§ 4-26-612 — Treasury shares - Cancellation

(a) A corporation may at any time, by resolution of its board of directors, cancel all or any part of its treasury shares; and in such event, a statement of cancellation shall be filed as provided in this section. (b) The statement of cancellation shall be executed and filed in accordance with § 4-26-1201 and verified by one (1) of the officers signing such statement and shall set forth: (1) The name of the corporation; (2) The number of treasury shares cancelled by resolution duly adopted by the board of directors, itemized by classes and series, and the date of its adoption; (3) The aggregate number of issued shares, itemized by classes and series, after giving effect to such cancellation; (4) The amount, expressed in dollars, of the stated capital of the corporation after giving effect to such cancellation; (5) A copy of the resolution effecting the cancellation. (c) When such statement of cancellation is filed in accordance with § 4-26-1201 , the stated capital of the corporation shall be deemed to be reduced by that part of the stated capital which was, at the time of the cancellation, represented by the shares so cancelled, and the shares so cancelled shall be restored to the status of authorized but unissued shares. (d) Nothing contained in this section shall be construed to forbid a cancellation of shares or a reduction of stated capital in any other manner permitted by this chapter.

Legislative History

Acts 1965, No. 576, § 68; A.S.A. 1947, § 64-603.