Sytuacja finansowa Grupy Budimex - Contingent liabilities and receivables of the Budimex Group

Contingent liabilities and receivables of the Budimex Group

Guarantees, sureties and other contingent liabilities and receivables:

	31 December 2015	31 December 2014
Contingent receivables
From related entities
– guarantees and sureties received	-	-
– promissory notes received as security	-	-
From related entities, in total	-	-
From other entities
– guarantees and sureties received	348,558	316,777
– promissory notes received as security	5,478	8,519
From other entities, in total	354,036	325,296
Other contingent receivables	1,350	86
Total contingent receivables	355,386	325,382
Contingent liabilities
To related entities
– guarantees and sureties issued	5,286	5,456
– promissory notes issued as security	-	-
To related entities, in total	5,286	5,456
To other entities
– guarantees and sureties issued	2,722,682	2,035,036
– promissory notes issued as security	2,610	6,746
To other entities, in total	2,725,292	2,041,782
Other contingent liabilities	133,554	135,480
Total contingent liabilities	2,864,132	2,182,718
Total off-balance-sheet items	(2,508,746)	(1,857,336)

Contingent receivables arising from guarantees and sureties represent guarantees issued by banks or other entities to Budimex Group companies, serving as security for the Group’s claims against business partners in connection with executed construction contracts.

Contingent liabilities arising from guarantees and sureties represent mainly guarantees issued by banks to business partners of Group companies to secure their claims against Group companies that may arise on the grounds of executed construction contracts. The banks are entitled to recourse claims against Group companies under these guarantees.

The issued promissory notes secure the payment of liabilities towards strategic suppliers of the Group companies, while the received promissory notes recognised in contingent receivables secure the payment of receivables by investors / customers of the Group companies.

Other contingent liabilities include among others voluntary acceptance of enforcement constituting a security of payment up to the amount of PLN 133,554 thousand due and payable in the case of improper performance of obligations by Budimex SA under the acquisition agreement concerning shares of Przedsiębiorstwo Napraw Infrastruktury Sp. z o.o.

The table below shows sureties for bank loans and borrowings, as well as guarantees issued by Budimex SA or its subsidiaries as at 31 December 2015:

Name of the company issuing a surety for a loan or borrowing or issuing a guarantee	Name of the (company) entity which received sureties or guarantees	Total value of loans or borrowings covered in part or in total by guarantees or sureties	Period for which sureties or guarantees were issued	Financial terms on which sureties or guarantees were issued	Nature of relationship existing between BUDIMEX SA and the entity that incurred the loan or borrowing
Budimex SA	Mostostal Kraków SA	79 763	2018-11-13	against charge	subsidiary
Budimex SA	Budimex Parking Wrocław Sp. z o.o.	206	2017-08-31	free of charge	subsidiary
Budimex SA	Budimex Bau GmbH	82	2016-08-31	free of charge	subsidiary
Budimex SA	Budimex Budownictwo Sp. z o.o.	33 360	2024-03-31	free of charge	subsidiary
Budimex SA	FBSerwis SA	4 023	2021-06-16	against charge	associate
Budimex Budownictwo Sp. z o.o.	FBSerwis SA	1 263	2018-11-16	against charge	associate
TOTAL		118 697