EXHIBIT 10.07
SUBORDINATED NOTE
DATE: December 2, 0000
XXXXXX: $90,000
RATE: 9%
TERM: 2 YEARS
THIS AGREEMENT, dated December 2, 1996, between Xxxxx Xxxxx of 00 Xxxxx Xxx
Xxxxx, Xxxxxx Xxxxxxxxxxx 00000 (hereinafter referred to as "Xxxxx") and Marine
Management Systems, Inc. (hereinafter referred to as "MMS"), a Delaware
Corporation having its chief executive office at 000 Xxxx Xxxxxx, Xxxxxxxx,
Xxxxxxxxxxx 00000,
WITNESSETH:
1. The Loan
Pursuant to the terms of this Agreement, Xxxxx does hereby loan $90,000 to
MMS, the receipt of proceeds of which are hereby acknowledged. This loan is
part of a series of loans made from MMS officers to MMS on this date in the
aggregate amount of $166,000.
2. Interest
The principal balance of the loan shall bear interest at a per annum rate
of 9%.
3. Payment of Interest
Interest will be paid quarterly in arrears, with first payment on March 2,
1997.
4. Term of Loan
The term of the loan is two years, subject to the terms and conditions of
clauses 5 and 6 herein.
Subordinated Note
December 2, 1996
Page 2
5. Subordination of Note; Payment of Principal
This Notes is subordinated to all loans now existing or to exist from
People's Bank, Connecticut Innovations, Inc., as well as any other loans to
the Company made from time to time, with the exception of the series of
notes made on this date by certain officers of MMS totaling $166,000 and
the prior notes held by Xxxxxx Story and Xxxxxx X. Xxxxx in the aggregate
amount of $500,000. No principal may be paid on the Note without the prior
approval of all parties with indebtedness Senior to this note.
6. Collateral
Subject to any prior liens, or collateral securing other indebtedness of
MMS, as well as any outstanding security agreements, running in favor of
third parties, the loan is secured by the general assets of MMS.
This loan agreement is entered into on this 2nd day of December, 1996.
MARINE MANAGEMENT SYSTEMS, INC.
BY: /s/ Xxxxxx X. Story /s/ Xxxxxx X. Xxxxx
--------------------------- ----------------------------
President Xxxxxx X. Xxxxx
