Compensatory mandates shall be allocated in the following manner:
a) Only political parties and coalitions, which won more than 3% of the total number of valid ballots for the territory of the entity for which the compensatory list is made, may take part in the distribution of compensatory mandates. First, the total number of mandates for the legislative body to be allocated for the territory of the respective Entity, reduced by the number of mandates won by independent candidates, is distributed according to the formula set forth in Article 9.5 of this Law.
b) From the number of mandates a list of a political party or coalition has won according to this procedure the number of mandates won by the same party or coalition, according to the procedure set forth in Article 9.5 of this Law, is deducted. The remaining number is the number of compensatory mandates the list wins.
c) If a political party or coalition receives a negative number of mandates according to the procedure set forth inpoint b), the political party or coalition keeps the mandates won in the constituencies, but does not receive any compensatory mandates. In case one or more lists get a negative number of mandates, the mandates to be distributed according to the procedure of this article is decreased correspondingly to preserve the correct number of mandates in the House of Representatives of the Parliamentary Assembly of BiH elected from the territory of the respective Entity.