1204 LAWS OF MARYLAND. [CH. 581

actual value of the consideration (fixed by the board of direc-
tors or by the charter in the manner provided by law as the
case may be) for which such stock shall have been issued. In
any case, however, in which stock having a par value shall
have been issued with stock without par value for a par-
ticular consideration, in determining the amount of the stock
without par value issued therefor, the par value of such
stock having a par value shall first be deducted from the
amount of money or actual value of the consideration de-
termined as aforesaid, and the excess thereof, if any, shall be
taken to be the amount of stock without par value so issued.

(3) Whenever such stock shall have been issued for a con-
sideration of which or of the value of which a part only
shall have been contributed as capital, the amount of such
stock issued shall include only that part of the amount or
value of such consideration so contributed as capital. The
amount of such stock issued may be increased from time to
time by the capitalization of surplus or net profits without
the issuance of additional shares. This paragraph (3) shall
not be construed as implying that in the absence of this para-
graph the provisions of this or any other section of this article
could properly be otherwise construed.

(4) The number of shares of such stock may be increased
or decreased in the manner and subject to the conditions
provided in sections 28 to 32, inclusive, of this article. The
amount of such stock issued may also be reduced in the man-
ner and subject to the conditions provided in said sections
for the reduction of the par value of shares of stock.

(5) All other provisions of law relating to stock having a
par value, so far as the same may be legally, necessarily or
practicably applicable, shall apply to and govern stock with-
out par value.

40. The charter may provide that shares of stock of any
class shall be convertible into shares of stock of any other
class upon such terms and conditions as may be therein stated.
For the purpose of the bonus tax imposed by the laws of this
State, the authorized amount of stock of any class which by the
terms of such charter is convertible into stock of another class
shall be taken to be either the amount of such stock authorized
by such charter or the aggregate amount of the stock into which
such stock is convertible, whichever is the greater, except that