GIGROUP (GIG): Conclusion of the instalment arrangement with the Social Insurance Institution (ZUS) - raport 28

Raport bieżący nr 28/2019

Podstawa Prawna:
Art. 17 ust. 1 MAR - informacje poufne.

The Management Board of Work Service S.A. ("Issuer", "Company" or "Borrower") informs that on February 28th 2019 the Issuer and the Issuer's subsidiary Industry Personnel Services Sp. z o.o. entered into installment arrangement with the Social Insurance Institution (ZUS) concerning outstanding social security contributions of PLN 59 170 317,43 and PLN 9 783 855,10, respectively. Under the arrangement, the contribution liabilities will be paid in 10 instalments between March and December 2019. The Issuer and Industry Personnel Services plan to repay the arrangement in instalments from current cash flows.

The conclusion of the arrangements was possible, inter alia, due to the earlier signing of annex no. 4 to the credit agreement, which the Issuer informed about in current report no. 91/2018, and due to the completion of the bond restructuring process, of which the Issuer informed in current report no. 88/2018.

One of the conditions of the arrangement is to pay current payments to ZUS without any delays.

In the opinion of the Issuer's Management Board, the conclusion of instalments with ZUS will have a positive impact on the financial situation of the Work Service Group and will, on the one hand, make it possible to rebuild the surplus cash necessary given the significant interim fluctuations in working capital and, on the other hand, will facilitate full use of the factoring limits, which the Issuer announced in Current Report No. 85/2018.

As a result of the analysis carried out, the Issuer concluded that it is justified to classify the information indicated above as confidential information within the meaning of Art. 17.1 of the MAR, subject to publication in the form of this report.

Legal basis:

Art. 17 sec. 1 MAR (Regulation of the European Parliament and of the Council (EU) NO. 596/2014 of 16 April 2014 on the Market Abuse and repealing the Directive 2003/6/EC of the European Parliament and of the Council 2003/124/EC, 2003/125/EC i 2004/72/EC).

Signatures:

Iwona Szmitkowska – President of the Management Board

Jarosław Dymitruk - Vice-President of the Management Board