AD Plastik d.d.

Regulatory Filings • Mar 8, 2022

Disclosure of other information

Security: ADPL / ISIN: HRADPLRA0006 LEI: 549300NFX18SRZHNT751 Home Member State: Croatia Quotation: Zagreb Stock Exchange, Prime Market

Solin, March 8, 2022

Response on the ZSE inquiry

Referring to the information on the launched Volatility-Auction over ADPL share due to the price drop, we hereby inform you that as the issuer we are not aware of any new circumstances or facts that affect or could affect the price of our share and which do not arise from publicly available information.

It is evident that the price movement is affected by the Russian-Ukrainian crisis, given that AD Plastik Group has two factories in Russia in which it generates about 25 percent of its revenue. These factories produce products exclusively for the Russian market and the current circumstances complicate their business operations. The negative effects are noticeable primarily through a significant weakening of the Russian ruble exchange rate against the euro, disruptions in the supply chain and the announcements of a temporary shutdown of some of the main customers in the Russian market. Cash flows from Russia to the parent company are not a significant business item, and the liquidity of the parent company, including available unused credit lines, is more than satisfactory.

The current situation carries a number of uncertainties and unanswered questions, so it is very difficult to predict the further course and final impact on economic activities and business operations. While in Russia the business is adapting to the new circumstances, in the European market it is running smoothly and in accordance with business plans, as well as commercial activities related to sealing new deals. Despite the circumstances, the stability of AD Plastik Group's business operations is not endangered, development of the situation is monitored, various action scenarios have been developed with the primary goal of minimizing risks and consequences.

Management Board of AD Plastik d.d.