1
NOTE AND SECURITY AGREEMENT
Date: January 2, 1995
Maker: Champion Communication Services, Inc.
Payee: Champion Communications Company
Place for Payment (include county): Champion Communications Company
0000 Xxxxxx, Xxxxx 000
Xxxxxx, Xxxxxx Xxxxxx, Xxxxx 00000
Principal Amount: Three Million, One Hundred Seventy-Seven Thousand Five
Hundred Five Dollars ($3,177,505)
Annual Interest Rate on Unpaid Principal from Date of Funding: The Prime Rate
as set forth from time to time in The Wall Street Journal.
Terms of Payment (principal and interest): The entire principal amount plus
accrued interest shall be paid on demand, and if no demand previously has been
made, on the one-year anniversary date hereof.
Annual Interest Rate on Matured, Unpaid Amounts: Twelve percent (12%) per annum
Maker promises to pay to the order of Payee at the place for payment
and according to the terms of payment the principal amount plus interest at the
rates stated above. All unpaid amounts shall be due by the final scheduled
payment date.
On default in the payment of this Note or in the performance of any
obligation in any instrument securing or collateral to it, this Note and all
obligations in all instruments securing or collateral to it shall become
immediately due at the election of Payee. Maker and each surety, endorser, and
guarantor waive all demands for payment, presentations for payment, notices of
intention to accelerate maturity, protests, and notices of protest.
If this Note or any instrument securing or collateral to it is given
to an attorney for collection or enforcement, or if suit is brought for
collection or enforcement, or if it is collected or enforced through probate,
bankruptcy, or other judicial proceeding, then Maker shall pay Payee reasonable
attorney's fees in addition to other amounts due.
Nothing in this Note shall authorize the collection of interest in
excess of the highest rate allowed by law.
Each Maker is responsible for the entire amount of this Note.
Maker hereby grants to Payee a security interest in and to 1,235
community repeaters, and 264 community repeaters acquired by Maker from
Motorola, Inc. on November 1, 1994 and December 1, 1994, respectively, together
with all assets related to the operation thereof, to secure the indebtedness
evidenced hereby. This Note shall additionally constitute a security agreement
for purposes of the Texas Uniform Commercial Code. In the event Payee defaults
in the payment of this Note, Payee shall be entitled to all rights and remedies
of a secured party under the Texas Uniform Commercial Code.
The terms Maker and Payee and other nouns and pronouns include the
plural if more than one.
CHAMPION COMMUNICATION SERVICES, INC.
By: /s/ Xxxxxx X. Xxxxxxxx
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Printed Name: Xxxxxx X. Xxxxxxxx
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Address: 0000 Xxxxx, Xxxxx 0000
Xxxxxxx, Xxxxx 00000
