priority oe redeemable preference shares

priority oe redeemable preference shares Sec. 213. Section 506(a)(2) of the Railroad Revitalization and Regulatory Reform Act of 1976 (45 U.S.C. 826(a)(2)) is amended— (1) in clause (i) thereof, by inserting immediately after “whenever issued,” the following; “except that the Secretary may make any such redeemable preference share subordinate to any common stock which was issued as a result of an exchange for securities which were senior in right to common stock, if (I) such exchange took place pursuant to a court-approved reorganization plan under section 77 of the Bankruptcy Act (11 U.S.C. 90 STAT. 2625205), and (II) the railroad subject to such reorganization plan was in reorganization under such section 77 prior to the date of enactment of this Act,”; (2) in clause (iii) thereof, by inserting immediately after “other than common stock” the following: “(except in those cases in which the Secretary has provided for subordination pursuant to clause (i) of this paragraph) which is”;