Report no. 12/2014

Pursuant to §5 (1) (3) of the Regulation of the Minister of Finances of 19 February 2009 on current and periodic information provided by issuers of securities, the Management Board of EMC Instytut Medyczny S.A. announces that on  23 January 2014 the Company received contracts concluded with the National Health Fund - the Opolskie Voivodeship Branch in Opole (the Fund Branch), regarding healthcare services in the scope of: inpatient treatment, outpatient specialist care, outpatient specialist care (cost-consuming outpatient diagnostic services), palliative and hospice care, nursing  and care services ,therapeutic rehabilitation, primary health care in terms of night and holiday healthcare for the period  1 January to 31 December 2014.
 

Healthcare services referred to  hereinabove are provided by  St. Roch's Hospital in Ozimek near Opole owned by EMC Instytut Medyczny S.A. 
 

The Issuer informed about the contracts concluded with the Fund Branch concerning services rendered in the previous year ( 2013) in its current reports nos. 9/2013 of 25.01.2013, 14/2013 of 31.01.2013, 20/2013 of 13.02.2013, 35/2013 of 19.04.2013, 60/2013 of 24.06.2013, 89/2013 of 10.09.2013, 93/2013 of 23.09.2013, 96/2013 of 23.09.2013, 105/2013 of 22.11.2013 and 108/2013 of 13.12.2013,

 

The contract for the provision of healthcare services such as inpatient treatment, marked as 08R/20352/03/01/SZP/2014 concluded on 1 January 2014, is the contract with the highest value.

 

The Parties to the contract are the Issuer and  the Opolskie Voivodeship Branch in Opole (the Fund Branch). 

 

The subject of the contract is the provision of healthcare services such as inpatient treatment by the Issuer.

 

The maximum amount of Fund Branch liability towards the Issuer in the period from 1 January to 31 December 2014 totals PLN 5,163,496.00.

The Issuer undertook, within the duration of the contract, to conclude a civil liability insurance contract against damages caused in relation to the provision of services.

 

In the case of non-performance or improper performance of the contract, caused by the Company, the Director of the Fund Branch may impose a contractual penalty. 

In the case of writing out prescriptions to unauthorised persons or in unjustified cases, the Fund Branch may impose on the Issuer a contractual penalty amounting to the equivalent of the unjustified refund of the costs of medication made on the basis of prescriptions together with statutory interest calculated from the day of making the refund. 

In the case of issuing orders for delivery of medical products which are orthopaedic goods and auxiliary goods fully or partially financed by the Funds to unauthorised persons or in unjustified cases, the Fund Branch may impose on the Issuer a contractual penalty amounting to the equivalent of the unjustified financing together with statutory interest calculated from the day of making the refund. 

Contractual penalties specified above shall be imposed pursuant to provisions stipulated in General Terms and Conditions of the contracts. 

The Fund Branch is entitled  to claim damages exceeding the value of contractual penalties. 

 

The contract has been concluded for the period from 1 January 2012 to 31 December 2014 with a possibility of its termination by each party upon a 3-month termination notice. The Fund Branch liability specified in the contract refers to the period from 1 January to 31 December 2014.

 

As a result of signing the said contracts, the total maximum Fund Branch liability towards  the Company  currently amounts to PLN 10,654,188.74 for the period 1 January to 31 December 2014. 

 

A criterion for a contract to be considered significant:

The value of contracts exceeds 10% of the Issuer’s equity capital.