Page:United States Statutes at Large Volume 124.djvu/1659

 124 STAT. 1633 PUBLIC LAW 111–203—JULY 21, 2010 ‘‘(A) with respect to a United States financial com- pany— ‘‘(i) the total risk-weighted assets of the financial company, as determined under the risk-based capital rules applicable to bank holding companies, as adjusted to reflect exposures that are deducted from regulatory capital; less ‘‘(ii) the total regulatory capital of the financial company under the risk-based capital rules applicable to bank holding companies; ‘‘(B) with respect to a foreign-based financial com- pany— ‘‘(i) the total risk-weighted assets of the United States operations of the financial company, as deter- mined under the applicable risk-based capital rules, as adjusted to reflect exposures that are deducted from regulatory capital; less ‘‘(ii) the total regulatory capital of the United States operations of the financial company, as deter- mined under the applicable risk-based capital rules; and ‘‘(C) with respect to an insurance company or other nonbank financial company supervised by the Board, such assets of the company as the Board shall specify by rule, in order to provide for consistent and equitable treatment of such companies. ‘‘(b) CONCENTRATION LIMIT.—Subject to the recommendations by the Council under subsection (e), a financial company may not merge or consolidate with, acquire all or substantially all of the assets of, or otherwise acquire control of, another company, if the total consolidated liabilities of the acquiring financial company upon consummation of the transaction would exceed 10 percent of the aggregate consolidated liabilities of all financial companies at the end of the calendar year preceding the transaction. ‘‘(c) EXCEPTION TO CONCENTRATION LIMIT.—With the prior writ- ten consent of the Board, the concentration limit under subsection (b) shall not apply to an acquisition— ‘‘(1) of a bank in default or in danger of default; ‘‘(2) with respect to which assistance is provided by the Federal Deposit Insurance Corporation under section 13(c) of the Federal Deposit Insurance Act (12 U.S.C. 1823(c)); or ‘‘(3) that would result only in a de minimis increase in the liabilities of the financial company. ‘‘(d) RULEMAKING AND GUIDANCE.—The Board shall issue regu- lations implementing this section in accordance with the rec- ommendations of the Council under subsection (e), including the definition of terms, as necessary. The Board may issue interpreta- tions or guidance regarding the application of this section to an individual financial company or to financial companies in general. ‘‘(e) COUNCIL STUDY AND RULEMAKING.— ‘‘(1) STUDY AND RECOMMENDATIONS.—Not later than 6 months after the date of enactment of this section, the Council shall— ‘‘(A) complete a study of the extent to which the con- centration limit under this section would affect financial stability, moral hazard in the financial system, the effi- ciency and competitiveness of United States financial firms Deadline.