Financial Business Act.pdf

While this translation was carried out by a professional translation agency, the text
is to be regarded as an unofficial translation based on the latest official Consolidated
Act no. 286 of 4 April 2006. Only the Danish document has legal validity.
October 2006, GlobalDenmark Translations
(5) Write-down under subsection (1), no. 11 may only take place if new capital is
subsequently injected into the bank, mortgage-credit institution, investment company or
investment management company so that the capital requirement is met, or if the bank,
mortgage-credit institution, investment company or investment management company closes
down without losses for the non-subordinated creditors. The hybrid core capital and non-paid
interest may only be written down by an amount that has been approved by the external
auditors and the Danish FSA in advance.
(6) In special cases, the Danish FSA may grant exemptions from the limit in subsection (1),
no. 12, a).
133. Member accounts may be included under section 130(1), no. 2 if the following conditions
are met in the articles of association:
1) In case of liquidation or bankruptcy, amounts shall not be repaid before the entire
remaining debt has been repaid.
2) In other cases, amounts shall only be repayable if the capital base is not thereby
reduced to an amount less than the capital requirement.
3) Repayment caused by other factors than cessation of membership may only be made
when the Danish FSA is notified hereof no less than one month in advance. Said
repayment may be denied by the Danish FSA.
4) Changes in the provisions of the articles of association regarding member accounts shall
be approved by the Danish FSA.
134. For special bonus provisions (type B) under section 130(1), no. 3 that form part of the
insurance provisions, the following shall apply:
1) They are, for all or part of the company's insurance contracts, built up of funds from the
insurance contracts' share of the realised results, cf. section 20(1), no. 3.
2) They are attached to the insurance contracts, individually or collectively, in such a way
that the individual insurance's share with related profit, cf. no. 5, may be calculated at
any time.
3) They are not, as an amount, part of the portfolio of insurance contracts when
calculating the proportion of the realised results, cf. section 20(1), no. 3, to be added to
said portfolio.
4) Transfer to the individual insurance contracts of the share attached to the insurance
shall take place no later than at the time of payment of benefits under the insurance.
5) They shall be granted the same proportional return as the return on equity before
taxation irrespective of said return being negative or positive.
6) The individual share and the relative collective share, cf. no. 2, may be included at the
time of cancellation of the insurance, and they shall be fully included on calculation of
surrender values as well as on transfers from one company to another in connection
with transition to another employment, cf. section 20(1), no. 7. Said share shall be
relative to the share which the insured party has contributed to accumulating. Special
bonus provisions, however, may only be included if the company meets the solvency
requirement in section 248(3), no.3.
7) The company shall comply with the disclosure requirement resting upon companies
listed on the stock exchange under section 27(1) of the Securities Trading, etc. Act.
EXCLUDING MINOR AMENDMENTS
135.-(1) The additional capital shall consist of
1) subordinate loan capital, cf. section 136,