Agreements on ownership transfer of Issuer’s subsidiaries’ bonds within Issuer’s Capital Group

The Management Board of Echo Investment S.A. (hereinafter referred to as the "Issuer") hereby reports that on the 4th of December 2014 the closed investment funds: Forum XXXIV Fundusz Inwestycyjny Zamknięty and Forum XXIX Fundusz Inwestycyjny Zamknięty with their registered offices in Kraków, entered in the register of investment funds kept by the District Court in Warsaw, the 7th Civil Registry Department, under the numbers: RFi 586 and RFi 536 (hereinafter referred to as the "Funds"), duly represented by FORUM Towarzystwo Funduszy Inwestycyjnych S.A. with its registered office in Kraków, and a subsidiary of the Issuer, BARCONSEL HOLDINGS LIMITED, established and operated in accordance with the Cypriot law, with its registered office at: 54, Digheni Akrita Av., Akritas Building, 3rd floor, Office 301, 1061 Nicosia, Cyprus, registered under the number HE227819, transferred the ownership of bonds issued by Issuer"s subsidiaries to BARCONSEL HOLDINGS LIMITED in the Issuer"s Capital Group on the basis of datio in solutum agreements, in exchange for the receivables resulting from the redemption of investment certificates of a corresponding value. The total value of the ownership of bonds issued by entities from the Issuer"s Capital Group and transferred to BARCONSEL HOLDINGS LIMITED in exchange for the receivables resulting from the redemption of the Fund"s investment certificates was PLN 205,432 thousand (say: two hundred five million four hundred thirty two thousand zloty), of which the value of the bonds settled on the basis of the datio in solutum agreements in exchange for the receivables resulting from the redemption of investment certificates amounted to PLN 205,257 thousand and the remaining amount of redemption to be paid by the Funds to the benefit of BARCONSEL HOLDINGS LIMITED equalled app. PLN 174,000 in cash. The Issuer is a direct and indirect owner of all the investment certificates issued by the abovementioned Funds. Furthermore, as part of subscriptions of the 3rd of December 2014 for investment certificates issued by the Forum 60 Fundusz Inwestycyjny Zamknięty closed investment fund with its registered office in Kraków (30-701), 25/20 Zabłocie Street, entered in the register of investment funds kept by the District Court in Warsaw, the 7th Civil Registry Department under the number RFi 1048 (hereinafter referred to as the "Fund"), BARCONSEL HOLDINGS LIMITED transferred all the above-mentioned bonds at a total amount of PLN 205,257 thousand (say: two hundred five million two hundred fifty seven thousand zloty) to the Fund on the 4th of December 2014 under an obligation to pay for the acquired certificates. The above-mentioned transfer of bonds within the Issuer"s Capital Group has a neutral influence on the economic situation of the Issuer and the entire Capital Group of the Issuer. The transfer of bonds from the closed investment funds: Forum XXXIV Fundusz Inwestycyjny Zamknięty and Forum XXIX Fundusz Inwestycyjny Zamknięty to the Issuer"s subsidiary, BARCONSEL HOLDINGS LIMITED, and the subsequent transfer of the same bonds by the same subsidiary of the Issuer to the Forum 60 Fundusz Inwestycyjny Zamknięty closed investment fund is aimed at organization and segmentation of assets held by the Issuer"s Capital Group, whereby the three closed investment funds will hold assets which are focused on three areas of Issuer"s operations: -    Forum XXXIV Fundusz Inwestycyjny Zamknięty – shopping centre projects, finished and in operation;
-    Forum XXIX Fundusz Inwestycyjny Zamknięty – office projects finished and in operation;
-    Forum 60 Fundusz Inwestycyjny Zamknięty – financial assets and properties under preparation or under construction which will be transferred to the shopping centre fund or the office fund when the project construction phase finishes. In addition the fund including financial assets will finance the preparation and implementation of the next development projects to be carried out by the Issuer"s Capital Group. Legal basis: §5 (1.3) and §9 of the Regulation of the Minister of Finance (Journal of Laws no. 33 item 259) of the 19th of February 2009 concerning current and periodical information published by issuers of securities and terms of recognizing as equivalent information required by laws of a non-Member State.