Contract
EXHIBIT
10.8
00 Xxxx
Xxxxxx Xxxxxx • Greenwich, CT
06830
Tel:
000.000.0000 • Fax: 000.000.0000
Email:
xxx@xxxxxxxxxxxxxx.xxx
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May
12, 2009
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|
|
Xxx
Xxxxx
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Xxxxxxxx
X. Xxxxxxxx
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|
00
Xxxxxxxx
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000
Xxxxxxxx, 0xx Floor
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Apartment
11A
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Westwood,
NJ 07675
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Brooklyn,
NY 11211
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RE: Emergency Loan to Global
Gold Corporation
Dear Xxx
and Xxxx:
Following up on our discussions,
this letter confirms the terms on which you are providing an emergency loan of
$550,000 ($500,000 from Xxx Xxxxx and $50,000 from Xxxx Xxxxxxxx) to Global Gold
Corporation (the “Company”) to cover current and overdue license fees, taxes,
utilities necessary to resume production, rent, overhead, and some other partial
payments. Accordingly, each of you, in your personal capacities only
and not acting on behalf of any other person or entity, hereby promise to
make short-term personal loans in the total amount of $550,000
($500,000 from Xxx Xxxxx and $50,000 from Xxxx Xxxxxxxx) (the
“Loans”), to the Company which Loans shall accrue interest, from the
day they are issued by you and until the day they are repaid by the Company, at
an annual rate of 10% (the “Interest”).
The
Company promises to repay, in full, the Loan and all the Interest accrued
thereon on the sooner of: (1) your demand after June 1, 2009; (2) from the
proceeds of any financing the Company; or (3) from the proceeds of the sale of
an interest in Xxxxxx or any other Company property. The
Company may prepay this loan in full at any time. But if it is not repaid by
June 2, 2008, you will have the right, among other rights available to you under
the law, to
convert the loan plus accrued interest to common shares of the Company at the
price calculable and on the terms of the Global Gold Corporation 2006 Stock
Incentive Plan, i.e. our option plan.
In
addition, you will have the right (from the date of this agreement until the
time this and any other loans from you are repaid) at any time to convert the
terms of all or a portion of this or other loans you made pursuant to the terms
provided to any third party investor or lender financing the
company.
Thank you
again for your help at this time, and please countersign below if these terms
confirm our agreement.
Sincerely,
_________________________
Xxx X. Xxxxxxxxx,
Chairman
and CEO
Acknowledged
and Agreed
____________________________ _______
Xxx
Xxxxx Date
____________________________ _______
Xxxxxxxx
X.
Xxxxxxxx Date
Cc:
Global Gold Board of Directors
