Risk Factors

The Group’s companies are exposed to certain risks which it manages by applying risk identification, measurement, concentration limits and monitoring systems. The basic principles defined by the Group in establishing its policy of risk management include the following:

• Strict compliance with the whole normative system of the Group.

• Each business and each area defines:

I. The markets in which it can operate in terms of sufficient knowledge and skills to ensure effective risk management. II. Criteria about opposing parties. III. Authorized Operators.

• Businesses and corporate areas establish, for each market in which they operate, their exposure to risk in line with the strategy.

• All business operations and corporate areas are conducted within the limits approved in each case.