Prime Car Management MARKET UPDATE. Share overhang risk is gone BUY. Fair Value PLN 57.00

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1 MARKET UPDATE Poland Financial Services Small & Mid Cap 28-April-2015 Prime Car Management Share overhang risk is gone We reiterate our BUY rating for Prime Car Management and decrease our FV from PLN 62 to PLN 57.0 to reflect: 1) DPS of 5.25 paid out in April, 2) slightly trimmed financial forecasts; 3) lower risk free rate; and 4) rolling forward our valuation model. Our new FV still implies 21% upside potential. Over the last couple of months the share price has been under pressure due to the possibility that company s largest shareholder could sell its stake after the one year lock-up expired. This actually happened. Fleet Holding, controlled by private equity house Abris, sold its entire 60% stake in an ABB and PCM has a 100% free float now. Most shares were purchased by Polish institutional investors: pensions and mutual funds. Now the overhang risk has gone, we believe the company has room to rerate. Given relatively low 2015E multiples, an attractive 2015E dividend yield, a growing balance sheet and forecast improving operating efficiency which should offset the expected lower interest income we recommend taking advantage of the current price level and buying the stock. New dividend policy in place A few days before the ABB, PCM announced that it had altered its dividend policy and currently aims to pay at least 100% of consolidated net profit vs. the 75% we expected in our 1Q15 preview report. We note the words at least which in our opinion suggests the company may decide to pay more than its entire profits to shareholders. Given its relatively low leverage we think this is possible and that the company can afford it. On our forecasts of a 100% payout ratio Prime Car Management offers a dividend yield of 8.5% in 2016E and close to 10% in 2017E (dividend from FY has already been paid out). Balance sheet growth should be decent The fleet growth potential has been the biggest question from the very beginning. However, given the supportive macro environment and the company s target of 9,270 new deliveries (up by 11% YoY), we expect the value of the fleet to grow by 13% this year to PLN 1.1bn. Going forward we forecast single digit growth by 8% and 7% for 2016E and 2017E, respectively. BUY 21% upside Fair Value PLN Bloomberg ticker PCM PW Share Price PLN Market Capitalisation PLN m Free Float 100% PLN m Y/E 31-Dec A 2015E 2016E 2017E Revenues Gross profit on sales Pre-Tax Profit Net Income Leasing portfolio Total Assets Total Equity Y/E 31-Dec A 2015E 2016E 2017E P/E P/BV ROE 13.0% 9.7% 11.1% 11.9% Dividend yield 4.6% 11.1% 8.5% 9.6% Payout Ratio 59.3% 100.0% 100.0% 100.0% NIM 5.9% 4.9% 4.8% 4.7% F&C yield* 6.6% 5.1% 5.1% 5.0% C/I 31.9% 35.6% 33.2% 31.7% May Jun Jul Share Price Performance Aug Sep PCM PW Oct Nov Dec Jan 2015 vs WIG Index All share price data as at close on 24-Apr-2015 Feb Mar Source: BESI Research, Company Data, Bloomberg Apr 2015 Trimmed forecasts to reflect lower interests rates The biggest risk for the company in our view is a lower interest rate environment. The recent interest rate cut in Poland is not very helpful for profitability and this is the primary reason why we cut our net profit forecast by 13% for both 2015E and 2016E to PLN 47.7m and PLN 53.9m, respectively. Attractive valuation Prime Car Management trades at a PE 15E of 11.8x which we think is a very attractive level and a major discount given that Polish mid-sized companies trade at a PE 15E of 17.8x based on Bloomberg estimates for mwig40 (PE 15 ratio for swig80 index (small-caps) is 14.8x). Analysts Lukasz Janczak ljanczak@espiritosantoib.pl Banco Espírito Santo de Investimento, S.A. Warsaw Branch Poland 59 Zlota Street, Warsaw (v ) NOT FOR DISTRIBUTION TO ANY US PERSON OR TO ANY PERSON OR ADDRESS IN THE UNITED STATES OF AMERICA

2 Summary financial information PRIME CAR MANAGEMENT Valuation Metrics E 2016E 2017E 2018E 2019E Recommendation BUY P/E n/a Fair Value (PLN): 57.0 P/BV Upside / Downside potential 21% EV / CFO Dividend yield 0.0% 0.5% 0.8% 4.6% 11.1% 8.5% 9.6% 10.4% 11.1% Previous Fair Value (PLN) 62.0 EPS change -8% DPS (cash basis) Share Price (24/04/2015, PLN): Bloomberg PCM PW Key Ratios E 2016E 2017E 2018E 2019E Interests yield 11.4% 11.3% 10.3% 8.6% 7.4% 7.4% 7.4% 7.4% 7.4% # of shares (m) 11.9 Cost of funding 12.2% 8.5% 6.2% 4.6% 3.7% 3.7% 3.7% 3.7% 3.7% NIM 3.8% 6.1% 6.8% 5.9% 4.9% 4.8% 4.7% 4.7% 4.7% Market capitalization (PLN m) 563 F&C yield* 1.1% 2.7% 4.2% 6.6% 5.1% 5.1% 5.0% 5.0% 5.0% Net debt (PLN m, as of end of ) 606 C/I 72.7% 41.5% 35.4% 31.9% 35.6% 33.2% 31.7% 30.7% 31.2% EV (PLN m) 1,169 Cost of risk (bps) Equity capital (PLN m) 499 Effective tax rate 166.4% 23.1% 25.6% 17.4% 22.0% 22.0% 22.0% 22.0% 22.0% Net profit margin -0.6% 6.1% 7.9% 11.3% 8.8% 9.0% 9.2% 9.3% 9.1% Catalysts ROA -0.3% 3.0% 4.1% 5.6% 3.9% 4.0% 4.1% 4.2% 4.1% 1Q15 earnings release 15-May-15 Assets / Equity ROE -0.8% 8.1% 9.9% 13.0% 9.7% 11.1% 11.9% 12.6% 12.7% Debt / Equity Payout Ratio 0.0% n/a 14% 59% 100% 100% 100% 100% 100% Equity Research Analyst P&L Summary E 2016E 2017E 2018E 2019E Lukasz Janczak Financial revenues ljanczak@espiritosantoib.pl Financial expenses Net interest income Maintenance result Insurance result Revenues (PLN m) Remarketing income Depreciation margin (recovery) Collection income Other net operating income Gross profit on sales General expenses Provisioning Pre-Tax Profit Income Tax Expense Net Income (3.1) YoY growth -61% n/a 33% 42% -24% 13% 9% 6% 2% Net Profit (PLN m) E 2016E 2017E 2018E Leasing and additional charges Interest income VRM Fee and commission revenue Other financial income Other operating income Balance Sheet (PLN m) E 2016E 2017E 2018E 2019E Cash & Equivalents Leasing portfolio , , , , ,335.1 YoY growth -0.1% -0.4% 2.6% 8.1% 12.7% 8.0% 6.9% 3.7% 2.0% Inventories Other Assets Total Assets 1, , , , , , , , ,551.9 Interest Bearing Debt Other Liabilities Total Liabilities , ,052.3 Total Equity YoY growth -0.8% 7.7% 9.3% 7.9% -3.0% 1.3% 1.0% 0.8% 0.2% Net Debt (3.1) E 2016E 2017E 2018E 1Q15 fleet split Semi-FSL 7,002 29% FM 901 Leasing 4% only 2,200 9% FSL 14,250 58% Cash Flow Summary (PLN m) E 2016E 2017E 2018E 2019E Gross profit Adjustments: Depreciation Principal value of financial lease Other OCF Operating Cash Flow CAPEX on leasing assets (443.8) (433.5) (479.2) (527.2) (582.9) (597.3) (628.8) (628.8) (628.8) Other CFI (0.1) (3.7) (0.6) (1.9) (2.0) (2.0) (2.0) (2.0) (2.0) Cash Flow from Investment (443.9) (437.2) (479.9) (529.1) (584.9) (599.3) (630.8) (630.8) (630.8) Share issue Change in debt 25.4 (28.0) (12.6) Dividends paid 0.0 (3.0) (4.5) (26.1) (62.6) (47.7) (53.9) (58.6) (62.4) Other (2.9) (2.7) (0.6) (0.1) Cash Flow from Financing 22.5 (33.7) (17.8) (13.6) (32.4) Cash Flow Total 14.6 (3.6) (9.7) 6.0 (0.5) 0.9 (3.5) (2.8) 2.8 * calculated as sum of maintenance, insurance, remarketing, depreciation, collection and other net operating incomes divided by average value of leasing portfolio Source: Company data, Bloomberg, BESI Research for estimates Page 2 of 10

3 Valuation We use an average of three valuation methods to derive our FV: discounted dividends model, residual income model and a warranted equity valuation based on a P/BV ratio. We apply a variable cost of equity of 8.2%-9.1% (8.5%- 9.1% previously) for 2015E-2020E to reflect the expected change in the company s balance sheet structure. We assume a risk free rate of 2.3% (3.4%), unlevered beta for financial services providers of 0.5 (no change), leveraged beta from 1.2 to 1.4 ( ), risk premium of 5% and a g rate of 2% (no changes). Table 1 Cost of equity calculation Key data (PLN m) E 2016E 2017E 2018E 2019E 2020E Assets 1,082 1,171 1,291 1,387 1,472 1,521 1,552 1,567 Debt ,022 1,052 1,067 Equity Net profit Cost of equity E 2016E 2017E 2018E 2019E 2020E Risk free rate 4.6% 3.6% 2.3% 2.3% 2.3% 2.3% 2.3% 2.3% Risk premium 5.0% 5.0% 5.0% 5.0% 5.0% 5.0% 5.0% 5.0% Unlevered beta Levered beta CoE 9.9% 8.8% 8.2% 8.5% 8.8% 8.9% 9.0% 9.1% g 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% ROE 9.9% 13.0% 9.7% 11.1% 11.9% 12.6% 12.7% 12.7% Table 2 DDM valuation DDM E 2017 E 2018E 2019E 2020E TV Dividend (PLN m) discount factor PV of dividend (PLN m) g 2% month 4 Value of equity (PLN m) NOSH (m) 11.9 FV (PLN) 57.1 Table 3 Residual income on equity capital valuation Residual income E 2016E 2017E 2018E 2019E 2020E TV Net profit (PLN m) Equity (PLN m) ROE 9.9% 13.0% 9.7% 11.1% 11.9% 12.6% 12.7% 12.7% 12.7% CoE 9.9% 8.8% 8.2% 8.5% 8.8% 8.9% 9.0% 9.1% 9.1% excess return (PLN m) discount factor PV (PLN m) g 2% sum of PV (PLN m) Equity at the end of 2013E (PLN m) month 4 Dividend paid 62.6 Value of equity (PLN m) NOSH (m) 11.9 FV (PLN) 56.9 Page 3 of 10

4 Table 4 Warranted equity valuation Warranted equity valuation 2015E 2016E 2017E 2018E 2019E 2020E implied P/BV PV of P/BV valuation (PLN m) PV of div. paid till '17 (PLN m) SUM (PLN m) month 4 Value of equity (PLN m) NOSH (m) 11.9 FV (PLN) 57.0 Source: BESI Research for estimates Table 5 Valuation summary Valuation summary FV We ight Residual income /3 Warranted equity valuation /3 DDM /3 FV (PLN) 57.0 Source: BESI Research for estimates, Company Data We also provide a peer multiples valuation. Unfortunately Masterlease does not have close peers listed on the Warsaw Stock Exchange or other European exchanges. Thus, we have presented comparisons for global peers with similar business models with 0% weights. Table 6 Peers multiple valuations global peers Ticke r Name Price FV Rating M cap EUR m P/ E P/ BV ROE Dividend yield 2 015E 2 016E E 2 015E 2 016E E 2 015E 2 016E E 2 015E 2 016E E HTZ US Equity HERTZ GLOBAL , n/a n/a 16.0% 19.2% n/a n/a n/a n/a CAR US Equity AVIS BUDGET GROUP , % 46.7% 32.0% n/a n/a n/a RENT3 BZ Equity LOCALIZA RENT A CAR 36.0 R$ 33.5 NEUTRAL 2, % 23.3% 25.1% 2.0% 2.4% 3.2% SIX2 GR Equity SIXT SE , % 15.2% 14.5% 2.5% 2.6% 2.9% NTG LN Equity NORTHGATE PLC , n/a n/a 11.3% 10.8% n/a 2.3% 2.3% n/a me dian % 19.2% 2 5.1% 2.3% 2.4% 3.1% % 11.1% 11.9% 11.1% 8.5% 9.6% Source: BESI Research, Bloomberg consensus estimates for rated and not rated companies Implied valuation (PLN m) Median of implied valuations (PLN m) Implied FV (PLN) 64.5 Forecasts changes Table 7 Changes in BESI forecasts in PLN m 2 015E 2 016E Ne w Old change Ne w Old change Own fleet size (# of vehicles) 24,625 24,343 1% 25,916 26,366-2% Lease portfolio 1,094 1,040 5% 1,181 1,151 3% Revenues % % Expenses % % Net profit % % Source: BESI Research for estimates Page 4 of 10

5 Financial Statements Table 8 P&L statements in two formats (PLN m) P&L (reported version) E 2016E 2017E 2018E 2019E 2020E Re ve nue s Leasing and additional charges Fee and commission revenue Interest income Other financial income VRM Other operating income Costs Maintenance and service leasing costs Operating lease depreciation charge General management and administration costs Interest costs Other financial costs VRM Other operating costs Profit before tax Corporate tax Net profit P&L (second version) E 2016E 2017E 2018E 2019E 2020E Financial revenues Financial expenses Net interest income Maintenance result Insurance result Remarketing income Depreciation margin (recovery) Collection income Other net operating income Gross profit on sales General expenses Provisioning Profit before tax Corporate tax Net profit Key figures and metrics E 2016E 2017E 2018E 2019E 2020E Interest Yield 11.4% 11.3% 10.3% 8.6% 7.4% 7.4% 7.4% 7.4% 7.4% 7.4% Cost of funding 12.2% 8.5% 6.2% 4.6% 3.7% 3.7% 3.7% 3.7% 3.7% 3.7% NIM 3.8% 6.1% 6.8% 5.9% 4.9% 4.8% 4.7% 4.7% 4.7% 4.6% F&C yield* 1.1% 2.7% 4.2% 6.6% 5.1% 5.1% 5.0% 5.0% 5.0% 5.0% C/I 72.7% 41.5% 35.4% 31.9% 35.6% 33.2% 31.7% 30.7% 31.2% 32.0% Cost of risk (bps) Effective tax rate 166.4% 23.1% 25.6% 17.4% 22.0% 22.0% 22.0% 22.0% 22.0% 22.0% ROA -0.3% 3.0% 4.1% 5.6% 3.9% 4.0% 4.1% 4.2% 4.1% 4.1% Assets / Equity ROE -0.8% 8.1% 9.9% 13.0% 9.7% 11.1% 11.9% 12.6% 12.7% 12.7% * calculated as sum of maintenance, insurance, remarketing, depreciation, collection and other net operating incomes divided by average value of leasing portfolio Page 5 of 10

6 Table 9 Balance sheet (PLN m) Balance Sheet E 2016E 2017E 2018E 2019E 2020E Cash and cash equivalents Finance lease receivables Inventories Intangible assets Property, plant and equipment leased vehicles Other assets TOTAL ASSETS 1,081 1,090 1,082 1,171 1,291 1,387 1,472 1,521 1,552 1,567 Total equity Bonds, loans and borrowings ,014 Trade payables Other liabilities Total liabilities ,022 1,052 1,067 TOTAL EQUITY AND LIABILITIES 1,081 1,090 1,082 1,171 1,291 1,387 1,472 1,521 1,552 1,567 Leasing portfolio ,094 1,181 1,263 1,309 1,335 1,349 YoY change -0.1% -0.4% 2.6% 8.1% 12.7% 8.0% 6.9% 3.7% 2.0% 1.0% Key ratios & figures E 2016E 2017E 2018E 2019E 2020E Assets / Equity Debt / Equity Net Debt ,004 Table 10 Cash flow statement (PLN m) Cash Flow E 2016E 2017E 2018E 2019E 2020E Gross profit Adjustme nts: Depreciation Repayment of principal value of financial lease Change in working capital Tax paid Other CFO CAPEX on leasing assets Other CFI CFI Share issue Change in debt Dividends paid Other CFF Change in cash Cash at the beginning Cash at the end Page 6 of 10

7 Valuation Methodology We use an average of three valuation methods to derive our FV: discounted dividends model, residual income model and a warranted equity valuation based on a P/BV ratio. We apply a variable cost of equity of 8.2%-9.1% (8.5%- 9.1% previously) for 2015E-2020E to reflect the expected change in the company s balance sheet structure. We assume a risk free rate of 2.3% (3.4%), unlevered beta for financial services providers of 0.5 (no change), leveraged beta from 1.2 to 1.4 ( ), risk premium of 5% and a g rate of 2% (no changes). Risks to Fair Value Limited funding availability External funding plays a key role in the company s business model, as is typical for leasing and CFM companies. We note a risk that the firm might find it difficult to secure external funding on acceptable terms, on time, or in an amount sufficient to finance its fleet expansion plans, which might in turn affect the scale of the company s growth and the pace of defined strategic goals fulfillment and earnings generation. Growing competition The company competes with other leasing companies and CFM services providers in the Polish market. Growing competition could result in lower margins on new contracts signed. It might also lead to lower than assumed growth in the value of the lease portfolio. Higher imports of used cars The group provides mostly new cars and additional CFM services. Higher volumes of imported cars could decrease the demand for new cars and affect the value of used cars in the secondary market. As a result, the residual value of the company s vehicles could drop and the company might post a significant loss on the sale of post-leasing cars. Quality of lease portfolios Deterioration in the financial standing of the company s clients could make them unable to fulfil their obligations towards the company and regularly pay monthly instalments. The company could be forced to increase provisioning and/or lack sufficient funds to finance new vehicles and to cover its operational expenses. Risk related to interest rates Financial revenues and costs are a significant part of the company`s financials. The company might not be able to fully pass through an increase in interest rates to its customers, while at the same time having to bear higher financial expenses. Changes in IFRS Potential changes in presentation of leasing assets and liabilities in financial statements under IFRS could affect demand for the company s services. Currently operational leasing is recorded off-balance sheet and it is preferred for already highly leveraged companies that cannot draw additional ordinary funding. Changes in IFRS may impose an obligation to include operational leases on the balance sheet. Page 7 of 10

8 Prime Car Management PCM PW 60 Buy Trading Buy Neutral Trading Sell Sell Restricted Dropped Coverage B B Apr-14 Jul-14 Oct-14 Jan-15 Apr-15 Report date Recommendation Fair value Share price September 17 Buy PLN PLN June 12 Buy PLN PLN Source: Bloomberg, BESI Research Please visit our website at for up to date recommendation charts. Page 8 of 10

9 IMPORTANT DISCLOSURES This report was prepared by BESI Research, a global brand name for the equity research teams of Banco Espírito Santo de Investimento, S.A., with headquarters in Lisbon, Portugal, of its Branches in Spain and Poland and of its affiliates BES Securities do Brasil, S.A Corretora de Câmbio e Valores Mobiliários, in Brazil, Execution Noble Limited, in the United Kingdom, and Espirito Santo Securities India Private Limited, in India, all authorized to engage in securities activities according to each domestic legislation. All of these entities are included within the perimeter of the financial group controlled by Novo Banco, S.A., a Portuguese bank authorised and regulated by Banco de Portugal (Portuguese Banking Regulator) and Comissão do Mercado de Valores Mobiliários (the Portuguese Securities Market Authority), which was incorporated on the 3rd of August in the context of the resolution action taken on the former financial institution Banco Espírito Santo, S.A Analyst Certification Each research analyst primarily responsible for the content of this research report, in whole or in part, certifies that with respect to each security or issuer that the analyst covered in this report: (1) all of the views expressed accurately reflect his or her personal views about those securities or issuers; the issuers were not previously informed about the content of the recommendation included in this research report and the assumptions were not validated by the issuers; (2) no part of his or her compensation is directly or indirectly related to: (a) the specific recommendations or views expressed by that research analyst in the research report; and/or (b) any services provided or to be provided by Banco Espírito Santo de Investimento, S.A. and/or by any of its affiliates to the issuer of the securities under recommendation. Moreover, each of the analysts hereby certifies that he or she has no economic or financial interest whatsoever in the companies subject to his or her opinion and does not own or trade any securities issued by the latter. Ratings Distribution BESI Research hereby provides the distribution of the equity research ratings in relation to the total issuers covered and to the investment banking clients as of end of March Explanation of Rating System 12-MONTH RATING BUY DEFINITION Analyst expects at least 10% upside potential to fair value, which should be realized in the next 12 months Ratings Distribution As at end March 2015 Total BESI Research Total Investment Banking Clients (IBC) Recommendation Count % of Total Count % of IBC % of Total NEUTRAL SELL Analyst expects upside/downside potential of between +10% and -10% to fair value, which should be realized in the next 12 months Analyst expects at least 10% downside potential to fair value, which should be realized in the next 12 months 12 Month Rating: Buy % % 5.5% Neutral % % 1.3% Sell % 0 0.0% 0.0% Restricted 1 0.3% 1 3.4% 0.3% Under Review 1 0.3% 1 3.4% 0.3% TRADING RATING DEFINITION Trading Rating: TRADING BUY Analyst expects a positive short-term movement in the share price (max duration 3 months from the time Trading Buy is announced) and may move out of line with the fair value estimate during that period Trading Buy 0 0.0% 0 0.0% 0.0% Trading Sell 0 0.0% 0 0.0% 0.0% TRADING SELL Analyst expects a negative short-term movement in the share price (max duration 3 months from time Trading Sell is announced) and may move out of line with the fair value estimate during that period Total recommendations % % 7.3% For further information on Rating System please see Definitions and distribution of ratings on: Share Prices Share prices are as at the close of business on the day preceding publication, unless otherwise specified. 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Bradesco has a direct qualified shareholding (20%) in BES Investimento do Brasil, S.A., the parent company of BES Securities do Brasil S.A. CCVM. Pursuant to Polish Ministry of Finance regulations, we inform that neither does Banco Espírito Santo de Investimento, S.A. nor its Affiliates have any qualified shareholding in the Polish Securities Issuers mentioned in this report in excess of 5% of its total share capital. Banco Espírito Santo de Investimento, S.A and/or its subsidiaries are liquidity providers or market makers for Altri and Bradesco. Banco Espírito Santo de Investimento, S.A. and/or its subsidiaries participate or have participated in the last 12 months as a syndicate member in share offerings of 4imprint, Alumetal, EDP, Liberbank, Mota-Engil Africa, NAHL Group, Oi, PGE, Prime Car Management, REN, Skarbiec Holding, SKS Microfinance and Sonae Indústria. Banco Espírito Santo de Investimento, S.A. and/or its subsidiaries participate or have participated in the last 12 months as a syndicate member in the bond issues of the following companies: Bematech, Kredyt Inkaso, Mota-Engil and Sonae. Banco Espírito Santo de Investimento, S.A. and/or its subsidiaries provided in the last 12 months investment banking services to the following companies: 4imprint, ACS, Alumetal, Bematech, Brazil Hospitality Group, Burford Capital, Casino Guichard, EDP, EDP Renovaveis, Galp Energia, Inditex, Kcom Group, Kredyt Inkaso, Kruk, Liberbank, Mota-Engil, Mota-Engil Africa, NAHL Group, NOS, Oi, Prime Car Management, REN, Semapa, Skarbiec Holding, SKS Microfinance, Sonae, Sonae Indústria, Sonaecom, Sports Direct and SVG Capital. Page 9 of 10

10 Affiliates of Banco Espírito Santo de Investimento, S.A. are partners to Mota-Engil in the infrastructure business in Portugal and other countries. Mota-Engil jointly with ES Concessões, S.G.P.S., S.A. (held by an Affiliate of Banco Espírito Santo de Investimento, S.A.) has created a joint holding company Ascendi for all stakes in transportation infrastructure concessions in Portugal and abroad. Banco Espírito Santo de Investimento, S.A. provided, or continues to provide, investment banking services to Ascendi. Banco Espírito Santo de Investimento, S.A. and/or its subsidiaries do and seek to provide investment banking or other services to the companies referred to in this research report. As a result, investors should be aware that a conflict of interest may exist. Market Making UK Execution Noble Limited is a Market Maker in companies covered and may sell to or buy from customers as principal in certain financial instruments listed or admitted to listing on the London Stock Exchange. For information on Companies to which Execution Noble Limited is a Market Maker please see Execution Noble Limited UK Market Making on Confidentiality This report cannot be reproduced, in whole or in part, in any form or by any means, without BESI Research s specific written authorization. This report is confidential and is intended solely for the designated addressee. Therefore any disclosure, replication, distribution or any action taken in reliance on it, is prohibited and unlawful. Receipt and/or review of this research report constitutes your agreement not to redistribute, retransmit, or disclose to others the contents, opinions, conclusion, or information contained in this report (including any investment recommendations, estimates or price targets without first obtaining express permission from an authorized officer of Banco Espírito Santo de Investimento, S.A. Regulatory Authorities Portugal: Banco Espírito Santo de Investimento, S.A. is regulated by the Comissão do Mercado de Valores Mobiliários (the Portuguese Securities Market Authority); Spain: the branch in Madrid is regulated by the Comisión Nacional del Mercado de Valores (the Spanish Securities Market Authority); Poland: the branch in Warsaw is regulated by the Komisja Nadzoru Finansowego (the Polish Financial Supervision Authority); Brazil: BES Securities do Brasil, S.A. - Corretora de Câmbio e Valores Mobiliários is regulated by the Comissão de Valores Mobiliários (the Brazilian Securities Market Authority); United Kingdom: Execution Noble Limited is authorised and regulated by the Financial Conduct Authority; India: Espirito Santo Securities India Private Limited is regulated by the Securities and Exchange Board of India. NOT FOR DISTRIBUTION TO ANY US PERSON OR TO ANY PERSON OR ADDRESS IN THE UNITED STATES OF AMERICA Page 10 of 10