INTERNATIONAL SWAPS AND DERIVATIVES ASSOCIATION Derivatives and Risk Management in Mexico Robert Pickel, Executive Director and CEO, ISDA Ruth Ainslie, Senior Policy Director, ISDA May 7, 2001 Mexico City, Mexico ISDA International Swaps and Derivatives Association, Inc.

What is ISDA ? ISDA is the global trade association representing leading participants in the privately negotiated derivatives industry, a business which includes interest rate, currency, commodity, credit, energy and equity swaps and options, as well as related structures such as caps, collars, floors and swaptions. Today we have over 500 member institutions from 41 countries on six continents. ISDA International Swaps and Derivatives Association, Inc.

Who are ISDA’s Members ? The membership of ISDA includes most of the world’s major institutions who deal in derivatives and also includes many of the businesses, financial institutions, governmental entities and other end users that rely on OTC derivatives to manage the financial and other risks inherent in their core economic activities with a degree of efficiency and effectiveness that would not otherwise be possible.

ISDA’s Membership Primary – Dealers Associate – Service Providers Subscriber – End Users / Governmental Entities ISDA International Swaps and Derivatives Association, Inc.

ISDA’s Mission: The Association’s primary purpose is to encourage the prudent and efficient development of the privately negotiated derivatives business by: Promoting practices conductive to the efficient conduct of the business, including the development and maintenance of derivatives documentation. ISDA International Swaps and Derivatives Association, Inc.

ISDA’s Mission: Promoting the development of sound risk management practices. Fostering high standards of commercial conduct. Advancing international public understanding of the business ISDA International Swaps and Derivatives Association, Inc.

ISDA’s Mission: Educating members and others on legislative regulatory, legal, documentation, accounting, tax, operational, technological and other issues affecting them. Creating a forum for the analysis and discussion of, and representing the common interest of its members on, these issues and developments. ISDA International Swaps and Derivatives Association, Inc.

ISDA Committees Accounting Asia Pacific Canada Collateral Credit Derivatives Documentation Eastern Europe Energy and Developing Products Equity Derivatives ISDA International Swaps and Derivatives Association, Inc.

ISDA Committees (Cont’d) Euro Japan Latin America Market Survey Operations Regulatory Risk Management Tax Trading Practice ISDA International Swaps and Derivatives Association, Inc.

ISDA Conferences and Seminars ISDA conducts international and regional conferences on important industry issues for derivatives providers and users throughout the Americas, Europe and Asia. Approximately 35 conferences and seminars are planned for ISDA International Swaps and Derivatives Association, Inc.

ISDA Conferences and Seminars (Cont’d) Operations Training Courses Confirmations Workshops Understanding the 1992 ISDA Master Agreements Understanding Collateral Arrangements and the ISDA Credit Support Documents Risk Management Seminars ISDA Member Updates ISDA Annual General Meeting Derivatives and Risk Management in Mexico ISDA International Swaps and Derivatives Association, Inc.

ISDA Latin America Latin American Committee formed in November ) Mexico Subcommittee 2) Brazilian Subcommittee 3) Argentine/Chilean Subcommittee ISDA International Swaps and Derivatives Association, Inc.

ISDA Offices New YorkLondon 600 Fifth Avenue, 27 th FloorOne New Change – EC4M 9QQ Rockefeller CenterTelephone: New York, NY Facsimile: Telephone: (212) Facsimile: (212) TokyoAsia-Pacific Chuo Building, 1 st Floor1 Robinson Road 2-17 Kagurazaka – Shinjuku-ku # AIA Tower Telephone: (8135) Telephone: (65) Facsimile: (8135) Facsimile: (65) ISDA International Swaps and Derivatives Association, Inc.

ISDA Contacts Robert Pickel Executive Director and Chief Executive Officer Ruth AinsliePedro Martinez Senior Policy DirectorHead of Latin American Policy Mary Cunningham Head of Conferences and Member Relations ISDA International Swaps and Derivatives Association, Inc.