12. Other notes
Note 12.1 Related party transactions
The accounting policies and significant estimates and assumptions presented in Part 10 are applicable to transactions entered into with related parties.
The transactions between the Group and related parties include transactions with:
- the joint venture Sierra Gorda,
- entities controlled or jointly controlled by the State Treasury or over which it has significant influence, and
- the management board and the supervisory board (remuneration) – Note 12.11.
Operating income from related parties
| 2017 | 2016 |
---|---|---|
Revenues from sales of products, merchandise and materials to a joint venture | 33 | 100 |
Interest income on a loan granted to a joint venture | 319 | 633 |
Revenues from other transactions with a joint venture | 43 | 41 |
Revenues from other transactions with other related parties | 16 | 14 |
| 411 | 788 |
Purchases from related parties
| 2017 | 2016 |
---|---|---|
Purchase of services, merchandise and materials from joint ventures | - | 53 |
Purchase of services, merchandise and materials from other related parties | 17 | 15 |
Other purchase transactions from other related parties | 2 | 2 |
| 19 | 70 |
Trade and other receivables from related parties
| 2017 | 2016 |
---|---|---|
From the joint venture Sierra Gorda S.C.M. (loans) | 3 889 | 4 313 |
From the joint venture Sierra Gorda S.C.M. (other) | 461 | 492 |
From other related parties | 3 | 2 |
| 4 353 | 4 807 |
Trade and other payables towards related parties
| 2017 | 2016 |
---|---|---|
Towards joint ventures | 13 | 51 |
Towards other related parties | 1 | 1 |
Pursuant to IAS 24, the Group is obliged to disclose unsettled balances, including payables towards the Polish Government and entities controlled or jointly controlled by the Polish Government, or over which the Polish Government has significant influence.
As at 31 December 2017, balances of unsettled payables concerned the mining usufruct agreements necessary to conduct principal operating activities. Pursuant to these agreements, the Parent Entity is obliged to pay for the right to mine the copper and rock salt deposits. As at 31 December 2017, the balance of liabilities due to these agreements amounted to PLN 202 million (as at 31 December 2016: PLN 209 million). In the reporting period, the variable part of the fee for the right to mine, recognised in costs in the amount of PLN 31 million, was set as the equivalent of the 30% of the mining fee due for 2016 (correspondingly, in the period from 1 January to 31 December 2016: PLN 31 million).
In the current and comparable periods, no other individual transactions were identified which would be considered as significant in terms of unusual scope and amount.
The remaining transactions, which were collectively significant, between the Group and the Polish Government and with entities controlled or jointly controlled by the Polish Government, or over which the government has significant influence, were within the scope of normal, daily economic operations, carried out at arm’s length. These transactions concerned the following:
the purchase of goods to meet the needs of current operating activities. In the period from 1 January to 31 December 2017, the turnover from these transactions amounted to PLN 991 million (from 1 January to 31 December 2016:
PLN 585 million), and, as at 31 December 2017, the unsettled balance of liabilities from these transactions amounted to PLN 107 million (as at 31 December 2016: PLN 85 million),
sales to Polish State Treasury Companies. In the period from 1 January to 31 December 2017, the turnover from these sales amounted to PLN 82 million (from 1 January to 31 December 2016: PLN 52 million), and, as at 31 December 2017, the unsettled balance of receivables from these transactions amounted to PLN 7 million (as at 31 December 2016: PLN 8 million).
Note 12.2 Dividends paid
In accordance with Resolution No. 7/2017 of the Ordinary General Meeting of KGHM Polska Miedź S.A. dated 21 June 2017 regarding the payout of a dividend from prior years’ profits and setting the dividend date as well as the dividend payment dates, the amount of PLN 200 million was allocated as a dividend, representing PLN 1.00 per share.
The dividend date (the date on which the right to dividend is set) was set on 14 July 2017. Moreover, it was decided that the dividend will be paid in two instalments: on 17 August 2017 – the amount of PLN 100 million (representing PLN 0.50 per share) and on 16 November 2017 – the amount of PLN 100 million (representing PLN 0.50 per share).
In accordance with Resolution No. 6/2016 of the Ordinary General Meeting of KGHM Polska Miedź S.A. dated 28 June 2016 regarding the dividend payout from prior years’ profits, setting the dividend date and the dividend payment date, the amount of PLN 300 million was allocated as a shareholder dividend, representing PLN 1.50 per share.
The dividend date (the day on which the right to dividend is set) was set at 15 July 2016 with the dividend being paid in two instalments: 18 August 2016 – the amount of PLN 150 million (representing PLN 0.75 per share) and 17 November 2016 – the amount of PLN 150 million (representing PLN 0.75 per share).
All shares of the Parent Entity are ordinary shares.
Note 12.3 Other assets
Accounting policies |
---|
Receivables not constituting financial assets are initially recognised at nominal value, and at the end of the reporting period they are measured in the amount due. Accounting policies concerning financial assets were described in Part 7. |
| 2017 | 2016 |
---|---|---|
Other non-current non-financial assets | 112 | 117 |
Investment property | 79 | 78 |
Prepayments | 19 | 26 |
Other | 14 | 13 |
Other current assets | 464 | 252 |
Other current financial assets | 265 | 199 |
Available-for-sale financial assets | 59 | 56 |
Amounts retained (collateral) due to long-term construction contracts | 42 | 48 |
Other | 164 | 95 |
Other current non-financial assets | 199 | 53 |
Non-financial prepayments | 47 | 31 |
Other | 152 | 22 |
Other non-current and current assets, total | 576 | 369 |
Note 12.4 Other liabilities
Accounting policies |
---|
Other financial liabilities are initially recognised at fair value less transaction costs, and at the end of the reporting period they are measured at amortised cost. |
| 2017 | 2016 |
---|---|---|
Liabilities due to Franco Nevada streaming contract | 410 | 638 |
Trade payables | 172 | 180 |
Other accruals | 91 | 103 |
Other financial liabilities | 45 | 39 |
Other liabilities – non-current | 718 | 960 |
Special funds | 310 | 288 |
Provision for decommissioning costs of mines, other technological facilities and fixed assets - current | 10 | 28 |
Provision for disputed issues and court proceedings, and other provisions | 106 | 128 |
Deferred income | 113 | 137 |
Accruals* | 312 | 318 |
Other financial liabilities | 125 | 126 |
Other | 113 | 61 |
Other liabilities - current | 1 089 | 1 086 |
*These accruals are due to purchase costs of property rights due to cogeneration related to used electricity, charge for discharging of gases and dusts to the air and other recognised operating costs
Note 12.5 Assets and liabilities not recognised in the statement of financial position
The value of contingent assets and liabilities and other liabilities not recognised in the statement of financial position were determined based on estimates.
2017 | 2016 | ||
---|---|---|---|
Contingent assets | 529 | 554 | |
Guarantees received | 215 | 252 | |
Promissory notes receivables | 121 | 108 | |
Other | 193 | 194 | |
Contingent liabilities | 2 798 | 2 346 | |
Note 8.6 | Guarantees granted | 2 325 | 1 787 |
Note 8.6 | A promissory note | 173 | 256 |
Liabilities due to implementation of projects and inventions | 117 | 91 | |
Other | 183 | 212 | |
Other liabilities not recognised in the statement of financial position | 143 | 178 | |
Liabilities towards local government entities due to expansion of the tailings storage facility | 117 | 120 | |
Liabilities due to operating leases | 26 | 58 |
Note 12.6 Capital commitments related to property, plant and equipment and intangible assets
Capital commitments incurred in the reporting period, but not yet recognised in the statement of financial position, were as follows (as at 31 December of a given year):
2017 | 2016 | |
---|---|---|
Capital commitments due to the purchase of: | ||
property, plant and equipment | 2 478 | 2 420 |
intangible assets | 60 | 90 |
Total capital commitments | 2 538 | 2 510 |
The Group’s share in capital commitments of joint ventures accounted for using the equity method (Sierra Gorda project) is presented in Note 6.1 [Joint ventures accounted for using the equity method].
Note 12.7 The right of perpetual usufruct of land
The Parent Entity and the Group’s Polish subsidiaries obtained the right of perpetual usufruct of land mostly free of charge on the basis of laws in force. The land subject to perpetual usufruct is industrial area related to the core business activities, which also includes protective zones in which environmental quality standards have been exceeded as a result of the activities carried out.
Due to the nature of the use of the above-mentioned land, the Group has not determined fair values for these perpetual usufruct rights.
The table below contains information on future payments due to the right of perpetual usufruct of land.
2017 | 2016 | |
---|---|---|
Under one year | 14 | 14 |
From one to five years | 59 | 57 |
Over five years | 793 | 782 |
Total value of future contingent payments due to the right of perpetual usufruct of land | 866 | 853 |
The Group’s liabilities due to the right of perpetual usufruct of land, which were not recognised in the statement of financial position, were estimated on the basis of annual payment rates resulting from the recent administrative decisions and the useful life of the land subject to this right.
Note 12.8 Employment structure
2017 | 2016 | |
---|---|---|
White-collar employees | 10 369 | 10 062 |
Blue-collar employees | 22 997 | 23 308 |
Total (full-time equivalent) | 33 336 | 33 370 |
Note 12.9 Other adjustments to profit before income tax in the statement of cash flows
2017 | 2016 | |
---|---|---|
Change in assets/liabilities due to derivatives | ( 78) | 21 |
Reclassification of other comprehensive income to profit or loss as a result of realisation of hedging derivatives | 16 | 3 |
Losses on the sale of property, plant and equipment and intangible assets | 28 | 32 |
Other | ( 2) | ( 5) |
Total | ( 68) | ( 55) |
Note 12.10. Remuneration of key managers
| 2017 | ||||
---|---|---|---|---|---|
Remuneration of members of the Management Board (in PLN thousands) | Period when function served | Remuneration for the period of service as a member of the Management Board | Remuneration after the period of service as a member of the Management Board | Benefits due to termination of employment | Total earnings |
Members of the Management Board serving in the function as at 31 December 2017 | |||||
Radosław Domagalski - Łabędzki | 01.01-31.12 | 1 353 | - | - | 1 353 |
Michał Jezioro | 01.01-31.12 | 1 223 | - | - | 1 223 |
Stefan Świątkowski | 01.01-31.12 | 1 695 | - | - | 1 695 |
Rafał Pawelczak | 03.02-31.12 | 1 167 | - | - | 1 167 |
Ryszard Jaśkowski | 24.07-31.12 | 348 | - | - | 348 |
Other Members of the Management Board | |||||
Jacek Rawecki | 01.01-03.02 | 136 | 420 | 528 | 1 084 |
Piotr Walczak | 01.01-31.05 | 703 | 559 | 391 | 1 653 |
Krzysztof Skóra | - | - | 316 | 386 | 702 |
Mirosław Biliński | - | - | 185 | 256 | 441 |
Herbert Wirth | - | - | - | 411 | 411 |
Jarosław Romanowski | - | - | - | 46 | 46 |
Marcin Chmielewski | - | - | - | 329 | 329 |
Mirosław Laskowski | - | - | 92 | - | 92 |
Adam Sawicki | - | - | 107 | - | 107 |
Jacek Kardela | - | 329 | 329 | ||
TOTAL | 6 625 | 1 679 | 2 676 | 10 980 |
| 2016 | ||||
---|---|---|---|---|---|
Remuneration of members of the Management Board (in PLN thousands) | Period when function served | Remuneration for the period of service as a member of the Management Board | Remuneration after the period of service as a member of the Management Board | Benefits due to termination of employment | Total earnings |
Members of the Management Board serving in the function as at 31 December 2016 | |||||
Radosław Domagalski - Łabędzki | 28.10-31.12 | 243 | - | - | 243 |
Michał Jezioro | 09.11-31.12 | 177 | - | - | 177 |
Stefan Świątkowski | 23.02-31.12 | 1 194 | - | - | 1 194 |
Jacek Rawecki | 03.02-31.12 | 1 300 | - | - | 1 300 |
Piotr Walczak | 15.03-31.12 | 1 112 | - | - | 1 112 |
pozostali Członkowie Zarządu | |||||
Herbert Wirth | 01.01-03.02 | 166 | 1 206 | 206 | 1 578 |
Jarosław Romanowski | 01.01-03.02 | 178 | 1 129 | 185 | 1 492 |
Marcin Chmielewski | 01.01-03.02 | 158 | 1 089 | 164 | 1 411 |
Jacek Kardela | 01.01-03.02 | 159 | 1 109 | 164 | 1 432 |
Mirosław Laskowski | 01.01-15.03 | 273 | 1 269 | 309 | 1 851 |
Mirosław Biliński | 03.02-05.09 | 850 | - | 226 | 1 076 |
Krzysztof Skóra | 03.02-28.10 | 1 183 | - | 159 | 1 342 |
Dominik Hunek | 06.09-27.10 | 171 | - | - | 171 |
Wojciech Kedzia | - | - | 30 | - | 30 |
TOTAL | 7 164 | 5 832 | 1 413 | 14 409 |
| 2017 | |||
---|---|---|---|---|
Remuneration of members of the Supervisory Board (in PLN thousands) | Period when function served | Current employee benefits | Current benefits due to service | Total earnings |
Members of the Management Board serving in the function as at 31 December 2017 | ||||
Dominik Hunek | 01.01-31.12 | - | 138 | 138 |
Józef Czyczerski | 01.01-31.12 | 129 | 125 | 254 |
Leszek Hajdacki | 01.01-31.12 | 237 | 125 | 362 |
Bogusław Szarek | 01.01-31.12 | 254 | 168 | 422 |
Michał Czarnik | 01.01-31.12 | - | 131 | 131 |
Jarosław Witkowski | 01.01-31.12 | - | 131 | 131 |
Wojciech Andrzej Myślecki | 01.01-31.12 | - | 129 | 129 |
Marek PIetrzak | 01.01-31.12 | - | 129 | 129 |
Agnieszka Winnik - Kalemba | 01.01-31.12 | - | 126 | 126 |
Janusz Marcin Kowalski | 21.06-31.12 | - | 56 | 56 |
620 | 1 258 | 1 878 |
| 2016 | |||
---|---|---|---|---|
Remuneration of members of the Supervisory Board (in PLN thousands) | Period when function served | Current employee benefits | Krótkoterminowe świadczenia z tytułu pełnienia funkcji | Total earnings |
Members of the Management Board serving in the function as at 31 December 2016 | ||||
Józef Czyczerski | 01.01-31.12 | 110 | 107 | 217 |
Leszek Hajdacki | 01.01-31.12 | 184 | 107 | 291 |
Bogusław Szarek | 01.01-31.12 | 199 | 144 | 345 |
Dominik Hunek | 18.01-31.12 | - | 105 | 105 |
Michał Czarnik | 18.01-31.12 | - | 106 | 106 |
Jarosław Witkowski | 18.01-31.12 | - | 103 | 103 |
Wojciech Andrzej Myślecki | 07.12-31.12 | - | 9 | 9 |
Marek Pietrzak | 07.12-31.12 | - | 9 | 9 |
Agnieszka Winnik - Kalemba | 07.12-31.12 | - | 9 | 9 |
Other Members of the Management Board | ||||
Bogusław Stanisław Fiedor | 01.01-18.01 | - | 5 | 5 |
Jacek Poświata | 01.01-18.01 | - | 5 | 5 |
Andrzej Kidyba | 01.01-18.01 | - | 6 | 6 |
Tomasz Cyran | 01.01-18.01 | - | 6 | 6 |
Barbara Wietecka - Kwater | 01.01-18.01 | - | 5 | 5 |
Marcin Moryń | 01.01-18.01 | - | 7 | 7 |
Miłosz Stanisławski | 18.01-06.12 | - | 93 | 93 |
Cezary Godziuk | 18.01-07.12 | - | 93 | 93 |
Radosław Barszcz | 18.01-07.12 | - | 99 | 99 |
| | 493 | 1 018 | 1 511 |
2017 | 2016 | |
---|---|---|
Current employee benefits of other key managers (in PLN thousands) | 4 397 | 3 675 |
Based on the definition of key management personnel according to IAS 24 and based on an analysis of the rights and scope of responsibilities of managers of the Group arising from corporate documents and from management contracts, the members of the Board of Directors of KGHM INTERNATIONAL LTD. and the President of the Management Board of KGHM INTERNATIONAL LTD. were recognised as other key managers of the Group.
Note 12.11 Remuneration of the entity entitled to audit the financial statements and of entities related to it (in PLN thousands)
| 2017 | 2016 |
---|---|---|
Companies of the Deloitte Group | 5 000 | 5 070 |
From the contract for the review and audit of financial statements, including due to: | 3 809 | 3 258 |
| 3 098 | 2 667 |
| 668 | 581 |
| 43 | 10 |
From other contracts | 1 191 | 1 812 |
Note 12.12 Composition of the Group
Company | Head office | % of Group’s share | |
---|---|---|---|
2017 | 2016 | ||
BIPROMET S.A. | Katowice | 100 | 100 |
CBJ sp. z o.o. | Lubin | 100 | 100 |
CENTROZŁOM WROCŁAW S.A. | Wrocław | 100 | 99,65 |
CUPRUM Nieruchomości sp. z o.o. | Wrocław | 100 | 100 |
"Energetyka" sp. z o.o. | Lubin | 100 | 100 |
Fundusz Hotele 01 Sp. z o.o. | Wrocław | 100 | 100 |
Fundusz Hotele 01 Sp. z o.o. S.K.A | Wrocław | 100 | 100 |
INOVA Spółka z o.o. | Lubin | 100 | 100 |
INTERFERIE S.A. | Legnica | 69,5 | 68,25 |
Interferie Medical SPA Sp. z o.o. | Lubin | 90,05 | 89,64 |
KGHM CUPRUM sp. z o.o. - CBR | Wrocław | 100 | 100 |
CUPRUM DEVELOPMENT sp. z o.o. | Wrocław | 100 | 100 |
KGHM Kupfer AG | Berlin | 100 | 100 |
KGHM I FIZAN | Wrocław | 100 | 100 |
KGHM IV FIZAN | Wrocław | 100 | 100 |
KGHM V FIZAN | Wrocław | 100 | 100 |
KGHM Metraco S.A. | Legnica | 100 | 100 |
KGHM (SHANGHAI) COPPER TRADING CO., LTD. | Shanghai | 100 | 100 |
KGHM TFI S.A. | Wrocław | 100 | 100 |
KGHM ZANAM S.A. | Polkowice | 100 | 100 |
"MIEDZIOWE CENTRUM ZDROWIA" S.A. | Lubin | 100 | 100 |
NITROERG S.A. | Bieruń | 87,12 | 87,12 |
NITROERG SERWIS Sp. z o.o. | Wilków | 87,12 | 87,12 |
PeBeKa S.A. | Lubin | 100 | 100 |
PeBeKa Canada Inc. | Vancouver | 100 | 100 |
MERCUS Logistyka sp. z o.o. | Polkowice | 100 | 100 |
PHU "Lubinpex" Sp. z o.o. | Lubin | 100 | 100 |
Staropolanka Sp. z o.o. | Polanica Zdrój | 100 | 100 |
PMT Linie Kolejowe 2 Sp. z o.o. | Owczary | 100 | 100 |
Future 1 Sp. z o.o. | Lubin | 100 | 100 |
Future 2 Sp. z o.o. | Lubin | 100 | 100 |
Future 3 Sp. z o.o. | Lubin | 100 | 100 |
Future 4 Sp. z o.o. | Lubin | 100 | 100 |
Future 5 Sp. z o.o. | Lubin | 100 | 100 |
Future 6 Sp. z o.o. | Lubin | 100 | 100 |
Future 7 Sp. z o.o. | Lubin | 100 | 100 |
PMT Linie Kolejowe Sp. z o.o. | Owczary | 100 | 100 |
POL-MIEDŹ TRANS Sp. z o.o. | Lubin | 100 | 100 |
Polska Grupa Uzdrowisk Sp. z o.o. | Wrocław | 100 | 100 |
"Uzdrowisko Cieplice" Sp. z o.o.-Grupa PGU | Jelenia Góra | 98,53 | 98,48 |
Uzdrowiska Kłodzkie S.A. - Grupa PGU | Polanica Zdrój | 100 | 100 |
Uzdrowisko Połczyn Grupa PGU S.A. | Połczyn Zdrój | 100 | 100 |
Uzdrowisko "Świeradów-Czerniawa" Sp. z o.o.-Grupa PGU | Świeradów Zdrój | 99,12 | 98,98 |
WMN "ŁABĘDY" S.A. | Gliwice | 84,98 | 84,96 |
WPEC w Legnicy S.A. | Legnica | 100 | 100 |
Zagłębie Lubin S.A. | Lubin | 100 | 100 |
OOO ZANAM VOSTOK | Gaj (Russia) | 100 | 100 |
Companyi | Head office | % of Group’s share | |
---|---|---|---|
2016 | 2015 | ||
KGHM INTERNATIONAL LTD. GROUP | |||
KGHM INTERNATIONAL LTD. | Vancouver, Canada | 100 | 100 |
KGHM AJAX MINING INC. | Vancouver, Canada | 80 | 80 |
Sugarloaf Ranches Limited | Vancouver | 80 | 80 |
Malmbjerg Molybdenum A/S | Greenland | 100 | 100 |
KGHMI Holdings Ltd. | Vancouver, Canada | 100 | 100 |
Quadra FNX Holdings Chile Limitada | Chile | 100 | 100 |
Aguas de la Sierra Limitada | Chile | 100 | 100 |
Quadra FNX FFI S.à r.l. (wcześniej Quadra FNX FFI Ltd.) | Luxembourg | 100 | 100 |
Robinson Holdings (USA) Ltd. | Nevada, USA | 100 | 100 |
Wendover Bulk Transhipment Company | Nevada, USA | 100 | 100 |
Robinson Nevada Mining Company | Nevada, USA | 100 | 100 |
Carlota Holdings Company | Nevada, USA | 100 | 100 |
Carlota Copper Company | Nevada, USA | 100 | 100 |
FNX Mining Company Inc. | Ontario, Canada | 100 | 100 |
DMC Mining Services Ltd. | Vancouver, Canada | 100 | 100 |
Quadra FNX Holdings Partnership | Vancouver, Canada | 100 | 100 |
Raise Boring Mining Services, S.A. de C.V. | Mexico | 100 | 100 |
FNX Mining Company USA Inc. | USA | 100 | 100 |
DMC Mining Services Corporation | USA | 100 | 100 |
CENTENARIO HOLDINGS LTD. | Vancouver, Canada | 100 | 100 |
Minera Carrizalillo Limitada | Chile | 100 | 100 |
Mineria y Exploraciones KGHM International SpA | Chile | 100 | 100 |
KGHM Chile SpA (dawniej: Mineria Exploraciones KGHM International SpA) | Chile | 100 | 100 |
FRANKE HOLDINGS LTD. | Vancouver, Canada | 100 | 100 |
Sociedad Contractual Minera Franke | Chile | 100 | 100 |
0899196 B.C. Ltd. | Vancouver, Canada | 100 | 100 |
DMC Mining Services (UK) Ltd. | The United Kingdom | 100 | - |
DMC Mining Service Colombia SAS | Colombia | 100 | - |
Note 12.13 Subsequent events after the reporting period
Convening of an Extraordinary General Meeting of KGHM Polska Miedź S.A.
On 14 February 2018, the Management Board of KGHM Polska Miedź S.A. convened an Extraordinary General Meeting of KGHM Polska Miedź S.A., which will take place on 15 March 2018 beginning at 11 A.M., at the head office of the Parent Entity in Lubin.
The Extraordinary General Meeting of KGHM Polska Miedź S.A. was convened in order to adopt the following resolutions:
- on changing the subject of the Company’s activity and amending the Statutes of KGHM Polska Miedź S.A.,
- on changes to the composition of the Supervisory Board of the Company KGHM Polska Miedź S.A.
Extension of the deadline for repayment of bank loans
On 2 February 2018, the Parent Entity extended the period of availability of the USD 100 million credit line in Bank Gospodarstwa Krajowego to 2 February 2019. Interest on the bank loan is based on LIBOR plus a margin.
On 27 February 2018, the Parent Entity extended the period of availability of the PLN 170 million credit line in Bank Zachodni WBK S.A. to 28 February 2019. Interest on the bank loan is based on WIBOR/LIBOR plus a margin.
Granting guarantees
On 21 February 2018, the Parent Entity granted a corporate guarantee in the amount of USD 50 million to cover the obligations of DMC due to the contract signed on 13 February 2018 by DMC Mining Services (UK) Ltd. and DMC Mining Services Ltd. (“DMC”) to provide design services and to sink 4 shafts as part of the project to mine polyhalite in the United Kingdom.
Changes in the composition of the Management Board of the Parent Entity
On 10 March 2018, the Supervisory Board of the Parent Entity dismissed the following persons from the Management Board of KGHM Polska Miedź S.A.:
Radosław Domagalski-Łabędzki, President of the Management Board;
Michał Jezioro, Vice President of the Management Board.
The Supervisory Board set the number of 9th-term Management Board members at 3 Members of the Management Board.
At the same time, the Supervisory Board assigned:
- the duties of President of the Management Board - to Rafał Pawełczak, Vice President of the Management Board (Development), until the appointment of a President of the Management Board of KGHM Polska Miedź S.A. following qualification proceedings;
- the duties of Vice President of the Management Board (International Assets) - to Stefan Świątkowski, Vice President of the Management Board (Finance), until the appointment of a Vice President of the Management Board (International Assets) following qualification proceedings.
Rafał Pawełczak and Stefan Świątkowski will continue to fulfil the functions assigned to them to date on the Management Board of KGHM Polska Miedź S.A.