Digitree Group S.A.

Legal Proceedings Report • Jan 19, 2018

Subject: Creation of provisions by Company and its subsidiary

Current Report no. 01/2018

The Management Board of Pfleiderer Group S.A. (the "Company") herebyinforms that Company and its subsidiary Pfleiderer Wieruszów Sp. z o.o.created today the provisions amounting in total to PLN 38,682,078.33(the "Provisions"). The Provisions are effective as of 31 December 2017.

The Provisions have been created due to Decision of the President of theOffice of Competition and Consumer Protection dated 28 December 2017(the "Decision") imposing a fine of PLN 15,957,741.83 on the Company andof PLN 19,804,706.50 on Pfleiderer Wieruszów sp. z o.o. The Decision isnot legally final.

The Provisions are created for the costs of appeal against the Decisionand for the payment of possible fines in case if the Company andPfleiderer Wieruszów sp. z o.o. will be obliged to pay the fines imposedby the Decision.

The Management Board of the Company stresses that during an internalinvestigation, the Company did not identify any infringements ofcompetition law that would justify the Decision's being issued inrelation to the Company and Pfleiderer Wieruszów sp. z o.o.Consequently, as announced in the current report No. 57/2017, theCompany and Pfleiderer Wieruszów sp. z o.o. plan to file the appealsagainst the Decision with the Court of Competition and ConsumerProtection.

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The report was prepared on the basis of Article 17 section 1 of theRegulation (EU) No 596/2014 of the European Parliament and of theCouncil of 16 April 2014 on market abuse (market abuse regulation) andrepealing Directive 2003/6/EC of the European Parliament and of theCouncil and Commission Directives 2003/124/EC, 2003/125/EC and2004/72/EC (Dz. U. UE L 173/1 on 12 July 2014).

2018-01-18