§ 53.015

53.015 DEFINITIONS. Subdivision 1. Applicability. For the purposes of this chapter, the terms defined in this section shall have the meanings given them. Subd. 2. Surplus. 'Surplus' means the sum total of all funds: (1) received as consideration in excess of the par value of preferred or common stock; and (2) transferred from undivided profits as dedicated funds, by action of the board of directors. Subd. 3. Undivided profits. 'Undivided profits' means the net remaining funds resulting from the operation of the corporation and shall include, but not be limited to retained earnings, earned surplus, undivided profits and current earnings. Subd. 4. Capital stock. 'Capital stock' means the par value of preferred or common stock multiplied by the respective number of shares of each type of stock. For purposes of section 53.05, clause (7), capital stock may include an amount of mandatory convertible debentures approved by the commissioner. The terms and conditions for redemption of the qualifying debentures must include the prior written approval of the commissioner as a condition for a redemption, but in no event an amount in excess of 50 percent of total preferred or common stock.

ualifying debentures must include the prior written approval of the commissioner as a condition for a redemption, but in no event an amount in excess of 50 percent of total preferred or common stock. Subd. 5. [Repealed by amendment, 1989 c 166 s 17] Subd. 6. [Repealed by amendment, 1989 c 166 s 17] History: 1971 c 442 s 1; 1989 c 166 s 17; 1995 c 202 art 2 s 21