S.D. Admin. R. 20:07:12:03
As used in this article the term, total capital, means the sum of primary and secondary capital.
The term, primary capital, means the sum of common stock, perpetual preferred stock, capital surplus, undivided profits, capital reserves, mandatory convertible debt (to the extent of 20 percent of primary capital exclusive of such debt), the pro rata share in certain consolidated subsidiaries, and the allowance for loan and lease losses minus those assets classified loss that are subject to charge-off.
The term, secondary capital, means the sum of mandatory convertible debt that is not included in primary capital, limited life preferred stock and subordinated notes and debentures with a weighted average principal maturity later than seven years from the date of issuance. Secondary capital may not be more than 50 percent of primary capital.
S.D. Admin. R. 20:07:12:03
General Authority: SDCL 51A-2-13.
Law Implemented: SDCL 51A-3-4, 51A-7-3.
Investment in subsidiaries and bank capital, § 20:07:16:08.