S.L. 575.2 Art. 15Processing of bids.

(1) In the case of a competitive auction held under the standard tendering procedure or by ad hoc tenders, at the close of the bidding, the Accountant General shall rank the bids received for each maturity on offer in ascending order of rates.

(2) The Accountant General reserves the right to determine a cut-off rate on the basis of the bids received. Treasury Bills shall be allotted to those bids that are at, or below, the cut-off rate established by the Accountant General to be the highest accepted rate (the cut-off point). The bids equal or lower than such cut-off rate shall be satisfied in full, unless the total amount of such bids exceeds the amount which the Treasury has decided to issue. In the latter case, bids at the highest accepted rate (cut-off rate) shall be allotted on a pro-rata basis calculated in accordance with the amount of each bid. All accepted bidders shall pay the price as calculated from each respective rate as specified in their bids in accordance with the following price/yield formula:

N P = (y% x n) 1 + 360

Where: P = settlement proceeds in euro

N = nominal value in euro

Y% = yield quoted as percentage per annum n = number of calendar days from the settlement (issue) date up to the last day which immediately precedes the maturity date (both days inclusive) [term].

(3) The Accountant General reserves the right:

(a) not to allot any Treasury Bills on offer without assigning any reason therefor; or

(b) to reject applications if the bidder has failed to comply with the terms and conditions in the general prospectus.