Dec 20, 2013. /Lesprom Network/. The Management Board of Arctic Paper S.A. informs, that in reference to the loans granted by the Company to the subsidiary Arctic Paper Investment AB (“Subsidiary”) based on the loan agreements concluded by and between the parties on March 1, 2010 and March 30, 2010 in the total amount of PLN 244,275,000 ($80 million), an agreement (“Agreement”) regarding unconditional shareholder contribution to the Subsidiary of PLN 244,275,000 ($80 million) was concluded on December 19th, 2013. According to the Agreement, the conversion of liabilities of the Subsidiary on the grounds of aforementioned loan to the capital reserves will take place, as the company said in the press release received by Lesprom Network.

Moreover, according to the Agreement the liabilities arising from the accrued interest on the loan settled under the Agreement shall be paid by the Subsidiary on December 31, 2016.

The Contract has been deemed material due to the value of receivables incurred by the Company thereunder which exceed 10% of the Company’s equity.