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redemption price upon a partial redemption of this Bond, Until termination of the book -entry only system
<br />pursuant to the Indenture, Bonds may only be registered in the name of DTC or its nominee.
<br />This bond is one of an authorized issue of the "Lease Revenue Refunding Bonds (PACT Charter
<br />School Project) Series 2013A" (the "Bonds"), limited in aggregate principal amount to $
<br />The Bonds arc being issued simultaneously with the Issuer's Taxable Lease Revenue Refunding Bonds
<br />(PACT Charter School Project) Series 2013B, limited in aggregate principal amount to $ (the
<br />"Series B Bonds"). The Bonds and the Series B Bonds are being issued to (i) advance refund the Issuer's
<br />Lease Revenue Bonds (PACT Charter School Project) Series 2004A (the "Prior Bonds"), the proceeds of
<br />which were used to finance the acquisition, construction, and equipping of an approximately 72,000
<br />square foot public elementary and secondary schoolhouse located at 7250 Ramsey Parkway East
<br />Northwest in the City of Ramsey, Minnesota (the "City") (the "Project"), all to be owned by the Company
<br />and leased to PACT Charter School (the "School"); (ii) fund a debt service reserve fund; and (iii) pay the
<br />costs of issuing the Bonds. The proceeds from the sale of the Bonds have been loaned by the Issuer to the
<br />Company, under the terms of a Loan Agreement, dated as of 1, 2013 (as from time to time
<br />amended and supplemented, the "Loan Agreement"), under which the Company is obligated to pay
<br />amounts which are sufficient to (a) pay the principal of, premium, if any, and interest on the Bonds as the
<br />same shall become due in accordance with their terms and provisions and the terms and provisions of the
<br />Indenture (as hereinafter defined), (b) pay the fees and expenses of the Trustee and any paying agents
<br />properly payable under the Indenture (as defined hereinafter), and (c) pay certain expenses of the Issuer
<br />related to the Project and the issuance of the Bonds. The Company has granted a lien on the Schoolhouse
<br />(as defined in the Indenture) to the Trustee, pursuant to the Amended and Restated Mortgage, Security
<br />Agreement and Assignment of Rents, dated as of I, 2013 (the "Mortgage"), to secure the
<br />obligations under the Loan Agreement and the Indenture. Copies of the Loan Agreement and the
<br />Mortgage are on file at the designated corporate trust office of the Trustee, and reference is hereby made
<br />to the Loan Agreement and the Mortgage for the provisions thereof.
<br />THIS BOND SHALL NOT BE DEEMED TO CONSTITUTE A DEBT, LIABILITY, OR
<br />OBLIGATION OF THE ISSUER, THE CITY OR OF THE STATE OR ANY POLITICAL
<br />SUBDIVISION THEREOF, AND SHALL BE PAYABLE SOLELY FROM REVENUES DERIVED
<br />FROM THE SALE, OPERATION, OR LEASING OF THE SCHOOLHOUSE AND THE PAYMENTS
<br />RECEIVED UNDER THE LOAN AGREEMENT AND, UPON AN EVENT OF DEFAULT, THE
<br />MORTGAGE. NEITHER THE FAITH AND CREDIT NOR THE TAKING POWER OF THE ISSUER,
<br />THE CITY, THE STATE OR ANY POLITICAL SUBDIVISION OR AGENCY THEREOF IS
<br />PLEDGED TO THE PAYMENT OF THE PRINCIPAL OF, PREMIUM, IF ANY, OR INTEREST ON
<br />THIS BOND.
<br />The Bonds and the Series B Bonds are all issued under and are equally and ratably secured by and
<br />entitled to the protection of an Indenture of Trust, dated as of I, 2013, between the Issuer and the
<br />Trustee (as from time to time amended and supplemented, the "Indenture"), duly executed and delivered
<br />by the Issuer to the Trustee and pursuant to which all payments due from the Company to the Issuer under
<br />the Loan Agreement are assigned to the Trustee to secure the payment of the principal of, premium, if
<br />any, and interest on the Bonds. Reference is hereby made to the Indenture for a description of the property
<br />pledged and assigned, the provisions, among others, with respect to the nature and extent of the security,
<br />the rights, duties and obligations of the Issuer, the Trustee and the Registered Owners of the Bonds and
<br />the terms upon which the Bonds are issued and secured.
<br />The Bonds are issuable in fully registered form, in minimum denominations of $25,000 or any
<br />integral multiple of $5,000 in excess thereof. This bond is transferable by the Registered Owner hereof in
<br />person or by his attorney duly authorized in writing at the designated corporate trust office of the Trustee
<br />in Minneapolis, Minnesota, but only in the manner, subject to the limitations and upon payment of the
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<br />5600797v I
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