Kruk S.A. — Capital/Financing Update 2016

Jun 22, 2016

Current Report No. 59/2016

Date: June 22nd 2016

Subject: Information on the value of agreements executed between theKRUK Group and the PKO BP Group

Legal basis: Art. 56.1.2 of the Public Offering Act - Current andperiodic information

Text of the report:

The Management Board of KRUK S.A. (Company) announces that on June 22nd2016 the Company's subsidiary PROKURA Niestandaryzowany SekurytyzacyjnyFundusz Inwestycyjny Zamknięty (PROKURA NS FIZ, Borrower) signed twodebt purchase agreements with Powszechna Kasa Oszczędności Bank PolskiS.A. of Warsaw (Bank), as a result of which the aggregate estimatedvalue of agreements executed between the KRUK Group and the PKO BP Groupbetween December 16th 2015 and the date of this report reached PLN84.7m, exceeding 10% of the KRUK Group's revenue for the last fourfinancial quarters, which satisfies the materiality criterion.

In this period, the highest value agreement was the non-revolvingworking capital facility agreement signed between the Bank, PROKURA NSFIZ and the Company (Credit Facility Agreement), conclusion of which wasreported by the Company in Current Report No. 58/2016 of June 20th 2016.

Under the Credit Facility Agreement, the Bank advanced to PROKURA NS FIZa credit facility of up to PLN 35.3m (Credit Facility) from June 20th2016 to December 19th 2020.

The Credit Facility is to be applied towards financing/refinancing of upto 80% of the purchase price/instalment of the purchase price of debtportfolios purchased from the Bank, and may be disbursed in tranches.

The Credit Facility bears interest at a variable annual rate set onmarket terms, as 1M WIBOR plus a margin. The Bank's remuneration was setalso on market terms.

The Bank's receivables under the Credit Facility Agreement are securedby: the Company's civil-law surety with respect to the Borrower'sliabilities under the Credit Facility Agreement (see: Current Report No.58/2016 of June 20th 2016), a power of attorney over the Borrower's bankaccount and a financial pledge over that account, powers of attorneyover the Company's bank accounts operated by the Bank, the Borrower'sand the Company's declarations of submission to enforcement of theBank's claims under the Credit Facility Agreement, pursuant to Art.777.1.5 of the Code of Civil Procedure of November 17th 1964, with theCompany acting as a civil-law surety. The Credit Facility Agreement alsoprovides for a registered pledge under Polish law over the portfoliosrefinanced/financed by the Credit Facility or other portfolios - asadditional security.

The Agreement does not provide for any contractual penalties. The otherterms and conditions of the Agreement did not differ from those commonlyused in similar agreements.

The materiality criterion is met because the total value of theagreements exceeds 10% of the KRUK Group's revenue for the previous fourfinancial quarters.

Detailed legal basis: Par. 5.1.3 of the Regulation of the Minister ofFinance of February 19th 2009 on current and periodic information [...]