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 announces the following:

At the session held yesterday, June 28, 2017, members of the Works Council of Poslovni sistem Mercator, d.d., appointed Jože Lavrenčič as the new employee representative in the company Supervisory Board, as the term of the current member Veljko Tatić will expire on November 4, 2017. Mr Lavrenčič, an economist by vocation, has been employed in Mercator for a number of years. He currently holds the position of the head of retail units.

At the session held yesterday members of the Works Council also approved another mandate to Mrs Vesna Stojanović in the Supervisory Board of the company Poslovni sistem Mercator, d.d., starting on July 4, 2017.

As of June 29, 2017, this announcement will also be posted on the company website at www.mercatorgroup.si where it shall remain for a period of no less than 5 years.