PUBLIC DEUDA Decree 1.269/96 Please refer to the Ministry of Economy and Public Works and Services to issue Public Debt Titles called "Bonos de la República Argentina en Marcos Alemanes".

Bs. As., 7/11/96

VISTO Issue No. 001-0047/96 of the record of the MINISTERY OF ECONOMY AND ARTWS AND PUBLIC SERVICES, Law No. 11.672 "Permanent Complementary of Budget" (T.O. 1996), Law No. 24.156, Law No. 24.624 "General Budget Law of the National Administration for the year 1996" as amended by Law No. 24.698, and

CONSIDERING:

That the ARGENTINA REPUBLIC has made in recent years placements in the international financial markets, which have involved an expansion of the investment base and have established new references for private sector placements.

That the National Government has successfully placed debt instruments on the German framework market.

That the MINISTERY OF ECONOMY AND ARTWORKS AND SERVICES PUBLICOS is assessing the possibility of placing financial instruments on the market, where it is appropriate to open the possibility of including financial transactions of derivatives for better management of the liabilities resulting from them.

That article 36 bis of Law No. 23.576 and its amendments, as well as Law No. 23.966 with the amendment introduced by Law No. 24.468 and 24.631 in Chapter III, establish tax treatment to apply to the instruments of credits that review the characteristic of Public Titles.

That the provisions of article 61 of Act No. 24,156 have been enforced.

That the instruments to be issued are covered by the authorizations for the public credit operations of Table 8, annexed to article 6 of Act No. 24,624, as amended by Planilla, annexed to article 8 of Act No. 24,698.

That the NATIONAL EXECUTIVE PODER is empowered to submit disputes with foreign persons in non-Argentine courts, in accordance with article 16 of Law No. 11.672, "Permanent Complementary of Budget" (T.O. 1996).

That the present measure is determined by the provisions of articles 6 and 41 of Act No. 24,624 of the General Budget Act of the National Administration for the year 1996 as amended by Act No. 24,698 and article 99, paragraphs 1 and 10, of the NATIONAL CONSTITUTION.

Therefore,

THE PRESIDENT OF THE ARGENTINA NATION

RIGHT:

Article 1 al Fill the MINISTERY OF ECONOMY AND ARTWORKS AND PUBLIC SERVICES, through the SECRETARIAT OF HACIENDA, to issue Public Debt Titles called "BONOS OF THE ARGENTINA REPUBLIC IN MARCOS ALEMANES", in one or more series, with the addition of the applicable rate of interest, and the year of expiry MARCOS ALEMANS QUINIENTS MILLONES (V.N. DEM 500.000.-).

Art. 2o . Authorize to carry out financial operations of products derived according to market practices for the administration of the resulting liabilities, at any time in the life of the Bonuses to be issued, as provided for in Article 1.

Art. 3o El The MINISTERY OF ECONOMY AND ARTWORKS AND PUBLIC SERVICES, through the SECRETARIAT OF HACIENDA, will make the respective decisions for the placement of such instruments, in accordance with the usual practices in the financial markets and will subscribe, on behalf of the ARGENTINA REPUBLIC, the documentation that is necessary for the purpose of:

(a) Designate the financial institutions that will represent and be responsible for the organization of the operations referred to in Article 1.

(b) Determine: the nominal value of the Titles to be offered for sale within the limit of Article 1, the times and times in which they will take place; and the markets of the outside in which they will be offered.

(c) Establish methods and procedures for the placement and/or sale of the respective Titles, in accordance with existing practices.

(d) Agree and subscribe the contracts necessary for the placement and/or sale of the Titles, which shall include the usual clauses for this purpose.

(e) To agree on conditions by which the placeholders are obliged to acquire the offered Titles.

(f) Pay for all expenses to be incurred and the fees to be agreed upon in accordance with the contracts to be signed.

(g) Authorize certain officials to subscribe to the documentation required to implement these operations.

Art. 4o . Authorize the inclusion, in the operations referred to in article 1, of clauses that establish the extension of jurisdiction in favor of the courts located in the city of FRANCFORT DEL MENO, FEDERAL REPUBLIC OF ALEMANIA, may extend the extension of jurisdiction to the state and federal courts located in the city of NUEVA YORK, UNITED STATES OF AMERICA. It is also authorized to accept the waiver of opposing the defence of sovereign immunity in the documentation signed by the MINISTERIO DE ECONOMIA AND ARTWS AND SERVICES PUBLICOS by the financial operations approved by Article 1 of this Decree.

Art. 5o En In the documentation that is signed by the operations approved by this Decree, inembargobility should be preserved with respect to:

(a) Assets that constitute reserves of free availability, within the framework of the Law on Convertibility, the amount, composition and investment of which is reflected in the General Balance and Accounting Status of the ARGENTINA REPUBLIC BANCO, prepared in accordance with Article 5 of Law No. 23.928.

(b) The assets of the National State affected to an essential public service.

(c) The funds, values and other means of financing affected to the budget execution of the Public Sector, whether it is cash, deposits in bank accounts, titles, securities issued, third-party obligations in portfolio and in general any other means of payment that is used to meet the erogations provided for in the General Budget of the Nation.

Art. 6th . Communicate, publish, give to the National Directorate of the Official Register and archvese. . MENEM. . Jorge A. Rodriguez. . Roque B. Fernández.