Chihuahua, Chih., March 14th, 2024

Dear Clients and Friends,

As part of the corporate legal compliance, we kindly remind you that pursuant the provisions of the Mercantile Corporations Law, the Foreign Investment Law and applicable fiscal and foreign trade regulations, you must annually carry out the following:

MERCANTILE CORPORATIONS LAW

Every Company (S.A. or S. de R.L.) is obliged to hold a Shareholders/Partners Meeting during the first four months of each year, meaning no later than April 30.

The purpose of the Meeting is to approve the past fiscal year and its compliance of the tax regulations during the past fiscal year, in this case -2023-, approving the performance of its Administration and ratifying or appointing the members of its Board of Administration or Sole Administrator, as well as the Examiner and Officers of the Company, for the fiscal year 2024.

In order to draft the corresponding minute, as well as the documents it must include, we will require i) copy of the financial statements of fiscal year 2023 or the annual tax return and ii) the names of the Board Members, Examiner and/or Officers that will be appointed or ratified for the year of 2024. If at this time you do not have the Financial Report by your Auditors, please let us know the result of the fiscal year (loss or profit), so we may start drafting the corresponding minutes.

FOREIGN INVESTMENT LAW

All Mexican companies with foreign investment are obliged to renew their registration during the first 5 (five) months of each year, pursuant the Law and its Regulation, this Report shall, if applicable, be filed according to their legal/corporate name, on the following terms:

If the corporate name of your Company begins with the letter “A” through letter “J”, the report shall be filed during April; and the companies whose names begin with letter “K” through letter “Z” it shall be filed during May.

IDENTIFICATION OF PARTNERS OR SHAREHOLDERS FOR FISCAL AND FOREIGN TRADE PURPOSES AS WELL AS CONTROLLING BENEFICIARIES

Foreign partners or shareholders with equity or shares in Mexico have several obligations that must be complied with as referred below:

• List of foreign partners or shareholders with no fiscal domicile in Mexico – They may opt not to register in the Federal Taxpayers Registry, provided that they file within the first three months of the year the corresponding form before the Tax Administration Service (SAT).
• Change of partners or shareholders SAT & Ministry of Economy – Companies are required to notify any change in their partner or shareholder structure to the AGACE (for VAT and IEPS certification purposes), to the SAT and to the Ministry of Economy through a notice of the entry in the partners’ or shares’ registry ledger with the current stock structure.
• Controlling Beneficiary – Finally, legal entities are required to identify their Controlling Beneficiary(ies) and keep the information updated as part of their accounting.

Looking forward in providing you with our legal expertise to duly comply with all the aforementioned, our law firm is prepared to provide effective and timely legal support required to comply with the annual legal obligations and prevent any related legal risk.

You can contact either, Rolando Castellanos-Macal at rcastellanos@iclmx.com; and Jorge Almanza-Ríos at jalmanza@iclmx.com; for any further information that you might require.