MARVIN MANDEL, Governor

1557

(III) THE AMOUNT PER SHARE OF STOCK
TRANSFERRED TO STATED CAPITAL AND ANY AMOUNT TRANSFERRED
TO CAPITAL SURPLUS SHALL BE DISCLOSED NOT LATER THAN AT
THE TIME OF PAYMENT TO THE STOCKHOLDERS WHO RECEIVE THE
DIVIDEND.

(4) A DIVIDEND PAYABLE IN SHARES OF ONE CLASS
OF A CORPORATIONS STOCK MAY NOT BE DECLARED OR PAID TO
THE HOLDERS OF SHARES OF ANOTHER CLASS OF STOCK UNLESS
THE PAYMENT HAS BEEN:

(I) APPROVED BY THE BOARD OF DIRECTORS UNDER
THE CHARTER; OR

(II) APPROVED AT A MEETING OF STOCKHOLDERS BY
THE AFFIRMATIVE VOTE OF A MAJORITY OF ALL THE VOTES
ENTITLED TO BE CAST ON THE MATTER OF EACH CLASS ENTITLED
TO VOTE ON IT.

(F) DIVIDEND BY CORPORATION ENTITLED TO DEPLETION
ALLOWANCE.

A CORPORATION WHICH IS SUBSTANTIALLY ENGAGED IN THE
EXPLOITATION OF ANY MINE, TIMBER, OIL WELL, GAS WELL,
PATENT, OR OTHER WASTING ASSET OR ORGANIZED SUBSTANTIALLY
FOR THE PURPOSE OF LIQUIDATING A SPECIFIC ASSET MAY
DISTRIBUTE THE NET INCOME DERIVED FROM THE EXPLOITATION
OF THE WASTING ASSET OR THE NET PROCEEDS DERIVED FROM THE
LIQUIDATION WITHOUT MAKING ANY DEDUCTION OR ALLOWANCE FOR
THE DEPLETION OF THE ASSET INCIDENTAL TO THE LAPSE OF
TIME, CONSUMPTION, LIQUIDATION, OR EXPLOITATION IF:

(1)    ADEQUATE PROVISION IS MADE FOR DEBTS AND
LIABILITIES, OTHER THAN STATED CAPITAL, AND FOR THE
AGGREGATE PREFERENTIAL AMOUNT PAYABLE IN THE EVENT OF
VOLUNTARY LIQUIDATION TO THE HOLDERS OF STOCK WHICH HAS
PREFERENTIAL RIGHTS; AND

(2)   NOTICE THAT NO DEDUCTION OR ALLOWANCE HAS
BEEN MADE FOR THE DEPLETION IS GIVEN NOT LATER THAN THE
TIME OF PAYMENT TO STOCKHOLDERS RECEIVING THE DIVIDEND.

REVISOR'S NOTE: This section presently appears as
Art. 23, §37(a).

The reference in present §37 to a corporation
"solely" engaged in an activity under
subsection (f) of this section - deleted as
unnecessary since such a corporation would be
also "substantially" so engaged.

The only other changes are in style.

For the definition of the term "insolvent,"