Repository: UIHistories Project: Board of Trustees Minutes - 1948 [PAGE 994]

EXTRACTED TEXT FROM PAGE:

1948]

Principal A mount 14,000 14,000 H.000 H.ooo H.ooo

14,000

UNIVERSITY OF ILLINOIS Bond Numbers 303-316 incl 317-330 331-344 345-358 359-372

373-386

993

14,000

387-400

Maturity Dates March 1, 1957 .September 1, 1957 .March I, 1958 .September 1, 1958 .March 1, 1959 .September I, 1959 . March 1, 1960

Bonds numbered 1 to 211, inclusive, bearing interest at the rate of Three per cent (3%) per annum, and bonds numbered 212 to 400, inclusive, bearing interest at the rate of Two and One-half per cent ( 2 j 4 % ) per annum, interest payable September 1, 1948, and semi-annually thereafter on the first days of March and September in each year, said bonds being redeemable as a whole or in part in the inverse order in which they are numbered, prior to their maturity, on any interest payment date on or after March 1, 1951, and up to and including September I, IQ 53> at par and accrued interest and a premium of two per cent ( 2 % ) of the principal amount thereof, and a premium of one per cent ( 1 % ) of the principal amount thereof if redeemed on March 1, 1954, or on any interest payment date thereafter before maturity. Notice of redemption shall be given by publication at least once not less than thirty days prior to date of redemption, such publication to be made once in one newspaper published and of general circulation in the City of Chicago, Illinois; and Whereas the said bonds are payable both as to principal and interest solely from the net revenues to be derived from the operation of the said men's residence halls, the term "net revenues" as used herein meaning the gross revenues of the said building, less the reasonable cost of operating, insuring, maintaining and repairing the said men's residence halls; and Whereas the University has, in and by the said resolution, covenanted and agreed, for the benefit of the holders from time to time of the said bonds and the interest coupons thereto appertaining, that the net revenues of the said men's residence halls will be from time to time deposited with the Depositary and used only for the payment of the fees and expenses of the Depositary, principal of and the interest on the said bonds; and Whereas the University has, in and by the said resolution, further covenanted and agreed that it would execute and deliver a Deposit Agreement in the form and terms hereof: Now, therefore, in consideration of the premises and of the mutual covenants and agreements hereinafter set forth and pursuant to the terms and provisions of the said resolution, the University and the Depositary have agreed and do hereby agree as follows for the equal and proportionate benefit and security of the holders of the said bonds of the University and the interest coupons thereto appertaining; that is to say: SECTION I. The University covenants that proper books of record and account will be kept, in which full, true and correct entries will be made of all income, expenses and financial transactions of and in relation to the said men's residence halls, and that it will furnish to the Depositary, on or before September 1, 1948, for that period from March I, 1948, to June 30, 1948, and on or before September 1 in each year thereafter so long as any bonds remain outstanding, a statement certified as correct by the Comptroller and Treasurer of the University, showing the gross operating revenues, the operating expenses and the net revenues of the said men's residence halls for the twelve months' period ended on the next preceding June 30th. The Depositary shall have no duty to request any such information nor any duty relative to the statements from time to time furnished by the University, except to preserve the same for the inspection of the holders of the bonds during usual business hours. SECTION 2. The University has covenanted with the holders of the bonds hereinabove referred to that all of the revenues, income, receipts, profits, charges, fees, rents and returns derived from the said men's residence halls and the opera-