Loan Agreements between PRC Yuhe, Taihong, and Nansun Rural Credit

Contract Categories: Business Finance › Loan Agreements
Summary

PRC Yuhe and Taihong entered into multiple loan agreements with Nansun Rural Credit between 2005 and 2007 to finance working capital. The loans, totaling $8,752,608 as of September 30, 2008, carry annual interest rates ranging from 7.68% to 10.51%. Both companies must pay interest monthly and repay the principal by maturity dates between November 28, 2008, and May 17, 2010. The loans are secured by land use rights and buildings valued at $12,233,921. There are no significant covenants or restrictions in these agreements.

Read More Arrow
EX-10.20 16 v135159_ex10-20.htm
Exhibit 10.20
 
Summary of Loan Agreement 
 
Loans from Nansun Rural Credit

PRC Yuhe entered into four loan agreements with Nansun Rural Credit on November 28 2005, March 14, 2007, May 17, 2007 and December 10, 2007. Interest rates for the loan agreements range from 7.68% to 8.76% per annum. Nansun Rural Credit also provided four loans to Taihong from November 28, 2005 to December 5, 2007 at interest rates ranging from 9.22% to 10.51% per annum. Loans form Nansun Rural Credit had a total outstanding principal balance of $8,752,608 as of September 30, 2008. PRC Yuhe and Taihong are obligated under these loan agreements to pay interest monthly and repay the loans on their maturity dates from November 28, 2008 to May 17, 2010. The loans are used for financing of working capital. All loans are secured by the land use right and building of PRC Yuhe and Taihong with a net book value of $12,233,921 as of September 30, 2008. There are no material covenants, conditions or restrictions in PRC Yuhe’s loan agreements with Nansun Rural Credit.