Extention of loan agreements concluded with mBank S.A.

On 20.01.2020, the Management Board of STALPROFIL SA received information about the signing by mBank SA with its registered office in Warsaw, Corporate Branch in Katowice of annexes to loan agreements concluded between mBank SA and STALPROFIL SA, which extend for another year the availability of credit limits granted to the company by mBank SA.
As a result of signed annexes to the agreements, the total value of the credit limit made available to the issuer by mBank SA is PLN 52.0 million and consists of the following banking products:
- revolving long-term working capital loan in the amount of PLN 10.0 million, available until 28.01.2022.
- a long-term revolving working capital loan in the amount of PLN 10.0 million, available until 28.01.2022
- a long-term revolving working capital loan in the amount of PLN 10.0 million, available until 28.01.2022
- multi-currency overdraft facility in the amount of PLN 12.0 million, available until 28.01.2021
- overdraft facility in the amount of PLN 5.0 million, available until 28.01.2021
- the limit on guarantees and letters of credit in the amount of PLN 5.0 million, available until 29.01.2021 with the possibility that the guarantee validity period exceeds the availability period, but does not exceed 28.01.2023.
The financial conditions on which the Company uses the limits granted do not differ from those commonly used for this type of agreement and are based on the WIBOR rate + the bank's margin.
The basic collateral of the total credit limit granted by mBank SA is:
1. registered pledge on inventory of commercial goods of a value not lower than PLN 47.0 million,
2. declaration of submission to enforcement in accordance with art. 777 of the Civil Code
mBank S.A. is one of the main lenders of the Company, and the credit lines available for the next period are an important source of long and short-term financing of STALPROFIL SA's operating activities.