Current and expected financial position

It is expected that the Group will generate material cash flows from operating activities in the coming years; combined with revenues from financial assets, these will cover the Group’s operating expenses, capital expenditures and debt service costs.

The Group is not planning to use external financing to an extent greater than as at the date of preparation of this Report. Should any unexpected events occur, which will require financing that could not be provided by the Group, the Group will consider obtaining additional external funds in a manner optimal for the Group’s capital expense and structure.

The Group did not publish any financial forecasts for 2015. Consequently, no explanations are provided for the differences between the financial results disclosed in the Annual Report and any previously published forecasts.

INVESTMENTS AND LINKS TO OTHER ENTITIES

GPW has organisational and equity links to the Group subsidiaries and associates. The description of the Group and associates is to be found in section I.1 of this Report.

In 2015, GPW did not make or divest any equity investments in any entities other than associates. The description of investments in associates and subsidiaries in 2015 is presented in section V.3 of this Report.

Equity links of GPW to the companies from outside the Group as at 31 December 2015 include the investment in Instytut Rynku Kapitałowego – WSE Research S.A. and the foreign investments in S.C. Sibex - Sibiu Stock Exchange S.A. and INNEX PJSC.

In addition to the stake in the above mentioned companies, as well as in the Group subsidiaries and associates, GPW’s major domestic investments as at 31 December 2015 include bank deposits.

Except for the investment in the Romanian stock exchange S.C. Sibex - Sibiu Stock Exchange S.A., INNEX PJSC and Aquis Exchange Ltd, the Company has no other foreign investments. All the above investments were financed with own funds of the Company.

Details of the parent entity’s investments were disclosed in the Separate Financial Statements of Giełda Papierów Wartościowych w Warszawie S.A. for the years ended 31 December 2015 and 31 December 2014.

Transactions of the Group with related parties are described in the Consolidated Financial Statements of Giełda Papierów Wartościowych w Warszawie S.A. for the years ended 31 December 2015 and 31 December 2014 and in Note 27 to the Separate Financial Statements of Giełda Papierów Wartościowych w Warszawie S.A. for the years ended 31 December 2015 and 31 December 2014.

Credit and Loan agreements Signed and Terminated during the Financial Year

The Group signed and terminated no credit and loan agreements in 2015.

Loans Granted in the Financial Year

In March 2015, GPW granted a short-term loan of PLN 100 thousand to the subsidiary InfoEngine S.A. to finance its current business. The interest rate on the loan was 3.8% p.a. The 1.5-month loan was repaid on time.

In July 2015, PolPX granted a short-term loan of PLN 200 thousand to the subsidiary InfoEngine S.A. to finance its current business. The interest rate on the loan was 1.55% p.a. The loan was granted until 31 December 2015 and repaid on time.

Except for the foregoing, the Group granted no loans other than loans granted to GPW employees under the internal Employee Loan Program in 2015.

Guaranties and Sureties Granted and Accepted during the Financial Year

In April 2014, the GPW granted a performance bond for payment due from the subsidiary InfoEngine S.A. to Polskie Sieci Energetyczne for electricity transactions on the balancing market. The liability was capped at PLN 1.0 million. The agreement is valid until 29 February 2016.

The Group granted no guarantees and sureties in 2015.

Material transactions of the issuer and subsidiaries with related parties on terms other than at arm’s length in the financial year

In 2015, GPW and the subsidiaries did not make any significant transactions with related parties on terms other than at arm’s length. The transactions with related parties are presented in detail in Note 28 to the Consolidated Financial Statements.

Contingent liabilities and ASSETS

The Group had no contingent liabilities or assets as at 31 December 2015.

Events after the balance-sheet date which could significantly impact the future financial results of the issuer

Reduction of GPW’s cost of capital market supervision in the coming years – section V.3 of this Report discusses the impact of changes to the capital market supervision financing model on the results of the issuer.

On 3 December 2015, Paweł Tamborski resigned from the function of President of the Management Board of the Warsaw Stock Exchange effective as of 31 December 2015.

On 12 January 2016, the Extraordinary General Meeting of GPW appointed Małgorzata Zaleska as President of the Management Board of the Warsaw Stock Exchange. The decision was conditional on the approval of the Polish Financial Supervision Authority for the change to the composition of the Exchange Management Board and on the delivery of the approval to the Company. The Polish Financial Supervision Authority at a meeting on 9 February 2016 approved the change to the composition of the Exchange Management Board appointing Małgorzata Zaleska as President of the Management Board of the Company. The decision was delivered to the Company on 10 February 2016.

There were no other events after the balance-sheet date which could significantly impact the future financial results of the issuer.