A state-chartered bank may provide financial valuation and advisory services to its depositors or clients. The term "financial valuation and advisory services" means:

1. (1) the valuation of a company for purposes of acquisitions, mergers, and divestitures;
2. (2) fairness opinions in connection with tender offers, consolidations, or mergers;
3. (3) advice for management or for a bankruptcy court about the viability and capital adequacy of financially troubled companies and about the fairness of proposed bankruptcy reorganizations;
4. (4) valuation opinions for transactions in publicly held securities;
5. (5) valuations of the fair market value of employee stock ownership trusts;
6. (6) periodic valuation of stock of privately owned companies held in pension or profit-sharing plans, charitable trusts, or venture capital funds;
7. (7) valuation of a privately owned company, or of a large block of publicly owned securities;
8. (8) valuations, for estate tax and estate planning purposes, of a company's common stock and other securities for recapitalization of a privately held company; and
9. (9) expert witness testimony in support of valuations.

Source Note:The provisions of this §3.5 adopted to be effective August 19, 1985, 10 TexReg 2543.