BHSA-Noteno-Information-Required

[Letterhead of Banco Hipotecario]

NOTE No.

BUENOS AIRES, November , 2018

BOLSAS Y MERCADOS ARGENTINOS S.A.

Re.: Information required under section 63 of the Listing Regulations of BYMA S.A.

In order to comply with the requirements of section 63 of the Listing Regulations of Bolsas y Mercados Argentinos S.A., we report below our income, divided into ordinary and extraordinary income, and a detail of the Shareholders’ Equity broken down into items and amounts, as reflected in the Quarterly Financial Statements of Banco Hipotecario S.A. ended on September 30, 2018 (nine-month fiscal period).

RESULTS

● Net income for the third quarter was Ps. 541.7 million, compared to Ps. 481.0 million for the previous quarter and Ps. 436.1 million for the same quarter of the previous fiscal year, which represented an increase of 12.6% and of 24.2%, respectively.

● Net operating income for the third quarter was Ps. 3,376.3 million, 3.1% higher than Ps. 3,273.5 million for the previous quarter and 30.7% higher than Ps. 2,583.8 million for the same quarter of the previous fiscal year.

● Operating income for the quarter was Ps. 691.7 million, 1.7% lower than Ps. 703.6 million for the previous quarter and 42.0% higher than Ps. 487.0 million for the same quarter of 2017.

● Loans to the non-financial private sector increased 4.8% compared to the previous quarter and 33.3% compared to the same quarter of the previous fiscal year.

● Deposits decreased by 6.6% compared to the previous quarter and increased by 29.7% compared to the same quarter of the previous fiscal year, whereas financial debt increased 9.1% in the quarter and 67.9% in the year.

● Non-performing loans at an individual level increased from 2.3% in the second quarter of 2018 to 2.8% in the third quarter of 2018, while the coverage ratio was 87.7%. At a consolidated level, non-performing loans increased from 4.5% in the second quarter of 2018 to 4.9% in the third quarter of 2018, while the coverage ratio was 77.8%.

• Total equity over weighted risk assets ratio as of September 30, 2018 was 11.15%, compared to 12.75% for the same quarter of the previous fiscal year.

Quarterly Income Statement Quarter ended (in millions of Ps.) 09/30/2018 06/30/2018 09/30/2017

Interest Income 4,105.0 3,479.0 2,525.8 Interest Expense (3.543.8) (2,745.8) (1,597.5) Net interest income 561.2 733.2 928.4 Fee and commission income 1,141.7 1,095.8 936.2 Fee and commission expense (180.5) (173.2) (151.2) Net fee and commission income 961.2 922.6 785.0 Net income from measurement of financial instruments at fair value through profit or loss 1,180.4 1,366.5 538.8 Gold and foreign currency quotation differences 402.0 (509.7) (2.7) Other operating income 754.7 1,180.6 600.3 Loan loss provision (483.2) (419.7) (266.0) Net operating income 3,376.3 3,273.5 2,583.8 Employee benefits (953.3) (866.1) (936.6) Administrative expenses (833.2) (747.5) (653.1) Depreciation and impairment of assets (37.8) (38.2) (38.4) Other operating expenses (860.3) (918.2) (468.7) Operating income 691.7 703.6 487.0 Income tax from continuing activities (146.8) (213.0) (57.2) Total comprehensive income (loss) attributable to the owners of the non- controlling interest (3.2) (9.6) 6.4 Net income for the period 541.7 481.0 436.1

Banco Hipotecario’s accumulated income as of 09/30/2018 In thousands of Ps. Income as of 09-30-18 1,566,896 Total comprehensive income attributable to owners of the 25,155 non-controlling interest: Total comprehensive income attributable to parent’s 1,541,741 owners:

SHAREHOLDERS’ EQUITY In thousands of Ps. Total Shareholders’ Equity: 9,573,986 Capital Stock: 1,500,000 Non-capitalized contributions: 25,878 Adjustments to Shareholders’ Equity: 717,115 Reserves 5,651,109 - Statutory: 1,448,649 - Other: 4,202,460 Unappropriated retained earnings: 1,366,808 Shareholders’ Equity attributable to the parent’s owners 9,260,910 Shareholders’ Equity attributable to non-controlling interest 313,076

Subsection o)

The capital stock is represented by 1,500,000,000 shares of a par value of one peso each, divided into Class A, B, C and D shares according to the percentages set forth in the following table. Class A, B and C shares entitle to one vote per share, Class "D" shares, which are owned by the private sector, entitle to three votes per share so long as the Argentine Government owns more than 42% of the capital stock.

Pursuant to the provisions of the Privatization Law and the Bank’s bylaws the majority Class “D” shareholders are entitled to elect nine of the thirteen members of our board of directors.

As of September 30, 2018, the principal Class “D” shareholders were holders of an aggregate of 448,689,072 shares representing 29.91% of the Capital Stock.

Shareholders as of 09/30/2018

Percentage Shareholder Class Amount of Shares of Shares Argentine Government/Banco de la Nación Argentina as Trustee of the Fondo Federal de A 664,526,141 44.30% Infraestructura Regional Assistance Trust Banco de la Nación Argentina as Trustee of the Programa de B 57,009,279 3.80% Propiedad Participada Banco de la Nación Argentina as Trustee of the Fondo Federal de C 75,000,000 5.00% Infraestructura Regional Assistance Trust Option Trustee (1) D 90,905,000 6.06% Principal Shareholders (2) D 448,689,072 29.91% ANSES (Social Security Office) D 74,037,265 4.94% Banco Hipotecario S.A. D 34,547,843 2.30% Board of Directors’ Holdings D 24,470 0.00% Other D 55,260,930 3.69%

Total 1,500,000,000 100.00% (1) The Class “D” Shares relating to non-exercised options, which amount to 90,905,000, shall be maintained in the Trust until the disposal thereof pursuant to the instructions received from the Selling Shareholder (National Government). During such period, the political rights attaching thereto shall be exercised by the Trustee of the Fondo Federal de Infraestructura Regional Assistance Trust (Banco de la Nación Argentina). (2) As of September 30, 2018, Tyrus S.A., Ritelco S.A., E-Commerce Latina S.A., Palermo Invest S.A., IRSA Inversiones y Representaciones S.A., and Inversora Bolívar S.A. held 75,000,000, 75,000,000, 75,000,000, 74,804,237, 73,939,835, and 74,945,000 Class D Shares, respectively, representing interests in Class D Shares of

10.66%, 10.66%, 10.66%, 10.63%, 10.51%, and 10.65%, respectively.

Subsection p)

Shares that entitle to securities convertible into stock and/or warrants in the company, held by the controlling shareholder or group: None.

Subsection q)

The principal Class “D” shareholders of the company and their domiciles are as follows:

• IRSA Inversiones y Representaciones S.A., Bolívar 108 – Autonomous City of Buenos Aires, Argentina. • Inversora Bolívar S.A., Moreno 877 – 22nd Floor – Autonomous City of Buenos Aires, Argentina. • Ritelco S.A., Perú 529 – Ground Floor – Mendoza, Province of Mendoza, Argentina. • E-Commerce Latina S.A., Moreno 877 – 21st Floor – Autonomous City of Buenos Aires, Argentina. • Tyrus S.A., Profesor Mariño 459, Temperley, Province of Buenos Aires, Argentina. • Palermo Invest S.A., Bolívar 108 – 1st Floor – Autonomous City of Buenos Aires, Argentina.

Yours sincerely,