Within the framework of the release of HELLENIC FABRICS S.A. Group's financial statements for the fiscal year 2011 and in accordance to paragraph 4.1.4.4. of ATHEX Regulation, the investing public is herewith informed that the ATHEX Board of Directors, during its session of Thursday, 24.11.2011, decided the transfer of the company's shares to the “Under Supervision Category”, effective from Friday, 25.11.2011, taking into consideration that the company's annual financial report of 31.12.2010 reported losses in excess of 30% of its net value.

 In order to exit from the “Under Supervision Category”, the Group's management continues the implementation of specific measures in order to improve its efficiency and reduce its losses and so to eliminate the grounds that led to the transfer of the company's shares to the “Under Supervision Category”, as follows:

• Maintain 2010-2011 sales price levels of denim fabrics in order to take full advantage of the decrease in raw material prices (cotton), which are realized during the 2011-2012 cotton ginning period,
• Further reduce the production cost component in the total cost per meter of denim fabric,
• Achieve further overall cost reductions, through reorganization and development of synergies between its operations, which include merging of administration and support departments, and
• Conduct negotiations with potential investors in order to increase the share capital.

The above financial statements for the fiscal year 2011, together with the Auditing Report, are posted on the Athens Stock Exchange and company's websites.