HARTMANN CAPITAL, LLC
BOCA RATON, FLORIDA

At 17.35pm on 3 January 2014 a special administration order was granted by the High Court of Justice, Chancery Division, Companies Court in respect of Hartmann Capital Limited, and Andrew Andronikou and Peter Kubik were appointed Special Administrators. Pursuant to such order full moratoriums as provided by the relevant provisions and are in force in respect of the company and its assets and certain specified steps must not be taken and are unlawful without the prior permission of the special administrators or the court. Further relevant details will be posted on the website for the assistance of clients as matters develop. The client assets and client monies are held in safe ring fenced accounts, although the present evidence suggests a shortfall as regards client monies. Relevant proposals for the conduct of the special administration will be posted in due course. Further to our announcement on Friday we are writing to inform you that on 24 December the directors applied to the court for a petition for the winding up of the company. Hartmann Capital Ltd As you may be aware, we have been investigating the affairs of the Company following the discovery of various matters. We appreciate that you will be frustrated and concerned by the lack of information available to you from the Company and the implications for you. The Company is currently unable to meet its financial resource requirement as established by the Financial Conduct Authority ("FCA") and has insufficient operational liquidity. The Company has also identified what appears to be a shortfall on client monies. No such shortfall has been identified on client assets. The Company has been in close contact with the FCA and in light of the Company's position the FCA has this morning served a regulatory notice on the Company which: prohibits the Company from dealing with or releasing client money; requires the Company to cease carrying on any business that involves the carrying on of any regulated activities save for: settling transactions in non-derivative financial instruments which (i) are settling as at the time of the requirement coming into force, and (ii) for which the Company is holding client money which it has previously received for the purposes of settlement; and closing derivative contracts to which it is a party (whether as principal or agent), the Company must not enter into any new derivative contracts in any circumstances. The Company is instructed by the FCA to use its best endeavours to terminate all open derivative positions and will continue insofar as it is able to accept instructions to close existing positions. The implications of the regulatory notice are that the Company is not in a position to use any client money it holds to meet margin obligations on open derivative positions so any client wishing to keep a position open will be required to provide us with sufficient cash margin to meet their obligations. The Company is seeking urgent clarification as to whether the Company can continue to use collateral to meet margin obligations for those clients using none cash margin. The Company is also seeking clarification in relation to the position on stock bargains in the course of settlement (including those arising from Friday's expiry) in cases in which the client has not yet provided the Company with money to pay for any stock due to be delivered to them on settlement or to purchase any stock to be delivered by them on settlement. The Company is not going to be able to perform its obligations on any open foreign exchange contracts to which it is a party on maturity. As a result of the regulatory notice the Company is not currently in a position to give clients advice, including advice in relation to their investments or any market positions. The Company is working as quickly as it can to clarify the position and will provide clients with further information as soon as it is are able to do so. This is being done in full consultation with the FCA. Hartmann Capital Ltd Hartmann Capital is a specialist Investment Company based in the City of London. Hartmann offers a full range of Investment services with a specific focus on Derivatives, Fixed Income, Investment Management, Fund Management, and Foreign Exchange services. Hartmann's core broking business is a leader in the areas of Futures & Options, Equities and CFDs. In addition to general investment services Hartmann offers specialist services to its clients via specialist funds.