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Principal
$1,000,000.00
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Loan Date
04-07-2007
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Maturity
10-07-2008
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Loan No.
1673921
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Call/Coll
1
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Account
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Officer GSS
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Initials
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References
in the shaded area are for lenders use only and do not limit
applicability of this document to any particular loan or item.
Any item above containing “***” has been omitted
due to text length limitations.
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Borrower:
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Stationers, Inc.
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Lender:
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First Sentry Bank
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P.O. Box 2167
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P.O. Box 2107
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Huntington, WV 25701
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823 8
th
Street
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Huntington, WV 25721
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Principal Amount: $1,000,000.00 Initial Rate: 8.250% Date of Note:
April 7, 2007
PROMISE TO PAY. Stationers, Inc. (“Borrower”) promises
to pay to FIRST SENTRY BANK (“Lender”), or order, in
lawful money of the United States of America, the principal amount
of One Million & 00/100 Dollars ($1,000,000.00) or so much as
may be outstanding, together with interest on the unpaid
outstanding principal balance of each advance. Interest shall be
calculated from the date of each advance until repayment of each
advance.
PAYMENT. Borrower will pay this loan in one payment of all
outstanding principal plus all accrued unpaid interest on October
7, 2008. In addition, Borrower will pay regular monthly payments of
all accrued unpaid interest due as of each payment date, beginning
May 7 , 2007, with all subsequent interest payments to be due on
this same day of each month after that. Unless otherwise agreed or
required by applicable law, payments will be applied first to any
unpaid collection costs; then to any late charges; then to any
accrued unpaid interest; and then to principal. The annual interest
rate for this Note is computed on a 365/360 basis; that is, by
applying the ratio of the annual interest rate over a year of 360
days, multiplied by the outstanding principal balance, multiplied
by the actual number of days the principal balance is outstanding.
Borrower will pay Lender at Lender’s address shown above or
at such other place as Lender may designate in
writing .
VARIABLE INTEREST RATE .
The interest rate on this Note is subject to change from time to
time based on changes in an independent index which is the prime
rate as published in the Wall Street Journal (the
“Index”). The index is not necessarily the lowest rate
charged by Lender on its loans. If the index becomes unavailable
during the term of this loan, Lender may designate a substitute
index after notice to Borrower. Lender will tell Borrower the
current index rate upon Borrower’s request. The interest rate
change will not occur more often than each day. Borrower
understands that Lender may make loans based on other rates as
well.
The index currently is 8.250% per annum. The interest rate to be
applied to the unpaid principal balance of this Note will be at a
rate equal to the index, resulting in an initial rate of 8.250% per
annum. A
NOTICE: Under no circumstances will the interest rate on this note
be more than the maximum rate allowed by applicable
law.
PREPAYMENT .
Borrower may pay without penalty all or a portion of the amount
owed earlier than it is due. Early payments will not, unless agreed
to by Lender in writing, relieve Borrower or Borrowers obligation
to continue to make payments of accrued unpaid interest. Rather,
early payments will reduce the principal balance due. Borrower
agrees not to send Lender payments marked “paid in
full”, “without recourse”, or similar language.
If Borrower sends such a payment, Lender may accept it without
losing any of Lender’s rights under this Note, and Borrower
will remain obligated to pay any further amount owed to Lender. All
written communications concerning disputed amounts, including any
check or other payment instrument that indicates that the payment
constitutes “payment in full” of the amount owed or
that is tendered with other conditions or limitations or as full
satisfaction of a disputed amount must be mailed or delivered to:
FIRST SENTRY BANK, P.O. BOX 2107 HUNTINGTON, WV 25721.
LATE CHARGE .
If a payment is 10 days or more late, Borrower will be
charged
$25.00.
INTEREST AFTER DEFAULT .
Upon default, including failure to pay upon final maturity, the
total sum due under this Note will bear interest from the date of
acceleration or maturity at the variable interest rate on this
Note. The interest rate will exceed the maximum rate permitted by
applicable law.
DEFAULT .
Each of the following shall constitute an event of default
(“Event of Default”) under this Note:
Payment Default .
Borrower fails to make any payment when due under this
Note.
Other Defaults .
Borrower fails to comply with or to perform any other term,
obligation, covenant or condition contained in this Note or in any
of the related documents or to comply with or to perform any term,
obligation, covenant or condition contained in any other agreement
between Lender and Borrower.
False Statements .
Any warranty, representation, or statement made or furnished to
Lender by Borrower or on Borrower’s behalf under this Note or
the related documents is false or misleading in any material
respect, either now or at the time made or furnished or becomes
false or misleading at any time thereafter.
Insolvency. The
dissolution or termination of Borrower’s existence as a going
business, the insolvency of Borrower, the appointment of a receiver
for any part of Borrower’s property, any assignment for the
benefit of creditors, any type of creditor workout, or the
commencement of any proceeding under any bankruptcy or insolvency
laws by or ag
