Within the framework of the release of HELLENIC FABRICS S.A. Group's Interim financial statements, for the first quarter of 2014, and in accordance to paragraph 4.1.4.4. of ATHEX Regulation, the Group's management announces the following:

ATHEX Board of Directors in its meeting of 24.11.2011 decided the transfer of the company's shares to the “Under Supervision Category”, effective from Friday, 25.11.2011, based on the fact that the company's annual financial report of 31.12.2010 reported losses in excess of 30% of its net value.

Also ATHEX Board of Directors, decided in its meeting of 01/04/2014 and after a request of the Hellenic Capital Market Commission, the temporary suspension of the trading of the shares of the Company, due to the fact that the Company did not publish its annual financial statements for 2013 within the appropriate deadlines. In a new announcement dated 30/07/2014, the ATHEX Board of Directors informed that the temporary suspension of the trading of the Company's shares is still active and will be lifted when the independent auditor expresses an opinion for the financial statements of fiscal year 2013 and the Company publishes the interim financial statements of the first quarter of 2014. 

In the time elapsed between the decision for the transferring of the company's shares to the “Under Supervision Category” and the publication of the interim financial statements of 2014, it has not been possible to meet the necessary and sufficient criteria and conditions laid down in the regulation of the Athens Stock Exchange in order to request the exit of the shares from the supervision category.

The company's financial results were affected during the period of 2013 and also in the first quarter of 2014, in addition to the negative Greek and International economic trends, also by the impact of the natural disaster that struck Pella on 25.02.2013, where the Group's factory of denim fabrics production is located, as the factory facilities were flooded, leading to significant losses both in machinery, equipment and commodities. Since then, in order to constraint fixed costs of the specific factory, the Management has decided to keep the plant temporarily closed until sufficient conditions are created for its proper operation. 

Main concern of the Group's Management remains the implementation of actions aiming at the best possible utilization of all business units of the Group, while it is in constant contact and negotiations with the banks in order to obtain support for refinancing and loans' restructuring. These efforts, appear to have considerable hope of success, and are expected to reach a final agreement soon.

The above financial statements together with the Figures and Information for the three-month period of 2014 are posted on the Athens Stock Exchange (www.helex.gr) and the company's websites (www.hellenicfabrics.gr).