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INTRODUCTION

Ladies and Gentlemen

It is with great satisfaction and joy, that I am handing over to you the second Corporate Social Responsibility Report of KGHM summarising our activities in the key areas linked indirectly to the Company’s business strategy and directly to our CSR strategy for 2012–18.

The year 2012 was an exceptional year for us as we became a global player on the market of copper and silver manufacturing, following the acquisition of Quadra FNX Mining Ltd. As a result of international expansion, KGHM Polska Miedź has become an owner of mining assets on three continents and a co-owner of Sierra Gorda world-class mining development project located in Chile, one of the largest deposits of copper ores worldwide. On the other hand, we continue to take care of the existing deposits and of the development of mining resources in Poland, as demonstrated by the example of Głogów Głęboki-Przemysłowy investment project which continues to proceed on schedule and the prospective development areas in Niecka Grodziecka near Bolesławiec.

Guided by the principles of sustainable development, we wish to continue building our future in a responsible and predictable way and maintain a balance between the enterprise development needs, the expectations of our stakeholders and the need to protect our environment. It is of particular signifi cance in the mining industry to develop good relationships with the local community and authorities and, in return, receive the ‘license to operate’. KGHM’s commitment to its region manifests itself mainly in the maintenance of the existing jobs and creation of new jobs, but also, in numerous local and regional initiatives stimulating economic activity and contributing to the emergence of new businesses and growing diversifi cation of the economic structure. KGHM has created the Copper Basin where it conducts its operations and employs over 30,000 people so we feel responsible not only for the natural environment but also for the local community and their wellbeing.

The CSR Report prepared in accordance with the Global Reporting Initiative methodology is addressed to our stakeholders and presents our achievements in the area of corporate social responsibility in 2012.

Since 2009, KGHM has been continuously listed in the Respect Index of the Warsaw Stock Exchange in recognition of the Company’s transparent information policy meeting the expectations of the stakeholders and promoting the highest standards of responsible management.

The corporate social responsibility initiatives of KGHM are appreciated equally by the people in the region and by the industry experts. According to surveys conducted at the Company’s request, almost 72% of the local population acknowledge KGHM’s commitment to the social development of the region e.g. in the area of culture, science and sports, 58% of people value investments in the region e.g. in hospitals and means of transport and 42% recognise our pro-environmental efforts.

Submitting this report to you, I would like to thank all our Stakeholders for their supportive attitude and relationship with KGHM Polska Miedź S.A. and all our employees for professional performance of their duties, in line with the principles of corporate social responsibility and sustainable development. Let me also express my deep gratitude to the team of people who, taking care of the Company’s interest and the public interest, implement and execute the corporate responsibility and sustainable development projects of KGHM Polska Miedź S.A. which are widely recognised and honoured with prestigious awards, i.e. in the 2012 CSR Reports Competition organised by the Ministry of Economy of the Republic of Poland and in the Top Corporate Philanthropists competition of the Polish Donors Forum for contribution to the development of corporate philanthropy in Poland.

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KGHM Polska Miedź S.A. is the winner of the Most Attractive Employer title in third edition of the Randstadt Award survey held in Poland. The high employment standards maintained in Poland will be implemented in all KGHM Group companies worldwide.