Ana Botín, chairman of Banco Santander. Internal communication. 25 November 2014.

Transcription

1 W ar bgg a w ra, rforcg our am o bcom h bs commrcal bak h world as w mov forward wh h hghs raoal sadards of corpora govrac Aa Boí, charma of Baco Saadr Iral commucao. 25 Novmbr 2014.

2 3 Corpora govrac rpor 72 Owrshp srucur 76 Baco Saadr s board of drcors 94 Sharholdr rghs ad h gral sharholdrs mg 96 Saadr Group maagm am 98 Trasparcy ad dpdc Balacd ad commd board. Of 15 drcors, 10 ar o-xcuv ad 5 ar xcuv. Equaly of rghs of sharholdrs. Prcpl of o shar, o vo, o dvdd. No dfsv mchasms Bylaws. Ecouragm of formd parcpao a mgs. Maxmum rasparcy, parcularly as rgards rmurao. A corpora govrac modl rcogsd by socally rsposbl vsm dcs. Saadr has b cludd h FTSE4Good ad DJSI dcs sc 2003 ad 2000, rspcvly.

3 Excuv summary Chags h composo of h board Th followg chags hav ld o a mor raoal ad dvrsfd board: O 10 Spmbr, afr h dah of h formr charma, Mr Emlo Boí-Saz d Sauuola y García d los Ríos, h Bak s board of drcors rsolvd o appo Ms Aa Boí-Saz d Sauuola y O Sha as xcuv charma of h Group. A s mg of 25 Novmbr, h board of drcors appod Mr José Aoo Álvarz Álvarz as chf xcuv offcr, rplacg Mr Javr Marí Romao, ad also approvd h followg appoms: Mr Bruc Carg-Brow, as frs vc-charma, dpd drcor ad lad drcor (cosjro coordador). Mr Rodrgo Echqu Gordllo, as fourh vccharma. Ms Sol Daurlla Comadrá ad Mr Carlos Frádz Gozálz, as dpd drcors. Th w dpd drcors flld h vacacs crad by h dah of Mr Emlo Boí-Saz d Sauuola y García d los Ríos as wll as by h rsgaos of Mr Frado d Asúa Álvarz ad Mr Abl Maus Jua. I 2015, a s mg of 16 Jauary, h board of drcors approvd h appom of Mr Rodrgo Echqu Gordllo, vc-charma of h board, as a xcuv drcor wh rsposbly for h duy of complac accordac wh h rgulaory rcommdaos o corpora govrac ad also assumg h ohr dus assgd o hm by h charma of h Bak. Acvs of h board Th board hld 16 mgs durg I addo o h rpor mad by h charma a ach ordary mg, a 9 mgs, h chf xcuv offcr submd maagm rpors o h board, ad h scod vc-charma ad charma of h xcuv rsk comm rpord o Group rsks. Th board has alrady hld o mg o h global sragy of h Group Th Group s xral audors ad hads of ral aud parcpad 11 of h 13 mgs hld by h aud comm ad rpord o h board o 2 occasos durg Icras capal ad w dvdd polcy I Jauary 2015, a capal cras of 7,500 mllo uros, approxmaly 8.8% of h Bak s capal afr h cras, was carrd ou by mas of acclrad bookbuldg. Th dvdd polcy of h Bak has also b rdrcd, ffcv from h frs dvdd o b pad for facal yar 2015, rsulg h xpcd dsrbuo of hr cash dvdds ad a scrp dvdd (Saadr Scrp Dvdd), a smad amou of fv cs pr shar for ach of hm. Thr s a compsao of 0.60 uros pr shar by mas of scrp dvdds wh a charg o facal yar 2014, accordac wh h aoucm a h gral sharholdrs mg of 28 March

4 Rmurao of drcors Th oal rmurao of drcors for 2014 s 8.9% mor ha Bylaw-madad payms Th oal amou pad by h board bylawmadad payms amoud o 4.4 mllo uros 2014, whch s 27.2% lss ha h maxmum amou approvd a h gral sharholdrs mg. Rmurao of xcuv drcors A h gral sharholdrs mg 2014 was rsolvd o amd h Bylaws o adjus h rmurao ruls for h xcuv drcors o h provsos of Royal Dcr-Law 14/2013 (oday Law 10/2014) ad of CRD IV, such ha h varabl compos of hr rmurao may o xcd 100% of h fxd compos, ulss a hghr rao s approvd a h gral sharholdrs mg, whch rao shall o cas xcd 200%. O of h ma w lms of h 2014 drcor rmurao polcy cludd a log-rm shar cv basd o h prformac of h Bak ovr a mul-yar prod, ordr o cras h algm of varabl rmurao wh h crao of log-rm valu for h sharholdrs. Appom of w charm a subsdars h Ud Kgdom, Brazl ad h Ud Sas Durg Dcmbr 2014, h appoms wr aoucd of Baross Vadra, who wll b h w o-xcuv charma of Saadr UK from 30 March 2015, rplacg Lord Burs, ad of Mr T. Tmohy Rya, Jr., a formr vc charma of JP Morga Chas, who has b appod o-xcuv charma of h boards of drcors of Saadr Holdgs USA (SHUSA) ad of Saadr Bak. Th appom of Mr Sérgo Ral as charma of h board of Saadr Brazl was aoucd Jauary Mr Ral has hld xcuv posos ABN-AMRO (CEO for h Asa rgo), Bar Sars, Marfrg (CEO) ad Cargll (xcuv vc prsd ad CFO) amog ohrs. Facal formao prodcally publshd by h Bak Th board approvd h quarrly facal formao, h aual accous ad h maagm rpor for 2014, addo o ohr docums such as h aual rpor, h susaably rpor, prudal formao (Pllar III), h aual corpora govrac rpor, h rpors of h comms of h board ad h aual drcor rmurao rpor. 71

5 1. OWNERSHIP STRUCTURE 1. Owrshp srucur Numbr of shars ad sgfca rss Numbr of shars I 2014, h Bak carrd ou fv capal crass, ffcv 30 Jauary, 29 Aprl, 30 July, 4 Novmbr ad 5 Novmbr, wh h ssuac of 227,646,659, 217,013,477, 210,010,506, 210,010,506 ad 225,386,463 w shars, rprsg 2.009%, 1.915%, 1.853%, 3.273% ad 1.989%, rspcvly, of h Bak s shar capal a yard Th frs hr ad h las wr wh h framwork of h Saadr Scrp Dvdd programm, ad h fourh rsuld from h offr mad for h shars of Baco Saadr (Brasl) S.A. o owd by Saadr Group. All hs ald a oal cras shar capal qual o % comparso wh shar capal a yar-d Nº of shars % of shar capal * 30 Jauary 227,646, % 29 Aprl 217,013, % 30 July 210,010, % 4 Novmbr 370,937, % 5 Novmbr 225,386, % Toal 1,250,994, % * Shar capal a yar-d Th Bak s shar capal a 31 Dcmbr 2014 was rprsd by 12,584,414,659 shars, whos valu pr h lsg prc o h Elcroc Tradg Sysm (Ssma d Ircoxó Bursál) (couous mark) of h Spash sock xchags a such da was 88,040.6 mllo uros. All shars carry h sam coomc, vog ad rlad rghs. Sgfca rss No sharholdr hld sgfca rss (of mor ha 3% of h shar capal 1 or rss ha would prm a sgfca fluc o h Bak) a 31 Dcmbr Th rss hld by: Sa Sr Bak ad Trus Compay (11.43%); Chas Noms Lmd (5.78%); Th Bak of Nw York Mllo Corporao (4.80%); EC Noms Lmd (4.35%); Guaray Noms Lmd (4.21%); ad Clarsram Bakg S.A. (3.47%), whch wr h oly os xcss of 3%, wr hld by hm o bhalf of hr cusomrs. Th Bak s o awar of ay of hm holdg dvdual saks of 3% or mor of s shar capal. Barg md h curr umbr of mmbrs of h board of drcors (15), h prcag of capal dd o xrcs h rgh o appo a drcor, accordac wh arcl 243 of h Spash Compas Ac (Ly d Socdads d Capal) o proporoal rprsao, s 6.67%. Sharholdrs agrms ad ohr sgfca agrms Sco A.6 of h aual corpora govrac rpor, whch forms par of h maagm rpor, coas a dscrpo of h prva sharholdrs agrm (paco parasocal) xcud Fbruary 2006 by Mr Emlo Boí-Saz d Sauuola y García d los Ríos, Ms Aa Parca Boí-Saz d Sauuola y O Sha, Mr Emlo Boí-Saz d Sauuola y O Sha, Mr Fracsco Javr Boí-Saz d Sauuola y O Sha, Smacas, S.A., Pu Sa Mgul, S.A., Pupumar, S.L., Lamr Ivrsos, S.L. ad Croj, S.L. Uprsoal, provdg for h sydcao of h shars of h Bak hld by hm or rspc of whch hy hav vog rghs. Such agrm was also rpord o h Naoal Scurs Mark Commsso (Comsó Nacoal dl Mrcado d Valors) (CNMV) as a sgfca v (hcho rlva) ad s dscrbd h publc rcords hrof. O 3 Augus ad 19 Novmbr 2012, Baco Saadr rpord o h CNMV as maral facs ha had b formally ofd of amdms o hs sharholdrs agrm wh rgard o h sgaors hro. O 17 Ocobr 2013, h Bak also rpord o h CNMV as a maral fac a upda of h holdrs ad of h dsrbuo of shars cludd h sydcao, as a cosquc of a busss rorgasao carrd ou by o of h pars o h agrm. O 3 Ocobr 2014, Baco Saadr rpord o h CNMV as a maral fac a w upda of h holdrs ad of h dsrbuo of shars cludd h sydcao, as wll as h chag of h charmashp of h sydca, whch s vsd Mr Fracsco Javr Boí-Saz d Sauuola y O Sha, curr charma of h board of russ of h Boí Foudao, complg such formao by a maral fac ofcao o 6 Fbruary Lm s by Royal Dcr 1362/2007, of 19 Ocobr, for dfg h cocp of sgfca rs.. 72

6 1. OWNERSHIP STRUCTURE Shars cludd h sydcao A h da of hs docum, h sydcao cludd a oal of 73,732,624 shars of h Bak (0.6% of s shar capal), brok dow as follows: Sgaors o h sharholdrs agrm Numbr of shars Esa (hrca yac) of Mr Emlo Boí- Saz d Sauuola y Garca d los Ríos 552,426 Ms Aa Parca Boí-Saz d Sauuola O Sha 1 8,079,986 Mr Emlo Boí-Saz d Sauuola O'Sha 2 16,873,709 Mr Fracsco Javr Boí-Saz d Sauuola O'Sha 3 16,288,313 Ms Paloma Boí-Saz d Sauuola O'Sha 4 7,835,293 Ms Carm Boí-Saz d Sauuola O'Sha 8,636,449 PUENTEPUMAR, S.L. LATIMER INVERSIONES, S.L ,508 CRONJE, S.L., Uprsoal 9,337,661 NUEVA AZIL, S.L. 5,575,279 TOTAL 73,732, ,996,625 shars of Baco Saadr, S.A. drcly hrough Bafmar, S.L. 2. 7,800,332 shars of Baco Saadr, S.A. drcly hrough Pu Sa Mgul, S.L.U. 3. 4,652,747 shars of Baco Saadr, S.A. drcly hrough Ivrsos Zulú, S.L. ad 6,794,391 shars hrough Agropcuara El Casaño, S.L.U. 4. 6,628,291 shars of Baco Saadr, S.A. drcly hrough Brgh Sky 2012, S.L. 5. Bar owrshp of 553,508 shars corrspods o h Boí Foudao, bu vog rghs ar assgd o Lamr Ivrsos, S.L. as bfcal owr hrof. I all ohr rspcs h aformod sharholdrs agrm rmas uchagd. Th aformod maral facs may b vwd o h Group s corpora wbs ( Trasury shars Trasury shar polcy Th sal ad purchas of ow shars, by h Compay or by compas corolld hrby, mus coform o h provsos of applcabl law ad h rsoluos of h sharholdrs hs rgard. Th Bak, by rsoluo of h board of drcors o 23 Ocobr 2014 approvd a w rasury sock polcy 2 akg o accou h crra rcommdd by h CNMV. Trasury shar rasacos hav h followg objcvs: a) To provd lqudy or a supply of scurs, as applcabl, h mark for h shars of h Bak, gvg dph o such mark ad mmsg possbl mporary mbalacs bw supply ad dmad. b) To bf sharholdrs as a whol, o ak advaag of suaos of wakss h prc of h shars rlao o prospcs of chags h mdum-rm. Thy shall b subjc o h followg gral gudls: Thy shall o al proposd rvo h fr formao of prcs. Tradg may o ak plac f h u rusd wh such rasaco s posssso of sdr or rlva formao. Whr applcabl, h xcuo of buy-back programms ad h acquso of shars o covr oblgaos of h Bak or h Group shall b prmd. Trasury sock rasacos shall b carrd ou by h Ivsms ad Holdgs Dparm, whch s solad as a spara ara from h rs of h Bak s acvs ad procd by h rspcv chs walls, prvg from rcvg ay sdr or rlva formao. Th had of such dparm s rsposbl for h maagm of rasury sock. 2. Th rasury shar polcy s publshd o h Group s corpora wbs ( 73

7 1. OWNERSHIP STRUCTURE Ky daa A 31 Dcmbr 2014, h Bak hld 1,465,371 rasury shars, rprsg 0.012% of s shar capal a such da (a yar-d 2013, hr wr 1,425,239 rasury shars, rprsg 0.013% of h Bak s shar capal a such da). Th followg abl ss ou h mohly avrag prcags of rasury shars 2014 ad Mohly avrag prcags of rasury shars 1 % of h Bak s socal capal Jauary Fbruary March Aprl May Ju July Augus Spmbr Ocobr Novmbr Dcmbr Furhr formao hs rgard s cludd sco A.8 of h aual corpora govrac rpor, whch forms par of h maagm rpor, ad h capal ad rasury sock sco of hs lar rpor. 2. Mohly avrag of daly posos of rasury sock. Th rasacos ow shars carrd ou by compas formg par of h cosoldad Group h rs hrof durg facal yar 2014 ald h acquso of 487,590,901 shars, qual o a omal amou of mllo uros (acual amou of 3,442.0 mllo uros), ad h sal of 487,550,769 shars, h omal amou of mllo uros (acual amou of 3,498.5 mllo uros). Th avrag purchas prc of shars of h Bak facal yar 2014 was 7.06 uros pr shar, ad h avrag sal prc of shars of h Bak was 7.18 uros pr shar. Th ffc o quy ( of axs) grad by rasacos carrd ou durg h facal yar wh shars ssud by h Bak was qual o a prof of 40 mllo uros, whch was rcordd h Group s quy sco udr Sharholdrs quy Rsrvs. Auhorsao Th curr auhorsao for rasacos rasury shars arss from rsoluo 5 adopd by h sharholdrs acg a h gral sharholdrs mg hld o 28 March 2014, m II) of whch rads as follows: To gra xprss auhorsao for h Bak ad h subsdars blogg o h Group o acqur shars rprsg h shar capal of h Bak for valuabl cosdrao ay mar prmd by law, wh h lms of h law ad subjc o all lgal rqurms, up o a maxmum umbr of shars cludg h shars hy alrady hold qual o 10% of h shar capal xsg a ay gv m or such grar maxmum prcag as s sablshd by h law whl hs auhorsao s ffc. Such shars shall b fully pad- a a mmum prc pr shar qual o h par valu hrof ad a maxmum prc of up o 3% ovr h las lsg prc for rasacos whch h Bak dos o ac o s ow bhalf o h Couous Mark of h Spash sock xchags (cludg h block mark) pror o h acquso quso. Ths auhorsao may oly b xrcsd wh fv yars of h da of h gral sharholdrs mg. Th auhorsao cluds h acquso of shars, f ay, ha mus b dlvrd drcly o h mploys ad maagrs of h Compay, or ha mus b dlvrd as a rsul of h xrcs of h opos hld by hm. Rsoluos ffc rgardg h possbl ssuac of w shars or of bods covrbl o shars Th capal auhorsd by h sharholdrs acg a h aual gral mg hld o 28 March 2014, udr m 9 of h agda, amous o 2,890,266, uros. Th prod avalabl o h drcors of h Bak o carry ou ad mak capal crass up o such lm xprs o 28 March Th rsoluo gvs h board (or, by dlgao, h xcuv comm) h powr o xclud pr-mpv rghs whol or par, pursua o h provsos of sco 506 of h Compas Ac, hough hs powr s lmd o capal crass carrd ou pursua o hs dlgao up o 1,156,106, uros. I addo, h sharholdrs acg a h aual gral mg hld o 28 March 2014 approvd h followg rsoluos coco wh h co of hs sco: 1. Four crass shar capal wh a charg o rsrvs h maxmum amous of 1,875 mllo, 1,950 mllo, 2,025 mllo ad 2,100 mllo uros a mark valu, rspcvly, wh h sharholdr compsao schm (Saadr Scrp Dvdd) whrby h Bak has offrd sharholdrs h possbly of rcvg shars udr a scrp ssu for a amou qual o h dvdds o h quarrly das o whch hy ar cusomarly pad. For such purposs, a 31 Dcmbr 2014, h frs hr aformod crass capal had b mplmd, akg plac o 29 Aprl, 30 July ad 5 Novmbr A umbr of shars havg a omal valu of 0.5 uro ach wr ssud ach cas, qual o 108,506, uros, 105,005,253 uros ad 112,693, uros, rspcvly, whch corrspods o a oal of 5.184% of h Bak s shar capal a yar-d Th fourh cras capal was mplmd 29 Jauary A umbr of shars havg a omal valu of 0.5 uro ach wr ssud, rprsg 131,289, uros, whch corrspods o 1.903% of shar capal a such da. 74

8 1. OWNERSHIP STRUCTURE 2. Dlgao o h board of drcors, accordac wh h gral ruls o ssuac of oblgaos ad pursua o h provsos of arcl 319 of h Rgulaos of h Commrcal Rgsr (Rglamo dl Rgsro Mrcal), of h powr o ssu, o o or mor occasos, dburs, bods, prfrrd shars ad ohr fxd-com scurs or db srums of a smlar aur ay of h forms allowd by law ad covrbl o ad/or xchagabl for shars of h Bak (rsoluo Elv A) of h gral sharholdrs mg of 28 March 2014). Such dlgao also cluds warras or smlar scurs ha may drcly or drcly carry h rgh o subscrb for or acqur shars of h Bak, whhr wly-ssud or alrady ousadg, payabl by physcal dlvry or hrough s-off. Th ssuac or ssuacs of scurs carrd ou pursua o hs dlgao com o h aggrga maxmum amou of 10,000 mllo uros or h quval hrof aohr currcy, ad h prod avalabl o h drcors of h Bak wh whch o mplm hs rsoluo xprs o 28 March A h da of hs docum, pursua o hs dlgao, wo ssuacs of prfrrd shars covrbl o wly ssud ordary shars of h Bak, xcludg pr-mpv rghs of sharholdrs, wr carrd ou May ad Spmbr 2014, rspcvly, h formr h omal amou of 1,500 mllo dollars (1,077,044, uros a h xchag ra of US dollars pr uro) ad h lar for 1,500 mllo uros. Th ssuac of hs cogly covrbl scurs volvs h approval of corrspodg crass capal, f applcabl, o provd for h covrso of h prfrrd shars. Cosquly, h wo aformod ssuacs ma ha of h auhorsd capal mod a h bgg of hs sco, 264,009,622 uros has b usd for hos purposs wh rspc o h wo dscrbd auhorsd capal lms. Afr h al prod for accpac of h offr, h holdrs of 13.65% of h scurs rprsg h shar capal of Baco Saadr Brasl accpd h offr. As h prcag of accpac was lowr ha h lm ha would hav prmd h holdrs of scurs rprsg h shar capal of Baco Saadr Brasl who dd o accp h offr o rqus ha h Bak purchas hr shars durg h hr followg mohs a h sam xchag rao accordac wh h provsos h rms of h offr, was oly cssary o mplm h frs of h aformod sx crass shar capal. O 4 Novmbr, Baco Saadr, S.A., mplmao of h aformod rsoluo of h gral sharholdrs mg, ssud 370,937,066 shars, whch rprsd approxmaly 3.09% of h Bak s shar capal a such da. Fally, facal yar 2015, o 8 Jauary h board of drcors approvd a cras shar capal wh h xcluso of pr-mpv rghs pursua o h dlgao coad rsoluo N of h gral sharholdrs mg of 28 March 2014 ad dscrbd a h bgg of hs sco. Afr a acclrad bookbuldg amog qualfd vsors, o 9 Jauary 2015 h xcuv comm dclard h capal cras closd h oal omal amou of 606,796,117 uros, whch rprss 9.64% of h Bak s shar capal a such da. Afr such capal cras, h avalabl auhorsd capal amous o 1,996,946,432 uros wh rspc o h capacy of h board of drcors (or, rplacg hm, h xcuv comm) o approv crass capal ad o 262,786,360 uros wh rspc o h powr o approv crass capal wh h xcluso of pr-mpv rghs. O 5 March 2014, pursua o h dlgao mplmd by h board of drcors udr rsoluo Twlv A. II) of h gral sharholdrs mg hld o 22 March 2013 (whch was lar rscdd udr h aformod rsoluo Elv A) of h gral sharholdrs mg of 28 March 2014), a ssuac of prfrrd shars cogly covrbl o wly ssud ordary shars of h Bak was carrd ou, xcludg pr-mpv rghs of sharholdrs, h omal amou of 1,500 mllo uros. 3. Dlgao o h board of drcors, pursua o h provsos of sco a) of h Compas Ac, of h broads powrs such ha, wh o yar of h da o whch h aformod sharholdrs mg s hld, may s h da ad h rms ad codos, as o all mars o provdd for by h sharholdrs hmslvs, of a cras capal h amou of 500 mllo uros. If h board dos o xrcs h powrs dlgad hro wh h prod sablshd by h sharholdrs for mplmao of hs rsoluo, such powrs shall b rscdd. Wh rlao o h akovr bd offr for all h scurs rprsg h shar capal of Baco Saadr Brasl ha wr o hld by h Saadr Group, h sharholdrs of h Bak acg a h xraordary gral sharholdrs mg o 15 Spmbr 2014 approvd sx crass shar capal h amou cssary o b abl o acqur all such scurs of Baco Saadr Brasl, dlvrg w shars of h Bak as cosdrao. 75

9 2. Baco Saadr s board of drcors 3 Ms Aa Boí-Saz d Sauuola y O Sha Mr José Aoo Álvarz Álvarz Mr Bruc Carg-Brow Mr Maías Rodríguz Icar >Charma Excuv drcor Bor 1960 Saadr (Spa). Jod h board Gradua Ecoomcs. Jod h Bak afr a prod a JP Morga ( ). Sh has b xcuv vc prsd of Baco Saadr, S.A. sc 1992, was xcuv charwoma of Baso from 2002 o 2010, ad chf xcuv offcr of Saadr UK from 2010 o Ohr sgfca posos: sh s a o-xcuv drcor of Th Coca-Cola Compay. Sh s also Busss Ambassador of h govrm of h Ud Kgdom. Comms of h board of whch sh s a mmbr Excuv (charma), raoal (charma) ad ovao ad chology (charma). >Chf xcuv offcr Excuv drcor Bor 1960 Ló (Spa). Appod drcor o a rm bass a h board mg of 25 Novmbr M.A. dgr Ecoomcs ad Busss Admsrao. MBA a h Chcago Uvrsy. Jod h Bak 2002 ad was appod xcuv vc prsd of h facal maagm ad vsor rlaos dvso 2004 (chf facal offcr). Ohr sgfca posos: H s a mmbr of h board of Baco Saadr (Brasl), S.A. ad SAM Ivsms Holdgs Lmd. Has also srvd as a drcor of Saadr Cosumr Fac, S.A. ad a mmbr of h suprvsory boards of Saadr Cosumr AG, Saadr Cosumr Holdg GMBH, Saadr Holdgs USA, Ic. ad Bak Zachod WBK, as wll as a drcor of Bolsas y Mrcados Españols (BME). Comms of h board of whch h s a mmbr Excuv, xcuv rsk, raoal ad ovao ad chology. >Frs vc-charma No-xcuv (dpd) drcor ad lad dpd drcor Bor 1959 Frow (Srra Lo). Appod drcor o a rm bass a h board mg of 25 Novmbr M. A. dgr Eglsh Laguag ad Lraur. Ohr sgfca posos: H s currly o-xcuv charma of Moysuprmark.com Group Plc ad Ao UK Ld ad a oxcuv drcor of Saadr UK Plc. H was prvously foudr ad maagg parr of h quod prva quy dvso of 3 Group plc, prsd ad CEO of Marsh Europ ad has hld varous posos a JP Morga Chas ad Bak of Amrca. H was also lad dpd drcor a Clos Brohrs Group plc ( ) ad Cal Group Ld ( ) Comms of h board of whch h s a mmbr Excuv, appoms (charma), rmurao (charma), rsk suprvso, rgulao ad complac (charma) ad ovao ad chology. >Scod vc-charma Excuv drcor Bor 1948 Ovdo (Spa). Jod h board Gradua Ecoomcs, ad Govrm Ecooms. H also carrd ou Busss Admsrao suds a h MIT. Ohr sgfca posos: msr of h Prsdcy bw 1981 ad 1982, as wll as chcal gral scrary of h Msry of Fac, gral scrary of h Msry for Europa Commuy Rlaos ad dpuy scrary of sa o h Prsd. H s currly charma of h Fudacó Prcsa d Asuras ad of h socal coucl of h Uvrsdad Carlos III d Madrd, as wll as a xral drcor of Saas, S.A. d Sguros ad of Facra Pofrrada, S.A., SICAV. Comms of h board of whch h s a mmbr Excuv, xcuv rsk (charma) ad ovao ad chology. 3. Ulss ohrws spcfd, h ma acvy of h mmbrs of h board s ha carrd ou a h Bak hr capacy as drcors, whhr xcuv or o-xcuv. 76

10 Mr Gullrmo d la Dhsa Romro Mr Rodrgo Echqu Gordllo Ms Shla C. Bar Mr Javr Boí-Saz d Sauuola y O Sha >Thrd vc-charma No-xcuv (dpd) drcor Bor 1941 Madrd (Spa). Jod h board Govrm Ecooms ad had of offc of Baco d España (o lav of absc). Ma acvy: raoal advsor o Goldma Sachs Iraoal. Ohr sgfca posos: formr sa scrary of Ecoomy, scrary gral for Trad, chf xcuv offcr of Baco Pasor, S.A. H s prsly h o-xcuv vc-charma of Amadus IT Holdg, S.A., charma of h Cr for Ecoomc Polcy Rsarch (CEPR) basd Lodo, a mmbr of h Group of Thry basd Washgo, charma of h board of russ of IE Busss School ad o-xcuv charma of Avva Grupo Corporavo, S.L. ad of Avva Vda y Psos, S.A. d Sguros y Rasguros. Comms of h board of whch h s a mmbr Excuv, aud (charma), appoms, rmurao, rsk suprvso, rgulao ad complac, raoal ad ovao ad chology. >Fourh vc-charma Excuv drcor Bor 1946 Madrd (Spa). Jod h board Gradua Law ad Govrm Aory. Ohr sgfca posos: formr chf xcuv offcr of Baco Saadr, S.A. ( ). H s also currly oxcuv drcor of Idx, S.A. Has srvd o h board of drcors of svral dusral ad facal compas such as Ebro Azúcars y Alcohols, S.A. ad Idusras Agrícolas, S.A. H was also a mmbr ad subsquly charma of h advsory board of Accur, S.A. H s also o-xcuv charma of NH Hols Group, S.A. ad has b o xcuv charma of Voco, S.A. ad Vallhrmoso, S.A. Comms of h board of whch h s a mmbr Excuv, xcuv rsk, raoal ad ovao ad chology. No-xcuv drcor (dpd) Bor 1954 Wcha, Kasas (USA). Jod h board JD from h Uvrsy of Kasas School of Law ad BA from h Uvrsy of Kasas. Ma acvy: Sor advsor o ad char of h Sysmc Rsk Coucl a Th Pw Charabl Truss ad colums for Foru magaz. Ohr sgfca posos: Sh was charma of h Fdral Dpos Isurac Corporao ( ), profssor of Facal Rgulaory Polcy for h Isbrg School of Maagm a h Uvrsy of Massachuss-Amhrs ( ) ad Asssa Scrary for Facal Isuos a h US Dparm of h Trasury ( ). Sh s also a o-xcuv drcor of Thomso Rurs Corporao ad Hos Hols & Rsors Ic. I addo, sh s a foudg board mmbr of Th Volckr Allac. Comms of h board of whch sh s a mmbr Rsk suprvso, rgulao ad complac. No-xcuv (proprary) drcor Bor 1973 Saadr (Spa). Jod h board Gradua Law. Ma acvy: charma ad chf xcuv offcr of JB Capal Marks, Socdad d Valors, S.A. Ohr sgfca posos: I addo o hs profssoal acvy h facal scor, h coopras wh svral o-prof makg orgasaos. Charma sc 2014 of h Boí Foudao ad rus of h Prcss of Groa Foudao ad of h Prhsorc Rsarch Isu of Caabra. 77

11 Ms Sol Daurlla Comadrá Mr Carlos Frádz Gozálz Ms Eshr Gméz-Salas Colomr Mr Ágl Jado Bcrro d Bgoa No-xcuv (dpd) drcor No-xcuv (dpd) drcor No-xcuv (dpd) drcor No-xcuv (dpd) drcor Bor 1966 Barcloa (Spa). Bor 1966 Mxco Cy, (Mxco). Bor 1949 Barcloa (Spa). Bor 1945 Saadr (Spa). Appod drcor o a rm bass a h board mg of 25 Novmbr Gradua Busss ad MBA Busss Admsrao. Ma acvy: Excuv charwoma of Coca- Cola Ibra Parrs, S.A. Ohr sgfca posos: Sh s currly a o-xcuv drcor of Accoa, S.A. Has srvd as a mmbr of h govrg board of h Círculo d Ecoomía ad a dpd xral drcor of Baco Sabadll, S.A. Sh s also Hoorary Cosul-Gral for Iclad Caaloa. Comms of h board of whch h s a mmbr Appoms ad rmurao. Appod drcor o a rm bass a h board mg of 25 Novmbr A Idusral Egr, h has udrak gradua suds busss admsrao a h Isuo Paamrcao d Ala Drccó d Emprsas. Ma acvy: H s h charma of h board of drcors ad vc prsd of Faccss, S.A.P.I. Ohr sgfca posos: H s currly a mmbr of h board of Grupo Facro Saadr, S.A.B. d C.V. ad of Grupo Modlo. Comms of h board of whch h s a mmbr Aud, appoms ad rsk suprvso, rgulao ad complac. Jod h board Docor of Laws. Ma acvy: full profssor of Crmal Law a ESADE-URL Law School. Ohr sgfca posos: sh has b a Rcor of h Ramo Llull Uvrsy, a mmbr of h Spash Suprm Judcal Coucl, a mmbr of h Sadg Comm of h Cofrc of Rcors of Spash Uvrss ad a xcuv vc prsd of h Cr for Lgal Suds of h Dparm of Jusc of h Grala d Caaluya. Comms of h board of whch sh s a mmbr Iraoal ad ovao ad chology. Jod h board Gradua Law ad Busss Admsrao. Ohr sgfca posos: h was drcor of Baco Saadr from 1972 o 1999 ad drcor of Baco Baf, S.A. from 2001 o Currly, h holds varous posos vsm russ. Comms of h board of whch h s a mmbr Excuv rsk, aud, appoms, rmurao ad rsk suprvso, rgulao ad complac. 78

12 Mr Jua Rodríguz Icar Ms Isabl Toco Bscarolasaga Mr Jua Mgul Vllar Mr Mr Igaco Bjuma Cabza d Vaca Excuv drcor ad xcuv vc prsd No-xcuv (dpd) drcor No-xcuv (dpd) drcor Gral scrary ad scrary of h board Bor 1952 Ovdo (Spa). Jod h board Gradua Ecoomcs. Ohr sgfca posos: h s drcor of Saadr UK plc, Saadr Cosumr Fac, S.A. ad SAM Ivsm Holdgs Lmd. Was formrly a mmbr of h board of drcors of Th Royal Bak of Scolad ad NaWs Bak, drcor ad mmbr of h xcuv comm of Isuo Bacaro Sa Paolo d Toro ad drcor of Frs Uo (ow Wlls Fargo & Compay). Has lkws srvd o h board of NIBC Bak NV, Sovrg Bacorp (ow Saadr Bak N.A.), CEPSA ad ABN AMRO, amog ohrs. Comms of h board of whch h s a mmbr Excuv rsk. Bor 1949 Saadr (Spa). Jod h board Docor Law. Sh has udrak gradua suds busss admsrao a IESE ad h Harvard Busss School. Ma acvy: full profssor a Uvrsdad Complus d Madrd. Ohr sgfca posos: sh has formrly b Spash Msr for h Evrom, charwoma of h Europa Affars Comm ad of h Forg Affars Comm of h Spash Cogrss ad charwoma for Spa ad Porugal ad vc-charwoma for Europ of Sbl Sysms. Sh s currly a lcd mmbr of h Spash Sa Coucl, a mmbr of h Royal Acadmy of Docors ad a o-xcuv drcor of ENCE Ergía y Clulosa, S.A. ad Eagas, S.A. Bor 1931 Madrd (Spa). Jod h board Docora Cvl Egrg, gradua Law ad dgr Idusral Orgasao. Ma acvy: h s h charma of Grupo OHL ad of Grupo Vllar Mr, ad rprss hs s as vc-charma of Abrs Ifrasrucuras, S.A. ad Imoblara Coloal, S.A., rspcvly. Ohr sgfca posos: h was msr of Fac ad govrm vc-charma for Ecoomc Affars bw 1975 ad H has b charma of Elcra d Vsgo, Alos Horos d Vzcaya, Hdro Nro Española, Emprsa Nacoal d Clulosa, Emprsa Nacoal Carboífra dl Sur, Cmos dl Cca y Cmos Porlad Aragó ad Puro Soograd. H s also currly a mmbr of h Royal Acadmy of Egrg. Bor 1952 Madrd (Spa). Jod h Group Gradua Law a h Duso Uvrsy, ICADE-E3, ad Govrm Aory. Ohr mpora posos: Vc Charma of h Fudacó d Esudos Facros. H was Tchcal Gral Scrary of h Msry of Labour ad Socal Scury, gral scrary of Baco d Crédo Idusral, gral scrary ad xcuv vc prsd of Baco Saadr d Ngocos ad drcor of Dragados, S.A., Bolsas y Mrcados Españols (BME) ad of h Govrg Body of h Madrd Sock Exchag. Scrary of comms of h board Excuv, xcuv rsk, aud, appoms, rmurao, rsk suprvso, rgulao ad complac, raoal ad ovao ad chology. Comms of h board of whch sh s a mmbr Excuv, xcuv rsk, aud, rmurao ad rsk suprvso, rgulao ad complac. Comms of h board of whch h s a mmbr Aud ad rsk suprvso, rgulao ad complac. 79

13 R-lco of drcors a h 2015 aual gral sharholdrs mg Pursua o arcl 55 of h Bylaws* ad arcl 22 of h Ruls ad Rgulaos of h Board*, drcors ar appod o hr-yar rms, such ha o-hrd of h board s rwd ach yar. Th followg drcors wll b proposd for r-lco a h 2014 aual gral sharholdrs mg, schduld for 26 or 27 March o frs ad scod call, rspcvly, ad followg h ordr drmd by sory for aual rwal ad for rwal of o-hrd of h board as sablshd by arcl 55 of h Bylaws: Mr Jua Rodríguz Icar, Mr Maías Rodríguz Icar, Mr Jua Mgul Vllar Mr ad Mr Gullrmo d la Dhsa Romro, h frs wo as xcuv drcors, h hrd as o-xcuv (dpd) drcor, ad h las as o-xcuv (hr proprary or dpd) drcor. * Th Bylaws ad h Ruls ad Rgulaos of h Board of Baco Saadr ar publshd o h Group s wbs ( Th gral sharholdrs mg wll also b askd o rafy h appoms of Mr Carlos Frádz Gozálz (also r-lcg hm for a hr-yar rm), Ms Sol Daurlla Comadrá, Mr Bruc Carg-Brow ad Mr José Aoo Álvarz Álvarz, h frs hr as dpd drcors ad h las as a xcuv drcor. Thr profssoal profls, oghr wh a dscrpo of hr acvs, appar o h prcdg pags. Th r-lcos wll b submd sparaly o a vo of h sharholdrs a h gral sharholdrs mg (arcl 21.2 of h ruls ad rgulaos for h gral sharholdrs mg). I vw of h fac ha hs lco pracc has b followd sc h 2005 aual gral sharholdrs mg, h lco of all of h curr drcors has b submd o a spara vo of h sharholdrs. Powrs ad dus Th basc rsposbly of h board of drcors s o suprvs h Group, dlgag h day-o-day maagm hrof o h appropra xcuv bods ad h varous maagm ams. Composo ad srucur of h board of drcors 1 Board of Drcors Comms E x c u v N o - x c u v 1. E x c u v co 2 E x co c m u m v r s m m k 3. A u d c o m m 4. A p co p m o m m 5 R co m m u m r a o 6 r R co co s k s gm ul p m m u a p a o r v a c 7 I co m r m a o al 8 I c o v a h o lo o g a y s s d o d..... l, Charma Ms Aa Boí-Saz d Sauuola y O Sha C C C Chf xcuv offcr Mr José Aoo Álvarz Álvarz 2 Frs vc-charma Mr Bruc Carg-Brow 2 I C C C Scod vc-charma Mr Maías Rodríguz Icar C Thrd vc-charma Mr Gullrmo d la Dhsa Romro 3 I C Fourh vc-charma Mr Rodrgo Echqu Gordllo Mmbrs Ms Shla C. Bar I Mr Javr Boí-Saz d Sauuola y O Sha P Ms Sol Daurlla Comadrá 2 I Mr Carlos Frádz Gozálz 2 I Ms Eshr Gméz-Salas Colomr I Mr Ágl Jado Bcrro d Bgoa I Mr Jua Rodríguz Icar Ms Isabl Toco Bscarolasaga I Mr Jua Mgul Vllar Mr I Gral scrary ad scrary of h board Mr Igaco Bjuma Cabza d Vaca 1. Daa as a 23 Fbruary Thr appom wll b submd for rafcao a h gral sharholdrs mg schduld for 26 or 27 March 2015, o frs or scod call. 3. Th r-lco of Mr Gullrmo d la Dhsa Romro as a drcor s xpcd a h aual gral sharholdrs mg 2014, from whch mom of hs r-lco h wll b cosdrd a o-xcuv bu o dpd drcor, havg hld h poso of drcor for mor ha 12 yars. 80

14 Th Ruls ad Rgulaos of h Board (arcl 3) rsrv hro h powr o approv gral polcs ad srags ad, parcular, sragc plas, maagm objcvs ad h aual budg, corpora govrac, corpora socal rsposbly ad dvdd ad rasury shar polcs, h gral rsk polcy, ad h polcs for h provso of formao o ad for commucao wh h sharholdrs, h marks ad h publc opo, whch powr cao b dlgad. Th board also rsrvs for slf, ad lkws cao dlga, h followg mars, amog ohrs: dcsos rgardg h acquso ad dsposo of subsaal asss (xcp wh h dcsos com wh h purvw of h sharholdrs a a gral sharholdrs mg) ad major corpora rasacos; h drmao of h rmurao of ach drcor ad h approval of h coracs govrg h prformac by h drcors of dus ohr ha hos of a drcor, cludg xcuv dus, as wll as h rmurao o whch hy ar ld for h dscharg hrof; h slco, h rm appom ad h o-gog valuao of h drcors, h slco, appom ad, f appropra, rmoval of h ohr mmbrs of sor maagm (xcuv vc prsds ad quvals) ad h moorg of maagm acvy ad o-gog valuao hrof, as wll as h drmao of h basc rms of hr coracs, as wll as h crao or acquso of rss spcal purpos s or s rgsrd cours or rrors rgardd as ax havs. Wh rspc o cra of h mars mod hs paragraph, h xcuv comm may mak ay appropra dcsos, by dlgao of h board ad whvr jusfd by rasos of urgcy, rporg such dcsos o h board a h frs subsqu mg hld hrby. Th Bylaws (arcl 40) as wll as h aformod Ruls ad Rgulaos (arcl 5) sablsh h board s oblgao o sur ha h Bak fahfully compls wh applcabl law, obsrvs usag ad good praccs of h dusrs or cours whr dos busss ad abds by h addoal socal rsposbly prcpls ha has voluarly accpd. I addo, h board of h Bak aks a vry acv rs h Group s rsk fuco. Of s 15 mmbrs, 12 ar mmbrs of a las o of h hr board comms wh powrs h ara of rsks: h xcuv comm, h xcuv rsk comm ad h rsk suprvso, rgulao ad complac comm. Sharholdg D r c I d r c S h ar s r p r s To a l % o f s h a r c a p D ap a p o o f f m r s D a ap p o o f l a s m E x p r a o d a D of a co a o h d r m m f l a ap p m u s o p r r a s al 8 o m p o o d s al s 110,464 17,334,286-17,444, % Frs sx mohs of ,458-1, , % Frs sx mohs of % Frs sx mohs of ,385, , ,935 1,688, % Frs sx mohs of % Frs sx mohs of ,758 13, , % Frs sx mohs of % Frs sx mohs of ,793, ,348, ,141, % Frs sx mohs of , , % Frs sx mohs of ,434, ,434, % Frs sx mohs of , , % Frs sx mohs of ,050,000 5,100,000-7,50, % Frs sx mohs of ,673, ,673, % Frs sx mohs of , , % Frs sx mohs of , , % Frs sx mohs of ,705,822 22,839, ,531, ,076, % Toal 4. Effcv 13 Jauary Effcv 12 Fbruary Effcv 18 Fbruary Howvr, ad pursua o h provsos of arcl 55 of h Bylaws, o-hrd of h board wll b rwd ach yar, basd o lgh of srvc ad accordg o h da ad ordr of h rspcv appom. C Charma of h comm V Vc-charma of h comm P Proprary I Idpd 81

15 Corpora govrac rsk maagm Avrag ra of adac a mgs of h comms of h board % Excuv comm Excuv rsk comm Aud comm Rsk suprvso, rgulao ad complac comm Mr Maías Rodríguz Icar, xcuv vc-charma of Baco Saadr, chars h xcuv rsk comm. Th xcuv rsk comm hld 96 mgs 2014, ach of whch lasd approxmaly hr hours. Th xcuv comm hld 65 mgs 2014 ad dvod a vry sgfca amou of s m o dscussos o rsks. Th rsk suprvso, rgulao ad complac comm suppors ad advss h board of drcors o rsk suprvso ad corol, o h dfo of h Group s rsk polcs, o rlaos wh suprvsory auhors ad o rgulao ad complac. I has b sablshd July 2014 ad has hld fv mgs Numbr of mgs of h xcuv, xcuv rsk, aud, ad rsk suprvso, rgulao ad complac comms Cross-parcpao o xcuv, xcuv rsk, aud, ad rsk suprvso, rgulao ad complac comms Comms Excuv Excuv rsk Aud Rsk suprvso, rgulao ad complac* Toal mgs * I accordac wh h provsos of arcl 54 bs of h Bylaws ad arcl 17 bs of h Ruls ad Rgulaos of h Board, h rsk suprvso, rgulao ad complac comm hld s frs mg o 23 July of h drcors ar a mmbr of 3 of h 4 comms 6 of h drcors ar mmbrs of 2 of h 4 comms 1 of h drcors s a mmbr of h 4 comms 3 of h drcors ar mmbrs of 1 of h 4 comms 82

16 Sz ad composo of h board Sz of h board Sc h d of 2010, h sz of h board has b rducd by 25%, from 20 o 15 mmbrs Th composo of h board of drcors s balacd bw xcuv ad o-xcuv drcors. All mmbrs ar dsgushd by hr profssoal ably, gry ad dpdc of opo. Pursua o arcl 6.3 of h Ruls ad Rgulaos of h Board, h appoms comm vrfd h saus of ach drcor a s mgs of 20 ad 23 Fbruary Is proposal was submd o h board, whch approvd a s mg of 23 Fbruary Of h 15 mmbrs currly sg o h board, fv ar xcuv ad 10 ar o-xcuv. Of h lar, ar dpd ad o s proprary. Th followg chags o h composo of h board occurrd durg facal yar 2014: Afr h dah of h formr charma, Mr Emlo Boí-Saz d Sauuola y García d los Ríos, h Bak s board of drcors agrd o appo Ms Aa Boí-Saz d Sauuola y O Sha as xcuv charma of h Bak a s mg of 10 Spmbr A s mg of 25 Novmbr, h board appod Mr José Aoo Álvarz Álvarz as chf xcuv offcr, rplacg Mr Javr Marí Romao, ad also approvd h appoms of Mr Bruc Carg-Brow, as vc-charma, dpd drcor ad lad drcor, ad of Ms Sol Daurlla Comadrá ad Mr Carlos Frádz Gozálz, as dpd drcors, fllg h vacacs crad by h dah of Mr Emlo Boí-Saz d Sauuola y García d los Ríos as wll as by h rsgaos of Mr Frado d Asúa Álvarz ad Mr Abl Maus Jua. A s mg of 16 Jauary 2015, h board of drcors approvd h appom of Mr Rodrgo Echqu Gordllo, vc-charma of h board, as a xcuv drcor hrof wh rsposbly for h complac fuco accordac wh h rgulaory rcommdaos o corpora govrac, also assumg h ohr dus assgd o hm by h charma of h Bak * * Daa a 23 Fbruary Excuv drcors Pursua o h Ruls ad Rgulaos of h Board (arcl 6.2.a)), h followg ar xcuv drcors: Ms Aa Boí-Saz d Sauuola y O Sha, Mr José Aoo Álvarz Álvarz, Mr Rodrgo Echqu Gordllo, Mr Maías Rodríguz Icar ad Mr Jua Rodríguz Icar. Proprary o-xcuv drcors Accordg o arcl 6.2.b) of h Ruls ad Rgulaos of h Board, proprary drcors ar o-xcuv drcors who hold or rprs sharholdgs qual o or grar ha h o lgally cosdrd as sgfca, or who hav b dsgad for hr codo as sharholdrs dsp hr sharholdgs o rachg h hrshold o b cosdrd sgfca, as wll as ayo rprsg such sharholdrs. Takg o accou h crcumsacs of h cas, ad upo h pror rpor of h appoms comm, h board cosdrs Mr Javr Boí-Saz d Sauuola y O Sha o b a proprary oxcuv drcor. Idpd o-xcuv drcors Th Ruls ad Rgulaos of h Board (arcl 6.2.c)) clud h lgal dfo of dpd drcor sablshd arcl 8 of Ordr ECC/461/2013, whch cocds wh ha currly sablshd sco 529 duodcs (4) of h Compas Ac. Curr composo of h board Proprary oxcuv drcor 1 Gographcal dvrsy o h board USA Ud Kgdom 1 1 Mxco 1 Idpd o-xcuv drcors Excuv 9 drcors 5 Spa 12 83

17 Takg o accou h crcumsacs of ach cas ad upo a pror rpor of h appoms comm, h board cosdrs h followg drcors o b dpd o-xcuv drcors: Mr Bruc Carg-Brow, Mr Gullrmo d la Dhsa Romro, Ms Shla C. Bar, Ms Sol Daurlla Comadrá, Mr Carlos Frádz Gozálz, Ms Eshr Gméz-Salas Colomr, Mr Ágl Jado Bcrro d Bgoa, Ms Isabl Toco Bscarolasaga ad Mr Jua Mgul Vllar Mr. Mr Gullrmo d la Dhsa Romro, who s currly cosdrd o b a dpd o-xcuv drcor, wll cou o b cosdrd as such ul h complo of hs rm a h x gral sharholdrs mg. Th board has agrd o propos hs r-lco as o-xcuv drcor, hr proprary or dpd, a h gral sharholdrs mg. Gv h curr umbr of drcors (15), dpd oxcuv drcors accou for 60% of h board. Such prcag sgfcaly xcds h mmum of o-hrd sablshd by arcl 6.1 of h Ruls ad Rgulaos of h Board ad rflcs h board s goal for h board o b mad up prdomaly of o-xcuv drcors, whch ur ar prdomaly dpd. Dvrsy o h board As sablshd arcl 17.4a) of h Ruls ad Rgulaos of h Board, h appoms comm s rsposbl for proposg ad rvwg h sadards ha mus b followd for h composo of h board ad for drmg who s o b proposd for h poso of drcor. As rgards gdr dvrsy, boh h appoms comm ad h board of drcors ar awar of h mporac of fosrg qual opporus bw m ad wom ad of h approprass of appog o h board wom who fulfl h rqurms of ably, suably ad ffcv ddcao o h poso of drcor. A h proposal of h appoms comm, h board has approvd a goal rgardg s composo sg h mmum prcag of fmal drcors a 25%. A prs, hr ar fv wom o h board of drcors, of whom o s s charma, Ms Aa Boí-Saz d Sauuola y O Sha, whl h ohrs ar o-xcuv dpd drcors: Ms Shla C. Bar, Ms Sol Daurlla Comadrá, Ms Eshr Gméz-Salas ad Ms Isabl Toco Bscarolasaga. Th prcag of wom o h Baco Saadr board (33.3%) s clarly hghr ha h avrag for larg Europa lsd compas. Accordg o a sudy carrd ou by h Europa Commsso wh daa from March 2014, hs prcag was 17.8% for h group of 28 cours formg h Europa Uo ad 14.8% for Spa. Excuv charma ad chf xcuv offcr Th charma of h board s h hghs-rakg offcr of h Bak (arcl 48.1 of h Bylaws ad arcl 8.1 of h Ruls ad Rgulaos of h Board) ad all h powrs ha may b dlgad udr h law, h Bylaws ad h Ruls ad Rgulaos of h Board hav b dlgad hro. Pursua o arcl 10.3 of h Ruls ad Rgulaos of h Board, h chf xcuv offcr s rusd wh h day-o-day maagm of h varous busss aras. Thr s a clar sparao of dus bw h xcuv charma, h chf xcuv offcr, h board, ad s comms, ad varous chcks ad balacs ha assur propr qulbrum h corpora govrac srucur of h Bak, cludg h followg: Th board ad s comms ovrs ad corol h acvs of boh h xcuv charma ad h CEO. Th lad drcor, who s dpd, chars h appoms, h rmurao ad h rsk suprvso, rgulao ad complac comms. Th xcuv rsk comm s chard by a xcuv vc charma of h board who dos o rpor o h CEO. Th aud comm s chard by a vc charma who s a dpd drcor. Th powrs dlgad o h xcuv charma ad h CEO xclud hos ha ar xclusvly rsrvd for h board slf. Yars of srvc of dpd drcors Daa a facal yar-d xcp for 2014 A h da of hs docum, h avrag lgh of srvc of o-xcuv dpd drcors h poso of board mmbr s 3.5 yars * Daa a h da of hs docum * 84

18 % of wom o h board Daa a facal yar-d xcp for % 11% 19% 19% 33% * * Daa a 23 Fbruary Numbr % of Numbr of of fmal fmal mmbrs drcors drcors Board % Excuv comm % Excuv rsk comm % Aud comm % Appoms comm % Rmurao comm % Rsk suprvso, rgulao ad complac comm % Iovao ad chology % Iraoal comm % Succsso plas for h charma ad h chf xcuv offcr Succsso plag for h ma drcors s a ky lm of h good govrac of h Bak, assurg a ordrly ladrshp raso a all ms. Ths procss s rgulad arcl 24 of h Ruls ad Rgulaos of h Board. Appom of h w charma Afr h dah of h formr charma, Mr Emlo Boí-Saz d Sauuola y García d los Ríos, a s mg of 10 Spmbr 2014 h Bak s board of drcors rsolvd o appo Ms Aa Boí-Saz d Sauuola y O Sha as xcuv charma of h Bak. Pursua o h provsos of arcl 24 of h Ruls ad Rgulaos of h Board, h appoms ad rmurao comm proposd such appom. Havg aalysd h suably of Ms Boí, h appoms ad rmurao comm cosdrd ha gv hr prsoal ad profssoal quals, hr xprc, hr carr wh h Group ad hr uamous aoal ad raoal rcogo, sh was h mos appropra prso for h poso. Ruls for rm rplacm of h charma Arcl 44.2 of h Bylaws ss ou rm rplacm ruls for h mporary prformac ( cass of absc, ably o ac or dsposo) of h dus of h charma of h board of drcors h absc of h vc-charm. Lad drcor By rsoluo of h gral sharholdrs mg of 28 March 2014, h fgur of lad drcor (cosjro coordador), alrady sablshd h Ruls ad Rgulaos of h Board, has b cludd h Bylaws, h rsposbls hrof bg dfd arcl 49 bs. Pursua o hos provsos, h lad drcor wll b spcally auhorsd o: () rqus ha a mg of h board of drcors b calld or ha w ms b addd o h agda for a mg of h board ha has alrady b calld; () coorda ad orgas mgs of h o-xcuv drcors; ad () drc h rgular valuao of h charma of h board of drcors. A s mg of 25 Novmbr 2014, h board of drcors appod Mr Bruc Carg-Brow as frs vc-charma ad lad drcor, rplacg Mr Frado d Asúa Álvarz. Th appom of h lad drcor has b mad for a df prod ad wh h abso of h xcuv drcors, as provdd h Bylaws. Scrary of h board Th Bylaws (arcl 45.2) clud amog h dus of h scrary hos of surg h formal ad subsav lgaly of all aco ak by h board, surg obsrvac of h good govrac rcommdaos adopd by h Bak, ad surg ha govrac procdurs ad ruls ar obsrvd ad rgularly rvwd. Th scrary of h board s h gral scrary of h Bak, ad also acs as scrary of all h comms of h board. Th Ruls ad Rgulaos of h Board (arcl 17.4.d)) provd ha h appoms comm mus rpor o proposals for h appom or whdrawal of h scrary of h board pror o submsso hrof o h board. 85

19 Procdgs of h board Thr wr 16 mgs durg facal yar Th board holds s mgs accordac wh a aual caldar. Th Ruls ad Rgulaos of h Board provd ha h board shall hold o lss ha aual ordary mgs. Th board shall m whvr h charma so dcds, acg o hr ow av or a h rqus of o lss ha hr drcors (arcl 46.1 of h Bylaws). Addoally, h lad drcor shall b spcally auhorsd o rqus ha a mg of h board of drcors b calld or ha w ms b addd o h agda for a mg ha has alrady b calld (arcl 49. bs.1 () of h Bylaws). Th char blow shows a brakdow of h approxma m ddcad o ach duy a h mgs hld by h board facal yar Approxma m ddcad o ach duy Iral aud ad rvw of h faal formao 10% Rsk Gral polcs maagm ad srags 30% 15% Wh drcors cao ad a mg prsoally, hy may gv a proxy o ay ohr drcor, wrg ad spcfcally for ach mg, o rprs hm for all purposs a such mg. A proxy shall b gv wh srucos. No-xcuv drcors may oly b rprsd by aohr o-xcuv drcor. Capal ad lqudy 15% Busss prformac 30% Th board may m varous rooms a h sam m, provdd ha racvy ad commucao amog hm ral m s surd by audovsual mas or by lpho ad h cocurr holdg of h mg s hrby surd. Mgs of h board shall b valdly hld wh mor ha ohalf of s mmbrs ar prs prso or by proxy. Excp sacs whch a grar majory s spcfcally rqurd pursua o lgal provsos, h Bylaws or h Ruls ad Rgulaos of h Board, rsoluos ar adopd by absolu majory of h drcors adg prso or by proxy. I h v of a, h charma has a -brakg vo. I 2014, h board was kp couously ad fully formd of h prformac of h varous busss aras of h Group hrough h maagm rpors ad rsk rpors prsd by h chf xcuv offcr ad h xcuv vc-charma who chars h xcuv rsk comm, rspcvly. Durg h yar, h board has also rpord o h coclusos of h xral ad ral auds. Ddcao o board dus O of h drcors dus xprssly sablshd h Ruls ad Rgulaos of h Board s ha of dlg maagm, whch, amog ohr dus, rqurs ha drcors ddca h cssary m ad ffor o hr poso. Th maxmum umbr of boards of drcors o whch hy may blog s sablshd sco 26 of Law 10/2014, of 26 Ju, o h orgasao, suprvso ad solvcy of crd suos. I hs rgard, h drcors of h Bak may o a h sam m hold mor ha: (a) o xcuv poso ad wo o-xcuv posos; or (b) four o-xcuv posos. For such purposs, posos hld wh h sam group (cludg compas whch h Bak has a sgfca sharholdg) wll b coud as a sgl poso, ad posos hld a o-prof orgasaos or orgasaos o pursug commrcal ds wll o b coud. Th Europa Cral Bak may auhors a drcor o hold a addoal o-xcuv poso f cosdrs ha dos o mpd h propr prformac of h drcor s dus a h Bak. Comparso of umbr of mgs hld* I a sudy carrd ou o h ddcao of drcors, h frm Spcr Suar cocludd ha h avrag m ddcad by ach drcor of h Bak o h asks of h board ad s comms was hours, agas a avrag of 80.8 hours for h drcors of h ma baks h UK (Lloyds, Barclays, Sadard Charrd ad HSBC), hours for hos h US ad Caada (Bak of Amrca, Goldma Sachs, JP Morga Chas, Cgroup, Morga Saly, Wlls Fargo ad Royal Bak of Caada), ad hours for a rag of raoal baks (Socéé Gééral, BNP Parbas, BBVA, Crd Suss, Dusch Bak, UBS, UCrd, Isa SaPaolo, Norda ad Iaú). Europ US ad ad ohr Caada UK cours Saadr avrag avrag avrag Board Excuv comm Excuv rsk comm Aud comm Appoms comm** Rmurao comm** * Th daa rfr o 2012, h las yar for whch comparav formao s avalabl. ** Ul 23 Ocobr 2014, hr was a combd appoms ad rmurao comm. 86

20 Th drcors shall davour o sur ha abscs from mgs of h board ad of h comms o whch hy blog ar rducd o cass of absolu cssy. Th appoms comm aalyss drcors ddcao o hr poso o a aual bass, usg formao rcvd rgardg hr ohr profssoal oblgaos ad ohr avalabl formao o valua whhr h drcors ar abl o ddca h cssary m ad ffor o complyg wh h duy of dlg maagm. Ddcao s also ak o accou for r-lco, sc proposals by h appoms comm mus coa a valuao of work ad of ffcv ddcao o h poso durg h las prod of m whch h proposd drcor has prformd hs or hr dus. Trag of drcors ad formao programm As a rsul of h slf-valuao of h board carrd ou 2005, a o-gog drcor rag programm was pu plac. Sv mgs wr hld 2014 wh a avrag adac of drcors, who dvod approxmaly o hour o ach ssso. Varous ssus wr rvwd dph a such mgs, cludg: rsk dcso sysms ad fuur rds, h chologcal mplcaos of h w rgulaory sysm ad h Europa Bak Rcovry ad Rsoluo Drcv, as wll as aspcs rlag o h Group s busss capal marks, opraoal rsk, h Advacd Maagm Modl, ad h w Europa suprvsory auhory. Th Ruls ad Rgulaos (arcl 21.7) provd ha h board shall mak avalabl o w drcors a formao programm provdg quck ad suffc formao rgardg h Bak ad s Group, cludg h govrac ruls hrof. Th board mmbrs Mr Bruc Carg-Brow, Ms Sol Daurlla Comadrá ad Mr Carlos Frádz Gozálz, appod by rsoluo of h board a s mg of 25 Novmbr 2014, ad a formao programm for w drcors, whch addrssd h followg mars: Gral prsao of h Group ad of h rgulaory cox wh whch opras. Ma rrors ad bussss of h Group. Ky suppor aras (chology ad opraos, rsk ad aud). Susaably, commucao ad h Saadr brad. Slf-valuao by h board I l wh h provsos of h Ruls ad Rgulaos of h Board, h o-gog slf-valuao xrcs prformd by h board wh h suppor of h frm Spcr Suar, o h bass of a qusoar ad prsoal rvws wh h drcors, cluds a spcal sco for h dvdual valuao of h charma of h board, h chf xcuv offcr ad h ohr drcors, as wll as a dpd valuao basd, amog ohr hgs, o bchmarkg wh rspc o ohr comparabl raoal baks. Th las slf-valuao xrcs focusd o h followg subjcs: orgasao, oprao ad co of h board ad s comms; comparso wh ohr raoal baks; ad op qusos rlag o h fuur (sragy ad ral ad xral facors ha may affc h Group) ad ohr mars of rs. As rc yars, h drcors hghlghd h followg as srghs of h Group s corpora govrac: h hgh lvl of dvoo ad commm of h mmbrs of h board ad hr volvm h corol of all rsks, o mrly crd rsks; h drcors xprc ad kowldg of h bakg busss; balac bw xcuv ad o-xcuv drcors, boh o h board ad o s comms; ad h vry good oprao of h board comms, parcularly h xcuv comm. For h dpd valuao xrcs, Spcr Suar prformd a comparso wh 23 ladg raoal facal suos wh rgard o h composo ad ddcao of h board, rmurao, ad ohr aspcs of corpora govrac, wh h Bak holdg a vry oabl poso. Appom, r-lco ad rafcao of drcors Th proposals for appom, r-lco ad rafcao of drcors, rgardlss of h saus hrof, ha h board of drcors subms o h sharholdrs for cosdrao a h gral sharholdrs mg, as wll as h appom dcsos mad by h board slf h xrcs of s powrs o mak rm appoms as prmd by law, mus, ur, b prcdd by h corrspodg proposal of h appoms comm. Alhough h proposals of such comm ar o bdg, h Ruls ad Rgulaos of h Board provd ha f h board dos o follow hm, mus gv rasos for s dcso. Currly, all drcors hav b appod or r-lcd a h proposal of h appoms comm. Som spcfc masurs adopd as a cosquc of h board s slf-valuao h las yars A amdm o h Bylaws, approvd a h gral sharholdrs mg, o rduc h maxmum sz of h board from 30 drcors o 22. A mor dald rplacm procdur for posos o h board, parcular hos of charma ad chf xcuv, sablshd h Ruls ad Rgulaos of h Board. Holdg of aual board mgs ddcad spcfcally o h sragy of h Group. A o-gog drcor rag programm ha has b carrd ou couously sc was proposd durg h slf-valuao procss of

21 Du o h vacacs lf o h board by h dah of h formr charma, Mr Emlo Boí Saz d Sauuola y García d los Ríos, ad h rsgaos from hr poss ad ohr posos o h board prsd by h dpd drcors Mr Frado d Asúa Álvarz ad Mr Abl Maus Jua, h appoms comm commcd a procss o slc w drcors, wh h asssac of h frm Russll Ryolds Assocas, whch gagd h sarch procss basd o a valuao of h sklls of h board (usg a skll map) o drm h profls ha would opms h sragc objcvs of h Group. Varous caddas wr cosdrd for ach vacacy. Pursua o a aalyss of compcs ad dvrsy, h sklls sough o b srghd o h board wr hos rlag o h followg mars: busss kowldg byod bakg, w chologs; sragy, raoal xprc, ad rag of aoals, ad, lasly, dvrsy (parcularly h umbr of wom). Basd o h forgog, h comm proposd o h board h appom as dpd drcors of Mr Bruc Carg-Brow, Ms Sol Daurlla Comadrá ad Mr Carlos Frádz Gozálz, whos profls may b cosuld h prcdg pags of hs rpor. I slcg Mr José Aoo Álvarz Álvarz as CEO, h appoms comm cosdrd svral caddas, cocludg ha h h xcuv vc prsd charg of h facal maagm ad vsor rlaos dvso of Grupo Saadr was h mos suabl prso for hs poso. Skll map for h mmbrs of h board I facal yar 2014, Russll Ryolds Assocas wr gagd o prpar a aalyss of h compcs ad dvrsy of h mmbrs of h board of drcors. Th followg skll map shows h rsuls of hs aalyss. From hs aalyss, h sklls o b srghd o h board wr h followg: Busss kowldg byod bakg. Nw chologs. Sragy. Iraoal xprc ad rag of aoals. Dvrsy (parcularly h umbr of wom). Skll map for h mmbrs of h board ad aalyss of dvrsy* Exprc h facal scor Iraoal xprc S m a or ag m G r a l B a k g N o a - o S pa a l s h y S p a L a A m r c U K / U S O h rs a a c a d k gro u cco u f a c d s k P u ur b v l c s r s a rc r v c y/ h f c o h r m o l a og y o S r a g y v d r r s y O h rs a B R g : I G d s Excuv charma CEO Vc-charm Mmbrs Gral scrary ad scrary of h board Sklls as xcuv Sklls as o-xcuv * Daa a Novmbr

22 Rmurao Rmurao sysm Th sharholdrs acg a h gral sharholdrs mg of 28 March 2014 rsolvd o amd h Bylaws o adjus h rmurao rgm of h xcuv drcors o h provsos coad Royal Dcr-Law 14/2013 (oday Law 10/2014) ad CRD IV, such ha h varabl compos of hr rmurao may o xcd 100% of h fxd compos, ulss h sharholdrs acg a h gral sharholdrs mg approv a hghr rao, whch shall o cas xcd 200%. Wh rlao o h forgog, h sharholdrs acg a h aformod gral sharholdrs mg approvd a maxmum rao bw fxd ad varabl compos of xcuv drcors rmurao of 200% for facal yar Th rmurao of drcors s approvd by h board a h proposal of h rmurao comm, xcp for such rmurao as cosss of h dlvry of shars or opos hro, or ha s pad udr ohr rmurao sysms sablshd by rfrc o h valu of h shars of h Bak, h approval of whch, udr h law ad h Bylaws, s wh h purvw of h sharholdrs acg a a gral sharholdrs mg, a h proposal of h board mad afr a rpor of h rmurao comm. Th Group s polcy provds ha oly xcuv drcors may b bfcars of rmurao sysms cossg of h dlvry of shars or rghs hro. Rmurao of h board 2014 I 2014, h board rsolvd o cras h oal rmurao of h drcors, for all ms, by 8.9%. Th oal amou accrud by h board as adac fs amoud o 4.4 mllo uros 2014, whch s 27.2% lowr ha h maxmum amou of 6 mllo uros approvd by h sharholdrs for h facal yar ad vry smlar o h amou pad Th char blow shows h voluo of oal rmurao of drcors wh xcuv dus agas h oal rur for sharholdrs pay for prformac. Acpao of ad adjusm o h rgulaory framwork Th board of drcors, a h proposal of h rmurao comm, promos ad courags a rmurao sysm ha fosrs a rgorous maagm of rsks, ad mplms ogog moorg of h rcommdaos ssud by h prcpal aoal ad raoal bods wh auhory hs fld. Aual drcor rmurao rpor As provdd sco 541 of h Compas Ac ad h Bylaws (arcl 59.1), h board of drcors aually approvs a aual drcor rmurao rpor, whch ss forh h sadards of ad bass for drmg rmurao for h curr facal yar, as wll as a ovrall summary of h applcao of h rmurao polcy durg h facal yar dd, ad a brakdow of h dvdual rmurao pad for all ms o ach of h drcors durg such facal yar, makg h rpor avalabl o h sharholdrs o occaso of h call o h aual gral sharholdrs mg ad submg o a cosulav vo. Th co of such rpor s subjc o h provsos of arcl 10 of Ordr ECC/461/2013 ad CNMV Crcular 4/2013, of 12 Ju, whch provsos hav o b amdd followg h ry o forc of h aformod sco 541 of h Compas Ac (roducd by Law 31/2014). I 2014, h rpor corrspodg o facal yar 2013 was submd o h sharholdrs a h gral sharholdrs mg hld o 28 March, as a spara m o h agda ad as a cosulav mar, wh % of h vos bg favour of h rpor. I 2015, as wll as submg h aual rpor o drcor rmurao rspc of 2014 o h cosulav vo of sharholdrs a h gral mg, h board wll also propos h bdg approval of h drcor rmurao polcy for 2015 ad 2016, complac wh h w arcl 529 ovodcs of h Capal Corporaos Ac. Trasparcy Pursua o h Bylaws (arcl 59.2), h aual rpor cluds msd formao o h rmurao rcvd by ach drcor, wh a sam of h amous for ach m of All dals rgardg h drcor rmurao polcy 2014 may b cosuld h rpor of h rmurao comm formg par of h corpora documao of Baco Saadr. Evoluo of h rmurao for all ms of drcors wh xcuvs dus agas h oal rur for sharholdrs* ,339 24,659 Toal rmurao TSR 21, * Rmurao daa of xcuv drcors uro housads ad rur for sharholdrs prcags. 23,

23 rmurao. Th rpor also ss forh, o a dvdual bass for ach m, h rmurao for h xcuv dus rusd o h xcuv drcors of h Bak. All such formao s coad o 5 o h Group s lgal rpor. Dus of drcors, rlad-pary rasacos ad coflcs of rs Dus Th dus of h drcors ar govrd by h Ruls ad Rgulaos of h Board 4, whch coform o boh h provsos of curr Spash law ad o h rcommdaos of h Ufd Good Govrac Cod. Th Ruls ad Rgulaos xprssly provd for h dus of dlg maagm, loyaly, scrcy ad acvy h v of kowldg of cofdal formao. Th duy of dlg maagm cluds h drcors duy o adqualy form hmslvs of h progrss of h Bak ad o ddca h m ad ffor dd o ffcvly carry ou hr dus. Rlad-pary rasacos No mmbr of h board of drcors, o prso rprsd by a drcor, ad o compay of whch such prsos, or prsos acg cocr wh hm or hrough oms hr, ar drcors, mmbrs of sor maagm or sgfca sharholdrs, has o h Bak s awarss rd o ay sgfca rasaco or ay rasaco o o-cusomary mark codos wh h Bak durg facal yar 2014 ad hrough h da of publcao of hs rpor. Th board, whou h rvo of h rsd pary ad o a pror favourabl rpor of h rmurao comm, auhorsd h sal by h Bak udr mark codos of 2,403,923 shars of MED 2001 Ivrsos, Scav, S.A., of whch was h owr, o Mr Ágl Jado Bcrro d Bgoa ad compas of hs famly group. of rs wh h rss of h Bak whch hy may b volvd. If h coflc rlas o a rasaco, h drcor may o carry ou whou h approval of h board, followg a rpor from h appoms comm. Th drcor volvd mus absa from parcpag h dscusso ad vog o h rasaco o whch h coflc rfrs, h body charg of rsolvg ay dspus bg h board of drcors slf. I addo o h abov-dscrbd suao, hr wr aohr 136 occasos durg facal yar 2014 o whch ohr drcors absad from parcpag ad vog o h dscusso of mars a h mgs of h board of drcors or of h comms hrof. Th brakdow of h 103 cass s as follows: o 52 occasos, h abso was du o proposals o appo, r-lc, whdraw or mpowr drcors; o 43 occasos, h mar udr cosdrao was h approval of rms of rmurao; o 27 occasos, h mar cocrd dscusso of facg proposals or ohr rsk rasacos favour of compas rlad o varous drcors; o 5 occasos abso rlad o h suably valuao procdur ha h Bak, as a crd suo, mus udrak rgardg mmbrs of h maagm body ad holdrs of ky posos, all accordac wh h provsos of Royal Dcr 84/2015; o 4 occasos, h abso cocrd h aual vrfcao of h saus of h drcors mad by h appoms ad rmurao comm pursua o arcl 6.3 of h Ruls ad Rgulaos of h Board; o 3 occasos, h mar cocrd h valuao rusd o h appoms comm udr arcl 17.4 g) of h Ruls ad Rgulaos of h Board rgardg h profssoal oblgaos of h drcors o valua f such oblgaos may rfr wh h ddcao rqurd hrof for h ffcv prformac of hr work; o o occaso, h mar cocrd approval of a rlad-pary rasaco; ad o aohr h mar rlad o h adac of a drcor as a gus a h mgs of h comms of h board wh h drcor was o logr a mmbr hrof. Corol mchasms As provdd h Ruls ad Rgulaos of h Board (arcl 30), drcors mus form h board of ay drc or drc coflc Som masurs ak by h board 2012: maxmum lm for crass shar capal whou pr-mpv rghs A h proposal of h board, h sharholdrs for h frs m sablshd a maxmum lm o h powr o xclud pr-mpv rghs for crass shar capal; pr-mpv rghs may oly b xcludd for up o h quval of 20% of h shar capal of h Bak as of h da of h gral sharholdrs mg. 2013: cap o aual rmurao of h drcors Th sharholdrs sablshd a maxmum amou of sx mllo uros, whch may oly b amdd by a dcso of h sharholdrs acg a h gral sharholdrs mg. 2014: maxmum varabl rmurao for xcuv drcors Th sharholdrs approvd a amdm o h Bylaws sablshg a maxmum rao bw h fxd ad varabl compos of oal rmurao of h xcuv drcors ad ohr mploys blogg o cagors wh profssoal acvs ha sgfcaly affc h rsk profl of h Group. 4. Th rc Law 31/2014 amds h rgulao of drcors dus coad h Compas Ac. A h x gral sharholdrs mg, h board wll propos h corrspodg amdms o adap h Bylaws o such rgulaos, whch shall b followd by h corrspodg amdms o h Ruls ad Rgulaos of h Board. 90

24 Comms of h board Gral formao Th board has h followg dcso-makg comms: a xcuv comm, o whch gral dcso-makg powrs ar dlgad, ad a xcuv rsk comm, wh dlgad powrs spcfcally rlag o rsk. Th board also has ohr comms wh powrs of suprvso, formao, advc ad proposal (h aud, appoms, rmurao, rsk suprvso, rgulao ad complac, ovao ad chology ad raoal comms). Composo of h comms of h board Excuv No-xcuv Rsk suprvso, rgulao ad Excuv comm Excuv rsk comm Aud comm complac comm 43% 57% 33% 67% 100% 100% Appoms comm Rmurao comm Iovao ad chology Iraoal comm 100% 100% 43% 57% 40% 60% Numbr of mgs ad durao of comms Comms No. of mgs Hours 1 Excuv comm Excuv rsk comm Aud comm Appoms ad rmurao comm Rsk suprvso, rgulao ad complac comm Iovao ad chology 2 4 Iraoal comm Esmad avrag hours dvod by ach drcor. 2. Pursua o arcls 54.1 of h Bylaws ad of h Ruls ad Rgulaos of h Board, a s mg o 23 Ocobr 2014, h board of drcors uamously rsolvd o spara o wo h appoms ad rmurao comm, whch ul such da had m o 12 occasos, wh a avrag ddcao of approxmaly 36 hours pr drcor prparg ad parcpag h mgs. Subsquly, wh h 2014 facal yar, h appoms ad h rmurao comms hld 5 ad 4 mgs, wh a avrag ddcao of approxmaly 15 ad 12 hours, rspcvly, pr drcor. 3. I accordac wh h provsos of arcl 54 bs of h Bylaws ad arcl 17 bs of h Ruls ad Rgulaos of h Board, h rsk suprvso, rgulao ad complac comm hld s frs mg o 23 July

25 Excuv comm Th xcuv comm s a basc srum for h corpora govrac of h Bak ad s Group. I xrcss by dlgao all h powrs of h board (xcp hos whch cao b lgally dlgad or whch cao b dlgad pursua o h law, h Bylaws or h Ruls ad Rgulaos of h Board). I rpors o h board o h prcpal mars dal wh ad rsoluos adopd ad maks h mus of s mgs avalabl o h drcors. I ms oc pr wk. Thr ar currly sv drcors sg o h comm, of whom four ar xcuv ad h ohr hr ar dpd o-xcuv drcors. Is dus, composo ad fucog ar sablshd h Bylaws (arcl 51) ad h Ruls ad Rgulaos of h Board (arcl 14). Excuv rsk comm Ths s also a xcuv comm, wh powrs dlgad hro by h board mars rgardg rsks. I ormally ms wc pr wk. I s govrd by h Bylaws (arcl 52) ad h Ruls ad Rgulaos of h Board (arcl 15), whch df h composo, fucog ad dus of hs comm. Th comm s currly mad up of sx drcors, of whom four ar xcuv ad wo ar dpd o-xcuv drcors. Is charma s a vc-charma wh xcuv dus, pursua o h Ruls ad Rgulaos of h Board (arcl 15.1). Pags 168 sq. of hs aual rpor coa broad formao o h xcuv rsk comm ad h Group s rsk polcs. Aud comm Th aud comm, amog ohr dus, rvws h Group s facal formao ad s ral corol sysms, srvs as a commucao chal bw h board ad h audor, surg h dpd xrcs of h lar s duy, ad suprvss work rgardg h ral aud fuco. I ormally ms o a mohly bass ( m 13 ms 2014). As provdd h Bylaws (arcl 52) ad h Ruls ad Rgulaos of h Board (arcl 16), h comm mus b mad up of oxcuv drcors, h majory of whom mus b dpd, wh a dpd drcor acg as charma. I s currly composd of fv dpd o-xcuv drcors. Appoms comm Th appoms comm, amog ohr dus, proposs h appoms of mmbrs of h board, cludg xcuv drcors, ad hos of h ohr mmbrs of sor maagm ad ky Group prsol. Th Bylaws (arcl 54) ad h Ruls ad Rgulaos of h Board (arcl 17) provd ha hs comm s also o b mad up xclusvly of o-xcuv drcors ad ha s charma shall b a dpd drcor. I s currly composd of fv dpd o-xcuv drcors. Rmurao comm Baco Saadr sablshd h rmurao comm, h amd h compsao comm, Amog ohr dus, hs comm proposs h drcor rmurao polcy o h board, producg h corrspodg rpor, ad proposs h rmurao of h mmbrs of h board, cludg xcuv drcors, ad ha of h ohr mmbrs of sor maagm ad ky Group prsol also proposg h rmurao polcy for h lar. Th Bylaws (arcl 54) ad h Ruls ad Rgulaos of h Board (arcl 17) provd ha hs comm s also o b mad up xclusvly of o-xcuv drcors, ad ha s charma shall b a dpd drcor. Is fv curr mmbrs ar dpd o-xcuv drcors. Rsk suprvso, rgulao ad complac comm Th rsk suprvso, rgulao ad complac comm, amog ohr dus, suppors ad advss h board rgardg h dfo ad valuao of rsk sragy ad polcs ad wh rlao o auhors ad rgulaors h varous cours whch h Group has a prsc, ad moors complac wh h Gral Cod of Coduc ad wh h Bak s govrac ruls ad complac programm grally. I ormally ms o a mohly bass ( m 5 ms 2014) 5. As provdd h Bylaws (arcl 54 bs) ad h Ruls ad Rgulaos of h Board (arcl 17 bs), h comm mus b mad up of o-xcuv drcors, h majory of whom mus b dpd, wh a dpd drcor acg as charma. I s currly composd of sv dpd o-xcuv drcors. Iraoal comm Pursua o arcl 13 of h Ruls ad Rgulaos of h Board, h raoal comm has h duy o moor h dvlopm of h Group s sragy ad of h acvs, marks ad cours whch h Group dsrs o hav a prsc hrough drc vsms or spcfc rasacos. I s kp formd of h commrcal avs ad srags of h varous us wh h Group ad of h w projcs prsd hro. I s mad up of fv drcors, of whom wo ar xcuv ad hr ar dpd o-xcuv. Iovao ad chology comm Pursua o arcl 13 of h Ruls ad Rgulaos of h Board, h ovao ad chology comm (prvously, chology, producvy ad qualy comm) has h duy o rvw ad rpor o plas ad acvs rgardg formao sysms ad programmg of applcaos, vsms compur qupm, dsg of oprag procsss ordr o mprov producvy, ad programms for h mprovm of srvc qualy ad masurm procdurs, as wll as hos rlag o mas ad coss. I s mad up of sv drcors, of whom four ar xcuv ad hr ar dpd o-xcuv. 5. Th rsk suprvso, rgulao ad complac comm hld s frs mg o 23 July

26 I accordac wh h Ruls ad Rgulaos of h Board, ay drcor may ad mgs of board comms of whch h drcor s o a mmbr, wh h rgh o parcpa bu o o vo, a h vao of h charma of h board ad of h rspcv comm, ad by pror rqus o h charma of h board. Addoally, all board mmbrs who ar o also mmbrs of h xcuv comm may ad s mgs, whavr h raso for h charma callg such mgs. Durg facal yar 2014, sx drcors o formg par of h xcuv comm ach add a avrag of 15 mgs hrof. Th aud, appoms, rmurao, ad rsk suprvso, rgulao ad complac comms hav prpard rpors o hr acvs 2014, coag, amog ohr hgs, a dscrpo of h mar whch such comms carry ou h Group s suprvso of rsk, ral aud ad complac. Th rpor of h rmurao comm also cluds h drcor rmurao polcy. All such rpors ar mad avalabl o h sharholdrs as par of h aual documao of h Bak for facal yar Adac a mgs of h board of drcors ad s comms 2014 Pursua o h Ruls ad Rgulaos of h Board (arcl 20.1), abscs from mgs mus b lmd o uavodabl cass. Th avrag adac ra a mgs of h board facal yar 2014 was 89.84%. Ra of adac a mgs of h board % Comms Dcso-makg Rporg Drcors rd a o B v cu x E k s r v u c x E d u s m o 8 6 o a r u p d m p A a r 8 6 s m o 8 o a r u, d o a c s o 9 a r v ula p l Avrag adac 89.8% 89.1% 83.3% 98.1% 100% 100% 93,8% 95.0% 100% - Idvdual adac Ms Aa Boí-Saz d Sauuola y O Sha 1 15/16 50/65 2/2 - Mr Maías Rodríguz Icar 16/16 63/65 96/96 Mr Gullrmo d la Dhsa Romro 16/16 62/65 13/13 12/12 5/5 4/4 - Mr Rodrgo Echqu Gordllo 2 15/16 55/65 67/96 4/4 4/5 - Ms. Shla C. Bar 13/16 5/5 Mr Javr Boí-Saz d Sauuola y O Sha 12/16 Ms Eshr Gméz- Salas Colomr 15/16 12/12 5/5 4/4 - Mr Ágl Bcrro d Bgoa 16/16 5/5 Mr Jua Rodríguz Icar 16/16 53/96 Ms Isabl Toco Bscarolasaga 15/16 60/65 92/96 12/12 3/4 Mr Jua Mgul Vllar Mr 10/16 Mr Emlo Boí-Saz d Sauuola y García d los Ríos 3 9/9 39/45 1/2 - Mr Javr Marí Romao 4 15/16 56/65 2/2 - Mr Frado d Asúa Álvarz 5 15/16 61/65 92/96 13/13 12/12 5/5 4/4 5/5 2/2 Mr Voro Corbo Lo 6 6/8 Mr Abl Maus Jua 7 13/16 12/13 5/5 - A p p A m R k s pg u R sr m co d a y o og v a o o c I h l l a o a r I 1. Appod charma of h board of drcors ffcv 10 Spmbr Prsd hs rsgao from h poso of mmbr of h aud comm ffcv 23 Aprl Dd o 9 Spmbr Whdrawal from poso of drcor ffcv 12 Jauary Whdrawal from poso of drcor ffcv 12 Fbruary Whdrawal from poso of drcor ffcv 24 July Whdrawl from poso of drcor ffcv 18 Fbruary I accordac wh h provsos of arcl 54.1 of h Bylaws ad arcl of h Ruls ad Rgulaos of h Board, a s mg of 23 Ocobr 2014, h board of drcors rsolvd o spara h appoms ad rmurao comm o wo comms. Th appoms comm assumd h dus rlag o appoms coad arcl 17.4 of h Ruls ad Rgulaos of h Board, ad h rmurao comm assumd hos cludd arcl 17.5 of h Ruls ad Rgulaos of h Board, as wll as, boh cass, ay ohr dus corrspodg hro udr applcabl law. 9. As provdd arcl 54 bs of h Bylaws ad arcl 17 bs of h Ruls ad Rgulaos of h Board, h rsk suprvso, rgulao ad complac comm hld s frs mg o 23 July

27 3. SHAREHOLDER RIGHTS AND THE GENERAL SHAREHOLDERS MEETING 3. Sharholdr rghs ad h gral sharholdrs mg O shar, o vo, o dvdd. No dfsv mchasms complad h Bylaws Th Bak has lmad all dfsv mchasms h Bylaws, fully coformg o h o shar, o vo, o dvdd prcpl. Th Bylaws of Baco Saadr provd for oly o class of shars (ordary shars), grag all holdrs hrof h sam rghs. Thr ar o o-vog or mulpl-vog shars, or prfrcs h dsrbuo of dvdds, or lmaos o h umbr of vos ha may b cas by a sgl sharholdr, or quorum rqurms or qualfd majors ohr ha hos sablshd by law. Ay prso s lgbl for h poso of drcor, subjc oly o h lmaos sablshd by law. Quorum a h aual gral sharholdrs mg hld 2014 Th formd parcpao of sharholdrs a gral sharholdrs mgs s a objcv xprssly ackowldgd by h board (arcl 31.3 of h Ruls ad Rgulaos of h Board). Th quorum a h 2014 aual gral sharholdrs mg was %, coug a rd of mprovm ach of h las hr yars. Quorum a aual gral sharholdrs mgs Such forum, whch h Bak mad avalabl o h corpora wbs ( abls h sharholdrs o pos proposd supplms o h agda aoucd h call o mg, rquss for adhrc o such proposals, avs amd a rachg h prcag rqurd o xrcs a mory rgh complad by law, as wll as voluary proxy offrs or solcaos. Iformao provdd o h sharholdrs ad commucao wh hm Durg 2014, hr wr 562 mgs wh vsors, aalyss ad rag agcs, whch ald coac wh 1,325 vsors/aalyss. I addo, h vsor rlaos dparm maad drc coac wh h prcpal sharholdrs hroughou h facal yar o dssma formao rgardg h Group s polcs rlag o susaably ad govrac. Saadr has coud o srgh h chals for sharholdr formao ad srvc hrough gh sharholdrs offcs cra sgfca marks whch s prs. Th Bak currly has offcs Spa, h Ud Kgdom, h Ud Sas, Mxco, Porugal, Brazl ad Polad o srv h sharholdrs h shar of h par bak, as wll as offcs Mxco, Chl ad Brazl o srv h sharholdrs of s subsdars. Durg facal yar 2014, h shars of Baco Saadr wr admd o lsg o h sock xchags of São Paulo ad Warsaw, o 17 Novmbr ad 3 Dcmbr, rspcvly. 53.7% 54.9% 55.9% 58.8% Chals for sharholdr formao ad srvc Tlpho 227,968 Qusos srvc ls Sharholdr s malbox 32,034 E-mals aswrd 235,292 Subscrpos Evs 17,671 Parcpas 329 Hld SMS alrs 3,826,479 Alrs s 97,409 Subscrpos Lrs 339,049 Lrs aswrd Ecouragm of formd parcpao of sharholdrs a sharholdrs mgs Th Bak cous o mplm masurs dsgd o courag h formd parcpao of sharholdrs a sharholdrs mgs. Thus, sc h aual gral mg hld 2011, sharholdrs hav had accss o a lcroc sharholdrs forum, complac wh h provsos of h Compas Ac. Fally, complac wh rcommdaos of h Naoal Scurs Mark Commsso, boh ocs of h mgs wh aalyss ad vsors ad h documao o b usd hra ar bg publshd suffcly advac. 94

28 3. SHAREHOLDER RIGHTS AND THE GENERAL SHAREHOLDERS MEETING Aual gral sharholdrs mg hld o 28 March 2014 Iformao o h call o mg, sablshm of a quorum, adac, proxy-grag ad vog A oal of 402,814 sharholdrs add prso or by proxy, wh 6,800,244,239 shars. Th quorum was hus % of h shar capal of h Bak a h da of h aual gral sharholdrs mg. Th sharholdrs acg a h gral sharholdrs mg approvd h corpora maagm of h Bak 2013 wh a % favourabl vo. Th avrag prcag of affrmav vos upo whch h proposals submd by h board wr approvd was %. Th followg daa ar xprssd as prcags of h Bak s shar capal: Ky pos of h 2014 aual gral sharholdrs mg Sharholdrs approvd h corpora maagm of h Bak 2014 wh a 95% favourabl vo. Th 2013 aual rpor o drcor rmurao rcvd a 91% favourabl vo. Physcally prs 0.274% 1 By proxy % 2 Abs vos % 3 Toal % 1. Of such prcag (0.274%), 0.002% s h prcag of shar capal ha add by rmo mas hrough h Ir. 2. Th prcag of shar capal ha grad proxs hrough h Ir was 0.223%. 3. Of such prcag (15.838%), % s h prcag of vos cas by posal mal, ad h rs s h prcag of lcroc vos. Exraordary gral sharholdrs mg of 15 Spmbr 2014 Iformao o h call o mg, h sablshm of a quorum, adac, proxy-grag ad vog A oal of 262,139 sharholdrs add prso or by proxy, wh 6,255,472,979 shars. Th quorum was hus % of h shar capal of h Bak a h da of h xraordary gral sharholdrs mg. Th avrag prcag of affrmav vos upo whch h proposals submd by h board wr approvd was %. Th followg daa ar sad as prcags of h Bak s shar capal a h da of h xraordary gral sharholdrs mg: Physcally prs 0.130% 1 By proxy % 2 Abs vos % 3 Toal 52,181% 1. Of such prcag (0.130%), 0.001% s h prcag of shar capal ha add by rmo mas hrough h Ir. 2. Th prcag of shar capal ha grad proxs hrough h Ir was 0.297%. 3. Of such prcag (14.121%), % s h prcag of vos cas by posal mal, ad h rs s h prcag of lcroc vos. Rsoluos adopd a h gral sharholdrs mgs hld 2014 Th full xs of h rsoluos adopd a h gral sharholdrs mgs hld 2014 ar avalabl o h wbss of boh h Group ( ad h CNMV ( 95

29 4. SANTANDER GROUP MANAGEMENT TEAM 4. Saadr Group maagm am Composo Charma Chf xcuv offcr Excuv vc charma, o whom h chf complac offcr rpors Excuv vc charma, o whom h chf rsk offcr rpors Bussss Grmay Arga Asa Brazl Chl Ud Sas Spa Mxco Polad Porugal Ud Kgdom Uruguay Busss dvsos Global Wholsal Bakg*** Cosumr Fac Busss suppor dvsos Commrcal Bakg Suppor ad corol fucos Chf rsk offcr Chf facal offcr Gral Scrara ad of h board Chf complac offcr Iral Aud Commucaos, Corpora Markg ad Rsarch Corpora Dvlopm Iovao Facal Accoug ad Corol Charma s Offc ad Sragy Huma Rsourcs, Orgasao ad Coss Tchology ad Opraos Uvrss Ms Aa Boí-Saz d Sauuola y O Sha Mr José Aoo Álvarz Álvarz Mr Rodrgo Echqu Gordllo Mr Maías Rodríguz Icar Mr Ulrch Luschr Mr Erqu Crsofa Mr Jua Rodríguz car Mr Jsús María Zabalza Loa Mr Sérgo Ral* Mr Claudo Mladr Hojosa Mr Romá Blaco Rosa Mr Erqu García Cadlas Mr Ram Aboukhar** Mr Marcos Maríz Gavca Mr Grry Byr Mr Mausz Morawck Mr Aoo Vra Moro Mr Naha Bosock Mr Jua Carlos Chomal Mr Jacqus Rpoll Ms Magda Salarch Frádz d Valdrrama Mr Fracsco Javr Sa Félx García Mr José María Nus Badía Mr José García Cara Mr Igaco Bjuma Cabza d Vaca Ms Móca Lópz-Moís Gallgo Mr Jua Guard Marí Mr Jua Maul Cdoya Médz d Vgo Mr José Lus d Mora Gl-Gallardo Mr José María Fusr va Bdgm Mr José Fracsco Docl Razola Mr Vícor Maarraz Saz d Madrd Mr Jsús Cpda Caro Mr Adru Plaza Lópz Mr José Aoo Vllasa Crro * Ths appom s subjc o rgulaory auhorsao ** Excuv vc prsd of Commrcal Bakg. *** Th rsuls of hs u ar accoud h com sams of h varous cours. 96

30 4. SANTANDER GROUP MANAGEMENT TEAM Rmurao Iformao o h rmurao of xcuv vc prsds s provdd o 5 o h Group s lgal rpor. Rlad-pary rasacos ad coflcs of rs Rlad-pary rasacos To h kowldg of h Bak, o mmbr of sor maagm who s o a drcor, o prso rprsd by a mmbr of sor maagm who s o a drcor, ad o compay whch such prsos or prsos wh whom hy ac cocr or who ac hrough oms hr ar drcors, mmbrs of sor maagm or sgfca sharholdrs, has mad ay uusual or sgfca rasaco hrwh durg facal yar 2014 ad hrough h da of publcao of hs rpor. Coflcs of rs Th corol mchasms ad h bods charg of rsolvg hs yp of suao ar dscrbd h Cod of Coduc Scurs Marks, whch s avalabl o h Group s wbs ( 97

31 5. TRANSPARENCY AND INDEPENDENCE 5. Trasparcy ad dpdc Saadr s amog h fv mos raspar compas h world accordg o h las rakg of Trasparcy Iraoal, a NGO ha valuas raoal compas h cox of h fgh agas corrupo. Th Bak s h ladg facal suo h world as wll as h ladg Spash compay. Facal formao ad ohr sgfca formao Facal formao Pursua o h provsos of s Ruls ad Rgulaos (arcl 34.2), h board has ak h cssary acos o sur ha h quarrly ad sm-aual formao ad ay ohr formao mad avalabl o h marks s prpard followg h sam prcpls, sadards ad profssoal praccs as ar usd o prpar h aual accous. To such d, h aformod formao s rvwd by h aud comm pror o h rlas hrof. Th aual accous ar rpord o by h aud comm ad crfd by h had of facal accoug pror o h prparao hrof by h board. Ohr maral formao Pursua o h provsos of h Cod of Coduc Scurs Marks, h complac ara s rsposbl for commucag o h CNMV h maral formao grad h Group. Such commucao s smulaous o h rlas of maral formao o h mark or o h mda ad occurs as soo as h dcso quso s mad or h rsoluo quso has b sgd or carrd ou. Maral formao shall b dssmad a ru, clar, compl ad quabl fasho ad o a mly bass ad, whvr praccabl, such formao shall b quafd. I facal yar 2014, h Bak publshd 90 maral facs, whch ar avalabl o h wbss of h Group ( ad h CNMV ( Rlaoshp wh h audor Idpdc of h audor Th sharholdrs acg a h gral sharholdrs mg of 2014 approvd h r-lco of Dlo, S.L. as audor for o yar, wh h affrmav vo of % of h shar capal prs prso or by proxy. Th Bak has mchasms plac o prsrv h dpdc of h audor, cludg h oblgao of h board o rfra from hrg aud frms wh h fs dd o b pad o hm for ay ad all srvcs ar mor ha 2% of h oal com hrof durg h las facal yar. I addo, h Ruls ad Rgulaos of h Board sablsh lms upo hrg h aud frm for h provsos of srvcs ohr ha aud srvcs ha could jopards h dpdc hrof, ad mpos o h board h duy o mak publc h ovrall fs pad by h Bak o h audor for srvcs ohr ha aud srvcs. Th formao for facal yar 2014 s coad o 48 o h Group s lgal rpor. Th Ruls ad Rgulaos drm h mchasms o b usd o prpar h accous such ha hr s o room for qualfcaos h audor s rpor. Nvrhlss, h Bylaws as wll as h Ruls ad Rgulaos also provd ha, whvr h board blvs ha s opo mus prval, shall provd a xplaao, hrough h charma of h aud comm, of h co ad scop of h dscrpacy ad shall davour o sur ha h audor ssu a rpor hs rgard. Th aual accous of h Bak ad of h cosoldad Group for facal yar 2014 ar submd whou qualfcaos. A s mgs of 19 ad 23 Fbruary 2015, h aud comm rcvd from h audor a wr cofrmao of s dpdc rspc of h Bak ad h s drcly or drcly rlad hro, as wll as formao rgardg addoal srvcs of ay kd provdd o such s by h audors or by s rlad hro, pursua o h provsos of Royal Lgslav Dcr 1/2011, of 1 July, rsad x of h Aud of Accous Ac. Such comm, a h aformod mgs of 19 ad 23 Fbruary 2015, ssud a rpor sg forh a favourabl opo rgardg h dpdc of h audors ad rporg, amog ohr mars, upo h provso of h addoal srvcs mod h prcdg paragraph. Th aformod rpor, ssud pror o h aud rpor, has h co sablshd arcl 529 quarrdcs of h Compas Ac. 98

32 5. TRANSPARENCY AND INDEPENDENCE Ira-group rasacos Thr wr o ra-group rasacos facal yar 2014 ha wr o lmad h cosoldao procss ad ha ar o par of h ordary cours of busss of h Bak or of h compas of s Group as rgards h purpos ad codos hrof. Th d of h accpac prod for h offr mad o acqur h shars rprsg h shar capal of Baco Saadr Brasl o owd by h Saadr Group was aoucd o 31 Ocobr. Such offr was accpd by owrs of shars rprsg 13.65% of h shar capal of Baco Saadr Brasl, ad as such h sharholdg of h Saadr Group such subsdary ow rprss 89.58% of s shar capal a yar d Wbs Sc 2004, h Group s wbs ( has dsclosd h Ivsor Rlaos sco of h ma mu all formao rqurd udr applcabl law (currly, h Compas Ac ad Ordr ECC/461/2013 of 20 March). Th aoucm of h call o h 2015 aual gral sharholdrs mg wll b vwabl as from h da of publcao hrof, oghr wh h formao rlag hro, whch shall clud h proposd rsoluos ad mchasms for h xrcs of rghs o rcv formao, o gra proxs ad o vo, cludg a xplaao of h mchasms for h xrcs of such rghs by mas of daa rasmsso ad h ruls applcabl o h lcroc sharholdrs forum ha h Bak wll mak avalabl o s wbs ( Ufd Good Govrac Cod Baco Saadr follows all of h rcommdaos cocrg corpora govrac h spcal workg group rpor o h good govrac of lsd compas. Furhrmor, Baco Saadr follows h rcommdaos ad bs praccs corpora govrac applcabl o crd suos, ad lkws compls wh h cods of good govrac of h sock xchags o whch s shars ar lsd. Th co of h Group s wbs, whch s prsd wh spcfc scos for suoal vsors ad sharholdrs ad s accssbl Spash, Eglsh ad Porugus, rcvs approxmaly 185,000 vss pr wk. Th formao avalabl o such wbs cluds: Th Bylaws. Th Ruls ad Rgulaos for h Gral Sharholdrs Mg. Th Ruls ad Rgulaos of h Board. Profssoal profls ad ohr formao rgardg h drcors. Th aual rpor. Th aual corpora govrac rpor. Th Cod of Coduc h Scurs Marks. Th Gral Cod of Coduc. Th susaably rpor. Th rpors of h comms of h board. 99