Agreement of 28 September 2011 of the National Securities Market Commission regarding short positions on Spanish financial sector shares

OFFICIAL STATE GAZETTE No. 236 Friday, 30 September 2011 Sec. III. Page 103709 III. OTHER REGULATIONS NATIONAL SECURITIES MARKET COMMISSION 15443 Agreement of 28 September 2011 of the National Securities Market Commission regarding short positions on Spanish financial sector shares.

On 11 August 2011 ("BOE" of 13 August), the National Securities Market Commission (hereinafter CNMV) agreed to provisionally prohibit the execution of transactions on securities and financial instruments that would result in the establishment or increase of short positions on Spanish financial sector shares. Similarly, on 25 August 2011 ("BOE" of 27 August), the CNMV agreed to extend the validity of said agreement until 30 September 2011.

Having evaluated the period elapsed since the last extension decision in coordination with other European supervisors, as well as the current conditions of European securities markets which continue to show high volatility and instability in prices, and taking into account similar measures adopted by other European supervisors within the framework of ESMA, the Executive Committee of the CNMV, by virtue of the delegation of powers granted by agreement of the CNMV Council of 6 July 2011 ("BOE" of 18 July), has adopted the following agreement:

To extend the validity of the agreement of 11 August 2011 until market conditions allow for its lifting, under Article 85.2.j) of Law 24/1988 of 28 July on the Securities Market (LMV).

The prohibition is extended to ensure greater agility, necessary in a context of coordination with other European supervisors within the framework of ESMA, and with the objective of lifting said prohibition as soon as market conditions permit.

Consequently, it is provisionally prohibited for any natural or legal person to carry out transactions on securities or financial instruments that result in the establishment or increase of short positions on Spanish financial sector shares, under the same conditions established in the aforementioned agreement of 11 August.

It is recalled that Article 99.z) quinquies of the LMV classifies as a very serious infringement the non-compliance with the precautionary measures provided for, among others, in letter j) of Article 85.2 of the Law.

Madrid, 28 September 2011.–The President of the National Securities Market Commission, Julio Segura Sánchez. cve: BOE-A-2011-15443 http://www.boe.es OFFICIAL STATE GAZETTE D. L.: M-1/1958 - ISSN: 0212-033X