PCO Establishment of a Polish bond issue programme

Pepco Group, a leading pan-European variety discount retailer, today announces that, as part of a review of its external funding, its wholly-owned subsidiary, PEU (FIN) plc (the “Issuer”) has entered into a Polish bond issue programme agreement as the issuer (the “Programme”) with Bank Polska Kasa Opieki S.A. (as dealer and arranger), Powszechna Kasa Oszczędności Bank Polski S.A. (as dealer, arranger and agent), and Santander Bank Polska S.A. (as dealer, arranger, and global coordinator). Under the Programme, the Issuer may issue bonds subject to Polish law ("Bonds") in multiple issues up to a total maximum amount of PLN 2,000,000,000.