Fondul Proprietatea — Capital/Financing Update 2016

Jul 4, 2016

To: Bucharest Stock Exchange

Financial Supervisory Authority London Stock Exchange

Current report according to Article 99 of the Code of the Bucharest Stock Exchange, Market Operator, Title II, Issuers and Financial Instruments.

Events to be reported:

Execution of a credit facility with BRD - GROUPE SOCIETE GENERALE SA

Franklin Templeton Investment Management Ltd. United Kingdom Bucharest Branch, in its capacity as Investment Manager of Fondul Proprietatea SA ("the Fund"), would like to inform shareholders and investors that the Fund has contracted today a revolving credit facility for a maximum committed amount of RON 1 billion from BRD - GROUPE SOCIETE GENERALE SA.

The purpose of this credit facility is for general corporate use, including share buybacks, but excluding investments, and is meant to replace the previous financing arrangement concluded by the Fund with Citibank Europe Plc.

The availability period of the facility is for one year with the possibility to extend it with the same period.

Franklin Templeton Investment Management Ltd. United Kingdom Bucharest Branch, in its capacity of Investment Manager of FONDUL PROPRIETATEA S.A.

Adrian Cighi Legal Representative

Report date: 4 July 2016

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

Registered office: 78-80 Buzesti St., 7 th floor, district 1, Bucharest, postal code 011017

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

Sole Registration Code with the Trade Register Office: 18253260

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

Subscribed share capital: RON 9,320,973,180.85

Paid-up share capital: RON 9,011,732,683.35

Number of shares in issue: 10,965,850,801

Number of paid shares: 10,602,038,451

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

GDRs on London Stock Exchange

Exchange

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