Registration of a change in share capital of the company Tele Video Media Sp. z o.o.

Thursday, 09 November, 2006

The Management Board of KGHM Polska Miedź S.A. announces that on 27 October 2006 a change in share capital was registered at the Regional Court for Wrocław-Fabryczna in Wrocław, Section VI (Economic) of the National Court of Registration for the company Tele Video Media Sp. z o.o. with its registered head office in Bielany Wrocławskie (an indirect subsidiary of KGHM Polska Miedź S.A.). The share capital of Tele Video Media Sp. z o.o. was increased by PLN 5 200 thousand through the creation of 10 400 shares having a face value of PLN 500 each. 

All of the new shares were acquired by Telefonia DIALOG S.A. (a subsidiary of KGHM Polska Miedź S.A.) at their face value, i.e. PLN 500 per share. 

The shares were paid for as follows: 

  • for a contribution in kind in the form of equipment and software for testing the Envivio field system having a total value of PLN 1 071.9 thousand, 2 144 shares were acquired at PLN 500 each, with the remainder of PLN 81.69 covered by cash, and 
  • for cash in the amount of PLN 4 128.0 thousand, 8 256 shares were acquired at PLN 500 each. 

The carrying amount of the shares acquired in the accounts of Telefonia DIALOG S.A. is PLN 5 200.0 thousand. 

The carrying amount of the assets transferred as a contribution in kind in the accounts of Telefonia DIALOG S.A. is PLN 1 071.9 thousand. 

The shares acquired represent 86.67% of the share capital of Tele Video Media Sp. z o.o. and grant the right to the same number of votes. 

Currently the share capital of Tele Video Media Sp. z o.o. amounts to PLN 6 000 thousand and is divided into 12 000 shares of PLN 500 each. The total number of votes arising from all issued shares after registration of this change in share capital is 12 000. 

After registration of this change in the share capital of Tele Video Media Sp. z o.o., 100% of the share capital of this company is owned by Telefonia DIALOG S.A. 

Acquisition of these assets was financed by the internal funds of Telefonia DIALOG S.A. 

The assets acquired are of a long-term, equity investment nature. 

The criteria used for describing the assets as significant is that the financial assets acquired by Telefonia DIALOG S.A. exceed 20% of the share capital of Tele Video Media Sp. z o.o. 

Legal basis: § 5 sec. 1 point 1 and point 9 of the Decree of the Minister of Finance dated 19 October 2005 regarding current and periodic information published by issuers of securities (Journal of Laws from 2005 Nr 209, item 1744)