PRESS RELEASE

ANNUAL SHAREHOLDERS'  GENERAL MEETING

OF VARVARESSOSS.A.European Spinning Mills

The Annual Shareholders' General Meeting of VARVARESSOS S.A. European Spinning Mills took place on 27.06.2012. The shareholders that attended the General Meeting represented the 70,76% of the share capital (possessed by 3 shareholders), that is 7.291.801 shares of total 10.305.079. The agenda and the resolutions are as follows :

1. Submission and approval of the annual financial statements for the year 2011, the Management Report by the Board of Directors and the Report of the company's Chartered Auditor-Accountant.

They were approved with votes 7.291.801. Due to the losses the General Meeting resolved the non-distribution of dividend for the year 2011.

2. Release from any responsibility for indemnification for the members of the Board of Directors and the Chartered Auditors for the financial year that ended on 31.12.2011.

It was approved with votes 7.291.801

3. Approval of the remunerations of the members of the Board of Directors as well as fees and trove expenses.

They were approved with votes 7.291.801

4. Election of Chartered Auditors, both ordinary and extraordinary, for the conduction of the company's audit during the current financial year 2012 and determination of their remuneration.

The General Meeting elected with votes 7.291.801 Mr. Charilaos Stasinopoulos as ordinary Chartered Auditor and Mr. Stamati Loukmakiozi as extraordinary Chartered Auditor of the Audit Company “SOL A.E” and validated the assignment of the audit of the financial statements of first quarter 2012.

5.    Election of the Audit Committee of article 37 of Law 3693/2008.

The General Meeting elected with votes 7.291.801 Isabella Varvaressos, Urania Panagiotalidi, Pantelis Palantzidis.

6.   Approval of the decision of the Board of Directors for the replacement of member of the Board of Directors.
It was approved with votes 7.291.801 the new members Nikolaos Velis and Sotirios Kazakis in replacement of the resigned members Anastasia Varvaressos and Constantin Varvaressos.

7. Election of new Board of Directors

They were elected with votes 7.291.801 the following members: Isabella Varvaressos – executive member, Nikolaos Velis – executive member, Sotirios Kazakiss – executive member, Urania Panagiotalidi – independent, non-executive member, Pantelis Palantsidis – independent, non-executive member.