Keo PLC — Management Reports 2016

May 17, 2016

KEO: Interim Management Statement

KEO plc presents the first Interim Management Statement of the Company and its subsidiaries for the year 2016. The Interim Management Statement has been prepared in accordance with the provisions of the Transparency Requirements (Securities Admitted to Trading on a Requlated Market) Law of 2007 (N.190(I)/2007) and is showed below:

MAIN ACTIVITIES

The main activities of the Group, which have not been changed since the previous year, include the vinification of vine products, the production of beer and juices and the bottling of natural mineral water, which are distributed in the local market and overseas.

In addition, the activities of the Group include the import and distribution in the local market of various products like beer, wine and spirits, juices, water and other canned food.

TURNOVER

The Group's net turnover during the first 3 months of the year has increased by 11% in comparison to the same period in the previous year. This increase is mainly due to the increase of the local consumption and the increase in tourist arrivals during the first 3 months of the year in comparison to the same period in the previous year.

PROFITABILITY

The Group's loss before taxation during the first 3 months of the year amounted to $\epsilon$ 1.035.159 in comparison to a loss of $€1.220.626$ during the same period in the previous year. The decrease in the loss before taxation is mainly due to the increase in turnover.

MAJOR RISKS AND UNCERTAINTIES

The major risks and uncertainties that the Group faces remain unchanged from those described in the Company's Annual Report for the year 2015.

SIGNIFICANT EVENTS AND TRANSACTIONS

There have been no other significant events and transactions, other than the normal operating activities of the Group, which had an impact on the financial position of the Company and its subsidiaries.

18 May 2016