Company: PAM
Filing Date: 2025-04-16
Form Type: 20-F
Source: 0001292814-25-001504
Chunk: 45

Company: Pampa Energy Inc.
Filing Date: 2025-04-16
Form: 20-F
Item: Item 5
Chunk 45
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 Argentine courts have suspended certain articles of the Urgency
Decree No. 70/2023, particularly those related to labor matters that require companies to assume greater responsibility for the costs
and risks associated with subcontracted labor and the calculation of salaries, severance payments, and social security contributions.

Moreover, companies operating
in Argentina may face risks such as strikes, social unrest, mandatory amendment of existing contracts, and changes in taxation policies,
including tax increases and retroactive tax claims. We cannot guarantee that the Argentine economic, regulatory, social and political
framework or the policies or measures that the Argentine Government adopts or may adopt will not adversely affect the market value of
our ADSs, business, financial condition, and/or operational results, nor can we assert that they will be successful in correcting the
energy production sector in Argentina.

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Exchange rate volatility
may adversely affect the Argentine economy

The Argentine Peso has been
subject to significant devaluation against the U. S. Dollar in the past and may be subject to fluctuations in the future. According to
the exchange rate information published by the Banco de la Nación Argentina, the Argentine Peso has depreciated 27.7%, 356.3% and
72.5% in 2024, 2023 and 2022, respectively, although it is estimated that the Peso has appreciated against the U. S. dollar in real terms
around 40% during 2024, being the most strengthened currency in real terms during the last year. We cannot predict whether and to what
extent the value of the Peso could depreciate or appreciate against the U. S. dollar and the way in which any such fluctuations could affect
our business. The value of the Peso compared to other currencies is dependent, in addition to other factors, on the level of international
reserves maintained by the BCRA, which have also shown significant fluctuations in recent years. As of April 15, 2025, the international
reserves of the BCRA totaled U. S.$ 36,799 million. As of such date, the international reserves included the IMF’s initial disbursement
under the Extended Fund Facility (EFF) approved by the IMF Executive Board on April 11, 2025 (see: “ Argentina’s ability
to obtain financing from international markets could be limited, which may impair its ability to implement reforms and foster economic
growth”). Fluctuations in the value of the Peso