Board of Unibep S.A. (Issuer, Company) informs that on 26 July 2018 it concluded with Animex Foods K3 Sp. z o. o. based in Kutno (Ordering Party) annex (Annex) to the contract for construction works for the implementation of construction works under the investment called "Construction of a poultry slaughter and slaughtering plant" carried out in the town of Koryta in the Lodzkie Voivodship (Agreement), which expanded the scope of the subject of previous cooperation, and consequently increased the remuneration of the Issuer from PLN 16.4 million net to the amount of approx. PLN million net.
The completion of works, including the Annex, is scheduled for the fourth quarter of 2018.
The contract provides for the possibility of charging contractual penalties, among others in cases of delay in performance of the subject of the Agreement or withdrawal from the Agreement (in the amount of 10% of net remuneration), the total amount of contractual penalties from all titles indicated in the contract - except for termination of the Agreement or withdrawal from the Agreement by the Employer and untimely removal of defects found during collection and during the period of warranty and guarantee - may not exceed 10% of Net remuneration. The reservation of contractual penalties does not deprive the Parties of the possibility of claiming compensation exceeding their amount on general terms.
The other terms of the Agreement, including the terms of withdrawal from it and collateral, do not differ from the standard provisions for this type of contracts.
As a result of signing the aforementioned Annex, the Issuer considers the contract to be significant due to its value and the impact on the Company's development in the area of industrial construction.
Source: company website, investor relations, current and periodic reports.