Agrowill Group AB - Notification on material event

Regarding the adopted Decision of the Supervisory Authority Director of the Bank of Lithuania

Agrowill Group, AB received the Decision of the Director of the Supervisory
Authority of the Bank of Lithuania dated February 19, 2013 regarding the
Inspection act No. 241-38 of Agrowill Group, AB dated November 27, 2012 

The Company is obliged to notify:

-that AB Agrowill Group has been warned by the decision of the Executive
Director of the Supervision Service of the Bank of Lithuania  regarding the
violation of Article 21(5) of the Law on Securities; 

-that 2011 consolidated financial statements of AB Agrowill Group did not
comply with the provisions of Article 30 and 31 of IAS 27 “Consolidated and
Separate Financial Statements”, Article 34 of IAS 36 “Impairment of Assets” and
Article 46 of IAS 39 “Financial Instruments: Recognition and Measurement”,
while the financial statements of the parent company did not comply with the
provisions of Article 43 of IAS 8 “Accounting Policies, Changes in Accounting
Estimates and Errors” and Article 34 of IAS 36 “Impairment of Assets”. 

If the error of the previous period identified in 2011 financial statements of
the parent company of AB Agrowill Group was correctly reflected according to
the provisions of IAS, the net profit of the company for the year ending 31
December 2010 would have to be increased by LTL 2.1 million, while the net
profit for 2011 would have to be reduced by the same amount. 

Furthermore, if the financial standing and the financial results were correctly
stated in 2011 consolidated financial statements pursuant to IAS, the book
value of financial assets of the group on 31 December 2011 would have to be
reduced by LTL 3.7 million, and the net profit for 2011 - by LTL 4.4 million,
while other equity items would have to be increased by LTL 0.7 million as a
result of the incorrect accounting of investments into securities and control
swaps. 

At the moment the Company is evaluating an impact of other discrepancies on the
consolidated Financial statements for December 31, 2011 of the Company ant the
Group. 

If it will be determined that other discrepancies had a significant impact on
the financial position and financial performance of the Company in 2011, the
consolidated financial statements for 2011 will be regressively corrected and
published together with the audited consolidated financial statements of the
Company for 2012. Alongside the impact of the found discrepancies on the
financial performance and financial position of the Company and the Group for
December 31, 2011 will be disclosed. 

The Company notes that the above mentioned discrepancies will not materially
affect Company's financial results for the year 2012 (forecasts have been
disclosed as of April 30, 2012) 


         Vladas Bagavičius
         Chairman of the Board
         +370 5 233 5340