1150                                 LAWS OF MARYLAND                               Ch. 296

[2-307.

(a)  Articles of reduction shall include:

(1)  The aggregate amount of stated capital
before the reduction and, if the stock is divided by
classes, the amount attributable to each class;

(2)  The aggregate amount of the reduction of the
stated capital and, if the stock is divided by classes, the
amount attributable to each class;

(3)  The method used to effect the reduction;

(4)  The aggregate amount of stated capital as
reduced and, if the stock is divided by classes, the amount
attributable to each class; and

(5)  A statement that the reduction was:

(i) Approved by the board of directors
without stockholder action; or

(ii) Advised by the board of directors and
approved by the stockholders.

(b)  Articles of amendment and reduction shall include
the matters required to be set forth in both articles of
amendment and articles of reduction.

(c)  Articles of reduction and articles of amendment
and reduction shall be executed in the manner required by
Title 1 of this article.]

2-313.

(a) If a corporation acquires shares of its own stock
subject to redemption or convertible shares of its own stock
surrendered for conversion, the shares are retired
automatically without a proceeding for a reduction in stated
capital[, although the corporation may file articles of
reduction].

SECTION 2. AND BE IT FURTHER ENACTED, That this Act
shall take effect July 1, 1980.

Approved May 6, 1980.

CHAPTER 297
(Senate Bill 241)