# Prompt Corrective Action; Amended Definition of Post-Merger Net Worth
> **US National Credit Union Administration** · Final rule. · Published 2008-12-01 · Effective 2008-12-31 · 73 FR 72688
## Document
- **Document number:** E8-28462
- **Category:** final-rule
- **Agency:** US National Credit Union Administration
- **Federal Register citation:** 73 FR 72688
- **CFR reference:** 12 CFR 702
- **Publication date:** 2008-12-01
- **Effective date:** 2008-12-31
## Abstract

NCUA is adopting a final rule implementing a statutory amendment that expands the definition of "net worth" that applies to natural person credit unions under regulatory capital standards known as "prompt corrective action." The expanded definition allows the acquiring credit union, in a merger of natural person credit unions, to combine the merging credit union's retained earnings with its own to determine the acquirer's post-merger "net worth." For a merger in which the acquirer is a corporate credit union, the proposed rule similarly redefines corporate credit union capital to allow the acquirer to combine with its capital the retained earnings of the merging credit union to determine the acquirer's post-merger capital.

## Source
- [Federal Register document](https://www.federalregister.gov/documents/2008/12/01/E8-28462/prompt-corrective-action-amended-definition-of-post-merger-net-worth)
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