Title 12 — Banks and BankingRelease 119-73not60
§2145 Exchange of Ownership Interests
Title 12 › Chapter 23— FARM CREDIT SYSTEM › Subchapter III— BANKS FOR COOPERATIVES › Part B— National Banks for Cooperatives › § 2145
Summary
When a consolidated bank is formed, stockholders and people who paid into the guaranty funds of the original district cooperative banks must swap their ownership—like stock, participation certificates, and allocated equities—for the same kinds of ownership in the new bank. The swap is done based on book value.
Full Legal Text
Title 12, §2145
Banks and Banking — Source: USLM XML via OLRC
On the establishment of the consolidated bank, ownership interests of the stockholders and subscribers to the guaranty funds of the constituent district banks for cooperatives (including stock, participation certificates, and allocated equities) shall be exchanged for like ownership interests in the consolidated bank on a book value basis.
Reference
Citations & Metadata
Citation
12 U.S.C. § 2145
Title 12 — Banks and Banking
Last Updated
Apr 3, 2026
Release point: 119-73not60