Sec. 208.4 Capital Adequacy.

(a) Adequacy. A member bank's capital, calculated in accordance with part 217, shall be at all times adequate in relation to the character and condition liabilities and other corporate responsibilities.4 If at any time, in light of all the circumstances, the bank's capital appears inadequate in relation to its assets, liabilities, and responsibilities, the bank shall increase the amount of its capital, within such period as the Board deems reasonable, to an amount which, in the judgment of the Board, shall be adequate.

4Before January 1, 2015, the capital of a member bank that is not an advanced approaches bank (as defined in §208.41) is calculated in accordance with appendices A, B, and E to this part, as applicable.

(b) Standards for evaluating capital adequacy. Standards and measures, by which the Board evaluates the capital adequacy of member banks for risk-based capital purposes and for leverage measurement purposes, are located in part 217 of this chapter.5

5Before January 1, 2015, the standards and measures by which the Board evaluates the capital adequacy of member banks that are not advanced approaches banks (as defined in §208.41) for risk-based capital purposes and for leverage measurement purposes are located in appendices A, B, and E to this part, as applicable.