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Exhibit (13)
PURCHASE AGREEMENT
Investment Services For Education Associations Trust (the
"Trust"), a Delaware business trust, and Association of School Business
Officials International ("Buyer") hereby agree with each other as follows:
1. The Trust hereby offers Buyer and Buyer hereby purchases
150,000 shares of beneficial interest in the Trust's Money Market Fund (the
"Fund") (such shares in the Trust being hereinafter collectively known as
"Shares") in consideration for the payment of $150,000. Buyer hereby
acknowledges purchase of the Shares and the Trust hereby acknowledges receipt
from Buyer of fund in the amount of $150,000 in full payment for the Shares.
2. Buyer represents and warrants to the Trust that the Shares
are being acquired for investment purposes and not with a view to the
distribution thereof.
3. Costs incurred by the Trust in connection with its
organization, registration and the initial public offering of Shares have been
deferred and will be amortized on a straight-line basis over a period of five
years from the date upon which the Trust commences its investment activities. If
any of the original Shares purchased by Buyer hereunder are redeemed by any
holder thereof prior to the end of such period, the redemption proceeds will be
reduced by the pro rata share of the unamortized expenses as of the date of
redemption. The pro rata share by which the proceeds are reduced will be derived
by dividing the number of original Shares of the Fund being redeemed by the
total number of original Shares outstanding at the time of redemption. If, for
any reason, said reduction of redemption proceeds is not in fact made by the
Trust in the event of such a redemption, Buyer agrees to reimburse the Trust
immediately for any unamortized organizational expenses in the proportion stated
above.
4. This Agreement is executed by or on behalf of the Trust and
the obligations hereunder are not binding upon any of the Trustees, officers or
shareholders of the Trust individually but are binding only upon the Trust and
its assets and property.
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IN WITNESS WHEREOF, the parties hereto have executed this
Agreement as of day of July, 1997.
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(SEAL)
INVESTMENT SERVICES FOR EDUCATION
ASSOCIATIONS TRUST
By:
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Name: Xxxxxx X. Xxxxxx
Title: President
ASSOCIATION OF SCHOOL BUSINESS
OFFICIALS INTERNATIONAL
By:
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Name:
Title: