03/31/95
APPROVAL OF INTERNAL REGULATIONS GOVERNING THE REPSOL BOARD OF DIRECTORS
 

The Repsol Board of Directors has approved new Internal Regulations to govern its organization and working within the framework of powers and responsibilities granted to the Board Members by the Law related to Joint Stock Companies ("Ley de Sociedades An�nimas"). New ideas for the running of companies have been included in these new Regulations, some of which inspired the "Cadbury Report" in the United Kingdom, after adjustment to the context of Spain and in compliance with the Company By-Laws.

This Regime also affects the rights and obligations of Board Members and the duties and attributes of the Delegate Commission to the Board of Directors. This Commission is made up of the Chairman and Vice-president of Repsol and the following Board Members: Messrs. Miguel A. Canalejo Larrainzar, Jaime Carvajal Urquijo, Emilio de Ybarra y Churruca, Juan Molins Amat and Roberto Velasco Barroetabe�a.

When it comes to appointing new Members, the choice will be conditioned by the fact that Top Management or executive officials in companies belonging to the Repsol Group should not surpass a third of the total number of Board Members.

Under the new Regulations, Auditing, Compensations and Top Management Development Committees have been created.

The Auditing Committee will be responsible for supervising the contracting of External Auditors and relationships with them, controlling work on the annual audit and the internal system of financial control. It will also make proposals to the Board on matters of auditing, whenever it deems convenient. Internal Board Members may not form part of this Committee. Its Chairman is Mr. Jaime Carvajal y Urquijo and its Members are: Messrs. Emilio de Ybarra y Churruca and Roberto Velasco Barroetabe�a. These may be aided in their labours by the company's Director of Finance and the Internal Auditing Service.

The Compensations and Top Management Development Committee will establish the method of retribution for Board Members and the Top Management of the company, having as its main task that of guaranteeing that the management team is suitably composed to run the company successfully . In order to ensure that the Board of Directors always has the best structure possible for the good of the company, this Committee will also propose the criteria governing the most relevant aspects of its composition (renewal of By-Laws, new Members, number of Board Members, etc.). Its Chairman is Mr. Miguel Angel Canalejo Larrainzar and its Members: Messrs. Oscar Fanjul and Juan Molins Amat.