Upholding the arrangements made with the Trade Unions acting on behalf of employees of the PKP CARGO S.A. Units and Head Office

With reference to Current Report No. 8/2022 of 1 March 2022, PKP CARGO S.A. (“Company”) hereby reports that due to the refusal to accept the demands put forward by the Trade Unions (“Trade Unions”) acting as a party to the Collective Bargaining Agreement for Employees of the PKP CARGO S.A. Units (“CBA”) regarding an increase by PLN 600 in base employee compensation as of 1 April 2022 for employees remunerated under the CBA and a pro rata increase in employee compensation for staff remunerated based on indexation arrangements, as described in the 1 March 2022 letter submitted by the Trade Unions, a collective dispute was initiated by the Trade Unions on 1 March 2022, pursuant to the provisions of Article 7(1) of the Act of 23 May 1991 on Collective Dispute Resolution (consolidated text: Journal of Laws of 2020, item 123).

Legal basis: Article 17(1) of Regulation (EU) No. 596/2014 of the European Parliament and of the Council on Market Abuse.