text: *Payment of Dividends*
  
  We are a legal entity separate and distinct from our banking and other subsidiaries. We receive most of our 
  revenue from dividends paid to us by our Delaware holding company subsidiary. Similarly, the Delaware holding 
  company subsidiary receives dividends from our bank subsidiaries. Described below are some of the laws and 
  regulations that apply when either we or our subsidiary banks pay dividends. 
  
  Each state bank that is a member of the Federal Reserve System and each national banking association is 
  required by federal law to obtain the prior approval of the Federal Reserve Board and the OCC, respectively, to 
  declare and pay dividends if the total of all dividends declared in any calendar year would exceed the total of (1) 
  such bank’s net profits (as defined and interpreted by regulation) for that year plus (2) its retained net profits (as 
  defined and interpreted by regulation) for the preceding two calendar years, less any required transfers to surplus. In 
  addition, these banks may only pay dividends to the extent that retained net profits (including the portion transferred 
  to surplus) exceed bad debts (as defined by regulation). 