Obligation Buenos Aires City 10.875% ( XS0584493349 ) en USD

Buenos Aires City

100 % ▲

Argentine

XS0584493349 ( en USD )

10.875% par an ( paiement semestriel ) - Obligation en défaut, paiements suspendus

25/01/2021 - Obligation échue

Prospectus brochure de l'obligation Buenos Aires XS0584493349 en USD 10.875%, échue

100 000 USD

500 002 500 USD

Buenos Aires est une ville cosmopolite située sur le littoral de l'Argentine, connue pour son architecture européenne, sa culture vibrante, son tango emblématique et sa riche histoire.

L'Obligation émise par Buenos Aires City ( Argentine ) , en USD, avec le code ISIN XS0584493349, paye un coupon de 10.875% par an.
Le paiement des coupons est semestriel et la maturité de l'Obligation est le 25/01/2021

LUXEMBOURG LISTING PROSPECTUS

The Province of Buenos Aires
(A Province of Argentina)
USD 750,000,000
10.875% Notes Due 2021

The Province will pay interest on the Notes on January 26 and July 26 of each year, beginning July 26,
2011. The Notes will mature on January 26, 2021. The Province will pay the principal of the Notes in three
installments: 33.33% on January 26, 2019, 33.33% on January 26, 2020 and 33.34% on January 26, 2021. The
Notes were issued and deposited with of Euroclear Bank S.A./N.V., as operator of the Euroclear System and
Clearstream Banking, société anonyme on January 26, 2011.
The Notes will be direct, unconditional, unsecured and unsubordinated obligations of the Province, ranking
pari passu, without any preference, among themselves and with all other present and future unsecured and
unsubordinated indebtedness from time to time outstanding of the Province, except as otherwise provided by law.
Application has been made to list the Notes on the official list of the Luxembourg Stock Exchange, and to
have the Notes admitted to trading on the Euro MTF market, and the Province will apply to list the Notes on the
Buenos Aires Stock Exchange and the Argentine Mercado Abierto Electrónico.
Investing in the Notes involves risks that are described in the "Risk Factors" section beginning on
page 10 of this Luxembourg Listing Prospectus.

Price to investors: 97.916%, plus accrued interest, if any, from January 26, 2011.

The Notes have not been, and will not be, registered under the U.S. Securities Act of 1933, as
amended, or the securities laws of any other jurisdiction. Unless they are registered, the Notes may be offered
only in transactions that are exempt from registration under the Securities Act or the securities law of any
other jurisdiction. Accordingly, the Notes are being offered only to qualified institutional buyers pursuant to
Rule 144A under the Securities Act and persons outside the United States in reliance on Regulation S of the
Securities Act. For further details about eligible offerees and resale restrictions, see "Notice to Investors."

Joint Lead Managers and Joint Bookrunners
BofA Merrill Lynch
Deutsche Bank Securities
Local Co-Manager
Banco de la Provincia de Buenos Aires

The date of this Luxembourg Listing Prospectus is January 19, 2011.

TABLE OF CONTENTS
Page
Enforcement of Civil Liabilities .................................................................................................................................. iii
Defined Terms and Conventions ................................................................................................................................. iii
Presentation of Financial and Other Information..........................................................................................................vi
Forward-Looking Statements ..................................................................................................................................... vii
Summary........................................................................................................................................................................1
Risk Factors .................................................................................................................................................................10
Use of Proceeds ...........................................................................................................................................................18
The Province of Buenos Aires.....................................................................................................................................19
The Provincial Economy .............................................................................................................................................26
Public Sector Finances.................................................................................................................................................51
Public Sector Debt .......................................................................................................................................................77
Banco Provincia.........................................................................................................................................................100
Description of the Notes ............................................................................................................................................111
Notice to Investors.....................................................................................................................................................124
Taxation.....................................................................................................................................................................126
Plan of Distribution ...................................................................................................................................................131
Official Statements ....................................................................................................................................................133
Validity of the Notes..................................................................................................................................................133
General Information ..................................................................................................................................................133

You should rely only on the information contained in this Luxembourg Listing Prospectus. The Province
has not, and the initial purchasers have not, authorized any other person to provide you with different information.
If anyone provides you with different or inconsistent information, you should not rely on it. The Province is not,
and the initial purchasers are not, making an offer to sell these securities in any jurisdiction where the offer or sale is
not permitted. You should assume that the information appearing in this Luxembourg Listing Prospectus is accurate
only as of the date on the front cover of this Luxembourg Listing Prospectus and may have changed since that date.
The Province is relying on an exemption from registration under the Securities Act for offers and sales of
securities that do not involve a public offering. By purchasing Notes, you will be deemed to have made the
acknowledgements, representations, warranties and agreements described under the heading "Notice to Investors" in
this Luxembourg Listing Prospectus. You should understand that you will be required to bear the financial risks of
your investment for an indefinite period of time.
Neither the delivery of this Luxembourg Listing Prospectus nor any sale made hereunder will under any
circumstances imply that the information herein is correct as of any date subsequent to the date of the cover of this
Luxembourg Listing Prospectus.
The Luxembourg Listing Prospectus may only be used for the purposes for which it has been published.
This Luxembourg Listing Prospectus may be distributed and its contents disclosed only to the prospective investors
to whom it is provided. By accepting delivery of this Luxembourg Listing Prospectus, you agree to these
restrictions. See "Notice to Investors."
This Luxembourg Listing Prospectus is based on information provided by the Province and other sources
that the Province believes are reliable. The Province cannot assure you that this information is accurate or complete.
This Luxembourg Listing Prospectus summarizes certain documents and other information and the Province refers
you to them for a more complete understanding of what the Province discusses in this Luxembourg Listing
Prospectus. In making an investment decision, you must rely on your own examination of the Province and the
terms of the offering and the Notes, including the merits and risks involved.

i

After having made all reasonable inquires, the Province confirms that it accepts responsibility for the
information it has provided in this Luxembourg Listing Prospectus and assumes responsibility for the correct
reproduction of the information contained herein.
The Province and the initial purchasers are not making any representation to any purchaser of Notes
regarding the legality of an investment in the Notes by such purchaser under any legal investment or similar laws or
regulations. You should not consider any information in this Luxembourg Listing Prospectus to be legal, business
or tax advice. You should consult your own attorney, business advisor and tax advisor for legal, business and tax
advice regarding an investment in the Notes.
You should contact the initial purchasers with any questions about this offering or for additional
information to verify the information contained in this Luxembourg Listing Prospectus.
None of the United States Securities and Exchange Commission (the "SEC"), any state securities
commission or any other regulatory authority has approved or disapproved of the securities or passed upon or
endorsed the merits of this offering or the adequacy or accuracy of this Luxembourg Listing Prospectus. Any
representation to the contrary is a criminal offense.
In connection with the issue of the Notes, the initial purchasers (or persons acting on behalf of the initial
purchasers) may over-allot Notes or effect transactions with a view to supporting the market price of the Notes at a
level higher than that which might otherwise prevail. However, there is no assurance that the initial purchasers (or
persons acting on their behalf) will undertake stabilization action. Such stabilizing, if commenced, may be
discontinued at any time and, if begun, must be brought to an end after a limited period. Any stabilization action
will be undertaken in accordance with applicable laws and regulations.
This document is only being distributed to and is only directed at (i) persons who are outside the United
Kingdom or (ii) to investment professionals falling within Article 19(5) of the Financial Services and Markets Act
2000 (Financial Promotion) Order 2005 (the Order) or (iii) high net worth entities, and other persons to whom it
may lawfully be communicated, falling within Article 49(2)(a) to (d) of the Order (all such persons together being
referred to as "relevant persons"). The Notes are only available to, and any invitation, offer or agreement to
subscribe, purchase or otherwise acquire such Notes will be engaged in only with, relevant persons. Any person
who is not a relevant person should not act or rely on this document or any of its contents.
This Luxembourg Listing Prospectus constitutes a prospectus for purposes of the Luxembourg law dated
July 10, 2005 on Prospectuses for Securities.

NOTICE TO NEW HAMPSHIRE RESIDENTS
Neither the fact that a registration statement or an application for a license has been filed under RSA 421-B
with the state of New Hampshire nor the fact that a security is effectively registered or a person is licensed in
the state of New Hampshire constitutes a finding by the secretary of state that any document filed under RSA
421-B is true, complete and not misleading. Neither any such fact nor the fact that an exemption or exception
is available for a security or transaction means that the secretary of state has passed in any way upon the
merits or qualifications of, or recommended or given approval to, any person, security, or transaction. It is
unlawful to make, or cause to be made, to any prospective purchaser, customer or client, any representation
inconsistent with the provisions of this paragraph.

ii

ENFORCEMENT OF CIVIL LIABILITIES
The Province is a political subdivision of a sovereign state. Consequently, it may be difficult for investors
to obtain, or realize in the United States or elsewhere upon, judgments against the Province. To the fullest extent
permitted by applicable law, the Province will irrevocably submit to the non-exclusive jurisdiction of any New York
state or U.S. federal court sitting in The City of New York, Borough of Manhattan, and any appellate court thereof,
in any suit, action or proceeding arising out of or relating to the Notes or the Province's failure or alleged failure to
perform any obligations under the Notes, and the Province will irrevocably agree that all claims in respect of any
such suit, action or proceeding may be heard and determined in such New York state or U.S. federal court. The
Province will irrevocably waive, to the fullest extent it may effectively do so, the defense of an inconvenient forum
to the maintenance of any suit, action or proceeding and any objection to any proceeding whether on the grounds of
venue, residence or domicile. To the extent that the Province has or hereafter may acquire any sovereign or other
immunity from jurisdiction of such courts (whether through service of notice, attachment prior to judgment,
attachment in aid of execution, execution or otherwise), the Province will, to the fullest extent permitted under
applicable law, including the U.S. Foreign Sovereign Immunities Act of 1976, irrevocably waive such immunity in
respect of any such suit, action or proceeding. However, under the U.S. Foreign Sovereign Immunities Act of 1976,
it may not be possible to enforce in the Province a judgment based on such a U.S. judgment, and under the laws of
Argentina any attachment or other form of execution (before or after judgment) on the property and revenues of the
Province will be subject to the applicable provisions of the Código Procesal Civil y Comercial de la Nación
Argentina, or the "Code of Civil and Commercial Procedure of Argentina". See "Description of the Notes--
Governing Law" and "--Submission to Jurisdiction."
In addition, according to the Code of Civil and Commercial Procedure of Argentina, a foreign judgment
that disregards Argentine principles of public policy, cannot be recognized or enforced in Argentine courts. In a
recent decision, a lower Federal court refused to recognize and enforce a judgment that contravened Argentine
principles of public policy, since it disregarded Argentina's right to sovereign immunity. According to the court, the
federal government's decision to declare a moratorium on payments on its bonds as a consequence of an economic
and social emergency constitutes an exercise of its sovereign powers. The decision has been appealed and the appeal
is still pending. See "Risks Relating to the Notes It may be difficult for you to obtain or enforce judgments against
the Province".

DEFINED TERMS AND CONVENTIONS
Certain Defined Terms
All references in this Luxembourg Listing Prospectus to:
· the "Province" are to the Province of Buenos Aires, the Issuer;
· "Banco Provincia" are to Banco de la Provincia de Buenos Aires, the Bank of the Province of Buenos
Aires;
· the "Central Bank" are to the Banco Central de la República Argentina, the Central Bank of the Republic
of Argentina;
· "INDEC" are to the Instituto Nacional de Estadística y Censos, the National Institute of Statistics and
Censuses;
· "ANSES" are to the Administración Nacional de la Seguridad Social, the National Social Security
Administration;
· "City of Buenos Aires" are to the Ciudad Autónoma de Buenos Aires, the Autonomous City of Buenos
Aires;

iii

· "Argentina" are to the Republic of Argentina; and
· the "federal government" are to the non-financial sector of the central government of Argentina, excluding
the Central Bank.
· The terms set forth below have the following meanings for purposes of this Luxembourg Listing
Prospectus:
· "BADLAR" is the average interest rate paid by private banks in Argentina for deposits in Argentine Pesos
on amounts greater than ARS 1.0 million for periods of 30-35 days.
· "Boconba" are bonds that the Province began to issue in 1991 to claimants who have prevailed in legal
actions brought against the Province or its municipalities in satisfaction of their legal claims. The terms of
these bonds vary depending on the dates on which the events giving rise to a claimant's legal action occur.
These bonds were originally denominated in pesos or U.S. dollars at the option of the claimant. The U.S.
dollar-denominated Boconba were converted to CER-adjusted pesos at a rate of ARS 1.40 per USD 1.00 as
part of the pesification process in 2002. Boconba issued after the pesification process are denominated in
pesos. The laws pursuant to which the Boconba were issued established payment priority classes according
to the nature of the right giving rise to the credit, determining also that claims within the same class would
be cancelled according to the dates on which they were definitively recognized by court or administrative
procedure.
· "Bocanoba" are bonds issued by the Province pursuant to Law 12,727 and were used by the Province to
refinance unpaid obligations of the Province to providers of goods and services. These bonds were
originally denominated in U.S. dollars and were converted to CER-adjusted pesos at a rate of ARS 1.40 per
USD 1.00 as part of the pesification process in 2002.
· "Boden" are bonds that the federal government began to issue in 2002 originally to compensate individuals
and financial institutions affected by some of the emergency measures adopted by the federal government
during the 2001 economic crisis.
· "Bogar" are bonds issued by the federally administered Fondo Fiduciario para el Desarrollo Provincial
(Trust Fund for Provincial Development) in order to restructure debt obligations of Argentina's provinces,
including the Province. The Province indirectly guarantees payments on these bonds, up to an amount
equal to 15.0% of the federal tax co-participation revenues to which it is entitled, through an assignment to
the Trust Fund for Provincial Development of such portion of those revenues. Although the federal
government instructs the trustee of the Trust Fund for Provincial Development to make any remaining
payments due on these bonds, the Province has an obligation to reimburse the Trust Fund for Provincial
Development for all amounts paid on these bonds.
· "CER," or Coeficiente de Estabilización de Referencia, is a unit of account adopted on February 3, 2002,
the value in pesos of which is indexed to consumer price inflation. The nominal amount of a CER-based
financial instrument is converted to a CER-adjusted amount, and interest on the financial instrument is
calculated on the CER-adjusted balance.
· The "Conurbano Bonaerense" is an industrialized and heavily populated urban area surrounding the City of
Buenos Aires. The scope and coverage of this area are defined by federal government agencies to represent
a diverse demographic sample of Argentina's urban population based upon various socio-economic
variables, which are used in the development and implementation of national public policies. The area
consists of several municipalities of the Province that surround the City of Buenos Aires and does not
include the City of Buenos Aires. Approximately 62.5% of the Province's population resides within the
Conurbano Bonaerense.

iv

· "Greater Buenos Aires" is a regional area within the Province, which includes the Conurbano Bonaerense
and seven municipalities that surround the Conurbano Bonaerense. This definition is used for statistical
purposes to refer to the largest urban area of the Province.
· "Exchange Bonds" are the three series of bonds--Step-Up Long Term Par Bonds due 2035, Step-Up
Medium Term Par Bonds due 2020, and Discount Bonds due 2017--issued by the Province pursuant to the
restructuring exchange offer launched in November 2005 to holders of its then outstanding Eurobonds (as
defined below). Approximately 94.7% of the principal amount of the then outstanding Eurobonds were
tendered and cancelled pursuant to the exchange offer, which expired in December 2005.
· "Exports" are calculated based upon statistics reported to Argentina's customs agency upon departure of
goods originated in the Province on a free-on-board (FOB) basis.
· "Eurobonds" are bonds issued by the Province in the international capital markets since 1995, including
securities issued under the Province's USD 3.2 billion Euro Medium-Term Note program (EMTN
Program) established in 1998.
· "Gross domestic product," or GDP, is a measure of the total value of final products and services produced
in Argentina or the Province, as the case may be, in a specific year.
· The "rate of inflation", or "inflation rate", provides an aggregate measure of the rate of change in the prices
of goods and services in the economy. The inflation rate is generally measured by the rate of change in the
consumer price index, or "CPI", between two periods unless otherwise specified. The annual percentage
rate of change in the CPI as of a particular date is calculated by comparing the index as of that date against
the index as of the date 12 months prior. The CPI is calculated on a weighted basket of consumer goods
and services that reflects the pattern of consumption of Argentine households using a monthly averaging
method. The federal government also compiles statistics on the wholesale price index, or WPI. The annual
percentage rate of change in the WPI as of a particular date is calculated by comparing the index as of that
date against the index as of the date 12 months prior. The WPI is based on a basket of goods and services
that reflects the pattern of consumption of Argentine retailers. The CPI measures changes in the price level
of goods and services to the final consumer and therefore tends to reflect changes in the cost of living in
Argentina. While the WPI also provides a measure of inflation, it is more limited in scope since it
measures changes in the price of goods and services paid by retailers and not consumers. All references in
this Luxembourg Listing Prospectus to CPI are to the national CPI.
· "Mercosur" refers to the Mercado Común del Sur, which is a regional trade agreement among Argentina,
Brazil, Paraguay and Uruguay.
· "Patacones" are quasi-currency treasury bonds issued by the Province in 2001 and 2002 to finance its fiscal
deficits during Argentina's economic crisis.
· The "primary balance" refers to the difference between the Province's current and capital expenditures and
current and capital revenues. The primary balance excludes interest expenses and borrowings and
repayments of the Province's debt.
· The "underemployment rate" represents the percentage of the Province's labor force that has worked fewer
than 35 hours during the week preceding the date of measurement and seeks to work more than that
amount.
· The "unemployment rate" represents the percentage of the Province's labor force that has not worked a
minimum of one hour with compensation or 15 hours without compensation during the week preceding the
date of measurement. The "labor force" refers to the sum of the population of the five main urban areas of
the Province (Greater Buenos Aires, Bahía Blanca-Cerri, Greater La Plata, Mar del Plata-Batán and San
Nicolás-Villa Constitución) that has worked a minimum of one hour with compensation or 15 hours

v

without compensation during the week preceding the date of measurement plus the population that is
unemployed but actively seeking employment.
Currency of Presentation and Exchange Rates
Unless otherwise specified, references in this Luxembourg Listing Prospectus to "dollars," "U.S. dollars,"
"USD" and "$" are to the currency of the United States of America, references to "euros" and "EUR " are to the
currency of the European Union and references to "pesos" and "ARS " are to Argentine pesos.
The Province publishes most of its economic indicators and other statistics in pesos. Since February 2002,
the peso floats against other currencies, although the Central Bank purchases or sells U.S. dollars on the currency
exchange market on a regular basis in order to minimize fluctuations in the value of the peso.
The following table sets forth the annual high, low, average and period-end "reference" exchange rates for
the periods indicated, expressed in pesos per U.S. dollar and not adjusted for inflation. There can be no assurance
that the Peso will not depreciate or appreciate again in the future. The Federal Reserve Bank of New York does not
report a noon buying rate for pesos.

Exchange rates(1)

High
Low
Average(2)
Period end
Year ended December 31,

2005 ..........................................................................
3.052 2.859 2.923 3.032
2006 ..........................................................................
3.107 3.031 3.074 3.070
2007 ..........................................................................
3.180 3.055 3.116 3.151
2008 ..........................................................................
3.454 3.013 3.161 3.454
2009 ..........................................................................
3.855 3.450 3.730 3.797
2010 ..........................................................................
3.986 3.794 3.913 3.976

(1)
Central Bank reference exchange (Communication A 3500 of Central Bank).
(2)
Average of daily closing quotes.
Source:
Central Bank.
Currency conversions, including conversions of pesos into U.S. dollars, are included for the convenience of
the reader only and should not be construed as a representation that the amounts in question have been, could have
been or could be converted into any particular denomination, at any particular rate or at all.
As of January 18, 2011 the peso-dollar reference exchange rate was ARS 3.9803 to USD 1.00.

PRESENTATION OF FINANCIAL AND OTHER INFORMATION
All annual information presented in this Luxembourg Listing Prospectus is based upon January 1 to
December 31 periods, unless otherwise indicated. Totals in some tables in this Luxembourg Listing Prospectus may
differ from the sum of the individual items in those tables due to rounding.
Unless otherwise stated, prices and figures are stated in current values of the currency presented.
Certain statistical information included in this Luxembourg Listing Prospectus is preliminary in nature and
reflects the most recent reliable data readily available to the Province as of the date of this Luxembourg Listing
Prospectus.

vi

FORWARD-LOOKING STATEMENTS
This Luxembourg Listing Prospectus and any related supplement (including any documents incorporated
by reference) may contain forward-looking statements. Forward-looking statements are statements that are not
historical facts, including statements about the Province's beliefs and expectations. These statements are based on
the Province's current plans, estimates and projections. Therefore you should not place undue reliance on them.
Forward-looking statements speak only as of the date they are made. The Province undertakes no obligation to
update any of them in light of new information or future events.
Forward-looking statements involve inherent risks and uncertainties, including, but not limited to, those set
forth in "Risk Factors" in this Luxembourg Listing Prospectus. A number of important factors could cause actual
results to differ materially from those contained in any forward-looking statement. The information contained in
this Luxembourg Listing Prospectus identifies important factors that could cause such differences. Such factors
include, but are not limited to:
· adverse domestic factors, such as increases in inflation, high domestic interest rates and exchange
rate volatility, any of which could lead to lower economic growth;
· adverse external factors, such as a decline in foreign investment, changes in international prices
(including commodity prices) for goods produced within the Province, changes in international
interest rates, recession or low economic growth in Argentina's trading partners, which could
decrease the value or quantity of exports from the Province, induce a contraction of the Province's
economy and, indirectly, reduce tax revenues and other public sector revenues and adversely
affect the Province's fiscal accounts; and
· other adverse factors, such as climatic or political events, international or domestic hostilities and
political uncertainty.

vii

SUMMARY
This summary highlights selected economic and financial information about the Province. It is not
complete and may not contain all of the information you should consider before purchasing the Notes. You should
carefully read the entire Luxembourg Listing Prospectus, including "Risk Factors," before purchasing the Notes.
Selected Economic Information
(in billions of pesos unless otherwise indicated)
At and for the
nine months

ended

At and for the year ended December 31,
September 30,

2005
2006
2007
2008
2009
2010
PROVINCIAL ECONOMY

Real GDP (in billions of 1993 pesos) ............................... ARS 108.08 ARS 117.29

Rate of change in Real GDP from prior year ....................
10.0%
8.5%

Provincial GDP as a % of National GDP..........................
35.5%
35.5%

Unemployment rate(1) .......................................................
12.7%
10.5%
8.4% 8.5% 9.8% 8.8%

PROVINCIAL EXTRAPOLATED GDP(2)

Real GDP (in billions of 1993 pesos) ...............................

ARS 127.71
ARS 136.52
ARS 137.72 ARS 150.51(10)
Rate of change from prior year.........................................

8.9%
6.9%
0.9%
n/a

NATIONAL ECONOMY

Real GDP (in billions of 1993 pesos)................................ ARS 304.76 ARS 330.57 ARS 359.17
ARS 383.44
ARS 386.70 ARS

425.32(11)
Rate of change from prior year.........................................
9.2%
8.5%
8.7%
6.8%
0.9%
8.6%
Unemployment rate(3)......................................................
10.1%
8.7%
7.5% 7.3% 8.4% 7.5%
Inflation (as measured by CPI)..........................................
12.3%
9.8%
8.5%
7.2%
7.7%
8.3%

PROVINCIAL PUBLIC SECTOR FINANCES

Total Revenues................................................................. ARS 22.77 ARS 26.92 ARS 34.18
ARS 43.47
ARS 53.13
ARS 46.37
Total Expenditures (excluding interest expenses).............
(21.61)
(26.74)
(33.58)
(45.44)
(57.47)
(49.17)
Primary Fiscal Balance(4)..................................................
1.16 0.18 0.60 (1.97) (4.34) (2.80)
Total Surplus/(Deficit)(5) ..................................................
0.66 (0.60)
(0.29) (2.99) (5.67) (3.99)
Overall Financial Result(6) ................................................
0.55 0.38 0.88 (1.88) (3.16) 0.62

PROVINCIAL PUBLIC SECTOR DEBT(7)

Peso-denominated debt(8).................................................. ARS 19.24 ARS 20.9
ARS 22.46
ARS 25.02
ARS 29.18
ARS 25.38
Foreign-currency-denominated debt(9)..............................
10.50
12.5
14.57
15.57
17.27
17.78
Total debt (9)...................................................................... ARS 29.74 ARS 33.38 ARS 37.04
ARS 40.59
ARS 46.35
ARS 43.46
Total debt (in billions of USD)(9)......................................
9.81
10.90
11.76
11.76
12.20
10.97
Debt as a % of nominal GDP(9).........................................
15.4%
14.3%
12.8% 11.0% 11.3% n/a
Debt as a % of total revenues(9) ........................................
130.3%
124.2%
108.2% 93.3% 87.2% n/a

(1)
For the second half of 2005, the fourth quarter of each of 2006, 2007, 2008 and 2009 and the third quarter of 2010 (weighted average data).
(2)
Extrapolated GDP is calculated by multiplying the 2006 provincial GDP for each of the principal sectors of the provincial economy by the
national rate of real GDP growth for that sector for 2007, and repeating the process for each of 2008, 2009, and the twelve months ended
September 30, 2010. Extrapolated GDP for 2007, 2008 and 2009 and the twelve months ended September 30, 2010 is not directly
comparable with GDP figures for 2005 and 2006.
(3)
Based on the Encuesta Permanente de Hogares (Permanent Household Survey, or "EPH") conducted in 28 major cities. According to
INDEC, the current methodology to conduct the EPH is applied to every major city except Rawson - Trelew, San Nicolás -Villa
Constitución and Viedma - Carmen de Patagones, where the EPH is still being conducted pursuant to the old methodology because of
resource constraints in cities in the interior of Argentina.
(4) Excluding
interest
payments.
(5) Represents the primary fiscal balance minus interest payments.
(6)
Represents total surplus/(deficit) plus borrowings, minus debt repayments.
(7)
In November 2005, the Province launched an offer to eligible holders of its foreign-currency-denominated bonds (on which the Province
had ceased making payments) to cancel these bonds in exchange for the Exchange Bonds. As of December 16, 2005, the expiration date
of the exchange offer, holders of approximately 94.7% of the aggregate principal amount of the Province's outstanding bonds had
consented to cancel these bonds in exchange for the Exchange Bonds, which is reflected in the table above.
(8)
Includes debt denominated in CER-adjusted pesos.
(9)
Excluding past due interest payments.
(10) Annualized extrapolated GDP figure for the twelve months ended September 30, 2010.
(11) Annualized GDP figure for the twelve months ended September 30, 2010.

Source: Provincial Office of Statistics; Ministry of Economy of the Province; Federal Ministry of Economy and Production; Macroeconomic
Research Unit, Financial Department of Fiscal Studies and Financial Programming.

1

The Province
General
The Province is the largest of the 23 provinces of Argentina, with a population of approximately 15.6
million inhabitants. It is located in the central-eastern part of the country, in a region known as the "Pampas." The
capital of the Province is the city of La Plata.
The provincial government consists of an executive branch, a legislative branch and a judicial branch. The
executive branch consists of a Governor and a Vice Governor, both of whom are elected by popular vote, and a
number of ministries, secretariats and other provincial governmental agencies. The legislative branch consists of the
Senate and the House of Deputies. The judicial branch consists of trial courts, courts of appeals and the Supreme
Court, which have jurisdiction over civil, commercial, administrative, labor, family and criminal matters within the
Province. In addition, the provincial constitution provides for the existence of certain provincial agencies that do not
fall under any of the three branches of government.
Each of the Province's 134 municipalities has its own government, responsible for providing basic local
services. Pursuant to provincial law, the Province's municipalities are entitled to receive a percentage of the taxes
collected by the Province and the federal government. In addition, several municipalities are entitled to collect
certain provincial taxes.
Historically, the two largest and most traditional political parties in Argentina have been the Partido
Justicialista (the "PJ") and the Unión Cívica Radical (the "UCR"), which have broad-based support across the
country. In 2005, however, a faction within the PJ led by the former President of Argentina, Néstor Kirchner, and
the former Governor of the Province, Felipe Solá formed a separate political party known as Frente para la Victoria
(the "FPV"). See "The Province of Buenos Aires--Recent Political History." The PJ, the UCR and the FPV are
followed by the Afirmación para una República Igualitaria, or the "ARI", Coalición Cívica, or the Civic Coalition,
Acuerdo Cívico y Social, or the Social and Civic Agreement or "ACyS", Recrear para el Crecimiento, or Rebuild
for Growth, Propuesta Republicana, or the Republican Proposal (in the Province of Buenos Aires, the Republican
Proposal formed a political center-right wing alliance named Unión-PRO) and Unidad Peronista or "Peronist
Unity". Currently, the FPV and PJ hold jointly 40.2% of the seats of the provincial House of Deputies, while the
ACyS holds 38.0%, and Unión-PRO holds 21.8%. In the provincial Senate, the FPV and PJ hold jointly 45.7% of
the seats, ACyS holds 39.1%, the Unión-PRO holds 13.0% and Peronist Unity holds 2.2%.
The current President of Argentina, Cristina Fernández de Kirchner, and the Governor of the Province,
Daniel Scioli, were elected in October 2007 and took office in December 2007. The next elections for the President
of Argentina and for the Governor of the Province are scheduled for October 2011.
The Provincial Economy
Official provincial GDP figures, which are based on preliminary data, are available for 2005 and 2006.
Official provincial GDP figures are not available for 2007, 2008, 2009 and 2010. The Province extrapolated
provincial GDP figures for 2007, 2008, 2009 and for the twelve months ended September 30, 2010 based on rates of
growth in national GDP, by multiplying the provincial GDP figure for 2006 for each of the principal sectors of the
provincial economy by the national rate of real GDP growth for that sector for 2007 according to INDEC. The
Province applied the same method for 2008 and 2009 and for the twelve months ended September 30, 2010 to
extrapolate provincial GDP figures in those periods. Extrapolated provincial GDP figures are based on changes in
national GDP by principal sector to account for structural differences between the provincial and national
economies. The principal structural difference between the provincial and national economies is the greater relative
weight of the manufacturing and export sectors in the provincial economy as compared to the national economy.
This method of extrapolating provincial GDP figures assumes that real GDP by principal sector grew at the same
rate on the provincial and national levels, and therefore that the allocation of real GDP by principal sector within the
Province changed in tandem with national GDP by principal sector. Between 1994 and 2006, the correlation
coefficient between provincial and national real GDP was 0.97, indicating a high degree of correlation. Extrapolated
provincial GDP figures for 2007, 2008 and 2009 and the twelve months ended September 2010 do not account for

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