Cal. Code Regs. tit. 10 § 105.102
Notwithstanding any other provision, associations intending to reinvest sale proceeds in similar type assets may account for gains and losses on the sale, exchange or other disposition of real loans, manufactured home chattel paper, securities, redeemable ground-rent leases, or redeemable preferred stock which has a fixed date for redemption in a fixed dollar amount or a fixed schedule of periodic payments with a remaining term to maturity of at least five years, by providing for deferral of recognition and amortization of any gain or loss (net of related income taxes computed in accordance with generally accepted accounting principles) over a period not to exceed the average of the remaining terms to maturity of the disposed loans or securities. In the case of redeemable ground leases, the period must not exceed 40 years, with the yield calculated to reflect the length of the amortization period. Any unamortized deferred gain or loss will be carried in a separate account.
Cal. Code Regs. Tit. 10, § 105.102
Note: Authority cited: Section 5255, Financial Code. Reference: Section 7102, 8701, 8703, 8708, 8750, 8751 and 8752, Financial Code.