PROJECT DESIGNATION:
TENNESSEE 521-T8 DEKALB
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MORTGAGE NOTE
made by
DEKALB TELEPHONE COOPERATIVE
to
UNITED STATES OF AMERICA
MORTGAGE NOTE
Alexandria, Tennessee
June 23, 1980
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DEKALB TELEPHONE COOPERATIVE (hereinafter called the "Corporation"), a
corporation organized and existing under the laws of the State of Tennessee,
for value received, promises to pay to the order of UNITED STATES OF AMERICA
(hereinafter called the "Government"), acting through the Administrator of
the Rural Electrification Administration, at the United States Treasury,
Washington, D. C., at the times and in the manner hereinafter provided, the
sum of seven million three hundred twenty-seven thousand dollars
($7,327,000), with interest on the amount thereof advanced by the Government,
pursuant to a certain telephone loan contract, dated as of October 15, 1951,
between the Government and the Corporation, as the same may have been amended
from time to time (said loan contract, as it may have been amended, being
hereinafter called the "Loan Contract"), and remaining unpaid from time to
time, at the rate of five (5) per centum per annum.
Interest on principal advanced pursuant to the Loan Contract and
remaining unpaid shall be payable quarterly, on the last day of January,
April, July, and October, of each year for a period ending on a date three
(3) years after the date hereof. Thereafter, to and including a date thirty-
five (35) years after the date hereof, the Corporation shall make a payment
on each of said quarterly dates in each year at the rate of $15.70 per $1,000
of the principal amount hereof advanced pursuant to the Loan Contract and
unpaid three (3) years after the date hereof.
Interest on principal advanced pursuant to the Loan Contract between
a date three (3) years and a date six (6) years after the date hereof and
remaining unpaid shall be payable on each of said quarterly payment dates for
a period ending six (6) years after the date hereof. Thereafter, to and
including a date thirty-five (35) years after the date hereof, the
Corporation shall make a payment on each of said quarterly payment dates at
the rate of $16.38 per $1,000 of the principal amount advanced pursuant to
the Loan Contract between three (3) and six (6) years after the date hereof
and unpaid six (6) years after the date hereof. This payment shall be in
addition to the payment made on the principal amount advanced and unpaid
three (3) years after the date hereof.
Each payment made on this Note shall be applied first to the payment
of interest on principal and then on account of principal. Thirty-five (35)
years after the date hereof, the principal hereof advanced pursuant to the
Loan Contract remaining unpaid, if any, and interest thereon, shall become
due and payable.
The Corporation on any payment date, as hereinabove provided, may pay
all or any part of the principal hereof then advanced pursuant to the Loan
Contract and remaining unpaid, but so long as any of the principal hereof
advanced pursuant to the Loan Contract shall remain unpaid, the Corporation
shall be obligated to make the quarterly payment on account of principal and
interest, in the amount hereinabove provided, unless the Corporation and the
holder of this Note shall otherwise agree.
This Note has been executed and delivered pursuant to and is secured
by a certain mortgage, dated as of April 27, 1976, made by the Corporation to
the Government, as the same may have been amended or supplemented by any
supplemental mortgage or supplemental mortgages (said mortgage and any such
supplemental mortgage or supplemental mortgages being hereinafter
collectively called the "Mortgage"), and is one of several notes (hereinafter
called the "notes") permitted to be executed and delivered by the Corporation
pursuant to the Mortgage. The Mortgage provides that all notes shall be
equally and ratably secured thereby and reference is hereby made to the
Mortgage for a description of the property mortgaged and pledged, the nature
and extent of the security and the rights of the holders of notes with
respect thereto.
In case of default by the Corporation, as provided in the Mortgage,
all principal advanced pursuant to the Loan Contract and remaining unpaid, on
this Note and any other notes at the time outstanding, and all interest
thereon, may be declared or may become due and payable in the manner and with
the effect provided in the Mortgage.
This Note evidences indebtedness created by a loan made under the
Rural Electrification Act of 1936, as amended, including Public Law 93-32.
If the Government shall at any time assign this Note and insure the
payment hereof, the Corporation shall continue to make payments hereunder to
the Government as collection agent for the insured holder, and, for purposes
of the Mortgage, the Government, and not such insured holder, shall be
considered to be, and shall have the rights of, the noteholder.
If the Government, at any time prior to the advance of the entire
principal amount hereof on account of this Note, shall make a written
endorsement hereon stating the amount advanced on account of the principal
hereof, and shall notify the Corporation, in writing, of such endorsement,
then the principal amount of this Note shall be deemed to be and shall become
reduced to the amount specified in such endorsement, and the Corporation
shall then execute and deliver to the Government one or more additional
notes, in an amount or amounts designated by the Government which in the
aggregate shall be equal to the then unadvanced portion of the original
principal amount of this Note, such additional notes to be dated currently
when executed, to be in the same form, and to bear the same interest rate, as
this Note. The Corporation, upon the request therefor in writing by the
Government, shall execute and deliver to the Government two or more notes, in
substitution for this Note, in the same form and bearing the same interest
rate and date (except that any such substitute note which will evidence only
an unadvanced portion of this Note may, at the discretion of the Government,
be dated currently when executed), in an aggregate principal amount which
shall be equal to the principal amount of this Note, but in such individual
principal amounts as the Government shall request; provided that (i) all
payments which shall have been made on account of the principal of and
interest on this Note shall be credited on account of such substitute notes
and (ii) the Government shall return this Note to the Corporation upon
receipt of such substitute notes.
IN WITNESS WHEREOF the Corporation has caused this Note to be signed
in its corporate name and its corporate seal to be hereunto affixed and
attested by its officers thereunto duly authorized, all as of the day and
year first above written.
DEKALB TELEPHONE COOPERATIVE
by /s/ ▇▇▇▇▇▇▇ ▇▇▇▇
President
(SEAL)
Attest: /s/ ▇▇▇▇▇▇ ▇▇▇▇▇▇
Secretary
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