Circular 18/2008 — Modifies Circular 1/2002

"2008, Year of Physical Education and Sport" CIRCULAR 18/2008 Mexico City, May 5, 2008. TO INVESTMENT COMPANIES: SUBJECT: MODIFICATIONS TO CIRCULAR 1/2002. The Bank of Mexico, based on the provisions of Article 28, paragraphs six and seven, of the Political Constitution of the United Mexican States; Articles 3, fraction I, 7, fraction I, 24, and 31 of the Bank of Mexico Law; Article 22 of the Law for Transparency and Order of Financial Services; Articles 8, third and fourth paragraphs, 10, 12, first paragraph, in relation to 19, fractions II and IX, which provide the authority of the Operations Directorate to carry out necessary acts for the placement, purchase, sale, and redemption of government securities and to participate in the issuance of provisions, respectively, and 20, fractions IV and VI, which provide the authority of the Operations and Payments Systems Directorate to participate in the issuance of provisions and to elaborate policies related to the development and promotion of payment systems, respectively, as well as 17, fraction I, which provides the authority of the Central Bank Provisions Directorate to participate in the issuance of provisions, all of the Internal Regulations of the Bank of Mexico published in the Official Gazette of the Federation on September 30, 1994, whose last modification was published in said Official Gazette on April 26, 2007; with the objective of continuing to promote the proper functioning of our country's payment systems, considering that it is convenient to modify the schedules of operations related to said systems to make them more efficient and adapt them to the needs of these investment companies; has resolved to modify numeral 4.33., first paragraph, of Circular 1/2002 published on January 21, 2002, to read as follows:

RULES FOR THE PLACEMENT OF GOVERNMENT SECURITIES 4. BIDS. 4.3 SUBMISSION OF BIDS “4.33. Bids must be submitted on the second preceding banking business day before the date of placement of the SECURITIES to be auctioned, no later than 11:00:00 hours. The Bank of Mexico may announce another date or time for a particular auction. …”

2 TRANSITORY SINGLE.- This Circular shall enter into force on May 9, 2008.