(1) A corporation may acquire its own shares, and, except as provided by section 7-117-101 (6), shares so acquired constitute authorized but unissued shares.
(2) If the articles of incorporation prohibit the reissuance of acquired shares:
The number of authorized shares is reduced by the number of shares acquired by thecorporation, effective upon amendment to the articles of incorporation; and
The corporation shall deliver to the secretary of state, for filing pursuant to part 3 ofarticle 90 of this title, articles of amendment to the articles of incorporation, which are effective without shareholder action, that state:
The domestic entity name of the corporation;
The reduction in the number of authorized shares, itemized by class and series; and
The total number of authorized shares, itemized by class and series, remaining afterreduction of the shares.
Source: L. 93: Entire article added, p. 762, § 1, effective July 1, 1994. L. 2002: IP(2)(b) amended, p. 1847, § 109, effective July 1; IP(2)(b) amended, p. 1712, § 109, effective October 1. L. 2003: IP(2)(b) and (2)(b)(I) amended, p. 2317, § 233, effective July 1, 2004.