Section 380.20  Definitions

            "Appropriate federal banking agency" means the Federal Deposit Insurance Corporation, the Federal Reserve Bank of Chicago or the Federal Reserve Bank of St. Louis, as determined by federal law (12 U.S.C. 1813(q)).

            "CAMELS Rating" means the rating assigned to a state bank by the Commissioner or by the state bank's appropriate federal banking agency, based on a composite evaluation of the following six individual performance components:  Capital, Asset Quality, Management, Earnings, Liquidity and Sensitivity to Market Risk.  The CAMELS Rating, and the rating assigned to each individual performance component, will be assigned a number from a range of 1 through 5, with 1 being the highest possible rating and 5 being the lowest possible rating.

            "Commissioner" means the Illinois Commissioner of Banks and Real Estate or a person authorized by the Commissioner to act in the Commissioner's stead.

            "Eligible state bank" means an Illinois state bank that, at its last regular examination, was assigned a CAMELS Rating of 1 or a CAMELS Rating of 2, with no more than one individual performance component rated 3; provided, however, that the management performance component must be rated 1 or 2, and no individual performance component may be rated 4 or 5; except that, unless otherwise determined by the Commissioner, the following shall not be an eligible state bank:

            A newly chartered state bank, for the first three years after receiving its charter;

            A state bank that results from the merger of a state bank with a financial institution other than a state bank, for the first examination period after such merger;

            A state bank that results from the merger of a state bank with another state bank which was assigned a CAMELS Rating of 3, 4 or 5 at its last regular examination, for the first examination period after such merger;

            A state bank that results from the conversion of a financial institution other than a state bank, for the first examination period after the conversion;

            A state bank that has undergone a change of control pursuant to Section 18 of the Illinois Banking Act which results in new ownership or control of more than 50% of the outstanding voting stock of the state bank, for the first examination period after the change of control;

            A state bank whose management or board of directors has requested an examination by the Commissioner;

            A state bank, that in the opinion of the Commissioner, is:

            operating in an unsafe manner;

            operating in an unsound condition;

            conducting its business in violation of applicable laws, rules or regulations; or

            conducting its business in a fraudulent manner;

            A state bank concerning which the appropriate federal banking agency has communicated to the Commissioner that such federal banking agency will not alternate in conducting examinations of the particular bank or class of banks; and

            A state bank that is subject to an administrative order or other regulatory or enforcement action issued by the Commissioner or the appropriate federal banking agency.

            "Examination period" means the time frame within which the Commissioner must conduct a regular examination of each state bank pursuant to Section 48(2) of the Illinois Banking Act.

            "Regular examination" means a full scope, on-site examination of a state bank conducted by the Commissioner or by the state bank's appropriate federal banking agency within each examination period.

(Source:  Amended at 21 Ill. Reg. 8380, effective June 24, 1997)