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America's Mutual Banks Announces Legislative Goals for the 114th Congress

WASHINGTON, March 25, 2015 (GLOBE NEWSWIRE) -- America's Mutual Banks (AMB), an association of mutual financial institutions, announced today its Legislative Goals for the 114th Congress. Its principal objectives will be to provide a regulatory regime that will provide mutual banks with the capital tools that will enable them to gain competitive equality. At AMB's Annual Leadership Conference in Washington D.C., Chuck Boulier, AMB's Chairman, said, "We are resolute in our support for alternative tier 1 capital instruments that will fuel the growth of mutual banks. AMB's resources are dedicated to achieving real change that will make a difference with a capital instrument that is saleable at an attractive price to the buyer and an affordable cost to the issuer. We believe the enactment of the relief we seek will halt the historical decline of the market share that mutual banks hold and make the choice to remain mutual a compelling one. While we applaud the efforts of others to help mutual banks, only substantive legislative relief will make a difference."

AMB has drafted proposed legislation, "The Mutual Community Bank Competitive Equality Act," which will:

  • Authorize a National Mutual Bank Charter
  • Authorize a Tier 1 capital eligible Mutual Investment Certificate that will be saleable in the marketplace and affordable to the issuer
  • Restore the viability of Mutual Holding Companies by providing a dividend waiver
  • Exempt all mutual banks with $250 million or less from Basel III rules
  • Facilitate a market for alternative Tier 1 mutual investment certificates by permitting investments in pooled issuances
  • Direct the GAO to conduct a study of the reasons for the decline in the market share mutual banks

About America's Mutual Banks

America's Mutual Banks is an association of like-minded mutual banks dedicated to preserving and advancing the mutual banking form. America's Mutual Banks is headquartered at 701 8th Street NW, Suite 700, Washington, D.C. 20001. Please visit www.americasmutualbanks.com or contact Douglas Faucette, Locke Lord LLP, at 202-220-6961 with any questions or requests for a summary of the draft legislation or additional information on America's Mutual Banks.

CONTACT: Douglas Faucette Locke Lord LLP T: 202-220-6961 dfaucette@lockelord.com

Source: America's Mutual Banks