Issuance of Netia’s series K shares
WARSAW, Poland – July 12, 2007 – Netia SA (“Netia” or the “Company”) (WSE: NET), Poland’s largest alternative provider of fixed-line telecommunications services, announced that on July 11, 2007 it was notified about the settlement of a transaction by Krajowy Depozyt Papierów Wartościowych SA (National Depository of Securities) (“KDPW”), as a result of which on July 10, 2007 the Company issued, within its authorized capital, 109,455 ordinary bearer series K shares with a nominal value of PLN 1 each (“Series K Shares”), which give the right to 109,455 votes at Netia’s general meeting of shareholders. The Series K shares were issued due to the exercise by a person authorized thereto (a former member of Netia’s management board) of his rights arising from the performance stock option plan adopted by Netia’s Supervisory Board on June 28, 2002, as amended. By resolution No. 218/03 of May 14, 2003, the Management Board of KDPW assigned the Series K Shares with the PLNETIA00097 code.
Netia’s issued and outstanding share capital, following this issuance is PLN 389,277,294 and represents 389,277,294 shares, PLN 1 par value per share, each share giving the right to one vote at Netia’s general meeting of shareholders.
The Series K shares were issued due to the exercise of rights attached to 109,455 ordinary bearer Series III notes, authorizing their holders to subscribe for the Series K Shares prior to the Company’s shareholders, having a nominal value of 1 grosz (PLN 0.01) each (“Series III Notes”). In connection with the exercise of rights from the Series III Notes, the Company bought and redeemed 109,455 Series III Notes.