Page:United States Statutes at Large Volume 106 Part 2.djvu/128

 106 STAT. 1008 PUBLIC LAW 102-366 —SEPT. 4, 1992 SEC. 402. LEVERAGE (MATCHING FUNDS) FORMULA. Section 303 of the Small Business Investment Act of 1958 (15 U.S.C. 683) is amended— (1) by inserting after the word "debentures" in the first and sixth sentences of subsection (b) the following: "or participating securities"; (2) by striking paragraphs (1) through (3) of subsection (b) and inserting in lieu thereof the following: "(1) The total amount of debentures and participating securities that may be guaranteed by the Administration and outstanding from a company licensed under section 301(c) of this Act shall not exceed 300 per centum of the private capital of such company: Provided, That nothing in this paragraph shall require any such company that on March 31, 1993, has outstanding debentures in excess of 300 per centum of its private capital to prepay such excess: And provided further, That any such company may apply for an additional debenture guarantee or participating security guarantee with the proceeds to be used solely to pay the amount due on such maturing debenture, but the maturity of the new debenture or security shall be not later than September 30, 2002. "(2) After March 31, 1993, the maximum amount of outstanding leverage made available to a company licensed under section 301(c) of this Act shall be determined by the amount of such company's private capital— "(A) if the company has private capital of not more than $15,000,000, the total amount of leverage shall not exceed 300 per centum of private capital; "(B) if the company has private capital of more than $15,000,000 but not more than $30,000,000, the total amount of leverage shall not exceed $45,000,000 plus 200 per centum of the amount of private capital over $15,000,000; and "(C) if the company has private capital of more than $30,000,000, the total amount of leverage shall not exceed $75,000,000 plus 100 per centum of the amount of private capital over $30,000,000 but not to exceed an additional $15,000,000. "(3) Subject to the foregoing dollar and percentage limits, a company licensed under section 301(c) of this Act may issue and have outstanding both guaranteed debentures and participating securities: Provided, That the total amount of participating securities outstanding shall not exceed 200 per centum of private capital. "(4) In no event shall the aggregate amount of outstanding leverage of £my such company or comp£mies which are commonly controlled as determined by the Administration exceed $90,000,000, unless the Administration determines on a case by case basis to permit a higher amount for compsinies under common control and imposes such additional terms and conditions as it determines appropriate to minimize the risk of loss to the Administration in the event of default."; (3) by inserting before the period at the end of subsection (c)(6) the following: ", except as provided in paragraph (7)"; and (4) by adding the following at the end of subsection (c):

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