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The Management Board of mBank S.A. ("Bank") informs that in the course of administrative proceedings conducted by the Polish Financial Supervision Authority (PFSA), on 22 September 2020, the Bank received a letter, in which the PFSA asks the Financial Stability Committee (FSC) to express its opinion regarding the amount of the other systemically important institution (O-SII) buffer imposed on the Bank.

Pursuant to the PFSA's decision of 14 October 2019, the Bank is currently required to maintain the O-SII buffer in the amount equivalent to 0.75% of the total risk exposure amount calculated in accordance with Art. art. 92 par. 3 of the Regulation of the European Parliament and of the Council (EU) No. 575/2013 of 26 June 2013 on prudential requirements for credit institutions and investment firms, amending Regulation (EU) No. 648/2012 ("CRR"), which the Bank reported in the current report 42/2019 of 16 October 2019.

As part of the review of the adequacy of the O-SII buffer, carried out by the PFSA in accordance with art. 46 par. 1 of the Act of 5 August 2015 on Macroprudential Supervision of the Financial System and Crisis Management (Journal of Laws of 2019, item 483), the PFSA indicated that the assessment of systemic importance of the Bank is the basis to impose on the Bank the O-SII buffer in the amount equivalent to 0.50% of the total risk exposure amount calculated in accordance with Art. art. 92 par. 3 of CRR, instead of the current buffer of 0.75%.

A final decision will be taken by the PFSA after obtaining the FSC’s position. The Bank will inform in a separate report about the completion of the proceedings and decision regarding the O-SII buffer.