California Code of Regulations
Title 10 - Investment
Chapter 2 - Savings and Loan Commissioner
Subchapter 1 - General Provisions
Article 1 - Definitions
Section 101.100 - Definition of Terms Used in Regulatory Provisions

(a) "Value or aggregate amount of outstanding shares and investment certificates" referred to in Section 5070, 6700.1, and 8150 of the law.

The above term means the aggregate of the balances representing the liability to holders of shares, including dividends applicable therein, and the aggregate of the balances representing the liability to holders of investment certificates, including interest accrued since the date of the last apportionment and not yet credited to investment certificate or withdrawable share accounts.

(b) "Total Assets" means the total assets as stated on the statement of financial condition as prepared in accordance with generally accepted accounting principles.

(c) "Unpaid balance of all loans," as referred to in Section 7170 and 7171 of the law, means the total of all loans secured by real property, plus secured advances, property improvement loans and Government National Mortgage Association (GNMA) Mortgage-backed Securities, less any participating interest sold in such loans, any valuation allowance established and wrap-around loan funds withheld for payment on prior liens.

(d) "Insured loans," as referred to in Section 7200 through 7206 of the law, means loans that are insured or guaranteed wholly or in part by the U.S. Government or one of its agencies.

(e) "Surplus Profits," referred to in Section 7410 of the law, means unappropriated retained earnings from prior periods plus unallocated earnings from operations for the current year. Unappropriated retained earnings available for cash or earnings of the current year or of prior years, but such dividends, except with the prior written consent of the commissioner, shall not be paid (1) from such surplus profits of the current year and prior years where there remains a total deficit caused by operations or losses sustained in the current and prior years, or (2) in an amount which, along with any federal income tax payable by reason of the dividend, would be in excess of the accumulated surplus profits.

(f) "Scheduled items" means those assets defined in Section 561.15 of the Rules and Regulations for Insurance of Accounts of the Federal Home Loan Bank Board.

(g) "Current market value" means the highest price estimated in terms of money which a property will bring if exposed for sale in the open market with a reasonable time allowed to find a purchaser, buying with knowledge of all the uses and purposes to which the property is adapted and for which it is capable of being used.

(h) "Statutory Net Worth," as referred to in Sections 5120 and 6475 of the law, consists of the total of the balances in capital stock, paid-surplus, undivided profits, current earnings and general reserves. In certain preapproved cases this may include subordinated debt. Paid-in capital (permanent capital and paid-in surplus) other than cash shall not be included in statutory net worth without the prior written approval of the commissioner. The commissioner may prescribe additional accounts for either inclusion in or exclusion from statutory net worth.