Legal regulation for recording and payment of dividend

The dividend is paid to shareholders after completion of every financial year, on the basis of a resolution of the Ordinary Shareholders Meeting on the allocation of profits to distribution to shareholders.

Dom Development S.A. shares confer no preference dividend rights - each share confers the right to the same amount of dividends.

The Company publishes information on dividend distribution in the form of current reports. Dividends will be distributed only among those investors on whose securities accounts Dom Development SA shares are registered as at the dividend record date.

Pursuant to Art. 395.2.2 of the Polish Companies Act, the competent body making decisions on profit distribution and dividend payment is the General Shareholders Meeting. The Group adopts resolutions on whether or not and what part of the profit should be allocated to dividend payment. The recommendation on profit distribution, along with the Supervisory Board's opinion, is presented to the Annual General Shareholders Meeting by the Executive Board. Pursuant to Art. 395.1 of the Polish Companies Act, the Annual General Shareholders Meeting should convene within six months of the end of the financial year.

Under Art. 348.3 of the Polish Companies Act, setting the dividend record date and the dividend payment date is the responsibility of the General Shareholders Meeting. The dividend record date may be set as the day of adoption of the related resolution or as any day falling within the next three months thereafter.

Pursuant to Par. 106.2 of the Detailed Rules of the Polish NDS, there must be a lapse of at least ten days between the dividend record date and the dividend payment date, counted based on business days excluding Saturdays (Par. 5.1 of the Polish NDS Rules). A claim for dividend payment is subject to prescription after ten years.

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