RB nr 5/2011

Legal basis: Art. 56 subpar. 1 pt. 2) of the Act on Public Offering – current and periodic information, specific legal basis: § 5 subpar. 1 pt. 25 of the Directive of the Minister of Finance on current and periodic information.

The Management Board of MCI Management S.A. hereby presents the correction of the forecast of the financial results of MCI Management S.A. for 2011 published in the Current Report No. 5/2011 from March 17, 2011.
After reviewing the financial data for H1 2011 and due to the unfavorable development of the situation on the stock markets as well as decrease in the forecasts for growth of GDP in Poland in 2011, the Management Board of MCI Management S.A. hereby extends the Forecast of the financial results of the Company in 2011 to include the following two variants.
The original Forecast of the financial results of the Company for 2011
The Forecast of the financial results of the Company for 2011 published on March 17, 2011 assumes an increase in the net value of consolidated assets per one share from PLN 8.44 in 2010 to PLN 10.76 at the end of 2011 and the forecast of the net consolidated profit for 2011 in the amount of PLN 171 million.
This forecast was made on the assumption that the future economic and financial values in 2011 will be as follows:

1. growth of GDP in Poland by 4.1%;
2. growth of WIG20 index by 10%;
3. and on the assumption that the Capital Group will make new investments in 2011 for the value of PLN 242 million and growth in the value of assets under its management up to PLN 1.2 billion.
The assessment of the possibility to realize the original Forecast of the financial results of the Company in 2011
In the opinion of the Management Board of MCI Management S.A. the realization of the Forecast of the financial results of the Company in 2011 can be difficult due to the level of uncertainty regarding the condition of the world economy and a high level of changeability on the financial markets.
The WIG20 index fell from January 1, 2011 to August 26, 2011 by 15.5% and the expectations as to the growth of GDP in Poland in 2011 have been recently markedly decreased by the leading world financial institutions.
In connection with the negative changes in the ratios whose estimates were the basis for the development of the Forecast of the financial results of the Company in 2011, and whose values correlate with the financial results of the Company, the Management Board introduces additional variants of the realization of the forecast of the financial results:

a) If the change in the WIG20 index at the end of 2011 compared to its value at the end of 2010 reaches the level of -10%, then the net value of consolidated assets of MCI Management S.A. per one share shall be estimated at PLN 9.50 at the end of 2011 (growth by 12.6% y/y), and the value of assets under management can grow up to PLN 1 billion (growth by 31% y/y);
b) If the WIG20 index does not change markedly at the end of 2011 compared to its level at the end of 2010, then the net value of consolidated assets of MCI Management S.A. per one share should reach the estimated value of PLN 10.40 at the end of 2011 (growth by 24%), and the value of assets under management should reach the PLN 1.1 billion at the end of this year (growth by 50% y/y);
c) In the opinion of the Management Board of the Company the estimated value of the expected net consolidated profit in 2011 is related to the estimated net value of consolidated assets per one share and in the case of the forecast variant described above in a), it should reach about PLN 60 million, and in the case of the forecast variant described above in b) – it should reach about PLN 115 million.

The Management Board of MCI Management S.A. will assess the possibility of fulfillment of the forecast presented above on a regular basis at least once a quarter and present its position in this respect in the Company’s financial and current reports. The possibility of fulfillment of the expected results will be assessed on the basis of the audit of the execution of the zaprojektowanego budget and update of the accepted assumptions.

Magdalena Pasecka – Member of the Management Board
Tomasz Czechowicz – President of the Management Board