Financial statements of AB S.A. for the financial year 2013/2014

Financial statements of AB S.A. for the financial year 2013/2014 covering the period 01-07-2013 to 30-06-2014 AB S.A. BANK ACCOUNT: Kredyt Bank S.A I/o Wrocław, PL68 1500 1155 1211 5003 2339 0000 (PLN), Katowice: tel. (+48 032) 355 90 20, fax (+48 032) 355 45 37 Warszawa: tel. (+48 022) 814 31 43, fax (+48 022) 814 23 46 Page 1

TABLE OF CONTENTS: I) Introduction to the Financial Statements... 5 1. Company, Legal Form and Scope of Business... 5 2. Presentation and Transformation of the Financial Statements... 6 3. Accounting Principles (Policies)... 7 3.1. Methods of Asset and Liability Measurement and Financial Result Measurement... 7 3.2. Mean PLN/EUR Exchange Rates in the Period under Report... 12 3.3. Selected Financial Data Translated Into Euro... 12 3.4. Material Differences Between the Financial Data of the Presented Financial Statements and the Same Data Presented in accordance with the International Accounting Standards... 13 II) Balance Sheet as at 30 June 2014... 14 III) Profit and Loss Account for the Period 1 July 2013 to 30 June 2014... 16 IV) Statement of Changes in Equity... 18 V) Cash Flow Statement... 20 VI) Additional Notes and Explanations... 22 1. Explanatory Notes to the Balance Sheet... 22 1.1. Note 1a Intangible Assets... 22 1.2. Note 1b Changes in the Value of Intangible Assets (by Type)... 23 1.3. Note 1c Intangible Assets (Ownership Structure)... 24 1.4. Note 2a Tangible Fixed Assets... 24 1.5. Note 2b Changes in Fixed Assets (by Type)... 25 1.6. Note 2c Balance Sheet Fixed Assets (Ownership Structure)... 26 1.7. Note 3a Changes in Property (by Type)... 26 1.8. Note 3b Long-Term Financial Assets... 26 1.9. Note 3c Changes in Long-Term Financial Assets (by Type)... 27 1.10. Note 3d Shares in Subsidiaries... 28 1.11. Note 3e Shares in Subsidiaries... 29 1.12. Note 3f Securities, Interests and Other Long-Term Financial Assets... 30 1.13. Note 3g Securities, Interests and Other Long-Term Financial Assets (by Tradability) 30 1.14. Note 4a Changes in Deferred Income Tax Assets... 30 1.15. Note 5a Inventories... 31 1.16. Note 6a Short-term Receivables... 32 1.17. Note 6b Short-term Receivables Related Entities... 32 1.18. Note 6c Changes in Revaluation Charges of Short-Term Receivables... 32 1.19. Note 6d Gross Short-Term Receivables (Currency Structure)... 33 1.20. Note 6e Trade Receivables (Gross) with Remaining Maturity as at the Balance Sheet Date... 33 1.21. Note 6f Overdue Trade Receivables (Gross) by Overdue Periods... 34 1.22. Note 7a Disputed and Overdue Receivables... 34 1.23. Note 8a Short-term Financial Assets... 34 1.24. Note 8b Granted Short-Term Loans (Currency Structure)... 35 1.25. Note 8c Cash and Cash Equivalents (Currency Structure)... 35 1.26. Note 9a Short-Term Prepayments... 35 Page 2

1.27. Note 10a Revaluation Charges... 36 1.28. Note 11a Share Capital (Structure)... 36 1.29. Note 13a Reserve Capital... 37 1.30. Note 14a Revaluation Reserve... 37 1.31. Note 15a Other Reserve Funds (by Intended Application)... 37 1.32. Note 16a Changes in Deferred Income Tax Provisions... 37 1.33. Note 16b Changes in Short-Term Provision for Pensions and Similar Benefits (by title) 38 1.34. Note 16c Changes in Other Short-Term Provisions (by Title)... 39 1.35. Note 17a Short-Term Liabilities... 39 1.36. Note 17b Short-Term Liabilities (Currency Structure)... 40 1.37. Note 17c Short-Term Liabilities under Loans... 40 1.38. Note 18a Other Prepayments and Accruals... 41 1.39. Note 19a Book Value per Share... 41 2. Explanatory Notes to the Profit and Loss Account... 41 2.1. Note 20a Net Revenues Sale of Products (by Types of Activity)... 42 2.2. Note 20b Net revenues Sale of Products (by Territory)... 42 2.3. Note 21a Net Revenues Sale of Goods and Materials (by Types of Activity)... 42 2.4. Note 21b Net Revenues Sale of Products, Goods and Materials (by Territory)... 43 2.5 Note 21c Reporting by Segments... 43 2.5. Note 22a Costs by Type... 43 2.6. Note 23a Other Operating Revenues... 44 2.7. Note 24a Other Operating Expenses... 44 2.8. Note 25a Income Dividends and Share in Profits... 45 2.9. Note 25b Interest Income... 45 2.10. Note 25c Other Financial Income... 45 2.11. Note 26a Interest Expense... 46 2.12. Note 26b Other Financial Expense... 46 2.13. Note 27a Current Income Tax... 47 2.14. Note 27b Deferred Income Tax Stated in the Profit and Loss Account... 48 2.15. Note 28a Profit per Share... 48 2.16. Note 28b Profit Distribution... 48 3. Explanatory Notes to the Cash Flow Statement... 48 4. Information on Financial Instruments... 49 4.1. Classification of Financial Instruments... 49 4.2. Details of Financial Instruments by Category... 50 Hedging instruments EUR... 51 Hedging instruments USD... 52 5. Details of Off-Balance Sheet Items, Including Contingent Liabilities... 57 6. Liabilities Towards the State Budget or Local Budget for Acquisition of Title to Buildings and Structures... 57 7. Information on Revenues, Expenses and Results of Discontinued Activities in the Financial Year or Activities to Be Discontinued in the Following Year... 57 8. Manufacture Costs of Fixed Assets under Construction, Fixed Assets for Internal Needs... 57 Page 3

9. Investment Outlays... 58 10. Transactions with Related Entities Concerning Transfer of Rights and Liabilities... 58 11. Information on Non-Consolidated Joint Ventures... 58 12. Information on Average Headcount by Professional Group... 59 13. Total Amount of Remuneration and Bonus (in Cash and in Kind), Paid or Payable, Separately for Persons Managing and Supervising the Issuer in the Issuer s Business.... 59 14. Information on Remuneration for the Statutory Auditor or an Entity Entitled to Audit Financial Statements, Paid or Payable for the Financial Year.... 59 15. Information on Outstanding Advances, Loans, Guarantees, Sureties and other Contracts in Favour of the Company by Subsidiary, Co-Controlled and Associated Entities... 60 16. Material Events Related to Previous Years Disclosed in the Financial Statements for the Current Period... 60 17. Information on Material Events Occurring After the Balance Sheet Date and not Disclosed in the Financial Statements... 60 18. Relations Between the Company and its Legal Predecessor and Information on the method and extent of acquisition of Assets and Liabilities... 60 19. Adjustment of the Financial Statements and Comparable Financial Data for Inflation.. 60 20. Differences between Previously Published Financial Statements and the Data Disclosed in These Financial Statements and Comparable Financial Data... 60 21. Changes to the Applied Accounting Rules (Policies) and Presentation Method of the Financial Statements in Relation to the Preceding Financial Year(s), their Reasons, Titles and Impact of their Financial Effects on the Economic and Financial Condition, Liquidity, Financial Results and Profitability.... 61 22. Adjustment of Manifest Errors... 61 Page 4

I) INTRODUCTION TO THE FINANCIAL STATEMENTS 1. COMPANY, LEGAL FORM AND SCOPE OF BUSINESS Details of the entity: - Business name: AB S.A. - Address of the registered office: 51-416 Wrocław, ul. Kościerzyńska 32 - Statistical number: 931908977 - Tax identification number (NIP): 895-16-28-481 Scope of business (as per the Company s By-Laws): - wholesale and retail sale of computers, telecommunications and multimedia equipment on its own account, on a commission basis, as an agency or commercial agent, - import and export of computers, telecommunications, multimedia and electronic equipment, - development of software products and trading in such products, - installation of IT networks, - services with respect to the installation and repair of computer, telecommunications, multimedia and electronic equipment, - Internet services, - maintenance services, - IT consulting, - implementation of computer systems, - services related to promotion, advertising and marketing, - activities related to training, publication and printing services, - operation of bonded warehouses, - forwarding and transportation services, - rental of premises. Registration authority: District Court for Wrocław-Fabryczna, 6th Commercial Division of the National Court Register. The Company was entered into the Register on 23.10.2001 under the number KRS 0000053834. As at 30.06.2014, the Company s Management Board comprised of the following persons: Page 5

- Andrzej Przybyło - President of the Management Board, - Zbigniew Mądry - Member of the Management Board - Grzegorz Ochędzan - Member of the Management Board - Krzysztof Kucharski - Member of the Management Board As at 30.06.2014, the Company s Supervisory Board comprised of the following persons: - Iwona Przybyło - Chairwoman of the Supervisory Board - Katarzyna Jażdrzyk - Member of the Supervisory Board - Andrzej Bator - Member of the Supervisory Board - Radosław Kiełbasiński - Member of the Supervisory Board - Jacek Łapiński - Member of the Supervisory Board - Jan Łapiński - Member of the Supervisory Board Duration of the Company: unlimited. 2. PRESENTATION AND TRANSFORMATION OF THE FINANCIAL STATEMENTS The non-consolidated Financial Statements present financial data for the reporting period 1 July 2013 to 30 June 2014 and comparable data covering the period 1 July 2012 to 30 June 2013. AB S.A. does not comprise of any internal organisational sub-units that would prepare their individual financial statements. The Company is the parent company for Alsen Sp. z o.o. in Chorzów, Alsen Marketing Sp. z o.o. in Chorzów, B2B IT Sp. z o.o. in Wrocław, Rekman Sp. z o.o. in Wrocław, Optimus Sp. z o.o. in Wrocław and AT Computers Holding a.s. with its registered office in Ostrava, Czech Republic, which holds 100% shares in the following entities: - AT Computers a.s. with its registered office in Ostrava, Czech Republic, - AT Compus s.r.o. with its registered office in Ostrava, Czech Republic, - AT Computer s.r.o. with its registered office in Žilina, Slovakia, - Comfor Stores a.s. with its registered office in Brno, Czech Republic. - icomfor s.r.o with its registered office in Brno, Czech Republic. In the period under report, AB S.A. was not party to any mergers. The Financial Statements have not been transformed and no adjustments have been introduced as a result of the auditor's reservations. Page 6

The Financial Statements have been prepared with the assumption of going concern in the foreseeable future. There are no circumstances that would pose a threat to continued operations. The Financial Statements include information on all material contracts insofar as is necessary to assess the Company s economic and financial condition and performance. 3. ACCOUNTING PRINCIPLES (POLICIES) The accounting principles applied in the preparation of the financial statements as at 30 June 2014 are compliant with the Accounting Act of 29 September 1994 and the resultant additional regulations as well as the Regulation of the Minister of Finance of 18.10.2005 on the scope of financial information disclosed in financial statements and consolidated financial statements, required in prospectuses published by issuers registered in the Republic of Poland and subject to Polish accounting rules. Account entries are made in accordance with the historical cost method. The Company did not make any adjustments that would reflect the impact of inflation on Balance Sheet and Profit and Loss items. The Company prepares its Profit and Loss Account by function. The Cash Flow Statement is prepared using the indirect method. 3.1. Methods of Asset and Liability Measurement and Financial Result Measurement Intangible Assets Intangible Assets cover computer software and Goodwill resulting an in-kind contribution of a part of a business, and are amortised over 2 to 5 years. They are valued at purchase prices or manufacturing costs reduced by accumulated amortisation and are annually tested for impairment. Intangible Assets are amortised using the linear method. Tangible Fixed Assets Tangible Fixed Assets are valued at purchase price or at the costs incurred in the course of their manufacturing, extension or modernisation. The initial value of Tangible Fixed Assets is reduced to net value by accumulated depreciation. Tangible Fixed Assets are depreciated using the linear method. The annual depreciation rates for the individual groups of assets are as follows: Buildings and structures 2.5% - 4.0% Plant and equipment 7.0% - 60.0% Page 7

Motor vehicles 17.0% - 20.0% Other Fixed Assets 14.0% - 20.0% Tangible Fixed Assets with the original value under PLN 2 500 are expensed off when taken over for use. At least on each balance sheet date, the entity determines whether impairment write-downs are required. Fixed Assets under construction The value of Fixed Assets under construction is disclosed at the value of outlays incurred for purchase or manufacture. The value of Fixed Assets under construction is adjusted for FX differences and interest on the obligations incurred to finance the purchase or construction of Fixed Assets for the investment period. When Fixed Assets under construction are commissioned, FX losses (gains) and interest on the obligations are charged to financial expenses (income). Inventories Inventories are valued at the lower of: purchase price or net realisable price. The purchase price covers all costs incurred to deliver the inventories to the Company warehouse. Outgoing stocks are valued at purchase price using the weighted average method. The net sale price is the realisable price as at the balance sheet date net of VAT. Receivables, payables and loans Receivables and payables (with the exception of loans) in PLN are disclosed in the payable amounts. Foreign currency denominated receivables and payables are recognised at the time they arise at the mean exchange rate published by the President of the NBP for the preceding day for the relevant foreign currency. Loan receivables and payables are recognised using the amortised cost method. FX gains or losses originating on the payment date due to differences between the exchange rate as at the payment date and the exchange rate at the time when a receivable or payable was created, are recognised as, respectively, financial income or expenses. Receivables which remain unsettled by the end of the reporting period are translated at the mean exchange rate for the relevant currency published by the National Bank of Poland on that date. Payables which remain unsettled by the end of the reporting period are translated at the mean exchange rate for the relevant currency published by the National Bank of Poland on that date. Unrealised FX losses concerning settlements are recognised as financial expenses while unrealised FX gains are recognised as financial income. Page 8

Receivables are subject to revaluation write-downs which are applied to all receivables whose collection is unlikely. Cash Domestic cash on hand and in bank accounts is recognised at nominal value. Foreign currency cash is recognised at nominal value translated into PLN. As at the end of each reporting period, cash in foreign currencies is translated at the mean FX rate of the National Bank of Poland prevailing at the balance sheet date. FX gains and losses resulting the translation of foreign currency cash into PLN as at the end of the reporting period are recognised as financial income or expenses respectively. Prepayments Prepayments are recognised in the amount of costs payable in the future reporting periods. Such costs are recognised in proportion to the time elapsed and the recognition method depends on the nature of the costs. Prepayments are recognised at nominal value. Deferred income tax and deferred income tax provision In connection with temporary differences between the book value of assets and liabilities and their tax value deductible in the future, the Company establishes a deferred income tax provision and asset. The deferred income tax asset is established in an amount that is expected to be deducted income tax in the future in conjunction with negative temporary differences that will lead to a decrease in the income tax base, estimated in accordance with the prudence principle. The deferred income tax asset is reduced by the deferred income tax provision, in compliance with the Accounting Act. The deferred income tax provision is established in an amount of the income tax payable in the future in connection with the existence of positive temporary differences (increasing the tax base). Equity Share capital is recognised at nominal value. As at the balance sheet date, the share capital amounts to PLN 16 187 644 and is composed of 16 187 644 shares with nominal value of PLN 1.00 each. Reserve capital is recognised as the surplus of the share sale price over the nominal value of shares and at the nominal value of retained profit. Page 9

Accruals Accruals are recognised as costs that have not been incurred but that are attributable to a reporting period. They are recognised at nominal value. Deferred income Deferred income is recognised at nominal value. It pertains to specific payments received contracting parties for services that will be rendered by the entity in the next financial year. Special funds Special funds include Company Social Benefits Fund, established in compliance with the Act on Company Social Benefits Funds. Balance sheet recognition and valuation of financial instruments All financial assets, including investments in financial instruments, are classified into one of the following four categories on the purchase date: - held for trading, - held to maturity, - loans granted and company receivables, - available for sale. Financial assets held for trading include financial assets that have been purchased or developed in order to obtain gains as a result of short-term (up to three months) price fluctuations, or financial assets which, irrespective of the reason for which they way purchased, constitute an asset group that was recently used to obtain gains as a result of price fluctuations. Financial assets held to maturity are financial assets with defined or definable maturity dates that the Company intends and is able to hold to maturity, with the exception of loans granted and company receivables. All loans and receivables that meet the definition of financial instruments provided in art. 3.1. 23 of the Accounting Act, generated as a result of provision of cash, goods or services to counterparties, that the Company did not classify as available for sale in short term, are classified as loans and company receivables. Financial assets available for sale include all financial assets other than: loans granted and company receivables, financial assets held to maturity and financial assets held for trading. Assets available for sale include in particular shares in other entities that are not subsidiary entities that the Company does not intend to sell in short term. Liabilities are classified to one of the following two categories: derivative instruments with fair value under zero and obligations to deliver borrowed financial instruments in case of short sale which are classified as financial liabilities available for trading; all other financial liabilities are classified as other financial liabilities. Page 10

As at the contract date, financial assets are recognised at purchase cost which is the fair value of incurred expenses or of other delivered assets, while financial liabilities are recognised at fair value of the obtained amount or value of the acquired assets. Assets held to maturity, loans granted and company receivables as well as other financial liabilities not classified by the Company as available for trading, are valued at the amortised cost at the effective interest rate. Short-term (trade) receivables and payables, for which the discount effect is not material, are valued at the amount receivable/payable. For short-term receivables, impairment is considered, which means that the amount of receivables is adjusted to take into account the probability of payment by applying revaluation write-downs. Financial assets and liabilities held for trading and financial assets available for sale are recognised at fair value. Changes in the fair value of financial instruments held for trading which are not part of hedging positions are recognised as financial income or expenses in the Profit and Loss Account as they occur. With respect to financial assets available for sale, changes to the fair value are recognised in the Profit and Loss Account as financial income (expenses). As of 1 July 2011, the Company started to use hedging accounting, in compliance with the applicable Polish regulations. Detailed information is provided in Note 4.2.1. Revenues and expenses The Company recognises as income and profit those economic benefits that occur during the reporting period, with a reliably determined value, which manifest themselves as increased assets or reduced liabilities that will result in an increase of equity or reduction of equity shortage by other means than by additional contributions of shareholders. The Company recognises as costs and losses a probable reduction of economic benefits in the reporting period, with a reliably determined value, which manifests itself as reduced assets or increased liabilities and provisions that will result in a decrease of equity or an increase of shortage of equity by other means than by withdrawal of funds by shareholders. Revenues sales of goods result sale transactions subject to discounts and rebates. Costs of goods sold include the purchase price, subject to discounts and rebates. Overheads include operating costs of the Company, in particular: costs of management and costs of departments operating for the Company. Other operating revenues and costs include revenues and costs not related directly to the business of the Company, primarily the result on the disposal of tangible fixed assets and intangible assets, donations, established provisions, revaluation effects of non-financial assets. Financial income and expenses cover primarily interest attributable to the period, gains and losses on disposal of investments and FX differences. In compliance with memorandum accounting, revenues and expenses concerning a given period are recognised in the Profit and Loss Account of the reporting period, irrespective of the time they are collected or paid. Page 11

3.2. Mean PLN/EUR Exchange Rates in the Period under Report Period Mean rate in the period (1) Minimum rate in the period (2) Maximum rate in the period (3) Exchange rate as at the last day of the period 01.07-30.06.2014 4.1932 4.0998 4.3416 4.1609 01.07-30.06.2013 4.1683 4.0465 4.3432 4.3292 (1) Mean exchange rate as at the last day of each month in the period (2) Lowest exchange rate in the period FX rate tables number: 152/A/NBP/2012, 110/A/NBP/2014 (3) Highest exchange rate in the period FX rate tables number: 120/A/NBP/2013, 127/A/NBP/2013 3.3. Selected Financial Data Translated Into Euro SELECTED FINANCIAL DATA EUR 000 I. Net revenues the sale of products, goods and materials 3 774 425 3 769 223 900 130 904 259 II. Profit / (loss) on operations 49 521 27 038 11 810 6 487 III. Gross profit (loss) 55 497 33 133 13 235 7 949 IV. Net profit (loss) 45 050 29 238 10 744 7 014 V. Net cash flows operating activities 61 507 33 191 14 668 7 963 VI. Net cash flows investing activities -9 545 13 260-2 276 3 181 VII. Net cash flows financing activities -30 280-48 568-7 221-11 652 VIII. Total net cash flows 21 682-2 117 5 171-508 IX. Total assets 826 801 776 769 198 707 179 426 X. Liabilities and provisions for liabilities 461 196 460 983 110 840 106 482 XI. Long-term liabilities XII. Short-term liabilities 428 602 447 978 103 077 103 478 XIII. Equity 365 605 315 786 87 867 72 943 XIV. Share capital 16 188 16 188 3 891 3 739 XV. Number of shares (units) 16 187 644 16 187 644 16 187 644 16 187 644 XVI. Profit / (loss) per ordinary share (PLN/EUR) 2.78 1.81 0.66 0.43 XVII. Diluted profit / (loss) per ordinary share (PLN/EUR) 2.78 1.81 0.66 0.43 XVIII. Book value per share (PLN/EUR) 22.58 19.51 5.43 4.51 XIX. Diluted book value per share (PLN/EUR) 22.58 19.51 5.43 4.51 XX. Declared or distributed dividend per share (PLN/EUR) - - The balance sheet figures as at the last day of the period of 2013 30 June 2014 were translated at the EUR rate announced by NBP as at that day, i.e. PLN/EUR 4.1609. Page 12

The balance sheet figures as at the last day of the period of 2012 30 June 2013 were translated at the EUR rate announced by NBP as at that day, i.e. PLN/EUR 4.3292. The figures in the Profit and Loss Account for 2012 1 July 2012 to 30 June 2013 were translated at the mean EUR rate, calculated as the arithmetic mean of the exchange rates prevailing as at the last day of each month in the period PLN/EUR 4.1683. The figures in the Profit and Loss Account for 2013 1 July 2013 to 30 June 2014 were translated at the mean EUR rate, calculated as the arithmetic mean of the exchange rates prevailing as at the last day of each month in the period PLN 4.1932. The figures in the Cash Flow Statement for 2012 1 July 2012 to 30 June 2013 were translated at the mean EUR rate, calculated as the arithmetic mean of the exchange rates prevailing as at the last day of each month in the period PLN/EUR 4.1683. The figures in the Cash Flow Statement for 2013 1 July 2013 to 30 June 2014 were translated at the mean EUR rate, calculated as the arithmetic mean of the exchange rates prevailing as at the last day of each month in the period PLN/EUR 4.1932. 3.4. Material Differences Between the Financial Data of the Presented Financial Statements and the Same Data Presented in accordance with the International Accounting Standards The Company applies accounting rules and principles compliant with the Accounting Act of 29 September 1994 (Journal of Laws of 2013, item 330). In the Management Board's opinion, the differences in amounts between the financial statements for the period of 01.07.2013 30.06.2014 made in compliance with IFRS and PAS are immaterial at both the unit and summary levels and therefore the Company does not present the differences. When preparing these Statements, the Management Board selected such standards and interpretations as would have been most probably applied in making the first financial statements in compliance with IFRS. It should also be noted that certain IFRS require different scope of disclosure and presentation of financial data than the Polish Accounting Standards. As of 1 July 2011, the Company implemented hedge accounting to protect against changes in cash flows connected with FX exchange rates. In line with the accounting principles adopted, the results of changes in the valuation of hedging instruments insofar as they function as effective collateral are charged to revaluation reserve and then are posted under revenues or costs of financial activity. Page 13

II) BALANCE SHEET AS AT 30 JUNE 2014 BALANCE SHEET ASSETS Notes I. Fixed assets 192 755 176 555 1. Intangible assets, of which: 1 1 110 533 - Goodwill 2. Tangible fixed assets 2 52 237 54 882 3. Long-term receivables 3.1. From related entities 3.2. From other entities 4. Long-term investments 3 132 886 117 177 4.1. Real estate 452 452 4.2. Intangible assets 4.3. Long-term financial assets 132 434 116 725 a) in related entities, of which: 132 357 116 725 - shares 125249 115849 - shares in subsidiaries measured using the equity method - loans granted 7 108 658 b) in other entities 77 218 - loans granted 77 218 4.4. Other long-term investments 5. Long-term prepayments 4 6 522 3 963 5.1. Deferred income tax asset 6 522 3 963 5.2. Other prepayments and accrued income II. Working assets 634 046 600 214 1. Inventories 5 307 508 256 633 2. Short-term receivables 6,7 294 379 333 453 2.1. From related entities 18 307 17 374 2.2. From other entities 276 072 316 079 3. Short-term investments 8 31 028 9 159 3.1. Short-term financial assets 31 028 9 159 a) in related entities b) in other entities 194 7 c) cash and cash equivalents 30 834 9 152 3.2. Other short-term investments 4. Short-term prepayments 9 1 131 969 Total assets 826 801 776 769 Page 14

BALANCE SHEET Notes LIABILITIES I. Equity 365 605 315 786 1. Share capital 11 16 188 16 188 2. Called up share capital not paid (negative value) 3. Treasury shares (negative value) 4. Reserve capital 13 135 503 135 503 5. Revaluation reserve 14 219-4 550 6. Other reserve funds 15 168 645 139 407 7. Retained profit (accumulated loss) 8. Net profit (loss) 45 050 29 238 9. Net profit write-offs during the financial year (negative value) II. Liabilities and provisions for liabilities 461 196 460 983 1. Provisions for liabilities 16 32 594 13 005 1.1. Deferred income tax provision 1.2. Pension and similar benefits provisions 400 300 a) long-term 100 70 b) short-term 300 230 1.3. Other provisions 32 194 12 705 a) long-term b) short-term 32 194 12 705 2. Long-term liabilities 2.1. Towards related entities 2.2. Towards other entities 3. Short-term liabilities 17 428 602 447 978 3.1. Towards related entities 2 844 843 3.2. Towards other entities 425 165 446 593 3.3 Special funds 593 542 4. Accruals 18 4.1. Negative goodwill 4.2. Other accruals and deferred income a) long-term b) short-term Total liabilities 826 801 776 769 Book value 365 605 315 786 Number of shares (units) 16 187 644 16 187 644 Book value per share (PLN) 19 22.58 19.51 Diluted number of shares (units) 16187644 16187644 Diluted book value per share (PLN) 22.58 19.51 Page 15

OFF-BALANCE SHEET ITEMS 1. Contingent receivables 1.1. From related entities as - guarantees and sureties received Note 1.2. From other entities as - guarantees and sureties received 2. Contingent liabilities 7 618 19 488 2.1. Towards related entities as - guarantees and sureties issued 2.2. Towards other entities as 7 618 19 488 - guarantees and sureties issued 7 618 19 488 3. Other (due to) 17787 - promissory notes issued - factoring 17787 Total off-balance sheet items 7618 37275 III) PROFIT AND LOSS ACCOUNT FOR THE PERIOD FROM 1 JULY 2013 TO 30 JUNE 2014 PROFIT AND LOSS ACCOUNT I. Net revenues the sale of products, goods and materials, of which: Notes 01.07.2013 to 30.06.2014 01.07.2012 to 30.06.2013 3 774 425 3 769 223 - related entities 178 558 174 104 1. Net revenues the sale of products 20 30 237 48 579 2. Net revenues the sale of goods and materials 21 3 744 188 3 720 644 II. Costs of sold products, goods, materials, of which: 3 627 716 3 676 389 1. Manufacture costs of sold products 22 30 080 48 477 2. Goods and materials sold 3 597 636 3 627 912 III. Gross profit (loss) on sale 146 709 92 834 IV. Costs of sale 22 55 064 40 254 V. Overheads 22 14 087 14 206 VI. Profit / (loss) on sale 77 558 38 374 Page 16

VII. Other operating revenues 2 000 3 538 1. Profit on disposal of non-financial fixed assets 2. Subsidies 3. Other operating revenues 23 2 000 3 538 VIII. Other operating expenses 30 037 14 874 1. Loss on sale of non-financial fixed assets 40 4 2. Revaluation of non-financial assets 5 028 474 3. Other operating expenses 24 24 969 14 396 IX. Profit / (loss) on operations 49 521 27 038 X. Financial income 25 15 997 20 783 1. Dividend and profit distributions, of which: 9 078 13 040 - related entities 9 078 13 040 2. Interest, of which: 1 136 1 105 - related entities 192 3. Profit on disposal of investments 4. Revaluation of investments 5. Other 5 783 6 638 XI. Financial expenses 26 10 021 14 688 1. Interest, of which: 8 804 13 428 - due to related entities 2. Loss on disposal of investments 3. Revaluation of investments 4. Other 1 217 1 260 XII. Profit / (loss) on business operations 55 497 33 133 XIII. Net extraordinary items 1. Extraordinary profit 2. Extraordinary loss XIV. Gross profit (loss) 55 497 33 133 XV. Income tax 27 10 447 3 895 a) current part 14 125 6 130 b) deferred part -3 678-2 235 XVI. Other obligatory profit decrease (loss increase) XVII. Share in net profit/loss of subsidiary entities consolidated using the equity method XVIII. Net profit (loss) 45 050 29 238 Net profit (loss) annualised 45050 29238 Weighted average number of ordinary shares (units) 16187644 16187644 Profit /(loss) per ordinary share (PLN) 28 2.78 1.81 Diluted weighted average number of ordinary shares (units) 16187644 16187644 Diluted profit /(loss) per ordinary share (PLN) 2.78 1.81 Page 17

IV) STATEMENT OF CHANGES IN EQUITY STATEMENT OF CHANGES IN EQUITY I. Equity at the beginning of the period (OB) 315 786 290744 a) changes in adopted accounting rules (policy) b) adjustments of manifest errors I.a. Equity at the beginning of the period (OB), after reconciliation to comparable data 315 786 290 744 1. Share capital at the beginning of the period 16 188 16 188 1.1. Changes in share capital a) increases (due to) - share issues b) decreases (due to) - redemption of shares 1.2. Share capital at the end of the period 16188 16188 2. Called-up share capital not paid at the beginning of the period (OB) 2.1. Changes in called-up share capital not paid a) increases (due to) b) decreases (due to) 2.2. Called-up share capital not paid at the end of the period 3. Treasury shares at the beginning of the period 3.1. Changes in treasury shares a) increases (due to) - purchase of treasury shares - decreases (due to) 3.2. Treasury shares at the end of the period 4. Reserve capital at the beginning of the period 135503 135503 4.1. Changes in reserve capital a) increases (due to) - share issue above par value - profit distribution (statutory) - profit distribution (in excess of the minimum statutory value) b) decreases (due to) - costs of share issue 4.2. Reserve capital at the end of the period 135 503 135 503 5. Revaluation reserve at the beginning of the period -4 550-355 5.1. Changes in revaluation reserve a) increases (due to) 4 769 - hedging accounting 4 769 b) decreases (due to) 4 195 - hedging accounting Page 18

5.2. Revaluation reserve at the end of the period 219-4550 6. Other reserve funds at the beginning of the period 139407 105248 6.1. Changes in other reserve funds a) increases (due to) 29238 34159 - retained profit distribution 29238 34159 b) decreases (due to) share redemption 6.2. Other reserve funds at the end of the period 168 645 139407 7. Retained profit (accumulated loss) at the beginning of the period 29238 34159 7.1. Retained profit at the beginning of the period 29238 34159 a) changes in adopted accounting rules (policy) b) adjustments of manifest errors 7.2. Retained profit at the beginning of the period a) increases (due to) - retained profit distribution b) decreases (due to) 29 238 34 159 - increase of reserve funds 29 238 34 159 - dividend distribution 7.3. Retained profit at the end of the period 7.4. Accumulated loss at the beginning of the period - changes in adopted accounting rules (policy) - adjustments of manifest errors 7.5. Accumulated loss at the beginning of the period after reconciliation to comparable data a) increases (due to) - accumulated loss brought forward for covering b) decreases (due to) 7.6. Accumulated loss at the end of the period 7.7. Retained profit (accumulated loss) at the end of the period 8. Net result 45 050 29238 a) net profit 45 050 29 238 b) net loss c) profit write-offs II. Equity at the end of the period (CB) 365 605 315 786 III. Equity including proposed profit distribution (loss coverage) 365 605 315 786 Page 19

V) CASH FLOW STATEMENT CASH FLOW STATEMENT A. Cash flows operating activities (indirect method) I. Net profit (loss) 45 050 29238 II. Total adjustments 16457 3953 1. Share in net profit (loss) of subsidiary companies -9078-13040 2. Depreciation / amortisation 5432 5887 3. FX (gains)/losses 4504-4899 4. Interest and profit distributions (dividend) 4893 9828 5. (Profit)/loss on investments 40 4 6. Change in provisions 19589 8734 7. Change in inventories -50875 19647 8. Change in receivables 39074-17460 9. Change in short-term liabilities, except loans 6750-2573 10. Change in accruals and prepayments -3872-2175 11. Other adjustments III. Net cash flows operating activities (I+/-II) indirect method 61507 33191 B. Cash flows investing activities I. Inflows 11736 15877 1. Disposal of intangible assets and of tangible fixed assets 222 79 2. Disposal of investments in properties and intangible assets 3. From financial assets, of which: 11514 15798 a) in related entities 11403 15240 - disposal of financial assets - dividend and profit distributions 9078 13040 - repayment of loans granted 2325 2200 - interest - other inflows financial assets b) in other entities 111 558 - disposal of financial assets - dividend and profit distributions - repayment of loans granted 111 558 - interest - other inflows financial assets 4. Other investment inflows II. Outflows 21281 2617 1. Purchase of intangible assets and of tangible fixed assets 4232 2218 2. Investments in properties and intangible assets Page 20

3. In financial assets, of which: 17 049 399 a) in related entities 17 029 110 - purchase of financial assets 8 254 - loans granted 8 775 110 b) in other entities 20 289 - purchase of financial assets - loans granted 20 289 4. Other investment outflows III. Net cash flows investing activities (I-II) -9 545 13 260 C. Cash flows financing activities I. Inflows 1. Net inflows issues of shares and other equity instruments and additional contributions to capital 2. Loans and borrowings 3. Issue of debt securities 4. Other financial inflows II. Outflows 30 280 48 568 1. Purchase of treasury shares 2. Dividend and other distributions to shareholders 3. Other profit distributions 4. Repayment of loans and borrowings 25 283 38 877 5. Redemption of debt securities 6. Other financial liabilities 7. Payments under finance lease 8. Interest 4 997 9 691 9. Other financial outflows III. Net cash flows financing activities (I-II) -30 280-48 568 D. Total net cash flows (A.III+/-B.III+/-C.III) 21 682-2 117 E. Balance-sheet change in cash, including: 21 682-2 117 - change in cash due to FX differences F. Cash at the beginning of the period 9 152 11 269 G. Cash at the end of the period (F+/-D), including: 30 834 9 152 - with restricted availability 375 Page 21

VI) ADDITIONAL NOTES AND EXPLANATIONS 1. EXPLANATORY NOTES TO THE BALANCE SHEET 1.1. Note 1a Intangible Assets INTANGIBLE ASSETS a) development costs b) goodwill c) acquired concessions, patents, licences and similar assets, of which: 1110 533 - computer software 1110 353 d) other intangible assets e) advances for intangible assets Total intangible assets 1110 533 Page 22

1.2. Note 1b Changes in the Value of Intangible Assets (by Type) CHANGES IN THE VALUE OF INTANGIBLE ASSETS (BY TYPE) AS AT 30.06.2014 Development costs a b c d e Goodwill Concessions, patents, licences and similar assets, of which: computer software Other intangible assets Advances for intangible assets Total intangible assets a) gross intangible assets at the beginning of the period 496 6 336 6 156 6 832 b) increases (due to) - purchase of software 1 016 1 016 1 016 c) decreases (due to) 180 180 - liquidation of software - transfer to software d) gross intangible assets at the end of the period 496 7 172 7 172 7 668 e) accumulated amortisation at the beginning of the period 496 5 803 5 803 6 299 f) amortisation for the period (due to) 259 259 259 - increase 259 259 259 - decrease g) accumulated amortisation at the end of the period 496 6 062 6 062 6 558 h) impairment write-offs at the beginning of the period - increases - decreases i) impairment write-offs at the end of the period j) net value of intangible assets at the end of the period 1 110 1 110 1 110 BANK ACCOUNT: Kredyt Bank S.A I/o Wrocław, PL68 1500 1155 1211 5003 2339 0000 (PLN), Katowice: tel. (+48 032) 355 90 20, fax (+48 032) 355 45 37 Warszawa: tel. (+48 022) 814 31 43, fax (+48 022) 814 23 46 Page 23

1.3. Note 1c Intangible Assets (Ownership Structure) INTANGIBLE ASSETS (OWNERSHIP STRUCTURE) a) owned by the Company 1110 533 b) used pursuant to a rental, lease or similar contract, of which: Total intangible assets 1110 533 1.4. Note 2a Tangible Fixed Assets TANGIBLE FIXED ASSETS a) fixed assets, of which: 51751 54233 - land (including perpetual usufruct right) 1750 1774 - buildings, premises and civil engineering facilities 42811 44070 - plant and equipment 1395 1412 - motor vehicles 4068 4027 - other fixed assets 1727 2950 b) fixed assets under construction 486 649 - advances for fixed assets under construction Total tangible fixed assets 52237 54882 BANK ACCOUNT: Kredyt Bank S.A I/o Wrocław, PL68 1500 1155 1211 5003 2339 0000 (PLN), Katowice: tel. (+48 032) 355 90 20, fax (+48 032) 355 45 37 Warszawa: tel. (+48 022) 814 31 43, fax (+48 022) 814 23 46 Page 24

1.5. Note 2b Changes in Fixed Assets (by Type) CHANGES IN FIXED ASSETS (BY TYPE) - land (including perpetual usufruct right) - buildings, premises and civil engineering facilities - plant and equipment - motor vehicles - other fixed assets - Total fixed assets a) gross fixed assets at the beginning of the period 1 981 51 343 3 942 9 788 13 029 80 083 b) increases (due to) 46 437 1 693 778 2 954 - purchase 46 437 1 693 778 2 954 - accounting for investments c) decreases (due to) 1 101 4 1 105 - sale 1 101 4 1 105 - liquidation d) gross fixed assets at the end of the period 1 981 51 389 4 379 10 380 13 803 81 932 e) accumulated depreciation at the beginning of the period 207 7 273 2 530 5 761 10 079 25 850 f) depreciation for the period (due to) 24 1 305 454 551 1 997 4 331 - increases 24 1 305 454 1 389 2 001 5 173 - decreases 838 4 842 g) accumulated depreciation at the end of the period 231 8 578 2 984 6 312 12 076 30 181 h) impairment write-offs at the beginning of the period - increases - decreases i) impairment write-offs at the end of the period j) net fixed assets at the end of the period 1 750 42 811 1 395 4 068 1 727 51 751 BANK ACCOUNT: Kredyt Bank S.A I/o Wrocław, PL68 1500 1155 1211 5003 2339 0000 (PLN), Katowice: tel. (+48 032) 355 90 20, fax (+48 032) 355 45 37 Warszawa: tel. (+48 022) 814 31 43, fax (+48 022) 814 23 46 Page 25

1.6. Note 2c Balance Sheet Fixed Assets (Ownership Structure) BALANCE SHEET FIXED ASSETS (OWNERSHIP STRUCTURE) a) owned by the Company 51 751 54 233 b) used pursuant to a rental, lease or similar contract, of which: - vehicle leasing Total balance sheet fixed assets 51 751 54 233 1.7. Note 3a Changes in Property (by Type) CHANGES INPROPERTY (BY TYPE) a) beginning of the period: 452 452 - b) increases (due to) - purchase of land c) decreases (due to) - d) end of the period: 452 452-1.8. Note 3b Long-Term Financial Assets LONG-TERM FINANCIAL ASSETS a) in subsidiary entities 132 357 115 849 - shares 125 249 115 849 - debt securities - other securities (by type) - loans granted 7 108 658 - other long-term financial assets (by type) b) in other entities 77 218 - loans granted 77 218 Total long-term financial assets 132 434 116 725 The Company holds shares in its subsidiaries, i.e. Alsen Sp. z o.o. with its registered office in Chorzów, Alsen Marketing Sp. z o.o. with its registered office in Chorzów, B2B Sp. z o.o. with its registered office in Wrocław, Rekman Sp. z o.o. in Wrocław, Optimus Sp. z o.o. in Wrocław and AT Computers Holding a.s. with its registered office in Ostrava. AT Computers Holding a.s holds 100% shares in the following entities: AT Computers a.s. with its registered office in Žilina, Slovakia, AT Compus s.r.o. with its registered office in Ostrava, Czech Republic, AT Computer s.r.o. with its registered office in Ostrava, Czech Republic, Comfor BANK ACCOUNT: Kredyt Bank S.A I/o Wrocław, PL68 1500 1155 1211 5003 2339 0000 (PLN), Katowice: tel. (+48 032) 355 90 20, fax (+48 032) 355 45 37 Warszawa: tel. (+48 022) 814 31 43, fax (+48 022) 814 23 46 Page 26

Stores a.s. with its registered office in Brno, Czech Republic and icomfor s.r.o. with its registered office in Brno, Czech Republic. 1.9. Note 3c Changes in Long-Term Financial Assets (by Type) CHANGES IN LONG-TERM FINANCIAL ASSETS (BY TYPE) a) beginning of the period: 116725 118597 - shares 115849 115849 - loans granted 876 2748 b) increases (due to) 15850 399 - shares 9400 - loans granted 6450 399 c) decreases (due to) 141 2271 - sale of shares - revaluation charge - loan decrease 141 2271 d) end of the period: 132434 116725 - shares 125249 115849 - loans granted 7185 876 Page 27

1.10. Note 3d Shares in Subsidiaries SHARES IN SUBSIDIARIES AS AT 30.06.2014 N o. a b c d e f g h i j k l Name and legal form Registered office Scope of business Relationship (subsidiary, cocontrolled, associated entity, with details of direct and indirect relationship) Applied consolidation method / valuation using equity method or information that the entity is not consolidated / valued using equity method Date when control / cocontrol was assumed / major impact was acquired Value of shares at purchase price Adjustments to value (total) Book value of shares Percentage of share capital held Share in overall number of votes at GM Basis of control / co-control / major impact other than specified in j) or k) 1 Alsen Sp. z o.o. Chorzów marketing services, trade subsidiary full 30.05.2006 294 294 100 100 2 AT Computers Holding a.s. Ostrava, Czech Republic marketing services, trade subsidiary full 30.10.2007 104 645 104 645 100 100 3 Alsen Marketing Sp. z o.o. Chorzów marketing services, trade subsidiary full 22.12.2008 1 000 1 000 100 100 4 B2B IT Sp. z o.o. Wrocław logistics services subsidiary full 02.11.2009 10 000 10 000 100 100 5 Optimus Sp. z o.o. Wrocław marketing services, trade subsidiary full 10.07.2013 4 000 4 000 100 100 6 Rekman Sp. z o.o. Wrocław trade subsidiary full 01.10.2013 5 310 5 310 100 100 BANK ACCOUNT: Kredyt Bank S.A I/o Wrocław, PL68 1500 1155 1211 5003 2339 0000 (PLN), Katowice: tel. (+48 032) 355 90 20, fax (+48 032) 355 45 37 Warszawa: tel. (+48 022) 814 31 43, fax (+48 022) 814 23 46 Page 28

1.11. Note 3e Shares in Subsidiaries SHARES IN SUBSIDIARIES AS AT 30.06.2014 No. a m n o p r s t Name of entity 1 Alsen Sp. z o.o. 2 AT Comput ers Holding a.s. 3 Alsen Marketin g Sp. z o.o. 4 B2B IT Sp. z o.o. 5 Optimus Sp. z o.o. 6 Rekman Sp. z o.o. - Share capita l Equity of the unit, including: - Called up share capital not paid (negative value) - Reser ve capita l - Other equity, of which: - Retain ed profit (accum ulated loss) Net profit (loss) Liabilities and liability provisions, of which: Long - term liabil ities - Shortterm liabilities Receivables, of which: - Longterm receivable s - Short-term receivables Total assets Sale revenues 309 294 1 3 43-40 1 1 132 132 310 284 144 419 963 1 036 142 420 121 708 20 712 317 284 317 284 206 995 206 995 464 326 2 037 307 4 564 1 000 4 086-522 -934 412 6 308 6 308 7 590 7 590 11 051 107 506 8 767 10 000-1 233-1 222-11 17 188 7018 7 618 2 483 2 483 25 955 1 3 412 4 000-588 -588 2 2 112 112 3 414 Unpaid shares in entity 2 913 660 2 039 214-785 999 14 491 14 491 5 212 5 212 17 429 31 057 966 Dividend s received or due the entity for the last financial year The figures presented are taken the Financial Statements published on 20.09.2014 for the financial year starting 01.07.2013 and ending on 30.06.2014 and are compliant with IFRS requirements. Page 29

1.12. Note 3f Securities, Interests and Other Long-Term Financial Assets SECURITIES, INTERESTS AND OTHER LONG-TERM FINANCIAL ASSETS (CURRENCY STRUCTURE) Unit Currency a) in PLN in '000 PLN 20 604 11 204 b) in foreign currencies (by currency and translated into PLN) in '000 b1. in currency CZK 779 000 779 000 translated into 104 645 104 645 - other currencies in in '000 PLN Total securities, interests and other long-term financial assets in '000 PLN 125 249 115 849 1.13. Note 3g Securities, Interests and Other Long-Term Financial Assets (by Tradability) SECURITIES, INTERESTS AND OTHER LONG-TERM FINANCIAL ASSETS (BY TRADABILITY) A. With unlimited tradability, listed (book value) 125249 115849 B. With limited tradability (book value) a. shares (book value): 125249 115849 - adjustments to value (for the period) - value at the beginning of the period 115849 108849 - value at purchase price 115849 108849 Total value at purchase price 125249 115849 Total value at the beginning of the period 115849 108849 Total adjustments to value (for the period) Total book value 125249 115849 1.14. Note 4a Changes in Deferred Income Tax Assets CHANGES IN DEFERRED INCOME TAX ASSETS PLN '000 1. Deferred income tax assets at the beginning of the period, of which: 3 984 961 a) recognised in profit and loss account 2 917 878 b) charged to equity 1 067 83 c) recognised in goodwill or negative goodwill 2. Increases 6 634 3 984 BANK ACCOUNT: Kredyt Bank S.A I/o Wrocław, PL68 1500 1155 1211 5003 2339 0000 (PLN), Katowice: tel. (+48 032) 355 90 20, fax (+48 032) 355 45 37 Warszawa: tel. (+48 022) 814 31 43, fax (+48 022) 814 23 46 Page 30

a) recognised in profit and loss account for the period in connection with temporary negative differences (due to) - temporary differences, of which: 6 626 2 917 -> provisions for market charges 413 539 -> provisions for other costs 5 609 1 988 -> tax cost for other periods 6 26 -> overheads on salaries and salaries disbursed in the subsequent period 598 238 - balance-sheet valuation of settlements 126 b) charged to equity 8 1 067 3. Decreases 3 984 961 a) recognised in profit and loss account for the period in connection with temporary negative differences (due to): - Reversal of temporary differences, of which: 2 917 878 -> provisions for other costs 1 988 496 - > tax cost for other periods 26 - > salaries and overheads on salaries previous periods 238 114 - > provisions for market charges 539 268 - > balance-sheet valuation of settlements 126 b) charged to equity 1 067 83 4. Deferred income tax asset at the end of the period, of which: 6 634 3 984 a) recognised in profit and loss account 6 626 2 917 - balance-sheet valuation of settlements 126 - provisions for market charges 413 539 - overheads on salaries and salaries disbursed in the subsequent period 598 238 - tax cost for other periods 6 26 - provisions for other costs 5 609 1 988 b) charged to equity 8 1 067 The Company presents in its Financial Statements the value of deferred tax assets reduced by deferred income tax provision. A change in deferred income tax provision is presented in Note 16a. All indicated temporary differences are realised in 1 year the balance sheet date. 1.15. Note 5a Inventories INVENTORIES a) materials 509 217 b) semi-finished products and production in progress c) finished products d) goods 306220 255977 e) advances for deliveries 779 439 Total inventories 307508 256633 Page 31