Company: TCMFF
Filing Date: 2025-05-19
Form Type: 6-K
Source: 0001104659-25-050264
Chunk: 12

Company: TELECOM ARGENTINA SA
Filing Date: 2025-05-19
Form: 6-K
Chunk 12
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 to be resolved by the respective
courts.

As of December 31, 2024,
the income tax balance was a benefit of P$ 502,912 million which, compared to the previous year’s expense, represents a variation
of P$ 509,494 million, mainly due to the impact of impairment losses on deferred tax.

For more information on income
tax, see Note 16 of the TMA Financial Statements.

Effects of Fluctuations in Exchange Rates between the Argentine Peso and the U.S. dollar and other major foreign currencies

According to the official exchange rate information published by the Banco Central de la República Argentina(the Argentinian Central Bank or “BCRA”), the Argentine Peso depreciated by 27.7% against the U.S. dollar during the year ended December 31, 2024, compared to 356.3% in the year ended December 31, 2023. The relatively moderate depreciation in 2024 is related to the ongoing foreign exchange controls (partially eased in December 2024 by the Milei administration) and a crawling peg mechanism implemented during most of the year.“Risk Factors—Risks Related to Argentina— Devaluation of the Argentine Peso and foreign exchange restrictions may adversely affect our results of operations, our capital expenditures and our ability to service our liabilities and pay dividends” in the TEO 2024 20-F. TMA operates with the exchange rate Comunicación
“A” 3500 of the BCRA.

Heightened restrictions to
access the official FX Markets were imposed starting in 2020, with a view to reducing the loss of international reserves generated by
a greater demand of U.S. dollars by individuals and companies. These restrictions have resulted in the creation of multiple reference
exchange rates, such as the “blue chip swap” rate (contado con liquidación), MEP dollar (Mercado Electrónico de Pagos), and soybean dollar (dólar soja), among others. Some of these exchange rates are only available to certain
markets participants. In addition, dealing with certain of these reference rates might directly affect the access of TMA to the FX Market.
The requirements to access these different exchange rates, as well as the actual exchange rate of each option, vary significantly from
one another.

The Milei administration implemented policies aimed at modifying Argentina’s macroeconomic conditions, such as reducing the fiscal deficit, reforming the National State, privatizing public companies and rationalizing the current spending of the