Guarantee Capital definition
Examples of Guarantee Capital in a sentence
As a part of this Plan, MLIC will not make any distributions to its shareholder(s) after the Reverse Split is effected until the Guarantee Capital Reserve is restored to its balance at June 30, 1996 of $15,526,000.
When a Member ceases to be a Member, the Fund shall arrange for the repurchase of its Shares consistent with article 16, paragraphs 2 and 3, as a part of the settlement of accounts with that Member, and shall cancel its Guarantee Capital provided -that the obligations and requirements specified in paragraph 1 of this article have been met.
As of June 30, 1996, MLIC had Guarantee Capital, a Guarantee Capital Reserve (the "Guarantee Capital Reserve") and unassigned surplus of approximately $6,683,000, $15,526,000 and $6,773,000, respectively, determined on a statutory basis of accounting.
As a result of the contribution to the Guarantee Capital discussed previously, the Guarantee Capital and the unassigned surplus, however, will not change after the Reverse Split.
Of the $23,048 that will be required to pay cash in lieu of issuing fractional New Capital Shares, $6,146 will be funded from the Guarantee Capital and approximately $16,902 will be funded from the Guarantee Capital Reserve.
The proceeds of pro rata calls of all Guarantee Capital and Guarantees shall be used by the Fund, following recourse to the resources listed in paragraph 12 (a), (b) and (c) of this article, to meet any of its liabilities other than liabilities arising from the default of an Associated ICO.
Upon the association of an ICO with the Fund, Members participating in that Associated ICO shall provide directly to the Fund Guarantee Capital on a basis determined by the Associated ICO and satisfactory to the Fund.
Pursuant to the Exchange Procedure, UCLIC will return to MLIC 2,433,345 Capital Shares plus cash in the amount of $1,822,704 (all of which will be contributed to the Guarantee Capital) in exchange for which it will receive 8 New Capital Shares and approximately $23,048 in cash for the remaining Capital Shares (3,073 Capital Shares) in excess of the amount required for 8 New Capital Shares.
In the event that any minority shareholder accumulates 303,784 Capital Shares and, together with cash in the amount of $227,838, surrenders such Capital Shares to MLIC, such minority shareholder will receive one new Capital Share and the Guarantee Capital will increase by $835,406.
It shall also remain liable to meet its obligations in respect of its Guarantee Capital, until arrangements satisfactory to the Fund have been made which comply with article 14, paragraphs 4 to 7.