Page:United States Statutes at Large Volume 106 Part 2.djvu/132

 106 STAT. 1012 PUBLIC LAW 102-366—SEPT. 4, 1992 per centum of the amount of private capital or $10,000,000, whichever is less, no distribution shall be required to be made to the Administration unless the Administration determines, on a case by case basis, to require distributions to the Administration to reduce the amount of outstanding leverage to an amount less than $10,000,000. "(IIXA) A company which issues participating securities shall agree to allocate to the Administration a share of its profits determined by the relationship of its private capital to the amount of participating securities guaranteed by me Administration in accordance with the following: "(i) If the total amount of participating securities is 100 per centum of private capital or less, the company shall allocate to the Administration a per centum share computed as follows: the amount of participating securities divided by private capital times 9 per centum. "(ii) If the total amount of participating securities is more than 100 per centum but not greater than 200 per centum of private capital, the company shall allocate to the Administration a per centum share computed as follows: "(I) 9 per centum, plus "(11) 3 per centum of the amount of participating securities minus private capital divided by private capital. "(B) Notwithstanding any other provision of this paragraph— "(i) in no event shall the total per centum required by this paragraph exceed 12 per centum, unless required pursuant to the provisions of (ii) below, "(ii) if, on the date the participating securities are marketed, the interest rate on Treasury bonds with a maturity of 10 years is a rate other than 8 per centum, the Administration shall adjust the rate specified in paragraph (A) above, either higher or lower, by the same per centum by which the Treasury bond rate is higher or lower than 8 per centum, and "(iii) this paragraph shall not be construed to create any ownership interest of the Administration in the company. ''(12) A company may elect to make an in-kind distribution of securities only if such securities are publicly traded and marketable. The company shall deposit the Administration's share of such securities for disposition with a trustee designated by the Administration or, at its option and with the agreement of the company, the Administration may direct the company to retain the Administration's share. If the company retains the Administration's share, it shall sell the Administration's share and promptly remit the proceeds to the Administration. As used in this paragraph, the term trustee' means a person who is knowledgeable about and proficient in the marketing of thinly traded securities, "(h) The computation of amounts due the Administration under participating securities shall be subject to the following terms and conditions: "(1) The formula in subsection (g)(ll) shall be computed annually and the Administration shall receive distributions

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