RB nr 19/2011

Legal basis: Art. 56 subpar. 1 pt. 1 of the Act on Public Offering – inside information

The Management Board of MCI Management S.A. informs that on May 23, 2011, it received information about the execution by State Treasury – Director of the Tax Audit Office in Wrocław of the judgment of the Court of Appeals in Wrocław, Civil Division I, delivered on April 12, 2011 in the case brought by the Company against State Treasury – Director of the Tax Audit Office in Wrocław (file no.: I ACa 719/10). MCI Management S.A. informed about the judgment in its Current Report no. 14/2011 from April 12, 2011.
On May 20, 2011, in the performance of the final judgment of the Court of Appeals in Wrocław, the Tax Audit Office in Wrocław paid the following amounts into the bank account of the Company: (i) PLN 28,904,888.00 as the main due amount awarded by the court; (ii) PLN 17,508,838.94 as statutory interest; (iii) PLN 141,491.00 as costs of legal representation.
The main due amount (with statutory interest) was awarded as a compensation for damages suffered in connection with the loss of the value of the shares held by MCI Management S.A. in JTT Computer S.A. which was declared bankrupt as a result of erroneous decisions made in violation of law by tax authorities.
Furthermore, the Management Board of MCI Management S.A. would like to note that in spite of the execution of the final judgment of the Court of Appeals by the Tax Audit Office, the parties still can file a cassation complaint to the Supreme Court to annul the judgment because the deadline for filing such a complaint has not yet expired. That also means that still there exists a possibility (and risk) that the final judgment the Tax Audit Office can be reversed, and in the case when the judgment is changed unfavorably for MCI Management S.A., the Company will be obligated to return the whole or part of the compensation (with interest) to State Treasury.
Furthermore, the Management Board of MCI Management S.A. informs that the total compensation it received in the amount of PLN 46,413,726.94 constitutes revenue of the Company which is subject to corporate income tax (CIT). The Company estimates that the corporate income withholding tax for May 2011 after deducting tax losses in MCI Management S.A. shall be PLN 7,144 thousand.

All the facts mentioned above should be taken into account by present and future investors – shareholders of the Company.

Magdalena Pasecka – Member of the Management Board
Konrad Sitnik – Vice President of the Management Board