Changes in the Executive Board of LUG S.A.

On January 31st 2011, a meeting of the Issuer’s Supervisory Board was held. During the meeting it was acknowledged that because of his health problems, Mr. Ryszard Małecki resigned from the board and left his position at the LUG Light Factory Sp. z o.o. (subsidiary of the Issuer) and retired.

Moreover, the Supervisory Board passed a resolution number 2/01/2011 regarding appointing Mr. Mariusz Ejsmont, current Member of the Executive Board, to the post of deputy chairman of the Executive Board of LUG S.A. Mr. Mariusz Ejsmont, as a current member of the Executive Board and technical director in the LUG Light Factory Sp. z o.o. Company, possesses the knowledge and competence necessary to complete the tasks connected with development plans of the company in the new export markets, which will be his duties as a deputy Chairman.

At the same time, following the resolution number nr 3/01/2011 from January 31st 2011, the Supervisory Board appointed Mrs. Małgorzata Konys, current financial director of LUG Light Factory Sp. z o.o. , to the post of a member of the Executive Board.