Notice extraordinary general shareholders' meeting
BANCO SANTANDER, S.A.
Extraordinary general shareholders' meeting
The board of directors of this Bank has resolved to call the shareholders to an extraordinary general shareholders' meeting to be held in Santander, at the Palacio de Exposiciones y Congresos (Avenida del Racing, s/n), on 15 September 2014 at 9:30 a.m., on second call, in the event that, due to failure to reach the required quorum, such meeting cannot be held on first call, which is also hereby convened to be held at the same place and time on 14 September 2014, in order for the shareholders to consider and resolve upon items One through Three of the following
AGENDA
One.- Increases in share capital relating to implementation of the offering to acquire all of the securities representing the share capital of Banco Santander (Brasil) S.A.
One A. Increase in share capital by such amount as may be determined pursuant to the terms of the resolution, by means of the issuance and placement into circulation of new ordinary shares having a par value of one-half (0.5) euro each, with a share premium to be determined by the board of directors, or the executive committee by delegation therefrom, pursuant to the provisions of section 297.1.a) of the Spanish Capital Corporations Law, no later than the date of implementation of the resolution. The new shares shall be fully subscribed and paid-up by means of in-kind contributions consisting of securities representing the share capital of Banco Santander (Brasil) S.A., i.e. ordinary shares (ações ordinárias), preferred shares (ações preferenciais), units (each in turn made up of one ordinary share and one preferred share) and ADSs (American Depositary Shares, each representing one unit) (collectively, the "Santander Brasil Shares"). Express provision for the possibility of incomplete subscription.
Delegation of powers to the board of directors, which may in turn delegate such powers to the executive committee, to establish the terms and conditions of the increase as to all matters not provided for by the shareholders at the general shareholders' meeting, to take such actions as may be required for implementation hereof, to amend the text of sections 1 and 2 of Article 5 of the Bylaws to reflect the new amount of share capital, and to execute such documents as may be necessary to carry out the increase.
Application to the appropriate domestic and foreign authorities for admission to trading of the new shares on the Madrid, Barcelona, Valencia and Bilbao stock exchanges through Spain's Automated Quotation System (Continuous Market) and on the foreign stock exchanges on which the shares of Banco Santander are listed (currently Lisbon, London, Milan, Buenos Aires, Mexico and, through ADSs, on the New York Stock Exchange, although it is expected that the shares will also be listed on the Sao Paulo Stock Exchange, through Brazilian Depositary Receipts (BDRs), on the date of the holding of the meeting) in the manner required by each of such stock exchanges.
One B. Complementary increase in share capital by such amount as may be determined pursuant to the terms of the resolution, by means of the issuance and placement into circulation of new ordinary shares having a par value of one-half (0.50) euro each, with a share premium to be determined by the board of directors, or the executive committee by delegation therefrom, pursuant to the provisions of section 297.1.a) of the Spanish Capital Corporations Law, no later than the date of implementation of the resolution. The new shares shall be fully subscribed and paid up by means of in-kind contributions consisting of Santander Brasil Shares. Express provision for the possibility of incomplete subscription.
Delegation of powers to the board of directors, which may in turn delegate such powers to the executive committee, to establish the terms and conditions of the increase as to all matters not provided for by the shareholders at the general shareholders' meeting, to take such actions as may be required for implementation hereof, to amend the text of sections 1 and 2 of Article 5 of the Bylaws to reflect the new amount of share capital, and to execute such documents as may be necessary to carry out the increase.
Application to the appropriate domestic and foreign authorities for admission to trading of the new shares on the Madrid, Barcelona, Valencia and Bilbao stock exchanges through Spain's Automated Quotation System (Continuous Market) and on the foreign stock exchanges on which the shares of Banco Santander are listed (currently Lisbon, London, Milan, Buenos Aires, Mexico and, through ADSs, on the New York Stock Exchange, although it is expected that the shares will also be listed on the Sao Paulo Stock Exchange, through Brazilian Depositary Receipts (BDRs), on the date of the holding of the meeting) in the manner required by each of such stock exchanges.
One C. Complementary increase in share capital by such amount as may be determined pursuant to the terms of the resolution, by means of the issuance and placement into circulation of new ordinary shares having a par value of one-half (0.50) euro each, with a share premium to be determined by the board of directors, or the executive committee by delegation therefrom, pursuant to the provisions of section 297.1.a) of the Spanish Capital Corporations Law, no later than the date of implementation of the resolution. The new shares shall be fully subscribed and paid up by means of in-kind contributions consisting of Santander Brasil Shares. Express provision for the possibility of incomplete subscription.
Delegation of powers to the board of directors, which may in turn delegate such powers to the executive committee, to establish the terms and conditions of the increase as to all matters not provided for by the shareholders at the general shareholders' meeting, to take such actions as may be required for implementation hereof, to amend the text of sections 1 and 2 of Article 5 of the Bylaws to reflect the new amount of share capital, and to execute such documents as may be necessary to carry out the increase.
Application to the appropriate domestic and foreign authorities for admission to trading of the new shares on the Madrid, Barcelona, Valencia and Bilbao stock exchanges through Spain's Automated Quotation System (Continuous Market) and on the foreign stock exchanges on which the shares of Banco Santander are listed (currently Lisbon, London, Milan, Buenos Aires, Mexico and, through ADSs, on the New York Stock Exchange, although it is expected that the shares will also be listed on the Sao Paulo Stock Exchange, through Brazilian Depositary Receipts (BDRs), on the date of the holding of the meeting) in the manner required by each of such stock exchanges.
One D. Complementary increase in share capital by such amount as may be determined pursuant to the terms of the resolution, by means of the issuance and placement into circulation of new ordinary shares having a par value of one-half (0.50) euro each, with a share premium to be determined by the board of directors, or the executive committee by delegation therefrom, pursuant to the provisions of section 297.1.a) of the Spanish Capital Corporations Law, no later than the date of implementation of the resolution. The new shares shall be fully subscribed and paid up by means of in-kind contributions consisting of Santander Brasil Shares. Express provision for the possibility of incomplete subscription.
Delegation of powers to the board of directors, which may in turn delegate such powers to the executive committee, to establish the terms and conditions of the increase as to all matters not provided for by the shareholders at the general shareholders' meeting, to take such actions as may be required for implementation hereof, to amend the text of sections 1 and 2 of Article 5 of the Bylaws to reflect the new amount of share capital, and to execute such documents as may be necessary to carry out the increase.
Application to the appropriate domestic and foreign authorities for admission to trading of the new shares on the Madrid, Barcelona, Valencia and Bilbao stock exchanges through Spain's Automated Quotation System (Continuous Market) and on the foreign stock exchanges on which the shares of Banco Santander are listed (currently Lisbon, London, Milan, Buenos Aires, Mexico and, through ADSs, on the New York Stock Exchange, although it is expected that the shares will also be listed on the Sao Paulo Stock Exchange, through Brazilian Depositary Receipts (BDRs), on the date of the holding of the meeting) in the manner required by each of such stock exchanges.
One E. Complementary increase in share capital by such amount as may be determined pursuant to the terms of the resolution, by means of the issuance and placement into circulation of new ordinary shares having a par value of one-half (0.50) euro each, with a share premium to be determined by the board of directors, or the executive committee by delegation therefrom, pursuant to the provisions of section 297.1.a) of the Spanish Capital Corporations Law, no later than the date of implementation of the resolution. The new shares shall be fully subscribed and paid up by means of in-kind contributions consisting of Santander Brasil Shares. Express provision for the possibility of incomplete subscription.
Delegation of powers to the board of directors, which may in turn delegate such powers to the executive committee, to establish the terms and conditions of the increase as to all matters not provided for by the shareholders at the general shareholders' meeting, to take such actions as may be required for implementation hereof, to amend the text of sections 1 and 2 of Article 5 of the Bylaws to reflect the new amount of share capital, and to execute such documents as may be necessary to carry out the increase.
Application to the appropriate domestic and foreign authorities for admission to trading of the new shares on the Madrid, Barcelona, Valencia and Bilbao stock exchanges through Spain's Automated Quotation System (Continuous Market) and on the foreign stock exchanges on which the shares of Banco Santander are listed (currently Lisbon, London, Milan, Buenos Aires, Mexico and, through ADSs, on the New York Stock Exchange, although it is expected that the shares will also be listed on the Sao Paulo Stock Exchange, through Brazilian Depositary Receipts (BDRs), on the date of the holding of the meeting) in the manner required by each of such stock exchanges.
One F. Complementary increase in share capital by such amount as may be determined pursuant to the terms of the resolution, by means of the issuance and placement into circulation of new ordinary shares having a par value of one-half (0.50) euro each, with a share premium to be determined by the board of directors, or the executive committee by delegation therefrom, pursuant to the provisions of section 297.1.a) of the Spanish Capital Corporations Law, no later than the date of implementation of the resolution. The new shares shall be fully subscribed and paid up by means of in-kind contributions consisting of Santander Brasil Shares. Express provision for the possibility of incomplete subscription.
Delegation of powers to the board of directors, which may in turn delegate such powers to the executive committee, to establish the terms and conditions of the increase as to all matters not provided for by the shareholders at the general shareholders' meeting, to take such actions as may be required for implementation hereof, to amend the text of sections 1 and 2 of Article 5 of the Bylaws to reflect the new amount of share capital, and to execute such documents as may be necessary to carry out the increase.
Application to the appropriate domestic and foreign authorities for admission to trading of the new shares on the Madrid, Barcelona, Valencia and Bilbao stock exchanges through Spain's Automated Quotation System (Continuous Market) and on the foreign stock exchanges on which the shares of Banco Santander are listed (currently Lisbon, London, Milan, Buenos Aires, Mexico and, through ADSs, on the New York Stock Exchange, although it is expected that the shares will also be listed on the Sao Paulo Stock Exchange, through Brazilian Depositary Receipts (BDRs), on the date of the holding of the meeting) in the manner required by each of such stock exchanges.
Two.- Approval, under items Two A and Two B, of the extension to certain employees and officers of Grupo Santander that perform or have performed their duties at Banco Santander (Brasil) S.A. and other companies of its consolidated subgroup of successive cycles of the Deferred and Conditional Variable Remuneration Plan approved by the Bank in 2011, 2012, 2013 and 2014, as well as the first cycle of the Performance Shares Plan approved by the Bank in 2014; under item Two C, of the application of a plan directed towards employees of Banco Santander (Brasil) S.A. and of other companies of its consolidated subgroup; and, under item Two D, of the application of plans by means of options on shares of the Bank directed toward employees of Banco Santander (Brasil) S.A. and of other companies of its consolidated subgroup.
Two A. Extension of various cycles of the Deferred and Conditional Variable Remuneration Plan to certain employees and officers of Grupo Santander that perform or have performed their duties at Banco Santander (Brasil) S.A. and other companies of its consolidated subgroup and resulting modification of the corresponding resolutions of the shareholders at the general shareholders' meetings of the Bank held on 17 June 2011, 30 March 2012, 22 March 2013 and 28 March 2014.
Two B. Extension of the first cycle of the Performance Shares Plan to certain employees and officers of Grupo Santander that perform or have performed their duties at Banco Santander (Brasil) S.A. and other companies of its consolidated subgroup and resulting modification of the corresponding resolution of the shareholders at the general shareholders' meeting of the Bank held on 28 March 2014.
Two C. Plan for employees and officers of Grupo Santander that perform or have performed their duties at Banco Santander (Brasil) S.A. and other companies of its consolidated subgroup by means of the delivery of shares of the Bank linked to performance.
Two D. Plans for employees and officers of Grupo Santander that perform or have performed their duties at Banco Santander (Brasil) S.A. and other companies of its consolidated subgroup by means of options on shares of the Bank linked to performance.
Three.- Authorisation to the board of directors for the interpretation, correction, supplementation, implementation and development of the resolutions adopted by the shareholders at the meeting, as well as to delegate the powers it receives from the shareholders at the meeting, and grant of powers to convert such resolutions into a public instrument.
During the meeting, the directors will report on changes to the Regulations of the board of directors approved since the last general shareholders' meeting, as well as on the issue of newly-issued preferred securities (participaciones preferentes) contingently convertible into ordinary shares of Banco Santander in the nominal amount of 1,500,000,000 United States dollars, with the exclusion of the pre-emptive rights of the Bank's shareholders, approved on 7 May 2014 by the executive committee of the Bank pursuant to the delegation to issue debentures, bonds, preferred securities (participaciones preferentes) and other equity securities or debt instruments of a similar nature (including warrants) that are convertible and/or exchangeable into shares of the Company, which delegation was provided under resolution Eleven A) II) of the ordinary general shareholders' meeting of 28 March 2014.
PARTICIPATION OF A NOTARY AT THE MEETING
The board of directors has resolved to request the presence of a Notary Public to record the minutes of the Meeting pursuant to section 203 of the Spanish Capital Corporations Law, read together with section 101 of the Regulations of the Commercial Registry (Reglamento del Registro Mercantil) and article 4.2 of the Rules and Regulations for the General Shareholders' Meeting.
RIGHT TO ATTEND THE MEETING
Every holder of any number of the Bank's shares registered in the shareholder's name five days prior to the date on which the meeting is to be held and who meets the other requirements established in the Bylaws has the right to attend this meeting. Such right to attend may be delegated pursuant to the provisions governing this matter under sections 184 and 522 et seq. of the Spanish Capital Corporations Law, the Bylaws and the Rules and Regulations for the Shareholders' Meeting.
PROXY-GRANTING, DISTANCE VOTING AND REMOTE ATTENDANCE AT THE MEETING
Shareholders having the right to attend may grant a proxy and exercise their voting rights through remote means of communication and prior to the holding of the meeting, pursuant to the provisions of articles 27 and 34 of the Bylaws and articles 8 and 20 of the Rules and Regulations for the General Shareholders' Meeting and on the terms and conditions described in the "General Shareholders' Meeting" section of the Bank's corporate website (www.santander.com). The mechanisms for the exercise of voting rights and proxy-granting prior to the meeting by electronic means will cease operation on the Bank's corporate website (www.santander.com), at the Bank's Internet address http://jga.bsan.mobi, and on the "Santander Shareholders" application for compatible mobile devices at 6:00 p.m. on 13 September 2014.
In addition, as permitted by the provisions of section 6 of article 34 of the Bylaws and the Additional Provision of the Rules and Regulations for the General Shareholders' Meeting, the board has resolved that attendance at the meeting is also possible through the use of data transmission means that allow for real-time connection with the premises where the meeting is held ("remote attendance"). The means to remotely attend the meeting will be available on the Bank's corporate website (www.santander.com) at 8:00 a.m. on 14 September 2014 (first call) and, if applicable, at 8:00 a.m. on the following day, 15 September 2014 (second call); shareholders (or their representatives) wishing to attend remotely, whether on first or second call, must register no later than 9:00 a.m. on the relevant day. For those persons who attend the meeting remotely, the mechanisms for remote attendance will cease operation at the end of the general shareholders' meeting or, if applicable, upon determination that the quorum required to hold the meeting is not present.
In reliance on the aforementioned provisions, the board of directors has developed the following rules applicable to proxy-granting and distance voting prior to the meeting and to remote attendance:
A) PROXY-GRANTING AND DISTANCE VOTING PRIOR TO THE MEETING
1. Proxy-granting by remote means of communication
Means whereby a proxy may be granted
The remote means of communication that are valid to grant such proxy representation are the following:
(i) Electronic means:
In order to grant a proxy by means of electronic communication with the Company, the shareholders of the Bank must do so through the Bank's website (www.santander.com) or, if mobile devices are used, through the Bank's Internet address http://jga.bsan.mobi. Shareholders with a mobile device compatible with Android or Apple iOS operating systems may also use the "Santander Shareholders" application, which they must have previously downloaded from Google Play or App Store, respectively.
The mechanisms to grant a proxy by electronic means must be such as properly guarantees the security and the identity of the person granting the proxy. Therefore, shareholders wishing to use these proxy-granting mechanisms must have previously signed one of the following agreements with the Bank, giving them a set of passwords to access the distance voting and proxy-granting software applications and, by means thereof, an electronic signature:
(a) Multi-Channel Agreement: shareholders who are individuals and who have already entered into a Multi-Channel Agreement with the Bank may make use thereof, using the codes and electronic signature already available to them by virtue of such agreement.
(b) Agreement for Access to Electronic Voting and Proxy-Granting and Remote Attendance: shareholders who are individuals and have not entered into a Multi-Channel Agreement and shareholders that are legal entities (even if they have entered into a Multi-Channel Agreement) must execute, for the sole purpose of using the electronic voting and proxy-granting mechanisms, and without any charge by the Bank, an Agreement for Access to Electronic Voting and Proxy-Granting and Remote Access ("Agreement for access to and use of the area for voting and proxy-granting by electronic means and attendance at the meeting through remote means of communication").
The information and requirements for executing either of these agreements can be viewed on the Bank's corporate website (www.santander.com) from the date of publication of the notice of the call to meeting. Once a shareholder has signed either of the aforementioned agreements and the shareholder has the corresponding set of passwords and electronic signature, such shareholder may, through the "General Shareholders' Meeting" section of the Bank's corporate website (www.santander.com) or, if using mobile devices, through the Bank's Internet address http://jga.bsan.mobi or through the "Santander Shareholders" application (for mobile devices compatible with the Android or Apple iOS operating systems) grant a proxy to another person to represent the shareholder at the Meeting, all on the terms and conditions described in each case.
Shareholders who grant a proxy by electronic means undertake to notify the appointed representative of the proxy granted. Where a proxy is granted to a director and/or the general secretary of the Bank or a remote attendee at the meeting, such notice shall be deemed given upon receipt by the Bank of such electronic proxy.
Electronic proxies must be accepted by the proxy-holder, and may not be used without such acceptance. For such purpose, all electronic proxies granted to persons other than the directors and/or the general secretary and/or a remote attendee at the meeting must be printed, signed and produced, together with an identifying document, by the appointed proxy-holder to the staff in charge of the shareholders' register on the date and at the place of the meeting, beginning one hour prior to the time established for commencement of the Meeting. In the case of electronic proxies sent through the Bank and granted to persons attending the meeting from a distance, the Bank's software application will show such remote attendees the proxies received in order for them to accept such proxies, if they are willing to do so. The person to whom voting powers are delegated may only exercise such powers by attending the meeting in person (physically or from a distance).
(ii) Hand-delivery or postal correspondence
In order to grant a proxy by hand-delivery or postal correspondence, shareholders must complete and sign the "Proxy" section of the printed attendance, proxy and voting card issued by the Bank. Such proxies must be accepted by the proxy-holder, without which acceptance they may not be used. For such purpose, the proxy-holder may sign in the appropriate space on the attendance and proxy card itself. The person to whom voting powers are delegated may only exercise such powers by attending the meeting in person, for which purpose, if he/she physically attends the meeting, he/she must produce an identifying document when entering the premises where the meeting is held. In the case of proxies granted by hand-delivery or postal correspondence to persons who attend the meeting remotely, and provided that such proxies have been sent through the Bank, the Bank's software application will show such remote attendees the proxies received in order for them to accept said proxies, if they are willing to do so.
The duly completed and signed card must be delivered to any Branch of the Bank or sent by postal correspondence to Registro de Accionistas, Apartado número 683 F.D. 28080 Madrid.
In addition, as is customary and pursuant to the provisions of the Rules and Regulations for the General Shareholders' Meeting, the duly completed and signed proxy card may also be submitted, together with an identifying document, by the appointed proxy-holder who physically attends the meeting to the staff in charge of the shareholders' register on the date and at the place where the general shareholders' meeting is to be held, beginning one hour prior to the time established for commencement thereof.
2. Voting prior to the meeting by remote means of communication
Means for casting a vote from a distance
The remote means of communication which are valid for purposes of casting a vote from a distance are the following:
(i) Electronic means:
In order to cast a vote from a distance by means of electronic communication with the Company, the shareholders of the Bank must do so through the Bank's website (www.santander.com) or, if mobile devices are used, through the Bank's Internet address http://jga.bsan.mobi. Shareholders with a mobile device compatible with Android or Apple iOS operating systems may also use the "Santander Shareholders" application, which they must have previously downloaded from Google Play or App Store, respectively.
The mechanisms to cast votes from a distance by electronic means must be such as properly guarantees security and the identity of the person casting the vote. To such end, shareholders who wish to use these voting mechanisms must have previously signed one of the agreements specified in section 1 (i) above.
Once a shareholder has signed either of the aforementioned agreements and the shareholder has the corresponding set of passwords and electronic signature, such shareholder may, through the "General Shareholders' Meeting" section of the Bank's corporate website (www.santander.com) or, if using mobile devices, through the Bank's Internet address http://jga.bsan.mobi or through the "Santander Shareholders" application (for mobile devices compatible with the Android or Apple iOS operating systems), cast a vote from a distance regarding the items on the agenda for the general meeting, all on the terms and conditions described in each case.
(ii) Hand-delivery or postal correspondence
In order to cast a vote from a distance by hand-delivery or postal correspondence, shareholders must complete and sign the "Distance Voting" section of the printed attendance, proxy and voting card issued by the Bank. The duly completed and signed card must be delivered to any Branch of the Bank or sent by postal correspondence to Registro de Accionistas, Apartado número 683 F.D. 28080 Madrid.
3. Basic rules on voting and proxy-granting prior to the meeting and attendance in person (physically or from a distance)
3.1 Deadline for receipt by the Company of proxies granted and votes cast from a distance prior to the meeting.
3.1.1 Proxies and distance votes sent by hand-delivery or postal correspondence
In order to be valid, and pursuant to the provisions of the Bylaws, both proxies granted from a distance and votes cast from a distance sent by hand-delivery or postal correspondence must be received by the Company before midnight of the third day prior to the date on which the meeting is to be held on first call, i.e. prior to midnight on 11 September 2014.
As provided in the Rules and Regulations for the General Shareholders' Meeting, after the expiration of the above-mentioned deadline, there shall only be admitted such proxies as are granted in writing and submitted by the proxy-holder who physically attends the meeting to the staff in charge of the shareholders' register, on the date and at the place where the meeting is to be held, and beginning one hour prior to the time established for commencement thereof.
3.1.2 Proxies and distance votes sent by electronic means
Pursuant to the provisions of the Bylaws and of the Rules and Regulations for the General Shareholders' Meeting, on the occasion of this general meeting, the board of directors has resolved to reduce the minimum advance period established to receive proxies and votes from a distance sent by electronic means, the deadline now being set at 6:00 p.m. on the day prior to the date on which the meeting is to be held on first call. Therefore, in order to be valid, both proxies granted from a distance and distance votes cast by electronic means must be received by the Company before 6:00 p.m. on the day prior to the date on which the meeting is to be held on first call, i.e. prior to 6:00 p.m. on 13 September 2014. The mechanisms for the exercise of voting rights and proxy-granting prior to the meeting by electronic means will cease operation on the Bank's corporate website (www.santander.com), at the Bank's Internet address http://jga.bsan.mobi, and on the "Santander Shareholders" application for compatible mobile devices at 6:00 p.m. on 13 September 2014.
As provided in the Rules and Regulations for the General Shareholders' Meeting, after the expiration of the above-mentioned deadline, there shall only be admitted such proxies as are granted in writing and submitted by the proxy-holder who physically attends the meeting to the staff in charge of the shareholders' register, on the date and at the place where the meeting is to be held, and beginning one hour prior to the time established for commencement thereof.
3.2 Rules of priority among proxies, distance voting and attendance in person (physically or from a distance)
3.2.1 Priorities among proxies, distance voting and attendance in person
(i) Attendance at the meeting in person (whether physically or from a distance) by a shareholder who has previously granted a proxy or voted from a distance, irrespective of the means used to cast such vote, shall render said proxy or vote ineffective. Personal physical attendance will invalidate remote personal attendance.
(ii) Likewise, the vote, irrespective of the means used to cast it, shall render ineffective any electronic or written proxy, whether granted previously, in which case it shall be deemed revoked, or subsequently, in which case it shall be deemed not to have been granted.
3.2.2 Priorities based upon the means used to grant the proxy or cast the vote
(i) In the event that a shareholder validly grants a proxy, electronically, on the one hand, and by means of a printed card, on the other, the latter shall prevail over the former, regardless of the respective dates thereof.
(ii) Likewise, a vote validly cast under a handwritten signature on the printed card shall render void the vote cast electronically, whether previously or subsequently.
3.3 Modification of the vote cast from a distance
Once cast, a distance vote may not be modified, except in the event of attendance at the meeting in person (whether physically or from a distance) by the shareholder who cast such vote or, in the case of electronic voting, also by a subsequent vote cast within the established deadline, by means of the attendance, proxy and voting card (hand-delivery or postal correspondence).
3.4 Other matters
In the event that electronic means are used, only one electronic session shall be allowed for each type of operation (advance proxy-granting and voting, and remote attendance).
Both the proxy granted and the vote cast from a distance shall be rendered ineffective by the disposition of shares of which the Company is aware.
Either or any of the joint holders of deposited shares may vote, grant a proxy or attend the meeting, and the rules of priority set forth in sub-section 3.2 hereof shall apply. For purposes of the provisions of section 126 of the Spanish Capital Corporations Law, it is presumed that the joint holder who carries out an act (proxy-granting, voting, or attending physically or from a distance) at any time has been appointed by the other joint holders to exercise the rights accruing to a shareholder.
Shareholders that are legal entities or do not reside in Spain must call the Shareholders' Helpline in order to adapt, with proper safeguards, the distance voting and proxy-granting mechanisms to their particular situation.
Shareholders shall be solely responsible for safeguarding the passwords for accessing and using the electronic proxy-granting and voting service. If the shareholder is a legal entity, it shall give notice of any modification or revocation of the powers vested in its representative, and the Bank therefore disclaims any and all liability until such notice is given.
4. Technical incidents
The Bank reserves the right to modify, suspend, cancel or restrict the mechanisms for electronic voting and proxy-granting prior to the meeting, when so required for technical or security reasons.
The Bank shall not be liable for any damage that shareholders may sustain as a result of failures, overloads, downtime, failed connections or any other events of the same or a similar nature that are beyond the Bank's control and prevent the use of the mechanisms for electronic voting and proxy-granting prior to the meeting.
B) REMOTE ATTENDANCE AT THE MEETING
In order to ensure the identity of the attendees, the proper exercise of their rights, real-time interactivity, and the proper progress of the meeting, shareholders (or their representatives) who wish to use the remote attendance mechanisms must have previously entered into one of the following agreements with the Bank, whereby they can obtain a set of passwords in order to access the remote attendance software application and, by means thereof, an electronic signature:
(a) Multi-Channel Agreement: individuals who have already entered into a Multi-Channel Agreement with the Bank may rely on it and use, for purposes of remote attendance, the passwords and electronic signature already available to them under such agreement.
(b) Agreement for Access to Electronic Voting and Proxy-Granting and Remote Attendance at the Meeting: individuals who have not entered into a Multi-Channel Agreement and legal entities (even if they have entered into a Multi-Channel Agreement) must execute, for the sole purpose of remote attendance at the meeting and of casting a vote thereat and without any charge by the Bank, an Agreement for Access to Electronic Voting and Proxy-Granting and Remote Attendance at the Meeting ("Agreement for access to and use of the area for voting and proxy-granting by electronic means and attendance at the meeting through remote means of communication").
The information and requirements for executing either of these agreements can be viewed on the Bank's corporate website (www.santander.com) from the date of publication of the notice of the call to meeting. Once a shareholder (or his/her representative) has executed either of the aforementioned agreements and has his/her corresponding set of passwords and electronic signature, such shareholder may, through the "General Shareholders' Meeting" section on the Bank's corporate website (www.santander.com), attend and vote at the meeting by remote means of communication in real time.
Remote attendance at the meeting shall be subject to the following basic rules, and all matters not expressly contemplated herein shall be governed by the provisions posted on the Bank's corporate website and by those set forth in the Law, the Bylaws and the Rules and Regulations for the General Shareholders' Meeting:
(i) Logging-on, registration and attendance: Pursuant to the provisions of the Rules and Regulations for the General Shareholders' Meeting, and in order to permit the appropriate management of remote attendance systems, shareholders (or their representatives) who wish to attend the meeting and vote by remote means of communication shall register by logging on between 8:00 a.m. and 9:00 a.m. on the date of the meeting. No attendee registration shall be admitted outside of this time period.
In the event that the meeting is held on second call, attendees who have registered for the meeting on first call will be required to carry out the registration process again in order to be able to attend.
If persons attending from a distance have been granted proxies, and provided that such proxies have been received by the Company within the deadlines for admission thereof, the software application will show them such proxies so that they accept them, if they are willing to do so.
Attendees who wish to state before the Notary that they expressly leave the meeting must do so by using the form included for such purpose in the remote attendance software application. Once they have notified the Notary of their express intention of leaving the meeting, all actions taken by such shareholders thereafter shall be deemed not taken. In any event, by means of a connection to the software application, the Notary will be aware of the actions taken by the persons who attend the meeting from a distance, including the votes that may be cast by them.
(ii) Participation: Shareholders (or their representatives) who, in the exercise of their rights, intend to participate in the meeting and, where applicable, request information or clarifications in connection with the items on the agenda, request clarifications regarding information accessible to the public that has been provided by the Company to the National Securities Market Commission since the holding of the last general meeting and regarding the auditor's report or make proposals shall express their intent to do so at the time of registration. Following such expression of intent, and exclusively by means of the participation form prepared for such purpose, persons attending remotely may state in writing and send the contents of their participation or their question or proposal from the time the Chairman declares a valid quorum to have been established for the meeting until the participation period ends. Persons attending from a distance who wish their participation to be recorded in the minutes of the meeting must expressly state such desire in the text in which the contents of their participation are set forth.
As the participation of each person attending from a distance is received, such participation will be accessible to the attendees who are physically present at the place of the meeting. In turn, remote attendees shall be able to access each such participation by logging onto the website indicated in the software application.
Requests for information or clarification made by remote attendees will be answered in writing within seven days of the meeting, pursuant to the provisions of the Spanish Capital Corporations Law.
(iii) Voting: Votes on the proposals relating to the items on the agenda may be cast as from the moment when the Chairman declares the meeting to be validly convened and provided always that the attendee has registered by following the procedure described in sub-section (i) above; in the event of alternative proposals, the provisions of the second paragraph of article 21.1 of the Rules and Regulations for the General Shareholders' Meeting shall apply. As regards proposed resolutions on matters that, as prescribed by law, need not be specified on the agenda, remote attendees may cast their vote as from the moment when the secretary for the general meeting reads out such proposals for a vote to be taken thereon. In all events, the remote voting process with respect to all the proposals submitted to the shareholders acting at the meeting will come to an end when, following the reading of the summaries of the proposed resolutions by the secretary for the meeting, the vote commences on the proposed resolutions at the premises where the meeting is held.
The vote on the proposed resolutions shall be governed by the procedure contemplated in the Bylaws and in the Rules and Regulations for the General Shareholders' Meeting.
(iv) Other matters: Legal entities and those persons that do not reside in Spain must call the Shareholders' Helpline in order to adapt, with proper safeguards, the mechanisms for attending the meeting by remote means of communication in real time.
In the event that more than one of the joint holders of deposited securities are in attendance, the joint holder who is the first to register (physically or from a distance) shall be deemed an attendee, and therefore, any subsequent access by the other joint holders shall be denied. In connection with the foregoing, and for purposes of the provisions of section 126 of the Spanish Capital Corporations Law, the joint holder who registers first (physically or from a distance) shall be deemed to have been appointed by the other joint holders to exercise the rights accruing to a shareholder.
Shareholders (or their representatives) shall be solely responsible for safeguarding the passwords for accessing and using the remote attendance service. If the shareholder is a legal entity, it shall give notice of any modification or revocation of the powers vested in its representative, and the Bank therefore disclaims any and all liability until such notice is given.
The Bank reserves the right to modify, suspend, cancel or restrict the mechanisms for remote attendance at the meeting when so required for technical or security reasons. The Bank shall not be liable for any damage that shareholders may sustain as a result of failures, overloads, downtime, failed connections or any other events of the same or a similar nature that are beyond the Bank's control and prevent the use of the mechanisms for remote attendance at the meeting.
For further information on proxy-granting and distance voting and remote attendance at the meeting, shareholders may write to the e-mail address junta.accionistas@santander.com, call the Shareholders' Line +34 91 276 92 90 or go to the Office of the Shareholder, Ciudad Grupo Santander, Avda. Cantabria, s/n, 28660 - Boadilla del Monte (Madrid). Shareholders can also consult the Bank's corporate website (www.santander.com).
RIGHT TO RECEIVE INFORMATION AND PROPOSALS
In addition to the provisions of section 197 of the Spanish Capital Corporations Law, starting on the date of the publication of the announcement of the call to meeting, shareholders may examine at the registered address (Paseo de Pereda 9 al 12, 39004 Santander, Cantabria) the full text of the proposed resolutions, and the mandatory report prepared by the directors with respect to items One A, One B, One C, One D, One E and One F of the agenda, and request that such documents be delivered or sent to them free of charge. Similarly, shareholders may also obtain at the registered office the full text of the other proposed resolutions submitted to the shareholders at the general meeting.
Furthermore, as regards the issue of newly-issued preferred securities (participaciones preferentes) contingently convertible into ordinary shares of Banco Santander in the nominal amount of 1,500,000,000 United States dollars, with the exclusion of the pre-emptive rights of the Bank's shareholders, approved by the executive committee of the Bank pursuant to the delegation provided under resolution Eleven A) II) of the general shareholders' meeting of 28 March 2014, the full text of the reports of directors and of the separate auditor of the Bank appointed by the Commercial Registry issued in accordance with the provisions of sections 414.2 and 417.2 of the Spanish Capital Corporations Law, read together with section 511.3 of such law, shall be made available to the shareholders for review, delivery or sending thereof without charge.
Pursuant to the provisions of the Spanish Capital Corporations Law and the Rules and Regulations for the General Shareholders' Meeting, from the publication of the call to the meeting and until the seventh day, inclusive, prior to the holding thereof on first call, shareholders may deliver written requests for information or clarifications, or ask written questions that they consider relevant about the items on the agenda for the meeting. In addition, in the same manner and within the same period, shareholders may deliver written requests for clarifications concerning information accessible to the public that the Company has provided to the National Securities Market Commission (Comisión Nacional del Mercado de Valores) since the last general meeting was held and concerning the report of the Company's auditor.
Pursuant to the provisions of the Rules and Regulations for the General Shareholders' Meeting, such requests as are admissible in the exercise of the shareholders' right to receive information may be made by e-mail to junta.accionistas@santander.com, in which case, in order to provide the system with adequate guarantees of authenticity and of identity of the shareholder exercising the right to receive information, such shareholder shall set forth in such e-mail his/her first name and surname (or corporate name), Tax Identification Number, and the number of shares held by such shareholder. As provided in section 539 of the Spanish Capital Corporations Law, and unless otherwise indicated by the shareholder, the requests for information received at the aforementioned e-mail address may be dealt with by the Bank by means of an answer sent to the e-mail address of the shareholder-sender. The request may also be made by delivering or mailing the written request, bearing the handwritten signature of the requesting party, to the registered office of the Company.
Shareholders holding at least five per cent of the share capital may, by certified notice to be received at the registered office within five days of the publication of this notice of the call to meeting, submit duly grounded proposed resolutions concerning the matters included on the agenda, all as provided in section 519.2 of the Spanish Capital Corporations Law. The foregoing is without prejudice to the right of any shareholder, during the course of the general meeting, to make alternative proposals or proposals concerning items that need not be included on the agenda pursuant to the provisions of the Spanish Capital Corporations Law.
DOCUMENTS AVAILABLE ON THE WEBSITE
Apart from the above-mentioned right to receive information, the following documents and information, amongst others, shall be available for viewing on the Bank's corporate website (www.santander.com) as from the date of publication of the announcement of the call to meeting:
(i) This notice of call to meeting.
(ii) The total number of shares and voting rights on the date of the call to meeting.
(iii) The full text of the proposed resolutions regarding all of the items on the agenda for the general shareholders' meeting, as well as the corresponding director's reports in connection with items OneA, One B, One C, One D, One E, One F and Two A, Two B, Two C and Two D.
(iv) The rules applicable to proxy-granting and voting by remote means of communication and to remote attendance at the meeting and the documentation necessary for such purpose.
(v) The rules of operation of the Electronic Shareholders' Forum.
(vi) The current Bylaws.
(vii) The current Rules and Regulations for the General Shareholders' Meeting.
(viii) The current Rules and Regulations of the Board of Directors.
(ix) The full text of the reports of the directors and of the separate auditor of Banco Santander appointed by the Commercial Registry as regards the issue of newly-issued preferred securities (participaciones preferentes) contingently convertible into ordinary shares of Banco Santander in the nominal amount of 1,500,000,000 United States dollars, with the exclusion of the pre-emptive rights of the Bank's shareholders, approved by the executive committee of the Bank on 7 May 2014 pursuant to the delegation provided under resolution Eleven A) II) of the general shareholders' meeting of 28 March 2014.
SPECIAL INFORMATION TOOLS
Pursuant to the provisions of section 539.2 of the Spanish Capital Corporations Law, the Bank has enabled on its corporate website (www.santander.com) an Electronic Shareholders' Forum (hereinafter, the "Forum"), which may be accessed, with all proper safeguards, by shareholders who are individuals as well as by voluntary associations of shareholders that may be created pursuant to the provisions of section 539.4 of the Spanish Capital Corporations Law.
Proposals intended to be presented regarding items on the agenda announced in the call to meeting, requests for adherence to such proposals, initiatives to reach the percentage required to exercise a minority right as contemplated by Law, and voluntary proxy offers or solicitations may be published in the Forum.
The Forum does not constitute a device for electronic conversation among the shareholders or a meeting point for virtual debate, nor may the Forum be a channel of communication between the Company and its shareholders. The Forum is made available in order to facilitate communication among the Bank's shareholders on occasion of the call to and until the holding of the general meeting.
To access the Forum, shareholders must have previously signed one of the following agreements with the Bank, which will allow them to have a set of access codes for the Forum and, by means thereof, an electronic signature:
(a) Multi-Channel Agreement: shareholders who are individuals and who have already entered into a Multi-Channel Agreement with the Bank may make use thereof, using the codes and electronic signature already available to them by virtue of such agreement.
(b) Agreement for Access to Electronic Voting and Proxy-Granting and Remote Attendance: shareholders who are individuals and have not entered into a Multi-Channel Agreement and shareholders that are legal entities (even if they have entered into a Multi-Channel Agreement) must execute, for the sole purpose of accessing and using the Forum and, if applicable, using the electronic voting and proxy-granting mechanisms, and without any charge by the Bank, an Agreement for Access to Electronic Voting and Proxy-Granting and Remote Access ("Agreement for access to and use of the area for voting and proxy-granting by electronic means and attendance at the meeting through remote means of communication").
Legal entities that are not resident in Spain must call the Shareholders' Helpline to adapt, with proper safeguards, the mechanisms for participating in the Electronic Shareholders' Forum. The information and requirements for executing either of these documents can be viewed on the Bank's corporate website (www.santander.com) from the date of publication of the notice of the call to meeting. Access to the Forum and the terms and conditions for the use and operation thereof shall be governed by the provisions of this notice of call to meeting and by the rules of operation of the Electronic Shareholders' Forum, the text of which can be viewed on the aforementioned website.
DATA PROTECTION
The personal data set forth herein, those that the shareholders provide to the Company in exercising their attendance, proxy-granting and voting rights at the general meeting or that are provided by the banks or brokerage firms or companies with whom shareholders have deposited their shares, through the entity legally entrusted with the book-entry registries, Sociedad de Gestión de los Sistemas de Registro, Compensación y Liquidación de Valores, S.A. Unipersonal (IBERCLEAR), will be processed (and included in files for which the Company is responsible) in order to manage and control both the shareholding relationship and the call to, holding and broadcasting of the general meeting, as well as to comply with its statutory obligations. Such data will be made available to the notary who is to attend the general meeting, and may be made available to third parties in the exercise of their right to receive information laid down in the law or be made accessible to the public to the extent that they are included in the information available on the corporate website (www.santander.com) or are stated at the general meeting, the proceedings of which may be recorded by audiovisual means and broadcast on such website. By attending the general meeting (in person or from a distance), attendees consent to such recording and broadcast. The owners of such personal data may send their requests for access, correction, cancellation and challenge, in accordance with the provisions of Organic Law 15/1999, of 13 December, on the Protection of Personal Data, by written notice addressed to the registered office of the Company at Paseo de Pereda, números 9 al 12, Secretaría General, 39004 - Santander.
Santander, 4 August 2014
The General Secretary,
Ignacio Benjumea
This document is a translation of an original text in Spanish. In case of any discrepancy between both texts, the Spanish version will prevail.
This information is provided by RNS
Latest directors dealings
- 24 minutes ago Prudential
- 35 minutes ago Vanquis Banking Group 20
- 3 hours ago Frasers Group
- 3 hours ago Cavendish Financial
- 3 hours ago Diaceutics