The Management Board of Toya S.A. hereby informs that on 1 October 2012 it has obtained information regarding signature by Castorama Polska Sp. z o.o. seated in Warsaw („Castorama”) of the significant agreement with TOYA S.A. („Supplier”)
The agreement specifies general terms and conditions of the cooperation between parties, particularly relating to the sale of goods offered by the Supplier to Castorama chain, conducting of marketing campaigns and granting bonuses.
The agreement has been signed for undefined time and each party has a right to terminate the contract with one-month written notice period.
The agreement provides a penalty in the amount of PLN 1 000 000 for the Supplier’s failure to keep the secrecy of confidential information. In the opinion of the Management Board other penalties provided for in the agreement will not exceed 10% of the total value of the contract or equivalent of EUR 200 000. In the case that the damage exceeds the amount of the penalty, Castorama has a right to claim compensation according to general rules.
Other terms and conditions are similar to those commonly used for this type of agreement.
The criteria for designating this as a significant agreement is that the total estimated value of the sales and services transactions pursued on the basis of terms and conditions of trade cooperation agreed by the contract will exceed 10% of the amount of equity of Toya S.A.
Legal basis: §5 paragraph 1 point 3 of the Regulation of the Minister of Finance on current and periodic information provided by issuers of securities and on conditions under which information required by legal regulations of a third country may be recognized as equivalent.
Grzegorz Pinkosz
President of the Management Board