Accounting Rules
Form and Content of Financial Statements
Regulation S-X
Rule 9-06 -- Condensed Financial Information of Registrant
The information prescribed by Rule 12-04 shall be presented
in a note to the financial statements when the restricted net assets (Rule
4-08(e)(3)) of consolidated subsidiaries exceed 25 percent of consolidated
net assets as of the end of the most recently completed fiscal year. The investment
in and indebtedness of and to bank subsidiaries shall be stated separately in
the condensed balance sheet from amounts for other subsidiaries; the amount of
cash dividends paid to the registrant for each of the last three years by bank
subsidiaries shall be stated separately in the condensed income statement from
amounts for other subsidiaries. For purposes of the above test, restricted net
assets of consolidated subsidiaries shall mean that amount of the registrant's
proportionate share of net assets of consolidated subsidiaries (after intercompany
eliminations) which as of the end of the most recent fiscal year may not be transferred
to the parent company by subsidiaries in the form of loans, advances or cash dividends
without the consent of a third party (i.e., lender, regulatory agency, foreign
government, etc.). Where restrictions on the amount of funds which may be loaned
or advanced differ from the amount restricted as to transfer in the form of cash
dividends, the amount least restrictive to the subsidiary shall be used. Redeemable
preferred stocks (Rule 5-02.28) and minority interests
shall be deducted in computing net assets for purposes of this test.
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