Two Classes. More Value.
FHLB Dallas’ Capital Plan establishes guidelines for the amount of Bank stock member institutions are required to hold, along with other terms and conditions of the Bank’s capital stock. Capital Plan amendments announced August 31, 2015, which take effect October 1, 2015, divide our members’ existing Class B shares into two sub-classes: Class B-1 (membership investment and excess) stock and Class B-2 (activity-based investment) stock.
Members’ existing Class B stock will be exchanged on October 1 for an equal number of total shares of the two new sub-classes of stock representing the institution’s membership investment and any excess stock (known now as Class B-1 stock), and activity-based stock (now Class B-2 stock). After this exchange, all existing Class B stock will be immediately retired.
The amended Capital Plan also authorizes the Board to declare dividends on the two sub-classes of stock at different rates.
To learn more, download the major provisions summary, the August 31 Frequently Asked Questions (FAQs), or the complete Capital Plan.