Circular TINAC 1 - 222. Ferrobonos.

BANCO CENTRAL DE LA REPUBLICA ARGENTINA
__________________________________________________________________ COMUNICACION " A " 1957 I 11/05/92 __________________________________________________________________ TO FINANCIAL ENTITIES:
Ref.: Circular
TINAC 1 - 222.
Ferrobonos.
We address you to inform you that, in accordance with the provisions of Executive Power Decree No. 52/92, modified by Decree No. 526/92, this Bank proceeded to issue, on behalf of the National Government and in accordance with the request of the Treasury Secretariat, the National Public Debt securities named "Ferrobonos", with the following characteristics:

1. Issue Date: October 1, 1991.
2. Currency of Issue: United States Dollars.
3. Amount: US$ 400,000,000 nominal value.
4. Term: Perpetual, with no maturity.
5. Interest: They shall accrue the interest rate prevailing in the London interbank market (LIBOR) for Eurodollar deposits with a term of ONE HUNDRED EIGHTY (180) days. This rate shall be determined by the CENTRAL BANK OF THE REPUBLIC OF ARGENTINA, based on the average resulting from the rates reported by its correspondent banks in that location, at the close of operations THREE (3) business days before the start of each income period.

Interest shall be paid semiannually in United States dollars.

Additionally, the aforementioned Bonds have the characteristics set forth below:

• Ownership and Trading: They shall be book-entry, freely transferable, and tradable on the Stock and Commodity Exchanges of the country.
• Tax Exemptions: The Bonds of this issuance shall be subject to the tax treatment provided for public securities in Article 36 bis of Law 23.962.
• Placement: The Bonds shall be offered in payment of the debts established in Article 2 of Decree No. 52/92. Such delivery shall be made at par, taking into consideration the values at the date of the issuance of the Bonds. The conversion of the debt into United States dollars shall be carried out at the date of issuance of the respective Bonds, at the selling exchange rate of the Banco de la Nación Argentina.
• The Bond of lowest denomination shall be one United States dollar (US$ 1). Any fraction of debt exceeding FIFTY CENTS (US$ 0.50) shall be paid by the delivery of a Bond of lowest denomination, eliminating fractions equal to or less than said amount.
• Application of the Bonds: They may be used as a means of payment for the sales of assets of Ferrocarriles Argentinos and Ferrocarriles Metropolitanos S.A.. They may also be used to pay concessions and/or leases and/or goods of Ferrocarriles Argentinos and Ferrocarriles Metropolitanos S.A..

If they are used to cancel obligations in national currency, they shall be converted applying the selling exchange rate, of the close of the Banco de la Nación Argentina of the day prior to their application for payment.

We salute you very attentively.
BANCO CENTRAL DE LA REPUBLICA ARGENTINA
Cayetano I. Peroni Norma A. Riavitz
Supervisor of Supervisor General
Internal Public Debt Public Debt