SECURITIES AND EXCHANGE COMMISSION

Washington, D.C.  20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE

SECURITIES EXCHANGE ACT OF 1934

November 20, 2018

Commission File Number: 001-32827

MACRO BANK INC.

(Translation of registrant’s name into English)

Avenida Eduardo Madero 1182

Ciudad Autónoma de Buenos Aires C1106 ACY

Tel: 54 11 5222 6500

(Address of registrant’s principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F x Form 40-F ¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):

Yes ¨ No x

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):

Yes ¨ No x

BANCO MACRO S.A.

Interim consolidated financial statements as of June 30, 2018 together with the Reports on review of consolidated interim financial statements.

CONTENT

·	Cover Sheet
·	Condensed consolidated interim balance sheet	1
·	Condensed consolidated interim statement of income	4
·	Condensed consolidated interim statement of other comprehensive income	6
·	Condensed consolidated interim statement of changes in shareholders’ equity	7
·	Condensed consolidated interim statement of cash flows	8
·	Notes to the condensed consolidated interim financial statements	10
·	Consolidated Exhibits	45
·	Condensed separate interim balance sheet	66
·	Condensed separate interim statement of income	68
·	Condensed separate interim statement of other comprehensive income	70
·	Condensed separate interim statement of changes in shareholders’ equity	71
·	Condensed separate interim statement of cash flows	72
·	Notes to the condensed separate interim financial statements	74
·	Separate Exhibits	93
·	Review report on condensed consolidated interim –period financial statements	1
·	Review report on condensed separate interim – period financial statements	1

CONDENSED CONSOLIDATED INTERIM

FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

CORPORATE NAME: Banco Macro SA

REGISTERED OFFICE: Sarmiento 447 – Autonomous City of Buenos Aires

CORPORATE PURPOSE AND MAIN ACTIVITY: Commercial Bank

CENTRAL BANK OF ARGENTINA: Authorized as “Argentine private bank” under No. 285.

REGISTRATION WITH THE PUBLIC REGISTRY OF COMMERCE: Under No. 1154 - By-laws Book No. 2, Folio 75 dated March 8, 1967

BY-LAWS EXPIRY DATE: March 8, 2066

REGISTRATION WITH THE IGJ (SUPERINTENDENCY OF CORPORATIONS): Under No. 9777 – Corporations Book No. 119 Volume A of Sociedades Anónimas, dated October 8, 1996.

PERSONAL TAX IDENTIFICATION NUMBER: 30-50001008-4

REGISTRATION DATES OF AMENDMENTS TO BY-LAWS:

August 18, 1972, August 10, 1973, July 15, 1975, May 30, 1985, September 3, 1992, May 10, 1993, November 8, 1995, October 8, 1996, March 23, 1999, September 6, 1999, June 10, 2003, December 17, 2003, September 14, 2005, February 8, 2006, July 11, 2006, July 14, 2009, November 14, 2012, August 2, 2014.

CONDENSED CONSOLIDATED INTERIM BALANCE SHEET

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

Items	Notes		06/30/2018		12/31/2017		12/31/2016
ASSETS
Cash and Deposits in Banks				50,309,607		35,561,574		35,986,159
Cash				6,588,011		6,761,426		4,871,152
Financial Entities and Correspondent Banks
Central Bank of Argentina				38,529,485		23,703,476		28,482,100
Other Local and Foreign Entities				5,151,805		3,781,451		2,631,916
Other				40,306		1,315,221		991
Debt Securities at fair value through profit or loss		33		1,339,702		1,086,028		332,481
Derivative Financial Instruments				42,981		8,228		9,721
Repo Transactions				156,158		1,419,808		19,124
Other financial assets				2,515,379		2,272,679		1,105,513
Loans and other financing				155,620,519		132,658,674		88,390,646
Non-financial Public Sector				2,040,789		1,865,886		1,584,960
Other Financial Entities				3,263,286		3,239,511		1,713,170
Non-financial Private Sector and Foreign Residents				150,316,444		127,553,277		85,092,516
Other Debt Securities		33		43,162,644		34,703,765		20,395,499
Financial Assets delivered as guarantee		23		7,477,082		7,638,352		3,690,694
Investments in Equity Instruments		33		50,009		282,659		406,868
Investment in associates and joint arrangements		6		97,795		218,947		124,268
Property, Plant and Equipment				7,591,240		7,040,152		6,066,706
Intangible Assets				993,753		880,683		656,178
Deferred Income Tax Assets		12		46,821		27,762
Other Non-financial Assets				2,204,814		2,339,869		2,097,090
Non-current assets held for sale		8		126,645		199,890		89,648
TOTAL ASSETS				271,735,149		226,339,070		159,370,595

	Delfín Jorge Ezequiel Carballo Chairperson
1

CONDENSED CONSOLIDATED INTERIM BALANCE SHEET

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

Items	Notes		06/30/2018		12/31/2017		12/31/2016
LIABILITIES
Deposits				179,473,237		144,129,177		111,862,805
Non-financial Public Sector				19,404,909		12,890,701		9,468,055
Financial Sector				125,377		81,359		55,867
Non-financial Private Sector and Foreign Residents				159,942,951		131,157,117		102,338,883
Liabilities at fair value through profit or loss						6,450
Derivative Financial Instruments				34,151		23,107
Repo Transactions				1,829,233		2,688,093		1,095,634
Other Financial Liabilities				11,195,051		10,561,203		6,341,674
Financing received from the Central Bank of Argentina and other financial entities				1,828,974		1,174,111		260,458
Issued Corporate Bonds		28		8,125,300		4,712,216		1,684,636
Current Income Tax Liabilities				1,781,074		3,975,320		1,749,800
Subordinated Corporate Bonds		28		11,646,217		7,565,759		6,376,537
Provisions		9		784,574		694,919		335,007
Deferred Income Tax Liabilities		12		211,089		496,849		1,321,393
Other Non-financial Liabilities				4,436,136		3,576,001		3,164,158
TOTAL LIABILITIES				221,345,036		179,603,205		134,192,102

	Delfín Jorge Ezequiel Carballo Chairperson
2

CONDENSED CONSOLIDATED INTERIM BALANCE SHEET

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

Items	Notes	06/30/2018		12/31/2017		12/31/2016
SHAREHOLDERS’ EQUITY
Capital Stock			669,663		669,663		584,563
Non-capital contributions			12,428,461		12,428,461		399,499
Adjustments to Shareholders’ Equity			4,511		4,511		4,511
Earnings Reserved			26,403,844		20,363,386		14,384,820
Unappropiated Retained Earnings			3,475,669		2,799,085		2,990,757
Other Comprehensive Income			505,872		204,560		65,711
Net Income for the period / fiscal year			6,657,832		10,065,357		6,540,832
Net Shareholders’ Equity attributable to the owners of parent company (*)			50,145,852		46,535,023		24,970,693
Net Shareholders’ Equity  attributable to non-controlling interests			244,261		200,842		207,800
TOTAL SHAREHOLDERS’ EQUITY			50,390,113		46,735,865		25,178,493

(*) Total Shareholders´ Equity for Consolidated and Separate Interim Balance sheet

	Delfín Jorge Ezequiel Carballo Chairperson
3

CONDENSED CONSOLIDATED INTERIM STATEMENT OF INCOME

FOR THE THREE AND SIX MONTHS PERIODS ENDED JUNE 30, 2018 AND 2017

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

Items	Notes		Quarter ended 06/30/2018			Quarter ended 06/30/2017			Accumulated from beginning of year up to 06/30/2018			Accumulated from beginning of year up to 06/30/2017
Interest income				13,616,824			7,820,242			24,953,595			15,278,652
Interest expense				(4,524,040	)		(2,350,374	)		(7,919,719	)		(4,626,960	)
Net interest income				9,092,784			5,469,868			17,033,876			10,651,692
Commissions income		13		2,116,172			1,659,698			3,951,671			3,084,744
Commissions expense				(209,558	)		(165,347	)		(394,483	)		(319,791	)
Net commissions income				1,906,614			1,494,351			3,557,188			2,764,953
Subtotal (Net interest income + Net commissions income)				10,999,398			6,964,219			20,591,064			13,416,645
Net Income from measurement of financial instruments at fair value through profit or loss				(46,356	)		124,524			202,893			153,865
Loss from sold assets at amortized cost				75			31,977			(2,870	)		18,294
Difference in quoted prices of gold and foreign currency		14		(1,012,280	)		365,253			(861,688	)		547,321
Other operating income		15		1,375,713			1,068,177			2,679,744			2,131,560
Provision for loan losses				(571,331	)		(466,643	)		(1,138,143	)		(829,593	)
Net Operating Income				10,745,219			8,087,507			21,471,000			15,438,092
Employee benefits		16		(2,443,087	)		(1,861,052	)		(4,460,833	)		(3,581,467	)
Administrative expenses		17		(1,549,524	)		(1,100,488	)		(2,951,534	)		(2,113,951	)
Depreciation of Property, Plant and Equipment				(172,629	)		(131,664	)		(335,504	)		(261,710	)
Other Operating Expenses		18		(2,317,585	)		(1,587,840	)		(4,346,748	)		(2,996,648	)
Operating Income				4,262,394			3,406,463			9,376,381			6,484,316
Income from associates and joint arrangements				145,134			29,685			220,497			70,672
Income before tax on continuing operations				4,407,528			3,436,148			9,596,878			6,554,988
Income tax on continuing operations		12		(1,270,766	)		(1,192,878	)		(2,895,579	)		(2,289,106	)
Net Income from continuing operations				3,136,762			2,243,270			6,701,299			4,265,882
Net Income for the period				3,136,762			2,243,270			6,701,299			4,265,882
Net Income for the period attributable to the owners of the Parent Company				3,115,649			2,223,509			6,657,832			4,228,757
Net Income for the period attributable to non-controlling interests				21,113			19,761			43,467			37,125

	Delfín Jorge Ezequiel Carballo Chairperson
4

CONDENSED CONSOLIDATED INTERIM EARNINGS PER SHARE

FOR THE THREE AND SIX MONTHS PERIODS ENDED JUNE 30, 2018 AND 2017

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

Items	Quarter ended 06/30/2018		Quarter ended 06/30/2017		Accumulated from beginning of year up to 06/30/2018		Accumulated from beginning of year up to 06/30/2017
Net Profit attributable to Parent’s shareholders		3,115,649		2,223,509		6,657,832		4,228,757
PLUS: Potential diluted earnings per common share
Net Profit attributable to Parent’s shareholders adjusted as per diluted earnings		3,115,649		2,223,509		6,657,832		4,228,757
Weighted average of outstanding common shares for the period		669,663		594,321		669,663		589,469
PLUS: Weighted average of the number of additional common shares with dilution effects
Weighted average of outstanding common shares for the period adjusted as per dilution effect		669,663		594,321		669,663		589,469
Basic earnings per share		4.6526		3.7413		9.9421		7.1738

	Delfín Jorge Ezequiel Carballo Chairperson
5

CONDENSED CONSOLIDATED INTERIM STATEMENT OF OTHER COMPREHENSIVE INCOME

FOR THE THREE AND SIX MONTHS PERIODS ENDED JUNE 30, 2018 AND 2017

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

Items	Notes	Quarter ended 06/30/2018			Quarter ended 06/30/2017			Accumulated from beginning of year up to 06/30/2018			Accumulated from beginning of year up to 06/30/2017
Net Income for the period			3,136,762			2,243,270			6,701,299			4,265,882
Foreign currency translation differences in financial statements conversion			344,455			58,793			398,114			36,267
Foreign currency translation differences for the period			344,455			58,793			398,114			36,267
Profits or losses for financial instruments measured at fair value through other comprehensive income (FVOCI)  (IFRS 9(4.1.2)(a)			(51,654	)		(10,889	)		(96,824	)		(13,827	)
Income for the period from financial instruments at fair value through other comprehensive income (FVOCI)			(61,725	)		(16,733	)		(123,475	)		(15,119	)
Income tax			10,071			5,844			26,651			1,292
Total other comprehensive income that is subsequently reclassified to profit or loss			292,801			47,904			301,290			22,440
Total Other Comprehensive Income			292,801			47,904			301,290			22,440
Total Comprehensive Income for the period			3,429,563			2,291,174			7,002,589			4,288,322
Total Comprehensive Income attributable to the owners of the parent Company			3,408,452			2,271,549			6,959,144			4,251,678
Total Comprehensive Income attributable to non-controlling interests			21,111			19,625			43,445			36,644

	Delfín Jorge Ezequiel Carballo Chairperson
6

CONDENSED CONSOLIDATED INTERIM STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY

FOR THE SIX MONTHS PERIOD ENDED JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

	Capital Stock		Non-capital Contributions				Other Comprehensive  Income					Earnings Reserved
Changes	Outstanding  shares		Stock issuance Premium		Adjustments to Shareholders´ Equity		Accumulat.  foreign  currency  translation  difference  in Financial  statement  convertion		Other			Legal		Other			Unappropiated Retained Earnings			Total Equity  net of Controlling Interests			Total Equity  net of Non- controlling Interests			Total  Equity
Balance at the beginning of the fiscal year		669,663		12,428,461		4,511		137,148		67,412			4,994,932		15,368,454			12,864,442			46,535,023			200,842			46,735,865
Total comprehensive income for the period
- Net income for the period																		6,657,832			6,657,832			43,467			6,701,299
- Other comprehensive income for the period								398,114		(96,802	)										301,312			(22	)		301,290
Distribution of unappropied retained earnings as approved by Shareholders´ Meeting held on April 27, 2018
Legal Reserve													1,877,755					(1,877,755	)
Cash dividends															(3,348,315	)					(3,348,315	)		(26	)		(3,348,341	)
- Other															7,511,018			(7,511,018	)
Balance at the end of the period		669,663		12,428,461		4,511		535,262		(29,390	)		6,872,687		19,531,157			10,133,501			50,145,852			244,261			50,390,113

CONDENSED CONSOLIDATED INTERIM STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY

FOR THE SIX MONTHS PERIOD ENDED JUNE 30, 2017

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

	Capital Stock		Non-capital Contributions				Other Comprehensive Income					Earnings Reserved
Changes	Outstanding  shares		Stock issuance Premium		Adjustments  to  Shareholders´ Equity		Accumulat.  foreign  currency  translation  difference in Financial  statement  convertion		Other			Legal		Other			Unappropiated Retained Earnings			Total Equity net of Controlling Interests			Total Equity net of Non- controlling Interests			Total  Equity
Balance at the beginning of the fiscal year		584,563		399,499		4,511				65,711			3,686,472		10,698,348			9,531,589			24,970,693			207,800			25,178,493
Total comprehensive income for the period
- Net income for the period																		4,228,757			4,228,757			37,125			4,265,882
- Other comprehensive income for the period								36,267		(13,346	)										22,921			(481	)		22,440
Distribution of unappropied retained earnings as approved by Shareholders´ Meeting held on April 28, 2017
Legal Reserve													1,308,460					(1,308,460	)
Cash dividends															(701,476	)					(701,476	)		(92.991	)		(794,467	)
- Other															5,371,582			(5,424,045	)		(52,463	)					(52,463	)
Increase of Capital Stock as approved by Shareholders´ Meeting held on April 28, 2017		74,000		10,387,724																	10,461,724			,			10,461,724
Balance at the end of the period		658,563		10,787,223		4,511		36,267		52,365			4,994,932		15,368,454			7,027,841			38,930,156			151,453			39,081,609

	Delfín Jorge Ezequiel Carballo Chairperson
7

CONDENSED CONSOLIDATED INTERIM STATEMENT OF CASH FLOWS

FOR THE SIX MONTHS PERIODS ENDED JUNE 30, 2018 AND 2017

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos) 

Items	Notes	06/30/2018			06/30/2017
CASH FLOWS FROM OPERATING ACTIVITIES
Income for the period before Income Tax			9,596,878			6,554,988
Adjustments to obtain cash flows from operating activities:
Amortization and depreciation			335,504			261,710
Provision for loan losses			1,138,143			829,593
Other adjustments			(2,722,482	)		592,675
Net increase/ decrease from operating assets:
Debt Securities at fair value though profit and loss			(253,718	)		(493,071	)
Derivative financial instruments			(34,753	)		7,885
Repo transactions			1,263,650			(2,033,671	)
Loans and other financing
Non-financial public sector			(174,905	)		1,039,760
Other financial entities			(23,775	)		(517,962	)
Non-financial private sector and foreign residents			(23,850,184	)		(18,883,472	)
Other debt securities			24,030,305			(7,929,655	)
Financial assets delivered as guarantee			161,270			1,043,517
Investments in equity instruments			232,650			258,595
Other assets			(1,148,269	)		(1,519,174	)
Net increase/ decrease from operating liabilities:
Deposits
Non-financial public sector			6,514,208			1,335,928
Financial sector			44,018			1,490
Non-financial private sector and foreign residents			28,785,834			10,242,602
Liabilities at fair value through profit or loss			(6,450	)
Derivative financial instruments			11,044			217
Repo transactions			(858,860	)		(1,095,634	)
Other liabilities			1,603,982			1,658,414
Payments for Income Tax			(4,409,702	)		(2,551,146	)
TOTAL CASH FROM /(USED IN) OPERATING ACTIVITIES (A)			40,234,388			(11,196,411	)

	Delfín Jorge Ezequiel Carballo Chairperson
8

CONDENSED CONSOLIDATED INTERIM STATEMENT OF CASH FLOWS

FOR THE SIX MONTHS PERIODS ENDED JUNE 30, 2018 AND 2017

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos) 

Items	Notes		06/30/2018			06/30/2017
CASH FLOWS FROM INVESTING ACTIVITIES
Payments:
Acquisition of PPE, intangible assets and other assets				(659,919	)		(604,048	)
TOTAL CASH USED IN INVESTING ACTIVITIES (B)				(659,919	)		(604,048	)
CASH FLOWS FROM FINANCING ACTIVITIES
Payments:
Dividends				(3,348,315	)		(794,166	)
Non-subordinated corporate bonds				(242,604	)		(1,766,904	)
Central Bank of Argentina							(98	)
Financing from local financial entities				(124,671	)		(331,595	)
Subordinated corporate bonds							(206,280	)
Proceeds:
Issued Equity instruments							10,461,724
Non Subordinated Corporate Bonds				3,206,999			4,604,398
Central Bank of Argentina				4,591			2,070
Financing to local financial entities				174			748,697
Other proceeds related to financing activities							213,379
TOTAL CASH (USED IN)/ FROM FINANCING ACTIVITIES (C)				(503,826	)		12,931,225
EFFECT OF EXCHANGE RATE FLUCTUATIONS (D)				8,216,967			511,441
TOTAL CHANGES IN CASH FLOWS
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (A+B+C+D)				47,287,610			1,642,207
CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE FISCAL YEAR		19		41,203,545			52,070,153
CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD		19		88,491,155			53,712,360

	Delfín Jorge Ezequiel Carballo Chairperson
9

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

1. CORPORATE INFORMATION

Banco Macro SA (hereinafter, the Bank), is a stock corporation (sociedad anónima), organized in the Republic of Argentina that offers traditional banking products and services to companies, including those companies operating in regional economies, as well as to individuals, strengthening in this way its goal to be a multi-services bank. In addition, through its subsidiaries, the Bank performs transactions as a trustee agent, direction and management of mutual funds and stock exchange services.

Macro Compañía Financiera SA was created in 1977, as a non-banking financial institution. In May 1988, it received the authorization to operate as a commercial bank and it was incorporated as Banco Macro SA. Subsequently, as a result of the merger process with other entities, it adopted other names (among them, Banco Macro Bansud SA) and since August 2006, Banco Macro SA.

The Bank´s shares have been publicly listed on the Bolsas y Mercados Argentinos (BYMA) since November 1994, as from March 24, 2006 they are listed on the New York Stock Exchange (NYSE). Additionally, on October 15, 2015 they were authorized to list on the Mercado Abierto Electrónico SA (MAE).

Since 1994, Banco Macro SA’s market strategy was mainly focused on the regional areas outside the City of Buenos Aires. Following this strategy, in 1996, Banco Macro SA started the process to acquire entities and assets and liabilities during the privatization of provincial and other banks.

On August 22, 2018, the Board of Directors approved the issuance of these condensed consolidated interim Financial Statements.

2. OPERATIONS OF THE BANK

2.1. Agreement with the Misiones Provincial Government

The Bank and the Misiones Provincial Government entered into a special-relationship agreement whereby the Bank was appointed, for a five-year term since January 1, 1996, as the Provincial Government’s exclusive financial agent, as well as revenue collection and obligation payment agent.

On November 25, 1999, and December 28, 2006, extensions to such agreement were agreed upon, making it currently effective through December 31, 2019.

As of June 30, 2018 and December 31, 2017 and 2016, the deposits held by the Misiones Provincial Government with the Bank amounted to 4,711,719, 3,255,353 and 2,495,781(including 357,883, 333,032 and 139,610 related to court deposits), respectively.

2.2. Agreement with the Salta Provincial Government

The Bank and the Salta Provincial Government entered into a special-relationship agreement whereby the Bank was appointed, for a ten-year term since March 1, 1996, as the Provincial Government’s exclusive financial agent, as well as revenue collection and obligation payment agent.

On February 22, 2005 and August 22, 2014, extensions to such agreements were agreed upon, making it currently effective through February 28, 2026.

As of June 30, 2018 and December 31, 2017 and 2016, the deposits held by the Salta Provincial Government with the Bank amounted to 2,816,581, 908,270 and 1,340,738 (including 552,288, 458,550 and 370,154 related to court deposits), respectively.

2.3. Agreement with the Jujuy Provincial Government

The Bank and the Jujuy Provincial Government entered into a special-relationship agreement whereby the Bank was appointed, for a ten-year term since January 12, 1998, as the Provincial Government’s exclusive financial agent, as well as revenue collection and obligation payment agent.

On April 29, 2005 and July 8, 2014, extensions to such agreement were agreed upon, making it currently effective through September 30, 2024.

10

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

As of June 30, 2018 and December 31, 2017 and 2016, the deposits held by the Jujuy Provincial Government with the Bank amounted to 3,261,660, 4,649,184 and 1,580,312 (including 376,544, 320,825 and 253,622 related to court deposits), respectively.

2.4. Banco del Tucumán SA

Banco del Tucumán SA acts as an exclusive financial agent and as revenue collection and obligation payment agent of the Tucumán Provincial Government and of the Municipality of San Miguel de Tucumán, respectively.

The service agreement with the Tucumán Provincial Government is currently effective through the year 2021, while the agreement executed with the Municipality of San Miguel de Tucumán was automatically extended through the year 2023, as set forth in the original agreement.

In addition, the legislative body of the province of Tucumán, converted into law a project issued by the provincial executive power in which it was authorized the sale of the shares held by the province of Tucumán in Banco de Tucumán SA to Banco Macro SA and also the continuity as a provincial finance agent for an additional period of ten years from the expiration of the contract, and if applicable, the possibility of merging both entities.

On August 10, 2018, the province of Tucumán transferred to Banco Macro SA, 43,960 Class B common registered shares, with a face value of Ps. 100 each one and entitled to one vote of Banco del Tucumán SA, which is equivalent to 10% of its common stock and votes. For this transaction, the Bank paid 456,462 which will be registred in the consolidated Financial Statements in the Shareholders equity at the carrying amount while in the Separate financial statements will be registered at the purchase price method.

As of June 30, 2018 and December 31, 2017 and 2016, the deposits held by the Tucumán Provincial Government and the Municipality of San Miguel de Tucumán with Banco del Tucumán SA amounted to 4,416,138, 1,913,801 and 2,450,436 (including 1,500,429, 1,225,993 and 943,683 related to court deposits), respectively.

3. BASIS FOR THE PRESENTATION OF THESE FINANCIAL STATEMENTS AND APPLICABLE ACCOUNTING STANDARDS

Presentation basis

Applicable Accounting Standards

On February 12, 2014 the Central Bank, through Communiqué “A” 5541 established the general guidelines towards conversion to the IFRS issued by the International Accounting Standards Board (IASB) for preparing financial statements of the entities under its supervision, for the annual fiscal years beginning on January 1, 2018 as well as those of interim-periods.

Additionally, through Communiqués “A” 6114, the Central Bank set specific guidelines within the scope of such convergence process, among which it defined (i) the transitory exception to the application of section 5.5 “Impairment” of the IFRS 9 “Financial Instruments” (sections B5.5.1 to B5.5.55)) up to the fiscal years beginning as of January 1, 2020; and (ii) in order to calculate the effective interest rate of assets and liabilities so requiring it for the measurement thereof, pursuant to IFRS 9, up to December 31, 2019, the Bank may transitorily make a global estimate of the calculation of the effective interest rate on a group of financial assets or liabilities with similar characteristics which shall be applied such effective interest rate. To the date of the present condensed consolidated interim Financial Statements the Bank is in the process of determining and quantifying the effect the application of section 5.5 “Impairment” mentioned in (i) above will have. Finally, through Communiqués “A” 6323 and 6324 and supplementary rules, the Central Bank defined the minimum chart of accounts and the provisions applicable to the preparation and presentation of the financial statements of financial entities for the fiscal years beginning on January 1, 2018, respectively.

The accompanying condensed consolidated interim Financial Statements of the Bank were prepared pursuant to Communiqué “A” 6114 and supplementary rules of the Central Bank. Taking into account the exceptions described in the preceding paragraph, the new regulatory framework comprises the Standards and Interpretations adopted by the IASB and includes:

11

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

- the IFRS;

- the International Accounting Standards (IAS); and

- the interpretations developed by the IFRS Interpretations Committee (IFRIC) or former IFRIC (SIC).

In the preparation of this Financial statements, the Bank further contemplated the exceptions and exemptions provided for in IFRS 1 “First-time Adoption of International Financial Reporting Standards” and those applied for the preparation of the accompanying condensed consolidated interim Financial Statements are described in the section “First-time Adoption of International Financial Reporting Standards in accordance with Communiqué “A” 6114 of the Central Bank” of this Note.

Up to the fiscal year ended December 31, 2017, the Bank prepared its consolidated Financial Statements in accordance with the rules and standards issued by the Central Bank. The financial information for previous fiscal years and included in the accompanying consolidated Financial Statements for comparative purposes, was modified and is disclosed in accordance with the basis described in the preceding paragraphs. The effects of changes between the standards applied as of the end of the fiscal year ended December 31, 2017 and the IFRS are explained in the reconciliations disclosed under the title “First-time Adoption to IFRS in accordance with Central Bank Communiqué “A” 6114” on this Note.

The accounting policies comply with the IFRS as currently approved and are applicable to the preparation of the first annual consolidated Financial Statements (December 31, 2018). in accordance with the IFRS adopted by the Central Bank though Communique “A” 6114. Notwithstanding the above, these accounting policies might change if, at the time of preparing those first annual Financial Statements in accordance with the IFRS adopted by the Central Bank though Communique “A” 6114, new standards are issued or the existing ones are modified, or the compulsory application to that date is modified, or if the Bank chooses to change its choice of any of the exemptions under IFRS 1. Generally, the Central Bank does not allow the anticipated application of any IFRS, unless it expressly states the contrary.

Basis for the preparation and consolidation

These condensed consolidated interim Financial Statements for the six-month period ended on June 30, 2018, have been prepared in accordance with the framework set forth by the Central Bank as mentioned in the previous seccion “ Applicabe accouting standards”, for which this condensed consolidated interim Financial Statements, is based on IAS 34 “Interim Financial Reporting”.

For the preparation of these condensed consolidated interim Financial Statements the Bank has applied the basis for the preparation and consolidation, the accounting policies and the material accounting judgements, estimates and assumptions described in the condensed consolidated interim Financial Statements for the three months period ended on March 31, 2018, already issued. In this sense, the Bank has applied the same accounting policies adopoted at the transition date.

These condensed consolidated interim Financial Statements include all the necessary information for an appropriate understanding, by the users thereof, of the basis for the preparation and disclosure used therein, as well as the relevant events and transactions occurred after the issuance of the last annual consolidated Financial Statements for the fiscal year ended December 31, 2017 and condensed consolidated interim Financial Statements for the three-month period ended on March 31, 2018. Nevertheless, the present condensed consolidated interim Financial Statements do not include all the information or all the disclosures required for the annual consolidated Financial Statements prepared in accordance with the IAS 1 “Presentation of Financial Statements”. Therefore, the accompanying condensed consolidated interim Financial Statements must be read together with the annual consolidated financial statements for the fiscal year ended December 31, 2017 and condensed consolidated interim Financial Statements for the three-month period ended on March 31, 2018.

As of June 30, 2018 and December 31, 2017 and 2016, the Bank has consolidated its Financial Statements with the Financial Statements of the following companies:

12

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

Subsidiaries	Principal Place of Business	Country	Main Activity
Banco del Tucumán SA	San Martín 721 – San Miguel de Tucumán – Province of Tucumán	Argentina	Banking Entity
Macro Securities SA (a) and (b)	Juana Manso 555 – 8th floor, Office A – Autonomous City of Buenos Aires	Argentina	Stock-Exchange Services
Macro Fiducia SA	Sarmiento 447 – 7th floor– Autonomous City of Buenos Aires	Argentina	Services
Macro Fondos SGFCISA	Juana Manso 555 – 9th floor, Office A – Autonomous City of Buenos Aires	Argentina	Direction and Management of Mutual Funds
Macro Bank Limited (c)	Caves Village, Building 8 Office 1 – West Bay St,, Nassau	Bahamas	Banking Entity

(a) Consolidates with Macro Fondos SGFCI SA (80.90% Participating and Voting Interest).

(b) The indirect interest of Banco Macro SA comes from Macro Fiducia SA.

(c) Consolidates with Sud Asesores (ROU) SA (100% Voting Interest–Equity interest 2,220).

The table below shows the Bank’s participating interest in the companies it consolidates as of June 30, 2018 and December 31, 2017 and 2016:

	Shares			Bank’s Participating Interest						Non-Controlling Interest
Subsidiaries	Type	Number		Total Capital Stock			Voting Interest			Total Capital Stock			Voting Interest
Banco del Tucumán SA	Common		395,341		89.932	%		89.932	%		10.068	%		10.068	%
Macro Securities SA	Common		12,776,680		99.921	%		99.932	%		0.079	%		0.068	%
Macro Fiducia SA	Common		6,475,143		98.605	%		98.605	%		1.395	%		1.395	%
Macro Fondos SGFCISA	Common		327,183		99.936	%		100.00	%		0.064	%		-
Macro Bank Limited	Common		39,816,899		99.999	%		100.00	%		0.001	%		-

Total assets, liabilities and net equity of the Bank and each of its subsidiaries as of June 30, 2018 and December 31, 2017 and 2016 are as follows:

As of 06/30/2018	Banco Macro SA		Banco del Tucumán SA		Other Subsidiaries		Eliminations			Consolidated
Assets		255,311,664		18,192,290		3,813,042		(5,581,847	)		271,735,149
Liabilities		205,165,812		15,775,848		1,685,548		(1,282,172	)		221,345,036
Equity attributable to the owners of the Bank											50,145,852
Equity attributable to non-controlling interests											244,261

As of 12/31/2017	Banco Macro SA		Banco del Tucumán SA		Other Subsidiaries		Eliminations			Consolidated
Assets		213,157,890		14,789,934		2,922,315		(4,531,069	)		226,339,070
Liabilities		166,622,867		12,802,725		1,259,906		(1,082,293	)		179,603,205
Equity attributable to the owners of the Bank											46,535,023
Equity attributable to non-controlling interests											200,842

13

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

As of 12/31/2016	Banco Macro SA		Banco del Tucumán SA		Other Subsidiaries		Eliminations			Consolidated
Assets		148,783,028		11,548,487		2,215,093		(3,176,013	)		159,370,595
Liabilities		123,812,335		9,489,193		1,107,074		(216,500	)		134,192,102
Equity attributable to the owners of the Bank											24,970,693
Equity attributable to non-controlling interests											207,800

Transcription in the Books of Accounts

To the date of the accompanying Financial Statements, the same are in the process of being transcribed in the Bank’s Books of Account.

Figures expressed in thousands of Pesos

The accompanying consolidated Financial Statements disclose figures expressed in thousands of Argentine pesos and round the amounts in thousands of pesos to the nearest whole number, unless it expressly states the contrary.

Comparative information

The present condensed consolidated interim Balance sheet as of June 30, 2018, is presented comparatively with year-end data of the immediately preceding fiscal year, while the Statement of income and Other comprehensive income for the three-month and six-month periods ended June 30, 2018, the Statement of changes in shareholders’ equity and the Statement of cash flows and Cash equivalents for the six-month period ended June 30, 2018, are presented comparatively with data as of same period of the immediately preceding fiscal year.

In compliance with IFRS 1 “First-time Adoption of International Financial Reporting Standards” and since the accompanying condensed consolidated interim Financial Statements are the first ones being submitted pursuant to Communiqué “A” 6114 of the Central Bank, we include the opening Balance sheet to the transition date (December 31, 2016).

Unit of measure

IFRS require the restatement in functional currency of an entity’s financial statements when the functional currency used is that of an economy considered to be a high-inflation or a hyperinflationary economy. To achieve consistency in identifying an economic environment requiring the restatement of financial statements, IAS 29 “Financial Reporting in Hyperinflationary Economies” establishes certain qualitative indicators and a quantitative factor, which is considered to be relevant by international practices; and it arises when the three-year cumulative inflation rate is around 100% or more; this also requires assessing whether it is not the result of a circumstantial event that may be reversed in the short term. To quantify the inflation rate, IAS 29 requires the use of a general price index reflecting the changes in the currency’s general purchasing power. In Argentina, the certified professional accountants and corporate regulators agree that the most appropriate index to such end is the internal wholesale price index (WPI) prepared by the Instituto Nacional de Estadísticas y Censos (INDEC). This consensus is driven by the fact that the WPI combines several specific indexes that altogether cover a wider basket than the remaining price indicators, and also its geographic scope includes the data gathered in different areas across the country. The three-year cumulative inflation measured based on the WPI maintained in 2017 a downward trend as compared to 2016, and the three-year cumulative inflation rate was below 100%. However, this trend was reversed during the first half of 2018 due to factors such as the exchange rate devaluation and the continuity of the public services tariffs adjustment process, as well as the unfavorable international context in terms of financing. In this scenario, the three-year cumulative inflation rate as of June 30, 2018, exceeds 100%; and the new goals reviewed by the Argentine government and other available projections indicate that this trend will not be reversed in the short term. Therefore, under IAS 29, the Argentine economy should be considered hyperinflationary as of June 30, 2018. Consequently, the entities under the Central Bank control that are required to apply the IFRSs adopted by the Central Bank through Communiqué “A” 6114 and the functional currency of which is the Argentine peso should restate their financial statements as from the first applicable period, which in the case of the Bank is July 1, 2018. However, the requirements of IAS 29 will be met provided that certain changes are made to the BCRA’s regulations on the impossibility of using the method for restating the financial statements in constant currency, pursuant to the Central Bank Communiqué “A” 3921, which resulted from Presidential Decree No. 664/2003.

14

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

The requirements of IAS 29 consist in restating the financial statements so that they consider the changes in the general purchasing power of the currency to ensure they are stated in the current unit of measure as of the end of the reported period. These requirements also comprise the comparative information of the financial statements.

To sum up, the restating mechanism provided by IAS 29 establishes that monetary assets and liabilities will not be restated, as they are already stated in terms of the current unit of measure as of the end of the reporting period. Assets and liabilities subject to adjustments based on specific agreements will be adjusted in accordance with such agreements. There is no need to restate the non-monetary items measured at their market values as of the end of the reporting period, such as the net realization value, among others. The remaining non-monetary assets and liabilities will be restated using a general price index. Gains or losses resulting from the net monetary position will be included in net income (loss) for the reporting period.

As of the date of issuance of these condensed consolidated interim Financial Statements, the Bank´s Management is analyzing the requirements under IAS 29.

First-time adoption of IFRSs under Central Bank Communiqué “A” 6114

According with Central Bank Communiqué “A” 6324, below are presented reconciliations of the consolidated equity as of June 30, 2017 and the consolidated net income for the six-month and three-month periods ended on that date. The consolidated equity and the consolidated net income reconciliations for the fiscal year ended December 31, 2016 (date of transition) and 2017, were included in the condensed consolidated interim Financial Statements for the three-month period ended on March 31, 2018, already issued.

In preparing these reconciliations, the Bank’s Management has considered the applicable IFRSs to the presentation of the first annual consolidated Financial Statements that are the first consolidated Financial Statements presented in accordance with Central Bank Communiqué “A” 6114, for the fiscal year ending on December 31, 2018. However, items and figures included in these reconciliations could be amended. The items and figures included in these reconciliations could be amended to the extent that, upon the preparation of those first annual financial statements in accordance with IFRS adopted by the Central Bank through Communique “A” 6114, new standards are issued or current standards are amended, with mandatory or early application as of that date, or it is opted to change the selection of any of the exemptions under IFRS 1 “First-time adoption of International Financial Reporting Standards”. As a general rule, the Central Bank does not admit early application of any IFRS, unless it is specified otherwise.

The optional exemptios and the obligatory exceptions, chosen by the Bank, related with the non-retroactive application of certain IFRS and the main transitions adjustments, have been disclosed, in detail, in the condensed consolidated Financial Statement for the three-month period ended on March 31, 2018, already issued.

Reconciliations required

·       Reconciliation of consolidated equity as of June 30, 2017.

	Previous Central Bank Standards		Adjustments and Reclassifications			Balances according Central Bank Communiqué “A” 6114
Total Assets		187,767,925		1,245,817			189,013,742
Total Liabilities		151,940,385		(2,008,252	)		149,932,133
Equity		35,827,540		3,254,069			39,081,609
Net Shareholders’ Equity attributable to non-controlling interests							151,453
Net Shareholders´ Equity attributable to the owners of the Parent Company							38,930,156

Item	Balances as of 06/30/2017
According to previous Central Bank Standards		35,827,540
Adjustments and Reclassifications:
Debt securities and investment in equity instruments		152,662
Loans and other financing		(310,945	)
Property, plant and equipment and investment property		4,566,397

15

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

Item	Balances as of 06/30/2017
Adjustments and Reclassifications (contd.):
Deferred income tax assets and liabilities		(1,097,486	)
Other non-financial assets		69,746
Corporate bonds		59,698
Other non-financial liabilities		(318,622	)
Other adjustments		(18,834	)
Non-controlling interest		151,453
Total adjustments and reclassifications		3,254,069
Net Shareholders equity according to Central Bank Communiqué “A” 6114		39,081,609
Net Shareholders´ Equity attributable to the owners of the Parent Company		38,930,156
Net Shareholders’ Equity attributable to non-controlling interests		151,453

· Reconciliation of consolidated income and other comprehensive income for the six-month and three-month periods ended June 30, 2017,

Reconciliation of income for the six-month period as of 06/30/2017	Net income for the period			Other comprehensive income			Comprehensive Income
According to previous Central Bank Standards		3,779,312
Interest income		(26,447	)
Commisions income		28,752
Interest expense		28,138
Other operating expenses		(49,154	)
Reclasifications of Issuance cost of shares		234,545
Income Tax		223,906
Foreign currency translation differences					36,267
Loss from financial instruments at fair value through OCI					(13,827	)
Other adjustment		46,830
Total adjustments and reclassifications		486,570			22,440
Balance according to Central BankCommuniqué “A” 6114		4,265,882			22,440			4,288,322
Attributable to parent company		4,228,757			22,921			4,251,678
Attributable to non-controlling interests		37,125			(481	)		36,644

Reconciliation of income for the three-month period as of 06/30/2017	Net income for the period			Other comprehensive income			Comprehensive Income
According to previous Central Bank Standards		2,015,267
Interest income		(38,209	)
Commissions income		(2,769	)
Interest expense		34,548
Other operating expenses		(41,273	)
Reclasifications of Issuance cost of shares		234,545
Income Tax		120,987
Foreign currency translation differences					58,793
Loss from financial instruments at fair value through OCI					(10,889	)
Other adjustment		(79,826	)
Total adjustments and reclassifications		228,003			47,904
Balance according to Central BankCommuniqué “A” 6114		2,243,270			47,904			2,291,174
Attributable to parent company		2,223,509			48,040			2,271,549
Attributable to non-controlling interests		19,761			(136	)		19,625

16

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

New pronouncements

Pursuant to Communiqué “A” 6114 of the Central Bank, as new IFRS are approved and existing IFRS are amended or revoked and, once these changes are approved through Notices of Approval issued by the Argentine Federation of Professionals Councils in Economic Sciences (FACPCA for its Spanish acronym), the Central Bank shall issue a statement on the approval thereof for financial entities. Generally, financial entities shall not apply any IFRS in advance, except specifically authorized at the time of the approval thereof. In this case, the Bank shall adopt the following standards:

· IFRS 16 “Leases”: such standard eliminates the dual accounting method for lessees that distinguishes between finance leases recognized within the Financial statements and operating leases for which future lease payments are not required to be recognized, Instead, it develops a single model, within the balance sheet, which is similar to the present finance lease, As to lessor, the standard maintains the present practice –i,e,, lessors keep on classifying leases as finance and operating leases.

· IFRIC 12 “Uncertainty over income tax treatments”. This interpretation clarifies how to apply the recongnition and measurement requirements in IAS 12 “Income tax” when there is uncertainty over income tax treatments.

These standards are applicable to fiscal years beginning as of January 1, 2019. The Bank does not expect the above described standards to have a material impact on the consolidated Financial Statements.

4. CONTINGENT TRANSACTIONS

In order to meet specific financial needs of customers, the Bank’s credit policy also includes, among others, the granting of guarantees, securities, bonds, letters of credit and documentary credits. Although these transactions are not recognized in the balance sheet, since they imply a possible obligation or liability for the Bank, they expose the Bank to additional credit risk to those recognized in the balance sheet and are, therefore, an integral part of the total risk of the Bank.

As of June 30, 2018 and December 31, 2017 and 2016, the Bank maintains the following contingent transactions:

	06/30/2018		12/31/2017		12/31/2016
Overdraft and unused agreed credits		839,311		255,710		191,007
Guarantees granted		697,621		253,350		287,497
Liabilities for foreign trade transactions		203,399		90,274		163,308
		1,740,331		599,334		641,812

Risks related to the contingent transactions described above have been evaluated and are controlled within the framework of the Bank’s credit risk policy described in Note 41 to the condensed consolidated interim Financial Statemetns as of March 31, 2018, already issued.

5. FAIR VALUE QUANTITATIVE AND QUALITATIVE DISCLOSURES

The fair value is the amount at which an asset can be exchanged, or at which a liability can be settled, in mutual independent terms and conditions between participants of the principal market (or most advantageous market) duly informed and willing to transact in an orderly and current transaction, at the measurement date in the current market conditions whether the price is directly observable or estimated using a valuation technique under the assumption that the Bank is an ongoing business.

When a financial instrument is quoted in a liquid and active market, its price in the market in a real transaction provides the most reliable evidence of its fair value, Nevertheless, when there is no quoted price in the market or it cannot be an evidence of the fair value of such instrument, in order to determine such fair value, the entities may use the market value of another instrument with similar characteristics, the analysis of discounted cash flows or other applicable techniques, which shall be significantly affected by the assumptions used.

Notwithstanding the above, the Bank’s Management has used its best judgment to estimate the fair values of its financial instruments, any technique to perform such estimate implies certain inherent fragility level, In conclusion, the fair value may not be indicative of the net realizable value or settlement value.

17

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

Fair value hierarchy

The Bank uses the following hierarchy to determine and disclose the fair value of financial instruments, according to the valuation technique applied:

- Level 1: quoted prices (unadjusted) observable in active markets for identical assets or liabilities.

- Level 2: Valuation techniques for which the data and variables having a significant impact on the determination of the fair value recognized or disclosed are observable for the asset or liability, either directly or indirectly in the markets.

- Level 3: Valuation techniques for which the data and variables having a significant impact on the determination of the fair value recognized or disclosed are not based on observable market information.

Description	Financial assets and finacial liabilities measured at fair value on a recurring basis as of June 30, 2018
	Total		Level 1		Level 2		Level 3
Financial assets
At fair value through profit or loss
Debt Securities at fair value through profit or loss		1,339,702		878,223		308,436		153,043
Derivative Financial Instruments		42,981		8,059		34,922
Other financial assets		226,540		164,334				62,206
Financial Assets delivered as guarantee		72,585				72,585
Investments in Equity Instruments		50,009		7,107				42,902
At fair value through OCI
Other debt securities		39,353,988		39,353,988
Financial Assets delivered as guarantee		1,961,931		1,961,931
Total		43,047,736		42,373,642		415,943		258,151
Financial liabilities
At fair value through profit or loss
Derivative Financial Instruments		34,151		3,650		30,501
Total		34,151		3,650		30,501

Description	Financial assets and finacial liabilities measured at fair value on a recurring basis as of December 31, 2017
	Total		Level 1		Level 2		Level 3
Financial assets
At fair value through profit or loss
Debt Securities at fair value through profit or loss		1,086,028		422,868		627,319		35,841
Derivative Financial Instruments		8,228		800		7,428
Other financial assets		483,246		321,495				161,751
Financial Assets delivered as guarantee		4,308				4,308
Investments in Equity Instruments		282,659		246,885				35,774
At fair value through OCI
Other financial assets
Other debt securities		33,766,052		33,590,407		175,645
Financial assets delivered as guarantee		2,989,411		2,989,411
Investment in Equity instruments
Total		38,619,932		37,571,866		814,700		233,366
Financial liabilities
At fair value through profit or loss
Liabilities at fair value through income or loss		6,450		6,450
Derivatives financial liabilities		23,107		7,169		15,938
Total		29,557		13,619		15,938

18

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

Description of valuation process

The fair value of instruments categorized as Level 1 was assessed by using quoted prices effective at the end of each reporting period or fiscal year, as applicable, in active markets for identical assets or liabilities, if representative. At present, for government and private securities, there are two principal markets in which the Bank operates, to wit: BYMA and MAE. Additionally, in the case of derivatives, both MAE and Mercado a Término de Rosario SA (ROFEX) are deemed active markets.

On the other hand, for certain assets and liabilities that do not have an active market, categorized as Level 2, the Bank used valuation techniques that included the use of market transactions performed under mutual independent terms and conditions, between interested and duly informed parties, provided there are any available, as well as references to the current fair value of other instrument being substantially similar, or otherwise the analysis of cash flows discounted at rates built from market information of similar instruments.

In addition, certain assets and liabilities included in this categorization were valued using identical price quotes of identical instruments in “less active markets”.

Finally, the Bank has categorized as level 3 those assets and liabilities for which there are no identical or similar transactions in the market. In order to determine the market value of these instruments, the Bank used valuation techniques based on its own assumptions, which are similar to those that would be used by any other market participant. For this approach, the Bank mainly used the cash flow discount model.

As of June 30, 2018, December 31, 2017 and 2016, the Bank has neither changed the techniques nor the assumptions used to estimate the fair value of the financial instruments.

Below is presented the reconciliation between the balances at the beginning and the end of the period of the financial assets and liabilities recognized at fair value, using the valuation techniques based on the Bank’s own assumptions, as of June 30, 2018 and December 31, 2017:

	Fair values using valuation techniques based on the Bank’s own assumptions (level 3) June 30, 2018
Description	Debt Securities			Other Financial  Assets			Investments in  Equity  Instruments
Balance at the beginning		35,841			161,751			35,774
Transfers to Level 3
Transfers from Level 3
Profit and Loss		(16,497	)		(28,208	)		7,128
Purchases, sales, issuance and settlement		133,699			(71,337	)
Balance at end of period		153,043			62,206			42,902

	Fair values using valuation techniques based on the Bank’s own assumptions (level 3) December 31, 2017
Description	Debt Securities			Other Financial  Assets		Investments in  Equity  Instruments
Balance at the beginning		45,834					15,668
Transfers to Level 3
Transfers from Level 3
Profit and Loss		5,661					20,421
Purchases, sales, issuance and settlement		(15,654	)		161,751		(315	)
Balance at end of year		35,841			161,751		35,774

19

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

Instruments measured as level 3, include mainly debt securities and certificate of participation in financial trust, for which, the construction of fair values was obtained based on the Bank’s own assumptions that are not easily observable in the market. The most significant assumption was the placement cutoff rate of such instruments in the market at the end of the period, used to determine the actual value of cash flows.

Any increase (decrease) in these assumptions, considered separately, would derive in a higher or lower fair value.

Changes in fair value levels

The Bank monitors the availability of information in the market to evaluate the classification of financial instruments into the fair value hierarchy, as well as the resulting determination of transfers between levels 1, 2 and 3 at each period end.

As of June 30, 2018, December 31, 2017 and 2016, the Bank has not recognized any transfers between levels 1, 2 and 3 of the fair value hierarchy.

Financial assets and liabilities not recognized at fair value

Next follows a description the methods and assumptions used to determine the fair values of financial instruments no recognized at their fair value in the accompanying Financial Statements:

- Assets with fair value similar to the carrying amount: financial assets and liabilities that are liquid or have short-term maturities (less than three months) were deemed to have a fair value similar to the carrying amount.

- Fixed-rate financial instruments: The fair value of financial assets was recognized discounting future cash flows at current market rates, for each fiscal year, for financial instruments of similar characteristics. The estimated fair value of fixed-interest rate deposits was assessed discounting future cash flows by using market interest rates for deposits with similar maturities to those of the Bank’s portfolio.

Quoted assets and issued quoted liabilities the fair value was determined based on market prices.

- Other financial instruments: financial assets and liabilities that are liquid or have short-term maturities were deemed to have a fair value similar to the carrying amount. This assumption also applies to deposits in savings accounts, checking accounts and others.

The following table shows a comparison between the fair value and the carrying amount of financial instruments not measured at fair value as of June 30, 2018 and December 31, 2017 and 2016:

	06/30/2018
	Carrying Amount		Level 1		Level 2		Level 3		Fair Value
Financial Assets
Cash and deposits in Banks		50,309,607		50,309,607						50,309,607
Repo transactions		156,158		156,158						156,158
Other financial assets		2,288,839		2,288,839						2,288,839
Loans and other financing		155,620,519				166,204		144,656,424		144,822,628
Other debt securities		3,808,656		116,506		3,375,965		291,658		3,784,129
Financial assets delivered as guarantee		5,442,566		5,442,566						5,442,566
		217,626,345		58,313,676		3,542,169		144,948,082		206,803,927
Financial Liabilities
Deposits		179,473,237		90,433,417		89,119,285				179,552,702
Other repo transactions		1,829,233		1,829,233						1,829,233
Other financial liabilities		11,195,051		9,577,911		1,619,280				11,197,191
Financing received from the Central Bank and other financial entities		1,828,974		1,176,005		627,365				1,803,370
Issued corporate bonds		8,125,300				7,666,548				7,666,548
Subordinated corporate bonds		11,646,217				10,829,371				10,829,371
		214,098,012		103,016,566		109,861,849				212,878,415

20

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

	12/31/2017
	Carrying Amount		Level 1		Level 2		Level 3		Fair Value
Financial Assets
Cash and deposits in Banks		35,561,574		35,561,574						35,561,574
Repo transactions		1,419,808		1,419,808						1,419,808
Other financial assets		1,789,433		1,789,433						1,789,433
Loans and other financing		132,658,674				485,347		129,472,430		129,957,777
Other debt securities		937,713		944,876				7,916		952,792
Financial assets delivered as guarantee		4,644,633		4,644,633						4,644,633
		177,011,835		44,360,324		485,347		129,480,346		174,326,017
Financial Liabilities
Deposits		144,129,177		77,959,810		66,265,387				144,225,197
Other repo transactions		2,688,093		2,688,093						2,688,093
Other financial liabilities		10,561,203		9,175,314		1,391,699				10,567,013
Financing received from the Central Bank and other financial entities		1,174,111				1,176,397				1,176,397
Issued corporate bonds		4,712,216				4,432,977				4,432,977
Subordinated corporate bonds		7,565,759				7,710,790				7,710,790
		170,830,559		89,823,217		80,977,250				170,800,467

	12/31/2016
	Carrying Amount		Level 1		Level 2		Level 3		Fair Value
Financial Assets
Cash and deposits in Banks		35,986,159		35,986,159						35,986,159
Repo transactions		19,124		19,124						19,124
Other financial assets		941,219		941,219						941,219
Loans and other financing		88,390,646				481,628		87,807,196		88,288,824
Other debt securities		855,832		843,708		3,223		11,677		858,608
Financial assets delivered as guarantee		2,489,665		2,489,665						2,489,665
		128,682,645		40,279,875		484,851		87,818,873		128,583,599
Financial Liabilities
Deposits		111,862,805		58,773,034		53,175,424				111,948,458
Other repo transactions		1,095,634		1,095,634						1,095,634
Other financial liabilities		6,341,674		5,192,168		1,152,196				6,344,364
Financing received from the Central Bank and other financial entities		260,458				259,775				259,775
Issued corporate bonds		1,684,636				1,622,802				1,622,802
Subordinated corporate bonds		6,376,537				5,994,056				5,994,056
		127,621,744		65,060,836		62,204,253				127,265,089

6. INVESTMENTS IN ASSOCIATES AND JOINT ARRANGEMENTS

6.1 Associated entities

The Bank holds investments in the Macro Warrants SA. The existence of significant influence is evidenced by the representation the Bank has in the Board of Directors of the associate. In order to measure this investment, we used accounting information of Macro Warrants SA as of March 31, 2018. Additionally, the Bank has considered, when applicable, the material transactions or events occurring between March 31, 2018 and June 30, 2018.

21

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

The following table presents the summarized financial information on the Bank’s investment in the Associated:

· Macro Warrant SA

Summarized Balance sheet	06/30/2018			12/31/2017			12/31/2016
Total Assets		18,994			19,798			17,110
Total Liabilities		4,784			3,265			3,424
Net Shareholders’ Equity		14,210			16,533			13,686
Proportional Interest in the entity		5	%		5	%		5	%
Carrying Amount of Investment		711			827			684

As of June 30, 2018, the investment in Prisma Medios de Pagos SA was reclassificated as non-current assets held for sale (see Note 8). The following table presents summarized financial information on the Bank´s investments as of December 31, 2017 and 2016:

Summarized Balance sheet	31/12/2017			31/12/2016
Total Assets		14,366,838			9,703,861
Total Liabilities		12,492,991			8,815,774
Net Shareholders’ Equity		1,873,847			888,087
Proportional Interest in the entity		7,61	%		7,61	%
Carrying Amount of Investment		142,600			67,583

6.2 Joint Ventures in which the Bank participates

The Bank participates in the following joint ventures, instrumented through Uniones Transitorias de Empresas (UTE):

a) Banco Macro SA – Siemens Itron Business Services SA: on April 7, 1998, the Bank executed an agreement with Siemens Itron Services SA to organize an UTE controlled on a joint basis through a 50% interest, the purpose of which is to facilitate a data processing center for the tax administration, to modernize the systems and tax collection processes of the Province of Salta and manage and recover municipal taxes and fees.

b) Banco Macro SA – Gestiva SA: on May 4, 2010 and August 15, 2012, the Bank executed with Gestiva SA the UTE agreement to form “Banco Macro SA – Gestiva SA – Unión Transitoria de Empresas”, under joint control, the purpose of which relates to rendering the integral processing and management services of the tax system of the Province of Misiones, the management thereof and tax collection services. The Bank holds a 5% interest in this UTE.

On June 27, 2018, the Bank, the Ute and the tax authority of Misiones provincial government, entered into an agreement of “termination by mutual agreement” of the adaptation agreement, without implying or modyfing the Bank´s rights and obligations as a financial agent of the province for the services rendered established in the agreement.

· UTE WORDLINE

Summarized Balance sheet	06/30/2018			12/31/2017			12/31/2016
Total Assets		218,707			195,826			133,188
Total Liabilities		37,918			54,646			30,362
Net Shareholders’ Equity		180,789			141,180			102,826
Proportional interest in the entity		50	%		50	%		50	%
Carrying Amount of Investment		90,395			70,590			51,413

· Gestiva SA

Summarized Balance sheet	06/30/2018			12/31/2017			12/31/2016
Total Assets		153,459			116,885			107,376
Total Liabilities		19,677			18,319			15,616
Net Shareholders’ Equity		133,782			98,566			91,760
Proportional interest in the entity		5	%		5	%		5	%
Carrying Amount of Investment		6,689			4,928			4,588

22

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

7. RELATED PARTIES

A related party is a person or entity that is related to the Bank:

- has control or joint control of the Bank;

- has significant influence over the Bank;

- is a member of the key management personnel of the Bank or of a parent of the Bank;

- members of the same group;

- one entity is an associate (or an associate of a member of a group of which the other entity is a member).

Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the Bank, directly or indirectly. The Bank considers as key management personnel, for the purposes of IAS 24, the members of the Board of Directors and the Senior Management member of the Risk Management Committee, Asset and Liability Committee and the Senior Credit Committee.

As of June 30, 2018 and December 31, 2017 and 2016, there is a total amount of 762,866, 363,543 and 305,417, respectively, as unpaid financial assistance granted by the Bank to its associates and related parties and deposits of its associates and related parties of 2,506,971, 2,796,027 and 2,337,840, respectively:

	Subsidiaries(1)				Associates and other related parties
	Maximum balances as of 06/30/2018		Balance as of 06/30/2018		Maximum balances  as of 06/30/2018		Balance as of 06/30/2018
Documents						408,676		397,657
Overdraft						35,395		29,734
Credit cards		567		377		48,791		43,809
Leases		6,309		6,309		1,851		1,751
Personal loans						845		440
Mortgage loans						45,489		45,445
Other loans		1,952,244		901,973		197,843		195,379
Guarantees granted						46,895		48,651
Total assistance		1,959,120		908,659		785,785		762,866
Deposits				345,317		2,506,971

	Subsidiaries(1)				Associates and other related parties
	Maximum balances as of 12/31/2017		Balance as of 12/31/2017		Maximum balances  as of 12/31/2017		Balance as of 12/31/2017
Documents						147,763		147,733
Overdraft						25,301		7,831
Credit cards		397		389		35,203		35,203
Leases		6,973		6,973		2,204		2,157
Personal loans						786		785
Mortgage loans						14,015		13,968
Other loans		1,202,336		952,148		390,893		140,449
Guarantees granted		443		443		15,462		15,417
Total assistance		1,210,149		959,953		631,627		363,543
Deposits				108,606				2,796,027

	Subsidiaries(1)				Associates and other related parties
	Maximum balances as of 12/31/2016		Balance as of 12/31/2016		Maximum balances as of 12/31/2016		Balance as of 12/31/2016
Documents						103,927		103,336
Overdraft						17,804		7,459
Credit cards		191		191		22,057		19,573
Leases		8,036		8,036		1,189		1,168

23

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

	Subsidiaries(1)				Associates and other related parties
	Maximum balances as of 12/31/2016		Balance as of 12/31/2016		Maximum balances as of 12/31/2016		Balance as of 12/31/2016
Personal loans						1,388		1,362
Mortgage loans						10,862		10,858
Other loans		300,187				475,957		161,287
Guarantees granted		885		885		374		374
Total assistance		309,299		9,112		633,558		305,417
Deposits				134,911				2,337,840

(1) These transactions are eliminated during the consolidation process,

Transactions generated by the Bank with its subsidiaries and other related parties to it for transactions arranged within the scope of the usual and ordinary course of business, were performed in normal market conditions, both as to interest rates and prices and as to the required guarantees.

As of June 30, 2018, December 31, 2017 and 2016, the income from loan transactions totaled 16,100, 54,157 and 12,617, respectively, while expense generated from deposit transactions totaled 62,489, 163,814 and 141,184, respectively.

The Bank does not have loans granted to Directors and other key management personnel secured with shares.

Total remunerations received as salary and bonus by the key management personnel as of June 30, 2018 and December 31, 2017 and 2016, totaled 52,123, 79,905 and 41,592 respectively.

In addition, fees received by the Directors as of June 30, 2018 and December 31, 2017 and 2016 amounted to 315,616, 468,623 and 243,704 respectively.

Additionally, the composition of the Board of Directors and key management personnel is as follows:

	06/30/2018		12/31/2017		12/31/2016
Board of Directors		24		22		21
SeniorManagement members of the key management personnel		15		14		14
		39		36		35

8. NON-CURRENT ASSETS HELD FOR SALE

On June 30, 2018 the Bank recorded as non-current assets held for sale, its investment in Prisma Medios de Pago SA for an amount of 104,249, as the Bank intends to transfer all shares within a year. Therefore the investment was valued according with IFRS 5 “Non-current assets held for sale and discontinued operations”, at the lowest of its carrying amount and the best estimation of the fair value less costs until its sale.

9. PROVISIONS

This item includes the amounts estimated to face a liability of probable occurrence, which in case it occurs, would originate a loss for the Bank.

Exhibit J “Changes in Provisions” presents the changes in provisions during the six-month period ended June 30, 2018.

24

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

The expected terms to settle these obligations are as follows:

	06/30/2018
	Within 12 months		Beyond 12 months		06/30/2018		12/31/2017		12/31/2016
For administrative, disciplinary and criminal penalties				718		718		718		9,110
Others		371,613		412,243		783,856		694,201		325,897
		371,613		412,961		784,574		694,919		335,007

In the opinion of the Management of the Bank and its legal advisors, there are no other significant effects than those disclosed in the accompanying Financial Statements, the amounts and settlement terms of which have been recognized based on the current value of such estimates, considering the probable settlement date thereof.

10. ANALYSIS OF FINANCIAL ASSETS TO BE RECOVERED AND FINANCIAL LIABILITIES TO BE SETTLED

The following tables show the analysis of the balance of financial asset and liabilities the Bank expects to recover and settle as of June 30, 2018 and December 31, 2017 and 2016:

06/30/2018	Without due date		Total up to 12 months		Total over 12 months
Assets
Cash and deposits in Banks		50,309,607
Debt securities at fair value through profit or loss		5,104		292,516		1,042,082
Derivative instruments				42,981
Repo transactions				156,158
Other financial assets		1,107,370		1,357,466		50,543
Loans and other financing		1,049,649		89,644,497		64,926,373
Other debt securities				39,204,868		3,957,776
Financial assets delivered as guarantee		5,439,431		2,037,651
Investment in equity instruments		50,009
Total Assets		57,961,170		132,736,137		69,976,774
Liabilities
Deposits		92,321,452		86,987,419		164,366
Derivative instruments				34,151
Repo transactions				1,829,233
Other financial liabilities				11,041,096		153,955
Financing received from Central Bank and other financial entities				1,629,153		199,821
Issued Corporate bonds				307,910		7,817,390
Subordinated corporate bonds				101,537		11,544,680
Total Liabilities		92,321,452		101,930,499		19,880,212

12/31/2017	Without due date		Total up to12 months		Total over 12 months
Assets
Cash and deposits in Banks		35,561,574
Debt securities at fair value through profit or loss				138,068		947,960
Derivative instruments				8,228
Repo transactions				1,419,808
Other financial assets				1,269,085		1,003,594
Loans and other financing				73,767,208		58,891,466
Other debt securities				34,704,765
Financial assets delivered as guarantee		4,644,633		2,993,719
Investment in equity instruments		282,659
Total Assets		40,488,866		114,300,881		60,843,020

25

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

12/31/2017	Without due date		Total up to12 months		Total over 12 months
Liabilities
Deposits		74,499,451		69,068,373		561,346
Liabilities at fair value to profit or loss				6,450
Derivative instruments				23,107
Repo transactions				2,688,093
Other financial liabilities				10,372,665		188,538
Financing received from Central Bank and other financial entities				1,087,979		86,132
Issued Corporate bonds				118,356		4,593,860
Subordinated corporate bonds				80,004		7,485,755
Total Liabilities		74,499,451		83,445,027		12,915,631

12/31/2016	Without due date		Total up to 12 months		Total over 12 months
Assets
Cash and deposits in Banks		35,986,159
Debt securities at fair value through profit or loss				42,269		290,212
Derivative instruments				9,721
Repo transactions				19,124
Other financial assets				1,098,092		7,421
Loans and other financing				53,059,987		35,330,659
Other debt securities				20,395,499
Financial assets delivered as guarantee		2,489,700		1,200,994
Investment in equity instruments		406,868
Total Assets		38,882,727		75,825,686		35,628,292
Liabilities
Deposits		50,613,570		60,941,747		307,488
Repo transactions				1,095,634
Other financial liabilities				6,227,348		114,326
Financing received from Central Bank and other financial entities				193,845		66,613
Issued Corporate bonds				1,684,636
Subordinated corporate bonds				67,429		6,309,108
Total Liabilities		50,613,570		70,210,639		6,797,535

11. DISCLOSURES BY OPERATING SEGMENT

For management purposes the Bank’s Management has determined that it has only one operating segment related to banking business. In this sense, the Bank supervises the operating segment results for the period, in order to make decisions about resources to be allocated to the segment and assess its performance, which is measured in a consistent basis with the profit or loss in the financial statements.

12. INCOME TAX

The main items of income tax expense in the condensed consolidated interim Financial Statements are as follows:

	06/30/2018						06/30/2017
	Accumulated from beggining year up to 06/30/2018			Quarter ended 06/30/2018			Accumulated from beggining year up to 06/30/2017			Quarter ended 06/30/2017
Current income tax expense		3,200,398			1,431,044			2,511,566			1,290,979
Gain for deferred income tax		(304,819	)		(160,278	)		(222,460	)		(98,101	)
Income tax expense recorded in the statement of income		2,895,579			1,270,766			2,289,106			1,192,878
Income tax gain recorded in other comprehensive income		(26,651	)		(10,071	)		(1,292	)		(5,844	)
		2,868,928			1,260,695			2,287,814			1,187,034

26

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

13. COMMISSIONS INCOME

	06/30/2018				06/30/2017
Description	Accumulated from beggining year up to 06/30/2018		Quarter ended 06/30/2018		Accumulated from beggining year up to 06/30/2017		Quarter ended 06/30/2017
Performance obligations satisfied in one act (1)		3,941,446		2,110,785		3,076,762		1,557,039
Performance obligations satisfied over certain time period		10,225		5,387		7,982		102,659
		3,951,671		2,116,172		3,084,744		1,659,698

(1) Includes mainly account maintenance fees, agreements and credit card commissions.

14. DIFFERENCE IN QUOTED PRICES OF GOLD AND FOREIGN CURRENCY

	06/30/2018						06/30/2017
Description	Accumulated from beggining year up to 06/30/2018			Quarter ended 06/30/2018			Accumulated from beggining year up to 06/30/2017		Quarter ended 06/30/2017
Translation of foreign currency assets and liabilities to pesos		(1,315,530	)		(1,336,523	)		339,013		270,211
Income from foreign currency Exchange		453,842			324,243			208,308		95,042
		(861,688	)		(1,012,280	)		547,321		365,253

15. OTHER OPERATING INCOME

	06/30/2018				06/30/2017
Description	Accumulated from beggining year up to 06/30/2018		Quarter ended 06/30/2018		Accumulated from beggining year up to 06/30/2017		Quarter ended 06/30/2017
Services		2,108,343		1,095,438		1,759,784		836,742
Sale of investment property and other non-financial assets		137,123		27,202		10,313		10,313
Adjustments and interest from other receivables		80,095		40,181		26,373		15,793
Initial recognition of loans		56,530		33,750
Sale of property, plant and equipment		1,450		731		1,388		821
Other		296,203		178,411		333,702		204,508
		2,679,744		1,375,713		2,131,560		1,068,177

16. EMPLOYEE BENEFITS

	06/30/2018				06/30/2017
Description	Accumulated from beggining year up to 06/30/2018		Quarter ended 06/30/2018		Accumulated from beggining year up to 06/30/2017		Quarter ended 06/30/2017
Remunerations		3,354,242		1,838,841		2,737,092		1,432,657
Social Security Contributions		657,121		364,336		530,168		270,824
Compensations and bonuses to employees		343,392		184,926		211,276		100,235
Employee services		106,078		54,984		102,931		57,336
		4,460,833		2,443,087		3,581,467		1,861,052

27

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

17. ADMINISTRATION EXPENSES

	06/30/2018				06/30/2017
Description	Accumulated from beggining year up to 06/30/2018		Quarter ended 06/30/2018		Accumulated  from beggining year up to 06/30/2017		Quarter ended 06/30/2017
Taxes		449,841		223,653		339,340		177,588
Maintenance, conservation and repair expenses		374,072		207,801		254,223		132,389
Security services		314,847		167,550		244,188		122,237
Fees to Directors and Syndics		309,878		147,389		185,266		98,542
Electricity and communications		237,298		121,874		165,032		83,897
Other fees		229,507		124,424		160,039		84,429
Leases		137,875		73,696		105,564		53,664
Advertising and publicity		87,564		55,312		81,841		38,356
Representation, travel and transportation expenses		53,260		30,423		36,979		20,067
Stationary and office supplies		26,127		13,251		20,929		10,670
Insurance		24,014		13,328		23,473		12,526
Hired administrative services		8,043		4,527		8,473		2,599
Other		699,208		366,296		488,604		263,524
		2,951,534		1,549,524		2,113,951		1,100,488

18. OTHER OPERATING EXPENSES

	06/30/2018				06/30/2017
Description	Accumulated from beggining year up to 06/30/2018		Quarter ended 06/30/2018		Accumulated from beggining year up to 06/30/2017		Quarter ended 06/30/2017
Gross turnover tax		2,465,221		1,309,284		1,586,261		815,229
Charges for other provisions		353,418		187,593		204,642		134,800
Deposits Guarantee Fund contributions		132,926		68,972		99,899		50,471
Donations		47,584		24,647		45,905		23,707
Insurance claims		22,080		11,688		13,001		8,052
Initial loan recognition						48,951		41,935
Other		1,325,519		715,401		997,989		513,646
		4,346,748		2,317,585		2,996,648		1,587,840

19. ADDITIONAL DISCLOSURES IN THE STATEMENT OF CASH FLOWS

The Statement of Cash Flows presents the changes in cash and cash equivalents derived from operating activities, investing activities and financing activities during the period. For the preparation of the Statement of Cash Flows the Bank adopted the indirect method for Operating Activities and the direct method for Investment Activities and Financing Activities.

The Bank considers as “Cash and cash equivalents” the item Cash and deposits in banks and those financial assets that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value.

For the preparation of the Statement of Cash Flows the Bank considered the following:

- Operating activities: are the normal revenue-producing activities of the Bank as well as other activities that cannot be qualified as investing or financing activities.

28

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

- Investing activities: are the acquisition, sale and disposal by other means of long-term assets and other investments not included in cash and cash equivalents.

- Financing activities: are activities that result in changes in the size and composition of the Shareholders equity and liabilities of the Bank and that are not part of the operating or investing activities.

The table below presents the reconciliation between the item “Cash and cash equivalents” in the Statement of Cash Flows and the relevant accounting items of the Balance Sheet:

	06/30/2018		12/31/2017		06/30/2017		12/31/2016
Cash and deposits in banks		50,309,607		35,561,574		36,414,841		35,986,159
Debt securities at fair value				44				9,585
Other debt securities		38,037,240		5,548,056		17,214,527		16,074,409
Loans and other financing		144,308		93,871		82,992
		88,491,155		41,203,545		53,712,360		52,070,153

20. CAPITAL STOCK

The Bank’s subscribed and paid-in capital as of June 30, 2018, amounted to 669,663. Since December 31, 2014, the Bank’s capital stock has changed as follows:

As of December 31, 2014	594,563
Capital stock decrease as provided by Art, 67 of Law No, 26,831 (1)	(10,000	)
Capital stock increase as approved by Shareholders´ Meeting held on April 28, 2017 (2)	85,100
As of June 30, 2018	669,663

(1) Related to capital stock decrease resulting from the lapse of three years from acquisition from September through December 2011, involving 10,000,000 own registered Class B shares of common stock for a total amount of 92,919. These shares have not been sold and the shareholders’ meeting has issued no resolution as to the application thereof. On June 25, 2015, the capital stock decrease was registered in the Public Registry of Commerce.

(2) Related to capital stock increase arising from (i) the issue of 74,000,000 new, common, registered, Class “B” shares with a face value of Ps. 1, each one entitled to one vote, and entitled to dividends under the same conditions as common, registered, Class “B” shares, outstanding upon issuance, formalized on June 19, 2017 and (ii) additionally, as established by the abovementioned Meeting, the international underwriters exercised the option to oversubscribed 15% of the capital stock which was formalized on July 13, 2017 through the issuance of 11,099,993 new, common, registered, Class “B” shares each one entitled to one vote and with a face value of Ps.1. On August 14, 2017, such capital increases were registered with the Public Registry of Commerce.

The public offering of the new shares was authorized by CNV Resolution No, 18,716 dated on May 24, 2017 and by the BCBA on May 26, 2017. As required by CNV regulations, it is advised that the funds arising from the public subscription of shares shall be used to finance its general business operations, to increase its borrowing capacity and leverage the potential acquisitions opportunities in the Argentine financial system.

Additionally, on August 8, 2018 the Board of Directors of Banco Macro SA, has established the terms and conditions for the acquisition of its own shares, in accordance with section 64 of Law 26,831 and CNV rules, under the following conditions:

(1) Maximum amount to invest: up to 5,000,000

(2) Maximum number of shares for own acquisition: up to 5% of the capital stock

(3) Maximum price to pay for shares: up to Ps. 158 per share

29

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

(4) Terms in which the acquisition will take place: 30 business days, beginning from the following day in which the information is published in the Bulletin of the Buenos Aires Stock Exchange, subject to renewal or extension of the term, which will be informed to investors.

As mention in the preceding paragraph, until the date of issuance of these condensed consolidated interim Financial Statements, the Bank has adquired 7,149,035 common shares Class B for a face value Ps.1 for an amount of 1,030,754.

21. EARNINGS PER SHARE

Basic earnings per share were calculated by dividing net profit attributable to ordinary equity holders of the Bank by the weighted average number of ordinary shares outstanding during the period.

To determine the weighted average number of ordinary shares outstanding during the period the Bank used the number of ordinary shares outstanding at the beginning of the period adjusted, if applicable, by the number of ordinary shares bought back or issued during the period multiplied by the number of days that the shares were outstanding in the period, Note 19 provides a detail of the changes in the Bank’s capital stock.

The calculation of basic earnings per share is disclosed in the table of Earnings per share included in the condensed consolidated interim Statement of Income.

Dividends paid and proposed

Cash dividends paid during the fiscal years 2017 and 2016 to the shareholders of the Bank amount to 701,476 and 596,254, respectively, which considering the number of shares outstanding to the date of effective payment represented 1.20 and 1.10 pesos per share, respectively.

The Shareholders’ Meeting held on April 27, 2018 resolved to distribute cash dividends for 3,348,315, which considering the number of shares outstanding at the date of such resolution, represented 5 pesos per share. These cash dividends were paid on May 15, 2018.

22. DEPOSIT GUARANTEE INSURANCE

Law No. 24485 and Decree No. 540/1995 created the Deposit Guarantee Insurance System, which was featured as a limited, compulsory and onerous system, aimed at covering the risks of bank deposits, as subsidiary and supplementary to the deposit privilege and protection system established under the Financial Entities Act. The above mentioned legislation also provided for the organization of Sedesa with the exclusive purpose of managing the Deposit Guarantee Fund (DGF). Sedesa was organized in August 1995.

Banco Macro SA holds an 8.4020% interest in the capital stock of Sedesa according to the percentages disclosed by Central Bank Communiqué “B” 11681 on March 20, 2018.

According to the above mentioned law and decree, all deposits in pesos and foreign currency placed in participating entities in the form of checking accounts, savings accounts, fixed-term deposits or other forms of deposit that the Central Bank may determine from time to time shall be subject to the above described Deposit Guaratee Insurance System, up to the amount of 450 and that meet the requirements provided for in the Decree 540/1995 and other requirements that the regulatory Authority may from time to time determine. On the other hand, the Central Bank provided for the exclusion of the guarantee system, among others, of any deposits made by other financial entities, deposits made by persons related to the Bank and security deposits.

30

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

23. RESTRICTED ASSETS

As of June 30, 2018 and December 31, 2017, the followings Bank´s assets are restricted:

Item	06/30/2018		12/31/2017
Debt securities at fair value through profit or loss and other debt securities
·     Central Bank of Argentina Internal Bills in pesos, maturity 09-19-2018 as of June 30, 2018 and maturing 02-21-2018 as of December 31, 2017, for the performance of forward foreign currency transactions.		156,990		53,059
·     Discount bonds in pesos regulated by Argentinean legislation, maturing 2033 used as security in favor of Sedesa (1).		121,368		117,454
·     Discount bonds in pesos regulated by Argentinean legislation, maturing 2033 securing the regional economies Competitiveness Program – BID loan No. 3174/OC-AR.		86,851		98,541
·     Central Bank of Argentina Internal Bills in pesos, maturing 09-19-2018 as of June 30, 2018 and maturity 02-21-2018 as of December 31, 2017, securing the operation through negotiation secured transaction Segment as the main counterparty of the MAE.		50,407		9,647
Discount bonds in pesos regulated by Argentinian legislation, maturing 2033, for minimum counterpart required for Agents to act in the new categories contemplated under Resolution No. 622/13 of the CNV.		11,580		13,139
·     Discount bonds in pesos regulated by Argentinean legislation, maturing 2033 securing a BID loan of Province of San Juan No. 2763/OC-AR.		7,817		8,869
·     Discount bonds in pesos regulated by Argentinian legislation, maturing 2033 securing the sectorial Credit Program of the Province of San Juan, Production investment financing fund.		7,672		8,704
·     Secured bonds under Presidential Decree No, 1579/2002 as security for a loan received from Banco de Inversión y Comercio Exterior SA (Bice).				4,270
·     Other public and private securities.		26,309		26,490
Subtotal debt securities at fair value through profit or loss and other debt securities		468,994		340,173
Other financial assets
·     Sundry debtors – foreclosure within the scope of the claim filed by the DGR against the City of Buenos Aires for differences on gross turnover tax. Subtotal Other financial assets		827		827
		827		827
Loans and other financing – non financial private sector and foreign residents
·     Interests derived from contributions made as protector (2)		113,998		113,998
Subtotal loans and other financing – non-financial private sector and foreign residents		113,998		110,848
Financial assets delivered as a guarantee
·     Special guarantee checking accounts opened in Central Bank for transactions related to the electronic clearing houses and similar entities.		4,821,479		4,005,730
·     Forward purchase for repo transactions.		2,034,516		2,993,719
·     Guarantee deposits related to credit and debit card transactions.		605,485		623,491
·     Other guarantee deposits.		15,602		15,412
Subtotal Financial assets delivered as a guarantee		7,477,082		7,638,352
Other non financial assets
·     Real property related to a call option sold.		115,888		222,023
Subtotal Other non-financial assets		115,888		222,023
Total		8,176,789		8,312,223

31

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

(1) As replacement for the preferred shares of former Nuevo Banco Bisel SA to secure to Sedesa the price payment and the fulfillment of all the obligations assumed in the purchase and sale agreement dated May 28, 2007, maturing on August 11, 2021.

(2) In order to keep tax benefits related to these contributions, they must be maintained between two and three years from the date they were made. The same correspond to the following risk funds: Risk fund of Garantizar SGR, Risk fund of Los Grobo SGR and Risk fund of Avaluar SGR as of June 30, 2018 and December 31, 2017.

Additionally, as of December 31, 2016, the amount of restricted assets was 4,191,090.

24. TRUST ACTIVITIES

The Bank is related to several types of trusts. The different trust agreements according to the business purpose sought by the Bank, are disclosed below:

24.1. Financial trusts for investment purposes

Debt securities include mainly prepayments towards the placement price of trust securities of the financial trusts under public offerings, made by the Bank through underwriting agreements (Consubond, Garbarino, Accicom, Secubono, Mila, Credicuotas Consumo, Credimas and Pvcred, Naldo Lombardi). The assets managed for these trusts are mainly related to securitizations of consumer loans. Trust securities are placed once the public offering is authorized by the CNV. Upon expiry of the placement period, once all trust securities have been placed on the market, the Bank recovers the disbursements made, plus an agreed-upon compensation (“underwriting Price”). If after making the best efforts, such trust securities cannot be placed, the Bank (“Underwriter”) will retain the securities subject to underwriting.

As of June 30, 2018 and December 31, 2017 and 2016, debt securities and certificates of participation in financial trusts administrated by the Bank for investment purpose, total to 1,029,235, 1,011,828 and 730,672, respectively.

According to the latest accounting information available as of the date of issuance of these condensed consolidated interim Financial Statements, the corpus assets of the trusts exceed the carrying amount in the related proportions.

24.2. Trusts created using financial assets transferred by the Bank

The Bank transferred financial assets (loans) to trusts for the purpose of issuing and selling securities for which collection is guaranteed by the cash flow resulting from such assets or group of assets. This way the funds that were originally used to finance the loans are obtained earlier.

As of June 30, 2018 and December 31, 2017 and 2016, considering the latest available accounting information as of the date of the accompanying condensed consolidated interim Financial Statements, the assets managed through Macro Fiducia SA (subsidiary) of this type of trusts amounted to 69,806, 116,697 and 59,128, respectively.

24.3. Trusts guaranteeing loans granted by the Bank

As it is common in the Argentine banking market, the Bank requires, in some cases, that the debtors present certain assets or entitlements to receive assets in a trust as a guarantee for the loans granted. This way, the risk of losses is minimized and access to the security is guaranteed in case of the debtor's noncompliance.

Trusts usually act as conduits to collect cash from the debtor’s flow of operations and send it to the bank for the payment of the debtor’s loans and thus ensure compliance with the obligations assumed by the trustor and guaranteed through the trust.

Additionally, other guarantee trusts manage specific assets, mainly real property.

Provided there is no noncompliance or delays by debtor in the obligations assumed with the beneficiary, the Trustee shall not execute the guaranty and all excess amounts as to the value of the obligations are reimbursed by the Trustee to the debtor.

32

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

As of June 30, 2018 and December 31, 2017 and 2016, considering the latest available accounting information as of the date of the accompanying condensed consolidated interim Financial Statements, the assets managed by the Bank amounted to 490,300, 328,268 and 451,569, respectively.

24.4. Trusts in which the Bank acts as trustee (management)

The Bank, through its subsidiaries, performs management duties of the corpus assets directly according to the agreements, performing only trustee duties and has no other interests in the trust.

In no case shall the Trustee be liable with its own assets or for any obligation deriving from the performance as trustee, Such obligations do not imply any type of indebtedness or commitment for the trustee and they will be fulfilled only through trust assets, In addition, the trustee will not encumber the corpus assets or dispose of them beyond the limits established in the related trust agreements, The fees earned by the Bank from its role as trustee are calculated according to the terms and conditions of the agreements.

Trusts usually manage funds derived from the activities performed by trustors, for the following main purposes:

– Guaranteeing, in favor of the beneficiary the existence of the resources required to finance and/or pay certain obligations, such as the payment of amortization installments regarding work or service certificates, and the payment of invoices and fees stipulated in the related agreements.

– Promoting the production development of the private economic sector at a provincial level.

– Being a party to public work concession agreements granting road exploitation, management, keeping and maintenance.

As of June 30, 2018 and December 31, 2017 and 2016, considering the latest available accounting information as of the accompanying condensed consolidated interim Financial Statements, the assets managed by the Bank amounted to 3,200,292, 2,200,840 and 2,117,959, respectively.

25. COMPLIANCE WITH CNV STANDARDS

25.1 Compliance with CNV standards to act in the different agent categories defined by the CNV:

25.1.1 Operations of Banco Macro SA

Considering Banco Macro SA’s current operations, and according to the different categories of agents established by CNV General Resolution No, 622, the Bank is registered with this agency as agent for the custody of collective investment products of mutual funds (AC PIC FCI for their acronyms in Spanish language), comprehensive clearing and settlement agent and trading agent (ALyC and AN – comprehensive, for their acronyms in Spanish language), financial trustee Agent (FF for its acronym in Spanish language) and Guarantee Entity (in the process of being registered).

Additionally, the Bank’s shareholders’ equity exceeds the minimum amount required by this regulation, amounting to 32,000, as well as the minimum counterpart required of 11,000, which the Bank paid-in with government securities as described in Note 22 to the accompanying condensed consolidated interim Financial Statements.

25.1.2 Operations of Banco del Tucumán SA

Considering Banco del Tucumán SA’s current operations, and according to the different categories of agents established by CNV General Resolution No, 622, the Bank is registered with this agency under the following agent categories: mutual investment funds placement and distribution agent (ACyD FCI), financial trustee agent (FF) and clearing and settlement agent and trading agent (ALyC and AN – Individual).

Additionally, the shareholders’ equity of this Subsidiary exceeds the minimum amount required by this regulation, amounting to 3,500, as well as the minimum counterpart required of 1,750, which the subsidiary paid-in with government securities.

33

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

25.1.3 Operations of Macro Securities SA

Considering the current operations of this Subsidiary, and according to the provisions established by CNV effective as of the approval of the General Resolution No. 622/2013 issued by such agency, the Company is registered with this agency CNV under the following categories: clearing and settlement agent, trading agent, comprehensive trading agent and mutual investment funds placement and distribution agent (ALyC, AN, AN – comprehensive and ACyD FCI).

Additionally, the shareholders’ equity of this Company exceeds the minimum amount required by this regulation, amounting to 18,125 as well as the minimum counterpart required of 9,000, which the Company paid-in with mutual fund units or shares.

25.1.4 Operations of Macro Fondos Sociedad Gerente de Fondos Comunes de Inversión SA

Considering the current operations of this Subsidiary and according to the provisions established by CNV effective as of the approval of the General Resolution No. 622/2013 issued by such agency, the Company is registered with the CNV as agent for the Administration of Collective Investment Products of Mutual Funds.

Additionally, the shareholders’ equity of this Company exceeds the minimum amount required by this regulation, amounting to 500 plus 100 per each additional Mutual Fund it administers, and the minimum countpart amounting to 1,100 and is paid-in with mutual fund units or shares.

25.1.5 Operations of Macro Fiducia SA

Considering the current operations of this Subsidiary, and according to the provisions established by CNV effective as of the approval of the General Resolution 622 issued by such agency, the Company is registered with the CNV as Financial Trustee agent and Non-Financial Trustee agent.

Additionally, the shareholders’ equity of this Company exceeds the minimum amount required by this regulation, amounting to 6,000, and the minimum countpart amounting to 3,000 and is paid-in with mutual fund units or shares.

25.2 Documents in custody

As a general policy, the Bank delivers for custody to third parties, the documentary support of its aged accounting and management operations, i.e. those whose date is prior to the last fiscal year-end, except for the Inventory Book, in which aging is deemed to include those with a date prior to the two fiscal years ended. In compliance with CNV General Resolution No. 629 requirements, the Bank has placed (i) the Inventory Books for fiscal years ended through December 31, 2015 included, and (ii) certain documentation supporting the economic transactions for fiscal years ended through December 31, 2017, included, under the custody of the following companies: AdeA Administradora de Archivos SA (warehouse located at Ruta 36, km 31.5, Florencio Varela, Province of Buenos Aires) and ADDOC Administración de Documentos SA (warehouse located at Avenida Circunvalación Agustín Tosco with no number, Colectora Sur, between Puente San Carlos and Puente 60 blocks, Province of Córdoba and Avenida Luis Lagomarsino 1750, formerly Ruta 8 Km 51.200, Pilar, Province of Buenos Aires).

25.3 As depositary of Mutual Funds

As of June 30, 2018 Banco Macro SA, in its capacity as Depositary Company, holds in custody the shares in Mutual Funds subscribed by third parties and assets from the following mutual funds:

34

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

Fund	Number of shares		Equity
Pionero Pesos		1,264,531,571		4,994,823
Pionero Renta Ahorro		1,524,811,495		11,329,957
Pionero F F		140,720,374		839,993
Pionero Renta		9,575,695		151,691
Pionero Acciones		21,260,560		415,217
Pionero Renta Plus		82,805,233		1,468,883
Pionero Empresas FCI Abierto PYMES		196,578,848		526,126
Pionero Pesos Plus		224,633,209		533,296
Pionero Renta Ahorro Plus		642,792,339		1,095,645
Pionero Renta Mixta I		119,555,896		164,496
Pionero Renta Mixta II		494,755,103		742,491
Pionero Renta Estratégico		422,791,472		421,901
Pionero Renta Capital		50,000		50
Pionero Argentina Bicentenario		50,000		50
Pionero Ahorro Dólares		276,964,256		8,319,382
Pionero Renta Global		50,000		1,443
Pionero Renta Fija Dólares		28,233,767		816,353
Argenfunds Renta Pesos		455,725,857		1,100,176
Argenfunds Renta Argentina		111,145,931		361,384
Argenfunds Ahorro Pesos		371,626,423		1,448,983
Argenfunds Renta Privada FCI		157,163,807		704,456
Argenfunds Abierto Pymes		98,771,168		85,691
Argenfunds Renta Total		1,041,548,885		1,915,919
Argenfunds Renta Flexible		446,637,628		658,134
Argenfunds Renta Dinámica		150,250,705		203,776
Argenfunds Renta Mixta		77,935,608		128,458
Argenfunds Renta Global		138,538,228		200,176
Argenfunds Renta Capital		7,234,449		215,120
Argenfunds Renta Balanceada		208,789,752		290,291
Argenfunds Renta Crecimiento		8,785,320		261,934

26. ACCOUNTING ITEMS THAT IDENTIFY THE COMPLIANCE WITH MINIMUM CASH REQUIREMENTS

The items recognized by the Bank to constitute the minimum cash requirement effective for June 2018 are listed below, indicating the balances as of month-end of the related items:

Description	Banco Macro SA		Banco del Tucumán SA
Cash and deposits in banks
Amounts in Central Bank accounts		35,343,995		3,185,490
Other debt securities
Government securities computable for the minimum cash requierements		3,373,000
Financial assets delivered as guarantee
Special guarantee accounts with the Central bank		4,520,583		300,896
Total		43,237,578		3,486,386

35

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

27. PENALTIES APPLIED TO THE FINANCIAL ENTITY AND SUMMARY PROCEEDINGS INITIATED BY THE CENTRAL BANK

The Central Bank Communiqué “A” 5689 requires banks to disclose in their financial statements certain information regarding summaries and sanctions received from certain regulatory authorities, regardless of the amounts involved and the final conclusions of each cause.

Next follows a description of the situation of Banco Macro SA and Banco del Tucumán SA as of June 30, 2018:

Banco Macro SA

Summary proceedings filed by the Central Bank

Criminal foreign exchange regime summary proceedings: No. 6545 dated 09/03/2015.

Reason: Alleged breach of article No, 1 subsections e) and f) of the CFEL and the Central Bank Communiqué “A” 5264, as amended and supplemented, for foreign exchange transactions with a customer without the documentation to support the genuineness of the transaction.

Proceeding filed against: Banco Macro SA and the officer responsible for Foreign Trade and Foreign Exchange (Susana Lerman, José Luis Vejo, Jorge Francisco Scarinci and Horacio Ricardo Javier Sistac, Carlos Daniel Gomez and Oscar Luis Romero).

Status: On 11/11/2015 Banco Macro SA and the individuals accused under the summary proceedings filed their defenses offering evidence and requesting their acquittal. Furthermore, through resolution dated 05/23/2016, the Central Bank decided to dismiss the motion to declare the criminal action no longer enforceable under the statute of limitations filed by Banco Macro SA and the above mentioned individuals. On 05/31/2016 the Bank filed a motion for annulment with a supplementary appeal. On 07/11/2016 the Central bank decided to dismiss such motion for annulment. Against such decision, the Bank filed a motion on 07/15/2016 reserving the right to re-edit the motion to declare the criminal action no longer enforceable under the statute of limitations before the relevant competent National Court of First Instance in Criminal Economic Matters under the situation provided for in section 9 of the CFEL. On 08/09/2016 the Bank filed its memorial due to the closing of the evidentiary stage and on 08/18/2016, filed a motion requesting the retroactive application of the more benign foreign exchange rule. On 04/12/2018 the Bank was served notice of the decision of the Central Bank which, based on the application of the more benign foreign exchange rule, declared its accusation against the individuals involved in the summary proceedings null and void and therefore ordered the closing of the proceedings.

Financial Summary proceedings: No. 1496 dated 02/24/2016.

Reason: deficiencies on the consolidated supervision exercised by the Bank regarding its subsidiaries, with non-compliance of internal controls.

Proceeding filed against: Banco Macro SA and the Members of the Board of Directors (Jorge Horacio Brito, Delfín Jorge Ezequiel Carballo, Jorge Pablo Brito, Marcos Brito, Juan Pablo Brito Devoto, Luis Carlos Cerolini, Carlos Enrique Videla, Alejandro Macfarlane, Guillermo Eduardo Stanley, Constanza Brito and Emanuel Antonio Alvarez Agis).

Status: pending resolution before the Central Bank. On 04/07/2016, we filed the defenses and evidence. On 05/18/2016 we requested on behalf of the accused Delfin Jorge Ezequiel Carballo the resolution of the motion for lack of standing to be sued. To date this motion is still pending resolution.

Penalties imposed by the Central Bank

Financial Summary proceedings: No. 1380 dated 03/11/2013.

Reason: Alleged excess in the assets used for guarantee purposes which should have been used for related statutory operation ratios; failure to fulfill with the limitations of deposit increase, lack of veracity in book records, neglect to present the corresponding accounting disclosure of such excess and failures according to Central Bank’s requirements. Penalty amount: 2,000.

Proceeding filed against: former Banco Privado de Inversiones SA, Directors, Supervisory Committee and Corporate Services Manager (Alejandro Manuel Estrada, Raúl Fernandez, Alejandro Carlos Estrada, Eduardo Guillermo Castro, Jorge Norberto Cerrotta, Armando Rogelio Pomar, Carlos Soulé and Baruki Luis Alberto Gonzalez).

36

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

Status: On 06/12/2015 the Central Bank passed Judgment No. 527, imposing fines to those responsible. On 06/25/2015 the fine was paid. On 07/10/2015 a direct appeal was filed against such resolution to CNACAF (Court of Appeals in Contentious Administrative Matters). On December 2015, the penalty amount was recovered by the Bank as a result of the guarantee provided by the sellers at the moment of acquisition of the shares of former BPI SA. On September 2015, the appeals were filed with Courtroom II, under case No. 48607/2015 of CNACAF. On 05/10/2016, Courtroom II decided to confirm the penalties imposed by the Central Bank. Upon such decision, the Bank filed an extraordinary appeal that was dismissed by the Courtroom II of the CNACAF on 08/02/2016, On 08/16/2016 a motion for reconsideration of dismissal of appeal was lodged on behalf of the Bank and of Mr. Carlos Soulé before the Argentine Supreme Court of Justice (CSJN) upon rejection of the federal extraordinary appeal, which is still pending to date.

Financial Summary proceedings: No. 1401 dated 08/14/2013.

Reason: alleged failure in financing to the non-financial public sector, for temporary overdrafts through checking accounts of the Municipality of Córdoba and Reconquista. Penalty amount: 2,400.

Proceeding filed against: Banco Macro SA and the members of the Board (Jorge Horacio Brito, Jorge Pablo Brito and Marcos Brito).

Status: On 03/02/2015 the Central Bank passed Resolution No. 183/15 imposing fines to the Bank, which were debited from the Bank´s account 00285 on 03/12/2015. On 03/30/2015 a direct appeal was filed with the CNACAF against such resolution. On April 2015 the appeal was presented at Courtroom IV of the CNACAF under No. 19,971/2015. On 06/23/2015 the Court informed the Central Bank about the appeal lodged by Banco Macro. On 07/13/2016 Courtroom IV of the CNACAF sustained the appeal filed by the Bank and annulled the decision imposing the fines to the Bank. The Central Bank filed an extraordinary appeal, which was answered by the Bank on 08/29/2016. On 09/06/2016 Courtroom IV of the CNACAF dismissed Central Bank’s extraordinary appeal. On 09/14/2016 the Central Bank lodged a motion for reconsideration of dismissal of the extraordinary appeal with the CSJN (Argentine Supreme Court of Justice), which is still pending resolution.

Penalties imposed by the Financial Information Unit (UIF)

File: No. 62/2009 dated 01/16/2009.

Reason: Purchase of foreign currency from April 2006 through August 2007. Penalty amount: 718.

Penalty imposed on: Banco Macro SA and those in charge of Anti-money laundering regulation compliance (Juan Pablo Brito Devoto and Luis Carlos Cerolini).

Status: The UIF passed Resolution No. 72/2011 on 06/09/2011, imposing fines to those responsible. An appeal was lodged with the CNACAF. On 10/31/2016 the Courtroom III decided the following: (i) on the one hand, as to the transactions carried out between 10/11/2006 and 08/22/2007, to declare that the punitive power of the UIF had expired at the time of the summary proceedings, rendering UIF`s Resolution 72/2011 invalid, (ii) on the other hand, as to the transactions performed from 03/05/2007 and from 04/17/2007 through 08/22/2007, to refer these proceedings again to the UIF for a new resolution readjusting the fines imposed on the Bank and Messrs. Juan Pablo Brito Devoto and Luis Carlos Cerolini. Upon such court order, both the UIF and the Bank lodged an extraordinary appeal. Such appeals were rejected by the Court on April 25, 2017. On May 10, 2017 both the Bank and the UIF filed a motion for reconsideration of dismissal of appeal before the Argentine Supreme Court which is still pending resolution.

File: No. 248/2014 (UIF Note Presidency 245/2013 11/26/2013) dated 07/30/2014.

Reason: Alleged deficiencies in preparing certain “Reports on suspicious transactions (ROS)” due to cases of infringement detected in certain customer files. Penalty amount: 330.

Penalty imposed on: Banco Macro SA, the members of the Board and those in charge of Anti-money laundering regulation compliance (Luis Carlos Cerolini – both as Compliance Officer and Director - and Jorge Horacio Brito, Delfín Jorge Ezequiel Carballo, Juan Pablo Brito Devoto, Jorge Pablo Brito, Alejandro Macfarlane, Carlos Enrique Videla, Guillermo Eduardo Stanley, Constanza Brito, Emanuel Antonio Alvarez Agis, Marcos Brito and Rafael Magnanini –as Directors of Banco Macro SA-).

Status: upon notice of the summary proceedings, on 05/08/2015 the Bank filed its defense, offering evidence and requesting its acquittal. On 12/26/2016 the UIF passed Resolution 164/16 imposing fines on those responsible and issuing a favorable decision on the plea of lack of locus standi lodged by Messrs. Carballo and Magnanini. On 01/30/2017 the Bank paid the fine imposed by the UIF, due to the the non-staying effect thereof. On 03/13/2017 a Direct Appeal was filed against such resolution, and the legal action it be decided at Room III of the CNACAF, entitled “Banco Macro SA et al vs, UIF on Criminal Code – Law 25246 – Decree 290/07 sect. 25” (Court File No. 13500/2017). This court file is pending resolution.

37

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

Although the above described penalties do not involve material amounts, as of the date of issuance of the accompanying consolidated Financial Statements, the total amount of monetary penalties received, pending payment due to any appeal lodged by the Bank, amounts to 718 and was recognized according to the Central Bank’s Communiqués “A” 5689 and 5940, as amended and supplemented.

Additionally, there are pending summary proceedings before the CNV and the UIF, as described below:

File: No. 1480/2011 (CNV Resolution No. 17529) dated 09/26/2014.

Reason: Potential non-compliance with the obligation to inform a “Significant Event”.

Persons subject to summary proceedings: Banco Macro SA, the members of the Board, the regular members of the Supervisory Committee and the person/s responsible for Market Relations (Jorge Horacio Brito, Delfín Jorge Ezequiel Carballo, Juan Pablo Brito Devoto, Jorge Pablo Brito, Luis Carlos Cerolini, Roberto Julio Eilbaum, Alejandro Macfarlane, Carlos Enrique Videla, Guillermo Eduardo Stanley, Constanza Brito, Daniel Hugo Violatti, Ladislao Szekely, Santiago Marcelo Maidana and Herman Fernando Aner).

Status: on 10/28/2014 the Bank and the persons involved filed their defenses offering evidence and requesting their acquittal. On 08/03/2015 the term to produce evidence was closed and on 08/19/2015 the defendants lodged their memorials. To the date hereof this action is still pending resolution.

File: 2577/2014 (CNV Resolution No. 18863) dated 07/20/2017.

Reason: potential non-compliance with de provisions of section 59 of Law 19550 and paragraph 1 of Chapter 6 Section 19 of Article IV of Chapter II of CNV Rules (Revised 2013, as amended) in force at the time of the issues under analysis.

Persons subject to summary proceedings: Banco Macro SA, in its capacity as Custody Agent of Collective Investment Products of Mutual Funds, regular Directors and regular members of the Supervisory Committee (Jorge Horacio Brito, Delfín Jorge Ezequiel Carballo, Jorge Pablo Brito, Marcos Brito, Juan Pablo Brito Devoto, Luis Carlos Cerolini, Federico Pastrana, Carlos Enrique Videla, Alejandro Macfarlane, Guillermo Eduardo Stanley, Constanza Brito, Emmanuel Antonio Alvarez Agis, Alejandro Almarza, Carlos Javier Piazza and Vivian Haydee Stenghele).

Status: on 07/28/2017 the Bank and the persons subject to these summary proceedings were given notice of this action and were given 10 business days to make the relevant filing. On August 11, 2017, the Bank filed its defense requesting the nullity of the accusation, the expiration of the time limit to file the administrative criminal actions and the lack of responsibility of the people subject to these summary proceedings for the acts subject matter of this action since such supervisory obligation is not in accordance with the role of the Custody Agent. On 12/06/2017 the court held the firs preliminary hearing and the summary proceedings turned to be under the analysis of the CNV, who shall decide whether it allows for the production of evidence or directly decides on the merits of the case.

File: No. 137/2015 (UIF Resolution No, 136/2017) dated 12/19/2017.

Reason: alleged breach to the contents of the Code of Procedure applicable to Anti-money Laundering and Terrorism Financing as Settlement and Clearing Agent at the time of an inspection of the CNV and to the Internal Audit Process referred to in its capacity as Settlement and Clearing Agent (UIF Resolution No. 229/2011, as amended).

Persons subject to summary proceedings: Banco Macro SA, members of the management body during the period subject-matter of these summary proceedings (Jorge Horacio Brito, Jorge Pablo Brito, Juan Pablo Brito Devoto, Constanza Brito, Marcos Brito, Delfín Jorge Ezequiel Carballo, Delfín Federico Ezequiel Carballo, Carlos Enrique Videla, Alejandro Macfarlane, Guillermo Eduardo Stanley, Emmanuel Antonio Alvarez Agis, Nicolás Alejandro Todesca, Carlos Alberto Giovanelli, José Alfredo Sanchez, Martín Estanislao Gorosito, Roberto Julio Eilbaum, Mario Luis Vicens, Nelson Damián Pozzoli, Luis María Blaquier, Ariel Marcelo Sigal, Alejandro Eduardo Fargosi, Juan Martin Monge Varela and Luis Cerolini in his double capacity as compliance officer and member of the management body).

Status: on 03/08/2018 the Bank and the persons subject to these summary proceedings filed their defenses. Additionally, the UIF ordered the production of evidence and therefore on 03/28/2018 and 04/03/2018 official information written notices were given to the Central Bank and CNV. The evidence offered was provided; therefore, on May 21, 2018, the UIF declared that the trial stage was concluded and set the case for the closing arguments. On June 8, 2018, the Bank, the directors and the compliance officer provided their closing arguments. To date, the UIF is analyzing the file in order to issue a resolution.

File: No. 1208/2014 (UIF Resolution No. 13/2016) dated January 15, 2016.

Reason: Alleged failure to comply with the Anti-Money Laundering Law, as amended, and UIF Resolution No. 121/11.

38

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

Persons subject to the summary proceedings: Banco Macro SA, Jorge Horacio Brito, Delfín Jorge Ezequiel Carballo, Juan Pablo Brito Devoto, Jorge Pablo Brito, Luis Carlos Cerolini, Alejandro Macfarlane, Carlos Enrique Videla, Guillermo Eduardo Stanley, Constanza Brito, Marcos Brito and Emmanuel Antonio Álvarez Agis.

Status: On May 17, 2018, the Bank and the individuals were notified about Resolution No. 13/2016, whereby the summary proceedings were opened. The proceedings began due to the Central Bank submission on May 12, 2014, of the background related to the overall inspection performed in Banco Macro SA from November 26, 2013, through January 17, 2014, by the Special Operations Oversight Management in order to evaluate the measures adopted by the Bank for the prevention of money laundering and terrorism financing. The UIF stated in the resolution that summary proceedings should be filed “to discharge any responsability that may be borne by Banco Macro SA, its Board of Directors and/or compliance officers that were holding office during the term of the alleged infringements described in the recitals hereof, so as to determine whether they committed the crime punished under section 24(1) and (2), Law No. 25,246, as amended”. On May 17, 2018, the Bank was notified about such case file. On June 15, 2018, Banco Macro SA, the members of the Board of Directors and the compliance officer filed their defense briefs. On July 2, 2018, the UIF sustained the lack of capacity to be sued of Delfín Jorge Ezequiel Carballo, discarding his responsability in this summary proceeding.

Banco del Tucumán SA

Summary proceedings filed by the Central Bank

Criminal Foreign Exchange Regime Summary Proceedings: No. 3078 dated 06/24/2008.

Reason: Alleged breach of Section 8 of the Criminal Foreign Exchange Regime Act, for irregularities in US dollar sale transactions of the financial intermediary established in Communiqué “B” 7174.

Proceedings filed against: Banco del Tucumán SA, manager and responsible for Operations, Treasurer and Cashiers (Francisco Carlos Bustamante, Juan Ramón Lemoine, Héctor Gaspar Taranto, Héctor Arnaldo Brito, Ana Carolina De Genova Palomar, Jorge Marcelo Albertinetti, Sergio Fabián Intile, Lorena Natalia Frías and Carla Andrea Rocha).

Status: On 12/29/2011 the Federal Judge No. 1 of Tucumán decided to declare the criminal action expired under the statute of limitations. This decision was appealed on 02/01/2012 by the District Attorney No, 1 of Tucumán. On 07/31/2013 the relevant Court of Appeals sustained such decision and the case was subsequently sent to Room I of the Court of Criminal Appeals in Cassation as a result of a Cassation Appeal filed by the District Attorney. On 05/26/2016 Room I sustained the Cassation Appeal, revoking the decision of the Federal Judge No. 1 in the case in which a new decision shall have to be issued in accordance with the ruling of Room I of the Court of Criminal Appeals in Cassation. As of June 30, 2018, (i) on June 27, 2018, the law firm became aware of Criminal Foreign Exchange Regime Summary Proceedings No. 3078 of the Central bank and was notified that, on October 22, 2012, Federal Court No. 1 of Tucumán declared the criminal action to be extinguished due to the lapse of the statute of limitations in relation to the facts punished by the foreign exchange criminal regime that gave rise to the summary proceedings; and (ii) as to the main charged person, former employee of the Bank, Francisco Carlos Bustamante, on May 24, 2018, Federal Court No. 2 decided to declare the criminal action to be barred by the statute of limitations pursuant to section 59(3) of the Criminal Code and, consequently, acquit such person. This resolution is final.

Penalties imposed by the Central Bank

Financial Summary Proceedings: No. 1349 dated 09/07/2012.

Reason: Alleged breach of the provisions of Communiqué “A” 3054, OPRAC 1-476, Exhibit, Article 2, section 2.1 and Article 3, section 3.1.2.; and Communiqué “A” 4798, OPRAC 1-613, Exhibit, Article 4, section 41., regarding the financing to the Non-Financial Public Sector, for the acquisition of secured loans without the appropriate authorization by the Central Bank. Penalty amount: 1,440.

Proceedings filed against: Banco del Tucumán SA and the members of the Board of Directors (Jorge Horacio Brito, Luis Carlos Cerolini, Delfín Jorge Ezequiel Carballo, Jorge Pablo Brito, Claudio Alejandro Cerezo and Waldo Camilo López).

Status: On 03/12/2014 the Central Bank issued Res, 149/14 applying the fine. On 03/19/2014 such fine was debited from the account number 00060 of the Bank. On 04/08/2014 the Bank filed a direct appeal against the resolution of the SEFyC, on behalf of the Bank and of the individuals involved in the summary proceedings, before the CNACAF, who sustained Resolution 149/14. On 11/14/2014 the Bank filed an extraordinary appeal for arbitrariness of the decision issued by the Court of Appeals. On 02/18/2015 Room III of the National and Federal Court of Appeals (CNAF for its acronym in Spanish language) dismissed the Extraordinary Appeal filed by the Bank with court costs. On 02/26/2015 the Bank lodged a motion for reconsideration of dismissal of the Extraordinary Appeal, which is still pending to date.

39

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

The Bank Management and its legal advisors consider no further significant accounting effects could arise from the final outcome of the above mentioned judicial proceedings,

28. CORPORATE BONDS ISSUANCE

The corporate bond liabilities recorded by Banco Macro SA in the accompanying condensed consolidated interim Financial Statements amount to:

Corporate Bonds	Original value			Residual face value as of 06/30/2018		06/30/2018		12/31/2017
Subordinated Resettable – Class A	USD	400,000,000	(a.1)	USD	400,000,000		11,646,217		7,565,759
Non-subordinated – Class B	Ps.	4,620,570,000	(a.2)	Ps.	4,620,570,000		4,710,409		4,712,216
Non-subordinated – Class C	Ps.	3,207,500,000	(a.3)	Ps.	3,207,500,000		3,414,891
Total							19,771,517		12,277,975

a.1) On April 26, 2016, the general regular shareholders’ meeting approved the creation of a Global Program for the Issuance of Medium-Term Debt Securities, in accordance with the provisions of Law No. 23,576, as amended and further applicable regulations, up to a maximum amount outstanding at any time during the term of the program of USD 1,000,000,000 (one billion US dollars), or an equal amount in other currencies, under which it is possible to issue simple corporate bonds, not convertible into shares in one or more classes. Also, on April 28, 2017, the General and Special Shareholder´s Meeting resolved to extend of the maximum amount of the abovementioned Global Program up to USD 1,500,000,000 (one thousand five hundred millions US dollars).

On November 4, 2016, under the abovementioned Global Program, Banco Macro SA issued Subordinated Resettable Corporate Bonds, class A, at a fixed rate of 6.750% p,a, until reset date, fully amortizable upon maturity (November 4, 2026) for a face value of USD 400,000,000 (four hundred million US dollars), under the terms and conditions set forth in the pricing supplement dated October 21, 2016, Interest is paid semiannually on May 4 and November 4 of every year and the reset date will be November 4, 2021. Since reset date, these Corporate Bonds will accrue a benchmark reset rate plus 546.3 basis point, according terms and conditions abovementioned.

In addition, the Bank has the option to fully redeem the issuance as the reset date and under the conditions established in the pricing supplement after that date. The Bank used the funds derived from such issuance to grant loans in accordance with Central Bank guidelines.

As of December 31, 2016, the recorded amount related to these corporate bonds was 6,376,537.

a.2) On May 8, 2017, under Global Program mention on item a.1), Banco Macro SA issued non subordinated simple corporate bonds Class B, not convertible into shares, at a fixed rate of 17.50%, fully amortizable upon maturity (May 8, 2022) for a face value of pesos 4,620,570,000 equivalent to USD 300,000,000 (three hundred million US dollars), under the terms and conditions set forth in the price supplement dated April 21, 2017. Interest is paid semiannually on November 8 and May 8 of every year, beginning on November 8, 2017.

In addition, the Bank may fully redeem the issuance for tax matters, but not partially. The Bank used the funds derived from such issuance to grant loans in accordance with Central Bank guidelines.

As of the date of issuance of these condensed consolidated interim Financial Statement, the Bank made purchases of this issuance for a face value of Ps. 644,691,000.

40

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

a.3) On April 9, 2018, under Global Program mention on item a.1), Banco Macro SA issued non subordinated simple corporate bonds Class C, for a face value of pesos 3,207,500,000, at an annual variable rate equivalent to the sum of (i) Badlar private rate applicable for the related accrued period; plus (ii) applicable margin of 3.5% p.a., fully amortizable upon maturity (April 9, 2021). Interest will be paid quarterlyfor the periods due on July 9, October 9, January 9 and April 9 of every year, beginning on July 9, 2018.

In addition, the Bank may fully redeem the issuance for tax matters, but not partially. The Bank used the funds derived from such issuance to grant loans in accordance with Central Bank guidelines.

As of the date of issuance of these condensed consolidated interim Financial Statement, the Bank made purchases of this issuance for a face value of Ps, 195,000,000.

As of December 31, 2016 the Bank had recorded 1,684,636, related to Non-subordinated Corporate Bonds – Class 2, for a face value of USD 150,000,000.

Moreover, on April 27, 2018, the Shareholder´s Meeting resolved to increase the maximum amount of the Global Program for the Issuance of Corporate Bonds for a face value from USD 1,500,000,000 to USD 2,500,000,000 or an equal amount in other currencies, according to the Board of Directors opportunely determines.

29. ACCOUNTING ITEMS OUTSIDE THE BALANCE SHEET

In addition to the expressed in Note 4, the Bank recognizes different transactions outside its Balance sheet, pursuant to the Central Bank standards.

As of June 30, 2018, December 31, 2017 and 2016, the main balances outside the Bank’s Balance sheet position include the preferred and non-preferred guarantees received from customers, under the applicable rules in force in this matter, to secure loans transactions and other financing, the value of which totals 44,342,619, 39,247,291 and 22,116,120, respectively; the custody of government and private bonds and other assets held by third parties, the value of which totals 109,156,613, 82,906,533 and 51,936,124, respectively; checks already deposited and pending clearance amount to 1,279,844, 1,266,306 and 1,134,949, respectively and outstanding checks not yet paid amount to 2,810,633, 2,032,128 and 1,852,989, respectively.

30. TAX AND OTHER CLAIMS

30.1. Tax claims

The AFIP (Federal Public Revenue Agency) and tax authorities of the relevant jurisdictions have reviewed the tax returns filed by the Bank related to income tax, minimum presumed income tax and other taxes (mainly gross turnover tax). As a result, there are claims pending at court and/or administrative levels, either subject to discussion or appeal. The most significant claims are summarized below:

a) AFIP´s Challenges against the income tax returns filed by former Banco Bansud SA (for the fiscal years since June 30, 1995, through June 30, 1999, and of the irregular six-month period ended December 31, 1999) and by former Banco Macro SA (for the fiscal years ended since December 31, 1998, through December 31, 2000).

The matter under discussion that has not been resolved as yet and on which the regulatory agency bases its position is the impossibility of deducting credits that have collateral security, an issue that has been addressed by the Federal Administrative Tax Court and CSJN in similar cases, which have issued resolutions that are favorable to the Bank’s position.

b) Ex-officio gross turnover tax assessments in progress and/or adjustments pending resolution by the tax authorities of certain jurisdiction.

41

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

c) On February 20, 2018, the AFIP required the Bank to amend the returns in connection with Employer’s Contributions for the period between November, 2012 to December, 2016, or otherwise explain the reasons why it had applied the tax rate set forth in Section 2b) of Presidential Decree No. 814/01 (text as per Section 9 of Law No. 25,453). On March 14, 2018, the Bank submitted a detailed explanation of the grounds supporting its position. As of the date hereof, the Bank has not received an answer from AFIP. In the understanding of the bank´s management and its tax and legal advisors, no amount for Employer’s Contributions should be claimed for the indicated periods.

The Bank’s Management and its legal advisors consider no further significant accounting effects could arise from the final outcome of the above mentioned proceedings other than those disclosed in the accompanying Condensed consolidated interim Financial Statements.

30.2. Other claims

In addition, before merging with and into the Bank, Banco Privado de Inversiones (BPI) had a pending class action styled “Adecua v, Banco Privado de Inversiones on ordinary proceedings”, File No. 19073/2007, before Commercial Court No. 3 in and for the City of Buenos Aires, Clerk’s Office No. 5, whereby it was required to reimburse to its clients the life insurance amounts overcharged to amounts payable, as well as to reduce the amounts charged in this regard in the future; this legal proceeding was concluded upon the abovementioned merger because BPI complied in full with the terms of the court-approved agreement reached with Adecua before answering the complaint. However, in March 2013, when BPI had already been merged with and into the Bank, the trial court resolved to amend the terms of the agreement and ordered the reimbursement of amounts of money to a larger number of clients as compared to the number arising from the terms approved by the court in due time. Such resolution was appealed by the Bank as BPI’s surviving company. The appeal was dismissed by the Court of Appeals, which abrogated both the trial court decision and the court-approved agreement, thus ordering the Bank to answer the complaint. This gave rise to the filing of an extraordinary appeal against such decision, as well as the subsequent filing of a complaint for the extraordinary appeal denied. It is currently pending with the Argentine Supreme Court.

Moreover, the Bank is also subject to three lawsuits filed with consumers’ associations for the same purpose: a) Adecua v, Banco Macro on ordinary proceedings, File No. 20495/2007, pending with Commercial Court No. 26 in and for the City of Buenos Aires, Clerk’s Office No. 52; b) Damnificados Financieros Asociación Civil Para Su Defensa et al v, Banco Macro on summary proceedings, File No. 37729/2007, pending with Commercial Court No. 26 in and for the City of Buenos Aires, Clerk’s Office No. 52; c) Unión de Usuarios y Consumidores v, Nuevo Banco Bisel on ordinary proceedings, File No. 44704/2008, pending with Commercial Court No. 26 in and for the City of Buenos Aires, Clerk’s Office No. 52.

There are also other lawsuits filed by consumer protections associations in relation to the collection of certain commissions and/or financial charges and certain withholdings made by the Bank to individuals as Buenos Aires City stamp tax withholding agent.

The Bank’s Management and its legal advisors consider no further significant accounting effects could arise from the final outcome of the above mentioned proceedings other than those disclosed in the accompanying Financial Statements.

31. RESTRICTION ON PROFIT DISTRIBUTION

a) According to Central Bank regulations, 20% of income for the year plus/less prior-year adjustments and less accumulated losses as for the prior year-end, if any, should be allocated to the Legal Reserve.

b) Pursuant to Law No. 25,063, dividends to be distributed in cash or in kind in excess of taxable income accumulated as of the end of the fiscal year immediately preceding the payment or distribution date shall be subject to a 35% income tax withholding as a single and definitive payment. For this purpose, income to be considered in each year will result from adding dividends or earnings from other corporations not computed in the calculation of those earnings in the same tax period(s) to the earnings determined under application of Income Tax Law, and deducting the tax paid for the tax period(s) in which the earnings, or the related proportional amount, being distributed were generated, This withholding shall not be applicable to earnings distributions payable in the fiscal years beginning as of January 1, 2018.

42

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

c) Through Communiqué “A” 6464, the Central Bank establishes the general procedure to distribute earnings. According to that procedure, earnings may only be distributed if certain circumstances are met such as no records of financial assistance from the Central Bank due to illiquidity or shortages in payments of minimum capital or minimum cash requirement deficiencies and not being subject to the provisions of sections 34 and 35 bis of the Financial Entities Act (sections dealing with tax payment and restructuring agreements and reorganization of the Bank), among other conditions listed in the abovementioned communiqué that must be met.

In addition, profits may only be distributed to the extent there are positive results, after deducting, on a non-accounting basis, from retained earnings and earnings reserves – other for future distribution of profits, (i) the amounts of the legal and other earnings reserves which are mandatory, (ii) all debit balances of each one of the accounting items recognized in “Other Comprehensive Income”, (iii) the income derived of the revaluation of property, plant and equipment, intangible assets and investment property, (iv) the positive net difference between the amortized cost and the fair value of government debt instruments and/or monetary regulation instruments issued by the Central Bank for those instruments recognized at amortized cost, (v) the adjustments identified by the Superintendency of Financial and Exchange Entities of the Central Bank or by the independent external auditor and that have not been recognized in the accounting records and (vi) certain franchises granted by the Central Bank. Additionally, no profit distributions shall be made out of the profit originated as a result of the first-time application of the IFRS, which profit shall be included as a special reserve, the amount of which as of June 30, 2018 is 3,475,669 and is recognized in Retained Earnings.

Additionally, the maximum amount to be distributed shall not be over the minimum capital excess recalculating, exclusively for these purposes, the position in order to consider the above mentioned adjustments, among other issues.

Finally, the Bank must verify that, after completion of the proposed profit distribution, a capital maintenance margin equal to 3.5% of risk-weighted assets is kept, apart from the minimum capital required by law, to be integrated by level-1(Con1) ordinary capital, net of deductible items (CDCOn1).

d) Pursuant to CNV General Resolution No. 593, the Shareholders’ Meeting in charge of analyzing the annual Financial statements will be required to decide on the application of the Bank’s retained earnings, such as the actual distribution of dividends, the capitalization thereof through the delivery of bonus shares, the creation of earningsl reserves additional to the Legal reserve or a combination of any of these applications.

32. CAPITAL MANAGEMENT AND CORPORATE GOVERNANCE TRANSPARENCY POLICY AND RISK MANAGEMENT

As financial institutions, the activities of Banco Macro SA and Banco del Tucumán SA are governed by the Financial Entities Act No. 21,526, as supplemented, and the regulations issued by the Central Bank and are exposed to intrinsic risks related to the financial industry. Moreover, they adhere to the good banking practices laid out in Central Bank Communiqué “A” 5201 (Financial Entities Corporate Governance Guidelines) as supplemented. Details explanations about the main aspects related to capital management and corporate governance transparency policy and risk management related to the Bank, are disclose in Note 41 to the condensed consolidated interim Financial Statements as of march 31, 2018, already issued.

Aditionally, the table below shows the minimum capital requirements measured on a consolidated basis, effective for the month of June 2018, together with the integration thereof (computable equity) as of the end of such month:

Description	06/30/2018
Minimum capital requirements		17,478,311
Computable equity		58,988,830
Capital surplus		41,510,519

43

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 36)

(Figures expressed in thousands of Pesos)

33. ADDITIONAL DISCLOSURES

The table below shows the amounts corresponding to the detail of Government and private debt securities as of June 30, 2018, December 31, 2017 and 2016.

Description	06/30/2018		12/31/2017		12/31/2016
Debt securities at fair value through profit or loss
Government debt securities		1,107,525		720,015		276,780
Private securities		232,177		366,013		55,701
Total debt securities at fair value through profit or loss		1,339,702		1,086,028		332,481
Other debt securities
At fair value through OCI
Government debt securities		1,315,125		1,090,423		3,983,642
Central Bank internal bills		38,038,863		32,655,908		15,132,569
Private securities				18,583		423,456
At amortized cost
Government debt securities		3,516,998		121,723		124,885
Private securities		291,658		817,128		730,947
Total other debt securities		43,162,644		34,703,765		20,395,499
Equity instruments
At fair value through profit or loss		50,009		282,659		406,868
Total equity instruments		50,009		282,659		406,868

34. CHANGES IN THE ARGENTINE MACROECONOMIC ENVIRONMENT OF THE FINANCIAL AND CAPITAL SYSTEM

The international and local macroeconomic context generates a certain degree of uncertainty regarding its future progress as a result of the financial asstes and foreign exchange market volatility and, additionally certain political events and the level of economic growth, among other issues. At a local level, there is an increase in the prices for other relevant economic variables, such as salary costs, exchange rate, interest rates and prices of the main raw materials.

Therefore, the Bank’s Management permanently monitors any changes in the abovementioned situations in international and local markets, to determine the possible actions to adopt and to identify the possible impact on its financial situation that may need to be reflected in the financial statements for future periods.

35. EVENTS AFTER REPORTING PERIOD

No events occurred between the end of the reporting period and the issuance of the accompanying condensed consolidated interim Financial Statements that may materially affect the financial position or the profit and loss for the period, not disclosed in the accompanying Financial Statements.

36. ACCOUNTING PRINCIPLES – EXPLANATION ADDED FOR TRANSLATION INTO ENGLISH

These Condensed consolidated interim Financial Statements are presented in accordance with the accounting framework established by the Central Bank, as mention in Note 3. These accounting standards may not conform with accounting principles generally accepted in other countries.

	Delfín Jorge Ezequiel Carballo Chairperson
44

EXHIBIT B

CONSOLIDATED CLASSIFICATION OF LOANS AND OTHER FINANCING

BY SITUATION AND COLLATERAL RECEIVED

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	06/30/2018		12/31/2017		12/31/2016
COMMERCIAL
In normal situation		58,340,617		48,364,751		34,766,790
With Senior “A” guarantees and counter-guarantees		3,382,479		3,822,852		2,545,541
With Senior “B” guarantees and counter-guarantees		9,310,470		7,594,429		5,297,800
Without Senior guarantees or counter-guarantees		45,647,668		36,947,470		26,923,449
Subject to special monitoring		297,350		299,221		27,887
In observation
With Senior “A” guarantees and counter-guarantees		3,484		6,042
With Senior “B” guarantees and counter-guarantees		71,681		66,613		18,875
Without Senior guarantees or counter-guarantees		218,519		226,566		9,012
In negotiation or with financing agreements
Without Senior guarantees or counter-guarantees		3,666
Troubled		195,576		37,164		50,039
With Senior “A” guarantees and counter-guarantees		450		3,441
With Senior “B” guarantees and counter-guarantees		98,003		22,971		50,039
Without Senior guarantees or counter-guarantees		97,123		10,752
With high risk of insolvency		171,609		144,001		137,431
With Senior “A” guarantees and counter-guarantees		3,178		729		1,882
With Senior “B” guarantees and counter-guarantees		129,522		86,437		61,374
Without Senior guarantees or counter-guarantees		38,909		56,835		74,175
Irrecoverable		437		6,500		7,372
With Senior “B” guarantees and counter-guarantees						813
Without Senior guarantees or counter-guarantees		437		6,500		6,559
Subtotal Commercial		59,005,589		48,851,637		34,989,519

	Delfín Jorge Ezequiel Carballo Chairperson
45

EXHIBIT B

(Continued)

CONSOLIDATED CLASSIFICATION OF LOANS AND OTHER FINANCING

BY SITUATION AND COLLATERAL RECEIVED

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	06/30/2018		12/31/2017		12/31/2016
CONSUMER AND MORTGAGE
Performing		98,851,176		85,407,541		55,204,350
With Senior “A” guarantees and counter-guarantees		1,890,854		2,140,761		771,053
With Senior “B” guarantees and counter-guarantees		10,202,180		7,272,856		2,573,886
Without Senior guarantees or counter-guarantees		86,758,142		75,993,924		51,859,411
Low risk		1,512,066		1,050,600		555,222
With Senior “A” guarantees and counter-guarantees		26,027		7,823		1,486
With Senior “B” guarantees and counter-guarantees		61,503		32,681		20,699
Without Senior guarantees or counter-guarantees		1,424,536		1,010,096		533,037
Medium risk		1,001,983		647,332		443,357
With Senior “A” guarantees and counter-guarantees		6,231		1,447		3,188
With Senior “B” guarantees and counter-guarantees		15,967		13,672		7,676
Without Senior guarantees or counter-guarantees		979,785		632,213		432,493
High risk		652,016		479,925		317,466
With Senior “A” guarantees and counter-guarantees		2,016		496		2,099
With Senior “B” guarantees and counter-guarantees		24,385		18,106		20,486
Without Senior guarantees or counter-guarantees		625,615		461,323		294,881
Irrecoverable		202,802		148,425		92,508
With Senior “A” guarantees and counter-guarantees		371		18,375		18,222
With Senior “B” guarantees and counter-guarantees		18,358		130,050		74,286
Without Senior guarantees or counter-guarantees		184,073
Irrecoverable according to Central Bank's rules		522		249		210
Without Senior guarantees or counter-guarantees		522		249		210
Subtotal consumer and mortgage		102,220,565		87,734,072		56,613,113
Total		161,226,154		136,585,709		91,602,632

This exhibit disclosures the contractual figures in accordance as established by Central Bank. The conciliation with the Condensed consolidated interim balance sheet, is listed below:

	As of 06/30/2018		As of 12/31/2017		As of 12/31/2016
Loans and other financing		155,620,519		132,658,674		88,390,646
+ Allowances for loans and other financing		3,321,929		2,666,738		1,839,422
+ Adjustment amortized cost and fair value		261,477		298,538		244,608
+ Private securities - Debt securities of financial trust		294,546
+ Corporate bonds				362,425		486,144
Guarantees provided and contingent liabilities		1,727,683		599,334		641,812
Total computable concepts		161,226,154		136,585,709		91,602,632

	Delfín Jorge Ezequiel Carballo Chairperson
46

EXHIBIT C

CONSOLIDATED CONCENTRATION OF LOANS AND FINANCING-FACILITIES

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	06/30/2018				12/31/2017				12/31/2016
Number of customers	Cutoff balance		% of total portfolio		Cutoff balance		% of total portfolio		Cutoff balance		% of total portfolio
10 largest customers		11,404,623		7.07		10,886,705		7.97		6,363,324		6.95
50 next largest customers		15,353,287		9.52		11,082,657		8.11		9,003,785		9.83
100 next largest customers		9,808,121		6.08		7,511,713		5.50		5,580,023		6.09
Other customers		124,660,123		77.33		107,104,634		78.42		70,655,500		77.13
Total (1)		161,226,154		100.00		136,585,709		100.00		91,602,632		100.00

(1) See Exhibit B

	Delfín Jorge Ezequiel Carballo Chairperson
47

EXHIBIT D

CONSOLIDATED BREAKDOWN OF LOANS AND OTHER FINANCING BY TERMS

AS OF JUNE 30, 2018

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	Remaining terms to maturity
Item	Matured		Up to 1 month		Over 1 month and up to 3 months		Over 3 months and up to 6 months		Over 6 months and up to 12 months		Over 12 months and up to 24 months		Over 24 months		Total
Non-financial government sector - Central Bank		212		61,477		305,172		326,580		624,373		943,173		643,120		2,904,107
Financial sector				1,175,694		337,751		374,487		767,441		1,018,746		55,823		3,729,942
Non-financial private sector and foreign residents		1,127,150		46,215,878		19,031,714		19,524,021		25,839,946		35,610,346		68,217,680		215,566,735
Total		1,127,362		47,453,049		19,674,637		20,225,088		27,231,760		37,572,265		68,916,623		222,200,784

CONSOLIDATED BREAKDOWN OF LOANS AND OTHER FINANCING BY TERMS

AS OF DECEMBER 31, 2017

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	Remaining terms to maturity
Item	Matured		Up to 1 month		Over 1 month and up to 3 months		Over 3 months and up to 6 months		Over 6 months and up to 12 months		Over 12 months and up to 24 months		Over 24 months		Total
Non-financial government sector - Central Bank				51,827		225,501		183,337		543,855		982,347		876,255		2,863,122
Financial sector				892,707		452,162		715,857		767,396		1,009,635		259,275		4,097,032
Non-financial private sector and foreign residents		889,510		36,721,574		18,795,821		17,988,857		20,395,038		30,679,594		53,884,831		179,355,225
Total		847,585		37,666,108		19,473,484		18,888,051		21,706,289		32,671,576		55,020,361		186,315,379

This exhibit disclosoures contractual future cash flows that included interests and accesories to be accrued until maturity of the contracts.

	Delfín Jorge Ezequiel Carballo Chairperson
48

EXHIBIT D

(Continued)

CONSOLIDATED BREAKDOWN OF LOANS AND OTHER FINANCING BY TERMS

AS OF DECEMBER 31, 2016

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	Remaining terms to maturity
Item	Matured		Up to 1 month		Over 1 month and up to 3 months		Over 3 months and up to 6 months		Over 6 months and up to 12 months		Over 12 months and up to 24 months		Over 24 months		Total
Non-financial government sector - Central Bank				748,521		127,713		384,876		142,487		272,196		230,432		1,906,225
Financial sector				404,396		516,771		488,482		389,927		255,790		74,260		2,129,626
Non-financial private sector and foreign residents		542,275		29,757,384		13,015,559		12,247,535		13,861,833		19,345,839		25,649,597		114,420,022
Total		542,275		30,910,301		13,660,043		13,120,893		14,394,247		19,873,825		25,954,289		118,455,873

This exhibit disclosoures contractual future cash flows that included interests and accesories to be accrued until maturity of the contracts.

	Delfín Jorge Ezequiel Carballo Chairperson
49

EXHIBIT F

CONSOLIDATED CHANGE OF PROPERTY, PLANT AND EQUIPMENT

AS OF JUNE 30, 2018

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

								Depreciation for the period
Item	Origination Value at beginning of fiscal year		Useful life estimated in years	Increases		Decreases		Accumulated		Decrease		Of the period		At the end		Residual value at the end of the period
Cost measurement
Buildings		4,479,080	50		176,574		101,574		354,502		9,386		48,523		393,639		4,160,441
Furniture and facilities		367,151	10		15,135		1,052		135,457		3		17,864		153,318		227,916
Machinery and equipment		1,046,209	5		227,714		110,685		570,491				96,996		667,487		495,751
Vehicles		117,488	5		17,069		3,537		78,198		3,085		9,459		84,572		46,448
Other		27			3		3										27
Work in progress		2,076,352			618,528		34,223										2,660,657
Total property, plant and equipment		8,086,307			1,055,023		251,074		1,138,648		12,474		172,842		1,299,016		7,591,240

CONSOLIDATED CHANGE OF PROPERTY, PLANT AND EQUIPMENT

AS OF DECEMBER 31, 2017

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

								Depreciation for the fiscal year
Item	Origination Value at beginning of fiscal year		Useful life estimated in years	Increases		Decreases		Accumulated		Decrease		Of the fiscal year		At the end		Residual value at the end of the fiscal year
Cost measurement
Buildings		4,440,545	50		46,353		7,818		224,692		30,695		68,012		262,009		4,217,071
Furniture and facilities		318,675	10		48,718		242		101,332		242		34,367		135,457		231,694
Machinery and equipment		802,315	5		259,261		15,367		415,260		2,548		157,779		570,491		475,718
Vehicles		97,543	5		24,883		4,938		66,666		3,800		15,332		78,198		39,290
Other		39					12										27
Work in progress		1,215,539			913,343		52,530										2,076,352
Total property, plant and equipment		6,874,656			1,292,558		80,665		807,950		37,043		275,490		1,046,155		7,040,152

As of December 31, 2016, the deemed cost of the Bank´s buildings amounted to 4,211,760 and the adjustment for this concept up to 3,396,192.

	Delfín Jorge Ezequiel Carballo Chairperson
50

EXHIBIT F

(Continued)

CONSOLIDATED CHANGE IN INVESTMENT PROPERTY

AS OF JUNE 30, 2018

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

								Depreciation for the period
Item	Origination Value at beginning of fiscal year		Useful life estimated in years	Increases		Decreases		Accumulated		Decrease		Of the period		At the end		Residual value at the end of the period
Cost measurement
Other investment properties		1,959,459	50		296,544		517,734		15,677		1,736		2,752		16,693		1,721,576
Total investment property		1,959,459			296,544		517,734		15,677		1,736		2,752		16,693		1,721,576

CONSOLIDATED CHANGE IN INVESTMENT PROPERTY

AS OF DECEMBER 31, 2017

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

								Depreciation for the fiscal year
Item	Origination Value at beginning of fiscal year		Useful life estimated in years	Increases		Decreases		Accumulated		Decrease		Of the fiscal year		At the end		Residual value at the end of the fiscal year
Cost measurement
Other investment properties		1,754,087	50		245,300		39,928		17,934		7,839		5,582		15,677		1,943,782
Total investment property		1,754,087			245,300		39,928		17,934		7,839		5,582		15,677		1,943,782

As of December 31, 2016, the deemed cost of the Bank´s buildings amounted to 2,910,087 and the adjustment for this concept up to 2,353,159. Part of this adjustment is recorded on Property, Plant and Equipment in Work in progress.

	Delfín Jorge Ezequiel Carballo Chairperson
51

EXHIBIT G

CONSOLIDATED CHANGE IN INTANGIBLE ASSETS

AS OF JUNE 30, 2018

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

								Depreciation for the period
Item	Origination Value at beginning of fiscal year		Useful life estimated in years	Increases		Decreases		Accumulated		Decrease		Of the period		At end		Residual value at the end of the period
Cost measurement
Licenses		350,735	5		84,982		6,064		195,751				26,804		222,555		207,098
Other intangible assets		1,403,278	5		59,234		15,465		744,713		217,427		133,106		660,392		786,654
Total intangible assets		1,754,013			144,216		21,529		940,464		217,427		159,910		882,947		993,752

CONSOLIDATED CHANGE IN INTANGIBLE ASSETS

AS OF DECEMBER 31, 2017

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

								Depreciation for the fiscal year
Item	Origination Value at beginning of fiscal year		Useful life estimated in years	Increases		Decreases		Accumulated		Decrease		Of the fiscal year		At end		Residual value at the end of the fiscal year
Cost measurement
Goodwill - Bussiness combination		20,609			35,596		56,205
Licenses		185,252	5		165,623		140		76,625		2		53,331		129,954		220,781
Other intangible assets		1,060,153	5		649,649		306,524		533,211		156,867		367,032		743,376		659,902
Total investment property		1,266,014			850,868		362,869		609,836		156,869		420,363		873,330		880,683

	Delfín Jorge Ezequiel Carballo Chairperson
52

EXHIBIT H

CONSOLIDATED DEPOSIT CONCENTRATION

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	06/30/2018				12/31/2017				12/31/2016
Number of customers	Outstanding balance		% of total portfolio		Outstanding balance		% of total portfolio		Outstanding balance		% of total portfolio
10 largest customers		14,412,228		8.03		9,022,672		6.26		7,222,118		6.45
50 next largest customers		9,839,787		5.48		8,056,114		5.59		7,316,128		6.54
100 next largest customers		5,853,775		3.26		4,988,300		3.46		4,255,954		3.80
Other customers		149,367,447		83.23		122,062,091		84.70		93,068,605		83.21
Total		179,473,237		100.00		144,129,177		100.00		111,862,805		100.00

	Delfín Jorge Ezequiel Carballo Chairperson
53

EXHIBIT I

CONSOLIDATED BREAKDOWN OF FINANCIAL LIABILITIES

FOR RESIDUAL TERMS

AS OF JUNE 30, 2018

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	Remaining terms to maturity
Item	Up to 1 month		Over 1 month and up to 3 months		Over 3 months and up to 6 months		Over 6 months and up to 12 months		Over 12 months and up to 24 months		Over 24 months		Total
Deposits		151,236,711		23,781,709		4,157,159		1,592,530		78,823		10,299		180,857,231
From the non-financial government sector		16,034,771		3,211,918		265,095		18,193		29				19,530,006
From the financial sector		125,377												125,377
From the non-financial private sector and foreign residents		135,076,563		20,569,791		3,892,064		1,574,337		78,794		10,299		161,201,848
Derivative instruments		28,425		2,825		2,901								34,151
Repo Transactions		1,831,112												1,831,112
Other financial institutions		1,831,112												1,831,112
Other financial liabilities		11,072,448		16,902		10,113		14,944		22,148		149,960		11,286,515
Financing received from the Central Bank of Argentina and other financial institutions		505,194		644,278		441,244		83,913		89,444		168,174		1,932,247
Issued corporate bonds		206,929				589,783		824,565		1,653,749		10,277,430		13,552,456
Subordinated corporate bonds						369,951		389,633		779,266		16,609,908		18,148,758
Total		164,880,819		24,445,714		5,571,151		2,905,585		2,623,430		27,215,771		227,642,470

This exhibit disclosoures contractual future cash flows that included interests and accesories to be accrued until maturity of the contracts.

	Delfín Jorge Ezequiel Carballo Chairperson
54

EXHIBIT I

(Continued)

CONSOLIDATED BREAKDOWN OF FINANCIAL LIABILITIES

FOR RESIDUAL TERMS

AS OF DECEMBER 31, 2017

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	Remaining terms to maturity
Item	Up to 1 month		Over 1 month and up to 3 months		Over 3 months and up to 6 months		Over 6 months and up to 12 months		Over 12 months and up to 24 months		Over 24 months		Total
Deposits		122,606,290		19,818,078		2,777,820		538,046		28,735		7,852		145,776,821
From the non-financial government sector		11,486,433		1,149,425		319,233		1,131		17,565				12,973,787
From the financial sector		81,359												81,359
From the non-financial private sector and foreign residents		111,038,498		18,668,653		2,458,587		536,915		11,170		7,852		132,721,675
Liabilities at fair value through profit or loss		6,450												6,450
Derivative instruments		23,107												23,107
Repo Transactions		2,688,093												2,688,093
Other financial institutions		2,688,093												2,688,093
Other financial liabilities		10,336,524		21,720		10,720		16,518		25,559		163,965		10,575,006
Financing received from the Central Bank of Argentina and other financial institutions		727,440		91,695		11,605		15,967		34,289		94,109		975,105
Issued corporate bonds						118,044						4,620,570		4,738,614
Subordinated corporate bonds						80,260						7,509,680		7,589,940
Total		136,387,904		19,931,493		2,998,449		570,531		88,583		12,396,176		172,373,136

This exhibit disclosoures contractual future cash flows that included interests and accesories to be accrued until maturity of the contracts.

	Delfín Jorge Ezequiel Carballo Chairperson
55

EXHIBIT I

(Continued)

CONSOLIDATED BREAKDOWN OF FINANCIAL LIABILITIES

FOR RESIDUAL TERMS

AS OF DECEMBER 31, 2016

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	Remaining terms to maturity
Item	Up to 1 month		Over 1 month and up to 3 months		Over 3 months and up to 6 months		Over 6 months and up to 12 months		Over 12 months and up to 24 months		Over 24 months		Total
Deposits		93,898,937		17,277,022		1,752,894		314,926		9,514		3,643		113,256,936
From the non-financial government sector		7,114,659		2,189,871		266,598		86,676		117				9,657,921
From the financial sector		55,866												55,866
From the non-financial private sector and foreign residents		86,728,412		15,087,151		1,486,296		228,250		9,397		3,643		103,543,149
Repo Transactions		1,095,634												1,095,634
Other financial institutions		1,095,634												1,095,634
Other financial liabilities		5,638,427		480,634		6,909		6,868		10,826		147,157		6,290,821
Financing received from the Central Bank of Argentina and other financial institutions		838,138		49,164		90,378		14,207		9,867		12,780		1,014,534
Issued corporate bonds				1,696,838										1,696,838
Subordinated corporate bonds						213,978		213,978		427,955		9,763,723		10,619,634
Total		101,471,136		19,503,658		2,064,159		549,979		458,162		9,927,303		133,974,397

This exhibit disclosoures contractual future cash flows that included interests and accesories to be accrued until maturity of the contracts.

	Delfín Jorge Ezequiel Carballo Chairperson
56

EXHIBIT J

CONSOLIDATED CHANGES IN PROVISIONS

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

					Decreases
Breakdown	Balances at beginning of fiscal year		Increases		Reversals		Charge off		06/30/2018		12/31/2017		12/31/2016
For Administrative, disciplinary and criminal sanctions		718								718		718		9,110
Other		694,201		353,418		210		263,553		783,856		694,201		325,897
Total Provisions		694,919		353,418		210		263,553		784,574		694,919		335,007

	Delfín Jorge Ezequiel Carballo Chairperson
57

EXHIBIT L

CONSOLIDATED FOREIGN CURRENCY BALANCES

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	06/30/2018										12/31/2017		12/31/2016
			Total per currency
Items	Total Parent company and local branches		US dollar		Euro		Real		Other		Total		Total
ASSETS
Cash and deposits in banks		27,819,249		27,621,431		135,414		21,319		41,085		21,049,391		21,394,875
Debt securities at fair value through profit or loss		230,761		230,761								50,860		12,788
Derivative instruments		667		667								564
Other financial assets		1,233,822		1,233,821						1		875,422		376,008
Loans and other financing		27,830,107		27,830,107								18,771,033		10,137,360
To the non-financial government sector		20		20
Other financial intitutions		254,735		254,735								175,116		94,834
From the non-financial private sector and foreign residents		27,575,352		27,575,352								18,595,917		10,042,526
Other debt securities		1,306,606		1,306,606								1,092,925		1,916,324
Financial assets delivered as guarantee		581,887		579,862		2,025						246,958		98,977
Investments in equity instruments		5,927		5,927								4,002		149,801
Investments in subsidieries, associates and joint ventures												1		78
Total		59,009,026		58,809,182		137,439		21,319		41,086		42,091,156		34,086,211
LIABILITIES
Deposits		47,875,303		47,875,283		20						31,150,622		23,299,436
Non-financial government sector		2,676,038		2,676,038								3,926,989		852,177
Financial sector		77,408		77,408								45,895		27,972
Non-financial private sector and foreign residents		45,121,857		45,121,837		20						27,177,738		22,419,287
Other financial liabilities		2,406,006		2,339,516		63,388				3,102		1,382,688		965,308
Financing from Central Bank and other financial Institutions		1,180,106		1,180,106								887,321		131,361
Issued corporate bonds														1,684,636
Subordinated corporate bonds		11,646,217		11,646,217								7,565,759		6,376,537
Other non-financial liabilities		24,880		24,880								49,067		2,239
Total		63,132,512		63,066,002		63,408				3,102		41,035,457		32,459,517

	Delfín Jorge Ezequiel Carballo Chairperson
58

EXHIBIT Q

CONSOLIDATED BREAKDOWN OF PROFIT OR LOSS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos) 

	Net financial Income/ Expense
	Obligatory measurement
Items	Quarter ended 06/30/2018			Accumulated from beginning of period up to 06/30/2018
For measurement of financial assets at fair value through profit or loss
Profit or loss from government securities		38,986			93,984
Profit or loss from private securities		20,149			50,918
Profit or loss from derivative financial instruments
Fowards transactions		(3,295	)
Profit or loss from other financial assets		8,943			45,120
From investment in equity instruments		5,293			39,925
Loss (Profit) from sold assets liabilities at fair value		(110,462	)		(21,084	)
For measurement of financial liabilities at fair value through profit or loss
Profit or loss from derivative financial instruments
Fowards transactions		(5,970	)		(5,970	)
Total		(46,356	)		202,893

	Delfín Jorge Ezequiel Carballo Chairperson
59

EXHIBIT Q

(Continued)

CONSOLIDATED BREAKDOWN OF PROFIT OR LOSS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	Net financial Income/ Expense
Interest and adjustment for the aplication of the efective interest rate of financial assets measured at amortized cost	Quarter ended 06/30/2018		Accumulated from beginning of period up to 06/30/2018
Interest income
For cash and bank deposits		1,999		4,970
For government securities		27,090		30,127
For debt securities		50,221		102,372
For loans and other financing
Financial sector		204,521		371,391
Non-financial private sector
Overdrafts		961,674		1,742,250
Mortgage loans		785,018		1,363,695
Pledge loans		142,589		291,419
Personal loans		5,021,197		9,596,122
Credit cards		1,545,210		2,901,411
Financial leases		33,844		67,702
Other		1,680,746		3,200,244
Cental Bank of Argentina		7,068		22,656
Other financial institutions		38,698		58,244
Total		10,499,875		19,752,603
Interest expenses
From deposits
Non-financial private sector
Saving accounts		64,207		117,841
Time deposits and investments accounts		3,813,810		6,769,747
For Financing received from Central Bank of Argentina and other financial institutions		21,627		35,008
For repo transactions
Other financial institutions		24,342		55,312
For other financial liabilities		3,452		5,331
For issued corporate bonds		422,246		623,074
For subordinated corporate bonds		174,356		313,406
Total		4,524,040		7,919,719

	Delfín Jorge Ezequiel Carballo Chairperson
60

EXHIBIT Q

(Continued)

CONSOLIDATED BREAKDOWN OF PROFIT OR LOSS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	Income for the period				Other comprehensive income
Interest and adjustment for the aplication of the efective interest rate of financial assets measured at fair value through other comprehensive income	Quarter ended 06/30/2018		Accumulated from beginning of period up to 06/30/2018		Quarter ended 06/30/2018			Accumulated from beginning of period up to 06/30/2018
From debt government securities		3,116,949		5,200,992		(61,725	)		(123,475	)
Total		3,116,949		5,200,992		(61,725	)		(123,475	)

	Income for the period
Commissions income	Quarter ended 06/30/2018		Accumulated from beginning of period up to 06/30/2018
Commissions related to obligations		2,014,615		3,768,281
Commissions related to credits		25,202		43,483
Commissions related to loans commiments and financial guarantees		45		453
Commissions related to securities value		25,506		47,276
Commissions related to trading and foreign Exchange transactions		50,804		92,178
		2,116,172		3,951,671

	Income for the period
Commissions expenses	Quarter ended 06/30/2018		Accumulated from beginning  of period up to 06/30/2018
Commissions related to transactions to debt securities		76		208
Other		209,482		394,275
		209,558		394,483

	Delfín Jorge Ezequiel Carballo Chairperson
61

EXHIBIT Q

(Continued)

CONSOLIDATED BREAKDOWN OF PROFIT OR LOSS

AS OF JUNE 30, 2017

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	Net financial Income/ Expense
	Obligatory measurement
Items	Quarter ended 06/30/2017			Accumulated from beginning of period up to 06/30/2017
For measurement of financial assets at fair value through profit or loss
Profit or loss from government securities		81,196			83,609
Profit or loss from private securities		13,495			18,271
Profit or loss from other financial assets		18,089			33,122
From investment in equity instruments		18,266			33,530
For measurement of financial liabilities at fair value through profit or loss
Profit or loss from derivative financial instruments
Fowards transactions		(6,522	)		(14,667	)
Total		124,524			153,865

	Delfín Jorge Ezequiel Carballo Chairperson
62

EXHIBIT Q

(Continued)

CONSOLIDATED BREAKDOWN OF PROFIT OR LOSS

AS OF JUNE 30, 2017

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	Net financial Income/ Expense
Interest and adjustment for the aplication of the efective interest rate of financial assets measured at amortized cost	Quarter ended 06/30/2017		Accumulated from beginning of period up to 06/30/2017
Interest income
For cash and bank deposits		775		908
For private securities		50,702		117,522
For loans and other financing
Financial sector		98,928		200,110
Non-financial private sector
Overdrafts		622,348		1,274,095
Mortgage loans		194,772		374,087
Pledge loans		116,707		223,873
Personal loans		3,394,825		6,497,132
Credit cards		1,085,831		2,157,674
Financial leases		24,483		45,509
Other		977,390		1,886,615
For repo transactions
Cental Bank of Argentina		79,624		525,797
Other financial institutions		6,054		13,642
Total		6,652,439		13,316,964
Interest expenses
From deposits
Non-financial private sector
Saving accounts		26,153		50,124
Time deposits and investments accounts		2,114,575		4,218,137
For Financing received from Central Bank of Argentina and other financial institutions		7,366		12,954
For repo transactions
Other financial institutions		10,981		30,215
For other financial liabilities		1,869		14,779
For issued corporate bonds		90,201		90,201
For subordinated corporate bonds		99,229		210,550
Total		2,350,374		4,626,960

	Delfín Jorge Ezequiel Carballo Chairperson
63

EXHIBIT Q

(Continued)

CONSOLIDATED BREAKDOWN OF PROFIT OR LOSS

AS OF JUNE 30, 2017

(Translation of the Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	Income for the period				Other comprehensive income
Interest and adjustment for the aplication of the efective interest rate of financial assets measured at fair value through other comprehensive income	Quarter ended 06/30/2017		Accumulated from beginning of period up to 06/30/2017		Quarter ended 06/30/2017			Accumulated from beginning of period up to 06/30/2017
From debt government securities		1,167,803		1,961,688		(16,733	)		(15,119	)
Total		1,167,803		1,961,688		(16,733	)		(15,119	)
	Income for the period
Commissions income	Quarter ended 06/30/2017		Accumulated from beginning of period up to 06/30/2017
Commissions related to obligations		1,569,218		2,930,387
Commissions related to credits		35,647		55,741
Commissions related to loans commiments and financial guarantees		1,148		1,663
Commissions related to securities value		16,597		27,426
Commissions related to trading and foreign Exchange transactions		37,088		69,527
		1,659,698		3,084,744
	Income for the period
Commissions expenses	Quarter ended 06/30/2017		Accumulated from beginning of period up to 06/30/2017
Commissions related to transactions to debt securities		25		25
Other		165,322		319,766
		165,347		319,791

	Delfín Jorge Ezequiel Carballo Chairperson
64

EXHIBIT R

VALUE CORRECTION FOR CREDIT LOSSES - CONSOLIDATED ALLOWANCES FOR UNCOLLECTIBILITY RISK

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of Financial statements originally issued in Spanish - See Note 36)

(Figures stated in thousands of pesos)

	Balances at beginning of the				Decreases
Item	fiscal year		Increases		Reversals		Charge off		06/30/2018		12/31/2017		12/31/2016
Other financial assets		5,131		981		33		1,231		4,848		5,131		4,147
Loans and other financing
Other financial institutions		31,251		123		4,701				26,673		31,251		17,256
To the non-financial private sector and foreign residents
Overdrafts		139,833		60,438		6,332		22,544		171,395		139,833		134,725
Documents		202,505		70,533		1,359		14,890		256,789		200,750		123,881
Mortgage loans		152,116		90,586		12,365		8,634		221,703		152,116		74,824
Pledge loans		74,380		8,759		3,830		19,250		60,059		74,380		41,816
Personal loans		1,207,483		718,073		267		385,004		1,540,285		1,207,470		814,696
Credit cards		590,483		261,924		988		124,993		726,426		590,482		442,882
Financial leases		6,486		93		875				5,704		6,487		3,994
Other		263,338		101,693		1,798		50,338		312,895		265,107		186,842
Other debt securities		329		2,888		329				2,888
Total of allowances		2,673,335		1,316,091		32,877		626,884		3,329,665		2,673,367		1,845,063

	Delfín Jorge Ezequiel Carballo Chairperson
65

CONDENSED SEPARATED INTERIM BALANCE SHEET

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

Items	Notes	06/30/2018		12/31/2017		12/31/2016
ASSETS
Cash and Deposits in Banks			45,389,232		32,473,987		32.992.475
Cash			5,652,615		5,951,218		4.208.880
Central Bank of Argentina			35,343,995		21,939,645		26.666.365
Other Local and Foreign Entities			4,352,316		3,267,903		2.116.239
Other			40,306		1,315,221		991
Debt Securities at fair value through profit or loss			1,190,958		975,371		275.386
Derivative Financial Instruments			42,314		7,664		9.721
Repo Transactions			156,158		1,419,808		19.124
Other financial assets			1,934,452		1,523,930		743.194
Loans and other financing			143,296,147		122,173,846		81.475.324
Non-financial Public Sector			2,033,133		1,865,273		1.581.955
Other Financial Entities			4,165,259		4,191,658		1.713.170
Non-financial Private Sector and Foreign Residents			137.097.755		116,116,915		78,180,199
Other Debt Securities			41,369,370		33,611,201		17,974,087
Financial Assets delivered as guarantee	22		7,134,066		7,344,011		3,462,469
Investments in Equity Instruments			44,924		36,885		337,309
Investment in subsidiaries, associated and joint arrangements			4,390,097		3,662,374		3,081,485
Property, plant and equipment			7,104,731		6,586,803		5,636,685
Intangible Assets			973,047		858,336		635,261
Other Non-financial Assets			2,159,523		2,283,784		2,050,860
Non-current Assets held for sale	8		126,645		199,890		89,648
TOTAL ASSETS			255,311,664		213,157,890		148,783,028

	Delfín Jorge Ezequiel Carballo Chairperson
66

CONDENSED SEPARATED INTERIM BALANCE SHEET

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

Items	Notes	06/30/2018		12/31/2017		12/31/2016
LIABILITIES
Deposits			165,016,459		132,716,174		102,498,623
Non-financial Public Sector			13,876,689		9,504,522		5,964,863
Financial Sector			125,371		81,357		55,861
Non-financial Private Sector and Foreign Residents			151.014.399		123,130,295		96,477,899
Liabilities at fair value through profit or loss					6,450		-
Derivative Financial Instruments			34,151		23,107		-
Repo Transactions			1,829,233		2,688,093		1,095,634
Other Financial Liabilities			10,175,697		9,808,877		5,895,687
Financing received from the Central Bank of Argentina and other financial entities			1,828,488		1,173,840		260,266
Issued Corporate Bonds	27		8,135,980		4,712,216		1,745,851
Current Income Tax Liabilities			1,528,058		3,642,484		1,544,046
Subordinated Corporate Bonds	27		11,646,217		7,565,759		6,376,537
Provisions	9		679,820		595,995		251,366
Deferred Income Tax Liabilities	12		201,734		416,850		1,280,028
Other Non-financial Liabilities			4,089,975		3,273,022		2,864,297
TOTAL LIABILITIES			205,165,812		166,622,867		123,812,335
SHAREHOLDERS’ EQUITY
Capital Stock			669,663		669,663		584,563
Non-capital contributions			12,428,461		12,428,461		399,499
Adjustments to Shareholders’ Equity			4,511		4,511		4,511
Earnings Reserved			26,403,844		20,363,386		14,384,820
Unappropiated Retained Earnings			3,475,669		2,799,085		2,990,757
Other Comprehensive Income			505,872		204,560		65,711
Net Income for the period			6,657,832		10,065,357		6,540,832
TOTAL SHAREHOLDERS’ EQUITY			50,145,852		46,535,023		24,970,693

	Delfín Jorge Ezequiel Carballo Chairperson
67

CONDENSED SEPARATE INTERIM STATEMENT OF INCOME

FOR THE THREE AND SIX MONTHS PERIODS ENDED JUNE 30, 2018 AND 2017

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

Items	Notes	Quarter ended 06/30/2018			Quarter ended 06/30/2017			Accumulated from beginning of year up to 06/30/2018			Accumulated from beginning of year up to 06/30/2017
Interest income			12,583,775			7,026,544			22,969,474			13,730,366
Interest expense			(4,206,052	)		(2,177,907	)		(7,343,191	)		(4,255,304	)
Net interest income			8,377,723			4,848,637			15,626,283			9,475,062
Commissions income	13		1,952,629			1,546,230			3,655,192			2,875,596
Commissions expense			(187,226	)		(152,398	)		(344,842	)		(290,357	)
Net commissions income			1,765,403			1,393,832			3,310,350			2,585,239
Subtotal (Net interest income + Net commissions income)			10,143,126			6,242,469			18,936,633			12,060,301
Net Income from measurement of financial instruments at fair value through profit or loss			(85,021	)		83,165			96,157			83,048
Loss from sold assets at amortized cost			75			31,977			(2,870	)		18,294
Differences in quoted prices of gold and foreign currency	14		(1,127,210	)		348,255			(1,002,687	)		528,994
Other operating income	15		1,158,243			889,953			2,259,063			1,792,382
Provision for loan losses			(508,939	)		(417,650	)		(1,026,020	)		(735,482	)
Net Operating Income			9,580,274			7,178,169			19,260,276			13,747,537
Employee benefits	16		(2,214,303	)		(1,697,024	)		(4,051,480	)		(3,258,935	)
Administration expenses	17		(1,390,793	)		(978,075	)		(2,652,897	)		(1,880,233	)
Depreciation of Property, plant and equipment			(157,560	)		(120,829	)		(304,752	)		(237,244	)
Other Operating Expenses	18		(2,094,705	)		(1,424,178	)		(3,913,040	)		(2,699,933	)
Operating Income			3,722,913			2,958,063			8,338,107			5,671,192
Income from subisdiaries, associates and joint arrangements			496,314			287,352			896,270			548,293
Income before tax on continuing operations			4,219,227			3,245,415			9,234,377			6,219,485
Income tax on continuing operations	12		(1,103,578	)		(1,021,906	)		(2,576,545	)		(1,990,728	)
Net Income from continuing operations			3,115,649			2,223,509			6,657,832			4,228,757
Net Income for the period			3,115,649			2,223,509			6,657,832			4,228,757

	Delfín Jorge Ezequiel Carballo Chairperson
68

CONDENSED SEPARATE INTERIM EARNINGS PER SHARE

FOR THE THREE AND SIX MONTHS PERIODS ENDED JUNE 30, 2018 AND 2017

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

Items	Quarter ended 06/30/2018		Quarter ended 06/30/2017		Accumulated from beginning of year up to 06/30/2018		Accumulated from beginning of year up to 06/30/2017
Net Profit attributable to Parent’s shareholders		3,115,649		2,223,509		6,657,832		4,228,757
PLUS: Potential diluted earnings per common share
Net Profit attributable to Parent’s shareholders adjusted as per diluted earnings		3,115,649		2,223,509		6,657,832		4,228,757
Weighted average of outstanding common shares for the period		669,663		594,321		669,663		589,469
PLUS: Weighted average of the number of additional common shares with dilution effects
Weighted average of outstanding common shares for the period adjusted as per dilution effect		669,663		594,321		669,663		589,469
Basic earnings per share		4.6526		3.7413		9.9421		7.1738

	Delfín Jorge Ezequiel Carballo Chairperson
69

CONDENSED SEPARATE INTERIM STATEMENT OF OTHER COMPREHENSIVE INCOME

FOR THE THREE AND SIX MONTHS PERIODS ENDED JUNE 30, 2018 AND 2017

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

Items	Notes	Quarter ended 06/30/2018			Quarter ended 06/30/2017			Accumulated from beginning of year up to 06/30/2018			Accumulated from beginning of year up to 06/30/2017
Net Income for the period			3,115,649			2,223,509			6,657,832			4,228,757
Items of Other Comprehensive Income that will be reclassified to profit or loss
Foreign currency translation differences in financial statements conversion			344,455			58,793			398,114			36,267
Foreign currency translation differences for the period			344,455			58,793			398,114			36,267
Profit or loss for financial instruments measured at fair value through OCI (IFRS 9 4.1.2)(a)			(23,164	)		(6,017	)		(61,999	)		2,570
Income for the period from financial instruments at fair value through OCI			(33,092	)		(9,258	)		(88,570	)		3,952
Income tax			9,928			3,241			26,571			(1,382	)
Interest in Other Comprehensive Income of associates and joint ventures accounted for using the participation method			(28,488	)		(4,736	)		(34,803	)		(15,916	)
Income for the period from interest in Other Comprehensive Income of associates and joint ventures accounted for using the participation method			(28,488	)		(4,736	)		(34,803	)		(15,916	)
Total Other Comprehensive Income that will be reclassified to profit or loss of the period			292,803			48,040			301,312			22,921
Total Other Comprehensive Income			292,803			48,040			301,312			22,921
Total Comprehensive Income			3,408,452			2,271,549			6,959,144			4,251,678

	Delfín Jorge Ezequiel Carballo Chairperson
70

CONDENSED SEPARATE INTERIM STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY

FOR THE SIX MONTHS PERIOD ENDED JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

	Capital Stock		Non-capital, Contributions				Other Comprehensive Income					Earnings Reserved
	Outstanding shares		Stock Issuance Premium		Adjustments to Shareholders´ Equity		Accumulat, Foreign Currency translation differences in financial statements		Other			Legal		Other			Unappropiated Retained Earnings			Total Equity net of Controlling Interests			Total Equity
Balance at the beginning of fiscal year		669,663		12,428,461		4,511		137,148		67,412			4,994,932		15,368,454			12,864,442			46,535,023			46,535,023
Total comprehensive income for the period
- Net income for the period																		6,657,832			6,657,832			6,657,832
- Other comprehensive income for the period								398,114		(96,802	)										301.312			301,312
- Distribution of unappropiated retained earnings as approved by Shareholders´ Meeting held on April 27, 2018
Legal													1,877,755					(1,877,755	)
Cash dividends															(3,348,315	)					(3,348,315	)		(3,348,315	)
Others															7,511,018			(7,511,018	)
Balance at the end of period		669,663		12,428,461		4,511		535,262		(29,390	)		6,872,687		19,531,157			10,133,501			50,145,852			50,145,852

CONDENSED SEPARATE INTERIM STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY

FOR THE SIX MONTHS PERIOD ENDED JUNE 30, 2017

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

	Capital Stock		Non-capital, Contributions				Other Comprehensive Income					Earnings Reserved
Changes	Outstanding shares		Stock Issuance Premium		Adjustments to Shareholders´ Equity		Accumulat, Foreign Currency translation differences in financial statements		Other			Legal		Other			Unappropiated Retained Earnings			Total Equity net of Controlling Interests			Total Equity
Balance at the beginning of fiscal year		584,563		399,499		4,511				65,711			3,686,472		10,698,348			9,531,589			24,970,693			24,970,693
Total comprehensive income for the period
- Net income for the period																		4,228,757			4,228,757			4,228,757
- Other comprehensive income for the period								36,267		(13,346	)										22,921			22,921
- Distribution of unappropiated retained earnings as approved by Shareholders´ Meeting held on April 28, 2017
- Legal													1,308,460					(1,308,460	)
- Cash dividends															(701,476	)					(701,476	)		(701,476	)
- Others															5,371,582			(5,424,045	)		(52,463	)		(52,463	)
Increase of Capital Stock as approved by Shareholders´ Meeting held on April 28, 2017		74,000		10,387,724																	10,461,724			10,461,724
Balance at the end of period		658,563		10,787,223		4,511		36,267		52,365			4,994,932		15,368,454			7,027,841			38,930,156			38,930,156

	Delfín Jorge Ezequiel Carballo Chairperson
71

CONDENSED SEPARATE INTERIM STATEMENT OF CASH FLOWS

FOR THE SIX MONTHS PERIODS ENDED JUNE 30, 2018 AND 2017

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

Items	Notes	06/30/2018			06/30/2017
CASH FLOWS FROM OPERATING ACTIVITIES
Income for the period before Income Tax			9,234,377			6,219,485
Adjustments to obtain cash flows from operating activities:
Amortization and depreciation			304,752			237,244
Provision for loan losses			1,026,020			735,482
Other adjustments			(3,028,200	)		133,211
Net increase / decrease from operating assets:
Debt Securities at fair value though profit and loss			(215,631	)		(450,174	)
Derivative financial instruments			(34,650	)		7,885
Repo transactions			1,263,650			(2,033,671	)
Loans and other financing
Non-financial public sector			(167,862	)		1,040,908
Other financial entities			26,399			(517,962	)
Non-financial private sector and foreign residents			(22,005,852	)		(17,058,737	)
Other debt securities			24,127,743			(7,943,253	)
Financial assets delivered as guarantee			209,945			1,060,244
Investments in equity instruments			(8,039	)		308,199
Other assets			(1,163,749	)		(672,915	)
Net increase / decrease from operating liabilities:
Deposits
Non-financial public sector			4,372,167			1,197,702
Financial sector			44,014			1,494
Non-financial private sector and foreign residents			27,884,104			8,493,501
Liabilities at fair value through profit or loss			(6,450	)
Derivative financial instruments			11,044			217
Repo transactions			(858,860	)		(1,095,634	)
Other liabilities			1,272,399			1,527,697
Payments for Income Tax			(3,941,745	)		(2,251,016	)
TOTAL CASH FROM OPERATING ACTIVITIES (A)			38,345,576			(11,060,093	)

	Delfín Jorge Ezequiel Carballo Chairperson
72

CONDENSED SEPARATE INTERIM STATEMENT OF CASH FLOWS

FOR THE SIX MONTHS PERIODS ENDED JUNE 30, 2018 AND 2017

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

Items	Notes	06/30/2018			06/30/2017
CASH FLOWS FROM INVESTING ACTIVITIES
Payments:
Acquisition of PPE, intangible assets and other assets			(599,556	)		(559,060	)
Proceeds:
TOTAL CASH USED IN INVESTING ACTIVITIES (B)			(599,556	)		(559,060	)
CASH FLOWS FROM FINANCING ACTIVITIES
Payments:
Dividends			(3,348,315	)		(701,476	)
Non-subordinated corporate bonds			(242,604	)		(1,766,904	)
Financing from local financial entities			(74,671	)
Subordinated corporate bonds						(206,280	)
Issued equity instruments						10,461,724
Non-subordinated corporate bonds			3,206,999			4,604,398
Central Bank of the Republic of Argentina			4,376			2,070
Financing to local financial entities						748,697
Other proceeds related to financing activities						213,379
TOTAL CASH (USED IN)/ FROM FINANCING ACTIVITIES (C)			(454,215	)		13,355,608
EFFECT OF EXCHANGE RATE FLUCTUATIONS (D)			7,509,308			458,857
TOTAL CHANGES IN CASH FLOWS
NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+C+D)			44,801,113			2,195,312
CASH AND CASH EQUIVALENTS AT BEGINNING OF THE FISCAL YEAR	19		37,302,039			47,150,300
CASH AND CASH EQUIVALENTS AT END OF THE PERIOD	19		82,103,152			49,345,612

	Delfín Jorge Ezequiel Carballo Chairperson
73

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

1. CORPORATE INFORMATION

Banco Macro SA (hereinafter, the “Bank”) is a business corporation (sociedad anónima) organized in the Republic of Argentina that offers traditional banking products and services to companies, including those companies operating in regional economies, as well as to individuals, strengthening in this way its goal to be a multi-service bank. In addition, the Bank performs certain transactions through its subsidiaries banco del Tucumán SA, Macro Bank Limited (a company organized under the laws of Bahamas), Macro Securities SA, Macro Fiducia SA and Macro Fondos SGFCISA.

Macro Compañía Financiera SA was created in the year 1977 as a non-banking financial institution. In May 1988, it received the authorization to operate as a commercial bank and it was incorporated as Banco Macro SA. Subsequently, as a result of the merger process with other entities, it adopted other names (among them, Banco Macro Bansud SA) and since August 2006, Banco Macro SA.

The Bank´s shares are publicly listed on Bolsas y Mercados Argentinos (BYMA) since November 1994 and as from March 24, 2006, they are listed on the New York Stock Exchange (NYSE). Additionally, on October 15, 2015 they were authorized to list on the Mercado Abierto Electrónico SA (MAE).

Since 1994, Banco Macro SA’s market strategy was mainly focused on the regional areas outside the City of Buenos Aires. Following this strategy, in 1996, Banco Macro SA started the process to acquire entities and assets and liabilities during the privatization of provincial and other banks.

In 2001, 2004, 2006 and 2010, the Bank acquired the control of Banco Bansud SA, Nuevo Banco Suquía SA, Nuevo Banco Bisel SA and Banco Privado de Inversiones SA, respectively. Such entities merged with and into Banco Macro SA in December 2003, October 2007, August 2009 and December 2013, respectively. In addition, during the fiscal year 2006, Banco Macro SA acquired control over Banco del Tucumán SA.

On August 22, 2018, the Bank’s Board of Directors approved the issuance of the accompanying condensed separate interim Financial Statements.

2. OPERATIONS OF THE BANK

Note 2 to the Condensed consolidated interim Financial Statements includes a detailed description of the agreements that relate the Bank and its subsidiary Banco del Tucumán to the provincial Governments.

3. BASIS FOR THE PREPARATION OF THE FINANCIAL STATEMENTS AND APPLICABLE ACCOUNTING STANDARDS

On February 12, 2014 the Central Bank, through Communiqué “A” 5541 established the general guidelines towards conversion to the IFRS issued by the International Accounting Standards Board (IASB) for preparing financial statements of the entities under its supervision, for the annual fiscal years beginning on January 1, 2018 as well as those of interim-periods,

Additionally, through Communiqué “A” 6114, the Central Bank set specific guidelines within the scope of such convergence process, among which it defined (i) the transitory exception to the application of section 5.5 “Impairment” of the IFRS 9 “Financial Instruments” (sections B5.5.1 to B5.5.55) up to the fiscal years beginning as of January 1, 2020; and (ii) that in order to calculate the effective interest rate of assets and liabilities so requiring it for the measurement thereof, pursuant to IFRS 9, transitorily up to 31 December 2019, the Bank may make a global estimate of the calculation of the effective interest rate on a group of financial assets or liabilities with similar characteristics which shall be applied such effective interest rate. To the date of the accompanying condensed separate interim Financial Statements the Bank is in the process of quantifying the effect the application of section 5.5 “Impairment” mentioned in (i) above would have. Finally, through Communiqués “A” 6323 and 6324 and supplementary provisions the BRCA defined the chart of account and the provisions applicable to the preparation and presentation of the financial statements of financial entities for the fiscal years beginning on January 1, 2018, respectively.

74

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

The accounting policies comply with the IFRS presently approved through Central Bank Comunique “A” 6114 and are applicable to the preparation of the first annual consolidated Financial statements as provided for in the IFRS (December 31, 2018). Nevertheless, these accounting policies may be modified if, at the time of preparing such first annual Financial Statements under Communiqué “A” 6114, new rules or standards are issued or the current ones are amended, with compulsory application to such date, or if the Bank chooses to change the election of the exemptions under IFRS 1. As a general rule, the Central Bank does not admit the early application of any IFRS, unless it establishes any provision the contrary.

These condensed separate interim Financial Statements, were prepared in accordance with the framework set forth by the Central Bank as mentioned in the previous paragraphs, for which these condensed separate interim Financial Statements, are based on IAS 34 “Interim Financial Reporting”. In that sense, these condensed separate interim Financial Statements include all the necessary information for an appropriate understanding, by the users thereof, of the basis for the preparation and disclosure used therein, as well as the relevant events and transactions occurred after the issuance of the last annual separate Financial Statements for the fiscal year ended December 31, 2017 and condensed separate interim Financial Statements for the three-month period ended on March 31, 2018. Nevertheless, the present condensed separate interim Financial Statements do not include all the information or all the disclosures required for the annual separate Financial Statements prepared in accordance with the IAS 1 “Presentation of Financial Statements”. Therefore, the accompanying condensed separate interim Financial Statements must be read together with the annual separate Financial Statements for the fiscal year ended December 31, 2017 and condensed separate interim Financial Statements for the three-month period ended on March 31, 2018. Additionally, Note 3 to the condensed consolidated interim Financial Statements presents a detailed description of the basis for the presentation of such Financial Statements. All that is explained therein shall apply to the accompanying condensed separate interim Financial Statements, as well as the main accounting policies used and the relevant information of the subsidiaries.

Subsidiaries

As mentioned in Note 1, the Bank performs certain transactions through its subsidiaries.

Subsidiaries are all the entities controlled by the Bank. A Company controls other entity when it is exposed, or has rights, to variable returns from its continuing involvement with such other entity, and has the ability to use its power to direct the operating and financing policies of such other entity, to affect the amounts of such returns.

As provided under IAS 27 “Consolidated and Separate Financial Statements”, investments in subsidiaries were accounted for using the “equity method”. When using this method, investments are initially recognized at cost, and such amount increases or decreases to recognize investor’s interest in profits and losses of the entity after the date of acquisition or creation.

Share in profits and losses of subsidiaries and associates are recognized in the line “Income from subsidiaries, associates and joint arrangements” in the Statement of income. Ownership interest in other comprehensive income of subsidiaries is accounted for in the line “Income for the period for interest in other comprehensive income of subsidiaries, associates and joint arrangements accounted for using the participation method”, in the statement of other comprehensive income.

Transcription in the Books of Accounts

To the date of the accompanying Condensed separate interim Financial Statements, the same are in the process of being transcribed in the Bank’s Books of Account.

75

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

First-time Adoption of International Financial Reporting Standards in accordance with Central Bank Communiqué “A” 6114

Note 3 to the condensed consolidated interim Financial Statements explains the convergence process under Central Bank Communiqué “A” 6114, The obligatory exceptions and exemptions used by the Bank in relation to not apply certain IFRS in a retrospectively way and the first time adoption adjustment, have been explained in the condensed consolidated interim Financial Statement for the three-month period ended on March 31, 2018, already issued.

Required reconciliations

· Reconciliation of equity as of June 30, 2017.

	Previous Central Bank Standards		Adjustments and Reclassifications			IFRS according Communiqué “A” 6114
Total Assets		175,528,509		1,258,465			176,786,974
Total Liabilities		139,700,969		(1,844,151	)		137,856,818
Net Shareholders´Equity		35,827,540		3,102,616			38,930,156

Balance as of 06/30/2017	Net Shareholders´ equity
According to previous Central Bank Standards		35,827,540
Adjustments and Reclassifications:
Debt securities and investment in equity instruments		57,490
Loans and other financing		(298,581	)
Investment in subsidiaries, associated and joint arrangements		302,537
Property, plant and equipment and investment property		4,251,074
Other non-financial assets		68,093
Deferred income tax liabilities		(1,061,256	)
Other non-financial liabilities		(288,717	)
Corporate bonds		59,698
Other adjustments		12,278
Total adjustments		3,102,616
Net Shareholders equity according Communiqué “A” 6114		38,930,156

· Reconciliation of separate income and other comprehensive income for the six-month and three-month periods ended June 30, 2017.

Reconciliation of income for the six- month period as of 06/30/2017	Net income for the period			Other comprehensive income			Comprehensive Income
According to previous Central Bank Standards		3,779,312
Adjustments and reclasifications
Interest income		(49,406	)
Commissions income		28,464
Interest expense		28,138
Other operating expenses		(48,951	)
Reclasifications of Issuance cost of shares		234,545
Income Tax		218,772
Investment in subsidiaries, associated and joint arrangements		24,321			(15,916	)

76

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

Reconciliation of income for the six- month period as of 06/30/2018 (contd.)	Net income for the period		Other comprehensive income		Comprehensive Income
Foreign currency translation differences				36,267
Income from financial instruments at fair value through OCI				2,570
Other adjustment		13,562
Total adjustments and reclassifications		449,445		22,921
Balances accordance Communiqué “A” 6114		4,228,757		22,921		4,251,678

Reconciliation of income for the three- month period as of 06/30/2017	Net income for the period			Other comprehensive income			Comprehensive Income
According to previous Central Bank Standards		2,015,267
Adjustments and reclasifications
Interesst income		(56,337	)
Commissions income		(2,769	)
Interest expense		34,548
Other operating expenses		(41,935	)
Employee benefits		(48,563	)
Investment in subsidiaries, associated and joint arrangements		14,102			(4,736	)
Reclasifications of Issuance cost of shares		234,545
Foreign currency translation differences					58,793
Income from financial instruments at fair value through OCI					(6,017	)
Income tax		118,718
Other adjustment		(44,067	)
Total adjustments and reclassifications		208,242			48,040
Balances accordance Communiqué “A” 6114		2,223,509			48,040			2,271,549

4. CONTINGENT TRANSACTIONS

In order to meet specific financial needs of customers, the Bank’s credit policy also includes, among others, the granting of guarantees, securities, bonds, letters of credit and documentary credits. Although these transactions are not recognized in the Balance sheet, since they imply a possible obligation or liability for the Bank, they expose the Bank to additional credit risk to those recognized in the Balance sheet and are, therefore, an integral part of the total risk of the Bank.

As of June 30, 2018 and December 31, 2017 and 2016, the Bank maintains the following contingent transactions:

	06/30/2018		12/31/2017		12/31/2016
Overdraft and unused agreed credits		826,663		255,710		191,007
Guarantees granted		697,621		253,793		288,382
Liabilities for foreign trade transactions		203,399		90,274		163,308
		1,727,683		599,777		642,697

77

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

Risks related to the contingent transactions described above have been evaluated and are controlled within the framework of the Bank’s credit risk policy detail in Note 41 to the condensed consolidated interim Financial Statements as of March 31, 2018, already issued.

5. FAIR VALUE QUANTITATIVE AND QUALITATIVE DISCLOSURES

Note 5 to the condensed consolidated interim Financial Statements describes the methods and assumptions used to determine the fair value, both of the financial instruments recognized at fair value as of those not accounted for at such fair value in the accompanying condensed separate interim Financial Statements. In addition, the Bank discloses the relevant information as to instruments included in Level 3 of the fair value hierarchy.

Below we present the reconciliation between the balances at the beginning and the end of the period of the financial assets and liabilities recognized at fair value, using the valuation technical information based on the Bank’s own assumptions, as of June 30, 2018 and December 31, 2017:

	Fair values using valuation techniques based on the Bank’s own assumptions (level 3) June 30, 2018
Description	Debt Securities			Other Financial Assets			Investments in Equity Instruments
Balance at the beginning		35,841			161,751			33,197
Transfers to Level 3
Transfers from Level 3
Profit and Loss		(16,497	)		(28,208	)		6,540
Purchases, sales, issuance and settlement		133,699			(71,337	)
Balance at end of period		153,043			62,206			39,737

	Fair values using valuation techniques based on the Bank’s own assumptions (level 3) December 31, 2017
Description	Debt Securities			Other Financial Assets		Investments in Equity Instruments
Balance at the beginning		45,834					14,741
Transfers to Level 3
Transfers from Level 3
Profit and Loss		5,661					18,771
Purchases, sales, issuance and settlement		(15,654	)		161,751		(315	)
Balance at end of year		35,841			161,751		33,197

The following table shows a comparison between the fair value and the carrying amount of financial instruments not recognized at fair value as of June 30, 2018 and December 31, 2017 and 2016:

	06/30/2018
	Carrying Amount		Level 1		Level 2		Level 3		Fair Value
Financial Assets
Cash and deposits in Banks		45,389,232		45,389,232						45,389,232
Repo transactions		156,158		156,158						156,158
Other financial assets		1,872,246		1,872,246						1,872,246
Loans and other financing		143,296,147				153,249		133,102,337		133,255,586
Other debt securities		3,802,923		116,506		3,375,965		285,925		3,778,396
Financial assets delivered as guarantee		5,099,550		5,099,550						5,099,550
		199,616,256		52,633,692		3,529,214		133,388,262		189,551,168

78

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

	06/30/2018
	Carrying Amount		Level 1		Level 2		Level 3	Fair Value
Financial Liabilities
Deposits		165,016,459		84,231,479		80,838,745			165,070,224
Other repo transactions		1,829,233		1,829,233					1,829,233
Other financial liabilities		10,175,697		8,656,568		1,521,269			10,177,837
Financing received from the Central Bank and other financial entities		1,828,488		1,176,005		626,879			1,802,884
Issued corporate bonds		8,135,980				7,677,228			7,677,228
Subordinated corporate bonds		11,646,217				10,829,371			10,829,371
		198,632,074		95,893,285		101,493,492			197,386,777

	12/31/2017
	Carrying Amount		Level 1		Level 2		Level 3		Fair Value
Financial Assets
Cash and deposits in Banks		32,473,987		32,473,987						32,473,987
Repo transactions		1,419,808		1,419,808						1,419,808
Other financial assets		1,362,179		1,362,179						1,362,179
Loans and other financing		122,173,846				477,188		119,183,156		119,660,344
Other debt securities		931,281		945,655						945,655
Financial assets delivered as guarantee		4,350,292		4,350,292						4,350,292
		162,711,393		40,551,921		477,188		119,183,156		160,212,265
Financial Liabilities
Deposits		132,716,174		72,265,769		60,523,556				132,789,325
Other repo transactions		2,688,093		2,688,093						2,688,093
Other financial liabilities		9,808,877		8,515,027		1,299,660				9,814,687
Financing received from the Central Bank and other financial entities		1,173,840				1,176,126				1,176,126
Issued corporate bonds		4,712,216				4,432,977				4,432,977
Subordinated corporate bonds		7,565,759				7,710,790				7,710,790
		158,664,959		83,468,889		75,143,109				158,611,998

	12/31/2016
	Carrying Amount		Level 1		Level 2		Level 3		Fair Value
Financial Assets
Cash and deposits in Banks		32,992,475		32,992,475						32,992,475
Repo transactions		19,124		19,124						19,124
Other financial assets		743,194		743,194						743,194
Loans and other financing		81,475,324				477,464		79,877,385		80,354,849
Other debt securities		841,943		841,943						841,943
Financial assets delivered as guarantee		2,261,440		2,261,440						2,261,440
		118,333,500		36,858,176		477,464		79,877,385		117,213,025

79

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

	12/31/2016
	Carrying Amount		Level 1		Level 2		Level 3	Fair Value
Financial Liabilities
Deposits		102,498,623		54,202,915		48,367,480			102,570,395
Other repo transactions		1,095,634		1,095,634					1,095,634
Other financial liabilities		5,895,687		4,823,083		1,075,294			5,898,377
Financing received from the Central Bank and other financial entities		260,266				259,583			259,583
Issued corporate bonds		1,745,851				1,466,612			1,466,612
Subordinated corporate bonds		6,376,537				5,994,056			5,994,056
		117,872,598		60,121,632		57,163,024			117,284,657

6. INVESTMENTS IN ASSOCIATES AND JOINT ARRANGEMENTS

The Bank’s interests on associates and joint ventures are disclosed in Note 6 to the condensed consolidated interim Financial Statements.

7. RELATED PARTIES

A related party is a person or entity that is related to the Bank:

- has control or joint control of the Bank;

- has significant influence over the Bank;

- is a member of the key management personnel of the Bank or of a parent of the Bank;

- members of the same group;

- one entity is an associate (or an associate of a member of a group of which the other entity is a member).

Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the Bank, directly or indirectly. The Bank considers as key management personnel, for the purposes of IAS 24, the members of the Board of Directors and the Senior Management member of the Risk Management Committee, Assets and Liabilities Committee and the Senior Credit Committee.

As of June 30, 2018 and December 31, 2017 and 2016, there is a total amount of 1,663,900, 1,358,575 and 316,742, respectively, as unpaid financial assistance granted by the Bank to its associates and related parties and deposits of its associates and related parties of 2,149,794, 2,472,648 and 2,302,098, respectively:

80

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

	Subsidiaries				Associates and other related parties
	Maximum balances as of 06/30/2018		Balance as of 06/30/2018		Maximum balances as of 06/30/2018		Balance as of 06/30/2018
Documents						407,999		397,080
Overdraft						34,215		28,554
Credit cards		567		377		45,224		41,355
Leases		6,309		6,309		1,851		1,751
Personal loans						10		8
Mortgage loans						42,474		42,464
Other loans		1,952,244		901,973		197,842		195,378
Guarantees granted						46,895		48,651
Total assistance		1,959,120		908,659		776,510		755,241
Deposits				345,317				1,804,477

	Subsidiaries				Associates and other related parties
	Maximum balances as of 12/31/2017		Balance as of 12/31/2017		Maximum balances as of 12/31/2017		Balance as of 12/31/2017
Documents						147,026		147,026
Overdraft						25,300		7,830
Credit cards		397		389		35,430		33,827
Leases		6,973		6,973		2,204		2,157
Personal loans						18		17
Mortgage loans						13,559		13,526
Other loans		952,148		952,148		140,661		140,448
Guarantees granted		443		443		53,950		53,791
Total assistance		959,961		959,953		418,148		398,622
Deposits				108,606				2,364,042

	Subsidiaries				Associates and other related parties
	Maximum balances as of 12/31/2016		Balance as of 12/31/2016		Maximum balances as of 12/31/2016		Balance as of 12/31/2016
Documents						99,725		99,347
Overdraft						17,799		7,454
Credit cards		191		191		20,673		18,603
Leases		8,036		8,036		1,189		1,168
Personal loans						647		647
Mortgage loans						4,759		4,759
Other loans						175,770		161,287
Guarantees granted		885		885		14,532		14,365
Total assistance		9,112		9,112		335,094		307,630
Deposits				134,911				2,167,187

81

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

Transactions generated by the Bank with its subsidiaries and other related parties to it for transactions arranged within the scope of the usual and ordinary course of business, were performed in normal market conditions, both as to interest rates and prices and as to the required guarantees.

As of June 30, 2018, December, 31 2017 and 2016, the income from loan transactions totaled 201,642, 83,850 and 15,781, respectively, while income generated from deposit transactions totaled 62,318, 163,814 and 141,184, respectively.

The Bank does not have loans granted to Directors and other key management personnel secured with shares.

Total remunerations received as salary and bonus by the key management personnel as of June 30, 2018 and December 31, 2017 and 2016, totaled 41,285, 64,409 and 30,807 respectively.

In addition, fees received by the Directors as of June 30, 2018 and December 31, 2017 and 2016 amounted to 287,368, 421,033 and 205,822 respectively.

Additionally, the composition of the Board of Directors and key management personnel is as follows:

	06/30/2018		12/31/2017		12/31/2016
Board of Directors		15		13		12
Top Management members of the key management personnel		10		10		10
		25		23		22

8. NON-CURRENT ASSETS HELD FOR SALE

Non-current assets held for sale as of June 30, 2018 are described in Note 8 to the condensed consolidated interim Financial Statements.

9. PROVISIONS

This item includes the amounts estimated to face a liability of probable occurrence, which in case it occurs, would originate a loss for the Bank.

Exhibit J “Changes in Provisions” presents the changes in provisions during the six-month period ended June 30, 2018.

The expected terms to settle these obligations are as follows:

	06/30/2018
	Within 12 months		Beyond 12 months		06/30/2018		12/31/2017		12/31/2016
For administrative, disciplinary and criminal penalties				718		718		718		9,110
Others		315,031		364,071		679,102		595,277		242,256
		315,031		364,789		679,820		595,995		251,366

In the opinion of the Management of the Bank and its legal advisors, there are no other significant effects than those disclosed in the accompanying Financial Statements, the amounts and settlement terms of which have been recognized based on the current value of such estimates, considering the probable settlement date thereof.

82

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

10. ANALYSIS OF FINANCIAL ASSETS TO BE RECOVERED AND FINANCIAL LIABILITIES TO BE SETTLED

The following tables show the analysis of the balance of financial assets and liabilities the Bank expects to recover and settle as of June 30, 2018 and December 31, 2017 and 2016:

06/30/2018	No maturity		Total up to 12 months		Total over 12 months
Assets
Cash and deposits in Banks		45,389,232
Debt securities at fair value through profit or loss		5,104		263,630		922,224
Derivative instruments				42,314
Repo transactions				156,158
Other financial assets		943,036		940,873		50,543
Loans and other financing		1,014,726		85,461,228		56,820,193
Other debt securities				37,778,534		3,590,836
Financial assets delivered as guarantee		5,099,550		2,034,516
Investment in equity instruments		44,924
Total Assets		52,496,572		126,677,253		61,383,796
Liabilities
Deposits		82,659,062		82,194,152		163,245
Derivatives financial instruments				34,151
Repo transactions				1,829,233
Other financial liabilities				10,021,742		153,955
Financing received from Central Bank and other financial entities				1,628,667		199,821
Issued corporate bonds				307,910		7,828,070
Subordinated corporate bonds				101,537		11,544,680
Total Liabilities		82,659,062		96,117,392		19,889,771

12/31/2017	No maturity		Total up to 12 months		Total over 12 months
Assets
Cash and deposits in Banks		32,473,987
Debt securities at fair value through profit or loss				113,181		862,190
Derivative instruments				7,664
Repo transactions				1,419,808
Other financial assets				846,983		676,947
Loans and other financing				67,826,931		54,346,915
Other debt securities				33,611,201
Financial assets delivered as security		4,350,292		2,993,719
Investment in equity instruments		36,885
Total Assets		36,861,164		106,819,487		55,886,052
Liabilities
Deposits		69,069,176		63,100,594		546,404
Liabilities at fair value to profit or loss				6,450
Derivative instruments				23,107
Repo transactions				2,688,093
Other financial liabilities				9,625,147		183,730
Financing received from Central Bank and other financial entities				1,006,966		166,874
Issued corporate bonds				118,356		4,593,860
Subordinated corporate bonds				80,004		485,755
Total Liabilities		69,069,176		76,648,717		5,976,623

83

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

12/31/2016	No maturity		Total up to 12 months		Total over 12 months
Assets
Cash and deposits in Banks		32,992,475
Debt securities at fair value through profit or loss				31,956		243,430
Derivative instruments				9,721
Repo transactions				19,124
Other financial assets				739,306		3,888
Loans and other financing				49,014,679		32,460,645
Other debt securities				17,974,087
Financial assets delivered as security		2,261,475		1,200,994
Investment in equity instruments		337,309
Total Assets		35,591,259		68,989,867		32,707,963
Liabilities
Deposits		46,192,528		56,003,619		302,476
Repo transactions				1,095,634
Other financial liabilities				5,784,361		111,326
Financing received from Central Bank and other financial entities				193,618		66,648
Issued corporate bonds				1,745,851
Subordinated corporate bonds				67,429		6,309,108
Total Liabilities		46,192,528		64,890,511		6,789,558

11. DISCLOSURES BY OPERATING SEGMENT

The Bank has an approach of its banking business that is described in Note 11 to the condensed consolidated interim Financial Statements.

12. INCOME TAX

The main items of income tax expense in the condensed consolidated interim Financial Statements are as follows:

	06/30/2018						06/30/2017
	Accumulated from beggining year up to 06/30/2018			Quarter ended 06/30/2018			Accumulated from beggining year up to 06/30/2017			Quarter ended 06/30/2017
Current income tax expense		2,791,661			1,227,018			2,208,117			1,121,961
Gain for deferred income tax		(215,116	)		(123,440	)		(217,389	)		(100,055	)
Income tax expense recorded in the statement of income		2,576,545			1,103,578			1,990,728			1,021,906
Income tax gain recorded in other comprehensive income		(26,571	)		(9,928	)		1,382			(3,241	)
		2,549,974			1,093,650			1,992,110			1,018,665

13. COMMISSIONS INCOME

	06/30/2018				06/30/2017
Description	Accumulated from beggining year up to 06/30/2018		Quarter ended 06/30/2018		Accumulated from beggining year up to 06/30/2017		Quarter ended 06/30/2017
Performance obligations satisfied in one act (1)		3,644,967		1,946,836		2,867,552		1,443,706
Performance obligations satisfied over certain time period		10,225		5,793		8,044		102,524
		3,655,192		1,952,629		2,875,596		1,546,230

(1) Includes principally account maintenance fees, agreements and credit card commissions.

84

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

14. DIFFERENCE IN QUOTED PRICES OF GOLD AND FOREIGN CURRENCY

	06/30/2018						06/30/2017
Description	Accumulated from beggining year up to 06/30/2018			Quarter ended 06/30/2018			Accumulated from beggining year up to 06/30/2017		Quarter ended 06/30/2017
Translation of foreign currency assets and liabilities to pesos		(1,446,555	)		(1,445,083	)		329,679		258,010
Income from foreign currency Exchange		443,868			317,873			199,315		90,245
		(1,002,687	)		(1,127,210	)		528,994		348,255

15. OTHER OPERATING INCOME

	06/30/2018				06/30/2017
Description	Accumulated from beggining year up to 06/30/2018		Quarter ended 06/30/2018		Accumulated from beggining year up to 06/30/2017		Quarter ended 06/30/2017
Services		1,708,754		892,328		1,456,544		688,744
Sale of investment property and other non-financial assets		137,123		27,202		10,313		10,313
Other adjustments and interest from other receivables		79,638		39,806		25,408		15,719
Initial recognition of loans		49,749		29,292
Sale of property, plant and equipment		1,450		731		821		254
Other		282,349		168,884		299,296		174,923
		2,259,063		1,158,243		1,792,382		889,953

16. EMPLOYEE BENEFITS

	06/30/2018				06/30/2017
Description	Accumulated from beggining  year up to  06/30/2018		Quarter ended 06/30/2018		Accumulated from  beggining  year up to 06/30/2017		Quarter ended 06/30/2017
Remunerations		3,047,406		1,662,263		2,485,167		1,306,028
Social Security Contributions		604,346		335,957		488,885		245,062
Compensations and bonuses to employees		307,339		168,114		192,148		93,716
Employee services		92,389		47,969		92,735		52,218
		4,051,480		2,214,303		3,258,935		1,697,024

85

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

17. ADMINISTRATION EXPENSES

	06/30/2018				06/30/2017
Description	Accumulated from beggining year up to 06/30/2018		Quarter ended 06/30/2018		Accumulated from  beggining  year up to 06/30/2017		Quarter ended 06/30/2017
Taxes		406,124		201,302		301,887		156,626
Maintenance, conservation and repair expenses		336,298		185,454		228,781		118,700
Security services		284,705		152,259		220,610		110,423
Fees to Directors and Syndics		280,021		133,011		159,318		85,861
Electricity and communications		212,692		109,198		146,401		74,441
Other fees		211,607		114,454		147,329		78,870
Leases		127,666		68,321		96,603		49,069
Advertising and publicity		82,013		52,863		77,399		36,003
Representation, travel and transportation expenses		41,190		22,375		29,198		15,991
Stationary and office supplies		20,966		10,558		16,966		8,542
Insurance		17,609		9,816		17,329		8,531
Hired administrative services		2,979		2,093		5,167		715
Other		629,027		329,089		433,245		234,303
		2,652,897		1,390,793		1,880,233		978,075

18. OTHER OPERATING EXPENSES

	06/30/2018				06/30/2017
Description	Accumulated from beggining year up to 06/30/2018		Quarter ended 06/30/2018		Accumulated from  beggining  year up to 06/30/2017		Quarter ended 06/30/2017
Gross turnover tax		2,149,319		1,145,035		1,401,149		719,858
Charges for other provisions		317,921		167,968		155,645		90,230
Deposit Guarantee Fund contributions		122,578		63,600		91,742		46,404
Donations		40,726		21,114		39,275		20,342
Insurance claims		21,565		11,485		12,288		7,522
Initial loan recognition						48,951		41,935
Other		1,260,931		685,503		950,883		497,887
		3,913,040		2,094,705		2,699,933		1,424,178

19. ADDITIONAL DISCLOSURES IN THE STATEMENT OF CASH FLOWS

The Statement of Cash Flows presents the changes in cash and cash equivalents derived from operating activities, investing activities and financing activities during the period. For the preparation of the Statement of Cash Flows the Bank adopted the indirect method for Operating Activities and the direct method for Investment Activities and Financing Activities.

The Bank considers as “Cash and cash equivalents” the item Cash and Deposits in Banks and those financial assets that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value.

For the preparation of the Statement of Cash Flows the Bank considered the following:

86

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

- Operating activities: are the normal revenue-producing activities of the Bank as well as other activities that cannot be qualified as investing or financing activities.

- Investing activities: are the acquisition, sale and disposal by other means of long-term assets and other investments not included in cash and cash equivalents.

- Financing activities: are activities that result in changes in the size and composition of the shareholders equity and liabilities of the Bank and that are not part of the operating or investing activities.

The table below presents the reconciliation between the item “Cash and cash equivalents” in the Statement of Cash Flows and the relevant accounting items of the Balance Sheet:

	06/30/2018		12/31/2017		06/30/2017		12/31/2016
Cash and Deposits in Banks		45,389,232		32,473,987		33,698,812		32,992,475
Debt securities at fair value				44				9,585
Other debt securities		36,713,920		4,828,008		15,646,800		14,148,240
		82,103,152		37,302,039		49,345,612		47,150,300

20. CAPITAL STOCK

Note 20 to the condensed consolidated interim Financial Statements, presents the changes in the Bank´s capital stock.

21. DEPOSIT GUARANTEE INSURANCE

Note 22 to the condensed consolidated interim Financial Statements describes the Deposit Guarantee Insurance System and the scope thereof.

Banco Macro SA holds an 8.4020% interest in the capital stock according to the percentages disclosed by Central Bank Communiqué “B” 11681 issued on March 20, 2018.

22. RESTRICTED ASSETS

As of June 30, 2018 and December 31, 2017 the following Bank’s assets are restricted:

Item	06/30/2018		12/31/2017
Debt securities at fair value through profit or loss and other debt securities
· Central Bank of Argentina Internal Bills in pesos, maturity 19-09-2018 as of June 30, 2018 and maturity 02-21-2018 as of December 31, 2017 securing the fulfillment of the offsetting forward exchange buy and sell operations.		156,990		53,059
· Discount bonds in pesos regulated by Argentinean legislation, maturing 2033 used as security in favor of Sedesa (1).		121,368		117,454
· Discount bonds in pesos regulated by Argentinean legislation, maturing 2033 securing the regional economies Competitiveness Program – BID Loan No. 3174/OC-AR.		86,851		98,541
· Central Bank of Argentina Internal Bills in pesos, maturity 09-19-2018 as of June 30, 2018 and maturity 02/21/2018 as of December 31, 2017 securing operations through negotiation secured transaction Segment as the main counterparty of the MAE.		50,407		9,647
· Discount bonds in pesos regulated by Argentinean legislation, maturing 2033, for minimum counterpart required for Agents to act in the new categories contemplated under Resolution No. 622/13 of the CNV.		11,580		13,139

87

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

Item (contd.)	06/30/2018		12/31/2017
· Discount bonds in pesos regulated by Argentinean legislation, maturing 2033 securing BID Loan of the Province of San Juan No, 2763/OC-AR.		7,817		8,869
· Discount bonds in pesos regulated by Argentinean legislation, maturing 2033 securing the sectorial Credit Program of the Province of San Juan, Production investment financing fund.		7,672		8,704
· Secured Bonds under Presidential Decree No, 1579/02 as security for a loan received from Banco de Inversión y Comercio Exterior SA (Bice).				4,270
· Other government and private securities.		1,499		2,331
Subtotal Debt securities at fair value through profit or loss and other debt securities		444,184		316,014
Other financial assets
· Sundry debtors – foreclosure within the scope of the claim filed by the DGR against the City of Buenos Aires for differences in gross turnover tax.		827		827
Subtotal other financial assets		827		827
Loans and other financing – Non-financial sector and foreign residents
· Interests derived from contributions made as protector (2)		90,000		90,000
Subtotal Loans and other financing - Non-financial private sector and foreign residents		90,000		90,000
Financial assets delivered as guarantee
· Special guarantee checking accounts opened in Central Bank for transactions related to the electronic clearing houses and similar entities.		4,520,583		3,750,952
· Forward purchase for repo transactions.		2,034,516		2,993,719
· Guarantee deposits related to credit and debit card transactions.		573,688		592,890
· Other guarantee deposits.		5,279		6,450
Subtotal Other financial assets delivered as guarantee		7,134,066		7,344,011
Other non-financial assets
· Real property related to call options sold		115,888		222,023
Subtotal Other non-financial assets		115,888		222,023
Total		7,784,965		7,972,875

(1) As replacement for the preferred shares of former Nuevo Banco Bisel SA to secure to Sedesa the price payment and the fulfillment of all the obligations assumed in the purchase and sale agreement dated May 28, 2007, maturing on August 11, 2021.

(2) In order to keep tax benefits related to these contributions, they must be maintained between two and three years from the date they were made. The same correspond to the following risk funds: Garantizar SGR Risk Fund, Los Grobo SGR Risk Fund and Avaluar SGR Risk Fund as of June 30, 2018 and December 31, 2017.

Additionally, as of December 31, 2016, the amount of restricted assets was 3,877,051.

88

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

23. TRUST AGREEMENTS

Note 24 to the condensed consolidated interim Financial Statements describes the different trust agreements according to the business purpose sought by the Bank, which may be summarized as follows:

1) Financial trusts for investment purposes

Debt securities include mainly prepayments towards the placement price of trust securities of the financial trusts under public offerings, made by the Bank through underwriting agreements (Consubond, Garbarino, Secubono, Accicom, Mila, Credicuotas Consumo, Credimas, Pvcred and Naldo Lombardi). The assets managed for these trusts are mainly related to securitizations of consumer loans. Trust securities are placed once the public offering is authorized by the CNV. Upon expiry of the placement period, once all trust securities have been placed on the market, the Bank recovers the disbursements made, plus an agreed-upon compensation (“underwriting Price”). If after making the best efforts, such trust securities cannot be placed, the Bank (“Underwriter”) will retain the securities subject to underwriting.

As of June 30, 2018 and December 31, 2017 and 2016 the debt securities administered by the Bank with investment purposes and certificate of participation in financial trusts total 1,023,502, 1,003,312 and 719,918, respectively.

According to the latest accounting information available as of the date of issuance of these condensed separate interim Financial Statements, the corpus assets of the trusts, exceed the carrying amount in the related proportions.

2) Trusts created using financial assets transferred by the Bank

As of June 30, 2018 and December 31, 2017 and 2016, considering the latest available accounting information as of the date of the accompanying condensed separate interim Financial Statements, the assets managed through Macro Fiducia SA of this type of trusts amount to 69,444, 116,387 and 58,633, respectively.

3) Trusts guaranteeing loans granted by the Bank

As of June 30, 2018 and December 31, 2017 and 2016, considering the latest available accounting information as of the date of the accompanying condensed separate interim Financial Statements, the assets managed by the Bank amount to 490,300, 328,268 and 451,569, respectively.

4) Trusts in which the Bank acts as Trustee (Management)

As of June 30, 2018 and December 31, 2017 and 2016, considering the latest available accounting information as of the date of the accompanying Financial Statements, the assets managed by the Bank amount to 1,413,939, 1,302,687 and 1,396,421, respectively.

24. COMPLIANCE WITH CNV STANDARDS

Considering Banco Macro SA’s current operations, and according to the different categories of agents established by CNV General Resolution 622, the Bank is registered with this agency as agent for the custody of collective investment products of mutual funds (AC PIC FCI for their acronyms in Spanish language), comprehensive clearing and settlement agent and trading agent (ALyC and AN – comprehensive, for their acronyms in Spanish language), financial trustee Agent (FF for its acronym in Spanish language ) and Guarantee Entity (in the process of being registered).

Additionally, the Bank’s shareholders’ equity exceeds the minimum amount required by this regulation, amounting to 32,000, as well as the minimum counterpart required of 11,000, which the Bank paid-in with government securities as described in Note 22 to the accompanying condensed separate interim Financial Statements.

In addition, Note 25.2 to the condensed consolidated interim Financial Statements presents the general policy of documents in custody, describing which information has been disclosed and delivered to third parties for custody.

89

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

25. ACCOUNTING ITEMS THAT IDENTIFY THE COMPLIANCE WITH MINIMUM CASH REQUIREMENTS

The items recognized by the Bank to constitute the minimum cash requirement effective for June 2018 are listed below, indicating the balances as of month-end of the related items:

Description	Banco Macro SA
Cash and deposits in banks
Amounts in Central Bank accounts		35,343,995
Other debt securities
Government securities computable for the minimum cash requierements		3,373,000
Financial assets delivered as guarantee
Special guarantee accounts with the Central Bank		4,520,583
Total		43,237,578

26. PENALTIES APPLIED TO THE FINANCIAL ENTITY AND SUMMARY PROCEEDINGS INITIATED BY THE CENTRAL BANK

Note 27 to the condensed consolidated interim Financial Statements describes the penalties applied and the proceedings filed by the Central Bank against the Bank, classified as follows:

- Summary proceedings filed by the Central Bank

- Penalties applied by the Central Bank

- Penalties applied by the UIF

The Bank’s Management and its legal advisors consider no further significant accounting effects could arise from the final outcome of the above mentioned judicial proceedings other than those disclosed in the accompanying Financial Statements.

27. ISSUANCE OF CORPORATE BONDS

Note 28 to the condensed consolidated interim Financial Statements describes liabilities for corporate bonds recognized by the Bank as of June 30, 2018 and December 31, 2017, under the terms and conditions therein expressed.

The liabilities amounts for corporate bonds recorded by the Bank in these condensed separate interim Financial Statements are as follows:

Corporate Bonds	Original value		Residual face  value as of  06/30/2018		06/30/2018		12/31/2017
Subordinated Resettable – Class A		USD   400,000,000		USD   400,000,000		11,646,217		7,565,759
Non-subordinated – Class B		Ps.  4,620,570,000		Ps.  4,620,570,000		4,710,409		4,712,216
Non-subordinated – Class C		Ps.  3,207,500,000		Ps.  3,207,500,000		3,425,571
Total						19,782,197		12,277,975

Additionally, as of December 31, 2016, the Bank recognized Class A subordinated resettable corporate bonds for 6,376,537 and Class 2 non-subordinated corporate bonds for 1,745,851.

90

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

28. ACCOUNTING ITEMS OUTSIDE THE BALANCE SHEET

In addition to the expressed in Note 4, the Bank recognizes different transactions outside its Balance sheet, pursuant to the Central Bank standards.

As of June 30, 2018 and December 31, 2017 and 2016, the main balances outside the Bank’s Balance sheet include the preferred and non-preferred guarantees received from customers, under the applicable rules in force in this matter, to secure the loans transactions and other financing, the value of which totals 43,174,628, 38,139,862 and 21,261,105, respectively; custody of government and private bonds and of other third-party assets, the value of which totals 88,117,824, 70,772,660 and 41,094,883, respectively; checks pending clearance amount to 1,279,844, 1,266,305 and 1,134,949, respectively and outstanding checks not yet paid amount to 2,670,988, 2,032,128 and 1,852,989, respectively.

29. TAX AND OTHER CLAIMS

29.1. Tax claims

Note 30.1 to the consolidated Financial Statements describes the most relevant claims pending resolution and filed by AFIP and the tax authorities of the relevant jurisdiction.

The Bank’s Management and its legal advisors consider no further significant accounting effects could arise from the final outcome of the above mentioned proceedings other than those disclosed in the accompanying Financial Statements.

29.2. Other claims

Note 30.2 to the consolidated financial statements describes the most relevant claims pending resolution and filed by the different consumer protection associations.

The Bank’s Management and its legal advisors consider no further significant accounting effects could arise from the final outcome of the above mentioned proceedings other than those disclosed in the accompanying Financial Statements.

30. RESTRICTION ON PROFIT DISTRIBUTION

Note 31 to the Condensed consolidated interim Financial Statements describes the main legal provisions regulating the restriction on profit distribution.

31. CAPITAL MANAGEMENT AND CORPORATE GOVERNANCE TRANSPARENCY POLICY AND RISKS MANAGEMENTS

Note 32 to the condensed consolidated interim Financial Statements describes the main guidelines of the Bank as to capital management and corporate governance transparency policy and risks management.

Aditionally, the table below shows the minimum capital requirements effective for the month of June 2018, together with the integration thereof (computable equity) as of the end of such month:

Description	06/30/2018
Minimum capital requirements		15,975,395
Computable equity		55,839,473
Capital surplus		39,864,078

91

NOTES TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish – See Note 34)

(Figures expressed in thousands of Pesos)

32. CHANGES IN THE ARGENTINE MACROECONOMIC ENVIRONMENT OF THE FINANCIAL AND CAPITAL SYSTEM

The international macroeconomic environment in general and the one in which the Bank operates and its impacts are described in Note 34 to the Condensed consolidated interim Financial statements.

33. EVENTS AFTER REPORTING PERIOD

No events occurred between the end of the reporting period and the issuance of the accompanying interim Financial Statements that may materially affect the financial position or the profit and loss for the period, not disclosed in the accompanying condensed separate interim Financial Statements.

34. ACCOUNTING PRINCIPLES – EXPLANATION ADDED FOR TRANSLATION INTO ENGLISH

These condensed separate interim Financial Statements are presented in accordance with the accounting framework established by the Central, as mention in Note 3. These accounting standards may not conform with accounting principles generally accepted in other countries.

	Delfin Jorge Ezequiel Carballo Chairman
92

EXHIBIT A

SEPARATE DETAIL OF GOVERNMENT AND PRIVATE SECURITIES

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Holdings							Position
	06/30/2018					12/31/2017		06/30/2018
Name	Fair Value	Fair Value Level		Book balance		Book balance		Position without options		Options	Final position
DEBT SECURITIES AT FAIR VALUE TROUGH PROFIT OR LOSS
- Local
Government securities
Discount bonds denominated in pesos at 5.83% - Maturity: 12-31-2033			1		322,442		89,691		322,442			322,442
Debt Securities of Province of Río Negro in pesos - Badlar Private + 500 basis point - Maturity: 07-06-2020			2		115,131		281,881		115,131			115,131
Consolidation bonds in pesos  8° Serie - Maturity: 10-04-2022			1		109,230		105,882		109,230			109,230
Federal government treasury bonds in pesos  - Maturity: 10-03-2021			1		100,390				100,390			100,390
Par bonds denominated in pesos - Maturity: 12-31-2038			1		74,456		38,677		74,456			74,456
Federal government bonds in pesos - Badlar Private + 200 basis point - Maturity 04-03-2022			1		55,108		292		55,108			55,108
Consolidation bonds in pesos  6° Serie at 2% - Maturity: 03-15-2024			1		50,762		4		50,762			50,762
Federal government bonds in US dollars 7.25% - Maturity: 04-22-2026			2		46,611				46,611			46,611
Secured bonds in pesos - Badlar Private + 250 basis point - Maturity: 03-11-2019			1		30,462		3,012		30,462			30,462
Federal government bonds in US dollars 8.75% - Maturity: 05-07-2024			1		30,188		8,934		30,188			30,188
Other					103,135		191,033		175,720			175,720
Subtotal local government securities					1,037,915		719,406		1,110,500			1,110,500
Private securities
Debt Securities in Financial Class A Consubond 143			3		104,099				104,099			104,099
Debt Securities in Financial Trusts Chubut Regalías Hidrocarburíferas - Maturity: 07-01-2020			3		47,874		34,932		47,874			47,874
Securities of public service companies			3		1,070		909		1,070			1,070
Corporate Bonds Banco de Inversión y Comercio Exterior S.A. Class 6							98,602
Corporate Bonds Inversora Juramento S.A. Class 6							80,938
Corporate Bonds Rombo Compañía Financiera S.A. Series 38							40,584
Subtotal local private securities					153,043		255,965		153,043			153,043
TOTAL DEBT SECURITIES AT FAIR VALUE TROUGH PROFIT OR LOSS					1,190,958		975,371		1,263,543			1,263,543

	Delfin Jorge Ezequiel Carballo Chairman
93

EXHIBIT A

(Continued)

SEPARATE DETAIL OF GOVERNMENT AND PRIVATE SECURITIES

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Holdings								Position
	06/30/2018						12/31/2017		06/30/2018
Name	Fair Value		Fair Value Level		Book balance		Book balance		Position without options		Options	Final position
OTHER DEBT SECURITIES
Measured at fair value thought other comprehensive income
- Local
Government securities
International bonds of the Argentina Republic in US dollars at 7.125 - Maturity: 06-28-2117				1		66,600				66,600			66,600
Discount bonds denominated in pesos at 5.83% - Maturity: 12-31-2033				1		7,238				7,238			7,238
Consolidation bonds in pesos 8° Serie - Maturity: 10-04-2022								49,726
Subtotal local government securities						73,838		49,726		73,838			73,838
Central Bank of Argentina Bills
Central Bank of Argentina Internal Bills in pesos – Maturity: 07-18-2018				1		31,584,972		175,645		33,071,625			33,071,625
Central Bank of Argentina Internal Bills in pesos – Maturity: 08-15-2018				1		5,032,299		777		5,507,577			5,507,577
Central Bank of Argentina Internal Bills in pesos – Maturity: 09-19-2018				1		875,153		6,949		875,153			875,153
Central Bank of Argentina Internal Bills in pesos – Maturity: 11-21-2018				1		103				103			103
Central Bank of Argentina Internal Bills in pesos – Maturity: 10-17-2018				1		82				82			82
Central Bank of Argentina Internal Bills in pesos – Maturity: 03-21-2018								6,333,072
Central Bank of Argentina Internal Bills in pesos – Maturity: 01-17-2018								6,045,824
Central Bank of Argentina Internal Bills in pesos – Maturity: 05-16-2018								5,769,624
Central Bank of Argentina Internal Bills in pesos – Maturity: 04-18-2018								5,626,984
Central Bank of Argentina Internal Bills in pesos – Maturity: 02-21-2018								5,341,770
Other								3,329,550
Subtotal Central Bank of Argentina Bills						37,492,609		32,630,195		39,454,540			39,454,540
Total Other debt securities measured at fair value thought other comprehensive income						37,566,447		32,679,921		39,528,378			39,528,378
Measured at amortized cost
- Local
Debt securities
International bonds of the Argentina Republic in pesos - Fix rate 26 - Maturity: 11-21-2020		3,375,965		2		3,395,630				3,395,630			3,395,630
Discount bonds denominated in pesos at 5.83% - Maturity: 12-31-2033		116,506		1		121,368		117,454		121,368			121,368
Secured bonds in pesos under Presidential Decree No. 1579/02 at 2% - Maturity: 02-04-2018								4,270
Subtotal local Debt secutities		3,492,471				3,516,998		121,724		3,516,998			3,516,998
Private securities
Financial Trust Underwriting Naldo Lombardi		89,064		3		89,064				89,064			89,064
Financial Trust Underwriting Mila		72,603		3		72,603		32,955		72,603			72,603
Financial Trust Underwriting PVCRED		60,647		3		60,647				60,647			60,647
Financial Trust Underwriting Credicuotas Consumo		57,713		3		57,713		50,223		57,713			57,713
Financial Trust Underwriting Accicom Préstamos Personales		5,898		3		5,898		51,041		5,898			5,898
Financial Trust Underwriting Consubond								360,363
Financial Trust Underwriting Secubono								110,554
Financial Trust Underwriting Garbarino								68,070
Financial Trust Underwriting Agrocap								46,482
Financial Trust Underwriting Best Consumer Directo								32,136
Other								57,732
Subtotal local Private securities		285,925				285,925		809,556		285,925			285,925
Total other debt securities measured at amortized cost						3,802,923		931,280		3,802,923			3,802,923
TOTAL OTHER DEBT SECURITIES		3,778,396				41,369,370		33,611,201		43,331,301			43,331,301

	Delfin Jorge Ezequiel Carballo Chairman
94

EXHIBIT A

(Continued)

SEPARATE DETAIL OF GOVERNMENT AND PRIVATE SECURITIES

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Holdings							Position
	06/30/2018					12/31/2017		06/30/2018
Name	Fair Value	Fair Value Level		Book balance		Book balance		Position without options		Options	Final position
Equity Instruments
Measured at fair value trough profit or loss
Local
Mercado Abierto Electrónico S.A.			3		22,292		18,441		22,292			22,292
C.O.E.L.S.A.			3		4,826		3,048		4,826			4,826
Sedesa			3		3,975		3,909		3,975			3,975
Argentina Clearing S.A.			3		3,217		3,217		3,217			3,217
Mercado a Término Rosario S.A.			3		2,569		2,569		2,569			2,569
Sanatorio Las Lomas S.A.			3		600		404		600			600
Proin S.A.			3		513		513		513			513
Provincanje S.A.			3		379		271		379			379
El Taura S.A.			3		185		185		185			185
Argencontrol S.A.			3		179		184		179			179
Other					262		141		262			262
Subtotal local					38,997		32,882		38,997			38,997
Foreign
Banco Latinoamericano de Comercio Exterior S.A.			1		5,187		3,688		5,187			5,187
Sociedad de Telecomunicaciones Financieras Interbancarias Mundiales			3		740		315		740			740
Subtotal foreign					5,927		4,003		5,927			5,927
Total measured at fair value trough profit or loss					44,924		36,885		44,924			44,924
Total Equity Instruments					44,924		36,885		44,924			44,924
TOTAL GOVERNMENT AND PRIVATE SECURITIES					42,605,252		34,623,457		44,639,768			44,639,768

As of December 31, 2016, debt securities at fair value through profit or loss amounted to 275,386, Other Debt Securities to 17,974,087 and Equity instruments to 337,309.

	Delfin Jorge Ezequiel Carballo Chairman
95

EXHIBIT B

SEPARATE CLASSIFICATION OF LOANS AND OTHER FINANCING

BY SITUATION AND COLLATERAL RECEIVED

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	06/30/2018		12/31/2017		12/31/2016
COMMERCIAL
In normal situation		58,716,286		48,622,186		34,128,374
With Senior “A” guarantees and counter-guarantees		3,355,302		3,795,181		2,538,782
With Senior “B” guarantees and counter-guarantees		9,182,153		7,426,689		5,119,268
Without Senior guarantees or counter-guarantees		46,178,831		37,400,316		26,470,324
Subject to special monitoring		293,684		298,886		27,887
In observation
With Senior “A” guarantees and counter-guarantees		3,484		6,042
With Senior “B” guarantees and counter-guarantees		71,681		66,613		18,875
Without Senior guarantees or counter-guarantees		218,519		226,231		9,012
Troubled		195,236		37,164		50,039
With Senior “A” guarantees and counter-guarantees		450		3,441
With Senior “B” guarantees and counter-guarantees		98,003		22,971		50,039
Without Senior guarantees or counter-guarantees		96,783		10,752
With high risk of insolvency		171,609		143,881		137,431
With Senior “A” guarantees and counter-guarantees		3,178		729		1,882
With Senior “B” guarantees and counter-guarantees		129,522		86,437		61,374
Without Senior guarantees or counter-guarantees		38,909		56,715		74,175
Irrecoverable		437				4
Without Senior guarantees or counter-guarantees		437				4
Subtotal Commercial		59,377,252		49,102,117		34,343,735

	Delfin Jorge Ezequiel Carballo Chairman
96

EXHIBIT B

(Continued)

SEPARATE CLASSIFICATION OF LOANS AND OTHER FINANCING

BY SITUATION AND COLLATERAL RECEIVED

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	6/30/2018		12/31/2017		12/31/2016
CONSUMER AND MORTGAGE
Performing		86,303,182		74,624,457		48,698,468
With Senior “A” guarantees and counter-guarantees		1,888,617		2,129,722		767,733
With Senior “B” guarantees and counter-guarantees		9,542,256		6,847,800		2,483,434
Without Senior guarantees or counter-guarantees		74,872,309		65,646,935		45,447,301
Low risk		1,362,407		941,697		502,812
With Senior “A” guarantees and counter-guarantees		26,027		6,359		1,486
With Senior “B” guarantees and counter-guarantees		60,325		31,801		20,622
Without Senior guarantees or counter-guarantees		1,276,055		903,537		480,704
Medium risk		870,563		544,375		390,339
With Senior “A” guarantees and counter-guarantees		6,231		1,447		3,188
With Senior “B” guarantees and counter-guarantees		15,967		13,506		7,634
Without Senior guarantees or counter-guarantees		848,365		529,422		379,517
High risk		541,219		397,696		268,927
With Senior “A” guarantees and counter-guarantees		2,016		496		2,099
With Senior “B” guarantees and counter-guarantees		23,933		18,106		20,284
Without Senior guarantees or counter-guarantees		515,270		379,094		246,544
Irrecoverable		186,306		139,268		87,190
With Senior “A” guarantees and counter-guarantees		371
With Senior “B” guarantees and counter-guarantees		18,358		17,924		16,642
Without Senior guarantees or counter-guarantees		167,577		121,344		70,548
Irrecoverable according to Central Bank's rules		484		206		210
Without Senior guarantees or counter-guarantees		484		206		210
Subtotal consumer and mortgage		89,264,161		76,647,699		49,947,946
Total		148,641,413		125,749,816		84,291,681

This exhibit disclosures the contractual figures in accordance as established by Central Bank. The conciliation with the condensed separated interim balance sheet, is listed below:

	As of 06/30/2018		As of 12/31/2017		As of 12/31/2016
Loans and other financing		143,296,147		122,173,846		81,475,324
+ Allowances for loans and other financing losses		3,074,940		2,470,302		1,662,752
+ Adjustment NIIF		253,830		279,293		233,242
+ Debt securities of financial trust - Measurement at amortized cost		288,813
+ Corporate bonds				226,598		277,666
Guarantees provided and contingent liabilities		1,727,683		599,777		642,697
Total computable concepts		148,641,413		125,749,816		84,291,681

	Delfin Jorge Ezequiel Carballo Chairman
97

EXHIBIT C

SEPARATE CONCENTRATION OF LOANS AND FINANCING-FACILITIES

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	06/30/2018				12/31/2017				12/31/2016
Number of customers	Cut off balance		% of total portfolio		Cut off balance		% of total portfolio		Cut off balance		% of total portfolio
10 largest customers		11,704,861		7.87		11,151,842		8.87		6,353,953		7.54
50 next largest customers		15,786,059		10.62		11,488,939		9.14		8,920,400		10.58
100 next largest customers		9,808,056		6.60		7,505,554		5.97		5,525,254		6.55
Other customers		111,342,437		74.91		95,603,481		76.02		63,492,074		75.33
Total (1)		148,641,413		100.00		125,749,816		100.00		84,291,681		100.00

(1) See Exhibit B

	Delfin Jorge Ezequiel Carballo Chairman
98

EXHIBIT D

SEPARATE BREAKDOWN OF LOANS AND OTHER FINANCING BY TERMS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Remaining terms to maturity
Item	Matured		Up to 1 month		Over 1 month and up to 3 months		Over 3 months and up to 6 months		Over 6 months and up to 12 months		Over 12 months and up to 24 months		Over 24 months		Total
Non-financial government sector - Central Bank		212		52,346		305,172		326,580		624,373		943,173		643,120		2,894,976
Financial sector				2,077,667		337,751		374,487		767,441		1,018,746		55,823		4,631,915
Non-financial private sector and foreign residents		1,088,888		43,444,961		17,871,178		17,951,618		22,941,106		30,813,182		58,959,566		193,070,499
Total		1,089,100		45,574,974		18,514,101		18,652,685		24,332,920		32,775,101		59,658,509		200,597,390

SEPARATE BREAKDOWN OF LOANS AND OTHER FINANCING BY TERMS

AS OF DECEMBER 31, 2017

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Remaining terms to maturity
Item	Matured		Up to 1 month		Over 1 month and up to 3 months		Over 3 months and up to 6 months		Over 6 months and up to 12 months		Over 12 months and up to 24 months		Over 24 months		Total
Non-financial government sector - Central Bank				51,131		219,501		183,337		543,855		982,347		876,255		2,856,426
Financial sector				1,844,657		450,276		710,764		755,578		1,005,476		228,185		4,994,936
Non-financial private sector and foreign residents		847,585		34,163,062		17,642,583		16,550,145		18,000,025		26,527,720		46,828,878		160,559,998
Total		847,585		36,058,850		18,312,360		17,444,246		19,299,458		28,515,543		47,933,318		168,411,360

	Delfin Jorge Ezequiel Carballo Chairman
99

EXHIBIT D

(Continued)

SEPARATE BREAKDOWN OF LOANS AND OTHER FINANCING BY TERMS

AS OF DECEMBER 31, 2016

(Translation of financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Remaining terms to maturity
Item	Matured		Up to 1 month		Over 1 month and up to 3 months		Over 3 months and up to 6 months		Over 6 months and up to 12 months		Over 12 months and up to 24 months		Over 24 months		Total
Non-financial government sector - Central Bank				747,993		124,713		384,876		142,487		272,196		230,432		1,902,697
Financial sector				403,961		453,069		486,055		384,924		239,092		52,674		2,019,775
Non-financial private sector and foreign residents		512,311		27,908,295		12,322,113		11,244,077		12,270,971		16,758,463		22,362,248		103,378,478
Total		512,311		29,060,249		12,899,895		12,115,008		12,798,382		17,269,751		22,645,354		107,300,950

This exhibit disclosoures contractual future cash flows that included interests and accesories to be accrued until maturity of the contracts.

	Delfin Jorge Ezequiel Carballo Chairman
100

EXHIBIT F

SEPARATE CHANGE IN PROPERTY, PLANT AND EQUIPMENT

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Origination Value at beginning		Useful life					Depreciation for the period								Residual value at
Item	of fiscal year		estimated in years	Increases		Decreases		Accumulated		Decrease		Of the period		At the end		end of the  period
Cost measurement
Buildings		4,096,890	50		159,716		101,574		339,529		9,154		43,933		374,308		3,780,724
Furniture and facilities		339,327	10		10,800		951		126,282				16,418		142,700		206,476
Machinery and equipment		939,919	5		204,916		110,655		509,167				86,990		596,157		438,023
Vehicles		109,825	5		13,365		3,502		75,696		2,767		8,434		81,363		38,325
Work in progress		2,068,485			604,669		31,971										2,641,183
Total property, plant and equipment		7,554,446			993,466		248,653		1,050,674		11,921		155,775		1,194,528		7,104,731

SEPARATE CHANGE IN PROPERTY, PLANT AND EQUIPMENT

AS OF DECEMBER 31, 2017

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Origination Value at							Depreciation for the fiscal year								Residual
Item	beginning of fiscal year		Useful life estimated in years	Increases		Decreases		Accumulated		Decrease		Of the fiscal year		At the end		value at end of the fiscal year
Cost measurement
Buildings (1)		4,066,401	50		38,307		7,818		216,134		25,896		66,260		256,498		3,840,392
Furniture and facilities		302,023	10		37,304				94,493				31,789		126,282		213,045
Machinery and equipment		713,262	5		229,575		2,918		370,753		2,548		140,962		509,167		430,752
Vehicles		91,142	5		23,587		4,904		65,079		3,800		14,417		75,696		34,129
Work in progress		1,210,316			899,056		40,887										2,068,485
Total property, plant and equipment		6,383,144			1,227,829		56,527		746,459		32,244		253,428		967,643		6,586,803

As of December 31, 2016, the deemed cost of the Bank´s buildings amounted to 3,837,616 and the adjustment for this concept up to 3,081,894.

	Delfin Jorge Ezequiel Carballo Chairman
101

EXHIBIT F

(Continued)

SEPARATE CHANGE IN INVESTMENT PROPERTY

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Origination Value at beginning		Useful life					Depreciation for the period								Residual value at
Item	of fiscal year		estimated in years	Increases		Decreases		Accumulated		Decrease		Of the period		At the end		end of the period
Cost measurement
Others investment properties		1,935,289	50		296,544		517,551		15,611		1,736		2,733		16,608		1,697,674
Total investment property		1,935,289			296,544		517,551		15,611		1,736		2,733		16,608		1,697,674

SEPARATE CHANGE IN INVESTMENT PROPERTY

AS OF DECEMBER 31, 2017

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Origination Value at							Depreciation for the fiscal year								Residual
Item	beginning of fiscal year		Useful life estimated in years	Increases		Decreases		Accumulated		Decrease		Of the fiscal year		At the end		value at end of the fiscal year
Cost measurement
Others investment properties (1)		1,726,340	50		237,381		28,432		17,879		7,784		5,516		15,611		1,919,678
Total investment property		1,726,340			237,381		28,432		17,879		7,784		5,516		15,611		1,919,678

As of December 31, 2016, the deemed cost of the Bank´s buildings amounted to 2,891,947 and the adjustment for this concept up to 2,353,159. Part of this adjustment is recorded on Property, Plant and Equipment in Work in progress.

	Delfin Jorge Ezequiel Carballo Chairman
102

EXHIBIT G

INDIVIDUAL CHANGE IN INTANGIBLE ASSETS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Origination Value at beginning		Useful life					Depreciation for the period								Residual value at
Item	of fiscal year		estimated in years	Increases		Decreases		Accumulated		Decrease		Of the period		At the end		end of the period
Cost measurement
Licenses		312,484	5		74,080		6,064		163,527				22,510		186,037		194,463
Other intangible assets		1,361,934	5		51,946				718,353		206,790		123,733		635,296		778,584
Total intangible assets		1,674,418			126,026		6,064		881,880		206,790		146,243		821,333		973,047

INDIVIDUAL CHANGE IN INTANGIBLE ASSETS

AS OF DECEMBER 31, 2017

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Origination Value at							Depreciation for the fiscal year								Residual
Item	beginning of fiscal year		Useful life estimated in years	Increases		Decreases		Accumulated		Decrease		Of the fiscal year		At the end		value at end of the fiscal year
Cost measurement
Goodwill - Bussiness combination		20,609			35,596		56,205
Licenses		161,335	5		151,289		140		54,331		2		43,400		97,729		214,755
Other intangible assets		1,023,323	5		645,135		306,524		515,675		156,867		359,545		718,353		643,581
Total investment property		1,205,267			832,020		362,869		570,006		156,869		402,945		816,082		858,336

	Delfin Jorge Ezequiel Carballo Chairman
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EXHIBIT H

SEPARATE DEPOSIT CONCENTRATION

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	06/30/2018				12/31/2017				12/31/2016
Number of customers	Outstanding balance		% of total portfolio		Outstanding balance		% of total portfolio		Outstanding balance		% of total portfolio
10 largest customers		12,510,721		7.58		8,879,036		6.69		6,187,859		6.04
50 next largest customers		8,652,470		5.24		6,701,842		5.05		6,415,928		6.26
100 next largest customers		5,455,304		3.31		4,617,386		3.48		3,954,135		3.86
Other customers		138,397,964		83.87		112,517,910		84.78		85,940,701		83.84
Total		165,016,459		100.00		132,716,174		100.00		102,498,623		100.00

	Delfin Jorge Ezequiel Carballo Chairman
104

EXHIBIT I

SEPARATE BREAKDOWN OF FINANCIAL LIABILITIES

FOR RESIDUAL TERMS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Remaining terms to maturity
Item	Up to 1 month		Over 1 month and up to 3 months		Over 3 months and up to 6 months		Over 6 months and up to 12 months		Over 12 months and up to 24 months		Over 24 months		Total
Deposits		140,149,530		20,509,748		3,975,160		1,585,970		77,468		10,231		166,308,107
From the non-financial government sector		12,712,722		985,836		264,634		18,165		29				13,981,386
From the financial sector		125,371												125,371
From the non-financial private sector and foreign residents		127,311,437		19,523,912		3,710,526		1,567,805		77,439		10,231		152,201,350
Derivative instruments		28,425		2,825		2,901								34,151
Repo Transactions		1,831,112												1,831,112
Other financial institutions		1,831,112												1,831,112
Other financial liabilities		9,984,358		17,151		10,513		15,818		24,234		152,239		10,204,313
Financing received from the Central Bank of Argentina and other financial institutions		504,708		644,278		441,244		83,913		89,444		168,174		1,931,761
Issued corporate bonds		206,929				589,783		824,565		1,653,749		10,288,110		13,563,136
Subordinated corporate bonds						369,951		389,633		779,266		16,609,908		18,148,758
Total		152,705,062		21,174,002		5,389,552		2,899,899		2,624,161		27,228,662		212,021,338

This exhibit disclosoures contractual future cash flows that included interests and accesories to be accrued until maturity of the contracts.

	Delfin Jorge Ezequiel Carballo Chairman
105

EXHIBIT I

(Continued)

SEPARATE BREAKDOWN OF FINANCIAL LIABILITIES

FOR RESIDUAL TERMS

AS OF DECEMBER 31, 2017

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Remaining terms to maturity
Item	Up to 1 month		Over 1 month and up to 3 months		Over 3 months and up to 6 months		Over 6 months and up to 12 months		Over 12 months and up to 24 months		Over 24 months		Total
Deposits		113,423,914		17,903,144		2,517,574		525,834		27,666		7,458		134,405,590
From the non-financial government sector		8,897,189		419,219		242,413		963		17,565				9,577,349
From the financial sector		81,357												81,357
From the non-financial private sector and foreign residents		104,445,368		17,483,925		2,275,161		524,871		10,101		7,458		124,746,884
Liabilities at fair value through profit or loss		6,450												6,450
Derivative instruments		23,107												23,107
Repo Transactions		2,688,093												2,688,093
Other financial institutions		2,688,093												2,688,093
Other financial liabilities		9,601,982		21,720		10,720		16,518		25,559		163,965		9,840,464
Financing received from the Central Bank of Argentina and other financial institutions		927,139		91,695		11,605		15,967		34,289		94,109		1,174,804
Issued corporate bonds						119,044						4,620,570		4,739,614
Subordinated corporate bonds						80,260						7,509,680		7,589,940
Total		126,670,685		18,016,559		2,739,203		558,319		87,514		12,395,782		160,468,062

This exhibit disclosoures contractual future cash flows that included interests and accesories to be accrued until maturity of the contracts.

	Delfin Jorge Ezequiel Carballo Chairman
106

EXHIBIT I

(Continued)

SEPARATE BREAKDOWN OF FINANCIAL LIABILITIES

FOR RESIDUAL TERMS

AS OF DECEMBER 31, 2016

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Remaining terms to maturity
Item	Up to 1 month		Over 1 month and up to 3 months		Over 3 months and up to 6 months		Over 6 months and up to 12 months		Over 12 months and up to 24 months		Over 24 months		Total
Deposits		86,801,634		15,016,867		1,669,383		311,924		8,678		3,413		103,811,899
From the non-financial government sector		4,904,400		851,853		209,803		86,529		117				6,052,702
From the financial sector		55,860												55,860
From the non-financial private sector and foreign residents		81,841,374		14,165,014		1,459,580		225,395		8,561		3,413		97,703,337
Repo Transactions		1,095,634												1,095,634
Other financial institutions		1,095,634												1,095,634
Other financial liabilities		5,197,724		480,634		6,909		6,868		10,826		147,157		5,850,118
Financing received from the Central Bank of Argentina and other financial institutions		85,690		49,164		90,378		14,207		9,867		12,780		262,086
Issued corporate bonds				1,758,053										1,758,053
Subordinated corporate bonds						213,978		213,978		427,955		9,763,723		10,619,634
Total		93,180,682		17,304,718		1,980,648		546,977		457,326		9,927,073		123,397,424

This exhibit disclosoures contractual future cash flows that included interests and accesories to be accrued until maturity of the contracts.

	Delfin Jorge Ezequiel Carballo Chairman
107

EXHIBIT J

SEPARATE CHANGES IN PROVISIONS

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Balances at beginning of				Decreases
Breakdown	fiscal year		Increases		Charge off		06/30/2018		12/31/2017		12/31/2016
For Administrative, disciplinary and criminal sanctions		718						718		718		9,110
Other		595,277		317,921		234,096		679,102		595,277		242,256
Total Provisions		595,995		317,921		234,096		679,820		595,995		251,366

	Delfin Jorge Ezequiel Carballo Chairman
108

EXHIBIT K

SEPARATE COMPOSITION OF CAPITAL STOCK

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

Shares					Capital stock
			Face	Votes per	Issued
Class	Stock number		Value	share	Outstanding		Paid in
Registered common stock A		11,235,670	1	5		11,236		11,236
Registered common stock B		658,427,351	1	1		658,427		658,427
Total		669,663,021				669,663		669,663

SEPARATE COMPOSITION OF CAPITAL STOCK

AS OF DECEMBER 31, 2017

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

Shares					Capital stock
			Face	Votes per	Issued
Class	Stock number		Value	share	Outstanding		Paid in
Registered common stock A		11,235,670	1	5		11,236		11,236
Registered common stock B		658,427,351	1	1		658,427		658,427
Total		669,663,021				669,663		669,663

	Delfin Jorge Ezequiel Carballo Chairman
109

EXHIBIT K

(Continued)

SEPARATE COMPOSITION OF CAPITAL STOCK

AS OF DECEMBER 31, 2016

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

Shares					Capital stock
				Votes per	Issued
Class	Stock number		Face Value	share	Outstanding		Paid in
Registered common stock A		11,235,670	1	5		11,236		11,236
Registered common stock B		573,327,358	1	1		573,327		573,327
Total		584,563,028				584,563		584,563

	Delfin Jorge Ezequiel Carballo Chairman
110

EXHIBIT L

SEPARATE FOREIGN CURRENCY BALANCES

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	06/30/2018										12/31/2017		12/31/2016
	Total Parent
	company and		Total per currency
Items	local branches		US dollar		Euro		Real		Other		Total		Total
ASSETS
Cash and deposits in banks		25,836,890		25,650,053		127,618		18,821		40,398		19,751,378		20,074,325
Debt securities at fair value through profit or loss		201,875		201,875								50,860		12,734
Other financial assets		1,024,014		1,024,013						1		681,269		333,169
Loans an other financing		27,657,354		27,657,354								18,651,478		10,105,068
Other financial institutions		254,735		254,735								175,116		94,834
From the non-financial private sector and
foreign residents		27,402,619		27,402,619								18,476,362		10,010,234
Other debt securities		66,600		66,600								46,482		937,900
Financial assets delivered as guarantee		572,580		572,580								240,882		95,174
Investments in equity instruments		5,927		5,927								4,002		3,578
Investments in subsidieries, associates and joint ventures		1,124,246		1,124,246								912,766		823,876
Total Assets		56,489,486		56,302,648		127,618		18,821		40,399		40,339,117		32,385,824
LIABILITIES
Deposits		46,141,940		46,141,940								29,799,489		21,793,774
Non-financial government sector		2,460,707		2,460,707								3,794,318		536,942
Financial sector		77,408		77,408								45,895		27,972
Non-financial private sector and foreign residents		43,603,825		43,603,825								25,959,276		21,228,860
Other  financial liabilities		1,963,221		1,896,731		63,388				3,102		1,182,283		876,089
Financing from BCRA and other financial Institutions		1,180,106		1,180,106								887,321		131,361
Issued corporate bonds														1,745,851
Subordinated corporate bonds		11,646,217		11,646,217								7,565,759		6,376,537
Other non-financial liabilities		22,022		22,022								45,920		61
Total Liabilities		60,953,506		60,887,016		63,388				3,102		39,480,772		30,923,673

	Delfin Jorge Ezequiel Carballo Chairman
111

EXHIBIT O

SEPARATE DERIVATIVE FINANCIAL INSTRUMENTS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

Type of contract	Purpose of the transactions performed	Underlying asset	Type of settlement	Negotiation environment or counter-party	Originally agreed weighted monthly average term	Residual weighted monthly average term	Weighted daily average term settlement of differences	Amount
Futures	Intermediation - own account	Foreign currency	Daily settlement of differences	MAE (over-the-counter electronic market)	1	1	1		658,347
Futures	Intermediation - own account	Foreign currency	Daily settlement of differences	ROFEX (over-the-counter electronic market) electronic market)	2	2	1		821,073
Forward	Intermediation - own account	Foreign currency	Maturity settlement of differences	Over The Counter  - Residents in Argentina - Non-financial sector	3	2	30		1,030,573
Options	Intermediation - own account	Other	With delivery of underlying asset	Over The Counter  - Residents in Argentina - Non-financial sector	12	5			199,146
Repo transactions	Intermediation - own account	Federal government securities	With delivery of underlying asset	Other markets in the country	1	1			2,212,252

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EXHIBIT Q

SEPARATE BREAKDOWN OF PROFIT OR LOSS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Net financial Income/ Expense
	Obligatory measurement
Items	Quarter ended 06/30/2018			Accumulated from beginning of period up to 06/30/2018
For measurement of financial assets at fair value through profit or loss
Profit or loss from government securities		35,589			84,963
Profit or loss from private securities		3,554			22,335
Profit or loss investment in derivative financing  instruments
Fowards transactions		(3,841	)
Profit or loss from other financial assets		12,272			28,330
From  investment in equity instruments		1,962			6,115
Loss (Profit) from sold assets liabilities at fair value		(128,587	)		(39,616	)
Profit or loss from derivative financial instruments
Fowards transactions		(5,970	)		(5,970	)
Total		(85,021	)		96,157

	Delfin Jorge Ezequiel Carballo Chairman
113

EXHIBIT Q

(Continued)

SEPARATE BREAKDOWN OF PROFIT OR LOSS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Net financial Income/ Expense
Interest and adjustment for the aplication of the efective interest rate of financial assets measured at amortized cost	Quarter ended  06/30/2018		Accumulated from beginning of period up to 06/30/2018
Interest income
For cash and bank deposits		1,991		4,952
For government securities		27,090		30,127
For debt securities		49,753		100,021
For loans and other financing
Financial sector		339,001		556,438
Non-financial private sector
Overdrafts		955,080		1,729,824
Mortgage loans		730,301		1,264,292
Pledge loans		138,444		282,855
Personal loans		4,113,855		7,893,947
Credit cards		1,425,203		2,669,474
Financial leases		34,275		68,542
Other		1,662,667		3,165,445
Foreign residents
for repo transactions
Cental Bank of Argentina		7,068		21,248
Other financial institutions		38,698		58,244
Total		9,523,426		17,845,409
Interest expenses
from deposits
Non-financial private sector
Saving accounts		62,204		113,967
Time deposits and investments accounts		3,499,567		6,199,003
for financing received from Central Bank of Argentina and other financial institutions		19,885		33,098
for repo transactions
Other  financial institutions		24,342		55,312
for other financial liabilities		3,452		5,331
for issued corporate bonds		422,246		623,074
for subordinated corporate bonds		174,356		313,406
Total		4,206,052		7,343,191

	Delfin Jorge Ezequiel Carballo Chairman
114

EXHIBIT Q

(Continued)

SEPARATE BREAKDOWN OF PROFIT OR LOSS

AS OF JUNE 30, 2018

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Income for the period				Other comprehensive income
Interest and adjustment for the aplication of the efective interest rate of financial assets measured at fair value through other comprehensive income	Quarter ended 06/30/2018		Accumulated from beginning of period up to 06/30/2018		Quarter ended 06/30/2018			Accumulated  from beginning of period up to 06/30/2018
From debt government securities		3,060,349		5,124,065		(33,092	)		(88,570	)
Total		3,060,349		5,124,065		(33,092	)		(88,570	)

	Income for the period
Commissions income	Quarter ended  06/30/2018		Accumulated from beginning of period up to 06/30/2018
Commissions related to obligations		1,852,099		3,474,039
Commissions related to credits		24,315		41,424
Commissions related to loans commiments and financial guarantees		45		453
Commissions related to securities value		25,366		47,098
Commissions related to trading and foreign Exchange transactions		50,804		92,178
		1,952,629		3,655,192

	Income for the period
Commissions Expense	Quarter ended 06/30/2018		Accumulated  from beginning  of period up to  06/30/2018
Commissions related to transactions to debt securities		76		208
Other		187,150		344,634
		187,226		344,842

	Delfin Jorge Ezequiel Carballo Chairman
115

EXHIBIT Q

(Continued)

SEPARATE BREAKDOWN OF PROFIT OR LOSS

AS OF JUNE 30, 2017

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Net financial Income/ Expense
	Obligatory measurement
Items	Quarter ended 06/30/2017			Accumulated from beginning of period up to 06/30/2017
For measurement of financial assets at fair value through profit or loss
Profit or loss from government securities		80,121			80,121
Profit or loss from private securities		466
Profit or loss from other financial assets		9,318			12,316
Loss (Profit) from sold assets at fair value		(218	)		5,278
For measurement of financial liabilities at fair value through profit or loss
Profit or loss from derivative financial instruments
Fowards transactions		(6,522	)		(14,667	)
Total		83,165			83,048

	Delfin Jorge Ezequiel Carballo Chairman
116

EXHIBIT Q

(Continued)

SEPARATE BREAKDOWN OF PROFIT OR LOSS

AS OF JUNE 30, 2017

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Net financial Income/ Expense
Interest and adjustment for the aplication of the efective interest rate of financial assets measured at amortized cost	Quarter ended 06/30/2017		Accumulated from beginning of period up to 06/30/2017
Interest income
For cash and bank deposits		772		899
For private securities		49,841		114,789
Financial sector		97,780		197,154
Non-financial private sector
Overdrafts		618,336		1,266,943
Mortgage loans		180,576		347,769
Pledge loans		112,511		215,994
Personal loans		2,810,359		5,406,313
Credit cards		989,957		1,964,639
Financial leases		24,883		46,333
Other		962,709		1,857,545
for repo transactions
Cental Bank of Argentina		33,924		431,805
Other financial institutions		6,054		13,642
Total		5,887,702		11,863,825
Interest expenses
From deposits
Non-financial private sector
Saving accounts		24,992		47,902
Time deposits and investments accounts		1,942,239		3,846,954
for Financing received from Central Bank of Argentina and other financial institutions		8,379		14,475
for repo transactions
Other  financial institutions		10,981		30,215
for other financial liabilities		1,886		15,007
for issued corporate bonds		90,201		90,201
for subordinated corporate bonds		99,229		210,550
Total		2,177,907		4,255,304

	Delfin Jorge Ezequiel Carballo Chairman
117

EXHIBIT Q

(Continued)

SEPARATE BREAKDOWN OF PROFIT OR LOSS

AS OF JUNE 30, 2017

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Income for the period				Other comprehensive income
Interest and adjustment for the aplication of the efective interest rate of financial assets measured at fair value through other comprehensive income	Quarter ended 06/30/2017		Accumulated from beginning of period up to 06/30/2017		Quarter ended 06/30/2017			Accumulated from beginning of period up to 06/30/2017
From debt government securities		1,138,842		1,866,541		(9,258	)		3,952
Total		1,138,842		1,866,541		(9,258	)		3,952

	Income for the period
Commissions income	Quarter ended 06/30/2017		Accumulated from beginning of period up to 06/30/2017
Commissions related to obligations		1,455,441		2,723,096
Commissions related to credits		35,985		53,929
Commissions related to loans commiment and financial guarantees		1,148		1,663
Commissions related to securities value		16,568		27,381
Commissions related to transactions trade and foreign Exchange transactions		37,088		69,527
		1,546,230		2,875,596

	Income for the period
Commissions Expense	Quarter ended 06/30/2017		Accumulated from beginning of period up to 06/30/2017
Commissions related to transactions to debt securities		25		25
Other		152,373		290,332
		152,398		290,357

	Delfin Jorge Ezequiel Carballo Chairman
118

EXHIBIT R

VALUE CORRECTION FOR CREDIT LOSSES - SEPARATES ALLOWANCES FOR UNCOLLECTIBILITY RISK

AS OF JUNE 30, 2018 AND DECEMBER 31, 2017 AND 2016

(Translation of Financial statements originally issued in Spanish - See Note 34)

(Figures stated in thousands of pesos)

	Balances at beginning of the				Decreases
Item	fiscal year		Increases		Reversals		Charge off		06/30/2018		12/31/2017		12/31/2016
Other financial assets		4,916		981				1,231		4,666		4,916		4,147
Loans and other financing
Other financial institutions		31,251		123		4,701				26,673		31,251		17,256
To the non-financial private sector and foreign residents
Overdrafts		138,311		60,260		6,074		22,544		169,953		138,311		133,644
Documents		200,750		70,533		646		14,794		255,843		200,750		123,881
Mortgage loans		146,296		88,138		12,007		8,634		213,793		146,296		70,570
Pledge loans		73,070		8,759		3,681		19,041		59,107		73,070		40,717
Personal loans		1,055,897		613,616		267		324,951		1,344,295		1,055,897		683,837
Credit cards		557,682		257,777		896		124,574		689,989		557,682		406,779
Financial leases		6,487		87		873				5,701		6,487		3,994
Other		260,558		100,277		919		50,330		309,586		260,558		182,075
Other debt securities				2,888						2,888
Total of allowances		2,475,218		1,203,439		30,064		566,099		3,082,494		2,475,218		1,666,900

	Delfin Jorge Ezequiel Carballo Chairman
119

REVIEW REPORT ON CONDENSED CONSOLIDATED INTERIM-PERIOD FINANCIAL STATEMENTS

To the Directors of

BANCO MACRO S.A.

Registered office: Sarmiento 447

City of Buenos Aires

I. Report on the financial statements

Introduction

1. We have reviewed the accompanying condensed consolidated interim financial statements of BANCO MACRO S.A. (“the Bank”), and its subsidiaries which comprise: (a) the consolidated balance sheet as of June 30, 2018, (b) the consolidated statements of income and other comprehensive income for the three and six months periods ended June 30, 2018 and the statement of changes in shareholders’ equity and cash flows for the six-month period then ended, and (c) explanatory notes and other supplementary information.

Responsibility of the Bank’s Management and Board of Directors in connection with the financial statements

2. The Bank’s Management and Board of Directors are responsible for the preparation and presentation of the consolidated financial statements in accordance with the accounting framework established by the BCRA (Central Bank of Argentina), which, as mentioned in Note 3. to the accompanying financial statements, are based on the International Financial Reporting Standards (“IFRS”), and in particular for the condensed interim financial statements in the International Accounting Standard 34 "Intermediate Financial Reporting", as those standards were issued by the International Accounting Standards Board ("IASB") and adopted by the Argentine Federation of Professionals Councils in Economic Sciences (FACPCA for its Spanish acronym) and with the only exception of section 5.5. "Impairment" of IFRS 9 "Financial Instruments", which was temporarily excluded by the BCRA from the accounting framework applicable to financial institutions. The Bank’s Management and Board of Directors and are also responsible for performing the internal control procedures that they may deem necessary to allow for the preparation of consolidated financial information of interim-period that are free from material misstatements, either due to errors or irregularities.

Auditor’s responsibility

3. Our responsibility is to express a conclusion on the financial statements mentioned in paragraph 1. based on our review, which was performed in accordance with the standards of the Argentine Federation of Professional Councils in Economic Sciences Technical Resolution 37 and with the “Minimum external auditing standards” issued by the BCRA, applicable to the review of interim period financial statements, and in compliance with the ethical requirements relevant to the audit of the Bank’s annual financial statements. A review of interim period financial statements consists of making inquiries, mainly of the persons in charge of accounting and financial matters, as well as applying analytical procedures and other review procedures. A review is substantially less in scope than an audit of financial statements; therefore, we cannot obtain reasonable assurance that we will become aware of all the material issues that may arise in an audit. Therefore, we do not express an audit opinion.

Conclusion

4. Based on our review, we have not become aware of anything that may lead us to believe that the financial statements mentioned in paragraph 1. have not been prepared, in all material respects, in accordance with the accounting framework established by the BCRA mentioned in paragraph 2.

Emphasis on certain aspects disclosed in the financial statements and other issues

5. We draw attention to the information contained in the following note to the consolidated financial statements mentioned in paragraph 1.:

(a) Note 3. “Basis for the preparation of these financial statements and applicable accounting standards”, section “Preparation basis - Applicable Accounting Standards”, in which the Bank indicates is in the process of determining and quantifying the effect on the financial statements of the application of section 5.5 "Impairment” of IFRS 9 "Financial Instruments", which was temporarily excluded by the BCRA of the accounting framework applicable to financial institutions. This issue does not change the conclusion expressed in paragraph 4., but must be taken into account by those users who use IFRS for the interpretation of the accompanying financial statements.

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(b) Note 3. “ Basis for the preparation of these financial statements and applicable accounting standards”, section ”Preparation basis - Applicable Accounting Standards”, in which the Bank indicates that the items and figures contained in these reconciliations may be subject to change and they may only be considered final when preparing the annual financial statements for the 2018. This issue does not change the conclusion expressed in paragraph 4.

6. As further explained in Note 36. to the accompanying condensed consolidated interim financial statements, certain accounting practices used by the Bank to prepare the accompanying financial statements conform with the accounting framework established by the BCRA but may not conform with the accounting principles generally accepted in other countries.

Other issues

7. We have issued a separate report on the condensed separate interim financial statements of BANCO MACRO S.A. on the same date and for the same period mentioned in paragraph 1.

II. Report on other legal and regulatory requirements

8. In compliance with current legal requirements, we report that:

a) The financial statements mentioned in paragraph 1., as mentioned in Note 3. to them, are in process of being transcribed into the financial statements book of BANCO MACRO S.A. and, based on our review, we have not become aware of anything that may lead us to believe that these financial statements have not been prepared, in all material respects, in conformity with the applicable Argentine General Associations Law provisions and the CNV (Argentine Securities Commission) regulations.

b) The condensed separate interim financial statements of BANCO MACRO S.A. as of June 30, 2018 arise from the accounting books kept, in all formal respects, pursuant to current legal requirements.

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c) As of June 30, 2018, the liabilities accrued in employee and employer contributions to the Integrated Pension Fund System, as recorded in BANCO MACRO S.A. books, amounted to Ps. 137,588,817, none of which was due as of that date.

City of Buenos Aires,

August 22, 2018

PISTRELLI, HENRY MARTIN Y ASOCIADOS S.R.L.

C.P.C.E.C.A.B.A. Vol. 1 – Fo. 13

NORBERTO M. NACUZZI

Partner

Certified Public Accountant (U.B.A.)

C.P.C.E.C.A.B.A. Vol. 196 – Fo. 142

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REVIEW REPORT ON CONDENSED SEPARATE INTERIM-PERIOD FINANCIAL STATEMENTS

To the Directors of

BANCO MACRO S.A.

Registered office: Sarmiento 447

City of Buenos Aires

III. Report on the financial statements

Introduction

9. We have reviewed the accompanying condensed separate interim financial statements of BANCO MACRO S.A. (“the Bank”), which comprise: (a) the separate balance sheet as of June 30, 2018, (b) the separate statements of income and other comprehensive income for the three and six months periods ended June 30, 2018 and the statement of changes in shareholders’ equity and cash flows for the six-month period then ended, and (c) explanatory notes and other supplementary information.

Responsibility of the Bank’s Management and Board of Directors in connection with the financial statements

10. The Bank’s Management and Board of Directors are responsible for the preparation and presentation of the separate financial statements in accordance with the accounting framework established by the BCRA (Central Bank of Argentina), which, as mentioned in Note 3. to the accompanying financial statements, are based on the International Financial Reporting Standards (“IFRS”), and in particular for the condensed interim financial statements in the International Accounting Standard 34 "Intermediate Financial Reporting", as those standards were issued by the International Accounting Standards Board ("IASB") and adopted by the Argentine Federation of Professionals Councils in Economic Sciences (FACPCA for its Spanish acronym) and with the only exception of section 5.5. "Impairment" of IFRS 9 "Financial Instruments", which was temporarily excluded by the BCRA from the accounting framework applicable to financial institutions. The Bank’s Management and Board of Directors and are also responsible for performing the internal control procedures that they may deem necessary to allow for the preparation of financial information of interim-period that are free from material misstatements, either due to errors or irregularities.

Auditor’s responsibility

11. Our responsibility is to express a conclusion on the financial statements mentioned in paragraph 1. based on our review, which was performed in accordance with the standards of the Argentine Federation of Professional Councils in Economic Sciences Technical Resolution 37 and with the “Minimum external auditing standards” issued by the BCRA, applicable to the review of interim period financial statements, and in compliance with the ethical requirements relevant to the audit of the Bank’s annual financial statements. A review of interim period financial statements consists of making inquiries, mainly of the persons in charge of accounting and financial matters, as well as applying analytical procedures and other review procedures. A review is substantially less in scope than an audit of financial statements; therefore, we cannot obtain reasonable assurance that we will become aware of all the material issues that may arise in an audit. Therefore, we do not express an audit opinion.

Conclusion

12. Based on our review, we have not become aware of anything that may lead us to believe that the financial statements mentioned in paragraph 1. have not been prepared, in all material respects, in accordance with the accounting framework established by the BCRA mentioned in paragraph 2.

Emphasis on certain aspects disclosed in the financial statements and other issues

13. We draw attention to the information contained in the following note to the financial statements mentioned in paragraph 1.:

(a) Note 3. “ Basis for the preparation of these financial statements and applicable accounting standards”, in which the Bank indicates is in the process of determining and quantifying the effect on the financial statements of the application of section 5.5 "Impairment” of IFRS 9 "Financial Instruments", which was temporarily excluded by the BCRA of the accounting framework applicable to financial institutions. This issue does not change the conclusion expressed in paragraph 4., but must be taken into account by those users who use IFRS for the interpretation of the accompanying financial statements.

(b) Note 3. “ Basis for the preparation of these financial statements and applicable accounting standards”, in which the Bank indicates that the items and figures contained in these reconciliations may be subject to change and they may only be considered final when preparing the annual financial statements for the 2018. This issue does not change the conclusion expressed in paragraph 4.

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14. As further explained in Note 34. to the accompanying condensed separate interim financial statements, certain accounting practices used by the Bank to prepare the accompanying financial statements conform with the accounting framework established by the BCRA but may not conform with the accounting principles generally accepted in other countries.

Other issues

15. We have issued a separate report on the condensed consolidated interim financial statements of BANCO MACRO S.A. and its subsidiaries on the same date and for the same period mentioned in paragraph 1.

IV. Report on other legal and regulatory requirements

16. In compliance with current legal requirements, we report that:

a) Based on our review, we have not become aware of anything that may lead us to believe that the financial statements mentioned in paragraph 1. have not been prepared, in all material respects, in conformity with the applicable Argentine General Associations Law provisions and the CNV (Argentine Securities Commission) regulations.

b) The financial statements mentioned in paragraph 1. as mentioned in Note 3. to them, are in progress of being transcribed to the “Inventory and Financial Statements” Books of BANCO MACRO S.A. and arise from the accounting books kept, in all formal respects, pursuant to current legal requirements.

c) As of June 30, 2018, the liabilities accrued in employee and employer contributions to the Integrated Pension Fund System, as recorded in the Bank’s books, amounted to Ps. 137,588,817, none of which was due as of that date.

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d) As of June 30, 2018, as stated in Note 24. to the financial statements mentioned in paragraph 1., the Bank carries shareholder´s equity and offsetting eligible assets that exceed the minimum amounts required by applicable CNV regulations for these items.

City of Buenos Aires,

August 22, 2018

PISTRELLI, HENRY MARTIN Y ASOCIADOS S.R.L.

C.P.C.E.C.A.B.A. Vol. 1 – Fo. 13

NORBERTO M. NACUZZI

Partner

Certified Public Accountant (U.B.A.)

C.P.C.E.C.A.B.A. Vol. 196 – Fo. 142

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SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereto duly authorized.

Date: November 20, 2018

MACRO BANK INC.
By:	/s/ Jorge Francisco Scarinci
Name: Jorge Francisco Scarinci
Title: Chief Financial Officer