Source: https://www.kbn.com/en/about-us/company-information/articles-of-association/
Timestamp: 2020-07-06 20:53:12
Document Index: 426465740

Matched Legal Cases: ['§ 3', '§ 5', '§ 8', '§ 9', '§ 10', '§ 11', '§ 15', '§ 16', '§ 17', '§ 18', '§ 8', '§ 16', '§ 19', '§ 20', '§ 21', '§ 22', '§ 23', '§ 24', '§ 25', '§ 26']

Articles of Association - KBN
About us / Company information / Articles of Association
These Articles of Association were last changed by the Annual General Meeting held on 15 April 2020.
These articles of association are issued in Norwegian and have been translated into English. In case of discrepancy between the two versions, the Norwegian version shall prevail.
The State's shares may be assigned to municipalities, county authorities, intermunicipal companies and municipal pension funds. Such assignment will be done in accordance with the Company's aim of maintaining the highest possible creditworthiness.
§ 3 The Company's objectives are to provide loans to municipalities, county authorities, intermunicipal companies and other companies that carry out local government tasks against either a municipal guarantee, a government guarantee, or other satisfactory security.
§ 5 The Company's share capital is NOK 3,894,625,000 (three billion, eight hundred and ninety-four million, six hundred and twenty five thousand Norwegian kroner) divided into 3,894,625 shares of NOK 1,000 (one thousand Norwegian kroner) each.
§ 8 The Company's Board of Directors shall collectively exhibit diversity and breadth of qualifications, experience and background and consist of between five (5) and nine (9) members. If a majority of the employees should so decide, it can demand that a third and at least two (2) of the members of the Board shall be elected by and from amongst the Company's employees. For these members two (2) personal deputies shall be elected.
The other members shall be elected by the Annual General Meeting for two-year terms, so that at least two (2) shall be elected annually, but no more than four (4) of the elected members.
The Nomination Committee shall prepare the election of the chairman and the vice-chairman and the other non-employee members of the Board of Directors.
§ 9 The chairman of the Board shall ensure that the Board holds meetings as often as the Company's business necessitates, or when a member calls for a meeting to be held.
The Board constitutes a quorum if more than half the members are present. Valid resolutions are those for which the majority of the members present have voted, although a proposal which implies an alteration or amendment requires more than one-third of all board members. If the votes on each side are equal, the chairman of the meeting shall have the casting vote.
§ 10 The responsibility for the overall management of the Company belongs to the Board and it shall therefore inter alia:
§ 11 The chairman of the Board, or the vice-chairman of the Board, shall jointly with one of the board members or the managing director sign for the Company.
The members of the Supervisory Board shall be elected for two-year terms. One third of the members shall retire each year. At least one third of the members shall be elected annually. The Supervisory Board shall elect a chairman and vice-chairman from amongst its members to serve for a term of one year.
The Board of Directors and the Company's auditor shall be called to attend the meetings of the Supervisory Board. Unless otherwise determined by the Supervisory Board in individual instances, the members of the Board of Directors are entitled to be present at the meetings of the Supervisory Board with the right to speak and to make proposals. The Ministry of Local Government and Modernisation can participate in the Supervisory Board meeting with up to two observers.
§ 15 The Supervisory Board shall endeavour to ensure that the Company's objectives are being promoted in accordance with law, regulations, memorandum and articles of association, and the resolutions of the General Meeting and the Supervisory Board by:
Provide a statement to the Annual General Meeting in respect of the Board of Directors' proposals for the income statement and balance sheet and the Board's proposals for the application of profit or covering of loss for the year.
Scrutinise the Board of Directors' report and the auditor's report.
Give an opinion on matters concerning the Company which are brought before the Supervisory Board by the Board of Directors or that the Supervisory Board considers necessary to address, with a particular focus on corporate governance.
Chapter V - The Nomination Committee
§ 16 The Nomination Committee shall consist of up to three members who shall be elected by the General Meeting for a two-year period.
§ 17 The Nomination Committee shall propose candidates for election to the following offices and functions:
Chairman and vice chairman of the Board of Directors
Other members of the Board, with the exception of those members who are elected by and from amongst the employees
Chapter VI - Annual General Meeting
§ 18 The ordinary Annual General Meeting shall be held before the end of June.
The Ministry (The Ministry of Local Government and Modernisation) calls the Annual General Meeting to which the members of the Board of Directors, managing director and the Company’s auditor are called.
An extraordinary General Meeting shall be held if called for by the Ministry of Local Government and Modernisation, the Board of Directors or the Company's auditor.
The ordinary Annual General Meeting shall:
Elect members to the Board of Directors in accordance with § 8 of the Articles of Association.
Elect members to the Nomination Committee in accordance with § 16 of the Articles of Association.
§ 19 The Company's auditor shall be a state-authorised public accountant and shall be elected by the Annual General Meeting based on a recommendation from the Board of Directors.
§ 20 The Company shall raise funds for lending by issuing bonds, certificates or other form of loan notes or by entering into loan agreements. The Company may raise primary capital and other foreign capital.
Raising primary capital and Tier 1 capital instruments is effected based on a majority Annual General Meeting resolution as in the case of alterations to the Articles of Association, or by the Board of Directors according to the authority adopted by such a majority. The authority shall be limited upward in amount and is not valid for longer than the next year’s regular Annual General Meeting, or maximum of 18 months.
§ 21 Loans can only be granted to municipalities, county authorities, intermunicipal companies and other companies which carry out local government tasks against either a municipal guarantee, a government guarantee or other satisfactory security. The Company can also undertake other tasks appropriate to the Company's business.
§ 22 The Board of Directors shall determine the terms and conditions that shall apply to its loans at any time.
§ 23 The Company's capitalisation and financial administration shall be satisfactory in relation to the Company's business and consistent with the Company's aims of maintaining the highest possible creditworthiness.
Chapter IX - Annual Report and Accounts
§ 24 The Company's financial year shall follow the calendar year.
The annual accounts shall be placed at the disposal of the auditor at least one month prior to the ordinary Annual General Meeting. The audited annual report and accounts shall be scrutinised by the Supervisory Board before being put before the Annual General Meeting.
Chapter X - Age of retirement
§ 25 The age of retirement for the Company's Managing Director is 70 years.
Chapter XI - Alterations to the Articles of Association
§ 26 Alterations to the Articles of Association must be approved by the King if prevailing regulations so demand. If such approval is demanded, the Articles of Association will come into force on the date such approval is forthcoming.