Given the severe economic and financial circumstances facing U.S. banks, a question is raised regarding whether regulators should require them to suspend distributions of capital to investors. This would include bank dividends, stock buybacks, and distributions related to executive bonuses. I find it all too familiar that the focus is on what reluctant regulators should do rather than what bank managers must do to withstand the recession and contribute to the economy’s recovery. How they choose to conserve and use capital will influence how well matters end.