Kentucky Revised Statutes Title XXV. Business and Financial Institutions § 286.3-350.When dividends may be declared

(2) The prior approval of the commissioner shall be required if the total of all dividends that a state bank or trust company intends to declare in any calendar year would exceed the total of its net profits of that year combined with its retained net profits of the preceding two (2) years, less any required transfers to surplus or a fund for the retirement of preferred stock or debt.