17-6603. Retirement of shares of capital stock; status of authorized or unissued shares; reissuance prohibited by articles of incorporation.
17-6603
17-6603. Retirement of shares of capital stock;
status of authorized or unissued shares; reissuance prohibited by
articles of incorporation.
(a) A corporation, by resolution of its board of directors, may retire
any shares of its capital stock that are issued but are not outstanding.
(b) Whenever any shares of the capital stock of a corporation are
retired, they shall resume the status of authorized and unissued shares of
the class or series to which they belong unless the articles of
incorporation otherwise provides. If the articles of incorporation
prohibits the reissuance of such shares, or prohibits the reissuance of
such shares as a part of a specific series only, a certificate stating that
reissuance of the shares, as part of the class or series, is prohibited,
identifying the shares and reciting that their retirement shall be executed and
filed and shall become effective in accordance with K.S.A.
17-6003, and amendments thereto. When such certificate becomes effective,
it shall have the effect of amending the articles of incorporation so as
to reduce accordingly the number of authorized shares of the class or
series to which such shares belong or, if such retired shares constitute
all of the authorized shares of the class or series to which they belong,
of eliminating from the articles of incorporation all reference to such
class or series of stock.
(c) If the capital of the corporation shall be reduced by or in
connection with the retirement of shares, the reduction of capital shall be
effected pursuant to K.S.A. 17-6604, and amendments thereto.
History: L. 1972, ch. 52, § 76;
L. 1986, ch. 399, § 9;
L. 1988, ch. 99, § 36;
Revived and amend., L. 1988, ch. 100, § 36;
L. 2000, ch. 39, § 26; July 1.