Figure 1.
This graph is titled Basel II Sharply Lowers Insured Bank Capital Requirements Conflicts with Prompt Corrective Action Standards. The y axis on the left side of the graph is labeled Tier 1 Capital to Be Well Capitalized (% Average Assets) The 1% percent intervals range from 0.0% to 5.0%. On the far left are five captions that start (from the bottom) at the 1.0% line, which is Critically Undercapitalized; 2.0% is Significantly Undercapitalized; 3.0% is Undercapitalized; 4.0% is Adequately Capitalized; 5.0% is Well Capitalized. There are two columns in the middle of the graph. The first is Current Risk-Based Requirement" and the second is QIS-4 Requirement. Twenty-six dots appear under each column, one for each QIS-4 banking organization. Each dot represents the insured bank totals within the organization. In the first column, the dots cluster between 4.0% (Adequately Capitalized) and 5.0% (Well Capitalized).