Pursuant to the Rules of the Ljubljana Stock Exchange, d.d., Ljubljana and the Market in Financial Instruments Act, Pozavarovalnica Sava d.d. ("Sava Reinsurance Company"), Dunajska 56, 1000 Ljubljana, hereby announces the following:

On 20 August 2014 the daily Dnevnik published an article with the headline "Sava Re v dogovarjanju s Hrvati" (Sava Re in Discussions with Croats). Related to this article, Sava Reinsurance Company hereby gives its shareholders and the interested public the following clarification: 

Sava Reinsurance Company and the reinsurer Croatia Lloyd have been co-operating for some decades, providing each other with a certain amount of reinsurance cover on a reciprocal basis for the purpose of risk spreading. Sava Reinsurance Company does not offer intermediary services to third parties. Therefore, it is not true, as the article claims, that Croatia Lloyd transacted international business through Sava Reinsurance Company.

Sava Reinsurance Company seeks to retain the current scope of co-operation with the Croatia Osiguranje Group during the ordinary run-off of Croatia Lloyd business. In this regard, the companies engaged in regular business discussions unrelated to ownership relations. 

This announcement will also be available on the Company’s website at www.sava-re.si, at least five years from the date of the announcement.