LAW
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Ohio Laws and Rules
(A) Net worth as referred to in 1151.33 of the revised code shall consist of the following:
(1) Common stockholders’ equity, which is common stock and related surplus, undivided profits, capital reserves that represent a segregation of undivided profits, and foreign currency translation adjustments, less net unrealized losses on available-for-sale securities with readily determinable fair values;
(2) Noncumulative perpetual preferred stock, including any related surplus where the issuer has the option to waive payment of dividends and where dividends waived do not accumulate to future periods or represent a contingent claim on the issuer, but is not preferred stock where the dividend is reset periodically based, in whole or in part, on the savings and loan association’s current credit standing, including, but not limited to, auction rate, money market, and remarketable preferred stock regardless of whether the dividends are cumulative or noncumulative;
(3) Minority interests in consolidated subsidiaries, unless the minority interests fail to provide meaningful capital support to the consolidated savings and loan association.
(B) The minimum net worth of a savings and loan association with a composite rating of one as defined in the Uniform Financial Institutions Rating System shall be not less than three per cent of adjusted total assets.
(C) For all other savings and loan associations not meeting the conditions set forth in paragraph (A) of this rule, the minimum acceptable net worth or capital requirement shall be not less than four per cent of total assets.
(D) Nothing is this or any other rule shall preclude the superintendent from requiring a savings and loan association to maintain a higher net worth level commensurate with the savings and loan association’s risk profile.
HISTORY: Prior Eff. 12-27-84, 1-17-92; Replaces 1301:2-1-11, eff. 6-3-04
Rule promulgated under: RC 119.03
Rule authorized by: RC 1155.20
Rule amplifies: RC 1151.33
R.C. 119.032 review dates: 05/24/2009