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PROMISSORY NOTE

Promissory Note

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This Promissory Note involves

MGP INGREDIENTS INC

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Title: PROMISSORY NOTE
Date: 9/11/2009
Industry: Food Processing     Sector: Consumer/Non-Cyclical

PROMISSORY NOTE, Parties: mgp ingredients inc
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Exhibit 4.4

 

LOAN NUMBER

 

LOAN NAME

 

ACCT. NUMBER

 

NOTE DATE

 

INITIALS

 

 

 

 

 

 

 

 

 

 

 

MGP INGREDIENTS, INC -

 

 

 

04/15/09

 

DMW/CML

 

 

 

 

 

 

 

 

 

NOTE AMOUNT

 

INDEX (w/Margin)

 

RATE

 

MATURITY DATE

 

LOAN PURPOSE

 

 

 

 

 

 

 

 

 

$

2,800,000.00

 

Not Applicable

 

7.000

%

09/03/09

 

Commercial

 

Creditor Use Only

 

PROMISSORY NOTE

(Commercial - Single Advance)

 

DATE AND PARTIES.   The date of this Promissory Note (Note) is April 15, 2009.  The parties and their addresses are:

 

LENDER:

EXCHANGE NATIONAL BANK & TRUST CO.

600 COMMERCIAL ST

ATCHISON, Kansas 66002

Telephone: 913-387-6000

 

BORROWER:
MGP INGREDIENTS, INC

a Kansas Corporation
P O BOX 130
ATCHISON, KS 66002

 

1.     DEFINITIONS.   As used in this Note, the terms have the following meanings:

 

A.    Pronouns.   The pronouns “I,” “me,” and “my” refer to each Borrower signing this Note, individually and together. “You” and “Your” refer to the, Lender.

 

B.    Note.   Note refers to this document, and any extensions, renewals, modifications and substitutions of this Note.

 

C.    Loan.   Loan refers to this transaction generally, including obligations and duties arising from the terms of all documents prepared or submitted for this transaction such as applications, security agreements, disclosures or notes, and this Note.

 

D.    Loan Documents.   Loan Documents refer to all the documents executed as a part of or in connection with the Loan.

 

E.     Property.   Property is any property, real, personal or intangible, that secures my performance of the obligations of this Loan.

 

F.     Percent.   Rates and rate change limitations are expressed as annualized percentages.

 

2.     PROMISE TO PAY.   For value received, I promise to pay you or your order, at your address, or at such other location as you may designate, the principal sum of $2,800,000.00 (Principal) plus interest from April 15, 2009 on the unpaid Principal balance until this Note matures or this obligation is accelerated.

 

3.     INTEREST.   Interest will accrue on the unpaid Principal balance of this Note at the rate of 7.000 percent (Interest Rate).

 

A.    Post-Maturity Interest.   After maturity or acceleration, interest will accrue on the unpaid Principal balance of this Note at the Interest Rate in effect from time to time, until paid in full.

 

B.    Maximum Interest Amount.   Any amount assessed or collected as interest under the terms of this Note will be limited to the maximum lawful amount of interest allowed by state or federal law, whichever is greater.  Amounts collected in excess of the maximum lawful amount will be applied first to the unpaid Principal balance. Any remainder will be refunded to me.

 

C.    Statutory Authority.   The amount assessed or collected on this Note is authorized by the Kansas usury laws under Kan. Stat. Ann. § 16-207.

 

D.    Accrual.   Interest accrues using an Actual/365 days counting method.

 

4.     REMEDIAL CHARGES.   In addition to interest or other finance charges, I agree that I will pay these additional fees based on my method and pattern of payment.  Additional remedial charges may be described elsewhere in this Note.

 

A.    Late Charge.   If a payment is more than 10 days late, I will be charged 5.000 percent of the Unpaid Portion of Payment.  I will pay this late charge promptly but only once for each late payment.

 

B.    Returned Payment Charges.   A(n) Returned Payment Charges equal to $30.00.

 

5.     PAYMENT.   I agree to pay this Note in installments of accrued interest beginning May 3, 2009, and then on the 3rd day of each month thereafter.  I agree to pay the entire unpaid Principal and any accrued but unpaid interest on September 3, 2009.

 

Payments will be rounded to the nearest $.01.  With the final payment I also agree to pay any additional fees or charges owing and the amount of any advances you have made to others on my behalf.  Payments scheduled to be paid on the 29th, 30th or 31st day of a month that contains no such day will, instead, be made on the last day of such month.

 

Each payment I make on this Note will be applied first to Interest that is due, then to principal that is due, and finally to any charges that I owe other than principal and finance charges.  If you and I agree to a different application of payments, we will describe our agreement on this Note.  You may change how payments are applied in your sole discretion without notice to me.  The actual amount of my final payment will depend on my payment record.

 

6.     PREPAYMENT.   I may prepay this Loan in full or in part at any time.  Any partial prepayment will not excuse any later scheduled payments until I pay in full.

 

7.     LOAN PURPOSE.   This is a business-purpose loan transaction.

 

8.     SECURITY.   The Loan is secured by separate security instruments prepared together with this Note as follows:

 

A LEASEHOLD MORTGAGE DATED APRIL 15, 2009 ON THE PROPERTY LOCATED AT 100 COMMERCIAL ST AND 200 COMMERCIAL ST; ATCHISON, KS.

 

A MORTGAGE DATED APRIL 15, 2009 ON THE PROPERTY LOCATED AT 1301 SOUTH FRONT STREET; PEKIN, IL.

 

A PLEDGE AND SECURITY AGREEMENT RELATING TO THE BOND ISSUED TO BORROWER IN CONNECTION WITH ISSUANCE BY THE CITY OF ATCHISON, KANSAS OF ITS TAXABLE INDUSTRIAL REVENUE BONDS (MGP INGREDIENTS PROJECT), SERIES 2006.

 

9.     DEFAULT.   I will be in default if any of the following occur:

 

A.    Payments.   I fail to make a payment in full when due.

 

MGP INGREDIENTS, INC.

 

 

Kansas Promissory Note

 

Initials

 

KS/4CHRISTIN00000000000111050041309N

©1996 Bankers System, Inc., St. Cloud, MN  

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