State Codes and Statutes
Statutes > Rhode-island > Title-42 > Chapter-42-116 > 42-116-41SECTION 42-116-41
§ 42-116-41 Loan portfolio valuation.– (a) On or before the winter meeting of the performance review committee, thecorporation shall submit to the committee an assessment of the current marketvalue of the remaining loans and real estate owned. This assessment shallcontain a profile of the portfolio in sufficient detail to permit an informalvaluation by an investor. The assessment shall report the known transactionsinvolving similar portfolios, which have been reported in the publications thatreport the results of auctions or sales of similar portfolios and provide ananalysis to the potential market reception of a theoretical decision by thecorporation to invite bids to sell the portfolio.
(b) The portfolio profile will include a stratification ofloans by performance status and collateral type. Data will include the numberof loans in each classification, the aggregate principal balance, the "LegalBalance", the dollar weighted average rate of interest, dollar weighted averagedelinquencies, and the dollar weighted average maturity. The profile is to beconsistent with those of similar portfolios, which are offered by lenders toinvestors in the institutional investment market.
(c) Should comparable information provided be inconclusive asto the current market value of the portfolio, the committee may recommend tothe Rhode Island depositors economic protection corporations' board ofdirectors that the corporation seek an informal review of the potential valueof the portfolio by an investor within one hundred twenty (120) days of thecommittee's winter meeting.
