40. Structure of the PKO Bank Polski SA Group and the scope of activities of the Group entities

The PKO Bank Polski SA Group consists of the following subsidiaries:

 DIRECT SUBSIDIARIES 31.12.201631.12.2015
1PKO Towarzystwo Funduszy Inwestycyjnych SAWarsaw100100
3PKO Leasing SAŁódź100100
4PKO BP Finat Sp. z o.o.Warsaw100100
5PKO Życie Towarzystwo Ubezpieczeń SAWarsaw100100
6PKO Towarzystwo Ubezpieczeń SAWarsaw100100
7PKO Bank Hipoteczny SAGdynia100100
8PKO Finance ABStockholm, Sweden100100
9KREDOBANK SALviv, Ukraine99.629399.5655
10„Inter-Risk Ukraine” Spółka z dodatkową odpowiedzialnością1Kiev, Ukraine100100
11Finansowa Kompania „Prywatne Inwestycje” Sp. z o.o.2Kiev, Ukraine95.467695.4676
12Qualia Development Sp. z o.o.1Warsaw100100
13Merkury - fiz an3Warsaw100100
14NEPTUN - fizan3Warsaw100100

1) The second shareholder of the entity is ‘Inter-Risk Ukraina’ Additional Liability Company;
2) PKO Bank Polski SA has investment certificates of the Fund; the share of possessed investment certificates of the Fund is presented in the position ‘Share in equity’.

 INDIRECT SUBSIDIARIES 31.12.201631.12.2015
 The PKO Leasing SA GROUP   
1PKO Bankowy Leasing Sp. z o.o.1Łódź-100
2PKO Leasing Sverige ABStockholm, Sweden100100
3PKO Faktoring SA2Warsaw100100
4Raiffeisen-Leasing Polska SA3Warsaw100-
 Raiffeisen-Leasing Real Estate Sp. z o.o.Warsaw100-
 „Raiffeisen Insurance Agency" Sp. z o.o.Warsaw100-
 Raiffeisen-Leasing Service Sp. z o.o.Warsaw100-
 ROOF Poland Leasing 2014 DAC4Dublin, Ireland--
 The PKO Życie Towarzystwo Ubezpieczeń SA GROUP   
5Ubezpieczeniowe Usługi Finansowe Sp. z o.o.Warsaw100100
6Finansowa Kompania „Idea Kapitał” Sp. z o.o.Lviv, Ukraine100100
 The Qualia Development Sp. z o.o. GROUP5   
7Qualia 3 Sp. z o.o.Warsaw100100
8Qualia 2 Sp. z o.o.Warsaw100100
9Qualia Sp. z o.o.Warsaw100100
10Qualia 3 spółka z ograniczoną odpowiedzialnością – Neptun Park Sp. k.Warsaw99.997599.9975
11Qualia sp. z o.o. – Sopot Sp. k.Warsaw99.978799.9902
12Qualia 2 spółka z ograniczoną odpowiedzialnością – Nowy Wilanów Sp. k.Warsaw99.975099.9750
13Qualia spółka z. ograniczoną odpowiedzialnością – Zakopane Sp. k.Warsaw99.912399.9123
14Qualia Hotel Management Sp. z o.o.Warsaw100100
15Qualia - Residence Sp. z o.o.Warsaw100100
16Sarnia Dolina Sp. z o.o.Warsaw100100
17Giełda Nieruchomości Wartościowych Sp. z o.o.Warsaw100100
18FORT MOKOTÓW Sp. z o.o. in liquidationWarsaw5151
19Qualia spółka z ograniczoną odpowiedzialnością – Projekt 1 Sp. k.Warsaw5050
20Qualia spółka z ograniczoną odpowiedzialnością – Pomeranka Sp. k.6Warsaw-99.8951
21Qualia – Rezydencja Flotylla Sp. z o.o.6Warsaw-100
22„Fort Mokotów Inwestycje" Sp. z o.o.7Warsaw-100
23Qualia spółka z ograniczoną odpowiedzialnością – Jurata Sp. k.7Warsaw-99.9770
24Qualia spółka z ograniczoną odpowiedzialnością – Władysławowo Sp. k.8Warsaw-50
Merkury - fiz an
25„Zarząd Majątkiem Górczewska” Sp. z o.o.Warsaw100100
26Molina Sp. z o.o.Warsaw100100
27Molina spółka z ograniczoną odpowiedzialnością 1 S.K.A.Warsaw100100
28Molina spółka z ograniczoną odpowiedzialnością 2 S.K.A.Warsaw100100
29Molina spółka z ograniczoną odpowiedzialnością 3 S.K.A.Warsaw100100
30Molina spółka z ograniczoną odpowiedzialnością 4 S.K.A.Warsaw100100
31Molina spółka z ograniczoną odpowiedzialnością 5 S.K.A.Warsaw100100
32Molina spółka z ograniczoną odpowiedzialnością 6 S.K.A.Warsaw100100
 NEPTUN - fizan   
33Bankowe Towarzystwo Kapitałowe SAWarsaw100100
34„CENTRUM HAFFNERA" Sp. z o.o.Sopot72.976672.9766
 „Sopot Zdrój" Sp. z o.o.Sopot100100
 „Promenada Sopocka" Sp. z o.o.Sopot100100

* share in equity of direct parent entity
1) In 2016, there was a business combination between PKO Bankowy Leasing Sp. z o.o. (as the acquiree) and PKO Leasing SA (as the acquirer).
2) Previous name PKO BP Faktoring SA.
3) The company was acquired on 1 December 2016.
4) Pursuant to IFRS 10, Raiffeisen-Leasing Polska SA exercises control over the Company, even though it does not have an equity interest in the Company.
5) In the limited partnerships belonging to the Qualia Development Sp. z o.o. Group, the item ‘equity interest’ presents the share of the limited partner Qualia Development Sp. z o.o. in the amount of the contributions made.
6) In 2016, there was a business combination between Qualia spółka z ograniczoną odpowiedzialnością – Pomeranka Sp.k. and Qualia - Rezydencja Flotylla Sp. z o.o. (as the acquirees) with Qualia Hotel Management Sp. z o.o. (as the acquirer).
7) In 2016, the company was sold.
8) In 2016, the company was dissolved without conducting a liquidation procedure.

name of the subsidiary The core business
PKO Towarzystwo Funduszy Inwestycyjnych SAThe core business of the company is the creation, representation towards third parties and the management of open and closed investment funds and management of clients portfolio, which include one or more financial instruments. The company also offers specialized investment programs and conducts employee pension programs (PPE).
PKO BP BANKOWY PTE SAThe Company operates in the area of pension funds. It manages PKO BP Bankowy Otwarty Fundusz Emerytalny (OFE) and PKO Dobrowolny Fundusz Emerytalny (DFE), within which Individual Retirement Account (Indywidualne Konto Emerytalne - IKE) and Individual Retirement Security Account (Indywidualne Konto Zabezpieczenia Emerytalnego - IKZE) is offered.
PKO Bank Hipoteczny SAThe company specializes in granting mortgage housing loans to individual clients and it also purchases receivables relating to such loans from PKO Bank Polski SA. The issuance of mortgage bonds shall constitute the main source of long-term financing of loans secured with mortgage.
PKO Leasing SAThe company together with its subsidiaries, including Raiffeisen-Leasing Polska SA acquired in December 2016 – provides lease services. Companies offers financial and operating leasing: cars, trucks, machinery and equipment, technological lines, medical equipment, real estate, IT hardware and software, ships, aircraft and railway equipment. The offer includes a fleet management service. Moreover, the companies belonging to the Raiffeisen-Leasing Polska SA Group deal with keeping, preparation and active selling of ‘post-leasing’ post-debt-collection, post-contract objects; they provide specialist services within the scope of creating insurance products and programmes for clients of financial institutions, and conduct lending activities. The Group also includes a special purpose company with its registered office in Ireland, formed for the purpose of securitization of lease receivables carried out within the Raiffeisen-Leasing Polska SA Group; the company issues bonds in order to obtain funds for purchasing receivables from Raiffeisen-Leasing Polska SA. The PKO Leasing SA Group also includes PKO Faktoring SA, which provides services of domestic and export factoring with assuming the risk and without assuming the risk, reverse factoring and service of factoring program for the suppliers as also PKO Leasing Sverige AB.
PKO BP Finat Sp. z o.o.PKO BP Finat Sp. z o.o. provides comprehensive services to companies in the financial sector – including transfer agent, fund and companies accounting. It also specializes in competency outsourcing of IT specialists, project teams and IT processes. On the basis of the authorization of the Polish Financial Supervision Authority, the Company also provides services as a national payment institution. Its clients are both companies of the Group, as well as companies outside the Group. In 2016, the Company began to handle group insurance dedicated to the products offered by the Bank.
PKO Życie Towarzystwo Ubezpieczeń SAThe basic scope of the Company’s operations comprises insurance activities in the area of life insurance. The Company offers a wide range of insurance products, from protection to investment products. It focuses on life and health insurance for its clients. It has both separate products and products supplementing the banking products offered by the Bank.
PKO Towarzystwo Ubezpieczeń SAThe core business of the Company is an insurance activity within the scope of section II of insurance – other personal insurance and property insurance. The Company commenced operating activities in January 2016 by launching the first offer of life insurance for individual customers of the Bank, who are holders of credit cards. At present, the Company’s offer also includes individual insurance against loss of income for borrowers of cash loans in the Bank and a comprehensive offer of property insurance, immovable property insurance, private third party liability insurance and Assistance, and insurance against loss of income for clients of PKO Bank Polski SA and PKO Bank Hipoteczny SA who draw mortgage loans.
PKO Finance ABThe business of the Company is the acquisition of the Bank’s financial resources from international markets through bond issues.
Qualia Development Sp. z o.o.The core business of the companies from the Qualia Development Sp. z o.o. Group is to carry out developer activity and in particular the implementation of construction projects, building installations and finishing construction works. Moreover, the Group is engaged in the hotel business, and intermediary activity in real estate turnover. In 2016, the Group continued activities related to the execution of current projects and selling selected property and companies.
KREDOBANK SAKREDOBANK SA is a universal bank, focused on customer service of retail clients and small and medium-sized enterprises running the business mainly in the western part of Ukraine and in Kiev. At the same time Company strives to attract corporate customers with high creditworthiness. The company offers services including maintaining bank accounts of individuals and businesses, collecting deposits, lending, issuing warrantees and guarantees, checks and bills trading, operations on the currency market, as well as operations on the securities market. The core business of Finansowa Kompania ‘Idea Kapitał’ Sp. z o.o. – a subsidiary of KREDOBANK SA – is providing various financial services, including factoring services consisting in acquisition of rights to the assignment of monetary claims under the loan agreements according to Ukrainian law.
‘Inter-Risk Ukraina’ Spółka z dodatkową odpowiedzialnościąThe company operates in the area of debt collection in Ukraine, i.e. is carrying out activities to recover the debts of other entities without acquiring them on their own account (negotiations with debtors, restructuring activities, litigation and enforcement proceedings and participation in the process of foreclosure of collateral). Its customers are Finansowa Kompania ‘Prywatne Inwestycje’ Sp. z .o.o. and companies from KREDOBANK SA Group. The company also manages commercial real estate in Lviv.
Finansowa Kompania ‘Prywatne Inwestycje’ Sp. z o.o.The Company’s business is to provide various financial services, including factoring services which according to Ukrainian law consist of the acquisition of rights to the assignment of monetary claims under the loan agreements.
Merkury - fiz anThe core business of the Fund is to invest in the funds collected by non-public offering of investment certificates. The Fund is managed by PKO TFI SA. Fund conducts investment activities through subsidiaries whose business is buying and selling real estate for its own account and property management.
NEPTUN - fizanThe core business of the Fund is to invest in the funds collected by non-public offering of investment certificates. The Fund is managed by PKO TFI SA. PKO Bank Polski SA sells to the Fund shares of companies whose business is not complementary to the offer of financial services offered by the Bank.