EXHIBIT 4(n)
COMMERCIAL LINE OF CREDIT AGREEMENT AND NOTE
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NAME(S)/ADDRESS(ES) OF BORROWER(S) NAME/ADDRESS OF LENDER (CREDITOR)
("Borrower, I, My, or Me") ("Lender, You, or Your")
Hastings Manufacturing Company, Hastings City Bank
325 N. Hanover 150 W. Court St.
Hastings, MI 49058 Hastings, MI 49058
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NOTE NUMBER DATE OF TRANSACTION MATURITY DATE OFFICE
1-23-98 1-23-99 001
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For value received, on or before the Maturity Date, the undersigned
Borrower promises to pay the principal amount or such lesser sum as shall
have been advanced by Lender to Borrower under the line of credit
hereinafter described, together with interest, and any other charges,
including service charges, to the order of Lender at its address noted
above or holder, all in lawful money of the United States of America. The
undersigned further agrees to the terms below and on page two of this Note.
Words, numbers or phrases preceded by a box are applicable only if box is
checked.
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LINE OF CREDIT AMOUNT
One Million Five Hundred Thousand and 00/100 DOLLARS $1,500,000.00
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PAYMENT SCHEDULE:
Payments on this Line of Credit will be due as follows:
[ x ] interest only starting and payable [ x ] monthly [ ] quarterly
[ ]
[ x ] interest, principal and other charges due on Maturity Date.
[ ] other payment schedule
INTEREST RATE:
This Line of Credit is subject to [ ] A fixed interest rate of % per annum.
[ x ] A variable simple interest rate, which is
[ ] % greater than: [ ] equal to: [ x ] 1/2 % less than: the following
Index: Wall Street Journal Prime Rate
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Initial Simple Interest Rate Present Variable Index Rate
8.00% 8.5%
Minimum Interest Rate Maximum Interest Rate
N/A 25.00%
Interest Rate Changes May Occur Every:
As Index Changes
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INTEREST CALCULATED: [ x ] on a 365 Day Basis, [ ] on a 360 Day Basis, on
the unpaid principal balance for the actual days outstanding.
DEFAULT RATE: If in default the interest rate shall be: [ ] % per annum
[ x ] 1 1/2 % in excess of the Index.
LATE CHARGE: If Borrower is more than 10 days late in making any
payment, in addition to such payment, Borrower will pay a late charge of:
[ ] the lesser of [ ] the greater of [ x ] an amount equal to
[ x ] $25.00 or [ ] % of the payment in default
PAYABLE ON DEMAND: [ ] Payment is due upon demand
[ ] Payment is due upon demand, but in any event, not
later than Maturity Date.
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TERMS/ADVANCES: This Line of Credit is:
[ x ] OBLIGATORY: Lender will continue to make advances under
this Line of Credit unless: (a) the maximum amount on
this Line of Credit is outstanding; (b) the undersigned
has breached any of the promises contained in this
agreement or any other agreement noted below; (c) the
undersigned makes a request for an advance after the
Maturity Date noted above; (d) other:
[ ] DISCRETIONARY: Lender may refuse to make additional advances under
this Line of Credit for the following reasons: (a) the aggregated
advances under this Line of Credit exceeds $ (b) other
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[ x ] ADDITIONAL NOTE PROVISIONS:
Annual Report Due Within 105 Days of Year-End
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Security for this Line of Credit Agreement and Note, if any, By Way of
Description but not By Way of Limitation, is as follows:
Unsecured
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The Borrower expressly agrees to all the provisions hereof and signifies
assent thereto by the signature below.
IN WITNESS WHEREOF, THE BORROWER HAS EXECUTED THIS AGREEMENT ON THE DATE
AND YEAR SHOWN BELOW.
By: x /S/THOMAS J. BELLGRAPH Date: 1-23-98 By: x_____________ Date:________
Thomas J. Bellgraph
Its V.P. & Treasurer Its
By: x________________________ Date:_______ By: x_____________ Date:________
Its Its