Body of the report:

The Management Board of Jastrzębska Spółka Węglowa S.A. (“Company”, “JSW”) hereby announces that pursuant to the provisions of IAS 36 Impairment of Assets, the Company is obligated to test the recoverable amount of an asset (test) each time there is an indication of a possible impairment of an asset. Having in mind: the necessity of significantly limiting investment policy ensuing from limited financial resources, falling coal prices and the oversupply of steam coal, the Company’s Management Board asserted the need to carry out a test on JSW’s coal producing mines. As a result of conducting this test, the Management Board has made a decision to take an impairment loss on the assets of a JSW mine, namely Kopalnia Węgla Kamiennego “Krupiński”, in the amount of PLN 211.2 million.

This impairment loss will be reflected in the JSW Group’s financial result in H1 2015.