1. KDPW Trade Repository Warsaw, 8 November 2012

2. 2 Legal Framework  REGULATION (EU) No 648/2012 of the European Parliament and of the Council of 4 July 2012 on OTC derivatives, central counterparties and trade repositories (EMIR): Introduction of the obligation to report derivatives trade to trade repositories. Definition of the rules applicable to trade repositories.  Commission Regulations defining technical standards for CCPs and trade repositories.

3. 3 EMIR: Goals The main goals of EMIR:  To reduce counterparty risk, including strengthening of clearing requirements.  To reduce operational risk, including better standardisation and electronic processing.  To improve transparency, including trade repositories.

4. 4 EMIR: Trade Repository EMIR: Article 9 Obligation to report the details of any derivative contract concluded and of any modification and termination of the contract to a trade repository registered by ESMA in accordance with Article 55 or recognised by ESMA in accordance with Article 77.  The details must be reported to a trade repository no later than the working day following the conclusion, modification or termination of the contract.  The reporting obligation applies to derivative contracts which are entered into on or after the effective date of the Regulation or were entered into before the effective date and remain outstanding on that date.

5. 5 EMIR: Timetable  Publication of EMIR: 27 July 2012  Effective date of the Regulation: 16 August 2012  Submission of technical standards by ESMA to the Commission: by the end of September 2012  Expected effective date of ESMA technical standards: Q1/Q2 2013  Start of authorisation of CCP clearing houses by local regulators: Q1/Q2 2013  Start of registration of trade repositories by ESMA: Q1/Q2 2013  Effective date of the obligation to report to trade repositories – not earlier than 1 July 2013 provided that ESMA registers the first trade repository by 1 April 2013

6. 6 Trade Repository in Polish Legislation  According to the amendment of the Act on Trading in Financial Instruments effective as of 4 August 2012 (Article 48.5a), the National Depository for Securities may – under the rules set out in separate regulations – operate a trade repository, i.e., activities involving the collection and storage of information concerning trade in financial instruments and information concerning such instruments.

7. KDPW Trade Repository  A trade repository is a set of information which fulfils the requirements of the Regulation of the European Parliament and of the Council on OTC derivatives, central counterparties and trade repositories.  The KDPW Trade Repository was launched on 2 November 2012.  It operates under the Trade Repository Rules approved by the KDPW Management Board.  Once the European Commission has approved the technical standards, the trade repository’s regulations and IT tools will be harmonised with the requirements of the standards.  At the turn of Q1 and Q2 2013, KDPW will file for the registration of the trade repository by ESMA (European Securities and Markets Authority) under the requirements of EMIR. 7

8. Service Beneficiaries  Capital market regulators.  Counterparties trading in derivatives subject to the reporting obligation.  KDPW_CCP and other clearing houses. 8

9. KDPW Trade Repository Participation Types  Direct participation, involving the reporting of trade to the repository. There are two different status types: transaction counterparty – where the participant reports trades to which it is a party; representative – where the participant reports trades on behalf of another trading entity.  Indirect participation, enabling a derivatives trade counterparty to review its trade reported to the repository by a direct participant which represents it. An indirect participant is represented in the National Depository by a direct participant. 9

10. Participant and Trade Identification  Repository participants and derivatives trade counterparties (represented by the direct participant) have an identifier assigned by KDPW.  The identifier is used to identify in the system all trade reported by a specific participant and all trade of a specific counterparty even if it is not a repository participant.  The trade counterparty identifier is also used by the counterparty which is an indirect participant to get access to information on all its derivatives trade.  As part of ts trade repository service, the National Depository will assign a unique identifier to each trade reported to the repository. The trade identifier will be used to designate all trade information in the system. 10

11. Service Implementation: Phase 1  The KDPW trade repository will become operational in two phases.  In the first operating phase, until the implementation of ESMA regulations defining the technical standards for trade repositories and until the effective date of the reporting obligation, the National Depository trade repository operates exclusively through an internet application available to repository participants on the National Depository website.  In the first operating phase, both participation and reporting trade to the repository is free of charge. 11

12. Service Implementation: Phase 2  In the second phase of harmonising the trade repository functionalities with the ESMA technical requirements (probable effective date: beginning of 2013), it is expected that trade can also be reported to the repository through another information channel: via the clearing house.  The clearing house will have a double function: that of a CCP required to report all derivatives trade cleared by the clearing house to the trade repository, and that of a representative of trade and clearing counterparties.  In the second phase KDPW will change the internet application regarding to technical standards approved by European Commission. 12

13. Trade Repository 13 More information on the KDPW website: www.kdpw.pl under the Trade Repository tab

14. National Depository for Securities (KDPW) [Krajowy Depozyt Papierów Wartościowych] ul. Książęca 4, 00-498 Warsaw, Poland www.kdpw.pl