Pursuant to the Rules and Regulations of the Ljubljana Stock Exchange, d.d, and the relevant legislation, the company Poslovni sistem Mercator, d.d., hereby informs the shareholders and the public of the following:

Supervisory Board of the company Mercator confirmed at today's extraordinary session the additional marketing and cost management measures proposed by the Management Board in order to improve the performance. Mercator will step up its focus on the core activity and customer satisfaction. Mercator is a Slovenian retailer whose competitiveness also relies on competitive suppliers.

Mercator Group will respond to the harsh market conditions with intensified marketing activities and cost management measures leading to more efficient business operations. The planned marketing measures include activities in category management, aiming to boost satisfaction at the stores. Mercator will continue with initiated sales promotion activities, and customer loyalty campaigns will also be stepped up. There will be more emphasis also on the fresh program. As a Slovenian retailer, Mercator will continue to dedicate about 70 % of shelf space to Slovenian products, including home-grown produce provided by over 100 local suppliers offering their products at Mercator farmer's markets and meat of Slovenian origin offered in meat departments. As a part of the Slovenian Basket project, low prices will be guaranteed for thirty renowned Slovenian products as early as this month.

Additional activities will also be implemented to cut all types of operating costs. Major savings are expected in costs of material, services, electric energy, and labour costs; savings regarding the latter will result especially from the reorganization and transfer of activities of the companies Modiana, Intersport, and Tehnika to Mercator's local companies.

At today's session, the company Supervisory Board was also informed about the sale of the majority share of the company Mercator. According to the President of the Management Board of the company Mercator, Mr Toni Balažič, signing of the agreement between the consortium of sellers and Agrokor will bring long-term stabilization of ownership structure, which Mercator needs. At the same time, Mercator is becoming a part of an important process of consolidation of retail in the region and formation of the leading regional retailer backed by international capital and managed by a regional team. Along with the changes in capital, Mercator will remain focused on the customers, adjusting the offer to their needs and preferences, and providing competitively priced offer

This announcement will be published on the company’s website at www.mercator.si as of June 17, 2013, and will remain posted for a period of at least five years.