Halandri, December 4, 2012

In response to a letter sent from ATHEX on December 3, 2012 related to press clippings, for which though the company has no official update from the judicial authorities, according to which the company's major shareholders Mr. Athanasios Hatzioannou and Savvas Hatzioannou are allegedly accused for instigation in arson, fraud in expense of the insurance companies and attempt to fraud in a felony degree, concerning the February 13, 2012 fire which destroyed the company's headquarters in Anthoussa Attica, the company informs investors the following:

1. Regarding the impact on the company's management and as far as it concerns the chairman of the B.o.D. Mr. Athanasios Hatzioannou it is rather premature to draw conclusions, since according to these press clippings, the file is lead now to a tactical hearing, where the magistrate is going to decide whether a prosecution will be indicted and against whom. Nevertheless, the company employs a number of experienced and specialized executives carrying the responsibility of processing day to day operations. Mr. Savvas Hatzioannou does not participate in any way in the company's management. Concerning the company's operation any impact will be defined by the      attitude of financial institutions from now on as well.
2. The amount of insurance compensation to be collected stands at €10 mn. If the commented press clippings are true, it is certain that the procedure of the insurance compensation disbursement, regarding the aforementioned fire, which represents an important cash injection within the context of the troubled Greek economy, will be significantly delayed. Nevertheless the company in its current business plan covering the period 2012-2017 proceeds to a restructuring of its administrative services and rationalization of its sales network without taking into consideration the claims, stressing in that way the fact that its survival is not depended upon the insurance compensation. Apart from that, the assumptions regarding the collection of the compensation never concerned fiscal year 2012 but the first quarter of 2013, which still under certain circumstances is a quite logical assessment.

Apart from the above there is nothing else which can potentially affect adversely the company's financial position and asset structure.

In any case, the company plans to inform promptly the investors on any latest developments.