Article 77

Path:
Capital Requirements Regulation (CRR) > PART TWO > TITLE I > CHAPTER 6 > Article 77
Title:
Article 77
Description: 
Conditions for reducing own funds and eligible liabilities
Main content: 

1.  An institution shall obtain the prior permission of the competent authority to do any of the following:

(a)    reduce, redeem or repurchase Common Equity Tier 1 instruments issued by the institution in a manner that is permitted under applicable national law;

(b)    reduce, distribute or reclassify as another own funds item the share premium accounts related to own funds instruments;

(c)    effect the call, redemption, repayment or repurchase of Additional Tier 1 or Tier 2 instruments prior to the date of their contractual maturity.

2.  An institution shall obtain the prior permission of the resolution authority to effect the call, redemption, repayment or repurchase of eligible liabilities instruments that are not covered by paragraph 1, prior to the date of their contractual maturity.