PRESS RELEASE

ANNUAL FINANCIAL REPORT

For the Financial Year from 1^st July 2013 to 30^th June 2014

HSI S.A. Board of Directors during its meeting on Monday, September 29^th, 2014 gave its approval for the annual financial report of HSI S.A and of the Group covering the fiscal year from 01/07/2013 to 30/06/2014.

According to the approved financial statements the Company's turnover amounted to € 101,510 thousand presenting a decrease of 37.03% as compared to the previous fiscal year. The Group's Turnover (including the subsidiary companies of Serbia AD FABRIKA SECERA “SAJKASKA” and AD FABRIKA SECERA “CRVENKA”) reached € 176,826 thousand presenting a decrease of 22.57% as compared to the previous financial year. In this reduction of turnover (compared with the respective period of the previous financial year), contributed in particular the decrease in sales, as a result of the new conditions of competition and the collapse of sugar price in the domestic market.

Therefore, the Company's gross profit margin reached -9.33% in this fiscal year compared to 15.16% of the previous fiscal year. Respectively, Group's gross profit margin reached 4.09% compared to 19.45% at the previous fiscal year.

Earnings/Losses before interest, tax, investment results and depreciation (EBITDA) of the Company reached € -44,490 thousand from € -3,306 thousand at the previous financial year. Earnings/Losses before interest, tax, investment results and depreciation (EBITDA) of the Group reached € -33,385 thousand as compared to € 11,078 thousand of the previous financial year.

Earnings/Losses before tax for the Company reached € -57,312 thousand from Earnings/Losses before tax € -11,372 thousand at the previous fiscal year. Consolidated Earnings/Losses before tax reached € -57,400 thousand from Earnings/Losses before tax € -11.287 thousand at the previous fiscal year.

Net Profits after tax for the Company reached € -48,774 thousand from € -9,797 thousand at the previous financial year. Net Consolidated Profits after tax reached € -49,924 thousand from € -10,852 thousand at the previous financial year.

Please note that the financial statements were additionally charged with extraordinary expenses such as provisions of possible impairment of receivables amounted € 24.76 mil (previous fiscal year € 14.23 mil) and value impairment of investments in property amounted € 4.2 mil (previous fiscal year € 2.6 mil).

The company operates in a highly competitive and unfavorable financial environment; therefore its restructuring and adaptation to new, difficult market conditions were absolutely necessary.

Achievement of the objectives of specific restructuring actions, as provided in the company's approved feasibility study that presented in the notes of the financial statements, as well as the stabilization and improvement in sugar price found in historically lower points of the market, is estimated that it will lead to the recovery of the company in the future.

The Annual Report for the Financial Year from 1^st July 2013 to 30^th June 2014 is listed on the webpage of the company www.ebz.gr as well as the webpage of the Athens Stock Exchange www.helex.gr.