Current report no 49 / 2018

Reconstruction of track system together with auxiliary infrastructure at the E59 railway line, Rokietnica-Wronki section – selection of Budimex SA

The Management Board of Budimex S.A. announces that on 10 July 2018 PKP Polskie Linie Kolejowe S.A. with its registered office in Warsaw informed the Company that its bid was selected as the most advantageous one in the tender procedure for the reconstruction of track system together with auxiliary infrastructure at the E59 railway line, Rokietnica-Wronki section, under the “Works on the E59 railway line at the Poznań Główny-Szczecin Dąbie section”.

The information that our bid was rated highest in the tender procedure was announced in the current report No. 31/2018 of 22 May 2018.

Bid value: PLN 478,972,397.12 net.

Works commencement date: the day after the day on which the Contract is signed by last of the Parties

Works completion date: 22 months from the works commencement date

Guarantee period: 72 months

Advance payment: 10% of the Accepted Gross Contract Amount

Payment terms: 30 days from the day of delivery of a correct invoice to the Employer by the Contractor

Bank performance bond: 10% of the total gross price

Contractual penalties payable by the Contractor do not deviate from the terms and conditions at which contracts for PKP are signed.

Penalties payable by the Employer do not deviate from market standards

Other terms and conditions of the contract do not differ from the market standards.

If a contractual penalty charged in accordance with the principles of the contract does not cover the entire damage suffered, the Employer may request supplemental damages on the general terms specified in the Civil Code.

The bid value exceeds the threshold of PLN 127,386 thousand net.