Firma Oponiarska Debica S A : Information update regarding influence of COVID-19 pandemic on the Company

DEBICA

RB 9/2020

POLISH FINANCIAL SUPERVISION AUTHORITY

Current Report No 9/2020

Date: May 4, 2020

Abbreviated name of issuer:

DEBICA

Subject:Information update regarding influence of COVID-19 pandemic on the Company

Legal grounds:

Art. 17 item 1 MAR - confidential information

Report content:

Management Board of Tire Company Debica S.A.(hereinafter "the Company") reveals information

• also in reference to current reports nr 4/2020 and 6/2020 - regarding the influence of COVID-

1. pandemic on the Company.

1. The Company informs that it currently conducts production, sales and distribution activities while remaining in close contact with its business partners. The Company continues to provide supplies of tyres for its customers and cooperates in developing the most optimal commercial and sanitary solutions in dynamically changing and uncertain market conditions, and the scale of its activity is and going to be adjusted to the current market situation.
2. The estimated results for the first quarter of 2020 are as follows:
3. • net revenue from sales of products, goods and materials: 509 070 thousand PLN
   • net profit: 22 493 thousand PLN

The Company reserves that the presented results are estimates and may change compared to the final results for the first quarter of 2020, which are scheduled to be published on 14 May 2020. The above financial results are estimates obtained during the preparation of the financial statements. The results finally published in the interim report may differ from the figures presented above.

3. The Management Board is continuously monitoring the impact of the COVID-19 pandemic on the financial, business and operational aspects of the Company and will continue to make appropriate decisions to ensure continuity of operations as well as safe and stable situation of the company. Among other things, the Company agreed to and implemented a limited working time schedule for employees and applied for support in the form of a subsidy for employee remuneration under the government's business support programme, the so- called Anti-Crisis Shield.

The application was granted and the first tranche of periodic support in the amount of PLN 5.51 million was paid to the Company. Also in the future, the Company's Management Board intends to use any further support tools, should they be available, if they ensure the

achievement of the above mentioned objectives and the Company is able to meet the required eligibility criteria.