110 STAT. 3009-277 PUBLIC LAW 104-208—SEPT. 30, 1996 servicing) to the Association, as requested by the Association. The Association, however, may obtain such management and operational support from persons or entities not associated with the Holding Company. "(4) DIVIDENDS.— The Association may pay dividends in the form of cash or noncash distributions so long as at the time of the declaration of such dividends, after giving effect to the payment of such dividends as of the date of such declaration by the Board of Directors of the Association, the Association's capital would be in compliance with the capital standards and requirements set forth in section 439(r). If, at any time after the reorganization effective date, the Association fails to comply with such capital standards, the Holding Company shall transfer with due diligence to the Association additional capital in such amounts as are necessary to ensure that the Association again complies with the capital standards. "(5) CERTIFICATION PRIOR TO DIVIDEND.— Prior to the pay- ment of any dividend under paragraph (4), the Association shall certify to the Secretary of the Treasury that the payment of the dividend will be made in compliance with paragraph (4) and shall provide copies of all calculations needed to make such certification. "(6) RESTRICTIONS ON NEW BUSINESS ACTIVITY OR ACQUISI- TION OF ASSETS BY ASSOCIATION. — "(A) IN GENERAL. — After the reorganization effective date, the Association shall not engage in any new business activities or acquire any additional program assets described in section 439(d) other than in connection with— "(i) student loan purchases through September 30, 2007; "(ii) contractual commitments for future warehousing advances, or pursuant to letters of credit or standby bond purchase agreements, which are outstanding as of the reorganization effective date; "(iii) the Association serving as a lender-of-lastresort pursuant to section 439(q); and "(iv) the Association's purchase of loans insured under this part, if the Secretary, with the approval of the Secretary of the Treasury, enters into an agreement with the Association for the continuation or resumption of the Association's secondary market purchase program because the Secretary determines there is inadequate liquidity for loans made under this part. "(B) AGREEMENT.— The Secretary is authorized to enter into an agreement described in clause (iv) of subparagraph (A) with the Association covering such secondary market activities. Any agreement entered into under such clause shall cover a period of 12 months, but may be renewed if the Secretary determines that liquidity remains inadequate. The fee provided under section 439(h)(7) shall not apply to loans acquired under any such agreement with the Secretary. "(7) ISSUANCE OF DEBT OBLIGATIONS DURING THE TRANSI- TION PERIOD; ATTRIBUTES OF DEBT OBLIGATIONS. —After the reorganization effective date, the Association shall not issue debt obligations which mature later than September 30, 2008, except in connection with serving as a lender-of-last-resort
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