Buildings	Furniture & Other Equipment	Under construction Assets	Total

					59.090
					885
					(1.297)
					0
					58.679

Depreciation
Book Value on January 1st 2017	(20.106)	(12.966)	0	(33.072)
Additions	(1.461)	(503)	0	(1.964)
Disposals	0	1.297	0	1.297
Transfers	0	0	0	0
Book value on December 31st 2017	(21.567)	(12.172)	0	(33.739)
Net Book value on December 31st 2017	23.631	879	431	24.940
Net Book value on December 31st 2016	25.048	970	0	26.019

THE COMPANY

Tangible Assets	Land & Buildings	Furniture & Other Equipment	Under construction Assets	Total
Acquisition Value
Book Value on January 1st 2018	45.197	12.733	431	58.361
Additions	979	583	5.257	6.819
Disposals	0	(762)	0	(762)
Transfers	2.773	508	(3.280)	0
Book value on December 31st 2018	48.949	13.062	2.408	64.418

Depreciation
Book Value on January 1st 2018	(21.567)	(11.939)	0	(33.506)
Additions	(1.372)	(671)	0	(2.043)
Disposals	0	762	0	762
Transfers	0	0	0	0
Book value on December 31st 2018	(22.938)	(11.848)	0	(34.787)
Net Book value on December 31st 2018	26.010	1.213	2.408	29.631
Net Book value on December 31st 2017	23.631	794	431	24.856

___________________________________________________________________________

THE COMPANY

Tangible Assets	Land & Buildings	Furniture & Other Equipment	Under construction Assets	Total
Acquisition Value
Book Value on January 1st 2017	45.154	13.656	0	58.810
Additions	43	347	431	821
Disposals	0	(1.271)	0	(1.271)
Transfers	0	0	0	0
Book value on December 31st 2017	45.197	12.733	431	58.361

Depreciation
Book Value on January 1st 2017	(20.106)	(12.732)	0	(32.838)
Additions	(1.461)	(478)	0	(1.938)
Disposals	0	1.271	0	1.271
Transfers	0	0	0	0
Book value on December 31st 2017	(21.567)	(11.939)	0	(33.506)
Net Book value on December 31st 2017	23.631	794	431	24.856
Net Book value on December 31st 2016	25.048	925	0	25.973

There are no mortgages or collateral on the tangible fixed assets of the Group and the Company. Intangible assets include mainly software and licenses for software (SAP R3, BW, CRM etc.).

___________________________________________________________________________

The total acquisition of fixed assets of the Group and the Company for 2018 amounted to 6.827 th. € and 6.819 th. €, respectively. The total acquisition of fixed assets of the Group and the Company for 2017 amounted to 885th. € and 821 th. €, respectively. The disposals appeared above for the current period concern fully depreciated fixed assets.

The acquisition of fixed assets appeared an increase, mainly, due to the operation of the two new stores in July 2018. The investment in the store of Ag. Paraskevi came up to 2,7 m. € and in the store in Chania to 1,4 m. €. In the interim financial statements of 2018, part of the aforementioned amounts were under "Under construction" fixed assets. The rest of the "Under Construction" assets (2.408 th. €) is attributed to under construction warehouse which does not operate as at the date of the financial reports. Also, on 31.12.2018 the Group and the Company had prepaid for tangible fix assets the amount of 225 th. €.

7. Intangible Assets

(Figures in thousand €)

THE GROUP

Intangible Assets	Under Construction Assets	Intangible Assets	Total
Acquisition Value
Book Value on January 1st 2018	942	5.423	6.364
Additions	458	43	500
Disposals	0	(37)	(37)
Transfers	0	0	0
Book value on December 31st 2018	1.399	5.428	6.828
Depreciation
Book Value on January 1st 2018	0	(5.213)	(5.213)
Additions	0	(182)	(182)
Disposals	0	37	37
Transfers	0	0	0
Book value on December 31st 2018	0	(5.358)	(5.358)
Net Book value on December 31st 2018	1.399	71	1.470
Net Book value on December 31st 2017	942	210	1.151
THE GROUP
Intangible Assets	Under Construction Assets	Intangible Assets	Total
Acquisition Value
Book Value on January 1st 2017	325	5.421	5.746
Additions	617	2	619
Disposals	0	0	0
Transfers	0	0	0
Book value on December 31st 2017	942	5.423	6.364
Depreciation

Book Value on January 1st 2017 0 (5.021) (5.021)

Additions	0	(192)	(192)
Disposals	0	0	0
Transfers	0	0	0
Book value on December 31st 2017	0	(5.213)	(5.213)
Net Book value on December 31st 2017	942	210	1.151
Net Book value on December 31st 2016	325	400	724

___________________________________________________________________________

THE COMPANY

Intangible Assets	Under Construction Assets	Intangible Assets	Total

Acquisition Value
Book Value on January 1st 2018	942	5.352	6.294
Additions	458	43	500
Disposals	0	0	0
Transfers	0	0	0
Book value on December 31st 2018	1.399	5.395	6.794
Depreciation
Book Value on January 1st 2018	0	(5.163)	(5.163)
Additions	0	(172)	(172)
Disposals	0	0	0
Transfers	0	0	0
Book value on December 31st 2018	0	(5.335)	(5.335)
Net Book value on December 31st 2018	1.399	60	1.459
Net Book value on December 31st 2017	942	189	1.130
THE COMPANY
Intangible Assets	Under Construction Assets	Intangible Assets	Total
Acquisition Value
Book Value on January 1st 2017	325	5.350	5.675
Additions	617	2	619
Disposals	0	0	0
Transfers	0	0	0
Book value on December 31st 2017	942	5.352	6.294
Depreciation
Book Value on January 1st 2017	0	(4.982)	(4.982)
Additions	0	(182)	(182)
Disposals	0	0	0
Transfers	0	0	0
Book value on December 31st 2017	0	(5.163)	(5.163)
Net Book value on December 31st 2017	942	189	1.130
Net Book value on December 31st 2016	325	369	693

Intangible assets include mainly software and licenses for software (SAP R3, BW, CRM, etc.). The total acquisition of intangible assets were 500 th. € in 2018 and 619 th. € in 2017. The balance of the "Under Construction" (942 th. €) is attributed to the web marketing platform for the e-commerce and the digital marketing. This platform has not begun to operate as at the balance date.

___________________________________________________________________________

8. Group Structure and Method of Consolidation

(Figures in thousand €)

The companies that are included in the annual financial statements are the following:

Company	Activity	Country	% Percentage	Connection	Consolidation Method
	Trade of PCs and Office				-
Plaisio Computers S.A.	Products	Greece	Parent	Parent
	Trade of PCs and Office		100%	Direct	Total Consolidation
Plaisio Computers JSC	Products	Bulgaria
	Development and
Plaisio Estate S.A.	Management of Real	Greece	20%	Direct	Net Equity
	Estate
	Development and
Plaisio Estate JSC	Management of Real	Bulgaria	20%	Direct	Net Equity
	Estate

Participation in subsidiaries is the participation of the parent company Plaisio Computers S.A. in the share capital of the fully consolidated Plaisio Computers JSC. The percentage of participation of the parent company is 100% and no minority rights arise.

In the Company's financial statements the participation in subsidiaries is displayed in cost. In the consolidated financial statements participation in subsidiary Plaisio Computers JSC is omitted. The value of participation in subsidiaries on December 31st 2018 and December 31st 2017 was:

PARTICIPATION OF PARENT COMPANY IN SUBSIDIARIES

	31.12.2018	31.12.2017
Plaisio Computers JSC	4.072	4.072

The participation in affiliated companies on December 31st 2018 and December 31st 2017 is analyzed as follows:

PARTICIPATION IN AFFILIATED COMPANIES	THE GROUP		THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Plaisio Estate S.A.	901	916	13	13
Plaisio Estate JSC	242	241	212	212
Total participation in affiliated companies	1.142	1.157	225	225

The participation in affiliated companies is presented at acquisition cost in the Company's financial statements.

The company with the name Plaisio Estate S.A., to which the company participates by 20%, given its decision of June 29th 2018, of the Annual Shareholders Meeting, decided to pay dividend for the corporate year 2017 and the respective share for the Company was 19 th. Euro. The dividend paid on 13.07.2018. Plaisio Estate JSC, also paid dividend of 9 th. Euro to the Company, for the financial year of 2017, on 24.07.2018, as a result of the decision taken on the annual General Assembly of 21.05.2018.

The changes in participations that are consolidated via net equity are analyzed as follows:

___________________________________________________________________________

	2018	2017
1st January	1.157	1.167
Capital Increase / (Decrease)	0	0
Percentage of results from participations accounted with the method of Net Equity	13	38
Dividend from participations accounted with the method of Net Equity	(27)	(47)
31st December	1.142	1.157

9. Other Investments

(Figures in thousand €)

Other investments consist of portfolio investments in companies not listed in organized stock markets. According to IAS 32 and 39, these investments are displayed in the financial statements at their acquisition cost less any provision for devaluation.

Other long-term investments on December 31st 2018 and December 31st 2017 are analyzed as follows:

OTHER INVESTMENTS	THE GROUP		THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
High-tech Park Acropolis Athens S.A.	454	454	454	454
High-tech Park Technopolis Thessalonica S.A.	30	30	30	30
Interaction Connect S.A.	14	14	14	14
Pancretan Cooperative Bank	10	10	10	10
Bank of Chania	10	0	10	0
	519	509	519	509
Impairement High-tech Park Acropolis Athens S.A.	(484)	(484)	(484)	(484)
Total other long-term investments	34	24	34	24

The participation of the Company in the above companies on December 31st 2018 was:

	Percentage of Participation	Country of Incorporation
High-tech Park Acropolis Athens S.A.	3,46%	Greece
High-tech Park Technopolis Thessalonica S.A.	2,18%	Greece
Interaction Connect S.A.	14,30%	Luxembourg
Pancretan Cooperative Bank	0,02%	Greece
Bank of Chania	0,02%	Greece

10. Other non-current assets

(Figures in thousand €)

Other non-current assets include, mainly, long-term guarantees and receivables that are going to be collected after the end of the following period. In particular, other non-current assets on December 31st 2018 and December 31st 2017 are analyzed as follows:

___________________________________________________________________________

OTHER NON-CURRENT ASSETS	THE GROUP		THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Long-term guarantees	689	692	684	669
Total	689	692	684	669

11. Inventories

(Figures in thousand €)

The Group and Company's inventories on December 31st 2018 and December 31st 2017 are analyzed as follows:

INVENTORIES	THE GROUP			THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Inventories of merchandise	54.620	55.103	53.344	54.059
Inventories of finished products	743	795	743	795
Inventories of raw materials	11	9	11	9
Inventories of consumables	711	671	711	671
Down payments to vendors	4.921	4.635	4.921	4.635
	61.005	61.212	59.729	60.168
Minus: Provision for devaluation	(8.479)	(8.970)	(8.452)	(8.945)
Net realizable value of inventories	52.527	52.242	51.278	51.223

The Group takes all the necessary precautions (insurance, security) in order to minimize the risk and contingent damages from loss of inventory from natural disasters, thefts etc. The group is activated in the high technology area, where the danger of technological devaluation is increased; the management examines constantly the net realizable value of stock and forms all the necessary provisions so that the value in the financial statements matches the true value.

Despite the sales increase of 8%, the inventories were in 2018 in the same level as in 2017, at around 61 m. €, while the provision for devaluation was 8.479 th. € and 8.452 th. € for the Group and the Company respectively. The respective amounts for 2017 were 8.970 th. € and 8.945 th. € for the Group and the Company.

The provision for devaluation is calculated by taking into account the inventory turnover which was improved due to the significant higher sales achieved by the Group throughout the year. On 31.12.2018 the provision for inventory devaluation formed to 13,9% compared to 14,7%.

The Management evaluates in continuous basis the optimal level of inventories as well as the level of related provisions taking into account the inventory turnover.

12. Trade and other receivables

(Figures in thousand €)

The Group and the Company's trade and other receivables on December 31st 2018 and December 31st 2017 are analyzed as follows:

___________________________________________________________________________

TRADE AND OTHER RECEIVABLES	THE GROUP			THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Receivables from customers	18.157	19.321	17.334	18.506
Cheques and bills receivables	2.578	2.529	2.578	2.529
Receivables prior to Impairments	20.735	21.850	19.911	21.035
Minus: Impairment	(2.855)	(4.242)	(2.774)	(4.170)
Net Receivables customers	17.879	17.609	17.138	16.864
Receivables from subsidiaries	0	0	409	809
Receivables from associates	0	0	0	0
Total trade and other receivables	17.879	17.609	17.546	17.674

The positive effect (decrease) in the provision for bad debt is, mainly, attributed in the first application of IFRS 9 with the cumulated adjustment on 01.01.2018 (note 2.2).

Trade receivables decreased by 1.115 th. € compared to 2017, while the insurance terms have been improved. Taking the above into account, the percentage of the formed provision for the current year appeared a small decrease (13,8% compared to 19,4% in 2017) and due to the initial recognition of IFRS 16 "Leases".

In any case, the Management examines the amount of receivables; taking into account historical data and the respective market trends in order to form high level of provision in relation with the trade receivables and to control the risk. The changes in provisions of bad-debts are as follows:

	THE GROUP		THE COMPANY
	2018	2017	2018	2017
Provision of Doubtful Receivables 01/01	4.242	4.775	4.170	4.700
Net change of Provision	(1.387)	(534)	(1.397)	(530)
Provision of Doubtful Receivables 31/12	2.855	4.242	2.774	4.170

The above mentioned bad-debt provision includes:

a) a strictly defined provision for all the customers that have been characterized as doubtful,

b) a specific provision for all the customers that have overdue balances based on the ageing of their balances,

c) a provision, based on the increased level of risk because of the conditions of the economic environment, taking in consideration: 1) the reduced liquidity of Greek businesses and 2) the difficult access to bank financing.

d) the Group has already moved to a provision for the balances from the Public Sector. It is noted that in the aforementioned provision includes non-overdue balances as well.

The receivables from customers are analyzed as follows:

	2018			2017
	Receivables		Receivables	Receivables
	before	Impairment	after	before	Impairment	Receivables after
THE GROUP	Impairment		impairment	Impairment		impairment
Receivables from
Associates	0	0	0	0	0	0
Less than 90 days	19.847	(1.968)	17.879	20.732	(3.124)	17.609
Delayed 91-180
days	323	(323)	0	236	(236)	0
Delayed 181 +
days	564	(564)	0	882	(882)	0
Total	20.735	(2.855)	17.879	21.850	(4.242)	17.609

___________________________________________________________________________

	2018			2017
THE COMPANY	Receivables before Impairment	Impairment	Receivables after impairment	Receivables before Impairment	Impairment	Receivables after impairment
Receivables from Subsidiaries	409	0	409	809	0	809
Receivables from Associates	0	0	0	0	0	0
Less than 90 days Delayed 91-180	19.094	(1.957)	17.137	19.979	(3.115)	16.864
days	318	(318)	0	230	(230)	0
Delayed 181 + days	499	(499)	0	826	(826)	0
Total	20.320	(2.774)	17.546	21.844	(4.170)	17.674

It is noted that as in a fixed manner the Company does, every delayed receivable of more than 90 days is impaired.

13. Other receivables

(Figures in thousand €)

The other receivables of the Group and the Company on 31.12.2018 and 31.12.2017 are analyzed as follows:

OTHER RECEIVABLES		THE GROUP		THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Income Tax Assets	562	80	562	80
Deferred expenses	733	682	728	674
Other receivables	5.095	2.971	4.897	2.873
	6.390	3.733	6.186	3.627

All the above receivables are short-term and there is no need to discount them at the date of the balance sheet. Other receivables refer to down payments, accommodation money to personnel, vendor's advance payments and pre-calculated

purchase discounts. Receivables from Public Sector concern the debit balance of the account "Income Tax". The increase in other receivables is attributed to forecasted credit notes from the suppliers for the corporate year 2018 as the actual credit notes were not received in 2018.

___________________________________________________________________________

14. Cash and cash equivalents

(Figures in thousand €)

Cash and Cash equivalents for the Group and the Company on 31.12.2018 and 31.12.2017 are analyzed as follows:

CASH AND CASH EQUIVALENTS

	THE GROUP			THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Cash in hand	3.989	5.198	3.918	5.150
Short-term bank deposits	36.853	44.664	36.206	43.624
Total	40.842	49.862	40.124	48.774

The composition of cash and cash equivalents per currency is the following (all amounts are in the euro € currency)

	THE GROUP			THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Euro	34.394	41.383	34.376	41.372
Other Currencies	6.448	8.479	5.748	7.402
Total	40.842	49.862	40.124	48.774

The decrease in cash and cash equivalents by 18,1% of the Group came from the decrease in trade payables and from the increased investments that took place in 2018.

In parallel, the Group did not significantly amended the ratio of Euro to other currencies to its cash and cash equivalents (from 83,0% to 84,2%). The Management examines the cash and cash equivalents structure regarding the distribution of the cash to the currencies in a continuous basis and restructure it whenever it is needed. The above mentioned amounts are presented in the cash flow statement.

15. Share capital and difference above par

(Figures in €)

The share capital of the Company is analyzed as follows:

	Number of shares	Par Value	Share capital	Above par	Total
1 st January 2018	22.075.665	0,33	7.285	844	8.129
31st December 2018	22.075.665	0,33	7.285	844	8.129

The shares of the Company are traded at the Athens Stock Exchange.

The annual Ordinary General Assembly of the 23rd May 2017, decided the decrease of the share capital of the Company by the amount of 1.430,55 Euro with decrease of the total number of shares from 22.080.000 to 22.075.665 common shares, due to deletion of 4.335 treasury shares, according to article 16 of c.l. 2190/1920.

___________________________________________________________________________

The aforementioned 4.335 treasury shares were bought in the period 18.06.2015-23.11.2016 in implementation of the decision taken by the Extraordinary General Assembly of 16.12.2014. As a result, the share capital of the Company ended to 7.285 th. Euro and divided into 22.075.665 common shares of nominal value thirty three eurocents (0,33) each. The aforementioned treasury shares stopped trading in the Athens Stock Exchange on 14.06.2017. The Company does not hold any treasury shares both on the date of approval of the Financial Statements.

16. Reserves

(Figures in thousand €)

The rest of the reserves of the Group and the Company on 31.12.2018 and 31.12.2017 are analysed as follows:

				Actuarial Losses
	Legal Reserves	Special Reserves	Other Reserves	Reserves	Total
THE GROUP
1 January 2017	4.743	20.338	622	(823)	24.880
Changes during the year	0	0	47	111	159
31 December 2017	4.743	20.338	669	(711)	25.039

1 January 2018	4.743	20.338	669	(711)	25.039
Changes during the year	8	0	27	(176)	(141)
31 December 2018	4.751	20.338	697	(888)	24.898

				Actuarial Losses
	Legal Reserves	Special Reserves	Other Reserves	Reserves	Total
THE COMPANY
1 January 2017	4.644	20.159	622	(823)	24.602
Changes during the year	0	0	47	111	159
31 December 2017	4.644	20.159	669	(711)	24.761

1 January 2018	4.644	20.159	669	(711)	24.761
Changes during the year	0	0	27	(176)	(149)
31 December 2018	4.644	20.159	697	(888)	24.612

(a) Statutory reserve

A legal reserve is created under the provisions of Greek law (Law 2190/1920, articles 44 and 45) according to which, an amount of at least 5% of the profit (after tax) for the year must be transferred to the reserve until it reaches one third of the paid share capital. The legal reserve can only be used, after approval of the Annual General meeting of the shareholders, to offset retained losses and therefore cannot be used for any other purpose.

(b) Special reserves

The special reserves includes a) a reserve that was created following a decision of the Annual General meeting in prior periods. This reserve was not created for any specific purpose and can therefore be used for any reason following approval from the Annual General Assembly and b) reserves which were created under the provisions of Greek law. The before-mentioned reserves have been created by already taxed profit and therefore are not taxed furthermore in case they are distributed or capitalized. In the special reserves, an amount of 4.894 th. Euro is included, which refers to Reserves formed with the first adoption of IFRS that was realized on January 1st 2005.

___________________________________________________________________________

(c) Other Reserves

Other reserves are created under the provisions of tax law from tax free profits, income, or profits taxed under special provisions.

The above-mentioned reserves can be capitalized or distributed, after the approval of the Annual General meeting, after taking into consideration the restrictions which will apply at each time. The Group does not intend to distribute or capitalize these reserves and therefore has not calculated the income tax that would apply in this case.

With article 72 of the law 4172/2013, the non-distributed or capitalized tax free reserves of entities as stated in the last financial statement before 01.01.2014 are taxed with a tax rate of 19%. From 01.01.2015, it is not allowed to keep special accounts for tax-free reserves.

The Extraordinary General Assembly which took place on 16/12/2014 decided the capitalization of the tax-free reserves that have been formed based on the c.l. 2238/1994, according to article 72 of c.l. 4172/2013, of amount 144 th. Euro (net amount which remains after the deduction of the taxes (19%) to the total amount of tax-free reserves which were 178 th. Euro). The taxation of the reserves took place in 2014, while the capitalization of these reserves approved by the decision of the Ministry of Development with virtue number K2-7315/21-01-2015.

(d) Actuarial Losses Reserves

As a consequence of adopting the amended IAS 19, the Group changed the accounting policy regarding the recognition of actuarial losses and profits, arising from the before mentioned benefit plan of employees. An analytical presentation of the way of formation of this particular reserve and also of the effect of this change of policy is presented in Note 19.

17. Loans

(Figures in th. euro)

The liabilities for loans for the Group and the Company on 31.12.2018 and 31.12.2017 are analyzed as follows:

LOANS	THE GROUP			THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Long Term Loans
Bond Loans	8.940	11.273	8.940	11.273
Total Long Term Loans	8.940	11.273	8.940	11.273
Short Term Loans
Bank Loans	0	0	0	0
Bond Loans	2.333	1.604	2.333	1.604
Total Short Term Loans	2.333	1.604	2.333	1.604
Total Loans	11.273	12.877	11.273	12.877

The changes in the amounts of the Loans are analyzed as follows:

___________________________________________________________________________

THE GROUP	Amounts due in the next one year	Amounts due in more than a year	Total
Balance on 01 January 2017	14.584	877	15.461
Cash Flows
Proceeds from issued borrowings	6.000	12.000	18.000
Re-payments of borrowings	(20.584)	0	(20.584)
Balance on 31 December 2017	0	12.877	12.877
Reclassification from long-term to short-term debt	1.604	(1.604)	0
Balance on 31 December 2017	1.604	11.273	12.877

THE GROUP	Amounts due in the next one year	Amounts due in more than a year	Total
Balance on 01 January 2018	1.604	11.273	12.877
Cash Flows
Proceeds from issued borrowings	3.500	0	3.500
Re-payments of borrowings	(5.104)	0	(5.104)
Balance on 31 December 2018	0	11.273	11.273
Reclassification from long-term to short-term debt	2.333	(2.333)	0
Balance on 31 December 2018	2.333	8.940	11.273


THE COMPANY	Amounts due in the next one year	Amounts due in more than a year	Total
Balance on 01 January 2017	14.584	877	15.461
Cash Flows
Proceeds from issued borrowings	6.000	12.000	18.000

Balance on 31 December 2017	1.604	11.273	12.877
Reclassification from long-term to short-term debt	1.604	(1.604)	0
Balance on 31 December 2017	0	12.877	12.877
Re-payments of borrowings	(20.584)	0	(20.584)

THE COMPANY	Amounts due in the next one year	Amounts due in more than a year	Total
Balance on 01 January 2018	1.604	11.273	12.877
Cash Flows
Proceeds from issued borrowings	3.500	0	3.500
Re-payments of borrowings	(5.104)	0	(5.104)
Balance on 31 December 2018	0	11.273	11.273
Reclassification from long-term to
short-term debt	2.333	(2.333)	0
Balance on 31 December 2018	2.333	8.940	11.273

The expiration dates of the long-term loans of the Group and the Company are the following:

EXPIRATION DATES OF THE LOANS	THE GROUP		THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Between 1 and 2 years	2.040	2.333	2.040	2.333
Between 2 and 5 years	6.900	6.720	6.900	6.720
Over 5 years	0	2.220	0	2.220

	11.273		11.273
8.940		8.940

In 2017, the Management of the Company decided to refinance its short-term bank loans by bond loans with longterm repayment terms.

In 2018, total debt decreased to 11.273 th. € from 12.877 th. € in 31.12.2017.

___________________________________________________________________________

The level of the interests is influenced by many factors which have been analysed on the unit "Interest rate risk". Estimating the increased risk of the interest rates the Management, carefully, considers the related evolutions and acts in order to smooth any negative effects. It is noted that cash and cash equivalents of the Group on 31.12.2018, exceed the total of bank debt.

The bond loans appeared a decrease of 1.604 th. € compared to the end of 2017 and refers to:

12-year common Bond Loan, non-convertible to stocks of remaining balance 293 th. Euro from the National Bank of Greece S.A.
5-year common Bond Loan, non-convertible to stocks of 5.400 th. € with one year and a half of no capital payment and a floating rate. The empowered for the bank payments and the representative of the Bond holders was appointed the bank Eurobank Ergasias S.A.. The amount of 5.400 th. € (6.000 th. € initial amount) was contracted with Eurobank Ergasias S.A. and the remaining 600 th. € with Eurobank Private Bank Luxembourg S.A..
6-year common Bond Loan, non-convertible to stocks of 5.580 th. € with one year of no capital payment. The empowered for the bank payments and the representative of the Bond holders was appointed the bank National Bank of Greece S.A.. The amount of 5.820 th. € (6.000 th. € initital amount) was contracted with National Bank of Greece S.A. and the remaining 180 th. € with NBG Bank Malta LTD.

On 31.12.2018 and 31.12.2017 the Company and the Group has complied with all the covenants and the applied terms and conditions of the loans.

The level of the interest rates are in a satisfactory level due to the capital structure of the Group and the stable timeless repayments of any kind of financial liabilities and the co-operation relationships the Group retains with the banks. As a consequence, it is noted the wide liquidity of the Group and the fact that the cash and cash equivalents exceed the Group's total short-term and long-term borrowings in the last years.

18. Deferred Income Tax

(Figures in th. euro)

The deferred income tax for the Group and the Company on 31.12.2018 and on 31.12.2017 is analyzed as follows:

	THE GROUP		THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Deferred tax liabilities	1.410	1.443	1.410	1.443
Deferred tax assets	4.160	5.031	4.150	5.016
	2.750	3.587	2.741	3.572

The change in the deferred tax liabilities and deferred tax assets for the Group and the Company without taking into account the offsetting of balances of the same period is analyzed as follows:

DEFERRED TAX LIABILITIES

	Difference in	Valuation of Derivative
THE GROUP	depreciation	Contracts	Total
1- Jan -17	1.429	486	1.915
Debit/(Credit) in the P&L Statement	8	(479)	(471)
31- Dec -17	1.437	7	1.443

1- Jan -18	1.437	7	1.443
Debit/(Credit) in the P&L Statement	(122)	88	(34)
31- Dec -18	1.315	95	1.410

	Difference in	Valuation of Derivative
THE COMPANY	depreciation	Contracts	Total
1- Jan -17	1.429	486	1.915
Debit/(Credit) in the P&L Statement	8	(479)	(471)
31- Dec -17	1.437	7	1.443

1- Jan -18	1.437	7	1.443
Debit/(Credit) in the P&L Statement	(122)	88	(34)
31- Dec -18	1.315	95	1.410

___________________________________________________________________________

DEFERRED TAX ASSETS

		Provision for	Provision for			Actuarial
	Provision for	personnel	devaluation of	Other	Tax	Profits
THE GROUP	Receivables	compensation	stock	Provisions	Losses	Reserve	Total
1-Jan-17	1.030	192	3.260	776	0	336	5.596
(Debit)/Credit in
the P&L	(6)	13	(664)	132	7	0	(520)
Statement
Credit in Equity	-	-	-	-	-	(46)	(46)
31-Dec-17	1.024	205	2.597	909	7	290	5.031

1-Jan-18	1.024	205	2.597	909	7	290	5.031
(Debit)/Credit in
the P&L	(118)	(22)	(353)	(116)	(7)	0	(616)
Statement
(Debit)/Credit in
Equity	-	-	-	-	-	5	5
(Debit)/Credit in
Retained Earnings	(260)	-	-	-	-	-	(260)
(IFRS 9)
31-Dec-18	645	183	2.243	792	0	296	4.160

	Provision for	Provision for personnel	Provision for devaluation of	Other	Tax	Actuarial Profits
THE COMPANY	Receivables	compensation	stock	Provisions	Losses	Reserve	Total
1-Jan-17	1.025	192	3.259	775	0	336	5.587
(Debit)/Credit in
the P&L	(6)	13	(665)	132	0	0	(525)
Statement
Credit in Equity	-	-	-	-	-	(46)	(46)
31-Dec-17	1.019	205	2.594	907	0	290	5.016

1-Jan-18	1.019	205	2.594	907	0	290	5.016
(Debit)/Credit in
the P&L	(119)	(22)	(354)	(116)	0	0	(610)
Statement
(Debit)/Credit in
Equity	-	-	-	-	-	5	5
(Debit)/Credit in
Retained	(260)	-	-	-	-	-	(260)
Earnings (IFRS 9)
31-Dec-18	640	183	2.241	791	0	296	4.150

___________________________________________________________________________

The Deferred tax assets and receivables are offset when there is a legal right that makes it applicable to offset current net tax assets over liabilities and when the Deferred Taxes refer to the same tax authority.

Deferred tax liabilities and assets are presented offset in the figure "Deferred Tax Assets" in the statement of financial position as at 31.12.2018, given that the financial statements of the subsidiary company Plaisio Computers JSC, do not present Deferred Tax Liability but only asset.

19. Provisions for pensions and similar commitments

(Figures in thousand €)

According to the labor law, employees are entitled of compensation in case they are dismissed or retired, the amount of which differs according to the wage, the years of experience and the way of their leave (dismissal or retirement). Employees that resign or are rationally dismissed are not entitled to any compensation. In Greece, employees that retire are entitled to 40% of such compensation according to the Law 2112/1920. Those schemes are not financed and are the part of specified compensation schemes according to IAS 19.

The Group had an independent actuarial study done on personnel compensation according to IAS 19.

The evolvement of the net liability, in the Statement of Financial Position, after the adoption of the amended IAS 19, is analyzed below:

	THE GROUP		THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Net Liability at beginning of the year	1.708	1.820	1.708	1.820
Benefits paid by the Group	(97)	(315)	(97)	(315)

Expense recognized in the income statement	124	360	124	360
Actuarial loss / (gain)	182	(157)	182	(157)
Net Liability at year-end	1.916	1.708	1.916	1.708

___________________________________________________________________________

The details and basic principles of the actuarial study for the periods ending on 31.12.2018 and 31.12.2017 are analyzed as follows:

	THE GROUP			THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Service Cost	114	163	114	163
Amended Past Service Cost	0	0	0	0
Interest Cost	34	31	34	31
Termination Benefits/ Impact of Curtailments / Settlements	(24)	166	(24)	166
Total Charge to Income Statement	124	360	124	360

	THE GROUP		THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
MAIN ACTUARIAL PRINCIPLES
Discount rate	1,80%	2,0%	1,80%	2,0%
Rate of compensation increase	2,25%	2,25%	2,25%	2,25%
	THE GROUP		THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Actuarial (gains)/losses of commitment for defined benefit plans due to empirical adjustments	170	(596)	170	(596)
Actuarial (gains)/losses of commitment for defined benefit plans due to change of admissions	12	753	12	753
Actuarial (Gains)/Losses of the period	182	157	182	157
Corresponding Deferred Tax	(45)	(46)	(45)	(46)
Deferred Tax due to change of the Tax Rate	40	0	40	0
Total	176	111	176	111

The Company updated the survival tables in order to take into account the new OECD and WHO exhibition for the life expectancy in Greece.

The effect on the present value of the commitment for certain benefits when we have a variation of the discount exchange rate of +/- 0,5%, is +/- 1% on 31.12.2018.

20. Provisions

(Figures in thousand €)

The balances of accounts of provisions for the Group and the Company on December 31st 2018 and December 31st 2017 are analyzed respectively as follows:

OTHER PROVISIONS		THE GROUP			THE COMPANY
	Note.	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Long-term provisions
Provision for un-audited tax periods	(a)	0	0	0	0
Provision for bringing the stores in their primary condition according to	(b)	213	218	213	218

the lease contracts
Total Long-term provisions		213	218	213	218
Short-term provisions
Provision for computer guarantees	(c)	1.231	1.565	1.231	1.565
Total short-term provisions		1.231	1.565	1.231	1.565
Total Provisions		1.444	1.783	1.444	1.783

___________________________________________________________________________

(a) The Company has formed a cumulative provision of 564 th. Euro, in order to cover the event of additional taxes in case of audit from the tax authorities for the un-audited periods of 2009 and 2010. The tax audit for the aforementioned years was completed by the tax authorities in 2017 and the results are presented in Note 24. Concerning the other companies of the Group, no such provision has been formed on the basis that any extra burden will be non-material. The un-audited tax periods of the companies of the Group are presented in Note 26.

(b) The Company has formed a provision for restoring the stores in their primary condition according to the lease contracts and their ending period.

(c) The Company has formed provision of total amount of 1.231 th. Euro for computer guarantees given to its customers. This provision has been revaluated in order to take into account the current labour cost and the current cost of spare parts.

21. Deferred Income

(Figures in thousand €)

The investment that took shape in Magoula Attikis, came under the provisions of the development law 3299/2004 (subjection decision 32278/YPE/4/00513/N.3299/2004). Part of government grant amounted to € 2.153 th., received by the company during 2010, is included in short and long-term liabilities and acts deductive to the relative cost of depreciations. Moreover, with 18420/ΥΠΕ/4/00513/Ε/Ν.3299/28.4.2011 decision of the undersecretary of competitiveness and shipping (Government Gazette, issue B, 1078/1.6.2011) the completion of the investment was certified and the cost and commencement of the productive operation of the investment was finalized. With the above mentioned decision the remainder of the subsidy was approved, amounting to 2.259 th. €. It is noted that the total amount of the subsidy came up to 4.412 th. €.

State grants are posted in their value when there is the certainty that the grant will be collected and the Group will comply to all the relevant terms.

The state grants that are intended for the purchase of tangible assets are posted under long term liabilities and are posted in the Income Statement through the method of depreciation based on remaining lifetime of the fixed assets that the grant refers to. For this year 01.01.2018-31.12.2018 the depreciation of grants came up to 103 th. €.

The state grants that concern expenses are deferred and posted directly in Income Statement, when the granted expense is posted, so that the expense and the income is matched.

STATE GRANTS	THE GROUP			THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Long-Term	2.364	2.428	2.364	2.428
Short-Term (Note 22)	84	118	84	118
	2.448	2.546	2.448	2.546

22. Suppliers and related current liabilities

(Figures in thousand €)

Suppliers and related current liabilities for the Group and the Company on 31.12.2018 and 31.12.2017 are analyzed as follows:

___________________________________________________________________________

SUPPLIERS AND RELATED CURRENT LIABILITIES	THE GROUP			THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Trade payables	25.177	30.559	24.470	30.110
Advance payments of clients	0	1.222	0	1.194
Payable Dividends	25	25	25	25
Liabilities to insurance companies	1.377	1.269	1.377	1.269
Deferred Income (Note 21)	84	118	84	118
Creditors	5.977	4.662	5.967	4.650
Other current liabilities	2.704	2.593	2.704	2.593
Current Contract Liabilities	1.273	-	1.212	-
	36.616	40.448	35.839	39.959

All the aforementioned liabilities are short-term and there is no need to be discounted at the date of the Balance Sheet. The decrease in trade payables on 31.12.2018 by more than 5 m. € is attributed to the payments made the last days of 2018, a fact that did not happen in 2017.

The adoption of IFRS 15 led to reclassification of advance payments of total amount of 1.273 th. € and 1.212 th. € (31.12.2018) for the Group and the Company from the "Other Current Liabilities" to "Contract Liabilities" and in respective reclassification on 01.01.2018 (note 2.2).

23. Other Income

(Figures in thousand €)

The Other Income of the Group and of the Company for 2018 and 2017 are analyzed as follows:

OTHER INCOME	THE GROUP			THE COMPANY
	01.01-31.12.2018	01.01-31.12.2017	01.01-31.12.2018	01.01-31.12.2017
Sales of waste material	21	26	21	26
Other income	100	72	66	39
Income from plastic bags	48	0	48	0
Reimbursements and other grants	8	6	8	6
Total	177	104	143	71

24. Income tax expense

(Figures in thousand €)

The income tax expense comes from the deduction out of the profits, of the non-deductible expenses that include provisions and expenses, not recognized from the tax legislation. These expenses are recalculated at each Balance Sheet date. The income tax, according to the existing tax rates on the 31st of December 2018 (29%) and 2017 (29%) respectively, is analyzed as follows:

___________________________________________________________________________

INCOME TAX	THE GROUP			THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Income tax expense	1.634	2.291	1.634	2.291
Deferred income tax	611	48	604	54
Tax Audit Differences	0	613	0	613
Provision for un-audited tax years	0	(564)	0	(564)
Total	2.245	2.388	2.238	2.394

The reconciliation of the income tax and the amount from the implementation of the current income tax rate of the Group and the Company in Greece (2018: 29%, 2017: 29%) to the results before taxes, is presented below:

INCOME TAX	THE GROUP		THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Earnings before tax	6.100	7.288	6.040	7.320
Tax rate of the parent	29%	29%	29%	29%
Income tax	1.769	2.114	1.752	2.123
Effect of tax rates of other countries	(12)	(6)	-	-
Effect of changes of tax rates in deferred tax	225	0	225	0
Non tax - deductible expenses	261	108	261	108
Provision for tax audit differences	0	(564)	0	(564)
Tax audit differences	0	726	0	726
Other	2	10	0	0
Total	2.245	2.388	2.238	2.394

According to the provisions of article 23 of the l. 4579/2018, the income tax rate for legal entities in Greece will, gradually, decrease from 29% to 25% during the period 2019-2022. Based on IAS 12, the relevant effect accounted in the financial statements of 31.12.2018 according to the tax rate that is expected to be implemented in the period that the receivable or the liability will be arranged. If the deferred tax had been calculated based on the current tax rate (29%), the deferred income tax would be 2.020 th. Euro for the Group and 2.013 th. Euro for the Company (the current tax-expense would have come up to 379 th. Euro for the Company and 386 th. Euro for the Group). Earnings after taxes would be increased by 225 th. Euro, other revenue would be increased by 47 th. Euro and the Net Equity of the Company and the Group by 272 th. Euro.

Since the 2011 financial year and on, all Greek Societe Anonyme and Limited Liability Companies that are required to prepare audited statutory financial statements must in addition obtain an "Annual Tax Certificate" as provided for by article 82 paragraph 5 of L. 2238/1994 and the article 65A of L.4174/2013. This "Annual Tax Certificate" must be issued by

the same statutory auditor or audit firm that issues the audit opinion on the statutory financial statements. Upon completion of the tax audit, the statutory auditor or audit firm must issue to the entity a "Tax Compliance Report" which will subsequently be submitted electronically to the Ministry of Finance, by the statutory auditor or audit firm. This "Tax Compliance Report" must be submitted to the Ministry of Finance, within ten days of the date of approval of the financial statements by the General Meeting of Shareholders.

___________________________________________________________________________

Ιn 2017 the Company received the Audit Report for any kind of tax liabilities for the years 2009 and 2010, which was completed in 2017. The additional tax and surcharges resulting from the tax audit and the implementation of c.l. 4446/2016, amounts to 613 th. Euro. The Company has provisioned in the corresponding years a total amount of 564 th. Euro and as a result the difference of 49 th. Euro will impact the results of the current year 2017.

Also, the Company has received the Audit Command from the Tax Authorities for the corporate year 2012. It is noted that the Company has been audited for the issuance of the "Tax Compliance Report" by the "International Auditors Certified / Registered Auditors & Accountants S.A., according to par. 5, article 82 of the L. 2238/1994. The respective "Tax Compliance Report" has been issued by the aforementioned chartered auditors. The tax audit for 2012 was written off on 31.12.2018.

For the financial year of 2018, the tax auditing for issuing the "Tax Compliance Report", has already started and is being conducted by "BDO Certified Public Accountants S.A". The management team of the Company does not expect important tax liabilities to arise, other than those appearing to the financial statements.

25. Related party transactions

(Figures in thousand €)

The intra-company transactions of the Company on 31.12.2018 and 31.12.2017 can be analyzed as follows

	PURCHASING COMPANY
	Plaisio Computers	Plaisio Estate	Plaisio Computers	Plaisio Estate
INTRA-COMPANY SALES	S.A.	S.A.	JSC	JSC	Buldoza S.A.	Total
Plaisio Computers S.A.	-	6	4.482	0	181	4.669
Plaisio Estate S.A.	785	-	0	0	0	785
Plaisio Computers JSC	15	0	-	0	0	15
Plaisio Estate JSC	0	0	120	-	0	120
Buldoza S.A.	1	0	0	0	-	1
Total	801	6	4.602	0	181	5.590

Intra-company transactions 31.12.2018

Intra-company transactions 31.12.2017

	PURCHASING COMPANY
	Plaisio
INTRA-COMPANY SALES	Computers	Plaisio Estate	Plaisio	Plaisio Estate
	S.A.	S.A.	Computers JSC	JSC	Buldoza S.A.	Total
Plaisio Computers S.A.	-	6	5.196	0	164	5.366

Plaisio Estate S.A.	814	-	0	0	0	814
Plaisio Computers JSC	112	0	-	0	0	112
Plaisio Estate JSC	0	0	120	-	0	120
Buldoza S.A.	3	0	0	0	-	3
Total	928	6	5.316	0	164	6.414

___________________________________________________________________________

Intra-company receivables – liabilities 31.12.2018

COMPANY THAT HAS THE LIABILITY

COMPANY THAT HAS THE RECEIVABLE	Plaisio Computers S.A.	Plaisio Estate S.A.	Plaisio Computers JSC	Plaisio Estate JSC	Buldoza S.A.	Total
Plaisio Computers S.A.	-	0	409	0	68	477
Plaisio Estate S.A.	19	-	0	0	0	19
Plaisio Computers JSC	0	0	-	0	0	0
Plaisio Estate JSC	0	0	0	-	0	0
Buldoza S.A.	0	0	0	0	-	0
Total	19	0	409	0	68	495

Intra-company receivables – liabilities 31.12.2017

COMPANY THAT HAS THE LIABILITY

COMPANY THAT HAS THE RECEIVABLE	Plaisio Computers S.A.	Plaisio Estate S.A.	Plaisio Computers JSC	Plaisio Estate JSC	Buldoza S.A.	Total
Plaisio Computers S.A.	-	0	809	0	73	883
Plaisio Estate S.A.	15	-	0	0	0	15
Plaisio Computers JSC	0	0	-	0	0	0
Plaisio Estate JSC	0	0	0	-	0	0
Buldoza S.A.	0	0	0	0	-	0
Total	15	0	809	0	73	897

The transactions with the members of the Board of Directors and the Management from the beginning of the period are analyzed as follows:

TRANSACTIONS WITH MEMBERS OF THE BOARD OF DIRECTORS AND KEY MANAGERS 01.01.2018 - 31.12.2018 THE GROUP THE COMPANY Transactions with members of the Board of Directors and Key Managers 833 833

Claims to members of the Board of Directors and Key Managers 0 0

*These financial statements and notes to the financial statements have been translated to English from the original statutory notes that have been prepared in the Greek
language. In the event that differences exist between this translation and the original Greek language financial statements, the Greek language financial statements will prevail

over this document

102

833 833

TRANSACTIONS WITH MEMBERS OF THE BOARD OF DIRECTORS AND KEY

01.01.2017 - 31.12.2017

THE GROUP	THE COMPANY
665	665
0	0
665	665

___________________________________________________________________________

Key managers and the members of the Board of Directors are defined by IFRS 24. The transactions shown above include remuneration that consists of short-term benefits. In the current and the previous year there are no benefits after the service termination, other long-term benefits to the employees, benefits for early retirement and share based benefits.

26. Litigations

MANAGERS

The Group has contingent liabilities and assets in relation to banks, other guarantees and issues that arrive from its normal operation, from which no important additional charges are expected to arise.

There are no litigations or other forms of commitments for the fixed assets which expected to significantly affect the companies of the Group.

Tax Certificate

Since the 2011 financial year and on, all Greek Societe Anonyme and Limited Liability Companies that are required to prepare audited statutory annual financial statements must in addition obtain an "Annual Tax Certificate" as provided for by article 82 paragraph 5 of L. 2238/1994. This "Annual Tax Certificate" must be issued by the same statutory auditor or audit firm that issues the audit opinion on the statutory financial statements. Upon completion of the tax audit, the statutory auditor or audit firm must issue to the entity a "Tax Compliance Report" which will subsequently be submitted electronically to the Ministry of Finance, by the statutory auditor or audit firm. The Ministry of Finance, according to aforementioned law, has the lawful right to choose a sample of companies, at least 9%, for statutory tax audit by the tax authorities of the Ministry. This statutory audit must be completed in an 18-month period from the submission of the "Tax Compliance Report" in the Ministry of Finance.

Since the 2014 financial year and on, the "Tax Compliance Report" became prospective for the companies of which the annual financial statements are mandatory audited. The "Tax Compliance Report" may substitute, in some cases, the audit from the Tax Authorities. However, the Tax Authorities retain the right to audit in later dates.

The un-audited tax periods for the companies of the Group on 31.12.2018 are presented as follows:

Plaisio Computers S.A.

The Company has received the "Tax Compliance Report" without any provision up to the corporate year ended 31.12.2017 and it has been audited by the Tax Authorities up to the corporate year 31.12.2010. The statutory tax audit for the years 2009 and 2010 for any kind of tax liabilities was completed in 2017 and the results are presented in the Note 24. Also, the Company has received the Audit Order from the Tax Authorities for the corporate year 2012. It is noted that the Company has been audited for the issuance of the "Tax Compliance Report" by the "International Auditors Certified /

Registered Auditors & Accountants S.A., according to par. 5, article 82 of the L. 2238/1994. The respective "Tax Compliance Report" has been issued by the aforementioned chartered auditors. On 31.12.2018, the tax year of 2012 was written off.

___________________________________________________________________________

Plaisio Estate S.A.

The Company has received the "Tax Compliance Report" up to the corporate year ended on 31.12.2017 and it has been audited by the Tax Authorities up to the corporate year ended on 31.12.2009. The corporate year 2010 has not been audited by the Tax Authorities, however, the right of the Public Sector to audit the corporate year 2010 has expired. For the financial year of 2018, the tax audit for issuing the "Tax Compliance Report", has already started and is conducted by "BDO Certified Public Accountants S.A". The management team of the Company does not expect important tax liabilities to arise, other than those appearing to the financial statements.

Plesio Computers JSC

The Company has not been audited since the commencement of its operations in 2004.

Plesio Estate JSC

The Company has not been audited since the commencement of its operations in 2004.

27. Obligations

(Figures in thousand €)

Capital Liabilities

There are no capital expenses that have been taken up but have not been executed on 31.12.2018.

Letters of Guarantee

The parent Company has issued letters of guarantee as security of good contract execution with customers, etc. which amount to 2.017 th. € on 31st December 2018 (31 December 2017: 1.679 th. €). Also, the Company has letter of credits for imports of products which amount to 1.333 th. € (31 December 2017: 1.483 th. €).

Operating Leasing Liabilities

The Group leases non-current assets, mainly, buildings and means of transportation via leasehold contracts. The future payables that stem from these leases, taking into consideration the yearly adjustments, are presented below:

	THE GROUP			THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Up to 12 months	4.913	4.836	4.709	4.632
From 13-60 months	17.840	18.017	17.122	17.239
Over 60 months	25.592	20.240	23.133	17.616
Total	48.346	43.093	44.944	39.486

The effect of IFRS 16 "Lease" is presented in note 2.2 of the financial report.

28. Profit per Share

Basic Earnings per share are calculated by dividing the net profit that is distributed to the shareholders of the parent company, to the weighted average number of shares during the period, without taking into consideration the weighted average of treasury shares.

___________________________________________________________________________

On 23rd May 2017, during the annual General Assembly of the Shareholders' of the Company, decided amongst others the decrease of the share capital of the Company by the amount of 1.430,55 Euro with decrease in the total number of shares from 22.080.000 to 22.075.665 common shares due to deletion of 4.335 treasury shares, according to article 16 of c.l. 2190/1920.

The aforementioned 4.335 treasury shares have been bought in the period from 18.06.2015 to 23.11.2016 in execution of the decision taken on the Extraordinary General Assembly on 16.12.2014. As a result, the share capital of the Company ended to 7.285 th. Euro and divided into 22.075.665 common shares of nominal value thirty three eurocents (0,33) each. The aforementioned treasury shares stopped trading in the Athens Stock Exchange on 14.06.2017.

The company has no potential titles convertible to common shares, so the diluted earnings per share are equal to the basic earnings per share.

PROFIT PER SHARE	THE GROUP			THE COMPANY
	31.12.2018	31.12.2017	31.12.2018	31.12.2017
Profit/(Loss) attributable to equity holders of the Company (in th. €)	3.856	4.900	3.802	4.926
Weighted Avg. No of shares (in th. €)	22.076	22.076	22.076	22.076
Basic Earnings per share (in €)	0,1747	0,2220	0,1722	0,2232

Dividend per Share

(Figures in thousand €)

On March 21st 2019, the Board of Directors of the Company, decided to propose to the General Assembly of the Shareholders, the distribution of dividend of 7 eurocents per share (gross amount) for the corporate year 2018 or of total amount of 1.545 th. Euro. According to article 65 of c.l. 4603/2018 (Government Gazzette: A' 64/14.03.2019) there is a 10% with-held tax to the incomes distributed from companies as dividends.

On 30th of March 2018, the Board of Directors of the Company proposed on the annual General Assembly of the Shareholders the distribution of dividend of 7 eurocents per share (gross amount) or of total amount of 1.545 th. Euro. According to article 112 par. 8 of c.l. 4387/2016 (Government Gazzette: A' 85/12.05.2016) in combination with article 44, par. 4 of c.l. 4389/2016 (Government Gazzette: A' 94/27.05.2016) there was a 15% with-held tax to the incomes distributed from companies as dividends.

30. Number of personnel

The Group's and the Company's employed personnel on December 31st 2018 was 1.423 and 1.351 employees respectively. Accordingly, on December 31st 2017 the Group's and the Company's employed personnel was 1.365 and 1.292 employees respectively.

___________________________________________________________________________

31. Post balance sheet events

There are no significant events that took place from the ending of this year and until the publication of the financial statements, that have an important consequence on the financial results of the Group and the Company, despite the below:

Magoula, March 21st 2019

The Chairman of the BoD & CEO The Vice President & CEO The Chief Financial Officer

George Gerardos Konstantinos Gerardos Aikaterini Vasilaki ΑΙ 597688 AM 082744 AB 501431

AI Terminal

Plaisio Computers S.A.

2688_10-k_2019-03-22_d97b488b-5f49-4ff5-ac34-36927010b887.pdf

CHAPTER 1: STATEMENT OF THE MEMBERS OF THE BOARD

CHAPTER 2: REPORT OF THE BOARD OF DIRECTORS FOR THE PERIOD 2018

INTRODUCTION

UNIT A: IMPORTANT EVENTS DURING THE FISCAL YEAR OF 2018

1. Replacement of member of board of directors and president of audit committee

2. Renewal of the appointment of market maker

3. Presentation to the Hellenic Fund & Asset Management Association

4. Renewal of the appointment of market maker

5. Annual Ordinary General Assembly

6. Participation in Projects or Procurements of the Public Sector

7. Announcement for the completion of the partial tax audit

8. Deadline for collection of share dividend 2012

UNIT B: MAIN RISKS AND UNCERTAINTIES

Macroeconomic Situation in Greece – Capital Controls

1. Interest Risk

2. Credit Risk

3. Inventory-Suppliers Risk

4. Foreign Exchange Risk

5. Turnover Seasonality

6. Intensity of Competition

7. Liquidity Risk

UNIT C: IMPORTANT TRANSACTIONS WITH RELATED PARTIES

UNIT D: ANALYTICAL INFORMATION, ACCORDING TO ARTICLE 4 PAR. 7 OF THE LAW 3556/2007, AS IT IS VALID TODAY AND RELATIVE ANALYTICAL INFORMATION

1. Structure of the share capital of the Company

2. Restrictions to the transfer of shares of the Company

3. Important direct or indirect participations

4. Shares that offer special voting rights

5. Limitations in voting rights

6. Agreements among shareholders of the Company

7. Rules of appointment and replacement of the Board of Directors and of amendment of the Memorandum which differ from the c.l. 2190/1920 (and c.l. 4548/2018, since 01.01.2019)

9. Agreements which are put in force, amended or terminated in the event of a change in the control of the Company following a public offer

10. Significant agreements with members of the Board of Directors or its employees

ANALYTICAL INFORMATION, ACCORDING TO ARTICLE 4 PAR. 8 OF THE LAW 3556/2007

UNIT E: INFORMATION FOR LABOR AND ENVIRONMENTAL ISSUES

UNIT F: DEVELOPMENT AND PERFORMANCE OF THE GROUP - FINANCIAL INDICES AND INDICES OF PERFORMANCE

Development and Performance of the Group:

Financial and Performance Indicators of the Group:

(Consolidated Figures)

Turnover

Gross Profit

Operational Expenses - Financial Income and Expenses and Earnings from Associates

Earnings before Tax – Earnings after Tax

UNIT G: ALTERNATIVE PERFORMANCE MEASURES ("APM")

UNIT H: ASSESSMENT OF THE EVOLUTION OF THE ACTIVITIES OF THE GROUP DURING 2019

UNIT I: OTHER INFORMATION-TREASURY SHARES-EVENTS THAT TOOK PLACE AFTER THE END OF THE PERIOD

UNIT J: NON FINANCIAL INFORMATION (BASED ON 4403/2016 & ARTICLE 151 OF L. 4548/2018)

1. SHORT DESCRIPTION OF THE BUSINESS MODEL

MULTI-CHANNEL

MULTI-PRODUCT

business model.

MULTI-CUSTOMER

PRODUCTS AND SERVICES

PERSONNEL

2. DESCRIPTION OF THE APPLIED BUSINESS POLICIES

2.1. Group Policies regarding the Environment

Energy Management

Solid Waste Management

2.2. Policy of the Company regarding the Society

2.3. Policy of the Company regarding the Working or Labour Issues

General Information

Health and Safety in the Work Environment

Benefits to the employees

Training and development of the employees

2.4. Policy of the Company regarding the respect of the human rights

Diversity and Equal Opportunities

2.5. Policy of the Company regarding the fight against corruption

2.6. Policy of the Company regarding bribery

3. RESULTS OF THE APPLIED POLICIES OF THE COMPANY

4. RISKS

5. NON FINANCIAL INDICATORS - RATIOS

UNIT ΙΑ: STATEMENT OF CORPORATE GOVERNANCE

TABLE OF CONTENTS

INTRODUCTION

1. Code of Corporate Governance

2. Board of Directors

3. General Assembly of the Shareholders

4. Internal Auditing system and risk management