1. (a) If the surplus of a commercial bank at any time is less than 100 percent of its capital stock, then, until the surplus is 100 percent of the capital stock, the commercial bank:

   1. (1) Shall transfer to its surplus annually at least 10 percent of its net earnings; and
   2. (2) May not declare or pay any cash dividends that exceed 90 percent of its net earnings.
2. (b) Any losses of a commercial bank that exceed its undivided profits may be charged to its surplus.

Added by Acts 1980, c. 33, § 2, eff. July 1, 1980. Amended by Acts 1995, c. 593, § 1, eff. Oct. 1, 1995.

Formerly Art. 11, § 95.