EQUIPMENT PURCHASE AGREEMENT
This Equipment Purchase Agreement is made and entered into this 1st day
of April, 2003 between Kaibab Industries, Inc., an Arizona corporation
("Kaibab Industries" or "Seller") of 0000 Xxxx Xxxxxx Xxxx, Xxxxxxx, XX
00000 and Unico, Incorporated, an Arizona corporation ("Unico" or "Buyer") of
P. X. Xxx 000, Xxxxxxx, XX 00000.
WHEREAS, Kaibab Industries is the owner of the equipment and personal
property listed on Exhibit A attached hereto ("the Equipment") and desires to
sell the Equipment, and
WHEREAS, Unico has agreed to purchase said Equipment pursuant to that
Mining Lease and Option to Purchase between the parties dated July 20, 2001,
NOW THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged, the parties agree as follows:
1. Purchase and Sale; Purchase Price: Kaibab Industries does hereby
sell and Unico does hereby purchase the Equipment described on Exhibit A
attached hereto for the price of $165,000, payable as follows:
In 24 monthly installments of principal only in the amount of $2,000
each, commencing April 1, 2003 and continuing on the first day of each
and every month thereafter for 24 months. The entire unpaid principal
balance ($117,000) shall be all due and payable on April 1, 2005.
The purchase price shall be evidenced by a Promissory Note in the amount of
$165,000, which Note shall be secured by a Security Agreement covering the
Equipment (referred to in the Security Agreement as the "Collateral") and
Buyer agrees to execute a UCC -1 financing statement to perfect Seller's
security interest in the Collateral.
2. Acceleration Upon Exercise of Option: Any unpaid balance of the
purchase price shall be all due and payable upon exercise of the option set
forth in that Revised Mining Lease and Option to Purchase between the parties
dated April 1, 2003.
3. Default; Interest: Should Buyer fail to make any installment payment
when due hereunder, Seller may declare Buyer to be in default by giving
written notice of default to Buyer. Buyer shall have 30 days from the date of
said notice to cure such default. If Buyer's default is not cured within said
30 days, Seller may, at its election, accelerate payment of the balance due
hereunder and/or charge default interest on the entire unpaid principal
balance at the rate of ten percent (10%) per annum from the date said payment
was due until payment is brought current.
4. Entire Agreement; Governing Law: This Equipment Purchase Agreement
sets forth the entire agreement between the parties hereto with respect to the
Equipment and any amendments thereto shall be in writing. This Equipment
Purchase Agreement shall be governed under the laws of the State of Utah.
SELLER: BUYER:
Kaibab Industries, Inc. Unico, Incorporated
By: /s/ Xxxxxx Xxxxxxx By: /s/ Xxx X. Xxxxx
Its: President Its: CEO
