This initiative stems from ongoing efforts toward restructuring and transforming the Group into a cohesive, cost-effective entity with a strong position in the European fertilizers, plastics, and OXO product markets. AZOTY BUSINESS aims to establish an integrated, cost-efficient Capital Group with a strong European market position across its Fertilizers, Plastics, and OXO segments. The launch of this Program marks the completion of the initial phase of corrective actions, yielding approximately PLN 350 million in cost savings across the Capital Group from late March to the end of October, through optimized supervisory structures, organizational frameworks, compensation, sponsorships, public relations, and management costs.
a Azoty Launches the AZOTY BUSINESS Program

On October 31, 2024, following discussions and agreements with banks, Grupa Azoty Polyolefins signed an Amendment Agreement to the Stabilization Agreement dated December 15, 2023, regarding the financing of the Polimery Police project. The parties have agreed to the terms under which financial institutions will continue providing financing for the project during the extended term of the Stabilization Agreement, which now runs until November 29, 2024. The Amendment Agreement was signed with 15 financial institutions.

As of October 23, 2024, Grupa Azoty Polyolefins has produced a total of 200,000 tons of polypropylene. This production milestone was achieved during the testing phase to validate guaranteed parameters at the Polimery Police facility. Polypropylene produced at the newly constructed installations of the Polimery Police Project is available for both direct sales and distribution. Following the conditional interim acceptance of the PP installation and the Terminal Unloading and Storage subproject in July, the Company has full control over its production portfolio, which is being continuously adapted to market conditions.

The Supervisory Board of Grupa Azoty Polyolefins has passed a resolution to remove Wojciech Blew, Acting President of the Company, from the Management Board, effective October 20. The Supervisory Board also resolved to delegate Krzysztof Kołodziejczyk, a Member of the Supervisory Board of Grupa Azoty Polyolefins and Vice President of the Management Board of Grupa Azoty S.A., to temporarily perform the duties of President of the Management Board of Grupa Azoty Polyolefins. This delegation will last until a candidate is selected through the qualification process, but no longer than three months from the resolution's effective date, October 21.

Grupa Azoty Police has filed a criminal complaint with the Szczecin Regional Prosecutor’s Office concerning the circumstances surrounding its 2018 decision to withdraw from an investment in Senegal. The complaint alleges potential misconduct involving the unjustified and inappropriate transfer of registered shares in African Investment Group SA, valued at 6.6 million FCFA, to DGG Eco sp. z o.o. in 2018. In return, Grupa Azoty Police did not receive the agreed payment of PLN 180 million specified in the agreement with DGG Eco sp. z o.o., resulting in damages estimated at no less than PLN 180 million.

The Management Board of Grupa Azoty has adopted a resolution to integrate companies within its Capital Group that provide business support services, including investment preparation and maintenance. Work is currently underway to finalize the integration schedule and the target organizational model. By the end of November, a dedicated project team will develop an organizational and ownership structure designed to deliver the anticipated business and financial benefits of the integration. This initiative is a key element of the restructuring process aimed at achieving significant cost optimizations.