Entering into an important agreement
Current report 68/2007 dated 13.11.2007
The Management Board of ATM S.A. hereby informs that today the Company — as a leader of consortium of two companies entered into an agreement with the Minister of National Defense acting through the Defense Armed Forces Procurement Department in Warsaw, whereby the company is to provide active network hardware for upgrading MIL-WAN networks and maintenance services during the warranty term. The gross value of the agreement is PLN 30,675,179.31 and exceeds 10% of ATM S.A. shareholders’ equity, which is a criterion under which it is deemed a significant agreement.
The agreement provides for a stipulated penalty of 10% of the value of non-performed portion of the agreement where the Ordering Party withdraws from the agreement for reasons attributable to the Consortium. In addition, the Ordering Party shall be entitled to claim a stipulated penalty of 10% of the proposal price of defective copies if Consortium fails to repair or exchange the same in line with the parameters specified in the warranty service. Payment of stipulated penalties does not preclude the Ordering Party from asserting supplementary claims up to the damage value.
The agreement does not contain any reservation of a condition or term and any provisions deviating from provisions generally applicable to such agreements.
Roman Szwed — President of the Management Board,
Tadeusz Czichon — Vice-President of the Management Board