Taking a long-term loan in the amount of PLN 12,281,106.01 to finance the deficit of the Szczytno Municipality planned for 2023

1. CPV Dictionary - designation according to the Common Procurement Vocabulary: 66113000-5 - credit services.

2. The subject of the contract is to take out a long-term loan to finance the deficit of the Municipality of Szczytno. The loan amount will be

PLN 12,281,106.01 (in words: twelve million two hundred eighty-one thousand one hundred and six zlotys and 01/100) to be repaid within 8 years starting from 2027.

3. The scope of the order shall include:

1) The Contractor shall grant the Contracting Authority a loan in the Polish currency in the amount of PLN 12,281,106.01 (in words: twelve million two hundred eighty-one thousand one hundred and six zlotys

i 01/100)

2) The contracting authority will allocate funds from the loan to finance the deficit of the Szczytno Municipality.

3) The loan will be used to perform the following tasks:

- Modernization of road transport infrastructure in the city of Szczytno" (tasks: Reconstruction of Broniewskiego Street, Reconstruction of Orzeszkowa Street, Reconstruction of Leśna Street, Reconstruction of Norwida Street, Reconstruction of Kolberga Street, Reconstruction of Spółdzielcza Street, Reconstruction of Klasztorna Street and Łomżyńska Street) PLN 474,450.01

- Teutonic Castle in Szczytno – the center of modern tourist and cultural offer

184 406,00 PLN,

- Construction of the l.a. stadium at Śląska Street in Szczytno PLN 7,460,850.00

- and repayment of installments of loans and advances taken out in previous years in the amount of PLN 4,161,400.00

listed in the investment annex to the resolution No. LIV/368/2022 of the City Council in Szczytno of December 30, 2022 on the adoption of the budget of the Szczytno Municipality for 2023

and repayment of loan installments taken out in previous years in the amount of PLN 4,161,400.00.

4. The loan will be repaid within 8 years starting from 2027.

5. The funds will be released in 3 tranches in amounts determined each time by the Borrower in written payment instructions.

6. The Contractor shall place the credit funds at the disposal of the Ordering Party within the time limit consistent with the submitted offer and after the Ordering Party has submitted a written payment order.

7. The loan will bear interest on an annual basis, at a variable interest rate.

8. The interest rate shall be equal to the base rate increased by the Contractor's fixed margin, determined on the basis of the submitted offer, throughout the loan period.

9. The interest rate on the loan will be based on the base rate set for a period of 3 months at the 3M WIBOR rate from the last business day in the calendar quarter. The rate increased by a fixed bank margin (in accordance with the submitted offer) will apply to determine the interest rate from the 1st day of the next calendar quarter.