CICR Deliberations and Urgent Decree - Urgent Decree of the Minister of Economy and Finance, President of the CICR, dated July 27, 2011, No. 676

Secretariat of the Interministerial Committee for Credit and Savings Interministerial Committee for Credit and Savings The Minister of Economy and Finance - President RR n. e 1 e

HAVING REGARD TO Legislative Decree No. 385 of 10 September 1993, consolidating the laws on banking and credit (hereinafter, TUB), and in particular the following articles:

• Article 53(1)(d) of the TUB, which assigns to the Bank of Italy, in accordance with the deliberations of the CICR, the task of regulating administrative and accounting organization and internal controls;
• Article 53(1)(d-bis) of the TUB, which assigns to the Bank of Italy, in accordance with the deliberations of the CICR, the task of regulating the information that banks must provide to the public on matters expressly provided for in the aforementioned paragraph, including administrative and accounting organization and internal controls;
• Article 67(1) of the TUB, which replicates, for the purposes of consolidated supervision, the same provision provided for in Article 53 of the TUB with reference to the banking group considered comprehensively.

HAVING REGARD TO the decree of 5 August 2004 on corporate organization and governance, issued on an urgent basis by the Minister of Economy and Finance, in his capacity as President of the CICR; HAVING REGARD TO the decree of 27 December 2006 on capital adequacy, risk containment, and public information by banks and banking groups, issued on an urgent basis by the Minister of Economy and Finance, in his capacity as President of the CICR; HAVING REGARD TO Directive 2006/48/EC on the taking up and pursuit of the business of credit institutions; HAVING REGARD TO Directive 2010/76/EU of 24 November 2010, which, inter alia, amends Directive 2006/48/EC to introduce harmonized rules on remuneration policies and practices within the organizational and control frameworks of banks, with a transposition deadline set for 10 January 2011; HAVING REGARD TO the other guidelines developed at the international level in response to the crisis, and in particular the guidelines issued by the European Banking Authority to ensure the consistency of remuneration and incentive systems with the objectives of sound and prudent management of banks; ON THE PROPOSAL submitted by the Bank of Italy;

Interministerial Committee for Credit and Savings The Minister of Economy and Finance - President 2. CONSIDERING the urgency of acting, pursuant to and for the effects of Article 3(2) of the TUB; DECREE

The decree of 27 December 2006 on capital adequacy, risk containment, and public information by banks and banking groups, issued on an urgent basis by the Minister of Economy and Finance, in his capacity as President of the CICR, is amended as follows.

1. After Article 5, the following Article 5-bis is introduced: "Article 5-bis (Remuneration and Incentive Systems)

2. The provisions of this Article shall govern remuneration and incentive systems in banks and banking groups in accordance with international guidelines and European legislation."

3. Article 7(1), on public information, is replaced by the following: "1. The provisions of this Article shall govern the information to be provided to the public regarding the financial and risk situation, the methods used for risk management, as well as remuneration and incentive systems, providing for methods that enhance the accessibility and comparability of information."

This decree shall be published in the Official Gazette of the Italian Republic. Rome, 27 July 2011 THE MINISTER - PRESIDENT