Page:United States Statutes at Large Volume 106 Part 5.djvu/471

 PUBLIC LAW 102-552—OCT. 28, 1992 106 STAT. 4109 making the payments no later than December 31, 1993) in amounts designed to accumulate, in total, including earnings on the amounts, to 90 percent of the bank's ultimate obligation. The Financial Assistance Corporation shall partially discharge the bank from its obligation under subparagraph (C) to the extent of each such payment and the earnings on the payment as earned. "(ii) CAPITAL REQUIREMENTS. — The agreement shall not require payments to be made to the extent that making a particular payment or part of a payment would cause the bank to fail to satisfy applicable regulatory permanent capital requirements, but shall provide for recalculation of subsequent payments accordingly. "(iii) INVESTMENT; AVAILABILITY.- The funds received by the Financial Assistance Corporation piirsuant to the agreements shall be invested in eligible investments as defined in section 6.25(a)(l). The funds and the earnings on the funds shall be available only for the payment of the principal of the bonds issued by the Financial Assistance Corporation under this subsection."; and (4) in subparagraph (E) (as redesignated by paragraph (2)), by inserting before the period at the end the following: ", nor shall the obligation to make future annuity payments to the Finsuicial Assistance Corporation under subparagraph (D) be considered a liability of any System bank". SEC. 302. PREFERRED STOCK. Subparagraph (B) of section 6.26(d)(l) (12 U.S.C. 2278b- 6(d)(l)(B)) is amended to read as follows: "(B) PAYMENTS BY INSTITUTIONS. — "(i) IN GENERAL.—Except as provided in subparagraph (C), in order to enable the Financial Assistance Corporation to repay the obligation referred to in subparagraph (A), each institution that issued preferred stock under section 6.27(a) with respect to the obligation (or the successor to the institution) shall pay to the Financial Assistance Corporation, before the maturity date of the obligation, an amount equal to the par value of the stock outstanding for the institution. "(ii) ANNUAL APPROPRIATION.— Except as provided in clause (iii), each year beginning in 1992, as soon as practicable following the end of the prior year, each such institution (except institutions in receivership and institutions that have previously redeemed their preferred stock) shall appropriate from its earnings in the prior year to an appropriated unallocated surplus account with respect to preferred stock, the sum of— "(I) the greater of— "(aa) such amoiint as the institution may ^ be required to appropriate under any assistance agreement the institution has with the Farm Credit System Assistance Board or the

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