EXHIBIT 10.71
IGI, INC.
PROMISSORY NOTE
$245,556 Trenton,
New Jersey
IGI, INC. (the "Borrower") a corporation organized and existing under
the laws of the State of Delaware acknowledges itself indebted and for
value received hereby promises to pay the order of the NEW JERSEY ECONOMIC
DEVELOPMENT AUTHORITY (the "Authority") and its successors and assigns, the
principal sum of Two Hundred Forty-Five Thousand Five Hundred Fifty-Six
Dollars ($245,556), together with interest on the unpaid principal balance
thereof from the date hereof until the Borrower's obligations with respect
to the payment of such sum shall be discharged at a fixed rate of interest
of five percent (5%) per annum. Interest charges shall be computed
hereunder on the basis of a 360 day year, counting the actual number of
days elapsed.
This Note is issued to evidence the obligation of the Borrower under
and pursuant to, and shall be governed by and construed in accordance with
the terms and conditions of the Loan Agreement (the "Agreement") between
the Authority and the Borrower dated as of January 10, 2002 for the
repayment of the loan made by the Authority to the Borrower thereunder and
payment of interest thereon. Terms referred to herein have the same meaning
as defined in the Agreement. This Note is secured by a mortgage bearing
even date herewith, executed by the Borrower as Mortgagor and delivered to
the Authority as Mortgagee on real property located in Buena, New Jersey.
This Note is payable in one hundred twenty (120) equal monthly
installments of principal and interest in the sum of $2,612.95 commencing
on February 1, 2002 and on the first day of each succeeding month and
terminating if not sooner paid, as herein provided on January 1, 2012. Such
installments shall be applied first to payment of interest then due on the
unpaid principal amount and the remaining balance of each such installment
to be applied to the payment and reduction of the unpaid principal amount
of this Note. The amount payable as the final installment may be such
greater or lesser amount as shall be equal to the actual principal amount
of this Note remaining unpaid together with interest thereon then due and
unpaid. It is specifically understood and agreed that the Borrower shall
make payments on this Note based on amounts actually disbursed pursuant to
the Agreement.
Payments hereon are to be made in lawful money of the United States
of America to the New Jersey Economic Development Authority (P13379), P.O.
Box 18641, Newark, New Jersey 07191-8641, or such
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other place as the Authority may designate, on each due date provided above,
in an amount which will equal the amount payable as interest and principal on
this Note.
The Borrower agrees to make the payments on this Note on the dates
and in the amounts specified herein and in the Agreement and in addition
agrees to make such other payments as are required pursuant to the
Agreement. A late charge of five percent (5%) of the monthly payment shall
be due and payable on any monthly payment past due seven (7) days or more.
However, in the event that this late charge is found unenforceable by a
court of law, the Borrower shall pay actual damages to the Authority which
shall include but not be limited to the loss of use of the delinquent
payment(s) and administrative costs in monitoring the default by the
Borrower. Administrative costs include but are not limited to attempts to
contact the Borrower via written and letter correspondence, generating and
reviewing the delinquency reports, evaluating the delinquent account,
evaluating the credit file, entering relevant information into the
Authority's file and/or computer, relaying information to management and
different departments, notifying and reporting to management and different
departments. In the event of default in the Agreement, the principal of and
interest on this Note may be declared immediately due and payable as
provided in the Agreement. This Note may be canceled, amended or
supplemented as provided in the Agreement.
The Borrower may prepay this Note in whole at any time or in part on
any payment date without penalty. Partial payments shall be applied to the
last maturing payments due on this Note, shall be in one or more increments
of the monthly amount due, shall not extend or postpone the due date of any
subsequent monthly installment or change the amounts of such installments.
In any such case, the final payment on this Note shall be a sum sufficient,
together with other funds deposited with the Authority and available for
such purpose, to redeem all of this Note then outstanding at the principal
amount thereof plus accrued interest to the date of payment and to pay all
reasonable and necessary fees and expenses of the Authority accrued and to
accrue through final payment for this Note. At the acceleration,
termination or expiration of the term of this Note and following full
payment of this Note and all other fees and charges in accordance with the
provisions of the Agreement, the Authority shall deliver to the Borrower
any documents and take such actions as may be necessary to effectuate the
cancellation of this Note and evidence the termination of the Agreement.
Notwithstanding the above, the actual principal amount of this Note
remaining unpaid together with interest thereon shall be immediately due
and payable upon the transfer of ownership of the Project Site.
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Borrower waives any right to trial by jury on any claim, demand,
action or cause of action arising under this Note or the transactions
related hereto, in each case whether sounding in contract or tort or
otherwise. Borrower agrees and consents that any such claim, demand, action
or cause of action shall be decided by court trial without a jury, and that
any party to this Note may file an original counterpart or a copy of this
section with any court as written evidence of the consent of the Borrower
to the waiver of its right to trial by jury. Borrower acknowledges that it
has had the opportunity to consult with counsel regarding this section,
that it fully understands its terms, content and effect, and that it
voluntarily and knowingly agrees to the terms of this section.
IN WITNESS WHEREOF, IGI INC. has caused this Note to be executed on
its name and on its behalf by its authorized officers by their manual
signatures as of this 10th day of January, 2002.
ATTEST: IGI, INC.
By: /s/ Domenic N. Golato By: /s/ John Ambrose
--------------------------- --------------------------------
Domenic N. Golato John Ambrose
Secretary President and Chief
Executive Officer
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******Amortization Schedule******
Schedule for New Loan
Loan Type A: Straight Term, Rate: 5.00
Terms: 120 Months Closing Date: 01/07/2002, Amortized over: 120 mos
Outstanding Principal: 245,556.00 1st Payment Interest Adjustment: (204.63)
Standard Payment: 2,612.95
Notice: This is a valid amortization schedule only if the loan status
remains current.
Starting Interest Principal Ending
Payment Payment Principal Monthly Payment Payment Principal
Number Date Balance Payment Due Due Balance
1. 02/01/2002 245,556.00 2,408.32 852.63 1,555.69 244,000.31
2. 03/01/2002 244,000.31 2,612.95 948.89 1,664.06 242,336.25
3. 04/01/2002 242,336.25 2,612.95 1,043.39 1,569.56 240,766.69
4. 05/01/2002 240,766.69 2,612.95 1,003.19 1,609.76 239,156.93
5. 06/01/2002 239,156.93 2,612.95 1,029.70 1,583.25 237,573.68
6. 07/01/2002 237,573.68 2,612.95 989.89 1,623.06 235,950.62
7. 08/01/2002 235,950.62 2,612.95 1,015.90 1,597.05 234,353.57
8. 09/01/2002 234,353.57 2,612.95 1,009.02 1,603.93 232,749.64
9. 10/01/2002 232,749.64 2,612.95 969.79 1,643.16 231,106.48
10. 11/01/2002 231,106.48 2,612.95 995.04 1,617.91 229,488.57
11. 12/01/2002 229,488.57 2,612.95 956.20 1,656.75 227,831.82
12. 01/01/2003 227,831.82 2,612.95 980.94 1,632.01 226,199.81
13. 02/01/2003 226,199.81 2,612.95 973.92 1,639.03 224,560.78
14. 03/01/2003 224,560.78 2,612.95 873.29 1,739.66 222,821.12
15. 04/01/2003 222,821.12 2,612.95 959.37 1,653.58 221,167.54
16. 05/01/2003 221,167.54 2,612.95 921.53 1,691.42 219,476.12
17. 06/01/2003 219,476.12 2,612.95 944.97 1,667.98 217,808.14
18. 07/01/2003 217,808.14 2,612.95 907.53 1,705.42 216,102.72
19. 08/01/2003 216,102.72 2,612.95 930.44 1,682.51 214,420.21
20. 09/01/2003 214,420.21 2,612.95 923.20 1,689.75 212,730.46
21. 10/01/2003 212,730.46 2,612.95 886.38 1,726.57 211,003.89
22. 11/01/2003 211,003.89 2,612.95 908.49 1,704.46 209,299.43
23. 12/01/2003 209,299.43 2,612.95 872.08 1,740.87 207,558.56
24. 01/01/2004 207,558.56 2,612.95 893.65 1,719.30 205,839.26
25. 02/01/2004 205,839.26 2,612.95 886.25 1,726.70 204,112.56
26. 03/01/2004 204,112.56 2,612.95 822.12 1,790.83 202,321.73
27. 04/01/2004 202,321.73 2,612.95 871.11 1,741.84 200,579.89
28. 05/01/2004 200,579.89 2,612.95 835.75 1,777.20 198,802.69
29. 06/01/2004 198,802.69 2,612.95 855.96 1,756.99 197,045.70
30. 07/01/2004 197,045.70 2,612.95 821.02 1,791.93 195,253.77
31. 08/01/2004 195,253.77 2,612.95 840.68 1,772.27 193,481.50
32. 09/01/2004 193,481.50 2,612.95 833.05 1,779.90 191,701.60
33. 10/01/2004 191,701.60 2,612.95 798.76 1,814.19 189,887.41
34. 11/01/2004 189,887.41 2,612.95 817.57 1,795.38 188,092.03
35. 12/01/2004 188,092.03 2,612.95 783.72 1,829.23 186,262.80
36. 01/01/2005 186,262.80 2,612.95 801.96 1,810.99 184,451.81
37. 02/01/2005 184,451.81 2,612.95 794.17 1,818.78 182,633.03
38. 03/01/2005 182,633.03 2,612.95 710.24 1,902.71 180,730.32
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39. 04/01/2005 180,730.32 2,612.95 778.14 1,834.81 178,895.51
40. 05/01/2005 178,895.51 2,612.95 745.40 1,867.55 177,027.96
41. 06/01/2005 177,027.96 2,612.95 762.20 1,850.75 175,177.21
42. 07/01/2005 175,177.21 2,612.95 729.91 1,883.04 173,294.17
43. 08/01/2005 173,294.17 2,612.95 746.13 1,866.82 171,427.35
44. 09/01/2005 171,427.35 2,612.95 738.09 1,874.86 169,552.49
45. 10/01/2005 169,552.49 2,612.95 706.47 1,906.48 167,646.01
46. 11/01/2005 167,646.01 2,612.95 721.81 1,891.14 165,754.87
47. 12/01/2005 165,754.87 2,612.95 690.65 1,922.30 163,832.57
48. 01/01/2006 163,832.57 2,612.95 705.39 1,907.56 161,925.01
49. 02/01/2006 161,925.01 2,612.95 697.18 1,915.77 160,009.24
50. 03/01/2006 160,009.24 2,612.95 622.26 1,990.69 158,018.55
51. 04/01/2006 158,018.55 2,612.95 680.36 1,932.59 156,085.96
52. 05/01/2006 156,085.96 2,612.95 650.36 1,962.59 154,123.37
53. 06/01/2006 154,123.37 2,612.95 663.59 1,949.36 152,174.01
54. 07/01/2006 152,174.01 2,612.95 634.06 1,978.89 150,195.12
55. 08/01/2006 150,195.12 2,612.95 646.67 1,966.28 148,228.84
56. 09/01/2006 148,228.84 2,612.95 638.21 1,974.74 146,254.10
57. 10/01/2006 146,254.10 2,612.95 609.39 2,003.56 144,250.54
58. 11/01/2006 144,250.54 2,612.95 621.08 1,991.87 142,258.67
59. 12/01/2006 142,258.67 2,612.95 592.74 2,020.21 140,238.46
60. 01/01/2007 140,238.46 2,612.95 603.80 2,009.15 138,229.31
61. 02/01/2007 138,229.31 2,612.95 595.15 2,017.80 136,211.51
62. 03/01/2007 136,211.51 2,612.95 529.71 2,083.24 134,128.27
63. 04/01/2007 134,128.27 2,612.95 577.50 2,035.45 132,092.82
64. 05/01/2007 132,092.82 2,612.95 550.39 2,062.56 130,030.26
65. 06/01/2007 130,030.26 2,612.95 559.85 2,053.10 127,977.16
66. 07/01/2007 127,977.16 2,612.95 533.24 2,079.71 125,897.45
67. 08/01/2007 125,897.45 2,612.95 542.06 2,070.89 123,826.56
68. 09/01/2007 123,826.56 2,612.95 533.14 2,079.81 121,746.75
69. 10/01/2007 121,746.75 2,612.95 507.28 2,105.67 119,641.08
70. 11/01/2007 119,641.08 2,612.95 515.12 2,097.83 117,543.25
71. 12/01/2007 117,543.25 2,612.95 489.76 2,123.19 115,420.06
72. 01/01/2008 115,420.06 2,612.95 496.95 2,116.00 113,304.06
73. 02/01/2008 113,304.06 2,612.95 487.84 2,125.11 111,178.95
74. 03/01/2008 111,178.95 2,612.95 447.80 2,165.15 109,013.80
75. 04/01/2008 109,013.80 2,612.95 469.36 2,143.59 106,870.21
76. 05/01/2008 106,870.21 2,612.95 445.29 2,167.66 104,702.55
77. 06/01/2008 104,702.55 2,612.95 450.80 2,162.15 102,540.40
78. 07/01/2008 102,540.40 2,612.95 427.25 2,185.70 100,354.70
79. 08/01/2008 100,354.70 2,612.95 432.08 2,180.87 98,173.83
80. 09/01/2008 98,173.83 2,612.95 422.69 2,190.26 95,983.57
81. 10/01/2008 95,983.57 2,612.95 399.93 2,213.02 93,770.55
82. 11/01/2008 93,770.55 2,612.95 403.73 2,209.22 91,561.33
83. 12/01/2008 91,561.33 2,612.95 381.51 2,231.44 89,329.89
84. 01/01/2009 89,329.89 2,612.95 384.61 2,228.34 87,101.55
85. 02/01/2009 87,101.55 2,612.95 375.02 2,237.93 84,863.62
86. 03/01/2009 84,863.62 2,612.95 330.03 2,282.92 82,580.70
87. 04/01/2009 82,580.70 2,612.95 355.56 2,257.39 80,323.31
88. 05/01/2009 80,323.31 2,612.95 334.68 2,278.27 78,045.04
89. 06/01/2009 78,045.04 2,612.95 336.03 2,276.92 75,768.12
90. 07/01/2009 75,768.12 2,612.95 315.70 2,297.25 73,470.87
91. 08/01/2009 73,470.87 2,612.95 316.33 2,296.62 71,174.25
92. 09/01/2009 71,174.25 2,612.95 306.44 2,306.51 68,867.74
93. 10/01/2009 68,867.74 2,612.95 286.95 2,326.00 66,541.74
94. 11/01/2009 66,541.74 2,612.95 286.50 2,326.45 64,215.29
95. 12/01/2009 64,215.29 2,612.95 267.56 2,345.39 61,869.90
96. 01/01/2010 61,689.90 2,612.95 266.38 2,346.57 59,523.33
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97. 02/01/2010 59,523.33 2,612.95 256.28 2,356.67 57,166.66
98. 03/01/2010 57,166.66 2,612.95 222.31 2,390.64 54,776.02
99. 04/01/2010 54,776.02 2,612.95 235.84 2,377.11 52,398.91
100. 05/01/2010 52,398.91 2,612.95 218.33 2,394.62 50,004.29
101. 06/01/2010 50,004.29 2,612.95 215.30 2,397.65 47,606.64
102. 07/01/2010 47,606.64 2,612.95 198.36 2,414.59 45,192.05
103. 08/01/2010 45,192.05 2,612.95 194.58 2,418.37 42,773.68
104. 09/01/2010 42,773.68 2,612.95 184.16 2,428.79 40,344.89
105. 10/01/2010 40,344.89 2,612.95 168.10 2,444.85 37,900.04
106. 11/01/2010 37,900.04 2,612.95 163.18 2,449.77 35,450.27
107. 12/01/2010 35,450.27 2,612.95 147.71 2,465.24 32,985.03
108. 01/01/2011 32,985.03 2,612.95 142.02 2,470.93 30,514.10
109. 02/01/2011 30,514.10 2,612.95 131.38 2,481.57 28,032.53
110. 03/01/2011 28,032.53 2,612.95 109.02 2,503.93 25,528.60
111. 04/01/2011 25,528.60 2,612.95 109.91 2,503.04 23,025.56
112. 05/01/2011 23,025.56 2,612.95 95.94 2,517.01 20,508.55
113. 06/01/2011 20,508.55 2,612.95 88.30 2,524.65 17,983.90
114. 07/01/2011 17,983.90 2,612.95 74.93 2,538.02 15,445.88
115. 08/01/2011 15,445.88 2,612.95 66.50 2,546.45 12,899.43
116. 09/01/2011 12,899.43 2,612.95 55.54 2,557.41 10,342.02
117. 10/01/2011 10,342.02 2,612.95 43.09 2,569.86 7,772.16
118. 11/01/2011 7,772.16 2,612.95 33.46 2,579.49 5,192.67
119. 12/01/2011 5,192.67 2,612.95 21.64 2,591.31 2,601.36
120. 01/01/2012 2,601.36 2,612.56 11.20 2,601.36 0.00
Totals: 67.792.98 245,556.00
Adjustment made to Final Principal Payment: -0.39
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