Newsletter-21

229 CAPITAL MARKETS LAW said program. In other words, the requirement of a general assembly decision regulated in the TCC does not apply to the subsidiary, unless the subsidiary is also a listed corporation, then the said subsidiary may acquire the shares of the corporation being its parent company, only if and when the buy-back program is approved also by the general assembly of the subsidiary. Buy-Back Program Content Requirements Pursuant to Art. 8 of the Communiqué, a buy-back program to be prepared by the board of directors and to be submitted to the general assembly for approval should contain the following information: a. Purpose of buy-back b. If any, duration of buy-back program c. Maximum number of shares to be acquired d. That the program will be terminated when the maximum number of shares to be acquired is reached e. Proportionate or fixed lower and upper price limits deter- mined for to-be-acquired shares by indexing to a particular indicator, and in the case of transactions requiring correction of the price, how such transactions will be taken into consid- eration f. If determined, disposal principles of buy-back shares throughout the program g. Total amount and source of the fund set aside for acquisition h. Number, and ratio to capital, of the buy-back shares and not disposed of yet and, if any, results of the previous program i. Explanations on probable effects of buy-back program on the corporation’s financial situation and on the results of its activities j. Information on subsidiaries, if any, which may acquire shares under the program