Section 18018.4 Of Article 1. Definitions From California Financial Code >> Division 7. >> Chapter 1. >> Article 1.

. "Mandatory convertible debt," as used in this division, means a subordinated debt instrument which requires the issuer to convert that instrument into common or perpetual preferred stock by a date at or before the maturity of the debt instrument. The maturity of those instruments shall be 12 years or less.