Norm Reforming Article 33 of the External Audit Standard

Resolution No. CD-SIBOIF-819-1-ENE29-2014
Dated January 29, 2014

NORM REFORMING ARTICLE 33 OF THE EXTERNAL AUDIT STANDARD

The Board of Directors of the Superintendence of Banks and Other Financial Institutions,

CONSIDERING

I

That Article 42 of Law No. 561, General Law of Banks, Non-Bank Financial Institutions and Financial Groups (General Law of Banks); Article 6, letter c), of Law No. 587, Capital Markets Law; Article 58 of Law No. 733, General Law of Insurance, Reinsurance and Sureties (General Law of Insurance); and Article 45 of Law No. 734, General Law of Deposit Warehouses, establish that institutions regulated by these legal frameworks must hire at least one external audit annually. Likewise, it states that the Board of Directors of the Superintendence of Banks and Other Financial Institutions (Board of Directors) may determine through general norms the minimum requirements that auditors and external audits must meet, as well as the information that must be submitted to the Superintendence on an obligatory basis regarding the status of the audited institutions and the compliance of their own functions.

II

That it is the responsibility of the highest administrative and decision-making bodies of financial institutions (Board of Directors and General Shareholders' Assembly) to be properly informed about the progress of the company, as well as to know and resolve on the Audited Financial Statements of the institution and the other audit reports. This is in accordance with what is established in Articles 24 and 38, item 8) of the General Law of Banks; Article 51, item 9) and Article 64 of the General Law of Insurance; and Article 41, item 8) and Article 99 of the General Law of Deposit Warehouses.

III

That among the fundamental corporate governance practices of financial institutions is the disclosure of all information about the entity that is necessary to provide security and confidence to its clients, creditors, and investors regarding the administration of the company's business.

IV

That on August 2, 2012, this Board of Directors approved the External Audit Standard, contained in Resolution No. CD-SIBOIF-739-1-AGOS2-2012, published in La Gaceta, Official Gazette No. 211, of November 5, 2012.

V

That due to the duties of information and transparency to which supervised entities are subject, it is necessary to reform Article 33 of the aforementioned standard, so that in the publication of the Audited Financial Statements, they add an informative note revealing to the general public that said Audited Financial Statements, in addition to having been known and resolved by the members of the Board of Directors and the General Shareholders' Assembly in due course, express the concept of having been authorized by said bodies.

VI

That in accordance with the considerations set forth above and based on the powers established in Article 10, item 10), of Law No. 316, Law of the Superintendence of Banks and Other Financial Institutions and its reforms.

In exercise of its powers,

RESOLVES

CD-SIBOIF-819-1-ENE29-2014

To issue the following:

NORM REFORMING ARTICLE 33 OF THE EXTERNAL AUDIT STANDARD

First: Article 33 of the External Audit Standard, contained in Resolution No. CD-SIBOIF-739-1-AGOS2-2012, of August 2, 2012, published in La Gaceta, Official Gazette No. 211, of November 5, 2012, is hereby amended, which shall read as follows:

"Article 33. Publication of Financial Statements.- For the purposes of publishing the individual Audited Financial Statements in La Gaceta, Official Gazette, and in a written medium of national circulation, financial institutions must publish the opinion and the following components:

Balance Sheet and Statement of Results, using in the written medium of national circulation a font size legible to the naked eye.

Additionally, in the aforementioned publications, a footnote must be included revealing that the Report on the Audited Financial Statements was known, resolved, and authorized by the members of the Board of Directors and the General Shareholders' Assembly, and is fully available on the website of the respective financial institution, for which the electronic address thereof must be indicated. Likewise, on the website, the aforementioned clarifying note must be indicated in a visible and easily accessible place, as well as the number and date of publication in La Gaceta, Official Gazette, and the date and name of the written medium of national circulation in which the opinion and the aforementioned components were published. In the event that the financial institution is part of a financial group and does not have a website, this must be published on the website of the coordinator responsible for the financial group.

While the Financial Statements of the institution are not published in La Gaceta, Official Gazette, they must note on their website the date on which they were sent for publication; and, as soon as the publication is effective, the institution must update its website with the number and date of La Gaceta, Official Gazette, in which their Audited Financial Statements appear published.

In the publications in the aforementioned written media, institutions that are part of a financial group must indicate in a note the address of the website where the Report on the Consolidated or Combined Audited Financial Statements corresponding to said group can be consulted in its entirety.

In the case that the financial institution is also a Controlling Company as defined in the regulations governing the matter on financial groups, the Report on the Consolidated or Combined Audited Financial Statements must be available, at a minimum, on its website.

In addition to the foregoing, the publication of the Audited Financial Statements must comply with the deadlines and formats established in the respective Single Chart of Accounts Manual (MUC).

Financial institutions must keep available on their websites for a period of at least five years the complete reports of the audited financial statements."

Second: This norm shall enter into force upon its notification, without prejudice to its subsequent publication in La Gaceta, Official Gazette.

(f) Ovidio Reyes
(f) V. Urcuyo
(f) Fausto Reyes B.
(f) illegible (Silvio Moisés Casco Marenco)
(f) illegible (Freddy José Blandón Argeñal)
(f) Gabriel Pasos Lacayo
(f) U. Cerna B.

URIEL CERNA BARQUERO
Secretary of the Board of Directors SIBOIF