Declaration of bankruptcy providing for an opportunity to sign a composition agreement
The Management Board of Advadis S.A. ("Company") hereby informs that on 10th January 2012 it learnt about a Decision issued by the District Court Katowice-Wschód in Katowice, 10th Commercial Division ("Court") of 9th January 2012 on declaration of bankruptcy of the Company providing for an opportunity to sign a composition agreement (following the application of the Company of 14th October 2011).
The Court entrusted all the assets to the Company’s own administration (the bankrupt Company’s administration over its assets) and appointed an Official Receiver (Bankruptcy Judge), namely the Judge of the District Court for Katowice-Wschód in Katowice, Mr Marek Stachura and a Court Administrator, namely Mr Wojciech Zymek.
The Court summoned the Company’s creditors to report their debts within 1 (one) month, counting from the day, on which the aforementioned Decision was published. Moreover, the Court called the persons with personal rights and claims imposed on the Company’s assets, if these have not been disclosed in a Land and Mortgage Register to report them within 1 (one) month, counting from the day, on which the aforementioned Decision was published. The main elements of composition proceedings are as follows:
1. Debts, in which the sum of principal amount, interest and other costs as per the day of the declaration of bankruptcy providing for an opportunity to sign a composition agreement does not exceed PLN 10 000 (ten thousand złoty) will not be subject to reduction and shall be paid on a one-off basis within 6 months since the day, on which the Decision on approving the composition becomes final and binding;
2. Debts exceeding PLN 10 000 (ten thousand złoty), as a sum of the principal amount, interest and other costs shall be reduced as follows:
a. interest and other costs: total reduction (remission of the amounts due),
b. principal amount – no reduction, it will be settled through conversion of the debt into shares issued by the Company within 6 months since the day, on which the Decision on approving the composition becomes final and binding.
The said Decision is not final and binding – it will become final and binding within 7 days following its receipt by the Company.