The Management Board of Echo Investment S.A. [Public Limited Company] with its registered office in Kielce (the Company, the Issuer) hereby reports that in the performance of the provisions of resolution no. 3 of the Extraordinary General Meeting of December 19, 2008 on the authorization of the Management Board of the Company to buyback Company’s own shares for redemption and/or in accordance with Art. 362 § 1 (5) of the Code of Commercial Companies (the Resolution) as well as in the performance of the Buyback Programme of Echo Investment’s Shares adopted by the Company in a resolution on January 18, 2012, a decision was made to announce a tender offer on January 19, 2012 through the Company’s subsidiary ‘Park Progress - Echo Project - 93 Spółka z ograniczoną odpowiedzialnością’ spółka komandytowo-akcyjna [Limited Joint-Stock Partnership] with its registered office in Kielce (the Acquirer) and in accordance with Art. 72 section 1 of the Act of July 29, 2005 on Public Quotations and Conditions of Introducing Financial Instruments to Organized Trade and on Public Companies, the aim of which is the buyback of 42,000,420 (forty two million four hundred twenty) shares with a nominal value of PLN 0.05 (five grosz) per share at a price of PLN 3.90 (three zloty ninety grosz) per share on the terms and conditions specified in the provisions of the Tender Offer attached to this report, in order to redeem and/or resell the shares.

The Management Board has decided that the subscription opening date will be February 8, 2012 and the subscription closing date will be February 21, 2012. Payments on account of the buyback of own shares under the Tender Offer will be made from the Acquirer"s own funds.

At the same time the Management Board reports that the content of the tender offer for the sale of Company"s shares (the Tender Offer) was submitted to the Financial Supervision Authority, the Warsaw Stock Exchange and the Polish Press Agency in Warsaw today through Dom Inwestycyjny BRE Bank S.A. [Public Limited Company], in accordance with the requirements of the Act of  July 29, 2005 on Public Quotations and Conditions of Introducing Financial Instruments to Organized Trade and on Public Companies and the Ordinance of the Minister of Finance of October 19, 2005 on the form of tender offers for the sale or exchange of shares of a public company, the specific rules of their announcement, and terms of acquisition of shares under these announcements.

The Company communicates the content of the Tender Offer to the public in the attachment to this report (Attachment no. 1 to this report).

According to the Management Board of Echo Investment S.A., the commencement of the own shares" buyback is justified due to:

• an impregnable financial condition of the Company and its Capital Group, including high cash balance,
• safe parameters and indexes defining the debt and debt servicing ability of the Company and its Capital Group, also after taking into account the funds earmarked for the buyback of own shares,
• a possible growth slowdown with regard to the property market in Poland compared to the last two years, resulting from the debt crisis of some eurozone countries and large capital needs of leading European banks, and therefore a higher risk connected with launching new projects and their funding,
• considering it to be an alternative to the payment of dividends.