PRIVATIZATIONS Decree 223/96 Approve the Act of Contractual Obligations of Reciprocas signed between Argentine Railways and the Concessionary Company Nuevo Central Argentino Sociedad Anónima, concerning the Integral Concession of Exploitation of the Sector of the National Railway Network, composed mainly of the General Mitre Line.

Bs. As., 1/3/96

VISTO Issue No. 557-000147/95 of the Register of the MINISTERY OF ECONOMY AND ARTWS AND PUBLIC SERVICES and Decree No. 994 of 18 June 1992 and

CONSIDERING:

That through the decree, among other things, it was arranged to approve all that was performed by the MINISTERY OF ECONOMY AND ARTWS AND PUBLIC SERVICES on the occasion of the Public Licitation National and International for the Integral Concession of Exploitation of the Sector of the National Railway Network composed mainly of the General Mitre line with exclusion of its urban sections Retiro-Caplore

That also by that legal norm, the contract of concession signed on 12 May 1992 between the MINISTERY of ECONOMY and ARTWS and PUBLIC SERVICES in the character of Consignor and NUEVO CENTRAL ARGENTINO SOCIEDAD ANONIMA (in formation)

That on December 22, 1992 the Act of Possession of the aforementioned railway corridor was signed, the NATIONAL STATE represented in that act by Mr. MINISTER OF ECONOMY AND ARTWORKS AND SERVICES PUBLICS and the NEW ARGENTRAL ARGENTINO SOCIEDAD ANONIMA company, represented by the President of its Directory.

That at that time, Consignor and Concessionaire established that the taking of possession did not imply a waiver of those obligations which, at the present time, could be breached by both.

Notwithstanding the agreement, the concessionary firm was materially unable to comply fully with the provisions of point 9.4 of the Concession Contract on the incorporation of personnel.

That in order to put an end to the claim that motivated the matter, on 4 December 1995, the companies NEW ARGENTRAL ARGENTINO SOCIEDAD ANONIMA and FERROCARRILES ARGENTINOS (currently in liquidation), signed an Act, with the conformity and in the presence of the CONCEDENTE represented by the then SECRETARY OF TRANSPORTE, in which SEGEST

That the record also refers to the delivery of the rolling material to the concessionaire, by FERROCARRILES ARGENTINOS (currently in liquidation), pursuant to Annex 6.1.3, Deputy 1 and 2 of the Concession Contract, also agreeing to the mutual renunciation of any claim.

That the General SINDICATURA OF NATION through Note SIGEN No. 3. 731/95 - A. T. of the Register SIGEN No. 2734/95 dated 1 December 1995, stated that there are no objections to the signing of the Act.

It is therefore appropriate to integrate such an agreement with the Concession Contract in a timely manner, through the approval of its terms by the holder of the NATIONAL EXECUTIVE PODER.

That the Permanent Legal Service of the MINISTERY OF ECONOMY AND ARTWORKS AND SERVICES PUBLICOS has taken in these proceedings the intervention that it is responsible for.

That the subscriber is competent for the dictation of the present, by virtue of the powers conferred by Article 99, paragraph (1) of the NATIONAL CONSTITUTION and Article 15 and in accordance with Law No. 23,696.

Therefore,

THE PRESIDENT OF THE ARGENTINA NATION

RIGHT:

Article 1 . Approved the ACT CONTRACTUAL OBLIGATIONS RECIPROCAS signed on 4 December 1995 between FERROCARRILES ARGENTINOS (currently in liquidation) and the NEW CENTRAL ARGENTINO SOCIEDAD ANONIMA, which in authenticated copy, as Annex I, is part of this decree. Art. 2o . Communicate, publish, give to the National Directorate of the Official Register and archvese. . MENEM. . Eduardo Bauzá. . Domingo F. Cavallo.

NOTE: This decree is issued without Annex I. Unpublished documentation can be consulted at the Central Headquarters of this National Directorate (Suipacha 767, Capital Federal).