Aktuální report č. 103 / 2014

Building the residential and commercial complex “LA CLARTE” – a new contract signed by Budimex SA

The Management Board of Budimex SA hereby announces that on 22 December 2014 it decided to sign, on 19 December, a contract with Bouygues Immobilier Polska sp. z o.o., with its registered office in Warsaw, for building the residential and commercial complex “LA CLARTE” (building B – stage 1 and building A – stage 2).

• Contract value: PLN 51,186,609 net.
• Works start date: 19 December 2014.
• Works completion date: 15 November 2016.
• Period of guarantee: 60 months.
• Financial terms and conditions:
  • Payment: 30 days from the receipt of the VAT invoice by the ordering party.
  • Performance bond: 5% of gross remuneration.
• Maximum penalties incurred by the contractor: 20% of net remuneration.
• Maximum penalties incurred by the ordering party:
  • 10% of the net remuneration for withdrawal from the contract for reasons attributable to the ordering party.
• The Parties reserve the right to seek damages under general applicable rules if the amount of loss sustained exceeds the amount of the stipulated penalty.

It is another contract signed with the same counterparty in the last 12 months. The previous two contracts were signed on 6 March 2014 and their subject was the construction of the “Arte Nova” residential complex (stages B1, B2 and B3). As at the signing, the total value of the contracts did not fulfil the definition of a significant contract.

• The contract value for the B1 and B3 stages: PLN 33,700,000 net.
• The contract value for the B2 stage: PLN 21,780,000 net.

The total value of all contracts signed with this counterparty in the last 12 months exceeds 10% of the equity of Budimex SA.