Placement of debt securities and obtaining of credit lines from abroad. Minimum cash. Adjustments

"2017 - YEAR OF RENEWABLE ENERGIES
COMMUNICATION "A" 6204 03/20/2017
TO FINANCIAL INSTITUTIONS:
Ref.: Circular
REMON 1 - 923
OPASI 2 - 517
Placement of debt securities and obtaining of credit lines from abroad. Minimum cash. Adjustments. ______ We address you to inform you that this Institution adopted the resolution that, in its pertinent part, provides:
"1. Incorporate as the last paragraph of point 1.3.1. of the rules on "Placement of debt securities and obtaining of credit lines from abroad" the following:
"2 years, in the case of instruments denominated in Housing Units adjustable by "ICC" - Law 27.271 ("UVI") or in Acquisition Value Units adjustable by "CER" - Law
25.827 ("UVA")."
2. Replace point 1.3.3. of the rules on "Placement of debt securities and obtaining of credit lines from abroad" with the following:
"1.3.3. Currencies.
National –includes those denominated in Housing Units adjustable by "ICC" - Law
27.271 ("UVI") or in Acquisition Value Units adjustable by "CER" - Law 25.827
("UVA")– or foreign."
3. Substitute point 1.3.14. of the rules on "Minimum cash" with the following:
"1.3.14. "UVA" and "UVI" term deposits and investments –including savings accounts and debt securities (including negotiable obligations) in "UVA" and "UVI"–, according to their residual term. i) Up to 29 days. 7 6 ii) From 30 to 59 days. 5 4 iii) From 60 to 89 days. 3 2 iv) 90 or more. 0 0"

-2-
On the other hand, we send you in annex the sheets that, in replacement of those opportunely provided, should be incorporated into the ordered texts of the reference. Likewise, it is remembered that on the page of this Institution www.bcra.gob.ar, accessing "Financial and Payment Systems - LEGAL AND REGULATORY FRAMEWORK - Orderings and summaries - Ordered texts of general regulations", you will find the modifications made with texts highlighted in special characters (strikethrough and bold). We greet you attentively. CENTRAL BANK OF THE ARGENTINE REPUBLIC Darío C. Stefanelli Agustín Torcassi Principal Manager of Issuance and Normative Applications Deputy General Manager of Norms
ANNEX

1.1. Scope.
Financial institutions, whatever their legal nature, may issue securities representing debt –including negotiable obligations– in accordance with these rules.
1.2. Characteristics of the securities.
1.2.1. They may be convertible into shares of the issuer provided that, in case of exercise of
the conversion, the provisions contained in Section 5. of the rules on "Authorization and composition of capital of financial institutions" regarding modification in the shareholder composition are met. The preceding condition must be expressly stated among the clauses of the instrument. In addition, entities that resort to this modality must inform the Superintendency of Financial and Exchange Entities prior to the issuance.
1.2.2. They may not be issued with floating or special guarantee but it will be admitted that they are endorsed or guaranteed by another financial institution of the country or foreign bank.
1.2.3. They may be contractually subordinated to the other liabilities of the entity.
The condition of subordination is present when, under equal conditions as to eventual privileges or among unsecured creditors, the creditor of said debt accepts to grant priority in the collection of the claim, in case of bankruptcy of the debtor, to the other liabilities under equal conditions. Eventually, the priority in the distribution of funds may be agreed only and exclusively with respect to the shareholders –whatever the class of shares–, with express waiver of any general or special privilege.
1.2.4. They will be expressly excluded from the deposit guarantee insurance system, in accordance with what arises from Law 24.485 and the general privilege granted by subsection e) of
article 49 of the Law on Financial Entities.
1.2.5. Only securities that have executive action may be issued.
1.3. Conditions of the issuances.
1.3.1. Minimum term.
30 days, counted from the date of primary placement.
2 years, in the case of instruments denominated in Housing Units adjustable by "ICC" - Law 27.271 ("UVI") or in Acquisition Value Units adjustable by "CER"

• Law 25.827 ("UVA").
  Version: 3rd. COMMUNICATION "A" 6204
  Effective:
  3/21/2017
  PLACEMENT OF DEBT SECURITIES
  B.C.R.A. AND OBTAINING OF CREDIT LINES FROM ABROAD
  Section 1. Debt securities.

1.3.2. Amortization.
1.3.2.1. 30-day term securities.
Full payment at maturity.
1.3.2.2. Securities with term greater than 30 days.
Partial amortizations will be admitted from 30 days of validity, counted from the date of primary placement.
1.3.3. Currencies.
National –includes those denominated in Housing Units adjustable by "ICC" - Law 27.271 ("UVI") or in Acquisition Value Units adjustable by "CER" - Law
25.827 ("UVA")– or foreign.
1.3.4. Minimum amount of the nominal value of the securities.
The equivalent for the consideration of qualified investors, as provided in point 3.3. of the rules on "Term deposits and investments".
1.3.5. Interest.
The rate may be fixed or variable as established in the issuance conditions. When the rate is variable, the parameters that will be used for its determination and periodicity of change must be clearly specified.
1.3.6. Payment of interest.
1.3.6.1. 30-day term securities.
Full payment at maturity.
It may be agreed that the settlement be made in advance as a discount of the placement price, paying at maturity the nominal value of the security.
1.3.6.2. Securities with term greater than 30 days.
Periodic payment of accrued interest will be admitted, to the extent that it is made in arrears with a periodicity not less than 30 days. It may be agreed that the settlement be made entirely in advance as a discount of the placement price, paying at maturity the nominal value of the security, provided that the term of the security does not exceed 180 days. PLACEMENT OF DEBT SECURITIES B.C.R.A. AND OBTAINING OF CREDIT LINES FROM ABROAD
Section 1. Debt securities.
Version: 5th. COMMUNICATION "A" 6204
Effective:
3/21/2017

ORDERED TEXT ORIGIN RULE
Sec. Point Par. Com. Annex Chap. Point Par.
OBSERVATIONS
1.1. "A" 1907 1. 1st
1.2.1. "A" 2177 2. S/Com. "A" 6204.
1.2.2. "A" 1907 1.1.1.2.
1.2.3. "A" 3046
1.2.4. "A" 1907 1.1.1.3. S/Com. "A" 5571.
1.2.5. "A" 1907 1.1.1.4.
1.3.1. "A" 1907 1.1.2. S/Com. "A" 2061 (point
1.4.) and 6204.
1.3.2. "A" 1907 1.1.3.
1.3.2.1. "A" 1907 1.1.3.1. S/Com. "A" 2061 (point
1.4.).
1.3.2.2. "A" 1907 1.1.3.2. S/Com. "A" 2061 (point
1.4.).
1.3.3. "A" 1907 1.1.4. S/Com. "A" 6069 and
6204.
1.3.4. "A" 1907 1.1.5. S/Com. "A" 3046, 4558
and 5034.
1.3.5. "A" 1907 1.1. 6. S/Com. "A" 3046.
1.3.6. "A" 1907 1.1.7.
1.3.6.1. "A" 1907 1.1.7.1. S/Com. "A" 2061 (point
1.4.) and 3046.
1.3.6.2. "A" 1907 1.1.7.2. S/Com. "A" 2061 (point
1.4.) and 3046.
1.3.7. "A" 1907 1.1.8.
1.3.7.1. "A" 1907 1.1.8.1. S/Com. "A" 3046.
1.3.7.2. "A" 1907 1.1.8.2.
1.3.7.3. "A" 1907 1.1.8.3.
1.3.7.4. "A" 1907 1.1.8.4.
1.3.7.5. "A" 1907 1.1.8.5.
1.3.7.6. "A" 1907 1.1.8.6.
1st "A" 1907 1.1.8.7. 1st S/Com. "A" 2122 (9th paragraph), 3046 and 5571. 2nd "A" 1907 1.1.8.7. 2nd 3rd "A" 3046 1.3.7.7. 4th "A" 3046
1.3.8. "A" 3046 S/Com. "A" 3558.
1.4. "A" 1907 1.2. S/Com. "A" 3046.
1st "A" 1907 1.2.1. 1st S/Com. "A" 2144 (point 1.2.1.1., 2nd paragraph) and 5390. 1.4.1. 2nd "A" 1907 1.2.1. 1st S/Com. "A" 2144 (point 1.2.1.1., 3rd paragraph). 1.
1.4.2. "A" 1907 1.2.1. 1st S/Com. "A" 2144 (point
1.2.1.2.) and 3046.
B.C.R.A.
ORIGIN OF THE PROVISIONS CONTAINED IN THE RULES ON "PLACEMENT OF DEBT SECURITIES AND OBTAINING OF CREDIT LINES FROM ABROAD"

1.4. Residual term.
1.4.1. Determination.
1.4.1.1. General case.
The residual term of each term obligation equals the number of days remaining until its maturity.
1.4.1.2. Term investments.
In the cases of term investments the following criteria will be applied:
i) At constant term.
The remaining term until maturity will be considered taking into account the automatic extension or, where appropriate, the term that arises from the exercise of the option to revoke it. ii) With early cancellation option. The remaining term until the date on which the investor may exercise the early cancellation option will be taken into account, to the extent that he is the holder of the right, or the originally agreed term, in case the entity is the holder of that right. iii) With renewal option for a determined term. The remaining term until maturity will be considered, taking into account for this purpose the one that would result from the eventual exercise of the extension option by the entity, to the extent that it is the holder of the right. When the investor is the holder of that right, the originally agreed term will be taken into account or, where appropriate, the one resulting from the renewal when he has exercised the option. MINIMUM CASH B.C.R.A.
Section 1. Requirement.
Rates in %
Concept
Category I Categories
II to VI
1.3.14. "UVA" and "UVI" term deposits and investments
–including savings accounts and debt securities (including negotiable obligations) in "UVA" and "UVI"–, according to their residual term. i) Up to 29 days. 7 6 ii) From 30 to 59 days. 5 4 iii) From 60 to 89 days. 3 2 iv) 90 or more. 0 0
1.3.15. Term deposits and investments constituted
in the name of minors with funds received free of charge.
0 0
Version: 9th. COMMUNICATION "A" 6204
Effective:
3/21/2017

MINIMUM CASH
ORDERED TEXT ORIGIN RULE
Sec. Point Par. Com. Annex Sec. Point Par.
OBSERVATIONS
1.3.8. "A" 3498 unique 1. 1.3.11. According to Com. "A" 3597, 3732,
4032 and 5356.
1.3.9. "A" 3498 unique 1. 1.3.12. According to Com. "A" 3905, 3917,
3967, 4032, 4179, 4276,
4449, 4549, 4851, 5356,
5534, 5555, 5569, 5873,
5893, 5980 and 6195.
1.3.10. "A" 3549 1.
1.3.11. "A" 3549 1. According to Com. "A" 4179, 4388,
4549, 4851, 5356, 5534,
5555, 5569, 5873, 5893,
5980 and 6195.
1.3.12. "A" 4360 2. According to Com. "A" 5356.
1.3.13. "A" 4754 6. According to Com. "A" 5356, 5980
and 6195.
1.3.14. "A" 5945 4. According to Com. "A" 6069 and
6204.
1.3.15. "A" 6069 4.
1.4. "A" 3905 3. According to Com. "A" 4179, 4449,
4473, 5671 and 5740. Includes interpretive clarification.
1.5. "A" 5356 2. According to Com. "A" 5471.
1.5.1. "A" 5356 2. According to Com. "A" 5471 and
5623.
1.5.2. "A" 5471 1. According to Com. "A" 5623.
1.5.3. "A" 5623 2.
1.5.4. "A" 5524
1.5.5. "A" 5631 1. According to Com. "A" 5638.
1.5. last "A" 5623 4. According to Com. "A" 5631.
1.6. "A" 3274 II 1. 1.5. According to Com. "A" 3498.
1.7. "A" 3274 II 1. 1.6.
1.7.1. "A" 3274 II 1. 1.6.1. According to Com. "A" 4405 and
4449.
1.7.2. "A" 3274 II 1. 1.6.2. According to Com. "A" 3304 and
4449.
1.8. "A" 3498 unique 1. 1.8. According to Com. "A" 4147.
1.
1.9. "A" 5380 According to Com. "A" 5449, 5516,
5600, 5654 and 5771. Includes interpretive clarification.
2.1. "A" 3274 II 2. 2.1. According to Com. "A" 3498, 3597,
4716 (interpret. clarification),
4815 and "B" 9186.
2.1.1. "A" 3274 II 2. 2.1.2. According to Com. "A" 3304, 3498,
4016 and 4147.
2.1.2. "A" 3498 unique 2. 2.1.3. According to Com. "A" 4147.
2.1.3. "A" 3274 II 2. 2.1.3. According to Com. "A" 3498, 4147,
4276 and 5194.
2.1.4. "A" 3274 II 2. 2.1.4.
2.1.5. "A" 4016 1.
2.1.6. "A" 4716 2. According to Com. "B" 9186.
2.
2.2. "A" 3274 II 2. 2.2. According to Com. "A" 3498, 4449,
4716 and 5299.