Sec.  65.303   Cost of preferred stock.

   The formula for determining the cost of preferred stock is:
   [MATH:  :MATH]

   Where:

   “Total Annual Preferred Dividends” is the total dividends on preferred stock
   for the most recent two years for all local exchange carriers with annual
   revenues equal to or above the indexed revenue threshold as defined in
    Sec. 32.9000. “Proceeds from the Issuance of Preferred Stock” is the average of
   the total net proceeds from the issuance of preferred stock for the most
   recent two years for all local exchange carriers with annual revenues equal
   to or above the indexed revenue threshold as defined in  Sec. 32.9000.

   [ 60 FR 28545 , June 1, 1995, as amended at  67 FR 5702 , Feb. 6, 2002]