[ParlTrack]

Proposal for a regulation
Article 24 – paragraph 5

5. In exceptional circumstances, certain liabilities may be excluded or partially excluded from the application of the write-down and conversion powers in any of the following circumstances: (a) Where it is not possible to bail-in that liability within a reasonable time notwithstanding the good faith efforts of the resolution authority; or (b) Where the exclusion is strictly necessary and is proportionate to achieve the continuity of critical functions and core business lines in a manner that maintains the ability of the institution under resolution to continue key operations, services and transactions; or (c) Where the exclusion is strictly necessary and proportionate to avoid giving rise to widespread contagion that would severely disrupt the functioning of financial markets in a manner that could cause a serious disturbance to the economy of a Member State or of the Union; or (d) Where the application of the bail-in tool to these liabilities would cause a destruction in value such that the losses borne by other creditors would be higher than if these liabilities were excluded from bail-in. Where an eligible liability or class of eligible liabilities is excluded, or partially excluded, the level of write down or conversion applied to other eligible liabilities may be increased to take account of such exclusions, provided that the level of write down and conversion applied to other eligible liabilities respects the principle laid down in point (f) of Article 13(1).deleted

2013/10/22
Committee: ECON

Anne E. JENSEN, Nils TORVALDS

Proposal for a regulation
Article 24 – paragraph 6

6. Where an eligible liability or class of eligible liabilities excluded or partially excluded, pursuant to paragraph 5, and the losses that would have been borne by those liabilities have not been passed on fully to other creditors, a contribution from the Fund may be made to the institution under resolution to: (a) cover any losses which have not been absorbed by eligible liabilities and restore the net asset value of the institution under resolution to zero in accordance with point (a) of paragraph 1; (b) purchase shares or other instruments of ownership or capital instruments in the institution under resolution, in order to recapitalise the institution in accordance with point (b) of paragraph 1.deleted

2013/10/22
Committee: ECON

Anne E. JENSEN, Nils TORVALDS

Proposal for a regulation
Article 24 – paragraph 7

7. The Fund may only make a contribution referred to in paragraph 6 provided that the contribution meets both the following criteria: (a) a contribution to loss absorption and recapitalisation equal to an amount not less than 8% of the total liabilities including own funds of the institution under resolution, measured at the time of resolution action in accordance with the valuation provided for in Article 17, has been made by shareholders and the holders of other instruments of ownership, the holders of relevant capital instruments and other eligible liabilities through write down, conversion or otherwise; (b) the contribution from the Fund does not exceed 5% of the total liabilities including own funds of the institution under resolution, measured at the time of resolution action in accordance with the valuation provided for in Article 17.deleted

2013/10/22
Committee: ECON

Anne E. JENSEN, Nils TORVALDS

Proposal for a regulation
Article 24 – paragraph 8

8. The contribution of the Fund may be financed by: (a) the amount available to the Fund which has been raised through contributions by entities referred to in Article 2 in accordance with Article 66; (b) the amount that can be raised through ex post contributions in accordance with Article 67 within a period of three years; and (c) where the amounts referred to in points (a) and (b) are insufficient, amounts raised from alternative financing sources in accordance with Article 69.deleted

2013/10/22
Committee: ECON

Anne E. JENSEN, Nils TORVALDS

Proposal for a regulation
Article 24 – paragraph 9

9. In extraordinary circumstances, further funding may be sought from alternative financing sources after: (a) the 5% limit specified in point (b) of paragraph 7 has been reached; and (b) all unsecured, non-preferred liabilities, other than eligible deposits, have been written down or converted in full.deleted

2013/10/22
Committee: ECON

Anne E. JENSEN, Nils TORVALDS

Proposal for a regulation
Article 24 – paragraph 10

10. As an alternative or in addition, when the conditions in points (a) and (b) of paragraph 7 are met, a contribution may be made from resources which have been raised through ex-ante contributions in accordance with Article 66 and which have not yet been usdeleted.

2013/10/22
Committee: ECON

Anne E. JENSEN, Nils TORVALDS

Proposal for a regulation
Article 24 – paragraph 12

12. When taking the decision referred to in paragraph 5, due consideration shall be given to the following factors: (a) the principle that losses should be borne first by shareholders and next, in general, by creditors of the institution under resolution in order of preference; (b) the level of loss absorbing capacity that would remain in the institution under resolution if the liability or class of liabilities were excluded; (c) the need to maintain adequate resources for resolution financing.deleted

2013/10/22
Committee: ECON

Anne E. JENSEN, Nils TORVALDS

Proposal for a regulation
Article 65 – paragraph 1

1. In a period no longer than 10 years after the entry into force of this Regulation, the available financial means of the Fund shall reach ~~at least 1~~0.5 % of the amount of deposits of all credit institutions authorised in the participating Member States which are guaranteed under Directive 94/19/EC.

2013/10/22
Committee: ECON

Anne E. JENSEN, Nils TORVALDS

Proposal for a regulation
Article 66 – paragraph 2

2. The available financial means to be taken into account in order to reach the target funding level specified in Article 65 may include payment commitments which are fully backed by collateral of low risk assets unencumbered by any third party rights, at the free disposal and earmarked for the exclusive use by the Board for the purposes specified in Article 71 (1). The share of these irrevocable payment commitments shall not exceed 3050 % of the total amount of contributions raised in accordance with paragraph 1.

2013/10/22
Committee: ECON

Anne E. JENSEN, Nils TORVALDS

Proposal for a regulation
Article 67 – paragraph 1

1. Where the available financial means are not sufficient to cover the losses, costs or other expenses incurred by the use of the Fund, the Board shall raise in accordance with Article 623 extraordinary ex post contributions from the institutions authorised in the territories of participating Member States, in order to cover the additional amounts. These extraordinary contributions shall be allocated between institutions in accordance with the rules set out in Article 667. The contributions and the sum of payments referred to in Article 67 cannot exceed one fourth of the target level.

2013/10/22
Committee: ECON

Olle SCHMIDT, Anne E. JENSEN

Proposal for a regulation
Article 71 – paragraph 1 – point e

(e) to pay compensation to shareholders or creditors if, following an evaluation pursuant to Article 17(5), they have received less, in payment of their credits, than what they would have received, following a valuation pursuant to Article 17(16), in a winding up under normal insolvency proceedings;deleted

2013/10/22
Committee: ECON

Olle SCHMIDT, Anne E. JENSEN

Proposal for a regulation
Article 71 – paragraph 1 – point f

(f) to make a contribution to the institution under resolution in lieu of the contribution which would have been achieved by the write down of certain creditors, when the bail-in tool is applied and the resolution authority decides to exclude certain creditors from the scope of bail-in in accordance with Article 24(3);deleted

2013/10/22
Committee: ECON

Nils TORVALDS, Anne E. JENSEN

Proposal for a regulation
Article 73 – paragraph 4

4. In the event resources of a deposit guarantee scheme are not sufficient to cover the payments to be made to depositors, and other resources are not immediately available from the relevant participating Member State, the Fund may lend the necessary resources to that deposit guarantee scheme provided that all the conditions under Article 10 of Directive 94/19/EC are met.deleted

2013/10/22
Committee: ECON

13 Amendments of Anne E. JENSEN related to 2013/0253(COD)

ParlTrack - 2011-2024